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Vijay Kedia’s Siyaram Silk Mills Stock Soars 12%, Expands with Cadini Italy Perfumes in India
Shares of Siyaram Silk Mills have been on an incredible rise, rising 12% on a weak trading day and touching a fresh high of ₹937.85 on the BSE. The stock has risen by an impressive 101% in the last ten weeks, and it is one of the standout performers in a challenging market.
Cadini Italy Perfumes Launch Adds to Growth
This is in line with two major events: the company's launch of Cadini Italy Perfumes in India and a good Q2FY25 financial performance. Under the brand Cadini Italy, the company launched four luxurious fragrances: Leonardo's Secret, Italian Renaissance, Roman Affair, and Sicilian Romance. These perfumes are available in different sizes and provide a premium experience, which is now available online. The company is trying to move out of the textiles business and reach new markets.
Siyaram Silk Mills registered revenue of ₹607 crore in Q2 FY25 compared with ₹585 crore in the same quarter last year. Profit after tax surged by 11% to ₹68 crore, and EBITDA margins expanded to 17.5%. Growth also reflects healthy consumer demand during the festive season and an uptick in discretionary spending.
Continued Expansion Plans Signal Growth
Rumour has it that renowned investor Vijay Kedia owns 455,000 shares of Siyaram Silk Mills, a 1% stake in the company. His portfolio has benefited significantly from the stock’s meteoric rise, bolstering its reputation as a strong investment.
The company is also well-prepared for further expansion, with 30 new retail outlets planned by March 2025, 12 of which open this month. These comprise ZECODE fast-fashion stores that target the urban shopper and DEVO outlets for ethnic wear. They cater to India's various cultural styles.
Siyaram Silk Mills is well-positioned for sustainable growth due to innovative product launches, robust financials, and strategic expansion plans. The recent rally has proved that it has a lot of potential as a standalone performer in a volatile market.