Modern Threads Q1 Results: Net profit up 9,800% YoY to ₹588 lakh
Modern Threads (India) Limited delivered strong Q1FY26 results with net profit soaring to ₹588.44 lakh from ₹0.63 lakh YoY. Revenue grew 23.8% to ₹8,661.69 lakh. Standalone PAT was ₹572.95 lakh. EPS rose to ₹1.69 from nil.
*this image is generated using AI for illustrative purposes only.
Modern Threads (India) Limited reported a net profit of ₹588.44 lakh for the quarter ended June 30, 2026, marking a substantial recovery from the negligible profit of ₹0.63 lakh recorded in the corresponding quarter of FY25. The textile manufacturer’s revenue from operations expanded by 23.8% year-on-year to ₹8,661.69 lakh, reflecting robust top-line growth alongside improved bottom-line performance.
The company’s board of directors approved the unaudited consolidated financial results in a meeting held on August 14, 2026. The results were subsequently published in Kranti Tarang and The Indian Express on August 15, 2026, in compliance with Regulation 30 and Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Financial Performance
Revenue from operations stood at ₹8,661.69 lakh for Q1FY26, compared to ₹6,986.41 lakh in Q1FY25. This growth outpaced the sequential increase from ₹7,450.34 lakh in the final quarter of FY25. Other income contributed ₹271.84 lakh to the total income, down from ₹375.30 lakh in Q4FY25 but significantly higher than the ₹174.98 lakh recorded in Q1FY25.
Total expenses for the quarter were ₹8,129.85 lakh, an increase from ₹7,132.44 lakh in the prior year period. Despite the rise in costs, the profit before tax jumped to ₹803.68 lakh from just ₹28.95 lakh a year ago. Tax expense was recorded at ₹215.24 lakh.
| Metric: | Q1FY26 | Q1FY25 | Change |
|---|---|---|---|
| Revenue from Operations: | ₹8,661.69 lakh | ₹6,986.41 lakh | +23.8% |
| Total Income: | ₹8,933.53 lakh | ₹7,161.39 lakh | +24.7% |
| Profit Before Tax: | ₹803.68 lakh | ₹28.95 lakh | +2,675.7% |
| Net Profit After Tax: | ₹588.44 lakh | ₹0.63 lakh | +93,065.1% |
Standalone Results
On a standalone basis, Modern Threads reported revenue from operations of ₹8,942.70 lakh for the quarter. The standalone profit before tax was ₹787.33 lakh, while the net profit after tax stood at ₹572.95 lakh. These figures indicate that the parent entity contributed significantly to the overall consolidated performance.
What the Numbers Show
The divergence between the consolidated net profit (₹588.44 lakh) and standalone net profit (₹572.95 lakh) suggests minimal contribution from subsidiaries or associates in terms of bottom-line impact during the quarter. Additionally, the sharp rise in profit before tax relative to revenue growth indicates improved operational efficiency or margin expansion, as expenses grew at a slower pace than revenue.
Comprehensive Income
Other comprehensive income for the period was ₹47.82 lakh, leading to a total comprehensive income of ₹636.26 lakh. This compares to a total comprehensive income of ₹4.50 lakh in Q1FY25. The paid-up equity share capital remained unchanged at ₹3,477.52 lakh, with a face value of ₹10 per share.
Earnings per share (basic and diluted) were reported at ₹1.69 for Q1FY26, a notable improvement from ₹0.00 in the previous year’s quarter. The full format of the financial results is available on the company’s website and the stock exchange portals.
Historical Stock Returns for Modern Threads
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +16.84% | +16.94% | +17.33% | +28.32% | +20.59% | +168.62% |
Will Modern Threads sustain its margin expansion trajectory in Q2FY26, or is the current efficiency gain a one-off result of favorable input costs?
How does the company plan to allocate the significant increase in net profit, particularly regarding dividend payouts versus reinvestment in capacity expansion?
Given the minimal contribution from subsidiaries, are there strategic plans to integrate or expand associated entities to drive future consolidated growth?
17
Create Custom Screeners 
Access 200+ Pre-built Filters 
Use 50+ Readymade Screener 
