Sutlej Textiles and Industries Ltd

Financial Performance

• Standalone income INR 704 crores, up 17% YoY; Q4 FY26 strongest quarter.
• Gross margin 46.8%, up ~370 bps vs Q1 FY26.
• EBITDA 47.2 crores; EBITDA margin 6.7%; vs 5 crores and 0.8% YoY.
• Raw material consumption 53.2% of revenue, down from 56.9%.
• Employee cost 16.6% of revenue; annual wage revision absorbed.
• PBT INR 4.2 crores; PAT INR 1.5 crores; tax 2.7 crores.
• Consolidated results turned positive; working capital comfortable.

Segment Update

• Yarn: revenue 640 crores, up 16%; EBITDA 34.4 crores vs 6.5.
• SGF demand structural; post-consumer PET bottles into certified sustainable material.
• Home textiles revenue up 22%; profitability held; first-half visibility healthy; design-led.
• Market diversification: Far East/Africa moved to repeated orders.
• Value addition: ~1/3 portfolio to value-added; Protech trials progressing.
• Capex funded from existing facilities; all clusters delivered positive EBITDA in Q1.

Outlook and Guidance

• Not declaring turnaround complete; burden of proof rests with us.
• Objective to build durable value; not maximize the quarter.
• Sequential gains expected; Q1 data point; plan on track.
• Maintain or better Q1 numbers in Q2; no fixed outlook yet.
• Home textiles doubling in two years.
• Capex funded from existing facilities; no equity issuance.

Q&A Highlights

• Yarn value-added target 30-35%; current 10-15%; trials 3-6 months.
• Near-term yarn EBITDA margins to be in the two-digit range.
• Home textiles growth doubling in about 2 years.
• Green fiber top line around INR 400 crores; 70-75% consumed in own units.
• Debt: short-term working capital increases to support revenue growth.
• Q2/Q3: aim to better Q1 performance.

AGM details

• Date: 27 July 2026; mode: video conferencing (VC/OAVM).
• Record date: 20 July 2026.

Key resolutions

• Resolution 1: Ordinary—standalone financials adopted; passed.
• Resolution 2: Ordinary—consolidated financials adopted; passed.
• Resolution 3: Ordinary—re-appointment of director by rotation; passed.
• Resolution 4: Ordinary—cost auditor remuneration ratified; passed.
• Resolution 5: Special—appointment of independent director; passed.

Director changes

• Appointment of Mr. Alok Ohrie as Independent Director.

Auditors

• Remuneration of cost auditors ratified.

AGM details

• Date and time: 27 July 2026, 3:00 PM.
• Mode: VC/OAVM via Zoom platform.
• Duration: 3:00 PM to 4:10 PM.
• Remote e-voting: 23–26 July 2026.
• AGM e-voting open for 15 minutes post-meeting.
• Attendance: 84 members.

Resolutions

• Adoption of standalone audited financial statements for year ended 31 March 2026.
• Adoption of consolidated audited financial statements for year ended 31 March 2026.
• Re-appointment of Ashishkumar Srivastava as director liable to retire by rotation.
• Ratification of remuneration paid to Cost Auditors M/s K. G. Goyal & Associates.
• Appointment of Alok Ohrie as an Independent Director.

Voting status

• Consolidated and standalone results to be filed with stock exchanges within two working days.
• No outcome details disclosed in this summary.

Dividend

• Dividend details not disclosed in the summary.

Directors / key management changes

• Independent Director appointed: Alok Ohrie.

Auditors

• Statutory auditors: M/s BSR & Co. LLP.
• Secretarial auditor: M/s CSM & Co.
• Cost auditor remuneration approved for M/s K. G. Goyal & Associates.

Related party transactions

• No material related party transactions disclosed.

Other material approvals

• No ESOPs, amendments, borrowings, or mergers disclosed.

AGM Details

• AGM held on 27 July 2026 via VC/OAVM.
• Meeting commenced at 3:00 PM and ended at 4:10 PM.
• Remote e-voting ran from 23 July 2026, 9:00 AM to 26 July 2026, 5:00 PM.
• 84 members attended the AGM.
• No proxies due to MCA/SEBI circulars.

Key Resolutions

• Ordinary: Adoption of standalone financial statements for year ended 31 March 2026.
• Ordinary: Adoption of consolidated financial statements for year ended 31 March 2026.
• Ordinary: Re-appointment of director liable to retire by rotation.
• Ordinary: Ratification of remuneration paid to cost auditors.
• Special: Appointment of an Independent Director.

Voting Status

• Final voting results to be submitted to stock exchanges within two working days.

Director Changes

• Independent Director appointment approved.

Auditor Remuneration

• Remuneration of cost auditors ratified.

Resignation of SMP: VP Raw Materials

• Shri Jitender Kumar resigned as Vice President – Raw Materials (SMP) w.e.f. 17 July 2026.
• Reason: to pursue better career prospects.
• Effective date: 17 July 2026.
• Brief profile: N.A.
• Disclosure of relationships with other directors: N.A.