Apparel exporter’s consolidated Pat rises 51.4 per cent to Rs 99 crore with the upcoming Bangladesh and laundry projects to add 7 million pieces of annual capacity
Pearl Global Industries reported a 24.5 per cent year-on-year rise in consolidated revenue to Rs 1,528 crore in Q1FY27, while profit after tax (Pat) increased 51.4 per cent to Rs 99 crore despite geopolitical uncertainty during the quarter. Adjusted Ebitda, excluding ESOP expenses, rose 44.1 per cent to Rs 164 crore, with the margin expanding 140 basis points to 10.7 per cent.
On a standalone basis, revenue increased 27.4 per cent year-on-year to Rs 340 crore. Adjusted Ebitda stood at Rs 22 crore, with an Ebitda margin of 6.6 per cent, while Pat was Rs 12 crore. The company said the consolidated margin improvement was driven by a better product mix and operating leverage. It shipped 20.8 million pieces during the quarter, compared with 17.2 million pieces in Q1FY26.
“Despite the uncertainties caused by Iran war, we witnessed healthy business across the markets we serve all through 1st quarter,” Pallab Banerjee, Managing Director, Pearl Global Industries, said.
Capacity Expansion To Add 7 Million Pieces
Pearl Global’s capacity expansion projects in Bangladesh and its laundry operations are scheduled to be inaugurated in September. The projects are expected to add around seven million pieces of annual production capacity, taking the group’s total installed capacity to approximately 108 million pieces.
Banerjee said the company continued to strengthen customer relationships through design and product development support, on-time execution and supply-chain coordination. It is also focused on diversifying its customer portfolio and increasing business from existing clients.
“Our ongoing capacity expansion initiatives in Bangladesh and our laundry operations are scheduled to be inaugurated in September. These expansions are expected to add ~7 million pieces of annual capacity, increasing the Group’s total installed capacity to ~108 million pieces,” Banerjee said.
Pearl Global has manufacturing operations across India, Bangladesh, Vietnam, Indonesia and Guatemala. The company supplies apparel to global brands and retailers across the US, Europe, the UK, Japan, Australia and Canada.
Global Sourcing Diversification
The company said global brands were continuing to diversify and consolidate sourcing with suppliers offering scale, flexibility and multi-country manufacturing capabilities. “With our presence across India, Bangladesh, Vietnam, Indonesia, and Guatemala, Pearl Global is well positioned to capitilise this opportunity while providing customers with a resilient and agile supply chain,” said Pulkit Seth, Vice-Chairman and Non-Executive Director.
Seth said the long-term outlook for India’s apparel exports remained encouraging, supported by supply-chain diversification, the implementation of the India-UK FTA and continued progress towards an India-EU FTA.
“The long-term outlook for India’s apparel exports remains encouraging, supported by supply chain diversification, the implementation of India–UK FTA and continued progress toward India–EU FTA. We continue to strengthen our group manufacturing ecosystem through capacity/capabilities expansion, technology investments, and enhanced operational capabilities to support our future growth,” he said.
Pearl Global’s product portfolio includes knitwear, woven garments, denim, outerwear, activewear and athleisure. Its stated global clientele includes Aritzia, Gap, Kohl’s, Muji, Primark, PVH, Ralph Lauren and Target.
The holding company also received around Rs 5 crore in dividend during Q1FY27 from Pearl Global (HK), its Hong Kong subsidiary. Pearl Global said its subsidiaries in Bangladesh and Hong Kong have been consistently declaring dividends since FY22.
Banerjee said geopolitical developments, raw-material volatility and changing global trade flows would require continued monitoring. “While geopolitical developments, raw-material volatility, and evolving global trade flows require continued vigilance, our diversified manufacturing footprint, strong customer relationships, and disciplined approach to execution provide confidence in sustaining the current momentum,” he said.
