Campus Activewear Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Campus Activewear Ltd filed with BSE on 29 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Campus Activewear reported Q4 FY26 revenue growth of 12.3% year-on-year to Rs 456 crores, driven by 18.9% growth in the online channel and 5.5% growth in distribution, alongside a full-year FY26 revenue of Rs 1,774 crores, up 11.4%. Management described gross margin, EBITDA margin and PAT margin improvements for both the quarter and the full year, along with commentary on raw material inflation, price increases taken in April, and continued expansion of sneaker manufacturing capacity at Pantnagar and Haridwar. Management also discussed a brand logo refresh completed during the year and plans to resume opening new exclusive brand outlets in FY27.
Numbers mentioned
Revenue from operations: INR 456 crores (Q4 FY26)
p. 4
“Our revenue from operations grew by 12.3% year-on-year to INR 456 crores, largely benefited by higher revenue in the online channel, which has registered a growth of around 19% and distribution channel, which has grown by around 5.5%.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Pairs sold: approximately 6.8 million pairs (Q4 FY26)
p. 4
“The company sold approximately 6.8 million pairs during this quarter, and the average selling price grew by 1.5% year-on-year to INR 668 per pair.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Gross margin: 52.1% (Q4 FY26)
p. 4
“Our gross margins were at 52.1% in Q4 FY26 versus 52.3% in Q4 FY25.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
EBITDA: INR 88.5 crores (Q4 FY26)
p. 4
“Our EBITDA for Q 4FY26 was at INR 88.5 crores.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
EBITDA margin: 19.2% (Q4 FY26)
p. 4
“The EBITDA margin stood at 19.2% during the quarter and improvement of 50 basis points versus last year driven by volume and revenue growth.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
PAT: INR 44.1 crores (Q4 FY26)
p. 4
“Our PAT for Q 4FY26 was at INR 44.1 crores.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
PAT margin: 9.6% (Q4 FY26)
p. 4
“The PAT margin stood at 9.6% during the quarter an improvement of 100 basis points versus last year, once again driven by revenue and volume growth.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Revenue: INR 1,774 crores (FY26)
p. 4
“Our operational revenue for the FY26 grew by 11.4% to INR 1,774 crores, largely benefited by higher distribution which has registered a growth of 10.5% and online channel which grew by 9.8%.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Pairs sold: approximately 26 million pairs (FY26)
p. 4
“The company sold approximately 26 million pairs during the whole year FY26.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Average selling price: INR 683 (FY26)
p. 4
“The average selling price grew by 7% year-on-year from INR 658 to INR 683.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Gross margin: 53.5% (FY26)
p. 4
“Our gross margins were at 53.5% in FY26 versus 52.3% in FY25 and improvement of 120 basis points driven by product and channel mix.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
EBITDA: INR 314.7 crores (FY26)
p. 4
“Our EBITDA for the year FY26 was at INR 314.7 crores.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
EBITDA margin: 17.5% (FY26)
p. 4
“The EBITDA margin stood at 17.5% during the year and improvement of 145 basis points versus last year driven by revenue growth.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
PAT: INR 150.1 crores (FY26)
p. 4
“Our PAT for FY26 was at INR 150.1 crores.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
PAT margin: 8.4% (FY26)
p. 4
“The PAT margin stood at 8.4% versus 7.5% last year and improvement of 80 basis points driven by higher EBITDA margins.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
Return on Capital Employed: 22.4% (as of March '26)
p. 4
“Our balance sheet remains strong with return ratio that is Return on Capital Employed at 22.4% and Return on Equity at 18.1% as of March '26.”
Sanjay Chhabra, page 4 of the filed PDF · View the filing
EBO store count: 300 stores (FY26)
p. 3
“our exclusive brand outlet network remains steady at 300 stores”
Nikhil Aggarwal, page 3 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
EBITDA margin — 17% to 19% · FY27
stated as an aspiration by Nikhil Aggarwal
p. 9
“But we will definitely endeavor to stay within the range we have guided before, 17% to 19%.”
Nikhil Aggarwal, page 9 of the filed PDF · View the filing
New EBO store openings — 60 to 70 stores or about 80 stores · FY27
stated firmly by Nikhil Aggarwal
p. 9
“Going forward, this year we will be back with respect to opening of new stores and we expect to open anywhere between 60 to 70 stores or about 80 stores, I would say.”
Nikhil Aggarwal, page 9 of the filed PDF · View the filing
Sneaker manufacturing monthly output — double current 2 lakh average monthly output · end of FY27
stated firmly by Nikhil Aggarwal
p. 3
“Currently, these units are delivering an approximately 2 lakhs average monthly output, which is likely to double by end of FY27, enabling us to efficiently serve rising demand across sneakers and other fast-moving categories.”
Nikhil Aggarwal, page 3 of the filed PDF · View the filing
Sneaker capacity — 8-9 lakh pair monthly production
stated as an aspiration by Nikhil Aggarwal
p. 8
“So, we are targeting in totality 8-9 lakh pair monthly production of sneakers and we are well on track to do that.”
Nikhil Aggarwal, page 8 of the filed PDF · View the filing
Capex — lower than FY26 capex spend · FY27
stated firmly by Sanjay Chhabra
p. 10
“So we don't see FY26 like CAPEX spends in FY27.”
Sanjay Chhabra, page 10 of the filed PDF · View the filing
BIS compliance — fully compliant · 31st of July
stated firmly by Nikhil Aggarwal
p. 12
“So, we will be fully compliant by 31st of July.”
Nikhil Aggarwal, page 12 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
The shift reflects MRP corrections made following the GST rate change from 12% to 5%.
Answered by Sanjay Chhabra
Asked by Aditya Soman: Why did the product mix pyramid show a shift toward shoes priced below Rs 1,000?
p. 5
“Yes, because 12% GST got revised to 5%. Correct.”
Sanjay Chhabra, page 5 of the filed PDF · View the filing
Management said the price hikes taken were sufficient to cover the inflationary impact and expects raw material costs to ease.
Answered by Nikhil Aggarwal
Asked by Gaurav Jogani: What was the size of the recent price hike and will it be sufficient to cover raw material inflation?
p. 6
“No, we have taken enough increase in pricing to cover the inflationary impact.”
Nikhil Aggarwal, page 6 of the filed PDF · View the filing
Flat store count avoided new EBO costs, and online commissions are subject to dynamic negotiation and waivers.
Answered by Sanjay Chhabra
Asked by Gaurav Jogani: Why did other expenses grow only 5% despite higher online commissions from 19% online revenue growth?
p. 6
“So, these two things kept the increase in other costs to the range of 5% to 6%.”
Sanjay Chhabra, page 6 of the filed PDF · View the filing
Management said prior-year inventory had been drawn down to unsustainably low levels, and FY26's level is now the appropriate level to sustain future growth.
Answered by Sanjay Chhabra
Asked by Aryan Garodia: What drove the increase in inventory days in FY26 and how should this be viewed going forward?
p. 7
“So I would say that the level at which we are in terms of FG inventory, that is the right level. Going forward, it will continue to be that.”
Sanjay Chhabra, page 7 of the filed PDF · View the filing
Management said the sneaker portfolio grew about 100% year-on-year annually and over 50% quarterly, supported by new manufacturing capacity.
Answered by Nikhil Aggarwal
Asked by Umang Mehta: How much did the sneaker portfolio grow in FY26 and how will it scale going forward?
p. 8
“We have grown this portfolio about a 100% year-on-year.”
Nikhil Aggarwal, page 8 of the filed PDF · View the filing
Management described the current inflationary pressure as unusually severe and said they are balancing price increases against demand while protecting market share.
Answered by Uplaksh Tewary
Asked by Umang Mehta: Will the recent price hike cause a temporary demand shock, and can FY27 reach the 17-19% margin band?
p. 8
“So I do not think we have seen such an inflationary pressure in any of the past years.”
Uplaksh Tewary, page 8 of the filed PDF · View the filing
Management said 9-10 stores were shut and 13-14 opened last year as a profitability correction, with plans to resume net new openings next year.
Answered by Nikhil Aggarwal
Asked by Avinash: How many EBOs were closed and opened last year, and what is planned for next year?
p. 9
“So, we shut down about 9 to 10 odd stores and we have opened about 13 to 14 new stores.”
Nikhil Aggarwal, page 9 of the filed PDF · View the filing
Management attributed the lower ASP to a change in how online portals bill freight charges separately since June, which reduced reported revenue per pair.
Answered by Sanjay Chhabra
Asked by Sameer Gupta: Why was ASP growth only 1.5% this quarter despite favorable online/D2C mix?
p. 12
“So, this change happened with effect from 16th of June, which was not reflected in last year Q4, but is fully reflected in this year Q4.”
Sanjay Chhabra, page 12 of the filed PDF · View the filing
Management said there is no official indication of any BIS relaxation and the company is already fully compliant.
Answered by Nikhil Aggarwal
Asked by Sameer Gupta: Is there any indication of a BIS regulation relaxation?
p. 12
“I think it's just a chatter at the point, like there is nothing that we have heard of officially from the government yet.”
Nikhil Aggarwal, page 12 of the filed PDF · View the filing
Management explained that PAT margin growth was driven by revenue and volume growth, and that the Q4 ASP dip reflects seasonal school-shoe mix rather than lower material margin.
Answered by Sanjay Chhabra
Asked by Nilesh Doshi: Why did PAT margin improve in Q4 despite a lower ASP than the full-year average?
p. 13
“The PAT margin growth is primarily driven by revenue and volume growth.”
Sanjay Chhabra, page 13 of the filed PDF · View the filing
Management said a soft launch of the new logo began in October-November 2025 and results since then, including Q4, indicate strong market acceptance.
Answered by Nikhil Aggarwal
Asked by Gaurav Jogani: Has the new logo caused any disruption given consumer association with the old branding?
p. 14
“So we actually did a soft launch of this logo in October, November last year, where the new products that were being launched in the market were all with the new logo, starting October 2025.”
Nikhil Aggarwal, page 14 of the filed PDF · View the filing
Management said the disruption was mainly on the supply side, with limited demand impact through March, and expects recovery if conditions settle.
Answered by Nikhil Aggarwal
Asked by Tejas Shah: Did the recent geopolitical and supply disruptions shift demand momentum for FY27?
p. 16
“There was some impact in the month of March, but not very significant.”
Nikhil Aggarwal, page 16 of the filed PDF · View the filing
Risks flagged
Inflationary pressure in raw materials such as EVA and PU pricing linked to crude, along with minimum wage increases, affecting the industry
p. 11
“Well, we have seen inflation across categories, actually in raw materials, because most of it is linked to crude in some way or the other. But major impact we have seen is in EVA and PU pricing.”
Nikhil Aggarwal, page 11 of the filed PDF · View the filing
Uncertainty over whether demand will sustain if geopolitical conflict continues
p. 16
“Going forward, of course, if the war sustains, then it's anybody's guess, to be very honest.”
Nikhil Aggarwal, page 16 of the filed PDF · View the filing
Resistance from consumers following a strong price increase across the portfolio
p. 9
“Of course, there would always be resistance when you take a reasonably strong price across your entire portfolio.”
Uplaksh Tewary, page 9 of the filed PDF · View the filing
Some smaller competitors slowing production due to inability to absorb raw material cost increases
p. 11
“So, there have been signs in the industry with respect to slowing down of production.”
Nikhil Aggarwal, page 11 of the filed PDF · View the filing
Marketplace/online channel operations are highly competitive and complex
p. 17
“Of course, it's a tough space because it's extremely competitive, extremely expensive, extremely complicated, looking at the way this business is run overall, looking at the complication of return, logistics, marketing, other factors, as well as the alignments with the larger players.”
Uplaksh Tewary, page 17 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.