Sangam (India) Ltd Q2 FY26 Results & Concall Highlights: Revenue, Margins & Order Book
Published 7 Aug 2026 | Textiles & Apparels | Market Cap: ₹3.0K Cr
Sangam India Limited expects revenue growth of about 12% to 15% annually over the next couple of years. Revenue growth expected at 12% to 15% annually over the next couple of years (Page 13).
From Sangam (India) Ltd's Q2 FY26 earnings-call transcript · updated 23 Aug 2026.
Price
₹578
Market Cap
₹3.0K Cr
P/E Ratio
24.0
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Sangam (India) Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹866 Cr, net profit ₹34 Cr.
Full financials →📊 Revenue & Sales Performance
- →Sangam India Limited expects revenue growth of about 12% to 15% annually over the next couple of years.
- →For the current fiscal year, they anticipate approximately 16% revenue growth based on the half-year run rate.
- →Capacity utilization improvement is a key growth lever, with yarn and fabric divisions close to optimal utilization and significant upside in garments (expected to rise from 35% to 60-65% utilization soon).
- →The company aims to reach a top line of around INR4,000 crores in the coming years through steady organic growth rather than major new capex.
- →Product mix improvements and higher volumes continue to drive growth alongside better pricing realizations, as yarn prices have bottomed out.
- →Export revenues are expected to remain stable around 35% to 40% of total revenue.
- →Operational excellence and sustainability initiatives also underpin medium-term growth prospects.
📈 Profitability & Margins
- →Revenue growth expected at 12% to 15% annually over the next couple of years (Page 13).
- →EBITDA margin improvement potential of 1% to 2% in near quarters; long-term margin expected to reach around 11% to 12% (Pages 13, 11).
- →PAT margins sustained with growth in EBITDA offsetting onetime impacts; sustainable PAT expected in coming quarters (Pages 4, 5).
- →ROCE targeted to reach 12% to 14% within 12–18 months (Page 10).
- →Stable export revenue share around 35% to 40% (Page 8).
- →Capacity utilization improvements expected to drive earnings growth, especially in garment division (Page 9).
- →Ongoing cost efficiencies via renewable energy with savings of INR10 crores annually and modernization capex planned (Pages 9, 10).
- →No major new capex planned in next 12-18 months; focus on maximizing profitability on existing capacities (Page 10).
- →Overall confidence in stronger, stable growth and sustainable profitability going forward (Page 15).
🏗️ Capital Expenditure Plans
- →No major capex is planned over the next 12 to 18 months; the focus is on maximizing profitability from completed investments.
- →Maintenance and modernization capex is expected to be around INR 50 to 70 crores annually.
- →Future automation and modernization initiatives are anticipated with shorter payback periods of 3 to 4 years, but no significant projects are currently planned.
- →The company has recently completed an extensive capex cycle, doubling gross block to approx. INR 1,800 crores by FY '25.
- →There is a 12-megawatt captive renewable power tie-up starting December, projecting annual savings of about INR 10 crores.
- →Growth is expected primarily through better capacity utilization rather than new asset additions in the near term.
💰 Fundraising & Capital Structure
- →No major new capex is planned over the next 12 to 18 months, so no significant new fundraising is anticipated.
- →The company aims to first build on the existing capex and maximize profitability before considering further expansion.
- →Debt repayments are ongoing at around INR 100-120 crores annually.
- →The company expects to reduce debt by approximately INR 350 crores over the next 3 years, assuming no new capex.
- →There was no mention of plans for equity fundraising in the disclosed information.
📋 Order Book & Pipeline
- →Sangam India Limited has a decent order book in place as of the latest update.
- →The company has been actively working on this order book over the last 6 months.
- →There is significant scope to improve capacity utilization, especially in the garment division, which increased utilization from 25% to 35% with expectations to reach 60%-65% by the next quarter.
- →The order book supports this planned increase in garment capacity utilization.
- →No specific values for the current or expected order book were disclosed in the transcript.
Key Metrics
Frequently Asked Questions
What were Sangam (India) Ltd Q2 FY26 results?
Sangam India Limited expects revenue growth of about 12% to 15% annually over the next couple of years. Revenue growth expected at 12% to 15% annually over the next couple of years (Page 13).
What is Sangam (India) Ltd share price analysis?
Sangam (India) Ltd currently shows a neutral. The stock trades at a P/E of 24.0 with a market cap of ₹3,020 Cr. Investors should review the full earnings analysis for detailed insights.
Is Sangam (India) Ltd planning capital expenditure?
No major capex is planned over the next 12 to 18 months; the focus is on maximizing profitability from completed investments.
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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.