Arvind Ltd reports a 25% rise in quarterly revenue driven by record denim volumes and strong demand in advanced materials, signalling a robust recovery and growth outlook amid ongoing capacity expansions and strategic acquisitions.
Arvind Ltd reported a sharp rise in first-quarter performance, with consolidated revenue climbing 25% year on year to INR2,501 crore and EBITDA increasing 39% to INR258 crore, as stronger textile volumes and record results in advanced materials helped lift margins. The company’s EBITDA margin widened by 104 basis points to 10.3%, according to its latest earnings update.
The standout in the quarter was denim. Fabric volume reached 17.5 million metres, a 16-quarter high and a 34% increase from a year earlier, reflecting both healthy demand and market-share gains. Executive Vice Chairman Punit Lalbhai said on the earnings call that the company had traded some margin for growth in textiles, after a rapid rise in input costs disrupted pricing. He said the pressure was temporary and that pass-through of higher raw material prices was already under way.
Advanced Materials also delivered a record quarter, with revenue and EBITDA at their highest levels to date. The company said the India business in that division grew 40%, while the broader segment benefited from higher demand in human protection and composites. Lalbhai said the division’s long-term structure remained intact despite some near-term constraints from capacity and delayed capital spending. Arvind said it expects the business to keep expanding, even as some of the new capacity is still to come on stream.
Arvind also completed its maiden qualified institutional placement, raising INR500 crore in an issue that was oversubscribed several times. The proceeds are expected to help bring net debt back towards pre-acquisition levels after the purchase of Dalco-GFT. Lalbhai said the acquisition strengthens the company’s global footprint, while additional steps such as a UK design gallery and manufacturing partnerships in Bangladesh and Egypt are intended to deepen supply-chain resilience. In garmenting, he said margins should gradually improve over 18 to 24 months as newer plants scale up, while the partnership-led model could support faster capacity growth with lower capital intensity.
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