India textile cos to see higher Q3 revenue growth despite US tariffs, Elara Capital says

KPR Mill

14/01/2026 05:43

** Elara Capital says Indian textile companies likely to post a revenue growth of 10.2% y/y and 5.9% q/q in Q3 despite facing 50% U.S. tariffs throughout the quarter

** Says growth driven by higher garment and yarn volumes

** Selects Arvind Fashions ARVF.NS as its top pick and forecasts co will outperform peers, including KPR Mill KPRM.NS and Vardhman Textiles VART.NS, with rev growth of 13.1% y/y

** In Q3, KPRM and ARVF fell 11% and 5.5%, respectively, while VART climbed ~6%

** Indian textile sector has a strong long-term outlook despite near-term tariff risks, driven by cost advantages, value addition, and government initiatives, Elara says

 (Reporting by Urvi Dugar in Bengaluru)

 ((UrviManoj.Dugar@thomsonreuters.com;))