Vardhman Textiles Q1FY27 net profit rises 53% to ₹310 crore

2 min read     Updated on 30 Jul 2026, 12:19 PM
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Vardhman Textiles delivered strong Q1FY27 results with consolidated net profit rising 53% to ₹310 crore on 13% revenue growth. Operational efficiency improved across segments, with the Acrylic Fibre unit turning profitable.

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Vardhman Textiles reported a sharp rise in consolidated net profit for Q1FY27, driven by robust revenue growth and improved operational efficiency across its textile and acrylic fibre segments. The company’s Board of Directors approved the unaudited financial results on July 30, 2026, disclosing a consolidated profit after tax of ₹309.83 crore, up from ₹207.17 crore in the corresponding quarter of FY26. This 49.5% year-on-year increase reflects stronger pricing power and cost management, with revenue from operations expanding 13.3% to ₹2,703.08 crore. The results were reviewed by statutory auditors Deloitte Haskins & Sells LLP under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Consolidated Financial Performance

The following table outlines Vardhman Textiles’ key consolidated financial metrics for Q1FY27 compared to the previous year:

Metric: Q1FY27 Q1FY26 YoY Change
Revenue from Operations: ₹2,703.08 crore ₹2,385.66 crore +13.3%
Profit Before Tax: ₹418.07 crore ₹276.11 crore +51.4%
Net Profit After Tax: ₹314.56 crore ₹207.68 crore +51.5%
EPS (Basic): ₹10.88 ₹7.28 +49.5%

Consolidated total income stood at ₹2,781.14 crore, supported by other income of ₹78.06 crore, up from ₹70.30 crore in Q1FY26. Total expenses increased to ₹2,378.90 crore from ₹2,191.91 crore, primarily due to higher material costs and employee benefits, though these were offset by top-line growth. The share of profit from associates contributed ₹15.83 crore to the bottom line, compared to ₹12.06 crore in the prior year.

Segment-wise Analysis

Vardhman Textiles operates through two primary segments: Textiles and Acrylic Fibre. The Textiles segment remained the dominant driver of growth, reporting segment revenue of ₹2,648.18 crore, up 13.0% from ₹2,342.32 crore in Q1FY26. Profit before tax and interest from the Textiles segment surged to ₹434.36 crore from ₹300.68 crore, highlighting strong operational leverage.

The Acrylic Fibre segment also showed improvement, with revenue rising to ₹78.25 crore from ₹69.38 crore. More notably, the segment turned profitable on an operating basis, reporting a profit before tax and interest of ₹17.60 crore, compared to a loss of ₹0.86 crore in the same period last year. This turnaround contributes positively to the overall group profitability.

Standalone Results and Key Notes

On a standalone basis, Vardhman Textiles reported a net profit of ₹285.06 crore for Q1FY27, up from ₹201.62 crore in Q1FY26. Standalone revenue from operations was ₹2,648.18 crore. Earnings per share (basic) stood at ₹9.85, compared to ₹6.97 in the previous year.

During the quarter, the company issued 1,94,000 equity shares with a face value of ₹2 per share under its Employee Stock Options Scheme. The financial results have been prepared in accordance with Ind AS 34 and reviewed by the Audit Committee on July 29, 2026. Statutory auditors Deloitte Haskins & Sells LLP issued a limited review report, confirming no material misstatements. It is noted that employee benefits expense in the preceding quarter included a one-time impact of ₹8.90 crore due to the implementation of the new labour code, which is not comparable to current period figures.

What the Numbers Show

The significant divergence between revenue growth (13.3%) and profit growth (51.5%) indicates substantial margin expansion. With EBITDA-like metrics (Profit before tax & interest) growing faster than revenue, Vardhman Textiles is successfully converting top-line gains into bottom-line profits. The turnaround in the Acrylic Fibre segment from a loss-making position to profitability further de-risks the consolidated earnings profile, reducing dependency on the core Textiles business for overall group profitability.

Historical Stock Returns for Vardhman Textiles

1 Day5 Days1 Month6 Months1 Year5 Years
-2.09%-1.62%-2.61%+49.05%+34.00%+62.03%

Will the margin expansion driven by pricing power and cost management be sustainable in Q2FY27, or is it likely to normalize as raw material costs fluctuate?

How does the recent turnaround in the Acrylic Fibre segment impact Vardhman Textiles' long-term capital allocation strategy for this business unit?

What specific operational efficiencies are contributing to the significant divergence between revenue growth (13.3%) and profit growth (51.5%), and can these be replicated across other quarters?

Vardhman Textiles to host Q1 FY27 earnings call on July 31

1 min read     Updated on 29 Jul 2026, 09:20 AM
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Vardhman Textiles Limited will hold a Q1 FY27 earnings call on July 31, 2026, at 4:00 PM IST. The conference, facilitated by 360 ONE CM Research, aims to provide investors with insights into the company's recent financial performance and operational updates.

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Vardhman Textiles Limited will host a conference call on July 31, 2026, at 4:00 PM IST to discuss its financial performance for the first quarter of FY27. The event, organized by 360 ONE CM Research, provides investors with an opportunity to engage directly with management regarding the company's latest quarterly results and strategic outlook. This disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company notified both BSE Limited and The National Stock Exchange of India Ltd of the upcoming call. The invitation details are also available on the company's official website, www.vardhman.com . Sanjay Gupta, Company Secretary, signed the communication dated July 28, 2026, confirming the schedule and regulatory compliance.

Conference Call Details

Investors and analysts can access the conference call through the provided dial-in numbers or via the diamond pass link available on the company's website. For further information, participants may contact Aradhana Jain from 360 ONE Capital Market Research.

Key Participants

The management team representing Vardhman Textiles during the conference call includes:

Role: Name:
Managing Director Neeraj Jain
Director Raw Materials Sushil Jhamb
CFO Rajeev Thapar
Head of Finance Varun Malhotra

Participants can join using universal dial-in numbers +91-22-6280 1222 or +91-22-7115 8123. International toll-free numbers are available for countries including the USA, UK, Australia, and Germany.

Historical Stock Returns for Vardhman Textiles

1 Day5 Days1 Month6 Months1 Year5 Years
-2.09%-1.62%-2.61%+49.05%+34.00%+62.03%

How might Vardhman Textiles' FY27 Q1 performance influence investor sentiment towards the broader Indian textile sector amid global supply chain shifts?

What strategic initiatives is management likely to highlight regarding raw material cost mitigation, given Sushil Jhamb's presence as Director of Raw Materials?

Could the financial results signal a change in Vardhman's dividend policy or capital allocation strategy for the remainder of FY27?

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1 Year Returns:+34.00%