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The performance was led by sales growth in Vietnam and Indonesia due to strong order book and healthy growth in sales volume. The adjusted EBITDA came in at ₹114 crore (~$12.54 million), up by 13.4 per cent YoY with margin at 9.3 per cent, PGIL said in a press release.
Pearl Global Industries Ltd has reported revenues of ₹1,228 crore (~$140.07 million) in Q1 FY26, up 16.6 per cent YoY, led by strong sales in Vietnam and Indonesia.
Adjusted EBITDA rose to ₹114 crore (~$12.54 million) with a 9.3 per cent margin, while PAT grew 5.9 per cent to ₹66 crore.
PGIL is recalibrating its US strategy due to tariffs, focusing expansion on favourable markets like Vietnam and the UK.
The adjusted EBITDA margin excluding tariff cost/loss at new facilities (Guatemala and Bihar) in Q1 FY26 stands at ~10.7 per cent, continuing the trend of double-digit margin for the second consecutive quarter.
The profit after tax (PAT) in Q1 FY26 grew to ₹66 crore (~$7.92 million), a growth of 5.9 per cent YoY basis. Excluding exceptional items in Q1 FY25, PAT registered a YoY growth of 13.5 per cent. The total revenue stood at ₹267 crore, a marginal decline of 3.4 per cent on YoY basis, and adjusted EBITDA stood at ₹20 crore, up by 47.2 per cent YoY.
The adjusted EBITDA margin witnessed a growth of 250 bps YoY to 7.3 per cent in Q1 FY26 from 4.8 per cent in Q1 FY25 due to change in customer mix and product mix. PAT grew to ₹26 crore, a growth of 62.6 per cent on a YoY basis.
The company shipped 17.2 million pieces in Q1 FY26, up from 16.7 million pieces in Q1 FY25 despite global headwinds and tariff uncertainties.
“This growth was led by enhanced contributions from Vietnam and Indonesia fuelled by strong order book and healthy sales volumes despite ongoing tariff-related uncertainties. These markets demonstrated robust momentum—highlighting the power of the company’s diversified geographic presence. This is a testament of our multi geographical presence,” said Pulkit Seth, vice-chairman and non-executive director at PGIL.
“On the expansion front, we are carefully tracking market developments across all operating geographies. Any future investments will be undertaken in a measured manner, driven by sustained growth and stability in each target region. With a strong start to FY26, we are energised by the continued support of our customers and the depth of our global reach. Confident in our strategy and execution capabilities, we are well-positioned to accelerate progress toward our FY28 goals and beyond—driving transformative growth with clarity, purpose, and ambition,” added Seth.
“Looking ahead, the global landscape remains uncertain, with geopolitical tensions and evolving US tariff policies at play. We are seeing healthy growth in Indonesia and Vietnam, following the early resolution of tariff structures in these markets,” said Pallab Banerjee, managing director at PGIL. “Now that US has declared final reciprocal tariffs on all major garment manufacturing countries which are at 19-20 per cent. We are seeing positive momentum from US customers for our Vietnam, Indonesia, Bangladesh and Guatemala (which is net 10 per cent baseline and no MFN tariff).”
“With tariff imposed on India 50 per cent (25 per cent + 25 per cent), Pearl Global is therefore recalibrating its business strategy to adapt to these evolving trade dynamics. While production for the US market will be reassigned to more favourable hubs, India will continue to grow by tapping into new and advantageous partnerships—like the UK FTA—and will focus on other existing FTA markets of Japan and Australia until the US tariff issue is resolved. This approach reflects the company’s agility and long-term commitment to global value creation,” added Banerjee. “We remain confident in our growth strategy and will continue with our capital expenditure plan in Bangladesh reinforcing our long-term commitment to operational excellence.”
Fibre2Fashion News Desk (SG)
