Aditya Birla Fashion and Retail Limited (ABFRL) announced strong performance for its Ethnic Wear segment in FY26. Revenue grew by 14% year-on-year to ₹2,227 crore, with EBITDA margins expanding by 560 basis points to 10.8%. This growth was driven by a better operating leverage, scale benefits, and disciplined execution across the portfolio. The segment’s success is attributed to improved product assortment, retail productivity, and brand visibility, supported by category expansions and new store additions.
ABFRL’s Ethnic Wear Segment Surges in FY26
Aditya Birla Fashion and Retail Limited (ABFRL) reported a robust performance in its Ethnic Wear segment for the financial year ended March 31, 2026. The segment achieved a significant 14% year-on-year growth in revenue, reaching ₹2,227 crore. This expansion was fueled by healthy momentum across the portfolio, disciplined execution, and improved operating performance. ABFRL’s ethnic wear business is well-positioned due to a strong brand portfolio, including designer collaborations and premium ethnic brands.
Key Drivers of Growth and Profitability
The improved profitability in the ethnic wear segment is attributed to a 560 basis points expansion in EBITDA margins, reaching 10.8%. This was supported by enhanced scale benefits and better operational execution. The company’s strategic initiatives, including category extensions and a focus on premiumization, have resonated well with consumers, particularly during the wedding and festive seasons. ABFRL has also expanded its retail footprint, adding over 80 stores, bringing the total network to over 680 stores across key markets, thereby strengthening brand salience and consumer engagement.
Future Outlook
Going forward, ABFRL remains focused on capitalizing on the growing ethnic wear segment by continuing to scale its presence in high-potential wedding markets and deepening penetration in leading metros. The company aims to drive profitable growth through a combination of network expansion, improved retail productivity, product innovation, and disciplined execution.
Source: BSE