Event Type: The document contains the transcript of the Q2 FY27 Earnings Conference Call held on November 4, 2026. The call was hosted by Emkay Global Financial Services Limited.
Date and Time: The conference call was held on November 4, 2026. A specific time was not mentioned in the transcript.
Purpose: The stated purpose of the call was to discuss the company's Q2 FY27 and H1 FY27 financial results and business performance.
Earnings Timing: The meeting was held after the quarterly earnings announcement.
Management Participants: The following management representatives participated:
Mr. Rishabh Oswal – Executive Director
Mr. Sandeep Jain – Executive Director
Mr. Dinesh Gogna – Director
Mr. R. K. Sharma – Chief Financial Officer
Mr. Ankur Gauba – Company Secretary & Compliance Officer
Availability of Materials: The transcript itself was filed as an attachment to the regulatory disclosure. There was no mention of a presentation deck, recording, or transcript being made available on the company's website.
UPSI Statement: The transcript does not contain any explicit statement indicating that no Unpublished Price Sensitive Information (UPSI) would be shared.
Financial and Operational Highlights (As Disclosed)
Q2 FY27 Financials:
Revenue from operations: Rs. 262 crores (vs. Rs. 248 crores in Q2 FY26), growth of 5.51%.
Operating EBITDA: Rs. 28.35 crores.
Operating EBITDA Margin: 10.80%.
Profit After Tax: Rs. 1.17 crores.
H1 FY27 Financials:
Revenue from operations: Rs. 411 crores (vs. Rs. 387 crores in H1 FY26), growth of 6.25%.
Operating EBITDA: Rs. 15.42 crores.
Operating EBITDA Margin: 3.7%.
Loss After Tax: Rs. 22.25 crores.
Management attributed lower H1 profitability to higher material costs, lower other income, and increased employee costs.
Business Mix Evolution: Management highlighted a strategic shift in the product portfolio. Cotton apparel is now the largest reported category, contributing approximately 63% of gross product sales in H1 FY27.
H1 FY27 Gross Category Sales (Pre-returns):
Cotton: Increased to Rs. 390 crores from Rs. 326 crores.
Home Textiles: Increased to Rs. 91.6 crores from Rs. 83 crores.
Kids Wear: Increased to Rs. 34.5 crores from Rs. 30 crores.
Footwear: Increased to Rs. 9.3 crores from Rs. 4.9 crores.
Woolen: Declined to Rs. 94 crores from approximately Rs. 106 crores.
Distribution Network (as of September 2026):
Exclusive Brand Outlets (EBOs): 506 (vs. 497 a year earlier).
Shop-in-Shops (SIS): 632 (vs. 578).
Multi-Brand Outlets (MBOs): 1,413 (vs. 1,615).
National Chain Stores: 846 (vs. 891).
Return Ratio: The return ratio for Q2 was 16.17% compared to 23.18% last year. On an H1 basis, returns were 30.70% compared to 29.47% in H1 FY26.
Guidance: Management reiterated its full-year guidance for low double-digit revenue growth, 20% growth in the home textiles business, and the addition of 40-45 new EBOs focused on West and South markets. EBITDA margin is expected to be within a range of plus/minus 100 basis points compared to the previous financial year.
Solar Project Update: Management provided an update on a 35-megawatt solar power project. All Power Purchase Agreements (PPAs) have been signed for three sites in Madhya Pradesh. Land has been identified and aggregated. The project is on track for commissioning by March 31, 2027. The expected Return on Investment (ROI) is 17-18%, with anticipated revenue of Rs. 17-18 crores and EBITDA margins upwards of 80% in FY28.
Price Hike: Management stated that a price hike of 8% to 9% was implemented for winter wear products to offset increased raw material costs, notably a ~20% increase in pure wool prices.
Additional Notes Section
Attachments: The regulatory filing intimated that the transcript of the earnings conference call was enclosed as an attachment.
Financial Data: This announcement itself did not contain financial data; it was a filing to submit the transcript where the financial data was discussed. The transcript contained extensive financial figures and operational data, which have been summarized above.
