Nitin Spinners reports Q2 FY26 earnings amid textile headwinds

Nitin Spinners Limited reported revenue of INR760.08 crores for Q2 FY26, an 8% decline year-over-year from INR822.52 crores in Q2 FY25. Half-year revenue for FY26 stood at INR1,553.40 crores, down 4% from INR1,625.49 crores in H1 FY25, primarily due to reduced selling prices and global uncertainties. EBITDA for Q2 FY26 was INR99.6 crores, with a margin of 13.1%, slightly compressed from 14% in Q2 FY25. Net profit for the quarter was INR34.78 crores, down from INR42.16 crores in Q2 FY25.

The company's export contribution was approximately 61% of revenue, with 39% from the domestic market. Spinning capacity utilization remained high at over 95%, while woven fabric capacity reached nearly 90%. Nitin Spinners expects an improvement in industry conditions in the second half of FY26, supported by government initiatives and potential trade agreements. The company plans a capex of INR1,100 crores to increase spinning capacity by 25% and fabric division capacity by over 50%, aiming for approximately INR400 crores of incremental turnover in FY27. They also noted INR17.9 crores investment in renewable energy for cost optimization.