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Arex Industries Ltd, a Gujarat-based textile labels manufacturer, reported its Q2 FY26 results on 12 November 2025. Revenue from operations for Q2 FY26 stood at Rs. 1,300.70 lakhs, up about 5.4% from Rs. 1,233.52 lakhs in Q2 FY25. Profit after tax jumped to Rs. 100.04 lakhs from Rs. 56.96 lakhs, a sharp ~76% YoY rise. For the half year (H1 FY26), revenue declined to Rs. 2,427.43 lakhs from Rs. 2,530.45 lakhs in H1 FY25, while PAT slipped to Rs. 124.73 lakhs from Rs. 139.93 lakhs. Operating cash flow for H1 remained healthy at Rs. 397.25 lakhs. Total borrowings reduced to about Rs. 1,071 lakhs and the auditor (Sweta Patel & Associates) issued a clean limited review report with no qualifications.
The strong sequential and YoY jump in Q2 PAT signals margin recovery and improved operating efficiency, which is positive for shareholders. However, the H1 top-line contraction and weaker half-yearly profits suggest the momentum may not yet be broad-based, so investors should watch whether the Q2 improvement sustains into the second half of FY26.