Banswara Syntex Ltd

Banswara Syntex Limited – Trading Window closes from 1 October 2026; reopens 48 hours after declaration of results for quarter/half year ended 30 September 2026.

Banswara Syntex Limited — Trading Window closed from 1st October, 2026; re-open after completion of 48 hours from the declaration of financial results for the quarter / half year ended 30th September, 2026 by the Board of Directors of the Company.

Director resignation

• Narendra Kumar Ambwani, Non-Executive Independent Director, resigned effective 8 September 2026 due to advancing age and health issues.

Shareholding change under Reg 29(2)

• Promoter group member sold 6,861 equity shares in open market (Rs 5 face) representing 0.02% of paid-up capital.

Transaction details

• Target Company: Banswara Syntex Limited.
• Disclosing Party: Udit Ravindra Toshniwal, promoter group member.
• Transaction Type: Sale/disposal of equity shares.
• Pre-Transaction Holding: 59,516 shares (0.17%).
• Transaction Details: 15,199 shares sold in open market across Aug 24–26, 2026.
• Post-Transaction Holding: 44,317 shares (0.13%).
• Date(s) of Transaction: 24–26 August 2026.
• Share Capital Context: Pre 3,42,32,084 equity shares; Rs 17,11,60,420.
• Total diluted share capital after: 3,42,32,084 equity shares.
• Encumbrances: none pre/post.

Promoter share sale disclosed under Reg 29(2)

• Promoter group member Mr. Udit Ravindra Toshniwal sold 15,199 equity shares in open market.
• Face value Rs 5 per share; stake represents 0.04% of paid-up capital.
• Sale conducted in open market; not a related party transaction.
• Disclosure filed to exchanges on 27 August 2026.
• No governance changes disclosed.

Financial Performance

• Total income rose 4.1% YoY to INR322.4 crores in Q1 FY27.
• EBITDA INR29.5 crores; PBT INR19.6 crores; PAT INR4.4 crores vs Q1 FY26 loss INR1.4 crores.
• Consolidated EBITDA margin 9% in Q1; full-year target 12% EBITDA.
• Fabric EBITDA margin expected 12-14%; Garment 8-10%; Yarn 8-10%.
• Exports accounted for 48% of total turnover in Q1 FY27.
• Garment export 60%; domestic 40%; Fabric export 50-50.
• Jackets: historically ~600k/year; this year 800k-900k; Q1 output ~135k; run-rate ~75k/month.

Segment Update

• Yarn revenue 96 crores; volume 36 lakh kgs; capacity utilization 70%; labor shortages reduced output.
• Fabric revenue 147 crores; volume 59 lakh meters; capacity 80%.
• Growth drivers: value-added fabrics; order book strong; new customers Haggar and NEXT.
• Garment revenue 69 crores; 8 lakh pieces; capacity 69%.
• West Asia export constraints; orders robust through November/December; Mango, Celio, Walmart; C&A, NEXT.
• Domestic buoyant demand; integrated manufacturing supports growth.

Capex and Growth Initiatives

• Investment plan this year: INR140 crores for fabric, garment, and common infra; 20-25% garment expansion next year.
• FY27-28 expansion: garment +20%; fabric +20%; yarn may maintain or grow.
• Surat restart: approvals and NOC; GIDC de-notification; customs no-due; SEZ debonding; DTA by November.
• Restart involves a modern plant; adds INR200 crores revenue runway; investment about INR50 crores.
• EU operationalization expected by end December/early January.

Guidance and Trade Environment

• FY27 revenue guidance: INR1,450 to INR1,500 crores.
• Full-year EBITDA target: 12%; Q1 was 9%; expect recovery over next three quarters.
• India-UK FTA effective July 15, 2026; duties removed; exports boosted.
• EU FTA potential could strengthen export opportunities.
• Garment exports expected to rise to around 70% of garment revenue by year end.
• Garment order book remains robust through November/December; three-quarter runway around INR100 crores each.
• Domestic demand is buoyant; exports driven by FTAs and new EU/UK opportunities.

Q&A Highlights

• Export mix: fabric and garment together contribute about 70% of exports; yarn ~30%.
• Garment exports seen rising to 70% of garment revenue by year end; UK/EU focus expanding.
• Jackets: Q1 ~135k; full-year 800k-900k; run-rate ~75k per month; orders visible till December.
• Surat restart timing: DTA capacity expected by November; FY27-28 impact noted.
• Guidance reaffirmed: FY27 revenue INR1,450-1,500 crores; EBITDA near 12% after quarterly variability.

Withdrawal of proposed CS/CO appointment

• Monika Bohara withdrew acceptance for CS/CO; appointment not effective; MD Toshniwal to ensure compliance.