Sangam (India) Limited (SANGAMIND) Financial Results — Revenue ₹3,200 Cr

Revenue: ₹3,200 CrNet Profit: ₹83

📢 Key Event
Sangam India reported FY26 PAT of INR83 crores, more than double YoY, with Q4 PAT at INR33 crores.

🔄 What Changed
Working capital cycle improved from 80 to 55 days; net debt-to-equity ratio at 1.1x; garment capacity utilization target of 65-70%; in-house polyester fiber sourcing target of 75-80%; renewable energy target of 70%+ by June 2027; renewable energy cost savings of INR50-60 crores annually.

🔮 What's Next
Target to achieve 70%+ renewable power usage by June 2027; plans to increase in-house polyester fiber sourcing to 75-80%; garment capacity utilization target of 65-70%; moderate top-line growth expected in FY27 driven by capacity and cost efficiencies; margin stabilization anticipated.

💡 Investor Takeaway
Shareholders should note PAT growth is driven by operational efficiencies and capacity utilization, not inventory gains, with moderate top-line growth expected in FY27 supported by cost controls and backward integration.

Sangam India reported FY26 revenue of INR3200 crores and PAT of INR83 crores, more than double YoY, with Q4 PAT at INR33 crores. The company improved working capital cycle to 55 days and maintained a net debt-to-equity ratio of 1.1x. Management highlighted backward integration in polyester fiber (50% captive sourcing), renewable energy targets of 70%+ by June 2027, and cost savings of INR50-60 crores annually. Export delays impacted 10-15% of shipments in March but were deemed non-material. Capacity utilization stands at 95% for yarn, with plans to expand garment utilization to 65-70%. PAT growth stems from operational efficiencies, not inventory gains. Top-line growth in FY27 is expected to be moderate, driven by capacity improvements and cost efficiencies, while margins may stabilize. The company aims to increase in-house fiber production control to 75-80% and expand renewable energy capacity with INR200 crores committed to a 30MW pipeline.

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