Sheela Foam shares dropped more than 2% in morning trade after the company reported a 39% year-on-year (YoY) decline in net profit for the third quarter ending December 31, 2024.
The company’s net profit fell to ₹18.8 crore from ₹30.8 crore in the same period last year. Despite this, Sheela Foam saw a 10% growth in revenue, which increased to ₹967.1 crore from ₹878.9 crore YoY.
At the operational level, Sheela Foam’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) rose 15.4%, reaching ₹87.9 crore, compared to ₹76.2 crore in Q3 FY24. The EBITDA margin improved to 9.1%, up from 8.7% in the previous year.
Despite the decline in profit, the company reported impressive growth in mattress volumes, with a 24% YoY increase in the mattress (BC business) segment. The Sleepwell brand alone saw a 53% YoY rise, while Kurlon grew by 13%. The e-commerce segment also witnessed record growth, making it the second-largest online mattress brand in India. Furthermore, B2B and other segments delivered strong growth, and Furlenco expanded into two new cities.
Sheela Foam opened at ₹900.00 today, down from the previous close of ₹915.45. The stock’s low for the day is ₹885.55, and the high is ₹903.60. Over the past 52 weeks, the stock has reached a low of ₹774.05 and a high of ₹1,177.85.
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