Arvind Ltd Q4 Net Profit Increases, Announces ₹3.75 Dividend on Back of Garment and Denim Segment Growth

Arvind Ltd, a top textile and apparel manufacturer in India, posted a strong financial performance for the March 2025 quarter driven by good growth in its garment and denim segments. The board of the company has suggested a dividend of ₹3.75 per share as a reward to investors after a year of operational success and investment initiatives.

 

Strong Revenue and Profit Growth:

In Q4 FY25, Arvind posted consolidated revenue from operations of ₹22.21 billion, up 10% year-on-year. Net profit for the quarter was ₹1.51 billion, up 19% and the highest quarterly profit in seven quarters.

 

Segment Performance:

Denim segment posted a 13% increase, and the full-garments segment reported a stupendous 41% rise in volumes. AMD combined product volume increased by 17%, marking the triumph of Arvind's strategy to drive growth through innovation and diversification of products.

 

Enhanced Margins and Operational Efficiency

Quarterly EBITDA increased 27% to ₹2.43 billion, with margins expanding 150 basis points to 11.7%. The company explained this due to increased volumes, improved product mix, and controlled costs.

 

Dividend Announcement:

The board has recommended a dividend of ₹3.75 per share for FY25, following its history of rewarding shareholders. The ex-date for the dividend is July 19, 2025.

 

Debt Reduction and Capex:

Arvind also decreased its long-term debt by ₹340 million in FY25, and ended the year with total net debt of ₹12.5 billion. The firm has planned a capex of ₹4–4.5 billion for FY26, which will be on increasing AMD and garment capacity and improving product differentiation.

 

Strategic Outlook

Management anticipates a steady pace of growth in its core textile business in line with GDP growth, while the AMD business is expected to grow at a 20% CAGR. The stock has more than 31% appreciated year-to-date and over 200% over the last year, indicating high investor confidence.

 

Insight

Arvind Ltd Q4 results underscore the company's capacity to seize demand in local and export markets using innovation, operational flexibility, and diversified product offerings. The strong dividend payout, continued debt reduction, and intelligent investments make Arvind poised for sustainable growth even amid competitive global textile markets.

 

Source: Upstox, INDmoney, Moneycontrol, Arvind Financial Reports