Garment Mantra FY26 Revenue Jumps to Rs 262 Crore

Consolidated revenue reached Rs 262.02 crore in FY 2025-26, up from Rs 132.41 crore in the previous fiscal year.
Consolidated net profit stood at Rs 4.47 crore compared to Rs 2.87 crore in FY 2024-25.

Reader Takeaway: Strong revenue expansion and successful capital raising are offset by significant GST litigation and regulatory compliance costs.

What just happened

Garment Mantra Lifestyle has released its FY 2025-26 Annual Report, highlighting significant operational growth. The company successfully completed a rights issue, raising Rs 37.34 crore to fuel business activities. No dividend has been recommended for the fiscal year, with management choosing to conserve cash for expansion.

Why this matters

The doubling of top-line growth indicates successful market penetration or expanded operations in the garment sector. However, the company is dealing with substantial regulatory hurdles, including a Rs 12.26 crore GST litigation involving its subsidiary, Hylex Fashion, which is currently under an interim stay from the Madras High Court. Additionally, the parent company faces an appeal regarding a Rs 91.72 lakh GST demand.

Management and Governance

The company paid Rs 49 lakh in fines for various SEBI (LODR) non-compliance issues during the year. The 15th Annual General Meeting is scheduled for September 26, 2026. Furthermore, Garment Mantra has disinvested from Twenty Twenty Trading LLP, effectively removing it as a subsidiary.

Risks to watch

Investors should monitor the outcome of the material GST litigations at both the holding and subsidiary levels. Ongoing regulatory scrutiny and compliance costs remain a drag on bottom-line performance.