Textile and apparel manufacturer Arvind Ltd. reported a 25% increase in profits to Rs. 54.7 crore (US $ 6.26 million) in the first quarter of the fiscal year 2025–2026, driven by increased revenues from its textile and advanced materials divisions.
Q1 exhibited the impact of shifting sourcing methods due to new US tariffs and industry-wide cost constraints. The company stated that it is still on track to produce better revenue and margin performance in the second half of the year, in line with its customary 40:60 H1-H2 split, despite these challenges. It also recorded robust volume growth in its core fabric and garmenting operations.
The company’s first-quarter revenue of Rs. 2,006 crore (US $ 229 million) represented a 9.6% year-over-year increase. This gain was mostly driven by a 14% increase in the textiles segment, which includes fabrics and clothing, generating Rs. 1,535 crore (US $ 175 million) in revenue between April and June 2025. A gain of 7% was attributed to advanced materials, which include automotive fabrics, industrial products, advanced composites, and human protection clothing and fabrics.
Due to a 13.5% YoY drop in operating revenue of Rs 118.2 crore (US $ 13.52 million), Arvind Fashions Ltd., a demerged entity from Arvind Ltd., reported a fourfold year-over-year increase in standalone net losses for the first quarter ending in June, totalling Rs 22.9 crore (US $ 2.62 million).
On a consolidated basis, however, Arvind Fashions’ first-quarter net profit increased to Rs 13 crore (US $ 1.48 million) from Rs 1 crore (US $ 114,000) in the same period last year. At Rs 1,107 crore (US $ 126 million), consolidated revenue increased 16% year over year.
According to Shailesh Chaturvedi, managing director of Arvind Fashions, the first quarter showed a strong start to the fiscal year, with revenue increasing 16%. The company’s web channel grew by more than 30%. Compared to the same period previous fiscal year, the online B2C channel’s contribution grew from 13% to 15% in the current quarter.
Arvind’s fabric division, which includes denim and woven, saw double-digit revenue growth in Q1 FY ’26 thanks to strong single-digit volume increase and better realisations. With 9.8 million pieces produced per quarter, the clothing division reached its best output in three years and is on pace to meet the 42–45 million piece annual run-rate goal. In order to meet changing consumer demands, the business also kept branching out into additional markets like knits, it noted.
Sharing the company’s view for the future, particularly in the US, where important tariff and policy negotiations are still going on, the international trade situation is still unclear. The newly concluded UK-India Free Trade Agreement, on the other hand, is anticipated to change sourcing preferences in India’s favour and open up new export markets for the textile industry. At home, the Indian textile and clothing sector is beginning to rebound, and an early holiday season is predicted to keep things moving forward.
