PDS Limited (PDSL)
₹342.45 +0.79% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, PDS's revenue was ₹3,444 Cr (+14.8% year on year, -2.1% on the previous quarter), and net profit ₹28.6 Cr (+42.7% year on year); the operating margin was 2.8%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹3,444 | +14.8% | -2.1% |
| Operating profit | ₹96.1 | +90.2% | -19.9% |
| Net profit | ₹28.6 | +42.7% | -60.3% |
| EPS (₹) | 1.33 | +44.6% | -61.7% |
| Operating margin | 2.8% | — | — |
PDSL delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 51.82% of the PDSL shares traded on NSE were taken to delivery, against the stock's own 20-session average of 58.26%. That is close to its usual level. Volume was 0.3 times its average, well below normal.
Delivery in the last 5 sessions: 58.6% · 62.7% · 35.4% · 63.3% · 51.8%
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
PDS Limited announced that its Hong Kong-based step-down subsidiary, Northern Apparel Limited, has transferred 100% of its stake in UK-based Northern Brands Limited on October 8, 2026. The transaction was completed for a nominal consideration of £1 (~₹108.92). Northern Brands contributed just ₹36.24 lakh (0.0024%) to PDS's consolidated turnover and had a negative net worth of ₹1.24 crore. The divestment has no material financial or operational impact on PDS Limited.
- 100% stake in UK step-down subsidiary Northern Brands Limited sold effective October 8, 2026
- Total consideration received is £1 (~₹108.92)
- Target unit contributed turnover of ~₹36,24,007.06 (GBP 28,509), or 0.0024% of consolidated revenue
- Net worth of the entity was negative at ~₹(1,23,88,920.28) [GBP (97,460)]
- Transaction is not a related-party deal
PDS Limited has announced that its Hong Kong-based step-down subsidiary, Design COE Limited, has incorporated a new entity in Ontario, Canada, named 'Design COE Canada Inc.', effective September 21, 2026. The new entity is established as a design-led sourcing organization focused on apparel (woven, knits, denim, activewear) for the Canadian market. The cash subscription cost is negligible at approximately ₹95,765 ($1,000) for an 85% shareholding/control. Financially, this investment is immaterial relative to PDS Limited's TTM revenue of ₹13,554 crore and market capitalization of ₹8,085 crore.
- Design COE Canada Inc. incorporated in Ontario, Canada, effective September 21, 2026
- Subscription cost is approximately ₹95,765 ($1,000) paid in cash
- PDS Limited's indirect shareholding/control in the entity is 85%
- Focuses on apparel sourcing covering woven, knits, sweater, denim, activewear, and career apparels
PDS Limited has completed the transfer of its remaining 49% stake in DBS Lifestyle India Private Limited on September 21, 2026, pursuant to the Share Purchase Agreement executed on August 20, 2026. Following this completion, DBS Lifestyle, along with Suri Overseas Private Limited and Pangram Brands Global Private Limited, have ceased to be associate companies. Financial consideration for the divestment was not disclosed in the filing. This move aligns with the company's broader capital allocation focus toward core retail and manufacturing operations.
- Completed transfer of the remaining 49% stake in DBS Lifestyle on September 21, 2026
- Sale executed with Mr. Bhawnish Suri, Mrs. Divya Suri, and DBS Lifestyle India Private Limited
- Three entities (DBS Lifestyle, Suri Overseas, and Pangram Brands Global) cease to be associate companies
- Transaction follows the earlier Share Purchase Agreement signed on August 20, 2026
PDS Limited has submitted its Group Sustainability Report for FY 2025-26, titled 'Responsible by Design', pursuant to Regulation 30 of SEBI LODR Regulations. The report covers the company's Environmental, Social, and Governance (ESG) performance across its operations in India, Bangladesh, Sri Lanka, the UK, and the US. Disclosures have been aligned with the Global Reporting Initiative (GRI) Standards, SEBI BRSR requirements, UNGC principles, and SBTi climate commitments. The filing is a standard annual disclosure and carries no direct financial or operational impact.
- Published Group Sustainability Report 2026 titled 'Responsible by Design' under Regulation 30
- Reporting scope covers ESG performance for FY 2025–26 across subsidiaries in India, Bangladesh, Sri Lanka, UK, and US
- Report aligned with GRI Standards, SEBI BRSR requirements, UNGC principles, and SBTi commitments
- Contains updated methodologies and restated ESG data points for improved transparency and verification
PDS Limited has scheduled institutional investor interactions at the 'Aswamedh - Elara India Dialogue' on September 1, 2026, in Mumbai. The company will conduct a one-on-one meeting with Quant Mutual Fund and group meetings with 12 institutional entities, including Bandhan AMC and Kotak PMS, between 9:00 AM and 1:00 PM IST. The company confirmed that discussions will be limited to publicly available information with no unpublished price sensitive information (UPSI) shared.
- Meeting scheduled for September 1, 2026, from 9:00 AM to 1:00 PM IST in Mumbai
- Includes 1 one-on-one interaction with Quant Mutual Fund
- 12 institutional investors and family offices participating in group sessions, including Bandhan AMC and Kotak PMS
- Discussions restricted strictly to publicly available information without sharing UPSI
PDS Limited has signed a Share Purchase Agreement to sell its remaining 49% stake in associate company DBS Lifestyle India Private Limited for ₹9.17 Cr (~USD 9.59 Lakh). In the last financial year, DBS Lifestyle contributed ₹18.04 Cr in revenue (0.14% of PDS consolidated turnover) and had a negative net worth of ₹-1.39 Cr. The sale is scheduled for completion by October 31, 2026, upon which two indirect subsidiaries (Suri Overseas and Pangram Brands) will also cease to be associates. The transaction directly aligns with management's stated target of curtailing losses from new peripheral verticals.
- Divesting 49% stake in DBS Lifestyle for ₹9,17,48,425 (~USD 9.59 Lakh)
- Target entity contributed ₹18.04 Cr (0.14%) to consolidated turnover with negative net worth of ₹-1.39 Cr
- Sale completion targeted by October 31, 2026 subject to conditions precedent
- Results in Suri Overseas and Pangram Brands Global ceasing to be associate entities
PDS Limited reported a 15% YoY revenue growth to ₹3,444 Cr for Q1 FY27, significantly driven by a 48% surge in North American sales. The company secured new mandates with an annual potential of $330 million (approx. ₹2,750 Cr), which represents roughly 20% of its TTM revenue. Financial health improved with net debt falling 73% to ₹29 Cr and net working capital reaching 1 day. Management is now focusing on scaling capabilities and turning around the Ted Baker (New Lobster) business, which contributed ₹100 Cr to revenue but remains a profitability focus.
- Revenue grew 15% YoY to ₹3,444 Cr, with North America sales increasing by 48%
- Secured new mandates with an annual business potential of $330 million (approx. ₹2,750 Cr)
- Order book increased 23% YoY to ₹6,095 Cr, providing strong visibility for upcoming quarters
- Net debt reduced by 73% to ₹29 Cr, while net working capital improved to 1 day
- Gross margin improved by 63 basis points to 20% during the quarter
PDS Limited (PDSL) has announced its participation in the Emkay Confluence 2026, an institutional investor meeting held in Mumbai on August 12, 2026. The group meeting is scheduled for a 4-hour window between 9 AM and 1 PM IST. The company stated that the interaction will focus on publicly available information, ensuring no unpublished price-sensitive information (UPSI) is disclosed. This comes as the company manages a massive scale-up, with TTM revenue reported at ₹3,10,053 cr.
- Meeting scheduled for August 12, 2026, from 9 AM to 1 PM IST
- Format is an in-person group meeting at the Emkay Confluence 2026 in Mumbai
- Company confirms no unpublished price-sensitive information (UPSI) will be discussed
- TTM revenue stands at ₹3,10,053 cr with a market capitalization of ₹1,02,847 cr
PDS Limited has published the audio recording of its Q1 FY-27 earnings conference call held on August 10, 2026. The call provided management's perspective on the company's financial performance, which currently shows a TTM revenue of ₹3,10,053 cr and a TTM PAT of ₹2,161 cr. This disclosure is a standard regulatory requirement following the release of quarterly results. Investors can access the recording to understand the company's progress on its 15% growth target and US market expansion strategies.
- Conference call conducted on August 10, 2026, at 02:00 PM IST regarding Q1 FY-27 results.
- Company reported a massive TTM revenue of ₹3,10,053 cr, largely driven by a significant jump in the June 2025 quarter.
- Current TTM Operating Profit Margin (OPM) stands at 1.7%, reflecting the high-volume, low-margin nature of the trading business.
- Management is targeting a reduction in new vertical losses by ₹40 cr as part of its financial guardrails.
CRISIL ESG Ratings & Analytics Limited has assigned PDS Limited an ESG Rating of 62 and a Core ESG Rating of 64. Both ratings place the company in the 'Strong' category, reflecting its performance across environmental, social, and governance parameters. While this is a non-financial disclosure, it is increasingly relevant for institutional investors and global retail partners like Walmart and Target. The company currently operates with a TTM revenue of Rs 3,10,053 Cr and a market cap of Rs 1,04,622 Cr.
- CRISIL assigned an ESG Rating of 62 to PDS Limited.
- CRISIL assigned a Core ESG Rating of 64 to the company.
- The ratings are classified under the 'Strong' category by CRISIL ESG Ratings & Analytics Limited.
- The assessment was formally communicated on August 10, 2026.
PDS Limited (PDSL) reported a strong start to FY27 with revenue growing 14.8% YoY to ₹3,444 crore and PAT increasing 42.7% to ₹29 crore. The company demonstrated significant operational improvement, with EBITDA margins expanding 111 bps to 2.8% and net debt falling 73% to just ₹29 crore. A major highlight is the acquisition of new mandates with Family Dollar and Pentland Brands, carrying a combined annual potential of $330 million (approx. ₹2,770 crore). The order book remains robust at ₹6,095 crore, up 23% YoY, providing high revenue visibility for the remainder of the year.
- Revenue from operations grew 14.8% YoY to ₹3,444 crore for Q1 FY27.
- PAT increased 42.7% YoY to ₹29 crore, driven by a 90.2% surge in EBITDA to ₹96 crore.
- Order book expanded 23% YoY to ₹6,095 crore, ensuring strong future visibility.
- Net debt reduced by 73% to ₹29 crore, with net working capital optimized to 1 day.
- Secured new strategic mandates with a combined annual business potential of US$330 million.
PDS Limited (PDSL) reported a strong Q1 FY27 with PAT growing 43% YoY to ₹29 Cr, driven by a 15% increase in revenue to ₹3,444 Cr. The company achieved significant financial deleveraging, reducing net debt by 73% to ₹29 Cr and optimizing Net Working Capital to just 1 day. Strategic momentum is supported by a 23% YoY growth in the order book to ₹6,095 Cr and new customer mandates with an annual potential of US$330 million (~₹2,770 Cr). The Americas region emerged as a key growth driver, expanding 48% YoY.
- PAT increased 43% YoY to ₹29 Cr, while Revenue grew 15% YoY to ₹3,444 Cr.
- Order book reached ₹6,095 Cr as of early July 2026, representing a 23% YoY growth.
- Net debt was reduced by 73% to ₹29 Cr compared to FY26 levels, with Net Debt/Equity at 0.02x.
- Secured new customer mandates (Family Dollar, Pentland Brands) with an annual potential of US$330 million.
- Net Working Capital improved to 1 day from 4 days in FY26, reflecting disciplined cash management.
PDS Limited (PDSL) reported a 14.8% YoY increase in consolidated revenue to ₹3,443.72 Cr for Q1 FY27, driven by its core sourcing business. While Net Profit (PAT) grew 42.7% YoY to ₹28.59 Cr, it witnessed a sharp sequential decline of 60.3% from the ₹72.10 Cr reported in the preceding March 2026 quarter. The sourcing segment continues to dominate operations, accounting for 93.5% of total revenue. Operating margins remain thin at approximately 0.94% for the quarter, reflecting the company's high-volume trading and sourcing profile.
- Consolidated revenue for Q1 FY27 stood at ₹3,443.72 Cr, up 14.8% from ₹2,999.42 Cr in Q1 FY26.
- Net profit increased to ₹28.59 Cr compared to ₹20.03 Cr in the same period last year.
- Sourcing segment revenue reached ₹3,271.90 Cr, maintaining a 93.5% share of total business.
- Manufacturing segment results improved significantly to ₹9.56 Cr from ₹1.54 Cr YoY.
- Total segment assets grew to ₹5,270.91 Cr as of June 30, 2026, compared to ₹4,714.21 Cr a year ago.
PDS Limited (PDSL) has approved the allotment of 18,300 equity shares to employees who exercised their options under the ESOP 2021 - Plan A. The shares were issued at an exercise price of ₹219 per share, which is a significant discount to the current market price of ₹361.9. This allotment results in a negligible equity dilution of approximately 0.013% of the total share capital. The total paid-up share capital of the company has increased to 14,14,60,433 equity shares.
- Allotment of 18,300 equity shares of face value ₹2 each on August 7, 2026
- Exercise price for the allotment set at ₹219 per share
- Total paid-up capital increased from ₹28,28,84,266 to ₹28,29,20,866
- Total number of shares post-allotment stands at 14,14,60,433
PDS Limited (PDSL) has announced its Q1 FY27 earnings conference call scheduled for August 10, 2026, at 2:00 PM IST. The management team, including the Executive Vice Chairman and Group CEO, will discuss the financial results for the quarter ended June 2026. This follows a fiscal year where the company reported a TTM revenue of ₹3,10,053 cr, significantly influenced by a massive spike in the June 2025 quarter. Investors will likely seek updates on the company's 15% growth target and its strategy to reduce new vertical losses by ₹40 cr.
- Earnings conference call scheduled for August 10, 2026, at 02:00 PM IST
- Management representation includes Executive Vice Chairman Pallak Seth and Group CEO Sanjay Jain
- Company is targeting a ₹40 cr reduction in new vertical losses as part of its growth strategy
- TTM revenue stands at ₹3,10,053 cr with a current P/E of 45.2
- Focus remains on the 15% expected growth rate and expansion into the US market
Financial Performance
Revenue Growth by Segment
Consolidated revenue grew 21% YoY to INR 12,578 Cr in FY25. In H1 FY26, new verticals grew 46% YoY to INR 468.6 Cr, while existing verticals grew 6% YoY to INR 5,950 Cr.
Geographic Revenue Split
Revenue is sourced globally with key operations in Hong Kong (Foundry), Sri Lanka (Norlanka), Bangladesh (Krayons), Turkey (Spring), India (Knit Gallery), and the UK/Europe (Ted Baker wholesale).
Profitability Margins
Gross margin for FY25 was 20%, down 23 bps YoY due to underperformance in the agency business. Net profit margin stood at 1.9% in FY25 compared to 2.0% in FY24.
EBITDA Margin
EBITDA margin was 3.6% in FY25 (INR 457 Cr), down from 3.8% in FY24. Adjusted for new vertical losses of INR 162 Cr, the core EBITDA margin improved to 5.2% from 4.9%. Q2 FY26 EBITDA margin fell to 2.4%.
Capital Expenditure
Strategic investments include a new UK property and the acquisition of Knit Gallery manufacturing operations in Tirupur. The company raised INR 430 Cr through its first QIP in 2024.
Credit Rating & Borrowing
Debt-to-equity ratio improved to 0.65x in FY25 from 0.76x in FY24. Interest coverage ratio remained stable at 3.13x. Finance costs increased due to higher factoring volumes.
Operational Drivers
Raw Materials
Key raw materials include fabrics and trims, which constitute the bulk of the Cost of Goods Sold (COGS) of INR 10,047 Cr (80% of revenue).
Import Sources
Sourcing and manufacturing hubs are located in Sri Lanka, Bangladesh, Turkey, India, and Hong Kong.
Key Suppliers
The company utilizes a pre-approved vendor panel for fabric and trim procurement. PVH (owner of Tommy Hilfiger and Calvin Klein) is a key subsidiary vendor.
Capacity Expansion
Manufacturing capacity expanded in Q1 FY26 with the addition of Knit Gallery operations in Tirupur, India.
Raw Material Costs
COGS rose 21.6% YoY to INR 10,047 Cr in FY25, in line with volume growth. Procurement is managed through a new e-auction platform to drive cost savings.
Manufacturing Efficiency
Norlanka (Sri Lanka) margins improved to 5% from 4.7%; Krayons (Bangladesh) margins rose to 7.2% from 6.6%; Spring (Turkey) margins increased to 4% from 1.3%.
Logistics & Distribution
Higher inventory is maintained for LDP (Landed Duty Paid) and DDP (Delivered Duty Paid) sales in PDS Fashions USA and Krayons until final delivery.
Strategic Growth
Expected Growth Rate
15%
Growth Strategy
Focusing on the value/discount retail sector (Walmart, Target, Ross Stores) which remains robust. Reducing new vertical losses by 25% (INR 40 Cr target) and implementing financial guardrails restricting new investments to 15-20% of PAT.
Products & Services
Apparel sourcing, manufacturing, and wholesale distribution of denim, knitwear, and branded clothing.
Brand Portfolio
Ted Baker (wholesale/agency), Poetic Gem, Simple Approach, Zamira, Norlanka, Krayons, Spring, and Foundry.
New Products/Services
Expansion of the Foundry business in Hong Kong catering to the US market and the Knit Gallery manufacturing platform.
Market Expansion
Aggressive expansion into the US market through the Foundry business and scaling existing accounts like TJ Maxx, Ross Stores, and Target.
Strategic Alliances
Partnerships with Authentic Brands Group (ABG) for Ted Baker and vendor relationships with PVH.
External Factors
Industry Trends
Consolidation in the US department store sector and the rise of discount/value retailers (Walmart, Costco) are the primary growth drivers.
Competitive Landscape
Competes with global sourcing houses and brand aggregators like ABG in the apparel IP and wholesale space.
Competitive Moat
Moat is built on a global asset-light sourcing platform and multi-country manufacturing footprint, providing agility and cost-competitive procurement.
Macro Economic Sensitivity
High sensitivity to US and European retail cycles; consumer shift toward value-based buying favors PDS's discount-sector focus.
Consumer Behavior
Consumers are increasingly buying for value rather than luxury, supporting PDS's focus on discounters and clubs.
Geopolitical Risks
Management noted 'tariffs confusion' and global turbulence as factors requiring tighter capital deployment and profitability measures.
Regulatory & Governance
Industry Regulations
Operations are subject to global import/export tariffs and trade compliance across sourcing hubs in Asia and Turkey.
Taxation Policy Impact
Effective tax rate for FY25 was approximately 10.1% (INR 27.11 Cr tax on INR 268.49 Cr PBT).
Risk Analysis
Key Uncertainties
Losses in new verticals (INR 162 Cr in FY25) and the potential for further retail partner bankruptcies in the specialty brand sector.
Geographic Concentration Risk
Diversified across Asia, Europe, and North America, though US/Europe represent the primary demand markets.
Third Party Dependencies
Dependency on retail partners for the agency and wholesale business (e.g., Ted Baker partners).
Technology Obsolescence Risk
Mitigated by the transition to SAP HANA as the digital backbone for business process alignment.
Credit & Counterparty Risk
Trade receivables stood at INR 1,860 Cr in FY25, though management reports a healthy aging profile with no major credit concerns.
