S. P. Apparels Limited (SPAL)
₹926.90 -0.23% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, S. P.'s revenue was ₹401 Cr (-0.6% year on year, +9.9% on the previous quarter), and net profit ₹24.9 Cr (+20.4% year on year); the operating margin was 15.3%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹401 | -0.6% | +9.9% |
| Operating profit | ₹61.4 | +15.9% | +39.5% |
| Net profit | ₹24.9 | +20.4% | +30.9% |
| Operating margin | 15.3% | — | — |
SPAL delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 52.07% of the SPAL shares traded on NSE were taken to delivery, against the stock's own 20-session average of 47.66%. That is close to its usual level.
Delivery in the last 5 sessions: 35.1% · 35.9% · 42.3% · 46.6% · 52.1%
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
S. P. Apparels Limited has submitted its quarterly compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended September 30, 2026. The certificate, issued by Registrar and Share Transfer Agent MUFG Intime India Private Limited on October 03, 2026, confirms that securities received for dematerialisation were processed, confirmed or rejected, and listed on the exchanges within prescribed timelines. This is a standard quarterly administrative filing with no financial or operational impact.
- Compliance confirmation under Regulation 74(5) for the quarter ended September 30, 2026
- RTA certificate issued by MUFG Intime India Private Limited dated October 03, 2026
- Securities received for dematerialisation confirmed/rejected and mutilated within statutory timelines
S. P. Apparels Limited has fixed Thursday, December 10, 2026, as the record date for its previously approved stock split. Shareholders had approved the sub-division of one equity share of face value Rs 10 into 5 equity shares of face value Rs 2 at the AGM on September 21, 2026. The move will multiply the total share count by 5 while reducing the nominal per-share price proportionately. This corporate action is purely mechanical and does not affect the company's net worth or fundamentals.
- Board fixed Thursday, 10th December, 2026 as the Record Date for the share sub-division
- Each existing equity share of face value Rs. 10 will split into 5 equity shares of Rs. 2 each
- Shareholder approval was previously granted at the 21st AGM held on 21st September, 2026
- New split shares will rank pari-passu with existing equity shares
S. P. Apparels Limited has fixed Thursday, December 10, 2026, as the record date for its previously approved stock split. Shareholders had approved the sub-division of one equity share of face value Rs 10 into 5 equity shares of face value Rs 2 at the AGM on September 21, 2026. The move will multiply the total share count by 5 while reducing the nominal per-share price proportionately. This corporate action is purely mechanical and does not affect the company's net worth or fundamentals.
- Board fixed Thursday, 10th December, 2026 as the Record Date for the share sub-division
- Each existing equity share of face value Rs. 10 will split into 5 equity shares of Rs. 2 each
- Shareholder approval was previously granted at the 21st AGM held on 21st September, 2026
- New split shares will rank pari-passu with existing equity shares
S. P. Apparels Limited announced the scrutinizer report and voting results for its 21st AGM held on September 21, 2026. Shareholders approved all 5 resolutions with over 99.9% majority, including the adoption of FY26 financial statements and declaration of dividend. Crucially, a special resolution approving a stock split sub-dividing equity shares from a face value of Rs 10 to Rs 2 each received near-unanimous approval (1,90,96,810 votes in favor, 5 against). The alteration of the capital clause of the Memorandum of Association was also approved.
- Stock split approved: Face value sub-divided from Rs 10 to Rs 2 each (5-for-1 ratio)
- Special resolution for stock split passed with 1,90,96,810 votes in favour and 5 votes against (100% valid votes)
- Resolution declaring dividend for FY26 passed with 1,90,96,810 assent votes out of 1,90,96,815 valid votes
- Adoption of FY26 financial statements approved with 1,90,65,792 votes in favour
S. P. Apparels Limited conducted its 21st Annual General Meeting on September 21, 2026, through video conferencing. Key resolutions tabled included the adoption of FY26 financial statements, declaration of dividend for FY26, and a sub-division of equity shares from face value of Rs 10 to Rs 2 each (a 5-for-1 stock split). A total of 45 members holding 1,52,57,995 equity shares attended the meeting. Scrutinizer voting results across the resolutions will be declared separately.
- AGM held on September 21, 2026, with 45 members representing 1,52,57,995 equity shares attending via VC/OAVM
- Approval sought for sub-division of equity shares from Rs 10 face value to Rs 2 face value
- Dividend declaration for the financial year ended March 31, 2026 presented for approval
- Remote e-voting took place from September 18 to September 20, 2026, with instant e-voting extended during the AGM
Mr. P. Sundararajan, Managing Director of S. P. Apparels Limited, has sold 5,00,000 equity shares through open market transactions as disclosed under SEBI (PIT) Regulations. At the current market price of Rs 1022.0, the transaction is valued at approximately Rs 51.1 crore, representing about 1.51% of the company's total equity base (Rs 3,380 crore market cap). Prior to this disposal, the promoter group held a 61.81% stake in the company as of June 2026. While the promoter group retains dominant control, open-market selling by top leadership often impacts market sentiment.
- Managing Director P. Sundararajan sold 5,00,000 equity shares through a market transaction.
- The transaction represents approximately 1.51% of total outstanding shares (~Rs 51.1 crore at CMP).
- Disclosed formally under Regulation 7(2) of SEBI (Prohibition of Insider Trading) Regulations, 2015.
S. P. Apparels Limited has issued an intimation regarding letters sent to shareholders without registered email addresses, providing direct links to the FY25-26 Annual Report. The company's 21st Annual General Meeting is scheduled to be held on September 21, 2026, at 04:00 PM IST via Video Conferencing. The dispatch cut-off date was August 24, 2026. Additionally, the communication serves as a reminder for physical shareholders to complete mandatory KYC updates and dematerialisation.
- 21st Annual General Meeting scheduled for September 21, 2026, at 04:00 PM IST via VC/OAVM
- Shareholder cut-off date for dispatching physical link notifications was August 24, 2026
- Notice provides direct web-link to the complete FY 2025-26 Annual Report
- Mandatory KYC compliance reminder issued to physical shareholders pursuant to SEBI circulars
S. P. Apparels Limited has issued the notice for its 21st Annual General Meeting scheduled for September 21, 2026, via video conferencing. Key special business includes seeking shareholder approval for a 1:5 stock split, sub-dividing each existing equity share of face value ₹10 into 5 equity shares of face value ₹2. The company will also seek approval to alter its authorized share capital clause to ₹47.25 crore (comprising 23.625 crore shares of ₹2 each). The voting cut-off date is set as September 14, 2026, with book closure from September 15 to September 21, 2026.
- Proposed 1:5 stock split sub-dividing 1 equity share of face value ₹10 into 5 equity shares of face value ₹2 each.
- Authorized share capital reclassified to ₹47.25 crore divided into 23,62,50,000 equity shares of ₹2 each.
- 21st AGM scheduled for Monday, September 21, 2026 at 4:00 PM IST via Video Conferencing.
- Cut-off date for e-voting entitlement fixed as September 14, 2026; book closure from September 15 to September 21, 2026.
In its Q1 FY27 earnings call transcript, S.P. Apparels reiterated its consolidated FY27 revenue guidance of ₹2,000 crore (representing ~26.7% growth over FY26 revenue of ₹1,578.7 crore), expecting growth to be heavily weighted towards H2. The company reported a current order book of ~₹600 crore (SPAL India ₹430 crore, Young Brand Apparel ~₹72–100 crore, SPUK ~₹70 crore), giving near-term visibility through October. Infantwear exports are targeted at ₹1,300–1,400 crore for FY27, while intimate wear subsidiary YBA is expected to reach ₹340–350 crore as all units reach commercial production by October. Additionally, the Board approved a ₹3 per share dividend and proposed a stock split from face value ₹10 to ₹2.
- Reiterated FY27 consolidated revenue guidance of ₹2,000 crore with growth weighted towards H2.
- Current total order book stands at ~₹600 crore, fully booking capacity through October.
- Targeting infantwear export revenue of ₹1,300–1,400 crore (vs ₹1,100 crore in FY26) and YBA revenue of ₹340–350 crore.
- Standalone adjusted EBITDA margin improved to 17.5% in Q1 FY27 despite top-line softness.
- Board approved a dividend of ₹3 per share and proposed a 1:5 equity share stock split (FV ₹10 to ₹2).
S. P. Apparels Limited (SPAL) has published the audio recording of its investor conference call held on August 13, 2026. The call, which lasted 50 minutes, discussed the unaudited financial results for the quarter ended June 30, 2026. This disclosure is a standard regulatory requirement following the release of quarterly earnings. Investors can use the recording to assess management's progress on the projected 34% revenue growth and the integration of the Rs 223 Cr M&A investments in YBAPL and BASML.
- Investor conference call conducted on August 13, 2026, starting at 12:00 Noon.
- The session concluded at 12:50 P.M., lasting approximately 50 minutes.
- Discussion centered on the unaudited financial results for the quarter ended June 30, 2026.
- Company currently operates with a TTM revenue of Rs 1,579 Cr and an OPM of 13.8%.
- Management is navigating a total M&A outlay of Rs 223 Cr for YBAPL and BASML assets.
S. P. Apparels Limited (SPAL) reported a consolidated PAT of ₹24.87 Cr for Q1 FY27, a 20.4% YoY increase, despite a marginal 0.6% dip in revenue to ₹401.1 Cr. Profitability was driven by margin expansion, with EBITDA margins rising to 15.3% from 13.1% YoY. The company announced a ₹3 per share dividend and a 1:5 stock split. Notably, the retail division turned EBITDA positive at ₹0.42 Cr, and the UK subsidiary (SPUK) saw revenue more than double to ₹33.3 Cr.
- Consolidated EBITDA increased 15.9% YoY to ₹61.36 Cr, reflecting improved operational efficiency.
- Retail division achieved a turnaround with EBITDA of ₹4.2 Mn compared to a loss of ₹20.7 Mn in Q1 FY26.
- Proposed a stock split of equity shares from a face value of ₹10 to ₹2 per share.
- Capacity utilization for the garment division stood at 68% in Q1 FY27, down from 82% in Q1 FY26, suggesting significant headroom for volume growth.
- Young Brand Apparel (YBAL) acquisition shows a revenue potential of ₹420 Cr from its existing setup.
S. P. Apparels (SPAL) reported a strong start to FY27 with consolidated revenue reaching Rs 401.08 Cr, a 9.9% sequential growth over Q4 FY26. Profitability saw a significant boost as EBITDA margins expanded to 15.3% from 12.2% QoQ, resulting in a 33.8% increase in PAT to Rs 24.87 Cr. To improve retail liquidity, the board approved a 1:5 stock split (reducing face value from Rs 10 to Rs 2) and recommended a final dividend of Rs 3.00 per share. The company also noted a small acquisition in Sri Lanka to further its international manufacturing footprint.
- Consolidated Revenue for Q1 FY27 stood at Rs 401.08 Cr, up 9.9% from Rs 364.91 Cr in Q4 FY26.
- EBITDA grew 37.5% QoQ to Rs 61.36 Cr, with margins expanding by 310 basis points to 15.3%.
- Board approved a 1:5 stock split, converting each Rs 10 face value share into five Rs 2 face value shares.
- Recommended a final dividend of Rs 3.00 per share (30% of FV) for FY26, with a record date of September 4, 2026.
- Garment division (including Young Brand Apparel) contributed Rs 337.33 Cr to revenue with a 17.6% EBITDA margin.
S. P. Apparels Limited (SPAL) reported a strong sequential performance for Q1 FY27, with consolidated revenue reaching ₹401.1 Cr, up 9.9% QoQ. Net profit grew 33.8% QoQ to ₹24.9 Cr, supported by EBITDA margins expanding to 15.3% from 12.2% in the previous quarter. The board has recommended a final dividend of ₹3.00 per share and approved a 1:5 stock split to enhance retail liquidity. Additionally, the company expanded its Sri Lankan operations by acquiring Ritz Clothing Yapahuwa (Private) Limited.
- Consolidated Revenue for Q1 FY27 stood at ₹401.08 Cr, representing a 9.9% sequential growth from Q4 FY26.
- Consolidated PAT increased by 33.8% QoQ to ₹24.87 Cr, with an EPS of ₹9.89 for the quarter.
- Recommended a final dividend of ₹3.00 per share (30% of face value) with a record date of September 4, 2026.
- Approved a 1:5 stock split, sub-dividing each ₹10 face value share into five shares of ₹2 each.
- Subsidiary SP Apparels (International) acquired 2,100,004 equity shares of Ritz Clothing Yapahuwa in Sri Lanka.
S. P. Apparels Limited (SPAL) reported a consolidated PAT of ₹24.87 Cr for Q1 FY27, a 20.4% increase YoY, despite a marginal 0.6% dip in consolidated revenue to ₹401.1 Cr. The company demonstrated strong operational efficiency with EBITDA margins expanding to 15.3% from 12.2% in the previous quarter. Alongside results, the board approved a 1:5 stock split and recommended a final dividend of ₹3.00 per share. Additionally, the company expanded its regional footprint by acquiring Ritz Clothing Yapahuwa in Sri Lanka.
- Consolidated PAT grew 20.4% YoY to ₹24.87 Cr in Q1 FY27 from ₹20.66 Cr in Q1 FY26
- EBITDA margins improved significantly to 15.3% in Q1 FY27 compared to 12.2% in Q4 FY26
- Board approved a 1:5 stock split, reducing face value from ₹10 to ₹2 per share to enhance liquidity
- Recommended a final dividend of ₹3.00 per share (30% of face value) for the year ended March 31, 2026
- Total export volume reached 20.7 million pieces in Q1 FY27 (15.7m from SPAL and 5.0m from Young Brand Apparel)
S. P. Apparels Limited (SPAL) reported a strong sequential performance for Q1 FY27, with consolidated revenue reaching Rs 401.08 Cr, a 9.9% increase over Q4 FY26. Profitability improved significantly as PAT rose 33.8% QoQ to Rs 24.87 Cr, supported by EBITDA margins expanding to 15.3% from 12.2%. The board has recommended a 1:5 stock split to improve retail liquidity and a final dividend of Rs 3.00 per share. Additionally, the company expanded its manufacturing footprint by acquiring Ritz Clothing Yapahuwa in Sri Lanka.
- Consolidated PAT grew 33.8% sequentially to Rs 24.87 Cr in Q1 FY27.
- Board approved a 1:5 stock split, reducing share face value from Rs 10 to Rs 2.
- Recommended a final dividend of Rs 3.00 per share (30% of face value) for FY26.
- Consolidated EBITDA margins expanded by 310 basis points QoQ to 15.3%.
- Subsidiary acquired 2,100,004 equity shares of Ritz Clothing Yapahuwa (Sri Lanka) at LKR 10 per share.
Financial Performance
Revenue Growth by Segment
Consolidated operating income grew 30% YoY to INR 1,401.5 Cr in FY2025, primarily driven by the acquisition of Young Brand Apparels Private Limited (YBAPL) and a 7% increase in garment export volumes. Standalone revenue growth in FY2024 was flat due to weak demand in export markets, following a 33% growth in FY2022 (INR 867.2 Cr).
Geographic Revenue Split
Exports account for 80% of total revenue. Within exports, the UK and European markets contribute 65-70%, while the US market accounts for 25-30%. The domestic retail market, entered in FY2007, contributes the remainder through the Crocodile brand.
Profitability Margins
Operating profit margins were 14% in FY2025, a slight decline from 14.7% in FY2024 and 18.4% in FY2022. Net profit margin (PAT/OI) was 7.5% in 9M FY2023 compared to 9.8% in FY2022. Margins are currently pressured by a 1-1.5% impact from rising labor costs and overheads.
EBITDA Margin
EBITDA margin (OPBDIT/OI) stood at 14% in FY2025, down from 16.2% in FY2021 and 18.4% in FY2022. The moderation is attributed to increased labor costs and the integration of the lower-margin YBAPL acquisition, which is expected to stabilize over the medium term.
Capital Expenditure
Planned capital expenditure for FY2026 is approximately INR 50 Cr for maintenance and capacity. In FY2025, the company completed the acquisition of YBAPL for INR 167 Cr and a unit from BASML for INR 56 Cr, with a final tranche of INR 60 Cr due in Q4 FY2025.
Credit Rating & Borrowing
The company maintains a strong credit profile with a Stable outlook. Interest coverage moderated to 5.8x in FY2025 from 8.5x in FY2024 due to higher debt levels. Total debt increased to INR 380.8 Cr in FY2025 from INR 203.4 Cr in FY2024 to fund acquisitions.
Operational Drivers
Raw Materials
Cotton and yarn are the primary raw materials, representing the largest portion of the cost structure. Fluctuations in these prices directly impact the cost of goods sold as pricing flexibility with global retailers is limited.
Import Sources
Sourcing is primarily domestic within India, leveraging the company's integrated spinning capacities. However, the company also operates a subsidiary in Sri Lanka which requires incremental funding of INR 55 Cr for operations.
Capacity Expansion
Current operations are fully integrated from spinning to garmenting. Recent expansions include the acquisition of a manufacturing unit in Palladam from BASML and the acquisition of YBAPL to expand into the innerwear segment and increase US market presence.
Raw Material Costs
Raw material costs as a percentage of revenue decreased in FY2024, helping offset higher freight and labor costs to maintain a 14.7% operating margin. The company uses order-backed procurement to hedge against price volatility.
Manufacturing Efficiency
Efficiency is driven by backward integration. The company recently completed modernization of existing capacities to improve throughput. FY2025 saw a 7% YoY increase in export volumes despite global headwinds.
Logistics & Distribution
Distribution costs were impacted by increased freight rates in FY2024, though this was partially offset by lower raw material prices during the same period.
Strategic Growth
Expected Growth Rate
34%
Growth Strategy
Growth will be achieved through the integration of YBAPL (adding innerwear products), scaling the Palladam unit acquired from BASML, and leveraging the UK-India FTA to increase export volumes. The company is also diversifying its customer base to reduce concentration.
Products & Services
Infantwear, childrenswear, and innerwear (newly added). Products include value-added garments featuring embroidery, printing, and specialized dyeing.
Brand Portfolio
Crocodile (domestic retail), Young Brand (innerwear).
New Products/Services
Expansion into the innerwear segment via the YBAPL acquisition is expected to contribute significantly to the projected 34% revenue growth in FY2025.
Market Expansion
Targeting expansion in the US market to diversify away from the UK/EU. The company is also ramping up capacities in Sri Lanka and India to capture the 'China Plus One' procurement shift.
Market Share & Ranking
SPAL is one of the largest organized exporters of childrenswear in India with over three decades of experience.
Strategic Alliances
Acquisition of Young Brand Apparels Private Limited (YBAPL) and asset purchase from Bannari Amman Spinning Mills Limited (BASML).
External Factors
Industry Trends
The industry is seeing a shift in procurement from China to India ('China Plus One'). The infantwear niche is growing at a stable rate as it is considered a non-discretionary essential within the apparel category.
Competitive Landscape
Faces intense competition from large Indian textile exporters and low-cost manufacturing hubs like Bangladesh and Vietnam, which limits aggressive price hikes.
Competitive Moat
Moat is built on deep integration (spinning to retail) and long-standing (20+ year) relationships with global retailers. This integration allows for better quality control and higher margins (14-18%) compared to non-integrated players.
Macro Economic Sensitivity
Highly sensitive to consumer discretionary spending in the UK and EU. Inflationary pressures in these regions led to flat standalone revenue in FY2024.
Consumer Behavior
Shift toward value-added and branded childrenswear. Demand for infantwear remains relatively inelastic compared to fashion apparel during economic slowdowns.
Geopolitical Risks
Exposed to changes in export incentive structures and US-India trade tariffs. The UK-India FTA is a positive catalyst expected to drive medium-term volume growth.
Regulatory & Governance
Industry Regulations
Subject to stringent labor laws and international social compliance audits required by global retailers. US trade penalties on Indian apparel are a key regulatory hurdle.
Taxation Policy Impact
Effective tax rate is approximately 25-30% based on PAT of INR 84.7 Cr on PBT in FY2022. Vulnerable to changes in export incentive schemes like RoDTEP.
Legal Contingencies
The company faces moderate stabilization risks from the YBAPL acquisition and must fulfill conditions in the MoU with BASML for the final INR 60 Cr asset transfer.
Risk Analysis
Key Uncertainties
Integration risk of YBAPL could impact consolidated margins by 2-3% if synergies are not realized. Sustained inflation in the UK could lead to a 10% drop in export volumes.
Geographic Concentration Risk
High concentration with 65-70% of export revenue derived from the UK and European markets.
Third Party Dependencies
Low dependency on third-party processors due to integrated operations, but high dependency on top 3 customers for 48% of sales.
Technology Obsolescence Risk
Low risk in garmenting, but requires continuous investment in modern spinning and knitting machinery to maintain cost competitiveness.
Credit & Counterparty Risk
High receivables expose the company to counterparty credit risk, particularly with large global retailers facing their own domestic economic pressures.
