Relaxo Footwears Ltd on Monday, July 24, reported a 54.5 percent year-on-year (YoY) jump in net profit at Rs 56.3 crore for the first quarter that ended June 30, 2023.

In the corresponding quarter last year, Relaxo Footwears posted a net profit of Rs 39 crore, the company said in a regulatory filing.

In the quarter, total revenue stood at Rs 738.8 crore, up 10.7 percent against Rs 667.2 crore in the corresponding period of the preceding fiscal. The growth was driven by the strong recovery in volumes across open footwear.

At the operating level, EBITDA increased 24.8 percent to Rs 107.6 crore in the first quarter of this fiscal over Rs 86.2 crore in the year-ago period.

The EBITDA margin stood at 14.6 percent in the reporting quarter compared to 12.9 percent in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

Relaxo MD Ramesh Kumar Dua said the company is pleased to announce a good performance in the first quarter of FY24, supported by significant growth in both open and closed footwear categories.

The decline in raw material prices, coupled with the relentless efforts of our team to ensure the company's adaptability and resilience in challenging market conditions, has led to improved operating efficiency and profitability during the quarter, he said.

"Our effective business strategies have enabled us to capitalise on market trends, maintaining a robust position with well-received brands like Sparx, Bahamas, and Flite. Furthermore, all our channels have seen encouraging progress, which will help us deliver positive results consistently," Dua added.

The results came after the close of the market hours. Shares of Relaxo Footwears Ltd ended at Rs 940.50, up by Rs 19.25, or 2.09 percent on the BSE.

(Edited by : Shoma Bhattacharjee)