GHCL Textiles Limited — PPTs, 01-11-2025: Investor Presentation

Here's a concise, retail-friendly summary of GHCL Textiles' Q2 & H1 FY26 investor presentation:

**Business Performance:** GHCL Textiles' Q2FY26 revenue rose 11% YoY to 339 Cr. The share of revenue from fabric hit a new high of 11.4%, with knitting fabric sales reaching ~400 MT. Capacity utilization remained strong at 98%. For H1FY26, revenue grew 2% YoY to 609 Cr. Stabilizing cotton prices are easing input costs.

**Growth Drivers & Strategy:** The company is strategically expanding capacity and vertically integrating into higher-value fabric production (knitting, weaving, dyeing) to boost margins. Key focus areas include operational excellence, cost efficiency, and expanding green energy use to 75 MW from the current 62 MW.

**Recent Developments:** New 25k spindles commissioned in June 2025 are now operating optimally, contributing to volume growth. Phase 1 of knitting machines expansion is underway, expected to complete in Q3 FY26. The firm is also exploring alternate export markets due to high tariffs and benefiting from relaxed cotton import duties.

**Key Financial Metrics:** Q2FY26 EBITDA surged 31% YoY to 38 Cr (11.2% margin). However, PAT decreased 22% YoY to 16 Cr (4.7% margin). H1FY26 EBITDA rose 21% YoY to 70 Cr.

**Management Outlook:** Full benefits from the new spindles are anticipated in Q3 FY26. The company is committed to Rs. 1,000 Cr in investments, with Rs. 600 Cr already deployed, aiming for 15-18% long-term EBITDA margins.