Bengaluru-based men’s apparel brand The Indian Garage Co more than doubled its scale in the financial year ended 31st March 2025, but slipped into losses as a sharp rise in operating expenses outpaced revenue growth.
According to financial statements filed with the Registrar of Companies, the direct-to-consumer apparel firm reported operating revenue of Rs. 204 crore (US $ 22.49 million) in FY ’25, up from Rs. 101.5 crore (US $ 11.19 million) in FY ’24. Total income rose to Rs. 207 crore (US $ 22.82 million) during the year, compared with Rs. 103 crore (US $ 11.35 million) in the previous fiscal, with revenue from the sale of its products remaining the company’s sole source of income.
The Indian Garage Co designs, manufactures and sells men’s apparel under its own brands, catering to the mass-premium segment. However, the company’s aggressive expansion came at a significant cost.
Material costs remained the largest expense, accounting for nearly 44% of total expenditure. This cost increased 142% year-on-year to Rs. 104 crore (US $ 11.46 million) in FY ’25 from Rs. 43 crore (US $ 4.74 million) in FY ’24. Job work charges rose 193% to Rs. 41 crore (US $ 4.52 million), while employee benefit expenses jumped 240% to Rs. 17 crore (US $ 1.87 million).
Depreciation expenses trebled to Rs. 18 crore (US $ 1.98 million), and transportation and distribution costs increased 38.5% to Rs. 18 crore (US $ 1.98 million). Other overheads contributed a further Rs. 39.5 crore (US $ 4.35 million) to overall costs. As a result, total expenditure surged 147% to Rs. 237.5 crore (US $ 26.18 million) in FY ’25 from Rs. 96 crore (US $ 10.58 million) in FY ’24.
With costs rising faster than revenue, the company reported a net loss of Rs. 23 crore (US $ 2.53 million) for FY ’25, reversing a profit of Rs. 5 crore (US $ 551,000) in FY ’24. Its return on capital employed stood at -10.44%, while the EBITDA margin was -6.37%.
The Indian Garage Co has raised US $ 17 million in funding to date, with the Aditya Birla Group as its lead investor. Founder and chief executive Anant Tanted holds a 32.34% stake in the company.
