Relaxo Footwears Ltd Q2 FY26 Results & Concall Highlights: Revenue, Margins & Order Book
Published 4 Aug 2026 | Consumer Durables | Market Cap: ₹10.4K Cr
Company expects growth revival starting from Q4 FY '26, with some growth anticipated in January to March 2026 (Page 5). The company expects recovery starting Q4 FY '26 with potential growth in the January-March quarter after recent muted quarters. - Management anticipates a return to 10%+ top-line growth in FY '27 driven by GST rate reductions improving competitiveness and demand. - EBITDA margins are expected to be supported by continued cost rationalization and operational efficiencies. - PAT and profitability are likely to improve in line with volume-led growth and stable pricing strategies. - No significant impact on margins expected from the inverted duty structure due to GST refund mechanisms. - Capex focus is on maintenance and modernization (approx.
From Relaxo Footwears Ltd's Q2 FY26 earnings-call transcript · updated 23 Aug 2026.
Price
₹377
Market Cap
₹10.4K Cr
P/E Ratio
57.8
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Relaxo Footwears Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹751 Cr, net profit ₹68 Cr.
Full financials →📊 Revenue & Sales Performance
- →Company expects growth revival starting from Q4 FY '26, with some growth anticipated in January to March 2026 (Page 5).
- →Q3 FY '26 expected to be stable or with a slight decline (-3% to -4%) (Page 5).
- →Improvement driven by GST rate reduction making products more competitive against unorganized players (Page 13-14).
- →Management optimistic about returning to a 10% plus growth trajectory from next year onwards (FY '27) (Page 13).
- →Growth supported by festival demand, GST benefits, and ongoing sales transformation initiatives (Page 4).
- →Expect volume-led growth while expanding market share with sustainable profitability (Page 4).
- →Impact of GST rationalization expected to flush out old high-price inventory by December 2025 end, enabling new sales pickup (Page 6).
- →Growth improvement also expected from product innovation and premiumization efforts (Page 7).
📈 Profitability & Margins
- →The company expects recovery starting Q4 FY '26 with potential growth in the January-March quarter after recent muted quarters.
- →Management anticipates a return to 10%+ top-line growth in FY '27 driven by GST rate reductions improving competitiveness and demand.
- →EBITDA margins are expected to be supported by continued cost rationalization and operational efficiencies.
- →PAT and profitability are likely to improve in line with volume-led growth and stable pricing strategies.
- →No significant impact on margins expected from the inverted duty structure due to GST refund mechanisms.
- →Capex focus is on maintenance and modernization (approx. INR100-150 crores over FY '26-FY '27), which supports operational efficiencies rather than capacity expansion.
- →Advertisement spends planned around 4% of revenue to support growth.
- →Overall, FY '27 is viewed as a year of growth rebound and margin stability post GST normalization and channel inventory adjustments.
🏗️ Capital Expenditure Plans
- →Capex guidance for FY 2025-26 and next year is in the range of INR 100-150 crores annually.
- →Capex primarily focused on operational improvements such as:
- → - Maintenance and mould-related expenditures.
- → - Modernization of warehouses.
- → - Plant renovations.
- → - Building the new Head Office (HO).
- →No plans to expand production capacity in the next 18 months as current capacity is sufficient.
- →Capex amount is similar to the previous year (~INR120 crores).
- →Strategic focus remains on operational efficiencies rather than capacity expansion.
💰 Fundraising & Capital Structure
- →There is no mention of any current or planned fundraising through debt or equity in the transcript.
- →The company focuses on maintaining operational efficiencies and capex for maintenance and modernization rather than capacity expansion.
- →Capex guidance is around INR 100-150 crores for this year and next year, funded from internal accruals.
- →Management did not indicate any requirement or intention to raise external funds via debt or equity during the discussion.
- →The financials suggest stable profitability and self-sustained growth without the need for additional fundraising at this time.
📋 Order Book & Pipeline
Key Metrics
Frequently Asked Questions
What were Relaxo Footwears Ltd Q2 FY26 results?
Company expects growth revival starting from Q4 FY '26, with some growth anticipated in January to March 2026 (Page 5). The company expects recovery starting Q4 FY '26 with potential growth in the January-March quarter after recent muted quarters. - Management anticipates a return to 10%+ top-line growth in FY '27 driven by GST rate reductions improving competitiveness and demand. - EBITDA margins are expected to be supported by continued cost rationalization and operational efficiencies. - PAT and profitability are likely to improve in line with volume-led growth and stable pricing strategies. - No significant impact on margins expected from the inverted duty structure due to GST refund mechanisms. - Capex focus is on maintenance and modernization (approx.
What is Relaxo Footwears Ltd share price analysis?
Relaxo Footwears Ltd currently shows a neutral. The stock trades at a P/E of 57.8 with a market cap of ₹10,360 Cr. Investors should review the full earnings analysis for detailed insights.
Is Relaxo Footwears Ltd planning capital expenditure?
Capex guidance for FY 2025-26 and next year is in the range of INR 100-150 crores annually.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.