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Disclosure Reference: Regulation 30 of SEBI (LODR) Regulations, 2015

Management Commentary

Mr. Vikash Agarwal, Whole Time Director, commented on the Q2 FY27 performance:

  • The company maintained a steady revenue trajectory despite a challenging and highly competitive market environment
  • Encouraging growth was witnessed across Thermal and Athleisure wear categories with healthy revenue growth and positive volume momentum
  • Focus for the second half of the financial year remains on strengthening product mix and driving operational efficiencies
  • The company remains optimistic about opportunities ahead and continues to pursue sustainable, profitable growth

Financial Performance - Q2 FY27 (Consolidated)

Revenue from Operations: ₹320.4 crore (vs. ₹320.2 crore in Q2 FY26, +0.1% YoY)

Profitability Metrics:

  • Gross Profit: ₹88.6 crore (Gross Profit Margin: 27.6%)
  • EBITDA: ₹26.0 crore (vs. ₹22.4 crore in Q2 FY26, +15.9% YoY)
  • EBITDA Margin: 8.1% (vs. 7.0% in Q2 FY26)
  • PAT: ₹17.0 crore (vs. ₹14.5 crore in Q2 FY26, +17.4% YoY)
  • PAT Margin: 5.3% (vs. 4.5% in Q2 FY26)
  • EPS: ₹2.2

Expense Breakdown:

  • Employee Expenses: ₹19.3 crore
  • Other Expenses: ₹43.3 crore
  • Finance Cost: ₹6.1 crore
  • Depreciation: ₹3.8 crore

Financial Performance - H1 FY27 (Consolidated)

Revenue from Operations: ₹522.8 crore (vs. ₹504.1 crore in H1 FY26, +3.7% YoY)

Profitability Metrics:

  • Gross Profit: ₹164.3 crore (Gross Profit Margin: 31.4%)
  • EBITDA: ₹41.7 crore (vs. ₹34.6 crore in H1 FY26, +20.4% YoY)
  • EBITDA Margin: 8.0% (vs. 6.9% in H1 FY26)
  • PAT: ₹25.3 crore (vs. ₹20.0 crore in H1 FY26, +25.9% YoY)
  • PAT Margin: 4.8% (vs. 4.0% in H1 FY26)
  • EPS: ₹3.2

Balance Sheet Position (as of September 30, 2026)

Equity:

  • Equity Share Capital: ₹8.0 crore
  • Other Equity: ₹1,059.6 crore
  • Total Equity: ₹1,067.6 crore

Liabilities:

  • Short-term borrowings: ₹328.8 crore
  • Lease Liabilities (Current): ₹1.8 crore
  • Trade payables: ₹171.9 crore (excluding micro/small enterprises)
  • Total Current Liabilities: ₹597.4 crore
  • Total Non-Current Liabilities: ₹28.4 crore

Assets:

  • Property, plant and equipment: ₹220.7 crore
  • Right to Use Assets: ₹12.6 crore
  • Inventories: ₹619.3 crore
  • Trade receivables: ₹484.7 crore
  • Cash and cash equivalents: ₹3.5 crore
  • Other Bank Balances: ₹242.5 crore
  • Total Current Assets: ₹1,423.7 crore
  • Total Non-Current Assets: ₹269.7 crore

Key Balance Sheet Ratios:

  • Net Worth: ₹1,067.6 crore
  • Net Debt: ₹50.0 crore (Short-term borrowings of ₹332.0 crore minus Total Cash & Cash Equivalents* of ₹282.0 crore)
  • Net Working Capital: ₹929.0 crore

Sales Channel Performance

  • Exports: Contributed approximately 4% to overall revenues
  • Modern Trade: Contributed approximately 5% to overall revenues

Both channels demonstrated encouraging traction and are viewed as opportunities to expand market reach and strengthen distribution networks.

Business Overview and Growth Initiatives

Brand Portfolio: The company maintains a diversified brand portfolio across price segments including:

  • Premium segments: Macroman, Macrowoman, M-signature (including gold collection series with Rohit Bal collaboration)
  • Activewear: Bumchums range of T-shirts, Bermudas, Tracks and Muscle wear
  • Women's wear: Softline brand with 250+ colors offering leggings, lingerie and outerwear
  • Thermal wear: Rupa Frontline range for winter months

Manufacturing Capabilities:

  • Production capacity: 700,000+ finished goods per day
  • SKU range: 9,000+
  • Integrated manufacturing process covering knitting, dyeing, cutting, and stitching
  • Continuous investment in R&D for environment-friendly production

Growth Initiatives:

1. Focus on high margin business through premium brand expansion

2. Investing & expanding modern trade network including partnerships with Myntra, Nykaa, and AJIO

3. Launch of D2C store: rupabrands.com (in final stage of launch)

4. Focus on exports in new emerging markets

5. Scaling up Women's & Athleisure Segments

6. Technology modernization with integrated SAP + OMS/WMS systems

ESG & CSR Initiatives

ESG Vision: "Weaving together a sustainable future" with focus on responsible manufacturing through responsible procurement, technological innovations, and effective resource utilization.

CSR Activities: The company collaborates with Indian Cancer Society and maintains commitment to society, ecology and environment.

Share Information (as on September 30, 2026)

  • Shares outstanding: 7,95,24,560
  • Market Cap: ₹1,038 crore
  • Free-float: 26.7%
  • Free-float market cap: ₹277 crore

Dividend Policy

The company has a consistent track record of sharing profits through dividends.

#Tags: #Rupa #Q2Results #FY27 #InvestorPresentation #SEBIDisclosure #RegulatoryCompliance #FinancialUpdate #Neutral