Financial Performance Highlights

Revenue & Profitability

  • Revenue from operations: ₹3,213.87 crore (Previous year: ₹3,305.65 crore)
  • EBITDA: ₹457.75 crore with margin of 14.24% (Previous year: ₹475.02 crore, 14.37% margin)
  • Profit Before Tax: ₹238.76 crore (Previous year: ₹236.94 crore)
  • Profit After Tax: ₹177.55 crore (Previous year: ₹175.43 crore)
  • Earnings Per Share: ₹31.58 (Previous year: ₹31.20)
  • Net Profit Ratio: 5.52% (Previous year: 5.31%)

Segment-wise Performance

  • Yarn revenue: ₹2,373.10 crore (73% of total revenue)
  • Fabric revenue: ₹676.50 crore (21% of total revenue)
  • Export contribution: 61.87% of total revenue (₹1,988.43 crore)
  • Domestic market: 38.13% of total revenue

Expense Analysis

Total Expenses: ₹53,687.90 lakhs (Previous Year: ₹53,141.41 lakhs)

  • Administrative Expenses: ₹1,660.51 lakhs (including CSR expenditure of ₹392.90 lakhs)
  • Selling and Distribution Expenses: ₹10,716.77 lakhs
  • Payment to Auditors: ₹18.02 lakhs

Financial Position

  • Net Worth: ₹1,470.73 crore (Previous year: ₹1,311.19 crore)
  • Net Debt to Equity Ratio: 0.76 times (Previous year: 0.89 times)
  • Total Assets: ₹2,914.61 crore (Previous year: ₹2,732.32 crore)
  • Current Ratio: 1.53 (Previous Year: 1.71)
  • Return on Equity: 12.76% (Previous Year: 14.28%)

Dividend Declaration

  • Board recommended final dividend of 30% i.e., ₹3.00 per equity share of face value ₹10 each
  • Total dividend outflow: ₹16.86 crore
  • Dividend payments to related parties: ₹541.20 lakhs to Redial Trading & Investment Pvt. Ltd.
  • Subject to approval at 34th Annual General Meeting

Capacity Expansion Project

  • ₹1,120 crore multi-year expansion project underway
  • Project includes 22,400 MTPA spinning capacity expansion and 36 million meters weaving and finishing fabric capacity
  • Approximately 60% of incremental spinning output for captive consumption
  • Phased commercialization expected in second half of FY 2026-27
  • Capital contracts remaining to be executed: ₹75,642.22 lakhs

Sustainability Initiatives

Renewable Energy

  • Current renewable capacity: 41.4 MW
  • Projects under implementation including 33 MW AC solar plant
  • Post-expansion, renewable energy share expected to reach 50-55% of total power consumption

Environmental Management

  • 100% water recycling through Zero Liquid Discharge system
  • Sustainable fibers usage: 38.55% of total raw material procurement
  • Waste management: 655.32 metric tons total waste generated, 100% recycled

Corporate Social Responsibility

  • CSR expenditure: ₹3.92 crore (₹149.35 lakhs spent during year)
  • Focus areas: Education, healthcare, rural infrastructure, agricultural development
  • Unspent CSR amount of ₹260.53 lakhs transferred to special account

Risk Management & Contingencies

Contingent Liabilities

  • Disputed taxes: ₹34.92 lakhs
  • Outstanding Bank Guarantees: ₹408.01 lakhs
  • Bills negotiated with Banks: ₹12,828.33 lakhs

Financial Risk Management

  • Foreign Exchange Risk: Forward contracts outstanding: ₹53,080.24 lakhs
  • Interest Rate Risk: 50 basis points change affects profit by ₹562.24 lakhs
  • Credit Risk: Trade receivables of ₹43,187.40 lakhs considered good

Related Party Transactions

  • Key management personnel remuneration: ₹750.79 lakhs total
  • Related party transactions: ₹1,686.60 lakhs in dividends and ₹1,288.85 lakhs in employee contributions
  • All transactions conducted at arm's length basis

Corporate Governance & Compliance

  • Board composition: 6 Directors total (3 Executive, 3 Independent)
  • Complied with all applicable SEBI Listing Regulations
  • No material penalties or strictures from regulatory authorities
  • Vigil Mechanism/Whistle Blower Policy in place with no complaints during the year
  • All title deeds of immovable properties are in company's name

Operational Metrics

  • Yarn production: 107,686 MT
  • Knitted fabric production: 4,603 MT
  • Finished woven fabric production: 32.28 million meters
  • Products exported to over 55 countries
  • Received Texprocil Gold Trophy for Highest Employment Generation

Forward Looking Statements

The report contains forward-looking statements subject to risks including raw material price volatility, foreign currency exchange risk, competition, tariff uncertainties, and economic factors that may cause actual results to differ materially.