RSWM Limited announces financial turnaround with Rs 7 crore profit in Q1

RSWM Limited, a prominent Indian manufacturer of value-added synthetic, mélange, blended spun yarns, denim fabric, knitted fabric, and green polyester fibres, has announced a significant turnaround in its financial performance for the first quarter of fiscal year 2026, which ended on June 30, 2025.

The company reported a profit after tax (PAT) of Rs 7 crore, a substantial improvement from a loss of Rs 13.7 crore in the same period last year. This turnaround was driven by robust EBITDA growth of 50.6 percent year-over-year, reaching Rs 81 crore, and notable margin gains.

The company's revenue for the quarter stood at Rs 1,169 crore, a slight decline of 3.2 percent due to subdued export demand. However, RSWM's gross profit improved by 1.3 percent to Rs 440 crore, with the gross profit margin strengthening to 37.3 percent, up 152 basis points year-over-year. The EBITDA margin also expanded to 6.9 percent, up 243 basis points year-over-year.

Riju Jhunjhunwala, CMD of RSWM Limited, commented on the results, stating that "FY26 will be a pivotal year for the Indian textile sector as global dynamics evolve." He highlighted the positive impact of the India-UK Free Trade Agreement (FTA), which he believes places India "on par with global competitors in the UK apparel market." He also noted the potential opportunities arising from ongoing India-EU FTA talks, particularly as the EU increasingly focuses on ESG-aligned sourcing, aligning with India's strengths in organic cotton, handloom textiles, and recycled fibres.

RSWM's strategic initiatives, including streamlining processes, cutting waste, and prioritising higher-margin synthetic yarns, have contributed to its improved efficiency and financial discipline. The company remains committed to enhancing operational agility, advancing ESG objectives, and expanding its global presence, aiming to become a leading force in the global textile value chain.