Presentation of Corporate Briefing Session

Key takeaways

• Sales for FY26 slightly decreased by 2% year-on-year to Rs 58,340 million compared to Rs 59,414 million in FY25.
• Gross profit for FY26 increased by 1% to Rs 9,920 million compared to Rs 9,802 million in FY25.
• Operating profit for FY26 decreased by 14% to Rs 6,344 million compared to Rs 7,416 million in FY25.
• Finance cost for FY26 decreased significantly by 52% to Rs 1,352 million from Rs 2,799 million in FY25.
• Profit before taxation for FY26 rose by 8% to Rs 4,992 million compared to Rs 4,618 million in FY25.
• Taxation for FY26 resulted in a positive tax credit/reversal of Rs 40 million compared to a tax expense of Rs 1,868 million in FY25.
• Profit after taxation for FY26 surged by 83% year-on-year to Rs 5,031 million from Rs 2,750 million in FY25.
• Cash profit for FY26 increased by 57% to Rs 6,672 million compared to Rs 4,238 million in FY25.
• Earnings per share (EPS) for FY26 improved to Rs 3.74 compared to Rs 2.04 in FY25.
• Property, plant & equipment increased to Rs 25,340 million in FY26 from Rs 24,391 million in FY25.
• Total equity rose to Rs 36,475 million in FY26 compared to Rs 31,982 million in FY25.
• Long-term loans decreased to Rs 2,679 million in FY26 from Rs 5,772 million in FY25, while short-term borrowings increased to Rs 9,208 million from Rs 7,416 million.
• Interest cover ratio improved to 4.69 in FY26 compared to 2.65 in FY25, and total debt to equity ratio strengthened to 32.59% from 42.27%.
• Home textile division sales for FY26 were Rs 16,898 million with a gross profit margin of 22.5% and PBT of Rs 1,451 million.
• Spinning division (net of power) sales for FY26 were Rs 28,743 million with a gross profit margin of 14.5% and PBT of Rs 2,863 million.
• Weaving division sales for FY26 were Rs 16,024 million with a gross profit margin of 12.2% and PBT of Rs 677 million.
• Export sales ratio increased to 41% in FY26 from 36% in FY25, while local sales ratio stood at 59% compared to 64% in FY25.
• Average energy cost per unit for the year ended June 30, 2026, decreased to Rs 27.9 / KWh from Rs 30.5 / KWh in FY25.
• Key business risks identified include raw material availability and prices, high energy prices, higher taxation, US tariffs, GSP Plus status, higher selling costs for exports, cashflow risk, interest rate risk, and macroeconomic, political, and law and order conditions.