Asian Granito India Limited reports improved performance in Q2FY24, reports Consolidate Net Sales at Rs. 401 crores

Ahmedabad, November 10, 2023: Asian Granito India Limited (AGL), one of the largest Luxury Surfaces and Bathware Solutions brands in the country has reported improved operational and financial performance in Q2FY24. Consolidated Net sales of the company reported growth of 1% to Rs. 401 crore in Q2FY24 as against net sales of Rs. 398 crore in Q2FY23. Consolidated net loss for the second quarter of FY23-24 narrowed to Rs. 2.8 crore as compared to the net loss of Rs. 7.8 crore in Q2 FY23. EBITDA for the Q2FY24 was reported at Rs. 19.9 crore. Exports for the Q2FY24 at Rs. 51 crores. The Company has recently completed its mega expansion at Morbi and subsequently commenced commercial operations of the Glazed Vitrified Tiles Plant and Sanitaryware plant.

Financial Highlights (Consolidated)

Commenting on the results and performance, Mr. Kamlesh Patel, Chairman and Managing Director said, “Despite high input costs i.e gas prices, raw material prices impacting the business and margins, company has reported good set of numbers for Q2 and H1 FY24. The company has successfully advanced along its growth roadmap, and we are optimistic about experiencing improved growth during the second half of FY24.

We are delighted to share that company has completed the expansion of GVT and Sanitaryware plant at Morbi and plants have commenced commercial operation. Also the proposed demerger of AGL and its subsidiaries/outsourcing companies aimed at operational synergies is progressing as schedule. With a vision to expand global footprints, company has incorporated a joint venture company namely Nepovit Ceramic Private Limited to set up wall tiles manufacturing unit in Nepal. Company has embarked on a journey of enhanced strategic integration programme (ESIP) to achieve a long-term vision of achieving a total revenue of Rs. 6,000 Crores.”

Financial Highlights (Standalone)

During H1FY24, Future Ceramic Private Limited – a wholly owned subsidiary of Asian Granito India Ltd commenced commercial operation of glazed vitrified tiles (GVT) plant at Morbi. Company has invested over Rs. 173 crore for setting up the new manufacturing facility with an installed capacity of 5.94 million sq. mtrs. per annum. Company to manufacture large format GVT tiles in 1200×1200 mm, 1200×1800 mm, 1200×2400 mm, 800×1600 mm and 800×2400 mm formats.

On 1^st October 2023, AGL Sanitaryware Pvt Ltd – a wholly owned subsidiary of Asian Granito India Ltd too commence commercial operations of the sanitaryware plant at Morbi. Company has set up in-house manufacturing unit of Sanitaryware products with an installed capacity of 0.66 million pieces per annum. With an aim to provide complete building materials solutions under one roof, Asian Granito India Ltd ventured into Sanitaryware. The company is also setting up a Display Centre cum Office at Ahmedabad and setting up of stock point for trading of building construction material.

On August 12, 2023, the board of Asian Granito India Ltd approved the demerger scheme for AGL and its subsidiaries/outsourcing companies namely Affil Vitrified Private Ltd, Ivanta Ceramics Industries Private Limited, Crystal Ceramic Industries Limited, Adicon Ceramica Tiles Private Limited and Amazoone Ceramics Limited. In the proposed scheme of demerger, manufacturing units of subsidiaries/outsourcing companies are transferred to separate subsidiaries of the Company to focus on operational synergies and consequent cost synergies. The deal is expected to be concluded over the next 9-12 months, subject to receipt of the necessary approval/consents from the concerned regulatory authorities and completion of certain conditions precedent therein.

Established in the year 2000, Asian Granito India Ltd manufactures and markets a wide range of Tiles, Engineered Marble and Quartz, Sanitaryware and Faucets. Company has recently unveiled a Signature Series in the Quartz segment powered by Robotech Technology. It is a Hi-Tech technology collection in the premium segment by AGL. On October 10, 2023, company incorporated a joint venture company namely Nepovit Ceramic Private Limited to set up wall tiles manufacturing unit in Nepal.

Highlights: – H1FY24 Results

For the six months ended September 2023 (H1FY24), company reported Net sales of Rs.735.7 crore with Y-o-Y growth of 4% as against net sales of Rs. 707.8 crore reported in H1FY23. EBITDA for the H1FY24 ended September 2023 was reported at Rs.29.6 crore as compared to Rs. 4.5 crore in H1FY23 registering growth of 558%.

Corporate Comm India (CCI Newswire)