Arvind Fashions Limited (AFL) reported a strong performance for the third quarter ended 31st December 2025, with revenue rising 14.5% year-on-year to Rs. 1,377 crore (US $ 149 million), driven by sustained momentum in its D2C channels, according to a regulatory filing.
Earnings before interest, tax, depreciation and amortisation (EBITDA), excluding other income, increased 18% to Rs. 195 crore (US $ 21.20 million) from Rs. 165 crore (US $ 17.94 million) a year earlier. The EBITDA margin improved by 40 basis points to 14.2%, supported by gross margin expansion and operating leverage. Gross margins rose by 50 basis points to 55.4%, aided by a richer channel mix and cost efficiencies.
Retail like-to-like (LTL) growth stood at 8.2% during the quarter, while the online business-to-consumer (B2C) segment recorded nearly 50% growth. Wholesale channels also continued to deliver double-digit secondary growth.
For the nine months ended December 2025, the company’s revenue grew 13.7% year-on-year to Rs. 3,901 crore (US $ 424 million). Profit after tax (PAT) from continuing operations, excluding the impact of the Code on Wages, rose 65.2% to Rs. 44 crore (US $ 4.78 million). Reported PAT stood at Rs. 26 crore (US $ 2.82 million), compared with Rs. 28 crore (US $ 3.04 million) in the corresponding quarter last year. Net working capital days remained stable, supported by healthy inventory turns.
Commenting on the performance, Amisha Jain, Managing Director and Chief Executive Officer of Arvind Fashions, said that the third quarter of FY ’26 represented another strong period for the company, underpinned by consistent execution across its direct-to-consumer channels. She added that the company’s focus going forward would remain on accelerating growth across its marquee brands through direct channels, premiumisation, retail expansion and scaling up adjacent categories.
For the nine-month period, EBITDA grew 16.3% year-on-year to Rs. 515 crore (US $ 56 million), while PAT, excluding the impact of the Code on Wages, increased 63.3% to Rs. 94 crore (US $ 10.22 million), reflecting sustained operating momentum across the business.
