Meenakshi India Plans To Double Apparel Capacity By FY30, Q1 PAT Surges 153%
Meenakshi India Ltd plans to more than double its apparel manufacturing capacity to 38 lakh pieces by FY30 from around 18 lakh pieces currently, backed by a phased capital expenditure of ₹40-50 crore, as the company positions itself to benefit from the ongoing shift in global sourcing towards India.
The company intends to add two manufacturing units in phases, with the first facility expected to become operational by FY28 and the second by FY30, depending on demand. Capacity utilisation is targeted at around 70% in FY27.
According to Ashutosh Goenka, Chairman and Managing Director, India is well placed to emerge as a preferred global apparel sourcing destination as international brands continue to diversify sourcing strategies beyond China.
Meenakshi India has set a target of achieving ₹500 crore revenue and ₹65 crore profit after tax (PAT) by FY30. Management described the targets as conservative and expressed confidence of exceeding them as free trade agreements and global sourcing opportunities gain momentum.
For the first quarter of FY27, the company reported a 153% year-on-year increase in consolidated PAT to ₹7.12 crore, compared to ₹2.81 crore in the corresponding quarter last year. Revenue from operations stood at ₹32.24 crore.
The textile segment reported an operating profit of ₹3.43 crore, a significant improvement from ₹28.24 lakh in Q1 FY26. The company said its core garment business returned to positive operating performance during the quarter following corrective measures implemented over the past year.
Looking ahead, Meenakshi India is targeting an EBITDA margin of around 17% by FY28, with profitability expected to improve as tariff-related pressures ease.
To strengthen its global sourcing flexibility, the company has entered into a contract manufacturing arrangement in Sri Lanka and is evaluating manufacturing opportunities in Nepal and Vietnam. These initiatives are aimed at providing customers with alternative sourcing options and mitigating geopolitical and tariff-related risks.
The company is also expanding its presence in international markets, including Australia, Japan and Canada, while continuing to focus on premium apparel categories such as bottom-wear, outerwear, women’s wear and athleisure.
With planned capacity expansion, improving profitability and a diversified sourcing strategy, Meenakshi India is positioning itself to capitalize on the growing opportunities emerging from global supply chain realignment and rising demand for premium apparel manufacturing from India.
