New Delhi: Aditya Birla Fashion and Retail Ltd on Thursday reported steady top-line growth for the quarter ended December 31, 2025, as its newer businesses continued to scale up, though profitability remained under pressure due to investments and exceptional items.
The company’s revenue rose 8% year-on-year to ₹2,374 crore in Q3 FY26, while EBITDA increased 13% to ₹370 crore. EBITDA margin improved by 70 basis points to 15.6%, supported by better operating performance in the ethnic wear portfolio and the TMRW platform.
Despite the margin improvement, ABFRL reported a net loss of ₹137 crore for the quarter, compared with a loss of ₹103 crore a year earlier. On a normalised basis, excluding one-time items related to the statutory impact of the new labour code, the loss stood at ₹115 crore. The company said the financials should be read in conjunction with its investor presentation, reflecting the ongoing investment phase across multiple formats.
Growth was driven largely by newer businesses. The ethnic wear portfolio grew 20% year-on-year, with designer-led brands posting over 30% growth, while the TMRW digital-first brands platform recorded a 29% rise in revenue. The luxury segment grew 27%, aided by the opening of the Galeries Lafayette store in India. E-commerce sales were up over 15% year-on-year, supported by stronger omni-channel capabilities and faster fulfilment.
During the quarter, ABFRL added around 50 gross stores, taking its total retail area to over 7.7 million square feet. For the nine months ended December 2025, revenue rose 10% year-on-year to ₹6,187 crore, while EBITDA grew 17% to ₹655 crore, with margins improving to 10.6% despite higher marketing spends on new brand launches and expansion initiatives.
Management said the portfolio is now well balanced across segments and categories, and while some businesses will continue to see calibrated investments, the focus remains on scaling up, improving operating efficiency and strengthening profitability as the company approaches an inflection point in terms of scale and margins.