Indo Count Industries

IndoCount Industries delivered 7% quarter-on-quarter volume growth to 25.2 million meters and 12% revenue increase to Rs 1,082 crores in Q2 FY26, despite facing margin pressure from 50% US tariffs on Indian imports imposed in late August 2025. The company signed a licensing agreement with Tommy Hilfiger for utility bedding products and saw its utility bedding and US branded segments grow to 17% of revenue, while maintaining market share through strategic customer partnerships during the challenging tariff environment.

IndoCount Industries Limited announced its quarterly results for the quarter and half year ended September 30, 2025. On a standalone basis, the company reported revenue from operations of Rs 82,796.20 lakhs for the quarter, compared to Rs 73,326.67 lakhs in the previous quarter and Rs 99,102.60 lakhs in the same quarter last year. Net profit for the quarter stood at Rs 4,226.87 lakhs versus Rs 4,028.08 lakhs in the previous quarter and Rs 8,304.73 lakhs in the corresponding quarter of the previous year. On a consolidated basis, revenue from operations was Rs 1,06,213.79 lakhs for the quarter against Rs 95,870.60 lakhs in the previous quarter and Rs 1,03,585.32 lakhs in the same quarter last year. Consolidated net profit for the quarter was Rs 3,902.57 lakhs compared to Rs 3,901.98 lakhs in the previous quarter and Rs 8,037.87 lakhs in the year-ago quarter. The company's earnings per share on a standalone basis was Rs 2.13 for the quarter. The Board of Directors approved these results at their meeting held on November 11, 2025.

IndoCount Industries delivered volume growth of 7% and revenue growth of 12% on a quarter-on-quarter basis in Q2 FY26, despite facing challenging tariff conditions. U.S. tariff rates moved from 10% to 25% and subsequently to 50% during the quarter, creating a volatile operating environment. The company chose to share a portion of the additional tariff costs with customers on a case-by-case basis, which impacted margins. Revenue reached Rs. 1,082 crores with volumes of 27.8 million meters. The company reduced net debt by Rs. 175 crores during H1 FY26, maintaining a net debt-to-equity ratio of 0.34x. New business segments including utility bedding and USA brand business recorded revenue of Rs. 181 crores in Q2 FY26, up 40% quarter-on-quarter. The company signed a license agreement with Tommy Hilfiger brand for utility bedding business, adding to its portfolio of six licensed brands. Non-U.S. core business contributed 30% to overall revenue mix, while domestic business contributed 2.25%. EBITDA margin was impacted due to partial tariff absorption, adverse product mix, and incubation costs of new business. The company is commissioning its third manufacturing unit for utility bedding in the USA by end of Q3 or early Q4 FY26.