Arvind Fashions Limited — Important, 05-02-2025: Financial Result Updates

**Consolidated Financial Results Summary**

Revenue for Q3 FY25 reached ₹1,203 Cr, achieving a growth of 6.9% year-over-year compared to ₹1,125 Cr in Q3 FY24. Key factors driving this growth include strong retail performance, reflected in an 11% like-to-like (LTL) increase, fueled by enhanced customer experiences and innovative celebrity capsule collections, alongside robust demand in the online B2C channel growing around 20%.

The company reported EBITDA of ₹174 Cr, a 16.1% improvement from ₹150 Cr in the same quarter last year, leading to an EBITDA margin increase of over 110 basis points to 14.5%. Profit before tax (PBT) surged 55.5% to ₹69 Cr from ₹44 Cr, while profit after tax (PAT) from continuing operations rose significantly by 71% to ₹28 Cr, up from ₹16 Cr in Q3 FY24.

Operational costs reflected a continued focus on efficiency, although total expenses amounted to ₹1,142 Cr, slightly lower than ₹1,213 Cr recorded in the previous quarter. The overall health of the balance sheet remained stable, with gross working capital days remaining consistent at 143 days.

Strategically, Arvind Fashions is focusing on profitable growth, projecting a commitment to brand scaling and innovations in the retail format to drive market share. The current sentiment suggests maintaining positive momentum with targeted investments in advertising and brand strength.

For investors, the financial performance indicates a strong operational framework with enhancing profitability metrics and consistent cost management, suggesting a favorable view on shares; thus, a **buy** is advised.