S. P. APPARELS LIMITED

Manufactures and exports readymade garments, primarily for children, from factories in India, with newer capacity in Sri Lanka and a UK distribution operation. The Garment Division, which includes the Young Brand apparel unit serving a 100% US customer base, generated INR 1,421 crore of revenue in FY26 with EBITDA of INR 230 crore at a 16.2% margin. The UK arm SPUK turned EBITDA positive in FY26 on GBP 7.5 million of revenue, and an in-house Retail division achieved EBITDA breakeven from Q2 through Q4 FY26. A Sri Lanka factory commenced operations in mid-April 2026, with management targeting INR 200-250 crore from that unit in FY27. The consolidated order book stood at INR 600 crore across divisions (SPAL Garmenting INR 380 crore, Young Brand INR 142 crore, SPUK GBP 6.1 million). Management is targeting a geographic mix of 30% US, 35% EU and 35% UK by FY27, with FY27 consolidated revenue guidance of INR 2,000 crore at 14-15% EBITDA margin. The biggest cost line is materials at 32.3% of revenue, followed by employee costs at 25.3%, reflecting the labour-intensive nature of garment making. Current capacity utilization is around 75%, with a target of 90%+ at full deployment of 9,000-10,000 machines by FY28, when peak revenue is targeted at INR 2,500 crore.