Credo Brands Marketing Limited has submitted its quarterly compliance certificate under SEBI depositories regulations for the quarter ended March 31, 2026. The submission was made to both BSE Limited and National Stock Exchange of India Limited on April 09, 2026.

Regulatory Compliance Submission

The company submitted the mandatory certificate under Regulation 74(5) of the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018. This quarterly submission is a standard regulatory requirement for listed companies to ensure compliance with dematerialisation processes.

Certificate Details

MUFG Intime India Private Limited, serving as the company's Registrar and Transfer Agent, issued the confirmation certificate. The certificate confirms that all securities received from depository participants for dematerialisation during the quarter were properly processed according to regulatory timelines.

A notable aspect of this quarter's submission is that no dematerialisation requests were received from shareholders during the quarter ended March 31, 2026. This was specifically mentioned in the certificate issued by MUFG Intime India Private Limited.

Company Information

Credo Brands Marketing Limited, formerly known as Credo Brands Marketing Private Limited, operates under the MUFTI brand. The company is headquartered at Plot No. B-8, MIDC Central Road, Marol MIDC, Andheri (E), Mumbai. The submission was signed by Sanjay Kumar Mutha, Company Secretary and Compliance Officer.

Registrar and Transfer Agent

MUFG Intime India Private Limited, formerly Link Intime India Private Limited, serves as the company's Registrar and Transfer Agent. The certificate was signed by Deepak Tambe, Assistant Vice President, confirming that all regulatory requirements for dematerialisation processes have been met during the quarter.

Credo Brands Marketing (MUFTI) reported Q3 FY26 financial results showing revenue decline amid ongoing brand transformation initiatives. The company held its earnings conference call on February 10, 2026, discussing performance for the quarter and nine months ended December 31, 2025.

Financial Performance Overview

The company's financial metrics for Q3 FY26 reflected challenging market conditions in the apparel industry:

For the nine months period, the company reported revenue of ₹430 crores compared to ₹465 crores in the corresponding period of FY25. Nine-month EBITDA stood at ₹113 crores with margin of 26.2%, while PAT reached ₹32 crores representing 7.5% margin.

MUFTI 2.0 Transformation Strategy

The company continues implementing its MUFTI 2.0 transformation focused on premiumization across three key areas: store experience, merchandise quality, and brand storytelling. During Q3 FY26, 12 stores under the new retail identity were opened, bringing the total to 20 premium format stores by quarter-end.

Management indicated plans to close 21 stores and add 6 new locations in Q4 FY26, resulting in net reduction of 10 stores for the full year to approximately 431 total stores.

Marketing Investment Strategy

The company significantly increased its marketing focus, with advertising and branding spend reaching approximately 5% of revenue for nine months FY26. Management announced plans to further increase this to 8-10% of revenue for the next year, even if it impacts short-term profitability.

Chairman and Managing Director Kamal Khushlani explained the rationale: "As the market keeps changing and market keeps evolving, there is new brands, new things that come into the market. So to stay relevant, you have to change your course."

Operational Improvements

Despite revenue challenges, the company achieved notable working capital improvements:

The improvement reflected stronger collections and tighter credit discipline across channels, though the cycle remains structurally higher due to the company's deliberate risk absorption model.

Market Challenges and GST Impact

Q3 FY26 proved challenging for the apparel industry, marked by cautious consumer sentiment and lower footfalls. The festive season performance did not meet expectations, impacting overall sales momentum.

Gross margins were temporarily affected by recent GST reforms as the company consciously passed tax benefits to customers on products priced below ₹2,500 while avoiding price increases on products above ₹2,500. This measured approach aimed to protect volumes during the softer demand phase.

Digital Performance and Future Outlook

The company reported strong digital growth with website business increasing 87% over the previous year period. Management expects to see growth benefits from spring/summer 2026 onwards as transformation initiatives gain traction.

CFO Rasik Mittal noted that EBITDA margin should reach approximately 25% by Q4 end, while gross margins are expected to be sustained going forward. For FY26, the company anticipates revenue to be 5-6% lower than the previous year.