Denim and casual wear maker reports Rs 47 crore profit in Q4FY26, backed by strong brand performance and growth in direct channels
Arvind Fashions (AFL) reported a turnaround in its fourth-quarter performance for FY26, posting a consolidated net profit of Rs 47 crore compared with a loss of Rs 93 crore in the corresponding period last year. The improvement was led by healthy like-to-like growth and strong traction across its direct channels and key apparel brands.
The company’s revenue for the quarter grew about 15 per cent year-on-year to Rs 1,365 crore, supported by 7.8 per cent like-to-like growth and continued expansion of its direct-to-consumer operations, signalling steady demand in the denim and casual wear categories.
The board has proposed a final dividend of Rs 1.60 per equity share for FY26, subject to shareholder approval.
For the full financial year, AFL recorded a 14 per cent increase in revenue to Rs 5,266 crore. Net profit came in at Rs 123 crore, marking a significant recovery from a Rs 36 crore loss in FY25, aided by improved operating leverage and stronger execution across brands.
Managing Director and CEO Amisha Jain said the company’s FY26 performance highlighted consistent growth and strengthening earnings, driven by brand momentum and improved capital efficiency.
She noted that future growth will be supported by expansion into adjacent categories, higher investments in brands, and scaling up of direct channels, alongside technology adoption, AI-led initiatives, and supply chain enhancements.
On a comparable basis, profit from continuing operations rose 56 per cent to Rs 42 crore, excluding one-off items from the previous year, reflecting the underlying strength of the business.
The company, however, cautioned about external challenges, including geopolitical uncertainties, inflationary pressures, and supply-side disruptions. Rising raw material and fuel costs, currency fluctuations, and shortages of petroleum-linked inputs such as natural gas could weigh on production costs and margins.
Shares of the company ended Wednesday’s session at Rs 479.4 on the BSE, up 9.85 per cent.
