Indian Terrain Fashions Limited announced its unaudited financial results for the quarter and half year ended 30th September 2026, approved by the Board of Directors on 12th November 2026.

Financial Performance - Q2 FY27

  • Revenue from Operations: ₹106.59 Crore, up 5.6% YoY from ₹100.96 Crore in Q2 FY26
  • Gross Margin: 40.8% (40.3% in Q2 FY26), representing an improvement of 56 basis points
  • Gross Margin Value: ₹43.52 Crore, up 7.0% YoY from ₹40.66 Crore
  • EBITDA: ₹10.40 Crore, up 10.8% YoY from ₹9.39 Crore (calculated before depreciation, finance costs, tax and exceptional items)
  • Operating EBITDA: ₹9.58 Crore, up 12.6% YoY from ₹8.51 Crore (calculated excluding other income)
  • Profit Before Tax: ₹2.93 Crore, up 154.3% YoY from ₹1.15 Crore
  • Profit After Tax: ₹5.09 Crore, showing a turnaround from loss of ₹0.38 Crore in Q2 FY26 (before considering OCI)

Financial Performance - H1 FY27

  • Revenue from Operations: ₹188.33 Crore, up 11.0% YoY from ₹169.74 Crore in H1 FY26
  • Gross Margin: 40.9% (39.8% in H1 FY26), representing an improvement of 112 basis points
  • Gross Margin Value: ₹77.01 Crore, up 14.1% YoY from ₹67.51 Crore
  • EBITDA: ₹17.98 Crore, up 54.2% YoY from ₹11.66 Crore
  • Operating EBITDA: ₹15.66 Crore, up 64.5% YoY from ₹9.52 Crore
  • Profit Before Tax: ₹3.07 Crore, showing a turnaround from loss of ₹4.89 Crore in H1 FY26
  • Profit After Tax: ₹4.26 Crore, showing a turnaround from loss of ₹6.57 Crore in H1 FY26

Business Highlights

  • Exclusive Retail: Grew 12.1% in Q2 to ₹44.09 Crore and 9.9% in H1 to ₹84.99 Crore, contributing 41.4% of Q2 revenue
  • Large Format Outlets: Grew 2.8x in Q2 to ₹20.43 Crore and 93.4% in H1, increasing channel share to 19.2% from 7.1%
  • Multi-Brand Outlets: Grew 11.5% in Q2 to ₹37.99 Crore; H1 sales of ₹50.73 Crore are 1.4% ahead of previous year
  • Online Sales: Net primary sales were ₹(2.77) Crore in Q2 (returns exceeded fresh billing); H1 online sales stood at ₹7.99 Crore against ₹15.99 Crore
  • Store Network: 172 exclusive stores as of 30 September 2026, with 7 additions and 11 closures during the quarter
  • Working Capital: Gross working capital at 300 days (326 days year ago), net working capital at 235 days (258 days year ago)
  • Inventory: 67 days against 79 days year ago
  • Receivables: 233 days against 247 days year ago

Key Initiatives

  • Web store relaunch on indianterrain.com on 14 September 2026 with enhanced features and omni-channel integration readiness
  • New concept shop-in-shops rolled out in large format stores
  • New experience-led concept stores implemented
  • Festive Edit campaign launched with improved product availability

Provisions

  • Recognized provision of ₹1.66 Crore for interest on delayed payments to MSME suppliers under MSMED Act, 2006 (included in Other Expenses)

Management Commentary

Mr. Charath Ram Narsimhan, Managing Director & Chief Executive Officer, attributed the performance to disciplined merchandising, product mix optimization, and cost efficiencies. The company focused on improving channel productivity, strengthening distribution reach, and enhancing product assortment across physical and digital touchpoints.

Outlook

The Company expects steady consumer demand to sustain, with early festive sales momentum indicating improving consumer sentiment. Priorities for H2 FY27 include:

  • Optimizing exclusive store network for productivity
  • Scaling new concept stores and shop-in-shops
  • Leveraging relaunched web store for omni-channel integration
  • Improving channel productivity across all distribution channels
  • Capitalizing on festive and wedding season demand through improved product availability and merchandise planning
  • Maintaining disciplined inventory management, receivables control, and cost efficiencies

Risk Factors

Consumers remain selective, and a milder and shorter winter, together with uncertainties arising from the West Asia conflict, may affect consumer demand and sales of winter wear products.

Company Profile

Indian Terrain Fashions Limited is a premium menswear brand with omni-channel presence through 172 exclusive stores, 311 Large Format Outlet counters, and 815 Multi-Brand Outlet doors across more than 250 cities in India as of 30 September 2026.