Kamdhenu Share Price

The diversified conglomerate announced a 38 per cent rise in standalone PAT at 30.7 crore in Q4

• Business Line
• 1 year ago

Iron & Steel Products company Kamdhenu announced Q3FY25 results Revenue from Operations for Q3FY25 grew by 13% YoY to Rs 175.0 crore from Rs 155.0 crore. Profit Before Tax (PBT) increased by 13% YoY, reaching Rs 16.9 crore compared to Rs 15.0 crore. Profit After Tax (PAT) rose by 12% YoY to Rs 12.5 crore from Rs 11.1 crore. Satish Kumar Agarwal, Chairman & Managing Director said: “We are pleased to report a sustained growth trajectory, Despite the implementation of the GRAP Framework in Delhi NCR region which restricts construction activity our revenue witnessed a growth of 13% year on year and stood at Rs. 175 crores. This growth has been driven by robust volume expansion from our own manufacturing facilities, which saw a 17% year-on-year growth. Profit Before Tax (PBT) stood at Rs. 17 crores, reflecting a 13% year-on-year growth, while Profit After Tax (PAT) reached Rs. 13 crores, growing by 12% year-on-year. These results align with our strategic focus on profitable growth and maintaining strong margin discipline, underscoring our commitment to delivering consistent value to our stakeholders. Our brand’s reputation for offering safe, trustworthy, and reliable products is a key factor that attracts more franchisees to partner with us. This trust and credibility have been the driving force behind the consistent growth in royalty income, which stood at Rs. 33 Crores. However, royalty income growth stood at 4% during the quarter due to a short-term downfall in one time royalty income. We are confident that the rate of new franchisee additions will normalize going forward. Franchisees are drawn to our proven business model, which emphasizes capital efficiency and operational excellence, enabling them to achieve significantly higher ASPs compared to unbranded sales. The demand for branded TMT bars in India is poised for strong growth, fueled by infrastructure development, urbanization, and government initiatives such as Smart Cities and affordable housing, as highlighted in the Union Budget 2025. Stricter construction norms and increasing consumer awareness about the importance of high-quality, certified materials are driving builders toward branded TMT bars for their superior strength and reliability. With a 20% market share in the organized retail TMT bar segment, we are well-positioned to expand our presence further. As India prioritizes sustainable and resilient infrastructure, branded TMT bars will play a critical role, enabling us to capitalize on this growing demand in the years to come. Given our robust brand and strong presence across key regions, supported by a large and well-established franchisee network, our commitment to excellence and quality remains critical to our operations. We aspire to double our sales within the next 4-5 years, leveraging the combined strength of our franchise partners and in-house manufacturing capabilities to drive sustainable growth in the year to come” Result PDF

• Trendlyne
• 1 year 3 months ago

Iron & Steel & Products company Kamdhenu announced Q2FY25 results Revenue from Operations: Rs 190.2 crore compared to Rs 185.0 crore during Q2FY24, change 3%. Profit Before Tax: Rs 20.9 crore compared to Rs 13.5 crore during Q2FY24, change 55%. PBT margin: 11% for Q2FY25. PAT: Rs 15.9 crore compared to Rs 10.2 crore during Q2FY24, change 56%. Satish Kumar Agarwal, Chairman & Managing Director said: ‘After a challenging Q1, we are pleased to report a strong recovery in revenue growth for Q2, primarily driven by increased construction activity. Despite some regional flooding challenges, Q2FY25 revenue reached Rs. 190 crores, reflecting a 3% year-over-year growth with our volume sales through the franchisee route witnessing a growth of 11% YoY. Despite a decline in the average selling price of TMT bars we have witnessed a growth in revenue from own facility of 1% this growth was driven by an 8% uptick in our volume sales from our own facility. With the government’s emphasis on capital expenditure and substantial investments in initiatives like 'Housing for All' and other infrastructure projects, we expect an upsurge in demand for TMT bars in the near future. We also achieved significant improvement in PBT margins, which rose to 11% from 7.3% last year. Our brand’s reputation for quality and reliability continues to set us apart, attracting new franchisees and driving strong growth in royalty revenue, which increased by 11% to Rs. 33 crores. This royalty revenue remains highly capital-efficient, delivering substantial returns without major capital investment by leveraging our brand’s strength. This performance underscores our ability to expand our franchise network while consistently meeting customer expectations for reliable products. Indian consumers are increasingly favoring branded TMT bars over unbranded options, driven by a rising awareness of quality and safety in construction materials. With growth in infrastructure projects and supportive government regulations, quality and durability are top priorities for long-term value. Kamdhenu’s branded TMT bars provide consistent quality, making them a preferred choice in this evolving construction landscape. Holding a 20% market share in the organized retail TMT bar segment, we’re confident in our ability to grow our market presence in the years ahead. Our commitment to excellence and quality has been pivotal to our success, and we remain focused on advancing our products and strengthening our brand. Looking ahead, we aim to double our sales in the next 4-5 years through both our franchisees and in-house manufacturing.” Result PDF

• Trendlyne
• 1 year 6 months ago