Nilkamal Limited , a prominent player in the Indian manufacturing sector, has successfully concluded its postal ballot process, resulting in the appointment of Mr. Gautam G. Chakravarti as a Non-Executive Independent Director. The company announced the results of the special resolution, which received resounding approval from its shareholders.

Voting Results

The remote e-voting process, which ran from August 25 to September 23, saw robust participation from Nilkamal's shareholders. Out of the total 14,922,525 shares, 11,974,499 votes were cast, representing an impressive 80.24% turnout. The results showcased overwhelming support for Mr. Chakravarti's appointment:

Appointment Details

The special resolution sought to appoint Mr. Gautam G. Chakravarti (DIN: 00004399) as a Non-Executive Independent Director of Nilkamal Limited. The voting process was conducted in compliance with Sections 108 and 110 of the Companies Act, 2013, and the relevant rules and regulations set forth by the Securities and Exchange Board of India (SEBI).

Scrutiny and Certification

Mr. Bhaskar Upadhyay, a Practicing Company Secretary (Membership No. FCS 8663/C.P No. 9625) and partner at N. L. Bhatia & Associates, served as the scrutinizer for the postal ballot process. Mr. Upadhyay certified the results on September 24, confirming the passage of the resolution with the requisite majority.

Shareholder Participation

The company reported that 22,660 members were eligible to vote as of the August 15 record date. The high participation rate and the near-unanimous approval highlight the shareholders' confidence in the board's decision to bring Mr. Chakravarti on board.

Transparency and Compliance

In line with regulatory requirements, Nilkamal Limited has made the voting results and the scrutinizer's report available on the company's website at www.nilkamal.com and on the National Securities Depository Limited's website at www.evoting.nsdl.com .

The appointment of Mr. Gautam G. Chakravarti as a Non-Executive Independent Director is expected to bring valuable expertise and insights to Nilkamal Limited's board, potentially contributing to the company's future growth and governance strategies.

Nilkamal Limited , a leader in material handling and moulded furniture products, has announced its financial results for the first quarter, showcasing robust growth across key segments.

Strong Revenue Growth

The company reported a standalone revenue of ₹864.00 crores for Q1, marking a significant 19% increase compared to the same period last year. This growth was primarily driven by strong performances in both the Business to Business (B2B) and Retail & E-commerce segments.

Segment-wise Performance

Business to Business (B2B)

The B2B segment, which includes sales to industrial customers and channel partners, demonstrated impressive growth:

• 19% increase in value terms
• 22% growth in volume terms
• Revenue stood at ₹773.00 crores

Notable performances within the B2B segment include:

• Mattress and foam business grew by 51%
• Bubbleguard business increased by 22%
• Furniture trade business saw a modest 3% growth

However, the Nilkamal Edge - Institutional furniture business experienced a 30% decline.

Retail & E-commerce

The Retail & E-commerce segment also showed strong growth:

• Overall growth of 15%
• Revenue reached ₹92.00 crores
• E-commerce business grew by 18%, with turnover of ₹41.00 crores
• Retail through stores grew by 12%

As of the end of the quarter, Nilkamal operates 87 stores under COCO and FOFO arrangements.

Financial Highlights

Despite the strong revenue growth, the company faced some challenges in profitability. The EBIT for Q1 stood at ₹38.00 crores compared to ₹34.00 crores in the same quarter of the previous year, with margin pressure in the furniture trade business impacting EBIT margins.

Operational Updates

• The company's state-of-the-art MDF and foam manufacturing unit at Hosur-3 has become operational.
• Nilkamal plans to incur a capex of approximately ₹150.00 crores in the current fiscal year, focusing on Material Handling Business, Rigid Packaging, and Retail business.
• Net Borrowing increased to ₹331.00 crores at the end of the quarter, compared to ₹173.00 crores in the previous year.

Consolidated Performance

On a consolidated basis, including results from subsidiaries and joint ventures:

• Net Sales stood at ₹883.00 crores, up from ₹743.00 crores in the corresponding quarter of the previous year.
• PAT was ₹15.00 crores, compared to ₹18.00 crores in the same period last year.

Looking Ahead

With its planned capex and the newly operational manufacturing unit at Hosur-3, Nilkamal appears poised for continued growth. However, the company will need to address the challenges in its institutional furniture business and work on improving overall profitability in the coming quarters.

Investors and stakeholders will be watching closely to see how Nilkamal navigates the evolving market conditions and capitalizes on its growth opportunities in the remainder of the fiscal year.