Arvind Fashions, the Indian retailer known for brands like Arrow, Calvin Klein, and Tommy Hilfiger, saw a 23.8% decrease in its consolidated net profit for the first quarter of FY27. The company’s net profit fell to Rs 9.6 crore from Rs 12.6 crore in the same quarter of FY26 due to higher costs, despite a 15.5% increase in revenue.
Revenue from operations surged by 15.5% year-on-year to Rs 1,279 crore, driven by robust demand and increased marketing investments across its brand portfolio. The company’s MD & CEO, Amisha Jain, highlighted a strong operating performance with a 15.5% revenue growth and 19.6% EBITDA growth.
Jain emphasized the impact of various factors like the West Asia conflict, higher petroleum prices, and forex rate fluctuations on the company’s performance. The EBITDA margin improved to 12.5% from 12% in the previous year, indicating enhanced operational efficiency.
Total expenses rose by 15% to Rs 1,245 crore during the quarter, affecting the company’s bottom line. Arvind Fashions cited increased raw material costs, partly due to the Iran conflict, as a key factor influencing input prices. The company also warned of potential inflationary pressures from geopolitical tensions in West Asia and El Nino’s impact on the monsoon.
