SBC - SBC Exports
📢 Recent Corporate Announcements
SBC Exports reported an exceptionally strong Q3 FY26, with consolidated revenue growing 45.53% YoY to ₹104.84 Cr. The company's profitability saw explosive growth, with consolidated EBITDA rising 566.12% to ₹12.19 Cr and PBT increasing 206% to ₹11.20 Cr. Growth was primarily driven by high-margin readymade garments, particularly the F-Route Clothing brand, and strong export demand from the Middle East. Management expects Q4 to remain strong, supported by a record order book and favorable government policies for the textile sector.
- Consolidated revenue for Q3 FY26 increased by 45.53% YoY to reach ₹104.84 Cr.
- Consolidated EBITDA witnessed a massive surge of 566.12% YoY, reaching ₹12.19 Cr with margins improving to 11.63%.
- 9M FY26 consolidated PBT grew by 82.09% YoY to ₹26.02 Cr, reflecting sustained momentum.
- Strong performance in the garment export segment, especially in the Middle East, and expansion into high-margin premium handmade apparel.
- Diversified business model including IT services and the Mauji Trip subsidiary contributed to overall stability and growth.
SBC Exports Limited reported a stellar performance for Q3 FY26, with consolidated revenue from operations rising 45% YoY to ₹104.45 crore. The consolidated net profit witnessed a massive jump of 213% YoY, reaching ₹11.20 crore compared to ₹3.58 crore in the corresponding quarter of the previous year. For the nine-month period ended December 2025, net profit stands at ₹26.03 crore, already significantly exceeding the full-year FY25 profit of ₹13.37 crore. This growth is underpinned by strong execution across its IT Support and Garment Manufacturing segments.
- Consolidated Q3 Revenue from operations grew 45% YoY to ₹104.45 crore.
- Consolidated Net Profit for the quarter surged 213% YoY to ₹11.20 crore.
- 9M FY26 Net Profit rose 82.5% YoY to ₹26.03 crore from ₹14.26 crore.
- Standalone IT Support Services revenue grew to ₹34.34 crore, while Garments Sales contributed ₹36.15 crore.
- Earnings Per Share (EPS) for the quarter increased to ₹0.24 from ₹0.11 in the year-ago period.
SBC Exports reported a robust performance for Q3 FY26, with consolidated total income rising 42% YoY to ₹108.07 crore. Net profit saw a significant jump of 213% YoY, reaching ₹11.20 crore compared to ₹3.58 crore in the same quarter last year. While YoY growth is exceptionally strong, the net profit showed a marginal decline of 1.5% on a sequential (QoQ) basis from ₹11.37 crore. The company's 9-month performance remains strong with a net profit of ₹26.03 crore, up 82.5% YoY.
- Consolidated Total Income grew 41.9% YoY to ₹108.07 crore in Q3 FY26.
- Net Profit for the quarter surged 213% YoY to ₹11.20 crore from ₹3.58 crore.
- 9-Month FY26 Net Profit stands at ₹26.03 crore, a significant jump from ₹14.26 crore in 9M FY25.
- IT Support Services segment revenue (Standalone) grew to ₹34.34 crore, showing improved profitability.
- Earnings Per Share (EPS) for the quarter improved to ₹0.24 from ₹0.11 in the year-ago period.
SBC Exports Limited has responded to a clarification sought by the National Stock Exchange regarding its financial results for the quarter ended September 30, 2025. The company explained that an inadvertent administrative error occurred during the XBRL submission where 'Half-Yearly' was incorrectly selected instead of 'Quarterly'. The company has since revised and resubmitted the corrected financial results through the NEAPS portal. This correction ensures that the standalone and consolidated figures are now accurately reflected in the exchange's records without changing the underlying financial performance.
- NSE sought clarification regarding discrepancies in XBRL financial results for the quarter ended September 30, 2025.
- Error was attributed to an incorrect reporting type selection during the initial XBRL mode submission.
- Revised results submitted via NEAPS with acknowledgment numbers 136792 (Standalone) and 136798 (Consolidated).
- The company confirmed that the discrepancy was purely procedural and has been rectified as of January 22, 2026.
SBC Exports Limited has secured a repeat export order valued at approximately ₹7 Crore from Dubai-based M/s HUXXE Readymade Garments Trading LLC. The contract involves the supply of various apparel items including T-shirts, trousers, and shorts over a one-year execution period. The deal is structured in US Dollars, with the client bearing all insurance and freight costs, which helps protect the company's margins. This repeat business indicates strong client retention and continued demand in the international textile market.
- Received a repeat export order worth ₹7 Crore for garment articles.
- Order awarded by Dubai-based international entity M/s HUXXE Readymade Garments Trading LLC.
- Execution timeline is one year from the purchase order date of January 21, 2026.
- Payment to be received in US Dollars within 90 days of goods receipt.
- Insurance and freight expenses are fully borne by the international client.
SBC Exports Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations for the quarter and nine months ended December 31, 2025. The certificate, issued by Bigshare Services Private Limited, confirms that share certificates received for dematerialization were processed and the security certificates were mutilated and cancelled. This is a standard regulatory filing ensuring that the company's share records are accurately maintained in electronic form. The filing indicates that the company is meeting its administrative obligations towards the stock exchanges and depositories.
- Compliance certificate submitted for the quarter and nine months ended December 31, 2025.
- Confirmation received from Registrar and Share Transfer Agent, Bigshare Services Private Limited.
- Adherence to Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018.
- Confirms the processing and cancellation of physical share certificates for dematerialization.
SBC Exports Limited has informed the stock exchanges that its trading window for dealing in company securities will be closed starting January 1, 2026. This action is in compliance with SEBI (Prohibition of Insider Trading) Regulations for the upcoming financial results. The closure pertains to the quarter and nine-month period ending December 31, 2025. The window will remain shut until 48 hours after the official declaration of these financial results.
- Trading window closure begins on January 1, 2026, for all Designated Persons.
- Closure is related to the financial results for the quarter and nine months ending December 31, 2025.
- The window will reopen 48 hours after the Board Meeting results are publicly disclosed.
- The specific date for the Board Meeting to approve results will be announced separately.
SBC Exports Limited has received a work order from the Indian Institute of Technology (IIT Jodhpur) for providing manpower services. The contract is initially for one year, extendable up to 3 years based on performance. The total value of the order is approximately ₹10,76,82,672. This new order indicates a potential revenue stream for the company, but investors should monitor the execution and performance of the contract.
- Order value: ₹10,76,82,672
- Contract duration: Initially one year, extendable to 3 years
- Order awarded by: Indian Institute of Technology (IIT Jodhpur)
- Order for: Supply of Manpower
- Contract starts: 01st January, 2026
SBC Exports Limited has secured a work order from the Management Development Institute (MDI Gurgaon) for providing manpower services. The contract is initially for one year, effective January 1, 2026, and may be extended based on performance. The order is valued at approximately ₹3,00,00,000. This new order indicates a potential revenue stream for the company, but investors should monitor the company's ability to execute the contract effectively and any impact on profitability.
- Work order awarded by Management Development Institute (MDI Gurgaon)
- Contract period is initially for one year w.e.f. 01st January, 2026
- Order value is approximately ₹3,00,00,000
- Order is for the supply of Manpower
Financial Performance
Revenue Growth by Segment
Consolidated revenue for HY1 FY26 grew 19.54% YoY to INR 157.15 Cr. Segment-wise performance for HY1 FY26: IT Support Services revenue reached INR 55.68 Cr (up 41.7% YoY from INR 39.29 Cr), Garments Sales reached INR 70.49 Cr (up 6.4% YoY from INR 66.25 Cr), and Tour & Travel Services reached INR 31.59 Cr (up 16.3% YoY from INR 27.17 Cr).
Geographic Revenue Split
The company is expanding its international footprint with a significant push into Dubai-based clients for garment exports. Domestic revenue is driven by IT Support Services for government organizations and institutional clients in India.
Profitability Margins
Consolidated PAT for FY24 was INR 9.44 Cr (4.43% margin), representing a 36.61% YoY growth. For HY1 FY26, segment-wise profit before tax was: IT Support Services INR 3.94 Cr, Garments Sales INR 13.19 Cr, and Tour & Travel Services INR 0.93 Cr. Standalone PAT margin for Q2 FY26 was reported at 51.47%, though this reflects a specific quarterly surge.
EBITDA Margin
Consolidated EBITDA margin for FY24 was 9.59%, up from 6.43% in FY23. In Q2 FY26, standalone EBITDA surged by 78.18% YoY to INR 9.80 Cr, driven by improved operational efficiency and a strategic shift in product mix.
Capital Expenditure
The company has acquired land in Ghaziabad to set up a fifth manufacturing unit specifically to cater to export markets. Historical infrastructure development includes establishing integrated facilities for dyeing, printing, stitching, and packaging across 4 existing units.
Credit Rating & Borrowing
Finance costs for FY24 stood at INR 5.92 Cr, a significant increase of 158.52% YoY from INR 2.29 Cr in FY23, indicating increased borrowing to fund expansion and working capital.
Operational Drivers
Raw Materials
Textile fabrics and yarn (implied by garment manufacturing), though specific material names and cost percentages are not disclosed in available documents.
Capacity Expansion
Currently operates 4 manufacturing facilities. Expansion is underway with land already acquired in Ghaziabad for a new export-oriented unit.
Raw Material Costs
Raw material procurement is identified as a key risk area. Procurement strategies focus on streamlining manufacturing and optimizing resources to control costs while facilitating QoQ growth.
Manufacturing Efficiency
Integrated facilities (dyeing to packaging) drive efficiency. ROCE improved to 0.29 in FY25 from 0.26 in FY24, reflecting better capital efficiency.
Strategic Growth
Expected Growth Rate
21.21%
Growth Strategy
Growth is targeted through a multi-pronged approach: infrastructure development (new Ghaziabad unit), geographic expansion into Dubai and other international markets, and scaling the Mauji Trip subsidiary in the travel sector. The company is also focusing on high-margin garment export orders, such as a recent INR 50 Cr contract.
Products & Services
Garments (manufactured and exported), IT Support Services (government and institutional), and Tour & Travel services (Ticketing, Leisure Travel, and MICE).
Brand Portfolio
Mauji Trip (Travel Services subsidiary) and F-Route (Logo/Brand).
New Products/Services
Expansion of export-quality garment lines and world-class services in Leisure Travel and MICE through Mauji Trip Limited.
Market Expansion
Targeting newer geographies for garments and expanding the domestic footprint for IT services. The new Ghaziabad unit is the primary vehicle for export market expansion.
External Factors
Industry Trends
The garment industry is seeing a shift toward integrated manufacturing. The travel industry is experiencing a surge in Leisure and MICE demand, evidenced by SBC's 145% growth in travel services in FY24.
Competitive Landscape
The company competes in the fragmented garment export market and the competitive IT support and travel services sectors.
Competitive Moat
Moat is built on integrated manufacturing facilities (dyeing, printing, stitching, packaging) which provide cost leadership and quality control. This is sustainable due to the high capital requirement for integrated setups.
Macro Economic Sensitivity
IT segment revenue is sensitive to domestic political cycles (e.g., elections), which reduced order flow in FY24.
Consumer Behavior
Increased demand for leisure travel and corporate MICE services is driving the growth of the Mauji Trip subsidiary.
Geopolitical Risks
Exposure to international trade dynamics through the Dubai export push and potential trade barriers in newer geographies.
Regulatory & Governance
Industry Regulations
Operations are subject to garment manufacturing standards and IT service delivery norms for government contracts.
Taxation Policy Impact
Effective tax rate for FY24 was approximately 27% (INR 3.50 Cr tax on INR 12.94 Cr PBT).
Legal Contingencies
The company reported zero investor complaints received or pending as of September 30, 2025.
Risk Analysis
Key Uncertainties
Volatility in raw material prices and potential delays in government IT contracts due to external political factors.
Geographic Concentration Risk
Significant revenue concentration in the Dubai region for the export business.
Third Party Dependencies
Dependency on government organizations for the IT Support Services segment.
Technology Obsolescence Risk
The IT segment requires continuous investment in innovation and technology to remain competitive.