GHCL Textiles Ltd

- FY27 capex plan: INR 100-120 crores. - Major investments include: - On-ground solar capacity: 10 MW (commissioning by Q2); full-year benefit approx. INR 6.5-7 crores. - Rooftop solar: 3 MW; full-year benefit approx. INR 2 crores. - Knitting machines: Investment around INR 15 crores, with additional 25 machines commissioned in Q2, Q3 FY27. - Strategic investment in PM MITRA Park, Virudhunagar, Tamil Nadu: Land allocation received (~50 acres); investment towards processing and fabrication. - Total pending capex investment of around INR 300-350 crores over 2-3 years, primarily for vertical integration focusing on fabric and processing. - Completed deployments include 65,000 spindles (40,000 + 25,000) adding revenue and capacity. - No plans for buyback; focus is on deploying cash flows for growth capex.

- The company aims to achieve revenue of around INR 2,000 crores by FY29 to FY30. - Current capacity expansion includes 25,000 additional spindles contributing INR 120-125 crores revenue in the recent year, operating at ~70-75% capacity. - Volume growth expected from full utilization of new spindles, product mix optimization, and price maximization. - Knitting machines installation will increase fabric revenue to about 16-18% of total sales, with 50% of fabrics being knitted. - Further INR 350 crores planned investment in processing and fabrication to drive revenue beyond current spindle capacity. - Exports are steady with growth in key markets like Europe and Bangladesh. - Revenue growth guidance for FY27 targets maintaining similar growth rate (~14-15%) as previous year. - Optimistic outlook on export demand, supported by FTAs orienting supply chains toward India.

- GHCL Textiles aims to double revenue from INR1,000 crores to around INR2,000 crores between FY29 and FY30. - EBITDA margin target is set between 15% to 18% in the same timeframe, driven by vertical integration, premium product mix, fabric portion increase, and optimized utilization. - ROCE is expected to improve gradually, targeting double digits by optimizing working capital and margins. - Operating cash flow currently impacted by elevated working capital (135-140 days), expected to taper down to a sustainable 110-120 days. - Volume growth driven by new spindle capacity, knitting machine installations, and product mix enhancements. - Strategic investments in PM MITRA Park and solar capacity expansion will support growth and profitability. - FY27 growth expected to maintain around 14-15%, with cautious optimism amid macroeconomic uncertainties. - Export markets showing steady or increasing demand, especially Europe and Bangladesh. Overall, GHCL is on track for robust revenue and profit growth over the next 3-4 years.

The transcript does not provide explicit details on the current or expected order book or pending orders for GHCL Textiles Limited. However, the following related points can be inferred: - New customers from UK and Europe have started placing trial orders following the reorientation of supply chains due to upcoming Free Trade Agreements (FTAs). - Early customer response to the installation of knitting machines has been encouraging. - Export inquiries, especially from Bangladesh and Europe, remain strong and steady. - Domestic market demand has been consistently increasing on a quarter-on-quarter and year-on-year basis. - The company has mentioned increased optimism and better order visibility for FY26 and FY27. No precise figures or specific order backlog data are disclosed in the call transcript.

- GHCL Textiles does not mention any current plans for fundraising through debt or equity. - The company has already deployed around INR 675 crores out of a planned INR 1,000 crores investment. - Remaining capex of INR 300-350 crores is planned over the next 2-3 years, primarily towards fabric and processing, including investments at PM MITRA Park. - The strong balance sheet with low net debt (net debt to equity ratio of 0.1x) suggests no immediate need for external fundraising. - Management is not considering buybacks currently but is focused on deploying free cash flow for growth capex. - No mention of plans to raise equity or additional debt in the near term.