Vardhman Textiles Q3: Profit slides 21% on margin squeeze despite steady revenues

Vardhman Textiles Ltd declared its financial performance for the October-December quarter in FY26, with profit and margins under pressure even as revenue growth remained modest.

The textile major on Wednesday, January 21, posted a 21.3% year-on-year (YoY) decline in net profit at ₹166 crore in Q3FY26, compared with ₹211 crore in the year-ago period, weighed down by weaker operating profitability. EBITDA fell 9.4% to ₹283.5 crore from ₹313 crore last year, reflecting higher costs and margin compression.

Revenue from operations, however, rose 1.6% year-on-year to ₹2,505 crore, up from ₹2,465 crore in Q3FY25, indicating steady demand conditions despite a challenging pricing environment.

As a result, EBITDA margin narrowed to 11.32%, compared with 12.70% in the corresponding quarter last year, underscoring pressure on operating leverage during the quarter.

Vardhman Textiles Q2 result


The company reported a 5% year-on-year decline in net profit to ₹187 crore in Q2FY26, compared with ₹197 crore a year earlier, while revenue slipped 1% to ₹2,480 crore from ₹2,505.5 crore. EBITDA, however, rose 6% to ₹334 crore, with margins expanding 90 basis points year-on-year to 13.5% from 12.6%.

Shares of Vardhman Textiles ended 1.70% lower at ₹396 following the Q3 result announcement on Wednesday. The stock has fallen 11.85% in the past one month.