BOMBAY RAYON FASHIONS LIMITED
ANNUAL REPORT 2011-2012
It is always a pleasure to connect with you annually and share with you the
progress and prospects of your Company.
The year 2012 was a challenging year caused by uncertain global macro-
economic situation, particularly the (greek debt-repayment crisis. Within
the country, inflation remained the key cause of worry, impacting off input
costs and putting margins under tremendous pressure. The textile industry
too was affected by this overall sense of uncertainty that fed to a
slowdown in growth, which in turn, impacted demand.
In the ready-made garment, India continues to enjoy advantages of raw
material availability, particularly cotton and other fibres, and labour.
There is a tremendous scope for ready-made garment segment to garner forger
share of the global market, where India is stiff a relatively low player
with around 3.5%. Countries like Japan, South Korea, Australia, South
merica and Latin America are very promising. To caplitalise on this
opportunity, the industry needs to make significant investments across the
At 'Bombay Hayon 'fashions Limited, we have been driving consolidation by
integrating the entire textile value chain : from fibre to fabric to
fashion to future. Integrating of resources and capabilities, of strengths
and skiffs, of vision and venture is critical and crucial for a sustained
competitive advantage in the emerging textile space, fashion cycles are
getting shorter and' this is putting immense pressure on global labels and
brand's to source from vertically integrated p foyers who have in-house
capability to deliver end-to-end solutions.
We delivered a steady and satisfactory performance for FY 2012, thanks
largely due to the power of integration.
Our Net Sales increased to Rs. 2,734.96 cr. for the current year, as
against Rs.2,254.84 cr. in the previous year, an increase of over 21%.
Our EBITD increased tot 746.40 cr. for the current year, as against
Rs.564.36 cr. in the previous year, an increase of over 32%. Our TBITD
margin also improved to 27.29% for the current year from 25.04% in the
Our Met Profit for the year was Rs. 206.51 cr. against Rs. 226.69 cr. for
the previous year. This marginal decline was due to higher finance cost and
In FY2013, we plan to capitalise on all our existing facilities by
consolidation. We are confident that as the largest vertically integrated
textile company in the country, we will continue to achieve impressive
gains both in terms of new geographies as well as higher operational
efficiencies, and continue to deliver outstanding value to our
I thank aft our customers, suppliers, bankers, investors, and fast but not
the feast, all our employees at 'Bombay 'Rayon fashions Limited who
continue to achieve stellar results.