Relaxo Footwears Limited Sees Revenue Rise in Q1 FY 2025

Relaxo Footwears Limited declared its unaudited financial results for the first quarter of FY 2025.

Q1 FY 2025 Financial Highlights 

In the first quarter of FY 2025, the company reported a revenue of ₹748 crore, an increase from ₹739 crore in the same quarter of the previous fiscal year. The EBITDA for Q1 FY25 stood at ₹99 crore, which is lower compared to ₹108 crore in the corresponding quarter of the previous year. The Profit After Tax (PAT) for Q1 FY25 was ₹44 crore, a decline from ₹56 crore in Q1 FY24.

Commenting on the financial performance, the Chairman and Managing Director, Mr Ramesh Kumar Dua, said, “The company reported nominal revenue increase during the quarter, largely due to weak consumer sentiments driven by election-related disruptions and severe heat conditions in many parts of India. We operate in a labour intensive industry which was impacted by an abnormal increase in minimum wages as mandated by the government. We decided not to pass on the higher costs to consumers in the current subdued market conditions, which has impacted profitability in this quarter. Capex incurred to manufacture higher volumes in the future have also led to higher depreciation expenses in this quarter.”

He further stated, “We have undertaken major sales transformation initiatives to enhance our connect with distributors, retailers and consumers, and with a favourable monsoon expected, we are optimistic about sales growth in the coming quarters. The company is undertaking cost optimisation initiatives which will help to improve the overall performance of the company during this year.”

About Relaxo Footwears Limited

Relaxo Footwears Limited specialises in non-leather products such as rubber/EVA slippers, sports shoes, canvas shoes, school shoes, sandals, and various other types of footwear. The company’s portfolio includes well-known brands like Relaxo, Sparx, Flite, and Bahamas. Relaxo distributes its products through a network of retailers via distributors, its own retail outlets, exports, and e-commerce and modern trade channels.

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