Cantabil Retail India Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Cantabil Retail India Ltd filed with BSE on 23 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
Cantabil Retail reported FY26 standalone revenue growth of 18% to Rs 852.6 crore and EBITDA growth of 29% to Rs 264.3 crore, with EBITDA margin improving to 31%. The company ended the year with 652 stores covering 9.15 lakh square feet and reported Q4 FY26 revenue growth of 15% to Rs 253.5 crore. Management discussed same-store sales growth trends, gross margin drivers, store expansion plans, capex, working capital, and the new corporate office and warehouse during the Q&A.
Numbers mentioned
Revenue from operations: INR852.6 crores (FY26)
p. 4
“Revenue from operations for FY26 grew by 18% to INR852.6 crores as compared to INR721.1 crores in FY21.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
EBITDA: INR264.3 crores (FY26)
p. 4
“EBITDA, for FY26 grew by 29% to INR264.3 crores as compared to INR204.8 crores in FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
EBITDA margin: 31% (FY26)
p. 4
“EBITDA margins for FY26 improved to 31% as compared to 28.4% in FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
PAT: INR95.8 crores (FY26)
p. 4
“Our PAT margin for FY26 grew by 28% to INR95.8 crores as compared to INR74.9 crores in FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
PAT margin: 11.2% (FY26)
p. 4
“PAT margins for FY26 improved to 11.2% as compared to 10.4% in FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
Revenue from operations: INR253.5 crores (Q4 FY26)
p. 4
“Our revenue from operations for Q4 FY26 grew by 15% to INR253.5 crores as compared to INR219.8 crores in Q4 FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
EBITDA: INR78.1 crores (Q4 FY26)
p. 4
“Our EBITDA for Q4 FY26 grew by 34% to INR78.1 crores as compared to INR58.4 crores in Q4 FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
EBITDA margin: 30.8% (Q4 FY26)
p. 4
“Our EBITDA margins for Q4 FY26 improved to 30.8% as compared to 26.6% in Q4 FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
PAT: INR29.2 crores (Q4 FY26)
p. 4
“Our PAT for Q4 FY26 grew by 30% to INR29.2 crores as compared to INR22.5 crores in Q4 FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
PAT margin: 11.5% (Q4 FY26)
p. 4
“Our PAT margins for Q4 FY26 improved to 11.5% as compared to 10.2% in Q4 FY25.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
Total stores: 652 stores (FY26)
p. 4
“we continue to scale our efficiently with a total of 652 stores across the country, covering a total retail area of 9.15 lakh square feet.”
Shivendra Nigam, page 4 of the filed PDF · View the filing
Store lease rental cost: INR99 crores (FY26)
p. 7
“INR99 crores is my actual rental cost for the financial year FY26.”
Shivendra Nigam, page 7 of the filed PDF · View the filing
Footwear sales: INR14 crores (FY26)
p. 9
“Footwear sales last year was INR10 crores. And this year, we did INR14 crores.”
Shivendra Nigam, page 9 of the filed PDF · View the filing
Inventory days: 109 days (FY26)
p. 12
“Last year, inventory days was 123 days, 24 days, in fact, we came it down to 109 days.”
Shivendra Nigam, page 12 of the filed PDF · View the filing
Working capital days: 105 days (FY26)
p. 12
“Our working capital was approximately 115 days. This year, it came down to 105 days.”
Shivendra Nigam, page 12 of the filed PDF · View the filing
Rent per square feet: INR115 (FY26)
p. 14
“Current rent per square feet, it has come down to INR115. Yes, INR115 per square feet for the financial year FY26.”
Shivendra Nigam, page 14 of the filed PDF · View the filing
E-commerce sales: INR11 crores (Q4 FY26)
p. 11
“This year, it ended up with INR11 crores, right?”
Shivendra Nigam, page 11 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.
Revenue — INR1,000 crores · FY27
stated firmly by Shivendra Nigam
p. 7
“going forward also, FY27 target is online, INR1,000 crores of revenue and 725 across the number of stores.”
Shivendra Nigam, page 7 of the filed PDF · View the filing
Store count — 725 stores · FY27
stated firmly by Shivendra Nigam
p. 7
“going forward also, FY27 target is online, INR1,000 crores of revenue and 725 across the number of stores.”
Shivendra Nigam, page 7 of the filed PDF · View the filing
Gross margin — 60%
stated firmly by Shivendra Nigam
p. 8
“60% is the guidance. For us, our internal guidance is to maintain the gross margin at 60%.”
Shivendra Nigam, page 8 of the filed PDF · View the filing
Same-store sales growth — 5% to 6% · FY27
stated conditionally by Shivendra Nigam
p. 12
“We are expecting to take it forward from 5% to 6%. Otherwise, 5% to 6% would have been maintained. It may go up to 7%, 8%, but it's too early for this, but minimum, 5%, 6% would have been there.”
Shivendra Nigam, page 12 of the filed PDF · View the filing
EBITDA margin — 30%
stated conditionally by Shivendra Nigam
p. 12
“The moment we will be able to maintain that, our EBITDA margin, 30% will always be on the card.”
Shivendra Nigam, page 12 of the filed PDF · View the filing
Marketing expense as % of sales — 1.8% to 2%
stated as an aspiration by Shivendra Nigam
p. 12
“1.7% as of now. It may go up to 2%, 1.8%, plus/minus 0.1% 0.2%, not beyond that.”
Shivendra Nigam, page 12 of the filed PDF · View the filing
Footwear sales as % of total sales — 3% to 4%
stated as an aspiration by Shivendra Nigam
p. 9
“Going forward, we have a target to increase it, maybe end of this financial year 3% to 4%, 4%. We have plans.”
Shivendra Nigam, page 9 of the filed PDF · View the filing
Kids wear as % of total sales — around 4% to 4.5% · next year
stated as an aspiration by Deepak Bansal
p. 10
“But next year, we see it around coming to the 4%, around 4%, 4.5% of total sales.”
Deepak Bansal, page 10 of the filed PDF · View the filing
Retail area addition — 15% to 20%
stated firmly by Shivendra Nigam
p. 8
“We are targeting that 15% to 20%, 15% minimum. 15% to 20% that depends on the location of the store, but we are targeting this much of area.”
Shivendra Nigam, page 8 of the filed PDF · View the filing
Capex per square feet
stated firmly by Shivendra Nigam
p. 13
“capex, per square feet, we think will go down in this year because the new fixture design has been adopted with a lesser cost.”
Shivendra Nigam, page 13 of the filed PDF · View the filing
Lease cost savings from new office — INR1.5 crores to INR2 crores annually · from Q2/Q3
stated firmly by Shivendra Nigam
p. 16
“INR1.5 crores to INR2 crores annually.”
Shivendra Nigam, page 16 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.
Management said SSG has remained around 5% despite conditions and expects to sustain that range through efficiency and marketing.
Answered by Deepak Bansal
Asked by Abhi Jain: Is same-store sales growth correlated to monetary policy tightening, and will it decline if rates rise?
p. 5
“Our SSG last year was around 5%. And in April also, our SSG was around 5%. So, monetary policy right now is not hampering our SSG growth because in May also, till now we are getting a decent SSG.”
Deepak Bansal, page 5 of the filed PDF · View the filing
Management explained gross additions were higher than reported, but several stores were closed for renewal or relocation, and the FY27 target remains 725 stores.
Answered by Shivendra Nigam
Asked by Ankit Shah: Why has store addition trailed the planned trajectory of 675 stores by FY26?
p. 7
“So, largely out of these 38 stores, 24, 25 stores are the renewals where we get the better opportunity they are relocations and 13 stores approximately on the performance.”
Shivendra Nigam, page 7 of the filed PDF · View the filing
Management reaffirmed the internal target of maintaining gross margin around 60%.
Answered by Shivendra Nigam
Asked by Swapnil Gupta: Is the 60% gross margin sustainable given inflation and raw material cost increases?
p. 8
“The margin, what we are targeting on a long-term basis is approximately 60%. Any of the commentary we are giving is getting better than that.”
Shivendra Nigam, page 8 of the filed PDF · View the filing
Management attributed the improvement to a combination of efficiency, pricing correction and GST impact.
Answered by Shivendra Nigam
Asked by Shrinjana Mittal: What drove the sharp gross margin improvement in Q4?
p. 10
“there is some obviously, better efficiency mix is there. It's a mix of efficiency as well as some correction in pricing. GST has also helped a little bit.”
Shivendra Nigam, page 10 of the filed PDF · View the filing
Management acknowledged a possible impact on demand but said marketing and efficient front-end practices could manage any sluggishness.
Answered by Deepak Bansal
Asked by Rajesh: Does global inflation pose a risk to demand at Cantabil stores?
p. 11
“there can be an impact on the demand on the food costs, but we believe due to our marketing activities and due to our efficient front-end practices, we can manage this sluggish demand if it happens in the future.”
Deepak Bansal, page 11 of the filed PDF · View the filing
Management said cash surplus would continue to be deployed for returns and expansion plans starting from Q3.
Answered by Shivendra Nigam
Asked by Akshay: What is the plan for future cash flow use given the intercorporate loan given this year?
p. 16
“we have a plan to make a better return in terms of market. We will have expansion plan. Things are in place, which would come from Q3 onwards.”
Shivendra Nigam, page 16 of the filed PDF · View the filing
Management said the manufacturing mix of 60% own/job-work and 40% outsourced would largely be maintained, and any overseas expansion would depend on finding the right partner model.
Answered by Shivendra Nigam
Asked by Ankit Shah: Are there plans to expand manufacturing capacity or explore export/master franchise opportunities in Nepal or overseas?
p. 18
“we are actually core retailers. So, our focus area is retail, but we need largely 60%, as I said, would be maintained, but largely would be outsourced to the job worker rather than establishing one more own plant.”
Shivendra Nigam, page 18 of the filed PDF · View the filing
Risks flagged
Inflationary pressure and raw material cost increases could affect demand and margins
p. 11
“Yes, there can be an impact on the demand on the food costs, but we believe due to our marketing activities and due to our efficient front-end practices, we can manage this sluggish demand if it happens in the future.”
Deepak Bansal, page 11 of the filed PDF · View the filing
Potential monetary policy tightening could constrain customer discretionary spending
p. 5
“in the past also, yes, monetary policy constraints the customer pockets.”
Deepak Bansal, page 5 of the filed PDF · View the filing
Global inflation disturbance expected to continue
p. 12
“Yes, this disturbance on a global level would continue.”
Shivendra Nigam, page 12 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.