Page Industries shares fell 15% in early trade on May 26, 2023, after the clothing company reported a 59% YoY drop in net profit for Q4 2022-23. Revenue from operations was also down 13%. The company declares 4th interim dividend of Rs. 60.
The company attributed the decline in profit to higher raw material costs and lower sales volumes. Raw material costs increased by 30% YoY, while sales volumes declined by 10%. The company also said it had to increase marketing spending to offset the rising competition’s impact.
Financial Results (Q4 FY2023) – QoQ Comparison
| Financials | Q4 FY2023 | Q3 FY2023 | % Change |
| Total Income | ₹976.2132 crs | ₹1224.9040 crs |  -20.30% |
| Net Profit | ₹78.3514 crs | ₹123.7333 crs | -36.68% |
| EPS | ₹70.24 | ₹110.93 | -36.68% |
Financial Results (Q4 FY2023) – YoY Comparison
| Financials | Q4 FY2023 | Q4 FY2022 | % Change |
| Total Income | ₹976.2132 crs | ₹1116.0411 crs | -12.53% |
| Net Profit | ₹78.3514 crs | ₹190.5219 crs | -58.88% |
| EPS | ₹70.24 | ₹170.81 | -58.88% |
The sharp decline in Page Industries shares indicates that investors are concerned about the company’s ability to sustain its growth momentum in the face of rising costs and competition. The company’s management has said it is taking steps to address these challenges, but it remains to be seen whether these measures will be enough to turn things around.
Here are some of the reasons why Page Industries shares fell 15% today:
- The company reported a 59% YoY drop in net profit for Q4 2022-23.
- Revenue from operations was also down 13%.
- The company attributed the decline in profit to higher raw material costs and lower sales volumes.
- Raw material costs increased by 30% YoY, while sales volumes declined by 10%.
- The company also said that it had to increase marketing spending to offset the impact of the rising competition.
- The sharp decline in Page Industries shares indicates that investors are concerned about the company’s ability to sustain its growth momentum in the face of rising costs and competition.
- The company’s management has said that it is taking steps to address these challenges, but it remains to be seen whether these measures will be enough to turn things around.