Active Clothing Co , a leading integrated apparel manufacturer, has reported a strong financial performance for the first half of fiscal year 2026, along with a strategic initiative to enhance its manufacturing capabilities.

Financial Highlights

For H1FY26, Active Clothing reported:

• Total income of ₹147.66 crore, marking a 15.22% year-on-year growth
• Profit After Tax (PAT) of ₹4.93 crore, up 34.10% from the previous year
• PAT margin improvement to 3.34%, up from 2.87% in H1FY25
• Diluted Earnings Per Share (EPS) of ₹3.14, a 32.49% increase year-on-year

Q2FY26 Performance

The company's Q2FY26 results showed:

• Total income of ₹83.19 crore, a 1.93% increase from Q2FY25
• PAT of ₹2.79 crore, up 13.48% year-on-year
• PAT margin of 3.36%, compared to 3.02% in the same quarter last year

Strategic Partnership for Advanced Manufacturing

Active Clothing has announced a partnership to establish India's first 'Knit to Shape' Smart Knitting Factory. This initiative involves:

• Purchase of 600 advanced machines
• Integration of 3D seamless knitting, automation, and zero-waste production
• Enhanced design flexibility, productivity, and sustainability

Management Commentary

Rajesh Mehra, Managing Director of Active Clothing Co, stated, "We delivered a steady performance in Q2 despite a softer demand environment, with year-on-year growth supported by our integrated design-to-shelf model and the continued trust of our global brand partners."

Regarding the new factory initiative, Mehra added, "This investment reflects our approach of building capacity ahead of demand and aligning with evolving industry requirements."

Company Overview

Active Clothing Co specializes in flat-knitted sweaters, jackets, and circular-knitted apparel for global fashion brands. The company serves prominent clients such as Levi's, George, Pepe Jeans, ONLY, Jack & Jones, Vero Moda, Next, Skechers, and Adidas, among others.

Future Outlook

The company remains focused on enhancing efficiency, deepening customer relationships, and driving technology-led improvements across its operations. With its strategic investments and strong market position, Active Clothing Co is poised to capitalize on the growing demand in the apparel manufacturing sector.

Investors and stakeholders are advised to monitor the company's progress as it implements its expansion plans and navigates the evolving market conditions in the apparel industry.

Active Clothing Co , a prominent player in the garment manufacturing and trading sector, has announced its financial results for the first quarter of the fiscal year 2026, ending June 30, 2025. The company has demonstrated resilience in a challenging market environment, with a notable increase in profitability despite a slight dip in revenue.

Financial Highlights

Note: All financial figures are in Rs. lakhs, except for EPS which is in Rs.

Performance Analysis

Despite the slight decline in revenue, Active Clothing Co has managed to substantially improve its bottom line. The increase in net profit indicates effective cost management and operational efficiency. The company's ability to enhance profitability in the face of reduced revenue showcases its adaptability to market conditions.

Operational Overview

Active Clothing Co continues to operate primarily in the manufacturing and trading of garments. The company considers this as a single business and geographical segment, as stated in the financial report.

Board Approval and Audit Review

The financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on August 14, 2025. M/s Kapoor Rajesh & Associates, Chartered Accountants, the statutory auditors of the company, have carried out a limited review of the results for the quarter ended June 30, 2025.

Market Implications

The significant improvement in profitability, despite the slight revenue decline, may be viewed positively by investors. It demonstrates the company's ability to maintain financial health and improve efficiency in a competitive market environment.

Conclusion

Active Clothing Co's Q1 FY2026 results paint a picture of a company focused on profitability and operational efficiency. While the slight dip in revenue may warrant attention, the substantial increase in net profit showcases the company's resilience and effective management strategies. As the fiscal year progresses, stakeholders will likely keep a close eye on how the company maintains this momentum and addresses the challenges in the garment manufacturing and trading sector.