Marc Loire Fashions reported a 62% year-on-year decline in net profit to ₹17.7 crore for FY26, weighed down by significant one-time expenses related to its initial public offering. The company's revenue from operations also contracted by 16% to ₹353.9 crore during the period ended March 31, 2026.

Despite the drop in bottom-line profitability, the footwear brand maintained positive operating performance, posting an EBITDA of ₹27.0 crore with a margin of 7.57%. The Board attributed the sharp decline in profit after tax primarily to IPO-related costs, which amounted to ₹22.4 crore and were accounted for within other expenses during the financial year.

Financial Performance

The company raised ₹210.0 crore through its IPO in July 2025, listing its equity shares on the BSE SME platform. While the capital infusion strengthened the balance sheet, the associated issuance costs heavily impacted the current fiscal's net margins. Revenue from operations stood at ₹353.9 crore compared to ₹422.6 crore in FY25. Total income for the year was ₹357.0 crore, including other income of ₹3.1 crore.

Total expenses for the year were ₹332.8 crore. This included purchases of stock-in-trade amounting to ₹269.9 crore and employee benefit expenses of ₹11.0 crore. Finance costs decreased to ₹1.0 crore from ₹1.6 crore in the previous year.

Balance Sheet and Cash Flows

Marc Loire Fashions closed FY26 with a debt-free balance sheet. The company's net worth increased to ₹335.2 crore, supported by equity share capital of ₹71.0 crore and reserves and surplus of ₹264.2 crore. Current assets stood at ₹370.9 crore, significantly higher than current liabilities, resulting in a robust current ratio of 7.29 times compared to 1.84 times in FY25.

Cash flow from operating activities turned negative at -₹128.7 crore, largely driven by a substantial increase in inventory levels. Inventories rose by ₹92.7 crore during the year, reflecting stock buildup ahead of retail expansion. Investing activities consumed ₹67.7 crore, while financing activities yielded a marginal inflow of ₹0.4 crore. The closing cash balance was ₹23.7 crore.

Operational Highlights

The company expanded its physical footprint by opening three exclusive brand outlets in Delhi NCR by March 2026. It plans to open five additional stores in Punjab and targets reaching 15 stores nationwide by March 2027. E-commerce continued to be the dominant channel, contributing 53% of total revenue, while wholesale and other channels accounted for 41%. Offline retail contributed 6% as the company scales its omnichannel presence.

What the Numbers Show

The divergence between positive EBITDA and sharply lower net profit highlights the non-recurring nature of the drag on profitability. With operating margins holding steady at 7.57%, the core business remains profitable. The primary pressure point is the ₹22.4 crore in issue expenses, which reduced the net profit margin to 4.96% from 11.08% in the prior year. Excluding these one-time costs, the underlying operational efficiency appears stable despite the top-line contraction.

Marc Loire Fashions has fixed Tuesday, September 22, 2026, as the record date for determining e-voting eligibility for its 13th Annual General Meeting. The meeting is scheduled for September 29, 2026, to transact business for the financial year ended March 31, 2026.

The company notified the Bombay Stock Exchange on September 2, 2026, pursuant to Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Shareholders holding shares as of the cut-off date may cast votes electronically via the National Securities Depository Limited platform.

Meeting Schedule and Voting

Remote e-voting will commence on Friday, September 25, 2026, at 9:00 am and conclude on Monday, September 28, 2026, at 5:00 pm. The book closure period runs from September 23, 2026, to September 29, 2026.

Physical attendance is dispensed with in compliance with Ministry of Corporate Affairs circulars permitting meetings via Video Conferencing or Other Audio Visual Means (VC/OAVM).

Board Appointments

The agenda includes the reappointment of Mr. Arvind Kamboj as a director under Section 152 of the Companies Act, 2013. He retires by rotation and offers himself for reappointment.

Shareholders will also vote on two special resolutions to appoint new independent directors:

• Mr. Saurav Gupta: Proposed appointment as a Non-Executive Independent Director for a first term of five years, from November 15, 2025, to November 14, 2030. He brings over eight years of experience in sales and marketing, previously serving as Senior Manager at Mezzex Ltd.
• Ms. Yamini Soni: Proposed appointment as a Non-Executive Independent Director for a first term of five years, from November 15, 2025, to November 14, 2030. She possesses over seven years of marketing experience, including leadership roles at BLK Hospital and CloudNine Hospital.

Both appointees were initially appointed as Additional Directors effective November 15, 2025. They are not liable to retire by rotation and will receive sitting fees and expense reimbursements as determined by the Board. Neither holds shares in the company.

Participation Guidelines

Members can join the VC/OAVM meeting 15 minutes before the scheduled start time. The facility is available to 1,000 members on a first-come, first-served basis, excluding large shareholders holding 2% or more, promoters, institutional investors, and key managerial personnel who have unrestricted access. Questions regarding the business specified in the notice must be submitted via email to csvasant@marcloire.in by Saturday, September 19, 2026.