A B Cotspin India Reports Robust FY26 Results, Reflecting 31.40% Growth in Net Profit

A B Cotspin India Reports Robust FY26 Results, Reflecting 31.40% Growth in Net Profit​

A B Cotspin India Ltd., a leading textile manufacturer with over 25 years of industry expertise, announced its Audited Standalone and Consolidated financial results for FY26. The company reported a significant 31.40% year-on-year (YoY) growth in Net Profit compared to FY25.

The consolidated financial highlights demonstrate the company's operational strength and market resilience.

Operational and Sustainability Updates​

In addition to the strong financial performance, A B Cotspin India has focused on capacity expansion and sustainability. The company successfully installed 14,592 additional spindles, bringing its total operational capacity to 50,832 spindles. The commitment to green manufacturing was reinforced by expanding the solar power capacity from 2,500 KW to 3,131 KW.

Market Drivers and Government Support​

The Indian textile industry is benefiting from significant governmental and international trade developments. The Union finance ministry has exempted customs duty on cotton imports for five months, effective from June 1, 2026, up to and including October 31, 2026. This temporary duty exemption is set to reduce input costs across the sector.

Globally, the proposed EU-India Free Trade Agreement is viewed as a massive booster for the Indian textile industry. This agreement is expected to eliminate or reduce tariffs on 96.6% of EU exports by 2032, saving an estimated €4 billion annually in duties. Reciprocally, the EU will reduce or eliminate tariffs on 99.5% of Indian goods by value, benefiting key sectors including textiles, leather, and jewelry. For the textile sector, the draft agreement includes immediate duty elimination and phased concessions for Indian textiles and apparel entering the European Union, covering readymade garments, home textiles, and technical textiles.

Industry Leaders Highlight Global Ambitions​

On a larger scale, the Union Finance Minister, Nirmala Sitharaman, called for strengthening the textile value chain "from farm to fibre, factory, fashion and foreign markets." She outlined ambitious national targets, aiming for USD 100 billion in textile exports and USD 250 billion in textile production by 2030. She noted that India already contributes around 2.3% to GDP and accounts for nearly 12% of the country's export earnings, supporting nearly six crore livelihoods directly and indirectly.

Echoing the positive momentum, Deepak Garg, Managing Director of A B Cotspin India, commented on the robust performance. He stated that the company reported Total Revenue of ₹ 301.67 crore, and EBITDA surged by an impressive 29.04% YoY to ₹ 42.41 crore. Garg noted that Net profit rose by 31.40% to ₹ 13.35 crore, demonstrating the business's resilience. The Managing Director also shared expectations for FY 2026-27, projecting Total Revenue of around ₹ 350-400 crore and EBITDA of ₹ 50-60 crore.

ABCOTS Stock Price Movement​

Shares of A B Cotspin India Limited are edging higher to ₹219.36 as of 11:24 AM, showing a gain of 1.44% in live trading. The stock remains within an intraday range of ₹214.16 to ₹221.59, trading on a volume of 13,055 shares.