Campus Activewear FY26 Annual Earnings Summary

Prolonged geopolitical tensions could disrupt demand recovery; management acknowledged that sustained conflict makes forecasting difficult.

The warehouse consolidation and SAP implementation caused a 15-20 day disruption, impacting online sales. Further operational hiccups could affect near-term performance.

Management acknowledged aggressive price cutting by unorganized players, which could pressure volumes and margins in the mass segment.

Despite guidance, Q1 volume decline and macro headwinds raise questions about the pace of demand recovery, especially in the online channel.

Management noted that overall industry demand has not picked up as anticipated, which could cap growth.

Analyst raised concern about inverted GST duty; management said they are filing refunds but impact not quantified.

The recent price hikes (first week of April) may lead to temporary demand resistance, though management noted a positive start in April.

EVA and PU prices have risen sharply due to crude-linked inflation; while management believes the peak has passed, any reversal could pressure margins.

Q4 typically sees higher mix of open footwear, which may pressure ASP and margins.

Management expects full BIS compliance by July 31, 2026, but any delay or relaxation chatter could create uncertainty in the market.