S.P. Apparels Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript S.P. Apparels Ltd filed with BSE on 17 Aug 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
S.P. Apparels reported broadly stable consolidated revenue for Q1 FY27 at Rs 401 crores versus Rs 403 crores a year earlier, while consolidated EBITDA rose 15.9% year-on-year to Rs 61.4 crores with margin improving to 15.3%. Management attributed the flat top line to U.S. tariff-related order slowness and shipment timing shifts, while profitability gains were driven by better operating efficiency and product mix. The company reiterated its FY27 consolidated revenue guidance of Rs 2,000 crores, citing expected second-half acceleration from customer order inflows, the India-U.K. FTA, and capacity ramp-up.
Numbers mentioned
Consolidated revenue: INR 401 crores (Q1 FY27)
p. 6
“On a consolidated basis, revenue from operations for Q1FY27 stood at INR 401 crores as compared to INR 403 crores year-on-year.”
V. Balaji, page 6 of the filed PDF · View the filing
Consolidated EBITDA: INR 61.4 crores (Q1 FY27)
p. 6
“Consolidated EBITDA for Q1 FY27 stood at INR 61.4 crores compared to INR 52.9 crores in Q1 FY26, reflecting a growth of 15.9% year-on-year.”
V. Balaji, page 6 of the filed PDF · View the filing
Consolidated EBITDA margin: 15.3% (Q1 FY27)
p. 6
“EBITDA margin improved 15.3% compared to 13.1% in Q1 FY26, supported by better operating efficiency and improved margin performance.”
V. Balaji, page 6 of the filed PDF · View the filing
Consolidated profit after tax: INR 24.9 crores (Q1 FY27)
p. 6
“Profit after tax for Q1 FY27 stood at INR 24.9 crores compared to INR 20.7 crores in Q1 FY26, a growth of 20.4% year-on-year.”
V. Balaji, page 6 of the filed PDF · View the filing
Consolidated EPS: INR 9.9 (Q1 FY27)
p. 6
“Earnings per share stood at INR 9.9 for the current quarter as against 8.2 in Q1 FY26.”
V. Balaji, page 6 of the filed PDF · View the filing
Standalone adjusted EBITDA margin: 17.5% (Q1 FY27)
p. 4
“The standalone adjusted EBITDA margin improved to 17.5%, indicating better operating discipline despite softer revenue.”
P. Sundararajan, page 4 of the filed PDF · View the filing
Standalone profit after tax: INR 26.5 crores (Q1 FY27)
p. 6
“Standalone profit after tax stood at INR 26.5 crores compared to INR 19.9 crores in Q1 FY26, reflecting a strong growth of 33.4% year-on-year.”
V. Balaji, page 6 of the filed PDF · View the filing
SPUK revenue: INR 33.3 crores (Q1 FY27)
p. 5
“Moving to SPUK. Our U.K. business delivered revenue of INR 33.3 crores in Q1 FY27, registering strong growth of 125.2% year-on-year.”
P. Sundararajan, page 5 of the filed PDF · View the filing
SPUK EBITDA: negative INR 1.04 crores (Q1 FY27)
p. 5
“EBITDA for the quarter was negative at INR 1.04 crores, primarily due to small air shipments and the shift of timing of certain shipments, which moved into the subsequent period.”
P. Sundararajan, page 5 of the filed PDF · View the filing
SP Retail Ventures revenue: INR 18.83 crores (Q1 FY27)
p. 5
“Finally, coming to the Retail division, SP Retail Ventures reported revenue of INR 18.83 crores in Q1 FY27, reflecting a growth of 26.7% year-on-year.”
P. Sundararajan, page 5 of the filed PDF · View the filing
Young Brand Apparels revenue: INR 72.7 crores (Q1 FY27)
p. 6
“Young Brand Apparels alone reported a revenue of INR 72.7 crores for the current quarter and the adjusted EBITDA stood at INR 12.6 crores with an adjusted EBITDA margin of 17.7%.”
V. Balaji, page 6 of the filed PDF · View the filing
Standalone net debt: INR 211 crores (as on 30th June 2026)
p. 7
“Cash and cash equivalents stood at INR 46.6 crores and net debt stood at INR 211 crores for the current quarter as on 30th June 2026.”
V. Balaji, page 7 of the filed PDF · View the filing
Sri Lanka revenue: INR 25 crores (Q1 FY27)
p. 11
“Top line, we have a revenue of INR 25 crores on the top line from Sri Lanka.”
V. Balaji, page 11 of the filed PDF · View the filing
Total order book: about INR 570 crores
p. 11
“So total order book is about say INR 570 crores.”
P. Sundararajan, page 11 of the filed PDF · View the filing
Yarn division EBITDA: INR 7.5 crores (Q1 FY27)
p. 11
“Yarn division for the current quarter, it was around INR 7.5 crores for Q1FY27 .”
V. Balaji, 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.
Consolidated revenue — INR 2,000 crores · FY27
stated conditionally by P. Sundararajan
p. 4
“we remain confident of achieving our previously stated consolidating revenue guidance of INR 2,000 crores for FY27.”
P. Sundararajan, page 4 of the filed PDF · View the filing
Garment division EBITDA margin — above 15% · FY27
stated firmly by V. Balaji
p. 10
“we have already guided for a consolidated like garment division that is between Young Brand and S.P. Apparels put together, we will be anywhere above 15% for the whole year.”
V. Balaji, page 10 of the filed PDF · View the filing
SPUK revenue — GBP 13 million plus · next 3 years
stated as an aspiration by P. Sundararajan
p. 8
“Our guidance is in the next 3 years of time, I think we are planning for GBP 13 million plus.”
P. Sundararajan, page 8 of the filed PDF · View the filing
SPUK revenue — GBP 50 million · 5 years
stated as an aspiration by P. Sundararajan
p. 8
“In 5 years' time, we are aiming for GBP 50 million.”
P. Sundararajan, page 8 of the filed PDF · View the filing
Young Brand Apparels production — all planned units in commercial production · by October
stated firmly by P. Sundararajan
p. 5
“By October, we expect all planned units of Young Brand Apparels to be in commercial production.”
P. Sundararajan, page 5 of the filed PDF · View the filing
Consolidated full-year interest cost — INR30 crores to INR35 crores · full year
stated conditionally by V. Balaji
p. 15
“On a consolidated basis, we should be anywhere between INR30 crores to INR35 crores.”
V. Balaji, page 15 of the filed PDF · View the filing
Young Brand Apparels revenue — INR 340 crores to INR 350 crores · FY27
stated as an aspiration by V. Balaji
p. 15
“What we are looking at is that last year, we have performed that INR 300 crores of revenue. We should reach anywhere between INR 340 crores to INR 350 crores of top line.”
V. Balaji, page 15 of the filed PDF · View the filing
Infant export value — INR 1,300 crores to INR 1,400 crores · this year
stated as an aspiration by V. Balaji
p. 15
“INR 1,100 crores was last year number. And we are expecting to reach INR 1,300 crores to INR 1,400 crores this year.”
V. Balaji, page 15 of the filed PDF · View the filing
New machine additions - SPAL division — about 400 machines · over next two years
stated as an aspiration by P. Sundararajan
p. 10
“slowly, it will reach a saturation, then we have a plan to increase to another about 400 machines over a period of next two years' time.”
P. Sundararajan, page 10 of the filed PDF · View the filing
Sri Lanka job work machines — 500 to 600 extra machines · within 1 year
stated as an aspiration by P. Sundararajan
p. 10
“So probably within 1 year time, we will be able to increase another about 500 to 600 extra machines as a job work flow.”
P. Sundararajan, page 10 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 utilization fell due to U.S. tariff-related order slowness in March-May, and shipment delays were due to customer requests, not containers.
Answered by V. Balaji
Asked by Varun: Why was capacity utilization lower, and did shipment delays cause revenue de-growth?
p. 7
“Capacity utilization comparing last year, we have added additional 1,000 machines for this -- sorry, 750 machines for the current financial year. And utilization levels have come down purely because of the order slowness because of U.S. tariff issue during the month of March, April and May.”
V. Balaji, page 7 of the filed PDF · View the filing
Management declined to name most but confirmed two from U.K. and one from EU, and mentioned Marks & Spencer as a customer being added.
Answered by P. Sundararajan
Asked by Prerna Jhunjhunwala: Can you name the three new customers added and their geography?
p. 8
“We are not in a position until the first shipment goes, we will not be in a position to share it. But 2 from U.K., 1 from EU.”
P. Sundararajan, page 8 of the filed PDF · View the filing
Management guided for garment division margins above 15% for the year and said Q2 top line will be better than Q1.
Answered by V. Balaji
Asked by Rehan: Will margins improve in Q2 given tariff rollback?
p. 10
“we feel that Q2 will be better than Q1 on the top line.”
V. Balaji, page 10 of the filed PDF · View the filing
Management reaffirmed confidence in achieving the full-year guidance, expecting the second half to make up for the first quarter shortfall.
Answered by V. Balaji
Asked by Rehan: Are we confident of achieving the INR 2,000 crore FY27 revenue guidance given Q1 run rate?
p. 11
“we still feel that we will be in a position to complete our guidance by end of March '27, we will have a top line of INR 2,000 crores.”
V. Balaji, page 11 of the filed PDF · View the filing
Management said there was no one-off and attributed the margin to improved efficiency from product mix change, while guiding to a lower 15% for the year.
Answered by V. Balaji
Asked by Raman KV: Was the 17.6% garmenting margin a one-off or can it be considered normalized?
p. 13
“No, there's nothing to do with one-off things, but the margins is purely with respect to the improved efficiency because there is a change in the product mix.”
V. Balaji, page 13 of the filed PDF · View the filing
Management said customers are cautious about future legislative changes but the order book remains booked through January.
Answered by S. Chenduran
Asked by Amish Kanani: How is the ground situation on U.S. exports given tariff and bill uncertainty?
p. 14
“So at the moment, they are not seeing it as a problem, but they're also clear that they can't be 100% certain what will happen three months or four months down the line.”
S. Chenduran, page 14 of the filed PDF · View the filing
Management said the order book already covers the next four to five months and the company is booked until October.
Answered by P. Sundararajan
Asked by Ayush Goyal: Is the projected H2 growth already backed by orders or preliminary discussions?
p. 15
“we are already booked until October. We are fully booked, and we are open for November onwards.”
P. Sundararajan, page 15 of the filed PDF · View the filing
Risks flagged
U.S. tariff issue caused order slowness and lower capacity utilization
p. 7
“utilization levels have come down purely because of the order slowness because of U.S. tariff issue during the month of March, April and May.”
V. Balaji, page 7 of the filed PDF · View the filing
Shipment delays due to customer requests affected air freight costs
p. 7
“the cost of air freight was around 50,000 GBP in SPUK.”
V. Balaji, page 7 of the filed PDF · View the filing
SPUK EBITDA turned negative due to air shipments and shipment timing shifts
p. 5
“EBITDA for the quarter was negative at INR 1.04 crores, primarily due to small air shipments and the shift of timing of certain shipments, which moved into the subsequent period.”
P. Sundararajan, page 5 of the filed PDF · View the filing
Young Brand Apparels volume decline due to customers holding back orders on tariff reversal expectations
p. 12
“customers were holding back in terms of what's the situation is they all knew that there's going to be improvement on the tariff situation with the reversal.”
S. Chenduran, page 12 of the filed PDF · View the filing
Uncertainty over potential new U.S. legislation affecting exports
p. 14
“they're also clear that they can't be 100% certain what will happen three months or four months down the line.”
S. Chenduran, page 14 of the filed PDF · View the filing
Interest cost impacted by exchange rate volatility on packing credit
p. 15
“my packing credit, which is in INR, when I'm restating it, I'm taking a hit of around INR 1.75 crores.”
V. Balaji, page 15 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.