Bhandari Hosiery Exports Q2 FY27 Profit Falls 28.6% YoY

Bhandari Hosiery Exports Limited reported Q2 FY27 revenue of ₹78.5 crore, up 14.9% year on year, but its net profit declined 28.6% to ₹1.5 crore for the quarter ended September 2026. The result shows that higher sales did not translate into higher bottom-line earnings during the period.

What did Bhandari Hosiery Exports report in Q2 FY27?

Bhandari Hosiery Exports reported revenue from operations of ₹78.5 crore for Q2 FY27, compared with ₹68.33 crore in Q2 FY26. The 14.9% year-on-year increase indicates higher sales during the July-September 2026 quarter relative to the corresponding period a year earlier.

Net profit, however, fell to ₹1.5 crore from ₹2.07 crore in the September 2025 quarter. This represents a 28.6% year-on-year decline. Based on the reported revenue and profit figures, net profit margin was about 1.9% in Q2 FY27, compared with about 3.0% in Q2 FY26.

The contrast between revenue growth and lower profit is the central point of the quarterly result. The available information does not specify the individual expense, pricing, product-mix, financing or other factors behind the lower profit, so the result does not establish a confirmed cause for the margin movement.

How do the Q2 FY27 figures compare with earlier reported periods?

The Q2 FY27 revenue of ₹78.5 crore was above the ₹68.33 crore reported in Q2 FY26, while profit was below the prior-year level of ₹2.07 crore. The September quarter therefore delivered sales growth against a higher comparative profit base.

The company had reported revenue of ₹50.85 crore and net profit of ₹1.30 crore in Q1 FY27, the quarter ended June 2026. The result data also show that revenue in Q4 FY26, ended March 2026, was ₹90.05 crore and net profit was ₹1.89 crore. Quarterly comparisons should account for order timing and seasonal variations in garment manufacturing, which can affect reported sales across periods.

What is Bhandari Hosiery Exports' business background?

Bhandari Hosiery Exports is a Ludhiana, Punjab-based textile manufacturer and exporter incorporated in 1993. It is listed on the BSE under Scrip Code 512608 and on the National Stock Exchange under the symbol BHANDARI. The company also holds Government of India Recognised Export House status.

Its operations are vertically integrated, covering yarn, knitting, dyeing, printing, finishing and packing. The company manufactures cotton knitted garments including T-shirts, pullovers, sweatshirts, polo shirts and other knitwear. This operating model links its performance to garment demand, production utilisation, input costs and export-market conditions.

For FY26, Bhandari Hosiery Exports reported turnover of ₹280.71 crore, compared with ₹278.82 crore in the previous financial year, an increase of 0.68%. Profit after tax was ₹7.77 crore, compared with ₹7.71 crore in the preceding year, up 0.71%. These annual figures show relatively limited growth before the Q2 FY27 sales increase.

Why does the Q2 result matter for investors and the textile sector?

The Q2 FY27 result matters because it combines double-digit revenue growth with a decline in net profit. For investors, the figures place attention on whether the company can convert higher sales into sustainable earnings, particularly as the calculated profit margin was lower than in the comparable quarter.

The company operates in a textile sector exposed to domestic and overseas demand conditions. India’s textile exports grew 2.1% year on year to ₹3,16,334.9 crore in FY2025-26, according to the information provided. The proposed UK-India Free Trade Agreement has also been cited as a development that could provide duty-free access across textile categories, although its eventual business impact on any individual company cannot be determined from the current quarterly result.

Bhandari Hosiery Exports’ FY26 operating cash flow had moved from a positive ₹15.96 crore to a negative ₹25.42 crore, a deterioration of ₹41.38 crore. This makes cash generation another relevant measure alongside revenue and reported profit when investors assess future filings. The Q2 result itself does not provide a confirmed explanation for this annual cash-flow change.

What should investors monitor after the Q2 FY27 result?

Investors should monitor revenue growth, net profit, operating margin and cash-flow disclosures in subsequent filings. These indicators will show whether the gap between stronger sales and lower profit in Q2 FY27 persists or changes in later quarters.

Management commentary, where provided in exchange filings or annual reports, may offer further context on demand, capacity utilisation, export orders and cost trends. The company’s status as an integrated knitwear manufacturer means that operational updates across production and garment sales can be relevant to assessing reported financial performance.

Conclusion

Bhandari Hosiery Exports recorded a 14.9% year-on-year rise in Q2 FY27 revenue to ₹78.5 crore, but net profit declined 28.6% to ₹1.5 crore. The result indicates that higher quarterly sales were accompanied by weaker bottom-line conversion compared with the September 2025 quarter.

The next results disclosures will be important for tracking profitability, operating cash flow and any management explanation of cost or demand conditions. Investors can also watch for updates relating to export markets and the company’s ability to build on FY27 revenue growth while protecting margins.