Sai silks (kalamandir) Limited has reported strong financial performance for Q4FY26 and the full fiscal year FY26, though falling slightly short of its revenue growth guidance. The company achieved 13% annual revenue growth against its 15% guidance target, while simultaneously executing significant retail expansion with 13 new store openings.

Financial Performance Overview

The company achieved robust revenue growth across both quarterly and annual periods. For Q4FY26, Sai Silks recorded a turnover of Rs.419.00 crores compared to Rs.399.00 crores in Q4FY25, representing a 5.00% year-on-year increase. The full fiscal year FY26 demonstrated stronger performance with revenue reaching Rs.1,653.00 crores against Rs.1,462.00 crores in FY25, marking a 13.00% year-on-year growth, though this fell short of the company's 15% revenue growth guidance.

Retail Network Expansion

During FY26, Sai Silks significantly expanded its retail footprint by launching 13 new stores, adding a total of 78,618 sq. ft. of retail space. The expansion strategy focused on multiple brand formats to cater to diverse market segments.

Enhanced Store Network

Following the expansion, the company's total store network has grown to 81 stores with an aggregate retail area of approximately 7.94 lakh sq. ft. This expansion reflects the company's strategic focus on strengthening its market presence across different retail formats and geographic locations.

The business update was disclosed pursuant to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, with the information also made available on the company's website for investor access.

Sai silks (kalamandir) Limited has received a favourable outcome in the income tax proceedings involving its promoter, with the Commissioner of Income Tax substantially allowing appeals against a significant tax demand.

Appellate Orders Favour Promoter

The Commissioner of Income Tax, through appellate orders dated March 30, 2026, has allowed all appeals filed by Mr. Nagakanaka Durga Prasad Chalavadi, promoter of the company, against the income tax demand raised by the Office of the Deputy Commissioner of Income Tax. The orders have set aside the substantial tax demand that originated from search and seizure proceedings.

Minimal Liability Remains

While the appeals were largely successful, a minor portion amounting to Rs 85.79 lakhs was disallowed on account of documentation-related matters. This has resulted in an estimated tax liability of approximately Rs 50 lakhs, which the promoter will discharge from his personal sources.

No Impact on Company Operations

The company has clarified that this matter pertains solely to the promoter in his personal capacity and has no impact on the company's financial position or operations. No liability arises on the company in this regard.

Key highlights of the resolution:

• Tax proceedings arising from the search and seizure operation now stand concluded
• Company operations remain unaffected
• Financial position of the company unchanged
• All promoter-related tax matters resolved

Regulatory Compliance

This disclosure was made pursuant to Regulation 30 read with Para A of Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company had previously disclosed information about these proceedings on April 02, 2025, and has now provided this update following the conclusion of the appellate process.

With the disposal of the appeals, the tax proceedings arising from the search and seizure operation in respect of both the company and its promoter have been concluded, providing clarity on this regulatory matter.