Sportking India Q1 PAT Surges 123% YoY to ₹76 Cr

Revenue and Profitability:

Revenue from operations stood at ₹703.7 crore for Q1 FY27, representing a 20.1% year-on-year increase from ₹585.8 crore in Q1 FY26
Gross Profit increased 46.0% YoY to ₹228.0 crore in Q1 FY27 from ₹156.1 crore in Q1 FY26
Gross Margin expanded by 575 basis points to 32.4% from 26.7% YoY
EBITDA reached ₹132.2 crore, showing 90.3% YoY growth from ₹69.5 crore in Q1 FY26
EBITDA Margin improved by 693 basis points to 18.8% from 11.9% YoY
Profit Before Tax (PBT) stood at ₹102.2 crore, registering 119.9% YoY growth
Profit After Tax was ₹76.0 crore, showing 122.8% YoY growth from ₹34.1 crore
PAT Margin expanded by 498 basis points to 10.8% from 5.8% YoY
EPS stood at ₹6.0 compared to ₹2.7 in Q1 FY26

Sequential Performance (Q1 FY27 vs Q4 FY26):

Production and Sales Volume:

Total Production Volume stood at 20,120 MT in Q1 FY27
Yarn Sales Volume for Q1 FY27 stood at 20,492 MT compared to 20,327 MT in Q1 FY26, showing modest growth

Odisha Greenfield Expansion:

Execution of the 150,000-spindle greenfield expansion project in Odisha remains on track
Construction activities are currently underway
The first phase of production is expected to commence during the third quarter of the current fiscal year (Q3 FY27)

Solar Power Project:

Mr. Munish Avasthi, Chairman & Managing Director, commented on the results:

Performance Drivers:

Strong start to FY27 with revenue growing 20.1% year-on-year and profitability more than doubling
Performance supported by improved realizations, healthy spreads, and continued focus on operational excellence
All key margins witnessed significant expansion on both year-on-year and sequential basis
Reflects favorable market conditions as well as disciplined execution across the business

Industry Environment:

Textile industry operates in an evolving environment marked by geopolitical developments and changing trade dynamics
Demand trends across key export markets remained stable during the quarter
Europe witnessing improving traction
Implementation of India-UK Free Trade Agreement is a significant positive for Indian textile sector
Expected to enhance competitiveness in one of the world's largest apparel markets
Geopolitical tensions in certain regions continued to impact logistics and supply chains
Industry has adapted well to these challenges and remained resilient

Outlook:

Remain optimistic about demand prospects
Upcoming festive season coupled with improving sentiment across domestic and international markets expected to support consumption and order flows in coming quarters
Government's decision to temporarily remove import duty on cotton has improved cotton availability
Brought greater stability to raw material markets, which should benefit textile value chain
Confident in long-term prospects of Indian textile industry
Believe Sportking is well positioned to benefit from opportunities ahead
Continued focus on quality, operational excellence and timely capacity expansion will support sustainable growth and value creation

Established in 1989
Leading textile company with 3 state-of-the-art manufacturing facilities in India
Produces diversified range of grey and dyed textile yarns for weaving and knitting industry
Serves domestic and international markets
Presence in more than 30 countries