Textiles – Apr-Jun’26 Earnings Preview – Headwinds easing, margin recovery awaited
Published on 06 Jul 2026
Indian textiles sector, more particularly the ready-made garments (RMG) segment, is entering FY27 with renewed structural optimism. Following a challenging period marked by global inflation and elevated trade barriers, recent macro-policy shifts—including key tariff realignments and highly anticipated FTAs—are expected to lift industry revenue for the fiscal year, with expectations of some early momentum in Q1FY27. However, most of the order bookings for the first quarter (rather for H1FY27) were already done before the abolishment of reciprocal tariffs, and hence, margin recovery may not be very prominent during the quarter.
