RSWM Posts Rs 7 Cr Q1 Profit, Marks Strong Turnaround

RSWM Ltd., one of India’s leading manufacturers of value-added synthetic and blended yarns, denim, knitted fabrics, and green polyester fibers, reported a strong financial turnaround for Q1 FY26, posting a net profit of Rs 7 crore. This marks a significant recovery from a loss of Rs 13.7 crore in the same quarter last year.

Despite a 3.2% YoY dip in revenue to Rs 1,169 crore, the company recorded improved profitability metrics. Gross profit rose to Rs 440 crore (up 1.3% YoY), with margins strengthening to 37.3%, a 152 bps improvement driven by cost optimization and a better product mix.

EBITDA stood at Rs 81 crore, up 50.6% YoY, while the EBITDA margin expanded to 6.9%, improving 243 bps YoY. The PAT margin also returned to positive territory at 0.6%.

RSWM attributed the turnaround to disciplined cost management, lean inventory practices, and a focus on higher-margin synthetic yarns and export markets. The India–UK FTA and ongoing India–EU trade negotiations are also expected to support future export-led growth, especially in sustainable textiles.

Commenting on the performance, Riju Jhunjhunwala, Chairman and Managing Director, RSWM Ltd. said, “FY26 will be a pivotal year for the Indian textile sector as global dynamics evolve. Our industry continues its growth journey, supported by stable domestic demand, strong manufacturing capabilities, and a sharper focus on sustainability. The India–UK FTA marks a key milestone, placing India on par with global competitors in the UK apparel market. Strong supply chains, trusted partnerships, and reliable delivery networks position us to meet rising demand, with full benefits expected by FY27.

The ongoing India–EU FTA signals a major opportunity, as the EU’s focus on ESG-aligned sourcing aligns with India’s strengths in organic cotton, handloom textiles, and recycled fibres. European buyers are increasingly seeking responsible, high-value sourcing, further strengthening India’s regional relevance.

Looking ahead, our focus remains on enhancing operational agility, advancing ESG objectives, and expanding global presence. With continued policy support, progressive trade agreements, and strong customer engagement, RSWM is poised to become a leading force in the global textile value chain. We remain committed to innovation, sustainability, and delivering long-term value to all stakeholders.”