Kamdhenu Limited, India’s largest manufacturer and seller of branded TMT Bars, in the retail segment, has declared its Unaudited Financial Results for the quarter and nine months ended 31st December 2023
Commenting on the results and performance, Satish Kumar Agarwal, Chairman & Managing Director said, “In 9M FY24, Revenues marginally de-grew by 3% YoY to Rs. 549 crores. EBITDA stood at Rs. 43 crores and PAT increased by 10% YoY to Rs. 33 crores. Our total brand sales turnover for 9M FY24 stood at ~ Rs. 15,700 crores. The decrease in revenues and EBITDA is primarily attributed to a temporary reduction in construction activities in the Delhi NCR region during the third quarter due to implementation of GRAP* by government authorities. Over the last quarter, there were 37 days of GRAP Stage 3 and above wherein construction activities were completely banned in NCR region which has led to reduced demand and therefore lower ASPs. This has led to lower revenues and profitability during the quarter.”
Despite this, our Royalty Income through franchise sales continued to witness healthy growth. Royalty Income stood at 93.6 crores which has gone up by 12% YoY. We are confident in our ability to adapt and grow while navigating through short term volatility.
The demand for steel TMT bars in India has witnessed substantial growth in recent times, fueled by the country's robust infrastructure development and construction activities. With an upsurge in urbanization, the need for residential, commercial, and industrial spaces has escalated, leading to a significant spike in demand for construction materials, particularly steel TMT bars.
Our brand stands prominently in the market as a preeminent choice for TMT Bars, earning the trust of numerous franchises and end consumers alike. This esteemed recognition is attributed to the exceptional quality and durability inherent in our product range. We take pride in consistently delivering superior performance, which has established our brand as a symbol of reliability and excellence in the industry. Our commitment to maintaining stringent quality standards underscores our dedication to customer satisfaction, solidifying our position as a trusted and leading brand in the TMT Bars segment
The Company is raising Rs. 100 crores through issue of convertible warrants on preferential basis. We are excited about the opportunities that lie ahead and are grateful for the continued support and confidence of our stakeholders.
