Swaraj Suiting has scheduled its 23rd Annual General Meeting for September 30, 2026, at 1:00 pm via Video Conferencing or Other Audio Visual Means (OAVM). The meeting will address several key governance and operational matters for the financial year ended March 31, 2026.

Director Appointments and Re-Appointments

The Board has recommended the re-appointment of Mrs. Amreen Sheikh as a Non-Executive Independent Director for a second term of five years, commencing October 5, 2026. Additionally, the Board proposed the appointment of Mr. Manoj Mansinghka as a Non-Executive Independent Director for a five-year term starting October 1, 2026. Mr. Mansinghka brings over 28 years of experience in the textile industry.

Mr. Nasir Khan, Whole Time Director, is liable to retire by rotation and seeks re-appointment at the AGM. The Board also noted the appointment of Mrs. Anam Hamid as an Independent Director effective December 26, 2025, filling the vacancy caused by the demise of Mr. Ramesh Agarwal.

Remuneration Revisions

Shareholders will be asked to approve revisions in remuneration for three key managerial personnel: Mr. Mohammed Sabir Khan (Managing Director), Mrs. Samar Khan (Whole Time Director), and Mr. Nasir Khan (Whole Time Director). The revision applies to the remaining period of their current tenure ending December 31, 2028.

The proposed remuneration structure includes a monthly salary of ₹10,00,000 with an annual increase of ₹50,000 effective April 1, 2026. This follows an increase from their previous annual remuneration of ₹84,00,000 paid during FY26. The revision is subject to shareholder approval via Special Resolution.

Preferential Issue Proceeds Variation

The AGM will seek ratification for a variation in the utilization of proceeds raised through a preferential issue of Equity Shares and Fully Convertible Warrants. The Company utilized ₹8.03 crore—comprising ₹3.23 crore from Equity Shares and ₹4.80 crore from Warrants—towards Working Capital instead of Capital Expenditure.

This variation addresses increased working capital requirements while ensuring Capital Expenditure needs are met through internal accruals. The aggregate amount represents 3.55% of the total issue size of ₹226.48 crore. The object 'General Corporate Purposes' has been fully utilized as originally allocated.

Related Party Transactions

The meeting will also approve material related party transactions with Modway Suiting Private Limited, an associate company. The proposed transactions involve the sale and purchase of fabrics, raw materials, and manufacturing services, with an aggregate monetary value not exceeding ₹100 crore per financial year. These transactions are deemed beneficial for achieving business synergies and operational efficiencies across the group.

Swaraj Suiting Limited reported a 58% increase in net profit to ₹52.37 crore for the financial year ended March 31, 2026, compared to ₹33.15 crore in the previous year. This growth was driven by a 38.5% rise in revenue from operations, which reached ₹576.74 crore from ₹416.57 crore in FY25. The company also announced a strategic investment of approximately ₹4,200 crore towards expanding its spinning business and entering the advanced materials segment. The Board of Directors approved the audited financial results at a meeting held on May 26, 2026.

Financial Performance

Total expenses for FY26 increased to ₹518.13 crore from ₹373.94 crore in the prior year. The profit before tax for the year stood at ₹67.12 crore, up from ₹44.43 crore in FY25. Earnings per share (EPS) for the year improved to ₹23.41 basic and ₹22.87 diluted from ₹15.13 in the previous year. The EBITDA margin improved to 19.3% in FY26 from 17.5% in FY25, while the adjusted PAT margin improved to 9.1%.

Strategic Expansion Plans

Swaraj Suiting outlined a major expansion of its spinning operations with an investment of approximately ₹4,200 crore. The project includes expanding the Open-End Spinning (Rotor) Section with a proposed capacity of 18,000 TPA and the Cotton Spinning Division with 12,254 TPA. Additionally, the company announced a pilot project for an Advanced Material Division with a proposed capacity of 1,246 TPA to cater to high-performance yarn segments for industries such as defence, infrastructure, oil & gas, and industrial applications. The company expects the expansion to become operational within approximately 12 months.

Capital Structure and Fundraising

During FY26, Swaraj Suiting undertook significant capital raising activities. The company allotted 33,71,400 equity shares of face value ₹10 each at ₹236 per share, including a premium of ₹226, on a preferential basis. This issue raised ₹79.57 crore. Additionally, the company allotted 62,25,500 convertible warrants at ₹236 per warrant, receiving 25% upfront. Of these, 9,20,500 warrants have been converted into equity shares upon receipt of the balance consideration. The total fund raise amounted to ₹2,264.9 crore. The paid-up equity share capital increased to ₹2,631.02 lakh as of March 31, 2026.

Consolidated Results and Assets

On a consolidated basis, the company reported a net profit of ₹54.02 crore for FY26, up from ₹33.48 crore in the previous year. The results include the share of net profit from its associate, Modway Suiting Private Limited, in which Swaraj Suiting holds a 41.06% stake. Total assets grew to ₹8,579.36 crore as of March 31, 2026, compared to ₹5,710.67 crore a year ago, primarily due to increases in inventories and capital work in progress.