Pearl Global Industries Ltd, India’s largest listed garment exporter, reported a 13.2% year-on-year rise in consolidated revenue to ₹3,711 crore for the first nine months of FY26, as improving trade conditions and stronger performance in Southeast Asia set the stage for a sharper recovery in India operations from next year.

The company’s performance comes at a time when global apparel supply chains remain under pressure from geopolitical uncertainty and volatile demand, even as recent trade agreements begin to ease cost pressures for Indian exporters. Adjusted EBITDA for the nine-month period rose 14% to ₹333 crore, while profit after tax increased to ₹189 crore.

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Management flagged the rollback of elevated US tariffs as a turning point, particularly for India-based manufacturing, which had faced margin pressure through much of FY26.

“Our India operations are expected to gain significant momentum following the reduction of US tariffs to 18%,” said Pulkit Seth, vice-chairman and non-executive director. “This removes the burden of the additional duty, enhancing profitability and supporting sustained top-line growth,” he said.

Trade deals and geography mix reshape growth outlook

Pearl Global’s diversified manufacturing footprint across India, Bangladesh, Vietnam, Indonesia and Guatemala helped cushion the impact of trade disruptions during the year. Vietnam and Indonesia led growth during the nine-month period, driven by higher value-added products and near-optimal capacity utilisation, the company said.

Managing director Pallab Banerjee said the removal of US tariffs would immediately improve margins, as discounts offered to retain American customers during the tariff phase are now being rolled back. “With the penalty eliminated, that discount pressure disappears, directly boosting profitability from February onwards,” he said.

Beyond the US, Pearl Global is also betting on India’s expanding trade architecture. The India–EU Free Trade Agreement and the UK FTA are expected to create a more level playing field for Indian exporters, allowing the company to route more global orders through its domestic facilities. Banerjee noted that India now has trade access to markets collectively valued at over $250 billion, covering all major apparel-consuming regions.

Meanwhile, capacity expansion in Bangladesh is on track for completion by the second quarter of FY27, while Southeast Asian factories continue to operate at high utilisation levels. The company also highlighted an improvement in its credit profile, with ICRA upgrading its long-term rating to A+ (stable).

With tariffs easing and capacity already in place, Pearl Global expects FY27 to mark a return to faster growth for its India operations, while maintaining momentum across overseas manufacturing hubs.