LWS Knitwear FY26 Results: Revenue Declines 11.48%

FY26 performance at a glance

LWS Knitwear Ltd reported lower revenue and profit for the financial year ended March 31, 2026. Standalone net sales declined 11.48% year-on-year to Rs 96.21 crore from Rs 108.69 crore in FY25. Standalone net profit fell 5.93% to Rs 2.38 crore from Rs 2.53 crore. Earnings per share declined to Rs 1.63 from Rs 1.73 in the preceding year. The results show that weaker sales affected the company’s annual earnings, although operating profitability improved.

Revenue declines after a strong FY25

The FY26 sales contraction followed a strong increase in FY25. Net sales had risen 44.67% in FY25 from Rs 75.13 crore in FY24 to Rs 108.69 crore. FY26 revenue of Rs 96.21 crore was still above the Rs 75.13 crore reported in FY24, but it marked a reversal from the prior year’s growth rate. Another reported financial-data source placed FY26 revenue at Rs 96.34 crore, while the standalone annual results snapshot reported net sales of Rs 96.21 crore. The company’s annual results snapshot showed a year-on-year sales decline of 11.48%.

Operating profit improves despite lower sales

Operating profit before depreciation, interest and tax, excluding other income, increased 6.46% to Rs 5.27 crore in FY26 from Rs 4.95 crore in FY25. The operating profit margin improved to 5.48% from 4.55%, an expansion of 0.93 percentage points. A separate annual financial table reported EBITDA of Rs 5.40 crore for FY26, compared with Rs 4.95 crore a year earlier. Both data sets indicate an improvement in operating profitability despite the fall in sales. This contrast is important because it separates the revenue decline from the company’s operating margin performance.

Higher interest cost weighs on earnings

Interest expense rose 46.62% to Rs 2.17 crore in FY26 from Rs 1.48 crore in FY25. The increase in interest cost came alongside the decline in sales and limited the benefit of the higher operating profit. As a result, net profit declined to Rs 2.38 crore even as operating profit increased. The FY26 net profit margin, based on reported net sales and profit, was about 2.5%. No exceptional items were reported in either FY26 or FY25 in the annual snapshot.

Annual financial comparison

Fourth-quarter profit trends

For the March 2026 quarter, LWS Knitwear reported net profit of Rs 0.96 crore. This was 12.94% higher than the Rs 0.85 crore reported in the December 2025 quarter. However, it was 15.04% lower than the Rs 1.13 crore recorded in the March 2025 quarter. Quarterly revenue stood at Rs 32.70 crore in March 2026, compared with Rs 49.34 crore in March 2025. Quarterly EBITDA was Rs 1.76 crore, against Rs 2.04 crore a year earlier.

What the quarterly numbers indicate

The March quarter accounted for a meaningful portion of the company’s FY26 sales and profit. The sequential increase in net profit from the December quarter occurred even though March-quarter revenue was lower than the September 2025 quarter’s Rs 32.89 crore. This indicates that quarterly profitability did not move in direct proportion to sales through the year. But the year-on-year comparison remained weaker, with both March-quarter revenue and net profit below the levels reported a year earlier. The available figures do not specify the reasons for the changes in quarterly sales, costs or interest expense.

Company business and operating context

LWS Knitwear is part of the Ludhiana-based LWS Group. The company was incorporated as a private limited company in May 1989 and became a public limited company in April 1991. It is engaged in manufacturing hosiery goods, knitted cloth and garments. The company is classified as a micro-cap business and operates in the trading and distributors category in the supplied market profile. Its main office is in Ludhiana, and another company profile identifies its activity within cut-and-sew apparel manufacturing.

Why the FY26 results matter

The FY26 results show a mixed operating picture. Sales and net profit declined from FY25, while the operating margin improved and operating profit increased. The larger interest expense was a significant financial factor, rising faster than operating profit. For investors, the reported numbers place attention on the company’s ability to restore sales growth while retaining the improved operating margin. The results were published as audited FY26 financial results on June 2, 2026.

Annual-report and disclosure timeline

LWS Knitwear’s FY25 annual report was disclosed on September 3, 2025. The company announced that its annual general meeting would be held on September 30, 2025. The FY26 results relate to the year ended March 31, 2026, and the company subsequently published its audited results in June 2026. Future disclosures, including annual-report filings and subsequent quarterly results, will provide the next reported updates on sales, margins, interest costs and earnings.

Conclusion

LWS Knitwear closed FY26 with net sales of Rs 96.21 crore and net profit of Rs 2.38 crore, both below FY25 levels. Operating profit and operating margin improved, but a sharp increase in interest expense coincided with lower annual earnings. The company’s upcoming financial disclosures will show whether the FY26 margin improvement is sustained alongside any recovery in revenue.