Arvind Fashions Threads a Strong Q3 Story with Double-Digit Growth and Digital Momentum
Share Post

Arvind Fashions Limited (AFL) delivered a robust performance in the third quarter of FY26, underlining its growing strength in India’s branded apparel space. For the quarter ended December 31, 2025, the company reported a 14.5 per cent year-on-year jump in revenue, reaching ₹1,377 crore, driven largely by strong traction in its direct-to-consumer (D2C) channels. This momentum reflects a clear shift in consumer engagement, with shoppers increasingly gravitating toward brand-owned retail and digital platforms.

Profitability followed the same upward trajectory. EBITDA (excluding other income) rose 18 per cent to ₹195 crore, while margins expanded by 40 basis points to 14.2 per cent, highlighting disciplined cost management and improved operational efficiency. Retail like-to-like growth stood at 8.2 per cent, while the online B2C channel delivered a striking near-50 per cent growth, reinforcing the company’s digital-first strategy.

Beyond topline growth, Arvind Fashions strengthened its financial fabric through better margins and sharper execution. Gross margins expanded by 50 basis points to 55.4 per cent, supported by a favourable channel mix and lower cost of goods sold. This improvement underscores the company’s focus on premiumisation and higher-margin formats. Key performance highlights included:

  • Profit after tax (PAT) from continuing operations (excluding Code on Wages impact) surged 65.2 per cent to ₹44 crore
  • Reported PAT stood at ₹26 crore, broadly stable compared to the previous year
  • Strong control over costs and steady inventory management

These numbers reflect a business that is not only growing but doing so with improving quality of earnings an important signal for investors and industry watchers alike.

For the nine-month period ended December 2025, Arvind Fashions continued its upward climb. Revenues reached ₹3,901 crore, marking a 13.7 per cent YoY increase, while EBITDA grew 16.3 per cent to ₹515 crore. The company also maintained healthy net working capital days, supported by stable inventory turns an indicator of efficient supply chain and demand planning.

Looking ahead, the company remains focused on building long-term value through a multi-pronged strategy. Managing Director and CEO Amisha Jain emphasised that future growth will be driven by strengthening direct channels, expanding the retail footprint, accelerating premiumisation, and scaling adjacent categories. This approach positions Arvind Fashions to tap evolving consumer preferences while reinforcing brand equity across its portfolio.

In a market where agility, digital reach, and brand resonance matter more than ever, Arvind Fashions’ Q3 performance signals a business confidently weaving growth, profitability, and strategy into a cohesive narrative one that bodes well for the quarters ahead.

12:21 PM, Jan 30

Other Related Topics

Industry Update