AB Cotspin India Secures Rs 13.75 Crore Cotton Yarn Order, Projects Strong FY2025-26 Performance

1 min read     Updated on 18 Nov 2025, 12:26 PM
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Reviewed by
Ashish ThakurScanX News Team
Overview

AB Cotspin India Limited has received a Rs 13.75 crore order for cotton yarn supply, to be executed within two months. The company projects a turnover of Rs 350 crore and EBITDA of Rs 40-45 crore for FY 2025-26. AB Cotspin's shares now trade on NSE and BSE main boards. This order comes amid 10% YoY growth in India's textile exports and government initiatives supporting the sector, including a Rs 25,000 crore Export Promotion Mission and additional credit for exporters.

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*this image is generated using AI for illustrative purposes only.

AB Cotspin India Limited , a leading textile manufacturer with over 25 years of industry expertise, has announced a significant order worth approximately Rs 13.75 crore for the supply of cotton yarn. This development marks a positive step for the company in the competitive textile market.

Order Details and Execution

The order, received from a domestic entity, is to be executed within a timeframe of two months. This quick turnaround demonstrates AB Cotspin's operational efficiency and its ability to meet client requirements.

Financial Projections

Looking ahead, AB Cotspin has set targets for the fiscal year 2025-26:

Metric Projected Value
Turnover Rs 350.00 crore
EBITDA Rs 40-45 crore

These projections suggest a positive outlook for the company's financial performance in the coming fiscal year.

Market Presence

AB Cotspin India Limited has recently achieved a significant milestone in its market presence. As of September 24, 2025, the company's equity shares are trading on the main boards of both the National Stock Exchange (NSE) and BSE Limited (BSE). This dual listing on major exchanges may enhance the company's visibility and potentially improve liquidity for its shareholders.

Industry Context

The order comes at a time when India's textile sector is showing signs of growth. According to government data, India's textile exports to 111 countries recorded a 10% year-on-year growth during April-September 2025. This growth aligns with government initiatives such as 'Make in India' and 'Aatmanirbhar Bharat', which aim to boost domestic manufacturing and exports.

Government Initiatives

The Indian government has been supporting the textile sector:

  • A Rs 25,000.00 crore Export Promotion Mission has been cleared by the cabinet.
  • An additional Rs 20,000.00 crore collateral-free credit has been allocated to support exporters facing global trade uncertainties.
  • The textile sector is among the priority sectors receiving support to address challenges related to US tariffs.

Sustainability Focus

The textile industry is also aligning with global sustainability trends. The government has set a goal of making India's textile sector carbon-neutral by 2030, aiming to achieve a USD 350.00 billion textile industry, including USD 100.00 billion in exports.

AB Cotspin's recent order and projections position it to potentially benefit from these industry trends and government initiatives. As the company moves forward with executing this order, its performance in the coming months may be of interest to investors and industry observers.

AB Cotspin India Reports 97.37% PAT Growth in H1FY26, Announces Major Expansion Plans

2 min read     Updated on 13 Nov 2025, 12:00 PM
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Reviewed by
Ashish ThakurScanX News Team
Overview

AB Cotspin India Limited reported significant financial improvements in H1FY26 despite a 24.06% revenue decrease. EBITDA increased by 44.77% to ₹21.30 crore, with margins expanding to 18.13%. Net profit grew by 97.37% to ₹7.82 crore. The company announced expansion plans including a real estate venture in Ludhiana, a ₹1500 crore capacity expansion adding 2,00,000 spindles, and an increase in solar power capacity. AB Cotspin also began trading on the main boards of NSE and BSE from September 24, 2025.

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*this image is generated using AI for illustrative purposes only.

AB Cotspin India Limited , a textile manufacturer with over 25 years of industry expertise, has reported significant financial improvements in its H1FY26 results, along with ambitious expansion plans. The company, which recently began trading on the main boards of NSE and BSE, has shown remarkable growth in profitability despite a decrease in revenue.

Financial Performance

AB Cotspin's financial results for H1FY26 demonstrate strong profit growth:

Metric H1FY26 H1FY25 YoY Change
Revenue ₹117.49 ₹154.71 -24.06%
EBITDA ₹21.30 ₹14.71 +44.77%
EBITDA Margin 18.13% 9.51% +862 bps
Net Profit ₹7.82 ₹3.96 +97.37%
Net Profit Margin 6.65% 2.56% +409 bps
Diluted EPS ₹3.57 ₹2.89 +23.53%

Despite a 24.06% decrease in revenue, the company has managed to significantly improve its profitability. The EBITDA surged by 44.77% year-on-year, with margins expanding by 862 basis points to 18.13%. Net profit showed impressive growth, rising by 97.37% to ₹7.82 crore.

Expansion and Diversification

AB Cotspin has announced several strategic initiatives:

  1. Real Estate Venture: The company plans to enter the real estate sector with a premium residential and commercial project in Ludhiana, Punjab. The project is expected to involve approximately 3 acres of land, acquired for ₹18 crore.

  2. Major Capacity Expansion: AB Cotspin plans a significant expansion of up to ₹1500 crore, aiming to add approximately 2,00,000 spindles for an integrated green textile manufacturing facility.

  3. Current Capacity Increase: The company has successfully installed an additional 14,592 spindles, bringing its total capacity to 50,832 spindles.

  4. Solar Power Enhancement: AB Cotspin has expanded its solar power capacity from 2,500 KW to 3,131 KW, reinforcing its commitment to sustainable manufacturing.

Management Commentary

Deepak Garg, Managing Director of AB Cotspin India, commented on the results: "We are pleased to report a robust performance for H1 FY26. Our focus on operational efficiency has led to significant margin expansion and profit growth. We expect to achieve a turnover of around ₹350 crore and EBITDA of ₹40-45 crore for FY2025-26."

Garg added, "Our strategic expansion aligns with the Hon'ble Prime Minister's 'Five Fs' framework for the textile sector— Farm to Fiber, Fiber to Factory, Factory to Fashion, and Fashion to Foreign. By enhancing production capabilities, AB Cotspin reaffirms its commitment to quality, sustainability, and global competitiveness."

Stock Listing

The company's shares began trading on the main boards of NSE and BSE from September 24, 2025, marking a significant milestone in AB Cotspin's corporate journey.

AB Cotspin India Limited continues to demonstrate its commitment to growth, sustainability, and shareholder value creation through its financial performance and strategic initiatives.

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