ICICI Securities: Kewal Kiran Clothing Q2 Review - Cost-Cutting Measures Arrest Ebitda Fall
A customer views shirts displayed for sale at a store. (Photographer Patrick T. Fallon/Bloomberg)

ICICI Securities: Kewal Kiran Clothing Q2 Review - Cost-Cutting Measures Arrest Ebitda Fall

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Kewal Kiran Clothing Ltd. reported Ebitda of Rs 112 million (down 70% YoY) with margin strong at 16.6% owing to strict control across all cost fronts.

Revenues declined 60% YoY to Rs 675 million.

Gross margin contracted 330 basis points YoY to approximately 48% owing to change in product mix (higher contribution from shirts/t-shirts) and channel mix (increasing contribution from online and large format store channels).

Company generated marginal free cash flow of Rs 7 million in H1 FY21 as operating loss and capex funding through working capital release.

Click on the attachment to read the full report:

ICICI Securities Kewal Kiran Clothing Q2FY21 Results Update.pdf

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