Gokaldas Exports has reported a 9% quarter-on-quarter increase in consolidated total income for Q4 FY26, reaching Rs 1,087 crore, driven by a recovery in its Africa business and stable performance in India despite tariff-related disruptions.
The apparel export sector has faced challenges due to shifts in US trade policy, with US President Donald Trump's April 2025 announcement of reciprocal tariffs impacting global supply chains. Despite these challenges, Gokaldas Exports' operating performance improved, with EBITDA rising 40% sequentially to Rs 135 crore from Rs 96 crore in Q3 FY26. Year-on-year, EBITDA declined 5% from Rs 142 crore, with margins at 12.4% compared to 13.7% a year earlier.
For the full year FY26, total income rose 4% to Rs 4,065 crore, while EBITDA increased 2% to Rs 434 crore. The EBITDA margin for FY26 was slightly lower at 10.7% compared to 10.8% the previous year. India operations grew 2% year-on-year during the quarter, while Africa operations saw a 17% year-on-year increase.
“Disruption due to penal US tariffs and volatile geopolitical events impacted our costs and margin during the year. Exceptional teamwork, strong customer relationships and relentless execution in the face of adversities helped us deliver a superior business performance.”
Sivaramakrishnan Ganapathi, Vice Chairman and Managing Director of Gokaldas Exports
Sivaramakrishnan Ganapathi, vice chairman and managing director of Gokaldas Exports, stated, "Disruption due to penal US tariffs and volatile geopolitical events impacted our costs and margin during the year. Exceptional teamwork, strong customer relationships and relentless execution in the face of adversities helped us deliver a superior business performance."
Background
The apparel export sector has been adjusting to significant changes in US trade policy, particularly the reciprocal tariffs announced by the US in April 2025. This has created uncertainty across global supply chains and export markets, impacting companies like Gokaldas Exports.
Looking ahead, Gokaldas Exports will need to navigate ongoing geopolitical uncertainties and tariff-related challenges. The company's ability to maintain strong customer relationships and execute effectively will be crucial for sustaining growth in the coming quarters.
