Raymond Q3 Profit Drops 61% YoY, Revenue Jumps 41%

30 Jan 2025 , 11:49 PM

Raymond Ltd. reported a 61% YoY decline in net profit for Q3 FY25, with earnings at ₹72.3 crore, down from ₹185.4 crore in the same quarter last year. The sharp decline is due to the demerger of the Lifestyle business, which was included in the base quarter.

Revenue from operations jumped 40.6% YoY to ₹953.9 crore compared with ₹678.5 crore in Q3 FY24, mainly on account of growth in the real estate segment. EBITDA grew 75.3% YoY to ₹138 crore from ₹78.8 crore in Q3 FY24, while the EBITDA margin was at 14.5% compared with 11.6% last year. Real estate and engineering businesses together generated ₹985 crore in consolidated revenue, marking a 36% YoY growth.

Real estate contributed ₹488 crore in revenues, up 11% YoY, with a booking value of ₹505 crore, on the back of demand for projects like The Address by GS 2.0 and TenX ERA. The EBITDA for the real estate segment was ₹116 crore, with margins improving to 23.8% from 22.1% in Q3 FY24.

The engineering business of Raymond has earned ₹433 crore in revenue, which was helped by the acquisition of MPPL. However, weak export demand and geopolitical challenges have impacted the auto components and engineering consumables segment. The EBITDA margin of the engineering segment declined to 12% from 13.8% in Q3 FY24 due to changes in the product mix. Despite these challenges, Raymond remains a net cash surplus company with ₹696 crore available for future expansion.

The company has a total real estate business whose potential revenue value stands at above ₹32,000 crore through support from both Thane land parcel and numerous joint development agreements.