Home textile industry to see 7-9% rise in revenues this fiscal: Report
Home textile industry's revenues are expected to rise 7-9 per cent this fiscal as the sector regains global share following a correction in domestic cotton prices and restocking by big-box retailers in major overseas markets, says a report. In the last financial year, their revenues had declined 15 per cent.
According to the Crisil Ratings report released on Wednesday, operating profitability of the industry will improve 150-200 basis points to 14-14.5 per cent this fiscal, due to lower raw material cost and better operating leverage, but will still hover below the pre-pandemic levels.
Improved operating performance will also have the industry maintaining a stable credit outlook despite moderate capex, it noted.
The report is based on an analysis of 40 companies, accounting for 40-45 per cent of the sectoral revenues.
