Gokaldas Exports Ltd
BSE:532630
Gokaldas Exports Ltd
Gokaldas Exports Ltd. engages in the sale of garments. The company is headquartered in Bangalore, Karnataka. The company went IPO on 2005-04-27. The firm is engaged in the designing, manufacturing and exporting of a range of apparel products ranging from outerwear, activewear and fashion wear for all seasons. The firm mainly operates in two geographical segments: In India and Outside India. The firm offers a range of processing service, including, laying, cutting, sewing, checking, labs, washing, ironing, finishing, design, embroidery, printing, laser, fusing, scraping, hand grinding, quilting and polyfill. The company offers products in various categories, including outerwear, men's bottoms, men's tops, women wear, kid's, sportswear and formal wear. The Company’s subsidiaries include All Colour Garments Private Limited, SNS Clothing Private Limited, Vignesh Apparels Private Limited and Gokaldas Exports Acharpura Private Limited.
Gokaldas Exports Ltd. engages in the sale of garments. The company is headquartered in Bangalore, Karnataka. The company went IPO on 2005-04-27. The firm is engaged in the designing, manufacturing and exporting of a range of apparel products ranging from outerwear, activewear and fashion wear for all seasons. The firm mainly operates in two geographical segments: In India and Outside India. The firm offers a range of processing service, including, laying, cutting, sewing, checking, labs, washing, ironing, finishing, design, embroidery, printing, laser, fusing, scraping, hand grinding, quilting and polyfill. The company offers products in various categories, including outerwear, men's bottoms, men's tops, women wear, kid's, sportswear and formal wear. The Company’s subsidiaries include All Colour Garments Private Limited, SNS Clothing Private Limited, Vignesh Apparels Private Limited and Gokaldas Exports Acharpura Private Limited.
Tariff Headwinds: The quarter was fully impacted by a steep 50% U.S. tariff on India and the expiry of AGOA, with management sharing a significant INR 40 crore tariff burden with customers.
Stable Revenue: Total income for the quarter was INR 998 crores, flat year-on-year, as India operations grew 8% YoY, offsetting declines in Africa.
Margin Pressure: EBITDA declined 18% YoY to INR 96 crores due to tariff-related discounts; excluding this, adjusted EBITDA would have grown 17%.
Outlook: Management signaled Q3 as a bottom for margins and growth, expecting improvement in Africa from Q4 as order books strengthen and capacity utilization rises.
Europe Diversification: European business is growing and now represents about 17-18% of revenue, with plans to increase this further as FTAs come into effect.
One-Offs Identified: Apart from tariffs, a one-time INR 3.4-3.5 crore gratuity hit due to new labor codes was booked; otherwise, no additional one-offs.
CapEx & Integration: Capacity expansions in India and Africa are on track, with most ramp-up costs already absorbed. BRFL acquisition expected to complete in Q2 FY27.
Guidance: Management expects margins in India to stay pressured until U.S. tariffs are corrected, but Africa margins to rebound to 7–10% next year as volumes recover.
