Welspun Living demonstrated a sequential recovery in Q4 FY26 with revenue rising 7.7% quarter-on-quarter to ₹2,451 crore and net profit rebounding to ₹104 crore. According to latest reports, this marks a significant improvement from the 21.4% decline in consolidated net profit reported earlier at ₹103.7 crore for Q4 FY26 compared to ₹132 crore in the same period last year. The company's EBITDA fell 21.2% annually to ₹249 crore as against ₹316 crore in Q4 FY25, with operating profit margin contracting to 10.2% in contrast to 12% on a yearly basis.
Shares of Welspun Living surged as much as 5.5% on Friday, May 15, in response to the quarterly results and buyback announcement. As per CNBC TV18, the stock was trading 5.1% up at ₹141.1 apiece after the results and buyback announcement. The board has approved a buyback of up to 1.44 crore fully paid-up equity shares of face value ₹1 each at a price of ₹175 per share, for an aggregate amount not exceeding ₹252 crore. The buyback represents 6.52% and 5.65% of the total paid-up equity share capital and free reserves respectively, with May 22, 2026 fixed as the record date. DAM Capital Advisors Ltd. has been appointed as the manager to the buyback, and the buyback price is at a premium of 30% compared to Thursday's closing price.
The board of directors has recommended a dividend of ₹0.10 per equity share (face value ₹1 each), representing 10% for the financial year 2025–26. As reported by The Economic Times, the dividend is subject to shareholders' approval at the upcoming annual general meeting (AGM) and will be paid to shareholders holding equity shares as of the record date fixed as July 10, 2026.
The company's balance sheet strengthened significantly during FY26 with net debt reducing 52% year-on-year to ₹775 crore as of March 31, 2026, compared with ₹1,602 crore a year ago. According to latest reports, free cash flow rose sharply, aided by working capital optimization and lower borrowings. For the full financial year FY26, total income declined 11.5% year-on-year to ₹9,468 crore, while consolidated EBITDA dropped 40.6% to ₹862 crore. Net profit after minorities stood at ₹204 crore against ₹639 crore in FY25. The company's home textiles revenue for FY26 declined 9.1% to ₹8,940 crore, while flooring business revenue fell 17.3% to ₹736 crore.
Chairman B.K. Goenka acknowledged that FY26 tested the entire home textiles industry with US tariff disruptions, West Asia conflict, and cautious global demand. According to The Economic Times, he noted that the company exited the year with net debt reduced by over 50% and free cash flow increased 8.5 times to ₹956 crore, with the domestic business growing 29.2% in Q4. Goenka expressed confidence entering FY27, targeting double-digit growth backed by structural tailwinds, a strong balance sheet, and proven business resilience. The company has also highlighted its continued focus on efficiency and cost discipline during the challenging period.
