Kewal Kiran Clothing reports strong Q2 FY26 growth, positive outlook

KKCL reported a consolidated revenue of ₹354 crores for Q2 FY26, a 14.9% year-on-year increase, with standalone revenue growing by approximately 14% to ₹288 crores. Apparel volume growth stood at 17.3% year-on-year, and average realizations per unit improved by 22.1%. EBITDA grew 11% year-on-year to ₹71 crores, with margins at 20%, exceeding the guided range of 17-18%. This was attributed to operating leverage, an optimized product mix, and cost efficiency.

The company expanded its retail footprint by adding 29 exclusive brand outlets (EBOs) during the quarter, bringing the total to 652 stores by September 30, 2025. Killer brand alone now operates 437 EBOs. Future plans include opening 90-100 stores annually, with new stores targeting ₹1 crore in business per 800 square feet, and an ROI between 16-18% in the first year. The company anticipates 17-18% consolidated growth for the full year and aims for double-digit growth in its original portfolio.

Kewal Kiran Clothing welcomes the recent GST reduction on apparel price points below ₹2,500, expecting it to boost demand. The company is strategically focused on deepening its presence across EBOs, national chains, and multi-brand outlets, while expanding its product portfolio. Efforts are underway to strengthen northern and western zones, with retail contributing 55% to the revenue mix.