Aditya Birla Fashion and Retail Ltd (ABFRL) reported a net loss of ₹249 crore for the first quarter of FY27, compared with a net loss of ₹234 crore in the corresponding quarter of the previous fiscal, even as revenue grew 11% year-on-year to ₹2,026 crore.
Revenue stood at ₹1,831 crore in Q1FY26.
ABFRL said it delivered another quarter of double-digit growth, supported by healthy performance across its portfolio and continued expansion of its retail network.
However, profitability remained under pressure, with EBITDA at ₹167 crore in Q1FY27 compared with ₹169 crore a year earlier. EBITDA margin declined to 8.2%.
Pantaloons, luxury portfolio drive growth
The company said broad-based retail performance continued to underpin growth, supported by execution and an expanding store footprint.
The Pantaloons segment grew 10% year-on-year. Like-to-like (LTL) growth for the Pantaloons format stood at 4%, while OWND grew 55%, driven by store additions.
The luxury portfolio recorded 30% growth, led by the scale-up of Galeries Lafayette and strong performance from The Collective and Mono Brands (TCMB). TCMB delivered double-digit LTL growth during the quarter.
TMRW, ABFRL’s portfolio of digital-first fashion brands, grew 11% year-on-year, with its offline business contributing more than 15% during the quarter.
The ethnic portfolio posted 5% LTL growth despite a shortened wedding season.
Retail footprint crosses 7.9 million sq ft
ABFRL continued to expand its retail network, adding more than 45 stores during the quarter.
The additions took the company’s total retail footprint beyond 7.9 million square feet, with expansion remaining broadly distributed across its portfolio.
The company operates across multiple segments, including masstige and value retail through Pantaloons and OWND, ethnic brands, luxury retail and digital-first fashion brands under TMRW.
Its ethnic portfolio includes designer-led brands such as Sabyasachi, Tarun Tahiliani, Shantnu & Nikhil and House of Masaba, as well as premium ethnic brands including Jaypore, Tasva and the TCNS portfolio.
The luxury portfolio includes The Collective, Mono Brands and Galeries Lafayette.
EBITDA margin falls to 8.2%
ABFRL’s EBITDA stood at ₹167 crore against ₹169 crore in Q1FY26, while the EBITDA margin declined to 8.2%.
The company attributed the margin pressure primarily to lower other income, which had an impact of around 70 basis points, as well as the continued scale-up of OWND and Galeries Lafayette.
Cash losses in TMRW continued to narrow on a year-on-year basis, while margins in the ethnic portfolio remained stable.
Focus on profitable growth
ABFRL said the year has started on an encouraging note, with Q1 delivering steady business momentum supported by network expansion, stronger brand traction and sharper execution across key markets.
While profitability remained moderate during the quarter, the company said underlying operating performance continued to strengthen as newer businesses scaled in line with its strategy of building a diversified fashion and retail portfolio.
Going forward, ABFRL plans to focus on sustainable growth through measured expansion, deeper consumer engagement and improved productivity across channels.
The company said it will undertake appropriate cost optimisation measures and calibrated pricing interventions as the cost environment evolves, with the aim of protecting profitability while maintaining consumer value and competitiveness.
ABFRL said the structural opportunity in organised retail remains compelling, with its brand portfolio, consumer relevance and disciplined execution positioning the company to navigate near-term volatility and build a stronger, more efficient and sustainable business.