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Kitex Garments share price skyrocketed 16% in Monday's trading session after the company reported strong set of numbers during the July-September quarter for the financial year 2026-27.
Kitex Garments shares opened at ₹126 apiece on NSE today, as compared to previous close of ₹115.77 on Monday and touched an intraday high of ₹137.09 on 3 November.
Kitex Garments reported a strong financial performance in Q2 FY27, with revenue from operations rising 66% year-on-year (YoY) to ₹203 crore, compared to ₹122 crore in Q2 FY26.
On a sequential basis, revenue increased 28% from ₹158 crore in Q1 FY27, indicating sustained growth in the company's business performance.
The company's operating performance also witnessed a significant improvement during the quarter. EBITDA surged to ₹45 crore in Q2 FY27, compared to an operating loss of ₹16 crore in the corresponding quarter last year. Consequently, the operating profit margin (OPM) expanded sharply to 22.2% from -13.1% in Q2 FY26.
At the bottom line, Kitex Garments reported a consolidated net profit of ₹13.71 crore in Q2 FY27, compared to a net loss of ₹6.2 crore in Q2 FY26. The company also staged a turnaround from the net loss of ₹17 crore reported in Q1 FY27.
Overall, the Q2 FY27 results reflect a strong recovery in Kitex Garments' financial performance, supported by robust revenue growth, a sharp improvement in operating profitability and a return to the profit zone.
Meanwhile, during the Q1 FY27, Kitex Garments reported a weak performance with consolidated revenue declining to ₹158.43 crore and a net loss of ₹17.13 crore in the quarter ended June 2026. Revenue fell 4.66% quarter-on-quarter (QoQ) from ₹166.17 crore and 19.45% year-on-year (YoY) from ₹196.69 crore in the corresponding quarter last year.
“The company's operating profit stood at ₹10.19 crore in the June 2026 quarter, compared with ₹1.67 crore in the preceding quarter. However, it reported a loss before tax of ₹13.36 crore and a net loss of ₹17.13 crore, marking a sharp reversal from the ₹19 crore net profit recorded in Q1 FY26, according to the company’s results summary,” said Gaurav Garg, Head - Research, Lemonn.
Kitex Garments share price has witnessed a strong recovery in the recent trading sessions, gaining 19.29% over the past week. The stock has also delivered a positive return of 15.09% over the past month, indicating improved buying interest in the counter. The recent rally comes despite the stock remaining under pressure on a year-to-date basis, with a decline of 25.62%.
On a longer-term basis, Kitex Garments shares have delivered mixed returns. The stock has fallen 33.86% over the past one year, reflecting weakness during the period. However, it has generated significant gains over the past three and five years, rising 97.92% and 151.62%, respectively.
On the Kitex Garments shares outlook, Garg added that the Telangana expansion offers medium-term growth potential, sustained profitability and better balance-sheet clarity are essential before the turnaround can be established. Investors may WAIT on fresh investments, while existing shareholders can HOLD with caution.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
Vaamanaa covers business and stock market news. Started in 2020, she has been producing news on digital platforms for over 4.5 years now. She writes on markets, commodities, IPOs, and industry. She has worked for news channels like Jagran New Media and Business Insider India. You can reach out to her at vaamanaa.sethi@htdigital.in.
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