Vardhman textiles is engaged in the business of manufacturing Yarn, Fabric, Acrylic Fiber and Garments, the Group has over the years developed as a business conglomerate with a presence in India and in 75 countries across the globe. Presenting below are its Q2 FY26 earnings results.
Q2 FY26 Earnings Results
-
Revenue from Operations: ₹2,480.1 crore, marginally down 0.9% YoY from ₹2,502.4 crore, and up 4% QoQ from ₹2,386 crore in Q1 FY26.
-
EBITDA: ₹334 crore, up 6% YoY from ₹315 crore and 2% QoQ from ₹326 crore, highlighting improved operational performance.
-
EBITDA Margin: 13.5%, up 90 basis points YoY from 12.6%, driven by enhanced product mix and cost management.
-
Profit Before Tax (PBT): ₹187.76 crore, down 4.8% YoY compared with ₹197.29 crore in Q2 FY25.
-
Profit After Tax (PAT): ₹187.03 crore, down 4.8% YoY and 10% QoQ from ₹208 crore in Q1 FY26.
-
EPS: ₹6.47, down from ₹6.81 in Q2 FY25 and ₹7.16 in Q1 FY26.
-
Total Expenses: ₹2,281 crore (down 1.1% YoY), reflecting cost discipline amid demand moderation.
Segmental & Operational Overview
-
Yarn Segment: Continued to contribute the majority of sales but faced margin pressure due to fluctuating cotton prices and muted export demand.
-
Fabric & Garments: Volumes remained steady with moderate growth in value-added and blended fabric categories.
-
Acrylic Fibre Segment: Outperformed with 27% YoY growth, rising to ₹89.4 crore due to improved realizations in specialty fabrics.
-
Exports: Accounted for approximately 43% of total revenue, with exposure to U.S. brands remaining indirect; global demand normalization expected in H2 FY26.
Management Commentary & Strategic Outlook
Company’s statement (as per exchange filing):
“The company maintained operational stability despite the challenges in global markets. Our focus on efficiency, sustainable production, and value-added product lines supported profitability. We remain cautiously optimistic for the second half of FY26 as demand recovery in domestic and US markets is anticipated.”.
Strategic updates:
-
Announced ₹3,535 crore CAPEX plan to upgrade spinning and fabric manufacturing capacity by FY28, focusing on automation and sustainability initiatives.
-
Plans to expand renewable energy usage to 60% across facilities by FY27.
-
Continued emphasis on premium and export quality yarns for apparel and technical textiles.
Q1 FY26 Earnings Results
-
Revenue: ₹2,386 crore.
-
EBITDA: ₹326 crore (margin 13.7%).
-
PAT: ₹208 crore.
-
EPS: ₹7.16.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.