Textile and apparel company Arvind Ltd posted its Q1 FY26 results on Tuesday, garnering a consolidated revenue of Rs 2,006 crore, up 10% from the corresponding period’s Rs 1,831 crore.
Core businesses drive growth
In a media statement, the company maintained that its stable first-quarter performance was spearheaded by a healthy volume growth in its core fabric and garmenting businesses despite headwinds such as shifting sourcing strategies due to the US tariffs and industry-wide cost pressures.
Profit after taxes (PAT) grew 30% year-on-year (YoY) to Rs 53 crore from the previous period’s Rs 39 crore, while Arvind’s earnings before interest, taxes, depreciation and amortisation (EBITDA) rose 14% to Rs 186 crore from Q1 FY25’s Rs 163 crore.
EBITDA margin for this quarter stood at 9.3%. Arvind noted that the margins were temporarily impacted by higher costs, discounts and air freight due to tariff-led disruptions.
Textiles lead the charge
Across the company’s product portfolio, denim fabric registered a 9% growth at 13 million (Mn) meters, woven fabric registered an 8% growth at 29 Mn meters, while the garmenting division grew 6% to almost touch 10 Mn pieces for the first time in the past 3 years. This growth is attributed to improved realisations, aligning with evolving customer demand and expansion into newer categories.
The textile division spearheaded Arvind’s growth this quarter, recording a 14% revenue growth of Rs 1,536 crore with an EBITDA of Rs 130 crore, translating to a margin of 8.4%. This revenue includes the garmenting division, which earned revenues of Rs 485 crore, its highest ever quarterly performance.
Company guidance for Q2 full year FY26 demonstrates a strong order book within both the textiles and Advanced Materials Division (AMD), a 14-17% volume growth for garments in FY26 and improved business performance in the second half of the year, with both the garment and AMD segments poised for double-digit growth and margin expansion. Additionally, key defence and high-value customer programs in the AMD segment are expected to grow in the second half, with capital investments ranging from Rs 450 crore to Rs 475 crore planned for the full year.
