Sutlej Textiles and Industries Limited delivered a mixed set of results for Q4FY26, with a sharp recovery in operating performance offset by a wider net loss on a consolidated basis. The company's EBITDA more than doubled year-on-year at both standalone and consolidated levels, reflecting improved operational efficiency, even as bottom-line pressures persisted during the quarter. The company is one of India's largest manufacturers of value-added dyed yarns — spanning synthetic and cotton mélange — with a growing presence in home textiles and green fibre, and exports to more than 60 countries across major developed and emerging economies.

Standalone Financial Performance – Q4FY26 & FY26

On a standalone basis, Sutlej Textiles reported total income of Rs 699 Cr in Q4FY26, up 3.8% year-on-year from Rs 674 Cr in Q4FY25, and up 9.3% sequentially from Rs 640 Cr in Q3FY26. EBITDA surged 115% YoY to Rs 37 Cr from Rs 17 Cr in Q4FY25, with EBITDA margin expanding by 276 basis points to 5.3% from 2.6%. For the full year FY26, standalone total income stood at Rs 2,585 Cr versus Rs 2,665 Cr in FY25, a decline of 3%, while EBITDA improved 24.9% to Rs 85 Cr from Rs 68 Cr, with margin expanding 74 bps to 3.3%.

The following table presents the standalone profit and loss highlights:

Consolidated Financial Performance – Q4FY26 & FY26

On a consolidated basis, total income for Q4FY26 stood at Rs 699 Cr, up 1.9% YoY from Rs 686 Cr in Q4FY25 and up 9.3% sequentially. Consolidated EBITDA rose 115.70% YoY to Rs 35 Cr from Rs 16 Cr, with EBITDA margin expanding 264 bps to 5% from 2.4%. However, the consolidated net loss widened to Rs 18 Cr in Q4FY26 from Rs 13 Cr in Q4FY25, a deterioration of 44.4%. For FY26, consolidated total income was Rs 2,594 Cr versus Rs 2,699 Cr in FY25 (-3.9%), while EBITDA improved 10.3% to Rs 71 Cr from Rs 65 Cr. The full-year consolidated net loss widened to Rs 86 Cr from Rs 68 Cr, a deterioration of 26.2%.

The following table presents the consolidated profit and loss highlights:

Segment Performance – Yarn Business

The yarn segment reported segment revenue of Rs 649 Cr in Q4FY26, up from Rs 627 Cr in Q4FY25 and Rs 591 Cr in Q3FY26. Sales volume improved to 25,611 tons in Q4FY26 from 24,604 tons in Q4FY25, while capacity utilization stood at 89% versus 92% in Q4FY25. Segment EBIT turned positive at Rs 9 Cr in Q4FY26, compared to Rs -5 Cr in Q4FY25 and Rs 1 Cr in Q3FY26, indicating a meaningful recovery in profitability. The revenue mix for Q4FY26 comprised 62% domestic and 38% exports.

For the full year FY26, yarn segment revenue stood at Rs 2,399 Cr, compared to Rs 2,485 Cr in FY25 and Rs 2,493 Cr in FY24. Segment EBIT improved to Rs -12 Cr in FY26 from Rs -20 Cr in FY25 and Rs -105 Cr in FY24, reflecting a sustained recovery trajectory. Annual capacity utilization was 85% in FY26 versus 89% in FY25.

Segment Performance – Home Textiles Business

The home textiles segment reported revenue of Rs 45 Cr in Q4FY26, flat sequentially from Q3FY26 and down from Rs 53 Cr in Q4FY25. Segment EBIT improved significantly to Rs -1 Cr in Q4FY26 from Rs -9 Cr in Q4FY25 and Rs -7 Cr in Q3FY26. The revenue mix for Q4FY26 was 54% domestic and 46% exports. For FY26, segment revenue stood at Rs 179 Cr, compared to Rs 195 Cr in FY25 and Rs 214 Cr in FY24, while segment EBIT improved to Rs -20 Cr from Rs -25 Cr in both FY24 and FY25. The company noted that Q4 built on the momentum of previous quarters, with performance driven by sharper strategic execution, deeper market penetration, and expansion across product categories and customer segments. Nesterra's top 15 customers have aligned closely with the industry's top 15, reinforcing strong market positioning. Total active stores stood at 480, with Maharashtra contributing 28.77%, Gujarat 18.96%, and Delhi 10.78% of state-wise revenue.

Balance Sheet Highlights

Sutlej Textiles' total borrowings stood at Rs 876 Cr in FY26 (excluding subordinate debt), marginally higher than Rs 872 Cr in FY25 and Rs 820 Cr in FY24. Long-term borrowings declined to Rs 409 Cr in FY26 from Rs 454 Cr in FY25, while short-term borrowings increased to Rs 467 Cr from Rs 418 Cr. The debt-to-equity ratio rose to 1.07x in FY26 from 0.97x in FY25 and 0.85x in FY24. The company noted that working capital utilization stood at 67% against sanction as on March 31, 2026, and highlighted its commitment to consistently keeping debt-to-equity below 1.2x.

*Excludes subordinate debt

Management Commentary

Commenting on the results, Mr. C.S. Nopany, Executive Chairman, Sutlej Textiles and Industries Limited, said: "FY26 has been a year of decisive operational tightening for Sutlej. Despite a marginally lower top line, we have grown EBITDA by 25% for the full year and more than doubled it in Q4 — a clear signal that our focus on product mix, cost discipline and capital efficiency is translating into measurable financial outcomes. Global sourcing patterns are gradually rebalancing in India's favour, and our diversified positioning across value-added yarns, home textiles and green fibre allows us to participate in this shift from multiple fronts. Our growing footprint across 60+ export markets continues to strengthen revenue resilience. We enter FY27 with a stronger foundation, sharper execution focus and a clear strategic agenda anchored in agility, innovation and sustainability. The Board and management remain committed to building Sutlej into a structurally stronger, more profitable and more sustainable enterprise for the long term."

Sutlej textiles & industries Limited has submitted its quarterly compliance certificate to stock exchanges, fulfilling regulatory requirements under SEBI depositories regulations for the quarter ended March 31, 2026.

Regulatory Compliance Submission

The company filed the mandatory certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018 on April 14, 2026. The submission was made to both BSE Limited and National Stock Exchange of India Limited, signed by Company Secretary and Compliance Officer Manoj Contractor.

Registrar Confirmation

MUFG Intime India Private Limited (formerly Link Intime India Private Limited) served as the Registrar and Share Transfer Agent for the quarter. The registrar confirmed compliance with all depositories regulations in their certificate dated April 1, 2026.

The registrar's confirmation covered several key areas:

• Securities received from depository participants for dematerialisation were properly confirmed to depositories
• All securities comprised in certificates have been listed on stock exchanges where earlier issued securities are listed
• Security certificates received for dematerialisation were confirmed or rejected within prescribed timelines
• Certificates were mutilated and cancelled after due verification by depository participants
• Names of depositories were substituted in the register of members as registered owners

Certificate Details

The certificate confirms that all dematerialisation processes during the quarter were handled in accordance with SEBI regulations, ensuring proper maintenance of shareholder records and compliance with depositories requirements.

Corporate Information

Sutlej Textiles and Industries Limited is headquartered at Pachpahar Road, Bhawanimandi, District Jhalawar, Rajasthan. The company maintains its registered office in Bhawanimandi and continues to fulfill all regulatory obligations through proper documentation and timely submissions to stock exchanges.