Mumbai: Raymond Lifestyle’s Q3 FY26 revenue from operations stood at Rupees 1,849 crore, marking a 5.4 percent YoY rise from Rupees 1,754 crore in Q3 FY25 and a marginal 0.9 percent QoQ growth over Rupees 1,832
crore in Q2. Total income grew in parallel to Rupees 1,883 crore. However, consolidated net profit fell sharply to Rupees 429 crore from Rupees 752 crore in Q2 and Rupees 642 crore in the year-ago quarter. The profit was impacted by a Rupees 568 crore exceptional loss stemming from implementation of the new labour codes, including gratuity and leave encashment provisions.
Sequential growth moderates amid regulatory drag
While operating performance remained resilient, net profit was pulled down by one-time statutory costs. EBITDA rose to Rupees 271 crore in Q3 from Rupees 259 crore in Q2, indicating improved operational efficiency. However, deferred tax outflow of Rupees 137 crore further dented profitability. Employee benefit expenses rose to Rupees 238.7 crore from Rupees 226.5 crore last quarter. Net profit margin compressed to 3.37 percent from 4.47 percent sequentially, while EPS dropped to Rupees 7.04 from Rupees 12.34. Notably, the garmenting segment declined 17 percent YoY due to export headwinds and US tariff uncertainties.
Management commentary and drivers
Executive Chairman Gautam Hari Singhania said the company’s Q3 resilience stemmed from strong domestic demand in lifestyle categories, especially branded textiles and apparel. Textile revenue grew 11 percent YoY to Rupees 951 crore while EBITDA for this segment surged 35 percent to Rupees 207 crore. Apparel revenue rose 5 percent YoY to Rupees 482 crore, though margins dipped due to increased marketing costs. The store count grew to 1,675, reflecting ongoing retail expansion. Management highlighted the UK-India FTA and ongoing network optimization as strategic levers for future stability.
Nine-month performance builds momentum
For 9M FY26, Raymond Lifestyle’s consolidated revenue stood at Rupees 5,111 crore, a 9.2 percent rise over Rupees 4,683 crore in the same period last year. Net profit rose 18 percent YoY to Rupees 982 crore. EBITDA for the nine months came in at Rupees 652 crore, with margins holding at 12.5 percent. Despite global macro challenges, the company continues to capitalize on strong domestic tailwinds and is well-placed operationally with a low net debt position of Rupees 15 crore.
Disclaimer: This report is based on publicly disclosed financial results by Raymond Lifestyle. It is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell.
