S. P. Apparels Limited — PPTs, 11-02-2025: Investor Presentation

**Financial Highlights:**

In Q3FY25, S.P. Apparels achieved consolidated revenue of ₹3,622 Mn, reflecting a 40.9% year-over-year growth. The EBITDA for the quarter stood at ₹538 Mn, up 36.6%, with a PAT of ₹248 Mn, marking a significant increase of 40.6%. For the nine-month period ending FY25, total revenue reached ₹10,039 Mn, showing a growth of 24.4%, while EBITDA was ₹1,415 Mn, a 7.5% rise. PAT for 9MFY25 was reported at ₹647 Mn, gaining 5.8%. Standalone revenue for Q3FY25 was ₹2,334 Mn, a 3.6% increase, with an EBITDA margin of 16.6%. The company continues to maintain strong performance in the competitive garment export sector.

**Strategic Initiatives and Growth Drivers:**

S.P. Apparels is focusing on expanding its manufacturing capabilities with new machinery installations and plans for further capacity enhancement, especially in Sri Lanka. The recent acquisition of Young Brand Apparel strengthens its position in intimate wear exports. The company is leveraging 'China Plus-One' trends, aiming to capture increasing global garment demand.

**Business Developments:**

The acquisition of Young Brand Apparel enhances S.P. Apparels' product portfolio, allowing entry into the intimate wear market, with ongoing expansions expected to drive growth. Additionally, the retail division has seen notable revenue growth, expanding the brand presence of Crocodile and Angel & Rocket.

**Market Position and Competitive Advantage:**

S.P. Apparels is well-positioned as a leading exporter of infant and children's garments, maintaining long-term relationships with prominent international brands. Its integrated manufacturing facilities enable efficient production, ensuring quality and compliance with global standards.

**Investor Implications:**

With a robust growth trajectory, the investment thesis for S.P. Apparels remains positive. The company’s strategic expansions and acquisitions are expected to yield further revenue synergies and market share gains. Investors should monitor the company's ability to capitalize on favorable market conditions and expand product offerings effectively.