Raymond Lifestyle is aiming to double its revenue over the next three to five years while growing earnings at an even faster pace, as the apparel and textile company sharpens its focus on exports, premium brands, digital capabilities and operational efficiency.

Speaking to FE, chief executive officer Satyaki Ghosh said the company expects its garmenting business to accelerate through FY27 as orders from the UK and Europe gather pace, aided by free trade agreements and the China-plus-one sourcing strategy.

Raymond Lifestyle derives around a fifth of its revenue from exports. In the June quarter, the garmenting business grew 50% year-on-year even as the company’s overall performance remained subdued.

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For the quarter ended June, Raymond Lifestyle reported a 5.9% year-on-year increase in revenue to Rs 1,515.5 crore, while Ebitda rose 16.6% to Rs 89.8 crore. Ebitda margin expanded to 6% from 5% a year ago. The company reported a net loss of Rs 23 crore, compared with a loss of Rs 20 crore in the year-ago quarter.

“If turnover doubles, Ebitda has to grow more than double in three to five years’ time,” Ghosh said, adding that premiumisation-led profitable growth would drive margin expansion.

Exports are expected to become a much larger growth engine. Ghosh said Raymond is seeing strong demand from Europe following the India-UK free trade agreement, with enquiries increasing across the region. The company already manufactures more than half the suits sold globally by British menswear retailer Charles Tyrwhitt and is now winning business in categories such as shirts.

“We have got three new customers in Poland, one in Germany and one in France,” he said. “In three years’ time, we should be a Rs 2,000 crore-plus business in exports.”

To support the order pipeline, Raymond Lifestyle will invest more than Rs 200 crore this year in manufacturing capacity, technology and digital infrastructure. The company is expanding its new garment factory in Andhra Pradesh, where three production lines are operational and seven more are being added. The new lines will be commissioned in phases beginning October.

On the domestic front, Ghosh acknowledged that branded apparel remains intensely competitive, particularly with the rise of digital-first brands. The company is focusing on improving store economics, refreshing brand identities and strengthening digital and direct-to-consumer capabilities before resuming a faster retail expansion.

Branded apparel, which contributes about 23% of revenue, posted 4% year-on-year growth to Rs 349 crore in the June quarter. Branded textiles, Raymond Lifestyle’s largest business accounting for around 45% of revenue, declined 2% to Rs 684 crore. The company also rationalised its retail network, reducing its store count by 48 over the past year to 1,627.

Raymond Lifestyle is also investing in enterprise software, demand-planning systems, design technology and artificial intelligence. According to Ghosh, AI has reduced marketing production costs by 50-60%, while the company’s AI-powered customer service platform handled over 620,000 customer calls last year.

The company is also integrating its supply chain across fabrics, garments and branded apparel, while stepping up investments in renewable energy and other ESG initiatives.

E-commerce currently contributes about 12% of revenue, but Ghosh expects the channel to grow as Raymond upgrades its websites, performance marketing and social commerce capabilities.

Looking ahead, the company expects a stronger second half of FY27, supported by the festive season, weddings and winter demand. Ghosh said delayed festivals and a favourable wedding calendar should boost premium apparel sales, adding that retailer bookings have been encouraging.