Despite Trump tariffs, leading Indian garment exporter Pearl registers 12.7% growth in HY26

Despite Trump tariffs that have threatened Indian textile and garment exporters to the US in a big way, Pearl Global Industries, one of India’s largest public listed garment exporters, has registered a 12.7 % year on year growth in revenues in the first half of 2025-26, driven by high value-added product sales from its overseas operations, especially in Vietnam and Indonesia. Pearl’s key global clientele includes GAP, ZARA, Chicos, Kohl’s, Muji, Old Navy, Poligono, Primark, PVH, Ralph Lauren, Stylem, Target etc.

The company has manufacturing units in multiple geographies including South Asia (India, Bangladesh), South-East Asia (Vietnam, Indonesia) and Central America (Guatemala) across the world.

The revenue crossed Rs 2,500 crore milestone, reaching Rs 2,541 crore, a 12.7% Y-o-Y growth in the first six months, the company said in a statement issued today.  Net profits in H1FY26 grew to Rs 138 crore, a growth of 17.0% on a Y-o-Y basis. The company shipped 19.9 million pieces in Q2FY26, highest ever in Q2 series up from 19.3 million pieces in Q2FY25, it said.

“We are delighted to report another quarter of encouraging performance in Q2FY26 despite uncertain and volatile geo-political and macro environment. This marks a significant achievement underscoring the strength of our diversified, multi-country manufacturing model”, Pulkit Seth, Vice-Chairman & Non-Executive Director, Pearl Global Industries said.

“Our growth this quarter was led by sustained momentum in Vietnam and Indonesia, which delivered double-digit volume expansion and maintained strong operational performance. These hubs continue to validate our strategic foresight in building multi-hub production capabilities that balance scale with agility”, he added.

Seth said that the company is closely tracking developments in the US tariff landscape. “We expect normalization in the coming quarters, we remain confident in our ability to adapt swiftly to changing requirement. Our diversified global footprint empowers us to recalibrate and readjust production and continue meeting demand across high-growth markets. With our diversified customer base across the US, UK, Japan, and Australia, and the ongoing talk of new FTAs, we remain well positioned to capture increased demand”, he said.

In fact, USA which used to contribute 86% of the group’s revenues in 2020-21 has come down to about 50% now after the company reduced its dependency on a single market. “We have made notable progress in expanding our footprint across Australia, Japan, the UK and the EU and continue to scout for marquee client’s relationship in these geographies. Within India, we have accelerated onboarding of quality domestic customers to bolster near-term stability”, Pallab Banerjee, Managing Director, Pearl Global Industries said. “We continue to invest in India & Bangladesh and execute our capex plan of Rs 250 crore for capacity expansion, sustainability, and efficiency improvement.  Expansion of 5-6 million pieces in Bangladesh, 2.5-3.5 million pieces in India and digitization of our supply chain are enhancing transparency, agility, and scalability across operations. Driven by prudent capex and a strong global network, Pearl Global is well-positioned for sustainable growth. Diversified market base, robust order book coupled with disciplined execution, reinforce our ability to deliver long-term value and maintain momentum”, he added.