New Delhi : RSWM Ltd. (BSE: 500350/NSE: RSWM) one of the largest manufacturers of value-added synthetic, mélange, blended spun yarns, denim fabric, knitted fabric, and green polyester fibers in India, today announced its unaudited financial results for the Q1 FY26 period, which ended on 30th June 2025.
Q1 FY26 Financial Performance Highlights:
Revenue:
RSWM reported revenue of ₹1,169 crore in Q1 FY26, a slight decline of 3.2% YoY on account of subdued export demand.
Gross Profit & Margin:
Gross profit stood at ₹440 crore, improving by 1.3% YoY. Our gross profit margin strengthened to 37.3%, up 152 bps YoY and 307 bps on a QoQ basis, driven by better cost optimization and product mix improvement.
EBITDA & Margin:
EBITDA reached ₹81 crore, a robust 50.6% YoY growth. The EBITDA margin expanded to 6.9%, up 243 bps YoY and 63 bps QoQ.
PAT & Margin:
PAT surged to ₹7 Cr from a ₹13.7 Cr loss in Q1 FY25, marking a strong turnaround. PAT margin rose to 0.60%, up 46 bps QoQ and reversing last year’s negative margin.
Business Highlights:
Global Trade & Policy Shifts:
India–UK FTA offers tariff advantages; India–EU talks could boost sustainable exports. Inflation, tariffs, and geopolitical tensions are reshaping procurement and demand patterns.
Strategic Growth & Efficiency:
Streamlining processes, cutting waste, and tightening financial discipline for better efficiency. Prioritizing higher-margin synthetic yarns, export focus, and lean inventory to improve cash flow.
Standalone Financial Performance for Q1 FY26:
Parameters (₹ in Cr.) | Quarterly | Yearly | ||||
Q1 FY26 | Q4 FY25 | QoQ | Q1 FY25 | YoY | FY25 | |
Sales | 1,169.2 | 1,255.8 | (6.9%) | 1,207.9 | (3.2%) | 4,825.3 |
Gross Profit | 440.0 | 432.4 | 1.8% | 434.1 | 1.3% | 1,728.5 |
Gross Margin | 37.3% | 34.2% | 307 bps | 35.7% | 152 bps | 35.6% |
EBITDA | 81.0 | 78.8 | 2.9% | 53.8 | 50.6% | 232.8 |
EBITDA Margin | 6.9% | 6.2% | 63 bps | 4.4% | 243 bps | 4.8% |
PAT | 7.0 | 1.6 | 4.4x | (13.7) | – | (41.3) |
PAT Margin | 0.6% | 0.1% | 46 bps | – | – |
Commenting on the results, Mr. Riju Jhunjhunwala, CMD of RSWM Limited, said,
“FY26 will be a pivotal year for the Indian textile sector as global dynamics evolve. Our industry continues its growth journey, supported by stable domestic demand, strong manufacturing capabilities, and a sharper focus on sustainability. The India–UK FTA marks a key milestone, placing India on par with global competitors in the UK apparel market. Strong supply chains, trusted partnerships, and reliable delivery networks position us to meet rising demand, with full benefits expected by FY27.
The ongoing India–EU FTA signals a major opportunity, as the EU’s focus on ESG-aligned sourcing aligns with India’s strengths in organic cotton, handloom textiles, and recycled fibres. European buyers are increasingly seeking responsible, high-value sourcing, further strengthening India’s regional relevance. Looking ahead, our focus remains on enhancing operational agility, advancing ESG objectives, and expanding global presence. With continued policy support, progressive trade agreements, and strong customer engagement, RSWM is poised to become a leading force in the global textile value chain. We remain committed to innovation, sustainability, and delivering long-term value to all stakeholders.”
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