Loyal Textile Mills Limited (LOYALTEX)
₹206.98 -0.50% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Loyal Textile's revenue was ₹86.1 Cr (-36.3% year on year, +5.0% on the previous quarter), and net profit ₹-1.5 Cr (a smaller loss than a year earlier); the operating margin was -2.7%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹86.1 | -36.3% | +5.0% |
| Operating profit | ₹-2.3 | loss narrowed | loss narrowed |
| Net profit | ₹-1.5 | loss narrowed | loss narrowed |
| EPS (₹) | -3.11 | loss narrowed | loss narrowed |
| Operating margin | -2.7% | — | — |
LOYALTEX delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 90.84% of the LOYALTEX shares traded on NSE were taken to delivery, against the stock's own 20-session average of 86.1%. That is close to its usual level. Turnover was only ₹1 lakh, so a handful of trades can move this figure. Volume was 0.1 times its average, well below normal. It closed at a price band (circuit) on 1 session in about the last 20.
Delivery in the last 5 sessions: 99.1% · 84.6% · 87.5% · 90.4% · 90.8%
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Loyal Textile Mills has approved the redesignation of Mrs. Vishala Ramswami from Non-Executive Director to Executive Director/Whole-Time Director for a period of 5 years starting October 1, 2026. She is the daughter of Chairperson Mrs. Valli M Ramaswami and will receive an annual remuneration of ₹36 lakhs, subject to shareholder approval. The company continues to face operational stress, posting a TTM net loss of ₹48 Cr on ₹379 Cr revenue and carrying ₹216 Cr in debt.
- Appointment effective October 1, 2026 for a tenure of 5 years
- Proposed annual remuneration fixed at ₹36 lakhs p.a.
- Director is the daughter of Chairperson Mrs. Valli M Ramaswami
- Approval granted via circular resolution on September 25, 2026, subject to shareholder consent
Loyal Textile Mills Limited has issued the notice for its 80th Annual General Meeting (AGM), scheduled for September 22, 2026, via video conferencing. Key resolutions include the adoption of FY26 audited accounts, ratification of ₹1,00,000 cost auditor remuneration, and director appointments. Notably, Mr. M. E. Manivannan is proposed for re-appointment as Whole Time Director for a 5-year term from February 11, 2027, at a monthly CTC of ₹5,80,615. The remote e-voting period runs from September 19 to September 21, 2026, with a cut-off date of September 15, 2026.
- 80th AGM scheduled to be held on September 22, 2026 at 10:45 AM via VC/OAVM
- Remote e-voting window opens on September 19, 2026 (09:00 AM) and closes on September 21, 2026 (05:00 PM)
- Cut-off date for e-voting entitlement established as September 15, 2026
- Proposed re-appointment of Whole Time Director Mr. M. E. Manivannan for 5 years at ₹5,80,615 per month CTC
- Cost auditor remuneration ratification proposed at ₹1,00,000 plus taxes for FY27
Loyal Textile Mills has responded to a non-compliance notice from the National Stock Exchange (NSE) regarding a one-day delay in filing financial results under Regulation 33 of SEBI LODR. The delay pertained to results for the quarter and year ended March 31, 2026, which were approved on May 27, 2026, and submitted to BSE. The company has paid the standard fine of ₹5,000 plus 18% GST, totaling ₹5,900, to settle the compliance matter. The Board noted the oversight and reaffirmed its commitment to timely statutory filings.
- NSE issued non-compliance notice ref NSE/LIST-SOP/FINES/0717 dated June 30, 2026 for delayed Regulation 33 filing
- Company remitted fine of ₹5,000 plus 18% GST totaling ₹5,900 via NEFT
- Non-compliance involved a 1-day delay in filing financial results for the quarter and year ended March 31, 2026
- Results were approved at the Board Meeting on May 27, 2026 and published in newspapers
Loyal Textile Mills reported a standalone net loss of Rs 3.34 Cr for Q1 FY27, showing a significant narrowing from the Rs 25.14 Cr loss in Q1 FY26. However, revenue from operations fell 33.8% YoY to Rs 86.06 Cr, indicating a shrinking business scale amid export demand slowdowns. The company continues to rely on asset monetization, recording an exceptional gain of Rs 2.34 Cr from the sale of idle machinery this quarter. Auditors have raised an 'Emphasis of Matter' regarding the consolidation of an overseas joint venture based on unreviewed management data and the company's ongoing liquidity challenges.
- Revenue from operations dropped to Rs 86.06 Cr in Q1 FY27 from Rs 130.11 Cr in Q1 FY26.
- Net loss narrowed to Rs 3.34 Cr from a loss of Rs 25.14 Cr in the previous year's corresponding quarter.
- Exceptional gain of Rs 2.34 Cr realized from the disposal of surplus plant and machinery.
- Finance costs decreased significantly to Rs 5.01 Cr from Rs 9.49 Cr in the year-ago period.
- Total expenses were rationalized to Rs 96.20 Cr, down from Rs 159.16 Cr in Q1 FY26.
Loyal Textile Mills Limited has filed its quarterly compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018, for the quarter ended June 30, 2026. The company's Registrar and Share Transfer Agent, GNSA Infotech Private Limited, confirmed the processing of 33 physical share certificates. A total of 1,601 equity shares were dematerialized and the corresponding physical certificates were mutilated and cancelled. The filing confirms that all dematerialization requests were handled within the mandated 15-day period.
- Processed 33 physical share certificates for dematerialization during the quarter.
- Total of 1,601 equity shares converted from physical to electronic format.
- All dematerialization requests were confirmed within the regulatory 15-day timeline.
- Reporting period covers the quarter ended June 30, 2026.
Loyal Textile Mills has announced the closure of its trading window starting July 1, 2026, for the quarter ending June 30, 2026. This is a standard regulatory procedure under SEBI Insider Trading regulations. The company is currently navigating a difficult financial period, reporting a TTM revenue of ₹428 Cr and a TTM net loss of ₹64 Cr. Investors should await the board meeting date notification for the actual financial performance disclosure.
- Trading window closure effective from July 1, 2026
- Closure pertains to the financial results for the quarter ending June 30, 2026
- Window to reopen 48 hours after the official declaration of results
- Designated persons and insiders were notified of the closure on June 27, 2026
Loyal Textile Mills Limited has announced that Mr. N Srinivasan, the Chief Executive Officer, has resigned due to personal reasons effective June 30, 2026. The Board has promptly entrusted the company's overall management and operations to Mr. M.E. Manivannan, an existing Executive Director and Key Managerial Personnel. This internal transition is intended to ensure business continuity and operational stability. The outgoing CEO has confirmed there are no other material reasons for his departure beyond personal ones.
- CEO Mr. N Srinivasan to step down effective June 30, 2026, after resigning on June 9, 2026.
- Executive Director Mr. M.E. Manivannan (DIN: 02229808) appointed to oversee overall management.
- The Board and Nomination and Remuneration Committee approved the transition via circular resolution on June 10, 2026.
- The company confirmed no material reasons for resignation other than personal grounds.
Loyal Textile Mills reported a challenging fiscal year 2026, with annual revenue from operations dropping 32.8% to ₹421.96 crore from ₹627.78 crore in FY25. The net loss for the year widened to ₹66.22 crore compared to a loss of ₹54.68 crore in the previous year, resulting in a negative EPS of ₹137.48. The company faced a significant inventory impairment of ₹36.46 crore due to market volatility, though this was partially mitigated by a ₹33.81 crore gain from the sale of non-core assets. A positive highlight is the substantial reduction in current borrowings, which fell from ₹413.30 crore to ₹215.60 crore as part of an asset monetization and deleveraging strategy.
- Annual revenue from operations fell by 32.8% YoY to ₹421.96 crore.
- Net loss for FY26 widened to ₹66.22 crore from ₹54.68 crore in FY25.
- Recognized an exceptional inventory impairment charge of ₹36.46 crore citing geopolitical developments and market shifts.
- Current borrowings significantly reduced by 47.8% to ₹215.60 crore through the sale of land, windmills, and idle machinery.
- Discontinued operations (SVTM and CTM units) reported a net loss of ₹15.60 crore for the full year.
Shareholders of Loyal Textile Mills Limited have officially approved a material related party transaction (RPT) with Gruppo P&P Loyal S.p.A. The resolution was passed via postal ballot with an overwhelming majority, where 99.99% of the polled votes were in favor. The voting process saw a total turnout of 71.18% of the company's 4,816,446 outstanding shares. This approval ensures the continuation of business dealings between the company and its group entity, Gruppo P&P Loyal S.p.A.
- Ordinary resolution for Material Related Party Transaction with Gruppo P&P Loyal S.p.A approved on March 30, 2026.
- Total votes in favor reached 3,428,368, representing 99.99% of the total votes polled.
- Overall voter turnout was 71.18% of the total 4,816,446 shares held by 3,673 shareholders.
- Promoter group participation was high, with 3,343,828 votes polled in favor out of 3,539,845 shares held.
Loyal Textile Mills Limited has announced the closure of its trading window for all designated persons and insiders starting April 1, 2026. This is a mandatory regulatory requirement under SEBI (Prohibition of Insider Trading) Regulations ahead of the financial results for the fourth quarter ending March 31, 2026. The window will remain closed until 48 hours after the financial results are officially declared. The specific date for the board meeting to consider these results will be communicated at a later date.
- Trading window closure begins on April 1, 2026, for the Q4 FY2025-26 period.
- Restriction applies to all designated persons, insiders, and their immediate relatives.
- Window to reopen 48 hours after the declaration of financial results for the quarter ending March 31, 2026.
- The board meeting date for result consideration is yet to be announced.
Loyal Textile Mills reported a sharp decline in revenue from operations to ₹105.38 Crores for Q3 FY26, down from ₹155.28 Crores in the previous year. The company posted a total comprehensive loss of ₹15.15 Crores for the quarter, despite recording a ₹7.91 Crore gain from the sale of its SVTM unit for ₹90 Crores. Management is currently executing a business realignment plan involving asset monetization and scaling down low-margin operations to address liquidity constraints. While EBITDA has turned positive, the auditor's 'Emphasis of Matter' highlights ongoing concerns regarding liquidity and the sustainability of operations.
- Revenue from operations fell 32.1% YoY to ₹105.38 Crores compared to ₹155.28 Crores in Q3 FY25.
- Total Comprehensive Loss stood at ₹15.15 Crores for the quarter ended December 31, 2025.
- Completed the sale of the SVTM unit in Naidupet for ₹90 Crores, resulting in a net gain of ₹7.91 Crores.
- Exceptional items include a ₹4.56 Crore profit from asset sales and a ₹78.78 Lakh charge for gratuity revisions under new labor codes.
- Auditors issued an 'Emphasis of Matter' regarding the company's liquidity constraints and reliance on asset monetization.
Loyal Textile Mills has issued a postal ballot notice to seek shareholder approval for material related party transactions with its joint venture partner, Gruppo P&P Loyal S.p.A. The transactions, planned for the 2026-27 financial year, are expected to exceed 10% of the company's annual consolidated turnover. The e-voting period for shareholders is scheduled from March 1, 2026, to March 30, 2026, with results to be declared on March 31, 2026. The company maintains that these transactions will be conducted at arm's length and in the ordinary course of business.
- Seeking shareholder approval for transactions with JV partner Gruppo P&P Loyal S.p.A for FY 2026-27.
- Aggregate value of transactions is expected to exceed 10% of the annual consolidated turnover.
- Remote e-voting period runs from March 1, 2026 (9:00 AM) to March 30, 2026 (5:00 PM).
- The cut-off date for determining shareholder eligibility for voting is February 27, 2026.
- Transactions involve sale/purchase of goods, services, and reimbursement of expenses.
Loyal Textile Mills Limited has officially approved its standalone and consolidated financial results for the quarter and nine months ending December 31, 2025. The Board of Directors met on February 11, 2026, to adopt these results along with the limited review report from statutory auditors M/s. Brahmayya & Co. While the specific financial figures were not detailed in the cover letter, the approval marks the completion of regulatory compliance for the third quarter. Investors should now focus on the detailed financial tables to assess the company's operational trajectory.
- Board approved unaudited standalone and consolidated financial results for the period ended December 31, 2025.
- The statutory audit review was completed by M/s. Brahmayya & Co., Chartered Accountants.
- The board meeting was held on February 11, 2026, lasting from 1:50 P.M. to 7:15 P.M.
- Compliance maintained under Regulation 33 of SEBI Listing Regulations for the third quarter reporting.
Loyal Textile Mills Limited has officially approved its unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025. The board meeting, held on February 11, 2026, concluded with the adoption of these results along with a limited review report from statutory auditors M/s. Brahmayya & Co. This announcement confirms the completion of the regulatory review process for the third quarter of the 2025-26 fiscal year. Investors should now look to the specific financial tables for detailed performance metrics on revenue and profitability.
- Board approved unaudited standalone and consolidated financial results for the quarter ended December 31, 2025.
- Statutory auditors M/s. Brahmayya & Co. issued a limited review report on the financial statements.
- The board meeting was comprehensive, lasting over five hours from 1:50 P.M. to 7:15 P.M.
- Disclosures were made in compliance with Regulation 33 of SEBI Listing Regulations.
CARE Ratings has reaffirmed the credit ratings for Loyal Textile Mills Limited, maintaining the Long-term/Short-term facilities at CARE BB+; Stable / CARE A4+. The total quantum of rated bank facilities has been reduced from approximately ₹387.55 crore to ₹321.17 crore. This rating action follows a review of the company's audited FY25 financials and provisional H1FY26 performance. The 'Stable' outlook indicates that the credit agency expects the company's financial profile to remain steady in the near term.
- CARE BB+; Stable / CARE A4+ rating reaffirmed for ₹80 crore Long/Short-term facilities (reduced from ₹96 crore)
- CARE A4+ rating reaffirmed for ₹241.17 crore Short-term bank facilities (reduced from ₹291.55 crore)
- Total rated bank exposure decreased by ₹66.38 crore to a total of ₹321.17 crore
- Long-term bank facilities rating withdrawn as the specific facility amount was reduced to zero
- Rating assessment based on audited FY25 and provisional H1FY26 operational and financial performance
Financial Performance
Revenue Growth by Segment
Operating income declined by 33% to INR 944.43 Cr in FY24, primarily due to a slowdown in export demand in the knitted fabrics segment. For the half-year ended September 30, 2025, the company reported a standalone loss before tax of INR 44.51 Cr.
Geographic Revenue Split
Not disclosed in available documents, though management notes a significant impact from a slowdown in global export demand, particularly affecting knitted fabric sales.
Profitability Margins
The company reported an operating loss (EBITDA) of INR 31.26 Cr in FY24. Standalone Profit Before Tax for the half-year ended September 30, 2025, was a loss of INR 44.51 Cr, compared to a loss of INR 83.00 Cr for the full year ended March 31, 2025.
EBITDA Margin
Operating margin was negative in FY24, with an operating loss of INR 31.26 Cr on revenue of INR 944.43 Cr (approx -3.31%). Management expects near-term improvement in operational profitability through cost optimization.
Capital Expenditure
Not disclosed in available documents, but management is currently focused on asset monetization rather than expansion, with non-current assets held for sale increasing 252% to INR 71.63 Cr as of September 30, 2025.
Credit Rating & Borrowing
The company maintains a 'Stable' outlook. Current standalone borrowings were INR 330.94 Cr as of September 30, 2025, a 19.9% reduction from INR 413.30 Cr in March 2025. Gearing is targeted to remain below 1.8x.
Operational Drivers
Raw Materials
Not disclosed in available documents, though the company's primary manufacturing focus is on yarn, woven fabric, and knitted fabric.
Capacity Expansion
Not disclosed in available documents; current focus is on rationalizing existing operations and prioritizing high-value segments.
Strategic Growth
Growth Strategy
Growth will be achieved through asset monetization to address liquidity, rationalizing operations to focus on high-value segments, and cost optimization to restore operational profitability. The company also leverages its Italian joint venture, Gruppo P&P Loyal Spa, which contributed INR 12.11 Cr in profit share for H1 FY26.
Products & Services
Yarn, woven fabric, and knitted fabric.
Brand Portfolio
LOYALTEX
New Products/Services
Management is prioritizing high-value segments within its existing yarn and fabric portfolio to enhance profitability.
Strategic Alliances
Maintains a foreign joint venture, Gruppo P&P Loyal Spa, in Italy.
External Factors
Industry Trends
The industry is currently facing a slowdown in export demand for knitted fabrics, leading companies to shift focus toward operational efficiency and high-value product segments.
Competitive Moat
The company's moat is built on long-standing customer relationships and a diverse product profile across yarn and multiple fabric types, though sustainability is currently challenged by macro demand shifts.
Macro Economic Sensitivity
Highly sensitive to global textile demand and export market conditions.
Consumer Behavior
Shifts in global demand for specific fabric types (e.g., knitted vs. woven) directly impact segment-wise capacity utilization.
Geopolitical Risks
Exposure to international trade barriers and economic slowdowns in export destinations.
Regulatory & Governance
Industry Regulations
Operates as a 'Four Star Export House' recognized by the Government of India. The company noted a technical non-compliance with SEBI Regulation 33(3)(h) regarding the review of its overseas joint venture results due to their materiality relative to the parent's losses.
Environmental Compliance
The company is Integrated Management System certified.
Legal Contingencies
Not disclosed in available documents; however, the company states it has complied with statutory provisions and has not faced penalties from stock exchanges or SEBI in the last three years.
Risk Analysis
Key Uncertainties
Key risks include the prolonged impact of demand slowdowns and the successful execution of asset monetization plans to stabilize the liquidity position.
Geographic Concentration Risk
Not disclosed in available documents, but heavily reliant on export markets.
Credit & Counterparty Risk
Trade receivables stood at INR 90.85 Cr as of September 30, 2025, representing a significant portion of current assets (approx 25%).
