Sunrakshakk Industries: FY26 scale-up delivers record Q4, but segment narrative needs clarity

Sunrakshakk Industries India Limited, formerly A.K. Spintex Limited, closed Q4 FY26 with its strongest quarter to date. Consolidated revenue rose to ₹197.59 crore, up 92.32 percent year on year, while EBITDA increased 76.67 percent to ₹20.14 crore. Profit after tax came in at ₹12.10 crore, up 87.89 percent, with EBITDA margin improving sequentially to 10.19 percent from 9.31 percent in Q3 FY26.

For the full year, FY26 revenue reached ₹607.75 crore compared with ₹180.16 crore in FY25, a growth of 237.34 percent. EBITDA increased to ₹58.69 crore and PAT to ₹34.98 crore. The reported PAT margin for FY26 was 5.76 percent, slightly lower than FY25’s 6.11 percent, and EBITDA margin was 9.66 percent versus 14.24 percent in FY25. The company notes that these ratios are not directly comparable due to the transformation from a textile-focused business to an FMCG-led model and the consolidation of Sunrakshakk Agro Products Private Limited from 1 January 2025.

The year of transformation and capacity build-out

The investor presentation frames FY26 as a landmark year, driven by the rapid expansion of FMCG, FMCG intermediates, and edibles. The pivot is tied to the acquisition of Sunrakshakk Agro Products Pvt. Ltd. effective 27 December 2024 and a rebranding that signals a diversified profile. The company also highlights ₹98.65 crore raised to support the acquisition and expansion.

Operationally, the manufacturing footprint has expanded across three FMCG-focused locations, with a separate textile processing unit. FMCG and intermediate capacity disclosures are given by section, including soap and noodle operations in Roorkee, home care, detergent and edibles in Bhilwara, and a newer Guwahati facility with noodle and cosmetics capacity.

The company states that the Guwahati facility was commissioned with monthly capacity of 2,160 MT for soap noodles and 1,000 MT for cosmetics. It also states that the Bhilwara edibles facility became fully operational with monthly capacities of 850 MT in savories and 650 MT in spices, contributing since September 2025. In management commentary, the ramp-up of Guwahati and the scale-up of edibles are cited as strengthening the integrated FMCG platform.

Q4 FY26: volumes scale and margins improve sequentially

Quarterly performance through FY26 shows accelerating momentum. Revenue increased from ₹125.24 crore in Q1 to ₹197.59 crore in Q4. EBITDA rose from ₹11.62 crore to ₹20.14 crore over the same period. PAT climbed from ₹6.52 crore in Q1 to ₹12.10 crore in Q4, and basic EPS increased to ₹3.90 in Q4.

Management attributes Q4 performance to healthy demand across personal care, home-care, FMCG intermediates, and edibles. Sequential margin expansion is explained as a function of operating leverage, improving capacity utilization, and scalability as volumes grow.

A section-wise revenue table for Q4 FY26 provides a view into FMCG and intermediates across locations. Roorkee’s noodle section reported ₹44.47 crore, while Guwahati’s noodle section reported ₹26.01 crore. Soap sections at Roorkee and Guwahati reported ₹17.63 crore and ₹20.91 crore respectively. In Bhilwara, detergent revenue was ₹24.54 crore and edibles revenue was ₹29.26 crore.

However, the disclosed section revenues sum to ₹170.78 crore, which is below the reported total Q4 revenue of ₹197.59 crore, and the presentation does not provide a reconciliation bridge. Investors should treat this table as partial disclosure rather than a complete segment statement.

Financial snapshot

Revenue mix: numbers suggest textile dominance, while commentary signals FMCG scale

The deck includes two sets of revenue-mix disclosures that point in different directions.

First, the quarterly split for FY26 explicitly shows textile as the majority in every quarter. In Q4 FY26, textile revenue is shown as ₹170.79 crore and FMCG as ₹26.80 crore. Similar splits are shown for Q1 to Q3.

Second, a slide titled “Evolution of Revenue Mix: Textile to FMCG-Led Growth” reports FY24 as 100 percent textile, FY25 as 58 percent textile and 42 percent FMCG, and FY26 as 83 percent textile and 17 percent FMCG. On FY26 revenue of ₹607.75 crore, that implies textile of about ₹504.43 crore and FMCG of about ₹103.32 crore.

At the same time, management commentary states that “majority revenues now coming from FMCG and FMCG Intermediates.” This statement is not consistent with the quarterly split presented for FY26, where textile remains dominant, and also not consistent with the FY26 mix slide that still shows 83 percent textile.

This does not invalidate the broader growth narrative, but it does create uncertainty on how the company classifies its segments and how investors should interpret the reported mix. A clearer segment note, especially separating FMCG products from FMCG intermediates and textile processing, would materially improve transparency.

Capital allocation message and medium-term targets

The presentation links the fund raise and capacity addition to improved profitability. It claims an incremental PAT of about ₹7.2 crore per quarter, an annualized PAT uplift of around ₹28 to ₹29 crore, and an implied return on capital of roughly 28 to 30 percent on a run-rate basis.

On strategy, the “Way Ahead” section focuses on distribution deepening, channel expansion, and manufacturing optimization. The company also states a medium-term aspiration to reach about ₹1,000 crore in revenue by FY28. Another slide cites a revenue CAGR guidance of 30 to 35 percent over FY25 to FY29. These are directionally clear targets, although the deck does not provide a capex plan or intermediate milestones by year.

What to track next

Sunrakshakk enters FY27 with clear momentum in reported growth and a broader manufacturing footprint across Roorkee, Bhilwara, and Guwahati. Q4 FY26 also shows sequential margin improvement, indicating operating leverage benefits as volumes scale.

At the same time, investors will need more consistency in segment reporting. The presentation contains a mismatch between the stated mix shift and the reported FY26 and quarterly splits, and the section-wise revenue table does not fully reconcile to total quarterly revenue. Greater clarity on what is included in FMCG, FMCG intermediates, and textile would make the investment narrative easier to validate.

The near-term story is therefore a combination of strong scale-up and an evolving disclosure framework. If the company can sustain volumes across its key categories and improve segment transparency, the stated FY28 revenue aspiration of about ₹1,000 crore will be easier for the market to underwrite.