BSEAcknit Industries LtdHighNeutral
Announced Fri, 14 Nov · 17:51 IST

Financial Results for the quarter and half-year ended 30.09.2025

Ebitda Margin CompressionResults View source PDF

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Awaiting price reaction for this filing.

AI summary

Acknit Industries reported Q2 FY26 revenue from operations of Rs 66.80 crore, up 7.1% from Rs 62.39 crore in Q2 FY25. Half-year revenue grew 2% to Rs 122.05 crore vs Rs 119.62 crore. However, profit after tax fell sharply — Q2 PAT dropped 32% to Rs 1.41 crore (vs Rs 2.08 crore), and H1 PAT declined 23% to Rs 3.11 crore (vs Rs 4.06 crore). Profit before tax fell 34% in Q2 and 25% in H1, hit by a steep ~50% jump in finance costs (Rs 2.02 crore vs Rs 1.34 crore). EBITDA margins compressed to roughly 5.5% in Q2 from about 7% a year ago. Segment-wise, Hand Gloves revenue declined while Garments grew strongly. Auditor SRB & Associates issued an unmodified (clean) opinion.

Likely market impact

Revenue growth is modest and being eaten away by rising finance costs and weaker margins, leading to a sharp fall in profits. Shareholders should note the pressure on profitability despite top-line stability, though the clean auditor opinion and positive operating cash flow of Rs 7.86 crore in H1 provide some comfort.