Shares of Garware Technical Fibres declined over 3% on Thursday, May 21, after the company reported a 20% year-on-year decline in consolidated net profit for the March quarter. The stock was trading at ₹616.25, down 3.07% in early trade.
Garware Technical Fibres reported consolidated net profit of ₹57.12 crore for Q4 FY26 compared with ₹71.05 crore in the corresponding quarter last year. Revenue from operations stood at ₹426.41 crore against ₹432.55 crore in Q4 FY25, reflecting a marginal 1.4% decline amid a relatively flat demand environment across its technical fibre and net businesses.
The decline in profitability was largely driven by an exceptional item of ₹13.90 crore booked during the quarter. Excluding the exceptional charge, profit before tax would have stood at ₹91.83 crore, compared with ₹96.78 crore reported in the year-ago period.
EBITDA for the quarter came in at around ₹96.2 crore versus ₹98.3 crore a year earlier, while EBITDA margin remained broadly stable at 22.57% compared with 22.72% in Q4 FY25. Employee benefit expenses rose to ₹57.40 crore from ₹52.48 crore, while depreciation increased to ₹9.09 crore from ₹7.32 crore due to ongoing capital expenditure.
Input cost pressures also weighed on margins during the quarter. Material costs, including cost of materials consumed and stock-in-trade purchases, increased to ₹112.54 crore from ₹99.15 crore despite flat revenue growth.
For the full FY26 period, Garware Technical Fibres reported revenue from operations of ₹1,528.78 crore compared with ₹1,540.11 crore in FY25. Full-year net profit declined 14.3% to ₹198.41 crore from ₹231.54 crore last year.
The company’s annual performance reflected subdued demand trends across aquaculture nets, sports nets, agri nets, and industrial technical textile segments during the financial year.
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