Sangam India Ltd. Q4 FY26 Earnings Call Transcript Released

Sangam (India) Limited has submitted the transcript of its earnings conference call with analysts and investors, which was held on April 23, 2026. The call focused on the company's performance for the fourth quarter and the full financial year 2026.

During the call, Managing Director Mr. Anurag Soni highlighted that FY'26 has been a defining year for Sangam, with revenues crossing ₹3200 crore and Profit After Tax (PAT) more than doubling to ₹83 crore. He noted that every quarter of FY'26 showed improvement over the last, with revenue, EBITDA, and PAT moving in a consistent upward direction. Specifically, in Q4 FY'26, the company reported revenue of ₹880 crore, EBITDA of ₹98 crore, and PAT of ₹33 crore. The PAT for Q4 FY'26 was nearly equivalent to the entire FY'25 PAT.

Mr. Soni also discussed the company's financial health, mentioning approximately ₹200 crore in treasury, an improved working capital cycle from 80 days to 55 days, and a net debt to equity ratio of 1.1x. He emphasized a strategic focus on securing energy costs through renewable solutions, which is expected to structurally reduce costs. The company is also achieving backward integration, meeting about 50% of its polyester fiber requirements through in-house recycled production, processing around 40,000 metric tons of plastic waste annually.

The company aspires to double its PAT again in FY'27. While capacity is largely built, future growth will necessitate further investments, details of which will be shared as plans mature. Sangam aims to capitalize on the reorienting global supply chain by positioning itself as a reliable, integrated, and quality manufacturer.

Discussions during the Q&A included the sustainability of export growth, with exports reaching an all-time high, driven by a diversified geographical portfolio. The company expects renewable energy to meet over 70% of its power needs by June of the next year, with an estimated annual EBITDA benefit of ₹50-60 crore. Management also addressed the garment segment's performance, capacity utilization, and the contribution of the C9 brand versus contract manufacturing. Furthermore, the company is exploring further backward integration in polyester fiber and denim fabric production, aiming for higher in-house sourcing. The company's order book stands at 50-70 days, with the majority of exports on an FOB basis.