Raymond Lifestyle Ltd. reported mixed financial results for the first quarter of FY27, with consolidated net income and revenue growing in line with revenue and operating profit. On the one hand, the apparel and lifestyle industry had strong domestic demand, premiumisation of its product portfolio, and strong international orders. At the same time, rising raw materials and macroeconomic pressures still put pressure on profitability.
In the quarter ending June 2026, Raymond Lifestyle recorded a net loss of Rs 22.6 crore on a consolidated basis, as compared to a net loss of Rs 19.8 crore in the same quarter last year. Sales and operating margin improved for the company, but its costs rose, and it has a very weak bottom line.
Revenue Registers Healthy Growth
The revenue from operations grew by 5.9% year-on-year to Rs 1,516 crore when compared to Rs 1,430 crore in the same quarter of the previous financial year. Stronger consumer demand in the domestic market and more from international businesses also led to a rise in revenue.
They also saw a 6% increase in total income of Rs 1,560 crore (year-on-year) as business momentum across all segments.
EBITDA and Margins Improve
Raymond Lifestyle, in spite of a higher net loss in the quarter, achieved a better operational performance.
EBITDA increased 16.6 per cent year-on-year to Rs 89.8 crore, compared to Rs 77 crore in Q1 FY26. As a result, the EBITDA margin increased to 5.9 per cent, from 5.4 per cent in Q1.
Based on the company’s earnings release, EBITDA was up 11% to Rs 135 crore, driven by premiumisation in its domestic business and a strong recovery in the garmenting segment.
The improved operating performance is indicative of the company still growing its core business to support the cost-sensitive business.
International Business has Momentum
Raymond Lifestyle stated that the garmenting business in the quarter grew more than 50% with strong export demand.
The company said that the US-India tariff rationalisation and implementation of the India-UK Free Trade Agreement significantly boosted international orders to a very strong order book for the coming quarters.
The growth in overseas demand has been a significant driver of growth, which has helped counter the slower consumption in some domestic categories.
CEO Highlights Operational Strength
As far as how the quarterly performance went, Satyaki Ghosh, Whole-time Director & CEO of Raymond Lifestyle Ltd., observed that the company has started to perform well in FY27 in spite of macroeconomic headwinds.
International demand was strong, and domestic consumption was still supporting business growth. Ghosh also acknowledged that higher raw material prices and near-term economic pressures affected overall profitability.
But he said Raymond Lifestyle’s premium product mix, debt-free balance sheet, and healthy cash reserves give the company significant operational flexibility to pursue future growth opportunities.
Strong Balance Sheet Keeps Stability
On the positive side of the quarter, Raymond Lifestyle had a very strong financial position.
The company ended Q1 FY27 with net cash in the range of Rs 154 crore, which further solidifies the company’s debt-free position in Q1 FY27. Management believes that this good cash position is in place to invest in retail expansion, new business opportunities in digital transformation, and ESG work without any financial strain for the company in the future.
Raymond Lifestyle continued to execute retail in a more efficient manner and developed its premium brand image in India.
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