R & B Denims Ltd, one of the textile houses with largest vertically integrated textile manufacturing facilities of over 30 million meters capacity of denim, has done major expansion in with new Air jet Looms – Dobby Machines. It has started to manufacture the prominent luxury level of Denim Fabric with the width of 85 Inches. It is expected that the company will generate very good margins from the current operating margins with this technology.

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At present, the company's clients include major brands such as Arvind, Killer, Lifestyle, Reliance Retail, etc. By adopting this new technology, the company will be able to gain an advantage over its competitors, as it is not available to many Denim Manufacturers, which will provide the company with an advantage in serving both domestic as well as international consumers.

Earlier, the company delivered steady performance in Q2 FY 23. Revenues from continuing operations stood at Rs 14711.5 lakh, EBITDA at Rs 2337.32 lakh. Profit after Tax from continuing business was Rs 1240.60 lakh.

It is expected that R & B Denim Ltd. will continue to grow despite a challenging environment, as a result of its robust business model and its strategic ability to navigate through challenging times. The Denim market is both impacted by domestic and export issues. Denim products are attracting more and more people regardless of age and gender, and it is anticipated that the denim industry will grow at a rapid pace in the near future.

It is imperative that the company continues to invest in Research and Development to maintain its competitive advantage and consistently deliver value to stakeholders, in order to enhance technological advancements and quality improvement through the use of its state of the art, ultramodern equipment, as well as its fully equipped research and development laboratory, in order to sustain profit margins and increase operational efficiency. With the new machine installations, the company is expecting a significant increase in revenue and profitability in Q4 as a result of these installations.

In FY 22-23 till Q2, company has produced 74 lakh meters of denim fabric that is equivalent to 46 lakh pair of jeans.

First Published:Jan 10, 2023 7:06 PM IST