Atvo Enterprises Ltd (532090)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Atvo Enterprises' revenue was ₹0.9 Cr (+8.7% year on year, -67.7% on the previous quarter), and net profit ₹0.1 Cr (-16.7% year on year); the operating margin was 6.9%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹0.9 | +8.7% | -67.7% |
| Operating profit | ₹0.1 | -14.3% | -14.3% |
| Net profit | ₹0.1 | -16.7% | +0.0% |
| EPS (₹) | 0.00 | -100.0% | — |
| Operating margin | 6.9% | — | — |
📢 Recent Corporate Announcements
Atvo Enterprises Limited has approved a Scheme of Amalgamation to merge three promoter-group entities—Atvo Agrochem Limited, Shubhshree Health Care Private Limited, and Shorya Business (India) Limited—into itself. In consideration, Atvo will issue new equity shares of Re. 1 face value each, expanding its total equity base from 10.69 crore shares to 16.13 crore shares. Consequently, promoter shareholding will increase from 55.80% to 70.65%, diluting public shareholding from 44.20% to 29.35%. The transaction is a related-party merger subject to NCLT Jaipur bench, BSE, and public shareholder approvals via majority of minority voting.
- Share exchange ratio set at 58 shares of Atvo for every 100 shares of Atvo Agrochem, 5,202 for every 100 shares of Shubhshree Health Care, and 4,160 for every 100 shares of Shorya Business.
- Total share capital expands from 10,69,85,070 shares to 16,13,49,170 shares (a 50.8% equity base expansion).
- Promoter shareholding increases from 55.80% (5.97 cr shares) to 70.65% (11.40 cr shares), while public shareholding drops to 29.35%.
- Target entities had FY26 revenues of Rs 0 (Atvo Agrochem), Rs 0 (Shubhshree), and Rs 815.30 Lakhs (Shorya Business), with CWIP assets taken at book value.
Atvo Enterprises has approved a Scheme of Amalgamation to merge three group entities—Atvo Agrochem Limited, Shubhshree Health Care Private Limited, and Shorya Business (India) Limited—into itself. In consideration, the company will issue new equity shares, expanding its equity base from 10.69 crore shares to 16.13 crore shares. Consequently, promoter shareholding will increase from 55.80% to 70.65%, while public shareholding will dilute to 29.35%. The transaction is a related-party merger subject to approvals from the Jaipur Bench of the NCLT, BSE, and public shareholders via e-voting.
- Board approved merger of Atvo Agrochem, Shubhshree Health Care, and Shorya Business into Atvo Enterprises.
- Total share count expands by 5.43 crore shares, increasing total paid-up shares from 10,69,85,070 to 16,13,49,170.
- Promoter holding will increase from 55.80% to 70.65%, diluting public holding to 29.35%.
- Swap ratios: 58 shares for 100 shares of Atvo Agrochem; 5,202 shares for 100 shares of Shubhshree Health Care; 4,160 shares for 100 shares of Shorya Business (India).
- Combined assets being merged include Atvo Agrochem (Rs 158.07 crore assets), Shorya Business (Rs 50.30 crore assets), and Shubhshree (Rs 10.41 crore assets).
ATVO Enterprises reported a total income of ₹86.94 Lakhs for the quarter ended June 30, 2026, representing an 8.6% increase from ₹80.03 Lakhs in the corresponding quarter of the previous year. Despite the revenue growth, net profit after tax declined by 18.5% to ₹4.54 Lakhs, down from ₹5.57 Lakhs in Q1 FY26. This decline was driven by an 11.3% increase in total expenses, which rose to ₹80.81 Lakhs. The company continues to operate within a single segment, Knitting Job work, with a relatively large equity base of ₹1,069.85 Lakhs compared to its quarterly turnover.
- Total income from operations increased to ₹86.94 Lakhs from ₹80.03 Lakhs YoY.
- Net profit after tax fell to ₹4.54 Lakhs compared to ₹5.57 Lakhs in the same period last year.
- Total expenses rose to ₹80.81 Lakhs, up from ₹72.59 Lakhs in Q1 FY26.
- Paid-up equity share capital stands at ₹1,069.85 Lakhs with a face value of ₹1 per share.
- Basic and Diluted EPS for the quarter is reported at 0.00424.
ATVO Enterprises (formerly Vandana Knitwear) reported a total income of ₹86.94 Lakh for the quarter ended June 30, 2026, representing an 8.6% increase from ₹80.03 Lakh in the same quarter last year. However, net profit declined by 18.5% YoY to ₹4.54 Lakh, down from ₹5.57 Lakh, as total expenses rose by 11.3% to ₹80.81 Lakh. The company continues to operate with very thin margins (5.2% net margin) in its sole segment of knitting job work. The equity base remains high at ₹10.70 Crore relative to the current scale of earnings.
- Total income from operations increased 8.6% YoY to ₹86.94 Lakh from ₹80.03 Lakh.
- Net profit after tax fell 18.5% YoY to ₹4.54 Lakh compared to ₹5.57 Lakh in Q1 2025.
- Total expenses grew to ₹80.81 Lakh, primarily driven by purchases of stock-in-trade and inventory adjustments.
- Paid-up equity share capital remains unchanged at ₹1,069.85 Lakh (Face Value ₹1).
- Earnings Per Share (EPS) for the quarter stood at ₹0.00424, down from ₹0.00521 YoY.
Atvo Enterprises Ltd (formerly Vandana Knitwear Limited) has scheduled a board meeting for July 17, 2026. The primary agenda is to consider and approve the unaudited standalone financial results for the quarter ended June 30, 2026. This is a routine regulatory filing in compliance with SEBI (LODR) Regulations. The trading window for insiders remains closed until 48 hours after the results are declared.
- Board meeting scheduled for July 17, 2026, to review Q1 FY27 performance
- Financial results pertain to the quarter ended June 30, 2026
- Trading window for insiders closed until 48 hours post-announcement
- Meeting to be held at the company's registered office in Bhilwara, Rajasthan
Financial Performance
Revenue Growth by Segment
The Company operates in a single reportable segment, Knitting Job work, which accounts for 100% of its business operations as per IND AS 108. Specific year-on-year revenue growth for the company is not disclosed in the provided documents, though global textile market growth is projected at a CAGR of 7.1% through 2029.
Geographic Revenue Split
Not disclosed for the company; however, the Asia Pacific region, including India, dominated the global textile market with a 54% share in 2024.
Profitability Margins
Specific profitability margins (Gross, Operating, Net) are not disclosed in the available documents. The company notes that fluctuations in raw material costs like cotton and synthetic fibers directly affect profit margins.
Operational Drivers
Raw Materials
Cotton and synthetic fibers are the primary raw materials used in the knitting job work process. The specific percentage of total cost each represents is not disclosed.
Capacity Expansion
Current installed capacity and planned expansion timelines are not disclosed in the provided documents.
Raw Material Costs
Raw material costs are described as a persistent issue due to high prices and fluctuations in cotton and synthetic fibers, which lead to increased production expenses and margin pressure.
Strategic Growth
Expected Growth Rate
7.1%
Growth Strategy
The company aims to achieve growth by leveraging its position in the knitting job work segment, benefiting from a 7.1% industry CAGR. Strategy includes responding to increased demand for man-made fibers, expanding e-commerce penetration, and transitioning toward sustainable and environment-friendly products. The company also underwent a rebranding from Vandana Knitwear Limited to ATVO Enterprises Limited in 2025 to reflect its evolving corporate identity.
Products & Services
Knitting job work services.
Brand Portfolio
ATVO Enterprises (formerly Vandana Knitwear).
Market Expansion
The company is focusing on the Asia Pacific region, which holds 54% of the global market share, driven by favorable government policies and a fashion-conscious population.
Market Share & Ranking
A third-party organization has pronounced the company as a leader in the FMCG category compared to various companies in India and globally.
External Factors
Industry Trends
The industry is shifting toward smart textiles, functional fibers, and sustainable production. The global textile market is expected to reach $3,047.24 billion by 2030, driven by an 8.7% historic CAGR and a 7.1% forecast CAGR.
Competitive Landscape
The market is dominated by the Asia Pacific region (54% share), with major competition from China and Bangladesh.
Competitive Moat
The company's moat is based on its established presence in the knitting job work segment and its recognition as a leader in its category by third-party benchmarking, though sustainability is challenged by high raw material volatility.
Macro Economic Sensitivity
The company is sensitive to global GDP growth (3.1% in FY25) and Indian GDP growth (6.5% in FY25). High interest rates are noted as a factor that may curtail consumer spending in related sectors.
Consumer Behavior
Increased demand for contactless delivery, e-commerce expansion, and a shift toward sustainable and environment-friendly products are primary drivers of changing consumer demand.
Geopolitical Risks
The Russia-Ukraine war and other geopolitical conflicts are cited as factors affecting international trade dynamics and contributing to a 3.24% downturn in textile exports.
Regulatory & Governance
Industry Regulations
The company must comply with the Companies Act 2013, SEBI (LODR) Regulations 2015, and environmental regulations. Notable non-compliances include failure to appoint an Internal Auditor and the Statutory Auditor not holding a valid Peer Review Certificate for the June 2024 quarter.
Environmental Compliance
Growing need for compliance with environmental regulations regarding carbon footprints from dyeing and heating adds cost and complexity to operations.
Legal Contingencies
The company faced several regulatory issues: non-compliance with Regulation 47 of SEBI (LODR), delayed entries in the Prohibition of Insider Trading (PIT) software due to technical issues, and the resignation of Statutory Auditor S.N. Kabra without issuing a Limited Review Report for the required period.
Risk Analysis
Key Uncertainties
Fluctuations in raw material prices (cotton/synthetic fibers) and geopolitical tensions impacting export demand (3.24% decline) are the primary business risks.
Geographic Concentration Risk
Not disclosed for the company; however, the industry is heavily concentrated in the Asia Pacific region (54% of global share).
Technology Obsolescence Risk
The company faces risks related to the shift toward smart textiles and the need for technological progress in functional fibers.
