• Financial performance outlook: EBITDA rose 11% year-on-year to ₹135 crore in Q1, and while a higher garmenting mix temporarily widened PAT losses, management expects Q2 sales to exceed ₹2,000 crore. Profitability is guided to turn positive in Q2, with full-year PAT expected to surpass ₹200 crore.
• Garmenting and exports: Garmenting revenue surged 50% year-on-year in Q1 with an 1,100 bps shift in profitability, supported by returning US customers and the UK FTA. Export garmenting factories are fully booked through December, while cotton shirting capacity is booked for the next 90 days.
• Store network rationalization: The company closed 40 loss-making stores and opened 18 calibrated outlets in high-throughput areas during Q1 to optimize its retail footprint ahead of future exclusive brand outlet (EBO) expansion. Apparel advance bookings for next summer grew 20% year-on-year, while autumn-winter bookings are overbooked with a 5% price increase.
• Emerging brands expansion: Park Avenue innerwear grew 20% in Q1 and is projected to exceed 30% by year-end, supported by an upcoming ColorPlus innerwear launch in Q4. Ethnix is closing loss-making stores, shifting high-value apparel to a made-to-measure model, and distributing lower-priced products through D2C, marketplaces, and existing Raymond Store channels.