1. Multiples PE acquisition and open offer - Multiples Private Equity completed Tranche 1 (5.89%) and launched a mandatory open offer for 26% at ₹388/share, with control transferring upon Tranche 2 completion and Dilip Piramal becoming Chairman Emeritus. The new controlling shareholder brings a stated intent to streamline operations, restructure business, and pursue strategic partnerships or acquisitions.
2. New management team build-out - CEO Atul Jain and a fresh senior team spanning CFO, CSO, CMO, E-com, and CIO roles were onboarded by Q4 FY26, while retaining key internal manufacturing and supply-chain leaders. The build-out completes the leadership reset needed to execute the three-phase growth roadmap from stabilisation to acceleration.
3. Channel inventory and company inventory normalisation - Channel inventory was cut to under 60 days by March 2026 from 90+ days in September 2025, and company gross inventory fell from 45 lac units to 28 lac units with \~₹130 Cr of provisions taken. Net inventory dropped \~₹230 Cr to ₹472 Cr, releasing working capital and removing the overstocking drag that depressed sell-in during FY26.
4. Debt reduction and balance sheet repair - Net debt fell from ₹367 Cr to ₹295 Cr during FY26, adding to the ₹118 Cr reduction in FY25, while operational cash flow turned positive at ₹292 Cr in FY25. A ₹357 Cr contingent liability was also removed via a favourable tribunal judgment, further de-risking the balance sheet.
5. Non-core asset monetisation - Binding agreements were signed to sell three non-core properties - Nagpur, Nashik, and VIP House Mumbai - to promoter group entities for a combined \~₹116 Cr. The proceeds provide incremental cash for debt reduction or reinvestment without diluting the operating business.
6. Premiumisation and brand mix upgrade - Management targets lifting Carlton salience from 6% to 10% of revenue and shifting mix from Aristocrat (\~₹7,000 price point) toward VIP and Skybag (\~₹10,000), where gross margins are 800-1,000 bps higher. 25 new Carlton exclusive stores were planned in six months, and airport store contracts were secured at six airports.
7. Bangladesh manufacturing turnaround - Bangladesh operations swung from an ₹11 Cr loss in Q1 FY25 to an ₹8 Cr operating profit in Q1 FY26 and delivered ₹9 Cr EBITDA in Q4 FY26, with capacity utilisation above 80%. Soft luggage upright production started in January 2025, and capacity can be doubled by adding one more shift, offering low-cost volume headroom.
8. Cost optimisation and supply chain transformation - Warehousing space was cut by 7 lakh sq ft, saving at least ₹2.5 Cr annually, and employee benefit expenses fell from 12% to 10% of revenue in FY25. A BCG-led project targeting ₹250 Cr in bottom-line impact was 50% complete as of Q3 FY25, with ₹40-50 Cr expected to flow into the P&L in FY25.