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Karnika Industries Reports Robust Profitability in Q2 & H1 FY26; Margins Expand Sharply

Karnika Industries Reports Robust Profitability in Q2 & H1 FY26; Margins Expand Sharply
  • PublishedNovember 25, 2025

Mumbai (Maharashtra) [India], November 25: Karnika Industries Limited (NSE: KARNIKA), one of the leading manufacturers and traders of ready-made garments for children, announced its Unaudited Financial Results for the Quarter and Half Year ended September 30, 2025 (Q2 & H1 FY26), as approved by the Board of Directors.

Key Financial Highlights – H1 FY2025-26

ParticularsH1 FY26H1 FY25% Chg YoY
Total Income (₹ Lakhs)10,404.559,852.72↑ 5.60%
EBITDA (₹ Lakhs)2,046.481,643.67↑ 24.51%
EBITDA Margin (%)19.67%16.68%↑ 299 bps
Net Profit (₹ Lakhs)1,246.441,034.63↑ 20.47%
Net Profit Margin (%)11.98%10.50%↑ 148 bps

Key Financial Highlights – Q2 FY2025-26

ParticularsQ2 FY26Q2 FY25% Chg YoY
Total Income (₹ Lakhs)6,983.777,225.14-3.34%
EBITDA (₹ Lakhs)1,455.681,121.55↑ 29.79%
EBITDA Margin (%)20.84%15.52%↑ 532 bps
Net Profit (₹ Lakhs)938.88725.82↑ 29.35%
Net Profit Margin (%)13.44%10.05%↑ 340 bps

Management’s comment:

“This has been a steady and profitable quarter for the Company. Despite a marginal dip in topline, we improved our margins significantly, driven by better product mix, tighter cost controls, and rising share of higher-value children’s apparel. Our Q2 EBITDA grew nearly 30% YoY while Net Profit rose 29% YoY, reflecting strong operational efficiency.

FY26 continues to be a year of positive developments for us. We secured multiple sizable orders across India, expanded our presence in key children’s wear clusters, and strengthened engagement with our long-standing customer base that contributes over 90% of revenues. With increasing demand for quality kids garments and our asset-light, job-work-led manufacturing approach, we are well positioned for sustainable growth.

We remain focused on expanding production capabilities, deepening our design-driven offerings, and enhancing brand presence across domestic and export markets.”

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Written By
Harsh Desai