Vedant Fashions converts modest top-line expansion into strong profit growth

Leading ethnic apparel retailer Vedant Fashions reported a 14.7 per cent Y-o-Y increase in consolidated net profit after tax to Rs 80.6 crore for Q1, FY27 ending June 30. Significantly outpacing revenue growth, profitability expanded by 7.2 per cent to Rs 301.4 crore. Operational efficiency and disciplined pricing strategies expanded operating EBITDA margins by 140 basis points to 44.6 per cent, with absolute EBITDA rising 10.8 per cent to Rs 134.5 crore.

Asset-light retail network resiliency

Despite a seasonally quiet quarter for Indian wedding wear, the company recorded a positive domestic same-store sales growth (SSSG) of 3.8 per cent. Total retail sales across all sales channels grew 3.4 per cent Y-o-Y. Vedant Fashions strengthened its physical footprint by adding 15,100 sq ft of net retail area, expanding its domestic EBO presence to 501 stores across 205 cities. Managing operating leverage in off-peak periods allows us to maintain capital efficiency ahead of the high-volume festive and wedding season, observes Ravi Modi, Chairman and Managing Director.

Brand positioning & reach

Kolkata-headquartered Vedant Fashions is India’s premier celebration wear manufacturer, operating dominant brands including Manyavar, Mohey, Twamev, Mebaz, and Manthan. Serving Tier-I through Tier-V urban markets, the company targets aggressive franchise-led retail expansion. It recorded annual revenues of Rs 1,435.48 crore in FY26. Founded in 2002, it pioneered organized menswear ethnic retailing in India.