Veejay Lakshmi Engineering Works Reports Rs 331.48 Crore Loss in FY2025
Veejay Lakshmi Engineering Works Limited reported a net loss of Rs 331.48 crore for FY2024-25, an improvement from the previous year's loss of Rs 455.54 crore. Sales turnover declined to Rs 7,964.93 crore from Rs 8,709.10 crore. The engineering division faced sluggish demand, selling only 35 twisting machines compared to 63 in the previous year, but saw increased spare parts sales. The textile division experienced margin pressures due to lower yarn prices. The company attributes the reduced loss to better price realization in machine sales and increased spares sales in the engineering division, as well as reduced cotton prices in the textile division.
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Veejay Lakshmi Engineering Works Limited , a manufacturer of textile machinery and yarn, has reported a net loss of Rs 331.48 crore for the financial year 2024-25, according to its 50th annual report. This marks an improvement from the previous year's loss of Rs 455.54 crore.
The company's sales turnover declined to Rs 7,964.93 crore in FY2025 from Rs 8,709.10 crore in FY2024, reflecting challenging market conditions in both its engineering and textile segments.
Engineering Division Performance
The engineering division, which manufactures textile machinery, faced sluggish demand. The company sold only 35 twisting machines during the year, compared to 63 in the previous year. However, there was a significant increase in spare parts sales, rising from Rs 357.00 lakhs in FY2024 to Rs 698.00 lakhs in FY2025.
Textile Division Challenges
The textile division experienced margin pressures due to lower yarn prices, despite a marginal increase in capacity utilization. The company reported that steady deliveries in yarn exports partially compensated for fluctuating domestic demand.
Financial Highlights
| Item | FY2025 | FY2024 |
|---|---|---|
| Total revenue | 7,964.93 | 8,709.10 |
| Net loss | 331.48 | 455.54 |
| Engineering division revenue | 1,692.27 | - |
| Textile division revenue | 6,276.04 | - |
All figures in Rs crore
Management Commentary
The company attributed the reduced loss to better price realization in the sale of machines in domestic and export markets, as well as increased sales volume of spares in the engineering division. For the textile division, a reduction in cotton prices compared to the previous year helped mitigate losses despite lower market prices for yarn.
Future Outlook
Veejay Lakshmi Engineering Works is focusing on developing new machine models to offer at competitive prices, aiming to improve its market share in the face of stiff competition. The company remains hopeful that its long-standing reputation for producing reliable quality twisting machines will help strengthen its position in the market.
Corporate Actions
The company's 50th Annual General Meeting is scheduled for September 11, 2025. The board has proposed the reappointment of Managing Director J. Anand for three years and the appointment of K. Duraisami as Secretarial Auditor for five years.
Despite the challenging year, Veejay Lakshmi Engineering Works continues to adapt to market conditions and implement strategies to improve its financial performance in both its engineering and textile segments.
Historical Stock Returns for Veejay Lakshmi Engineering Works
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.02% | -3.52% | -19.97% | -13.88% | -20.10% | +116.03% |
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