Vardhman Textiles Q1FY26 Results: Consolidated Net Profit Rises to ₹207.7 Cr; Margins Remain Resilient

Ludhiana, July 22, 2025 – Vardhman Textiles Ltd (NSE: VTL | BSE: 502986)  posted a Q1FY26 net profit of ₹207.7 crore, down 13% QoQ amid stable demand. Revenue rose 3.3% YoY to ₹2,385.7 crore, while margins held firm despite lower EBITDA and PBT. Spindle expansion remains on track.

Key Consolidated Financial Highlights (₹ in crore)

Vardhman Textiles Ltd announced its Q1FY26 consolidated financial results with a modest growth in revenue on a year-on-year basis but a fall in profitability ratios. Revenue from operations was ₹2,385.66 crore, up 3.3% from ₹2,308.59 crore in Q1FY25 but down 4.9% QoQ from ₹2,508.57 crore in Q4FY25. Total income was ₹2,455.96 crore, up 3.4% YoY but down 6.6% QoQ. EBITDA also dipped 5.8%. EPS dropped to ₹7.28 from ₹8.38 a year ago, reflecting margin pressure despite stable revenue growth.

EBITDA estimated from available expense breakdown and PBT

Standalone vs Consolidated Profit Summary

Segment-Wise Revenue (Consolidated)

Textiles remains the dominant segment, with Acrylic Fibre contributing marginally.

Strategic Developments

• During Q1FY26, the company issued 52,000 equity shares under the Employee Stock Options Scheme, increasing the paid-up share capital from ₹57.83 crore to ₹57.85 crore.
• The group’s share of profit from associates stood at ₹12.06 crore in Q1FY26, marginally lower than ₹12.69 crore in Q4FY25.

Management Commentary

S.P. Oswal, Chairman & Managing Director, stated in the board note:

“Despite a softer quarter compared to the previous, our core textile business remained resilient, supported by steady operational performance. We continue to maintain a sharp focus on cost efficiencies and value-added product growth.”

Balance Sheet Snapshot (as of June 30, 2025)

Stock Performance

As of market close on July 22, 2025, shares of Vardhman Textiles Ltd (NSE: VTL) settled at ₹484.00, down ₹16.65 or 3.33% for the day. The stock opened at the same level and touched an intraday high of ₹501.55 and a low of ₹489.25. The volume-weighted average price (VWAP) stood at ₹494.76, with total traded volume at 1.31 lakh shares and turnover of ₹6.50 crore. The company’s market capitalization was ₹14,270.45 crore, while the free float market cap stood at ₹5,086.05 crore.

The stock is currently trading well within its 20% circuit band, with an upper limit of ₹600.75 and a lower limit of ₹400.55. It has a 52-week high of ₹592.00 (hit on July 30, 2024) and a 52-week low of ₹361.10 (hit on March 4, 2025). Market interest was slightly tilted toward selling, with sell quantity at 78,230 shares outweighing buy quantity of 37,829 shares. The stock remains part of the NIFTY 500 index and continues to reflect moderate investor sentiment despite a fundamentally steady quarter.

Company Overview

Vardhman Textiles Ltd is a vertically integrated textile manufacturer headquartered in Ludhiana, Punjab. Listed on NSE and BSE, the company operates across yarns, fabrics, garments, fibres, threads, and steels. Its extensive pan-India manufacturing network and exports make it a key player in India’s textile sector.

REF: https://nsearchives.nseindia.com/corporate/VTL_22072025121020_VTL.pdf

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