1. Opening Hook
After years of playing “capex capex” like a broken record, Sangam India finally hit play on profits — thanks partly to a timely depreciation policy detox. The textile spinner of Bhilwara just turned its mills into margin machines, boasting 317% PAT growth (helped by the fine print, of course). Managing Director Anurag Soni delivered his calm, spreadsheet-zen monologue: “Operational discipline, sustainability, efficiency.” Translation: We cut costs and adjusted depreciation, voila!
With yarn prices bottoming and machines humming, Sangam looks less like a weary loom and more like a disciplined fund manager’s favorite fabric story. Keep reading — the cotton gets combed finer later.
2. At a Glance
- Revenue ₹785 cr (+16% YoY): Management swears it’s “volume + mix,” not “luck + Excel.”
- EBITDA ₹76 cr (+32% YoY): Cost control did more spinning than the machines.
- EBITDA Margin 9.6% (+120 bps): Efficiency stitched tighter than a denim seam.
- PAT ₹23 cr (+317% YoY): Accounting magic met operating reality halfway.
- Gross Block Doubled to ₹1,800 cr: Capex hangover finally paying off.
- Export share ~37%: Still prefers shipping threads, not entire garments.
- Power cost ₹8.25/unit: Renewable switch incoming — saving ₹10 cr annually.
3. Management’s Key Commentary
“Revenue stood at ₹785 crores, up 16% YoY.”
(That’s right — the looms didn’t nap this quarter.)
“Margins improved by 120 bps to 9.6%, thanks to efficiency.”
(Translation: depreciation tweak + energy savings = efficiency. 😏)
“Change in depreciation policy aligns with industry norms.”
(In corporate dialect: ‘We wanted the PAT to smile for once.’)
“Cotton prices have bottomed out; realizations improving.”
(Finally, some good news for anyone allergic to volatility.)
“No pricing pressure from Bangladesh or China.”
(Bangladesh is our customer, not competition — plot twist! 😄)
“Debt cost below 7%; debt reduction planned ₹100-120 cr per year.”
(Textile business learning financial yoga — flexibility with leverage.)
“12 MW renewable power to
