Arvind Fashions’ net profit rises tenfold to Rs 13 crore in Q1, FY26
Prominent Indian apparel and retail powerhouse, Arvind Fashions’ net profit rose tenfold to Rs 13 crore in Q1 FY26, as compared to just Rs 1 crore in the same period last year.
The company’s revenues increased by 16 per cent Y-o-Y to Rs 1,107 crore from Rs 955 crore in Q1 FY25. This significant growth was fueled by strong traction across all sales channels, underscoring the company's effective market strategies.
A pivotal factor in this outstanding performance was the continued expansion of its direct-to-consumer (D2C) channels. The company saw an 8.1 per cent like-to-like (LTL) sales growth, complemented by over 30 per cent growth in its online B2C segment. This highlights a successful shift towards consumer-centric digital engagement.
Gross margins expanded by 60 basis points to 55.9 per cent, a testament to more disciplined pricing and reduced discounting. EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) rose by 20.3 per cent Y-o-Y to Rs 148 crore, with margins improving by 50 basis points to 13.4 per cent. This margin expansion occurred despite a strategic 140 basis points increase in advertising spend, indicating that marketing investments are yielding strong returns. The company’s Profit Before Tax (PBT) rose by 64.6 per cent Y-o-Y to Rs 39 crore in Q1 FY26.
Shailesh Chaturvedi, Managing Director & CEO, Arvind Fashions, avers, Q1 FY26 witnessed a bright start to this year with revenue growth reaching 16 per cent. This is a testimony of the company’s conscious efforts of investing in higher marketing to re-energize their industry-leading brands, leading to strong awareness and higher footfalls along with market share gains. Moving ahead, Arvind Fashions will continue to focus on their direct channel strategy, resulting in higher bottom-line & ROCE, he adds.
India’s leading casual and denim brand, Arvind Fashions boasts a diverse portfolio that includes popular international labels like U.S. Polo Assn., Tommy Hilfiger, Calvin Klein, and Arrow, alongside well-known indigenous brands such as Flying Machine.
