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Earnings Call Transcript

S P Apparels Earnings Call Transcript: Key Takeaways

Revenue was flat at ₹401Cr, but margins expanded significantly due to product mix and operational efficiencies. Management remains optimistic about H2 FY27 growth driven by UK FTA and Sri Lanka capacity ramp-up.

Guidance and delivery
Management target Revenue FY27
Highlights
Revenue growthFlat ₹401Cr vs ₹403Cr YoY; shipment delays impacted top-line.
MarginsEBITDA margins improved to 15.3% from 13.1% YoY.
Order bookCurrent order book at ₹570Cr; healthy pipeline from UK/EU.
Demand visibilityVisibility improving for H2; UK brand engagement rising.
Management confidenceConfident in H2 recovery; heavily emphasizing UK-India FTA benefits.

Growth

Consolidated Revenue fell 0.5% YoY; however, EBITDA rose 15.6% and Net Profit jumped 20.4%.

Outlook

Management reiterated FY27 consolidated revenue guidance of ₹2000Cr, implying significant H2 acceleration.

Risks

US tariff uncertainty delayed Q1 shipments; Sri Lanka operations still recovering from pre-operative losses.

Last quarter's promises, checked

Delivered

  • Guided SPUK EBITDA positive → delivered positive EBITDA INR 1.10Cr (= BEAT)
  • Guided Retail EBITDA breakeven → delivered positive EBITDA Q2-Q4FY26 (= BEAT)

Partly delivered

  • Guided 6000 machines by Mar-26 → delivered 5700 machines (= PARTIAL)
  • Guided standalone EBITDA margin 15% → delivered 17.2% in Q4 (= BEAT)

Missed

  • Guided Q4 standalone revenue INR 277Cr → delivered INR 251Cr (= MISS)
  • Guided FY26 consolidated revenue growth → delivered INR 1,578Cr vs INR 1,395Cr (= BEAT)
Source

Earnings Call Transcript filed with BSE, NSE: SPAL. Summary written with AI assistance from the document.

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S P Apparels Ltd: key numbers

Share price
₹965.60
Market cap
₹2,427 Cr
Revenue (annual)
₹1,579 Cr
Net profit (annual)
₹100.9 Cr
P/E (TTM)
23.1×Sector 55.7×
Promoter holding
61.81%+0.00% QoQ
FII holding
1.49%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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