India · Delayed Price · Currency is INR Arvind Earnings Call Transcripts
Fiscal Year 2026
-
Strong growth in textiles and advanced materials drove record revenue and EBITDA, with robust margins and improved return on capital. FTAs with UK and EU are set to open new markets, while disciplined capital allocation focuses on Garmenting expansion and innovation.
-
Q2 FY26 saw 8.4% revenue growth and 70% PAT growth despite U.S. tariff headwinds, with strong performance in both textile and advanced materials divisions. Cost efficiencies and market diversification offset margin pressures, and sustainability initiatives advanced.
-
Q1 FY26 saw 10% revenue and 14% EBITDA growth, with margins pressured by INR 15 crore tariff-related costs. Strong order books, capacity expansion, and India-UK FTA position the company for margin recovery and robust growth in H2 FY26.
Fiscal Year 2025
-
Q4 FY25 saw strong recovery with 7% revenue and 10% EBITDA growth, highest margin in 16 quarters. Short-term margin pressure is expected due to tariffs, but robust demand and capacity expansion support a positive outlook.
-
Q3 FY25 saw double-digit revenue and profit growth, with strong performance in woven, denim, and garmenting segments. AMD growth was impacted by order deferments but is expected to rebound, while CapEx and capacity expansions are on track to support 20%+ growth targets.
-
All business segments returned to growth in Q2 FY25, with revenue up 14% YoY and strong EBITDA. CapEx and sustainability initiatives are set to drive future margin and capacity expansion, while both Textiles and AMD expect robust demand in H2.
-
Q1 FY25 was heavily impacted by a 21-day strike, causing significant revenue and EBITDA loss, but unaffected units, especially garmenting, showed strong volume growth. Management maintains a positive outlook, reaffirming double-digit growth and CapEx plans for FY25.