Campus Activewear Limited Earnings Summary — Q1 FY2027
Campus Activewear Records 18% Net Profit Growth in Q1 FY2027 Amidst Margin Normalization
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 15.5% sequentially in Q1 FY2027.
- Revenue of ₹385 Cr is 12.2% higher year-on-year.
- Revenue has compounded at 2.6% annualised over the last 10 quarters.
- Net profit of ₹26 Cr is 17.7% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -9.5% annualised across the period.
- Operating margin stands at 14.2% in Q1 FY2027.
- Operating margin compressed by 16 bps year-on-year.
- Over the last two years operating margin has contracted by 107 bps.
- PBT margin is 9.2%.
- Expenses grew 12.4% against revenue growth of 12.2%.
- Operating profit of ₹55 Cr is 11.0% higher year-on-year.
- Operating leverage has been under pressure recently.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 55/100 (Healthy) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 385 | 456 | 589 | 387 | 343 | 406 | 515 | 333 | 339 | 364 |
| Expenses | Improving | 331 | 373 | 478 | 337 | 294 | 334 | 433 | 295 | 287 | 300 |
| Operating Profit | Volatile | 55 | 82 | 110 | 50 | 49 | 71 | 82 | 38 | 52 | 64 |
| Operating Margin | Stable | 14.2% | 18.1% | 18.7% | 12.9% | 14.3% | 17.6% | 16.0% | 11.4% | 15.3% | 17.6% |
| Other Income | Strong Uptrend | 8 | 6 | 6 | 5 | 6 | 5 | 4 | 3 | 2 | 3 |
| Interest | Improving | 5 | 6 | 7 | 6 | 5 | 6 | 4 | 4 | 4 | 4 |
| Depreciation | Stable | 23 | 24 | 22 | 22 | 20 | 23 | 19 | 18 | 16 | 19 |
| Profit Before Tax | Volatile | 35 | 59 | 86 | 27 | 30 | 48 | 63 | 20 | 34 | 44 |
| Tax | Volatile | 9 | 15 | 22 | 7 | 8 | 13 | 16 | 5 | 9 | 11 |
| Net Profit | Volatile | 26 | 44 | 64 | 20 | 22 | 35 | 46 | 14 | 25 | 33 |
| Net Margin | Volatile | 6.8% | 9.7% | 10.8% | 5.2% | 6.5% | 8.6% | 9.0% | 4.3% | 7.5% | 9.0% |
Key Takeaways
- Revenue grew by 12.2% YoY to ₹385.20 Cr, showing resilient demand in the sports and athleisure segment.
- Net Profit reached ₹26.14 Cr, a 17.8% increase compared to ₹22.20 Cr in the same quarter last year.
- The company experienced a significant sequential (QoQ) decline in profitability and revenue, following a seasonally stronger March quarter.
- A final dividend of ₹0.15 per equity share for FY2026 was processed with a record date of July 31, 2026.
- Inventory valuation methodology was transitioned from FIFO to Moving Weighted Average to better align with industry practices.
- Operating expenses, particularly 'Other Expenses', saw a slight YoY increase to ₹120.02 Cr from ₹106.06 Cr.
- Total expenses rose by 12.2% YoY, perfectly mirroring revenue growth and suggesting stable operational efficiency.
Management Guidance
Management is focusing on premiumization of the portfolio and expanding the D2C footprint to drive long-term value. While recent quarterly volatility and inventory management are monitorables, the company aims to maintain its 17% market share in the Indian athleisure footwear industry.
Sentiment Shift
Stable
Year-over-year growth remains healthy across top and bottom lines, although sequential performance shows typical seasonal tapering.
Outlook
The company expects to benefit from its omni-channel presence and the structural growth of the affordable premium footwear segment in India, despite high competitive intensity from players like Redtape and Metro Brands.
From the Annual Report (Key Quotes)
“The change [in inventory valuation] was made to better reflect the consumption pattern and cost flow of inventory, and to enhance the relevance and reliability of financial information.”
“The Company continues to monitor the clarifications from the Government on various aspects of the Labour Code and would provide appropriate accounting effect.”
“Campus Activewear is India's largest sports and athleisure footwear brand by volume, commanding a 17% market share.”
Official Quarterly Documents
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This summary is AI-generated from Campus Activewear Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.