BSERainbow Denim LtdMediumNeutral
Announced Thu, 5 Feb · 14:13 IST

THE BOARD OF DIRECTORS IN THEIR MEETING HELD ON TODAY THURSDAY i.e. 05TH DAY OF FEBRUARY INTERALIA CONSIDERED AND APPROVED THE UNAUDITED FINANCIAL RESULTS FOR QUARTER ENDED DECEMBER 31, 2025

Revenue Growth 20pctPat Growth 25pctEbitda Margin ExpansionResults View source PDF
Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Rainbow Denim's board, at its meeting on February 5, 2026, approved the unaudited financial results for Q3 FY26 (quarter ended December 31, 2025) along with the Limited Review Report by statutory auditor Krishan Rakesh & Co., which was unqualified. Q3 revenue from operations stood at Rs 6,508.11 lakh, up nearly 80% from Rs 3,621.20 lakh in Q3 FY25. Net profit surged to Rs 681.52 lakh (EPS Rs 5.13) versus Rs 214.74 lakh (EPS Rs 0.16) a year earlier, a growth of over 3x year-on-year. For the 9-month period (April–December 2025), revenue more than doubled to Rs 20,207.11 lakh from Rs 9,784.58 lakh, while net profit jumped to Rs 1,855.79 lakh from Rs 529.02 lakh. Profitability metrics improved notably: operating profit before interest, depreciation and exceptional items expanded sharply, with EBITDA margin moving from about 10.5% in Q3 FY25 to roughly 16.3% in Q3 FY26. The auditor's review report did not flag any qualifications, emphasis of matter, or going-concern issues.

Likely market impact

Strong top-line and bottom-line growth, with expanding margins, signals a significant turnaround or scale-up phase for Rainbow Denim, which is positive for shareholders. The clean auditor review adds credibility to the numbers; investors should track whether this growth momentum sustains in Q4 and FY27.