Campus Activewear targets 60 new stores as sneaker sales double
Management is betting on a sneaker-led premiumisation push, aiming for 8-9 lakh pairs of monthly capacity by FY27 while holding EBITDA margins at 17-19%.
— 5 earlier stories on Campus Activewear Ltd. →What's new
- Sneaker portfolio doubled year-over-year.
- Company plans to open 60 exclusive brand outlets in FY27.
- In-house manufacturing capacity targets 8-9 lakh pairs monthly by end-FY27.
Why this matters
The shift toward premium sneakers is the company's primary lever to combat raw material inflation. Management's ability to maintain margins while navigating consumer price resistance will be the key test for the coming year.
What we're watching
- Consumer response to April price hikes as inflation persists.
- Execution of the 60-store expansion plan after a flat FY26.
- Potential raw material cost relief if geopolitical tensions subside.
The full read
Campus Activewear is pivoting toward premiumisation. Its sneaker portfolio doubled year-over-year. To support this, the company is scaling its in-house manufacturing capacity at Pantnagar and Haridwar to 8-9 lakh pairs monthly by the end of FY27. After keeping its store count flat throughout FY26, management now plans to open 60 exclusive brand outlets in the coming year. The company is maintaining its EBITDA margin guidance of 17-19%, even after implementing price hikes in April to counter raw material inflation. While management claims demand remains positive, they acknowledge some consumer resistance to these higher prices. The outlook on costs is cautious; management believes raw material prices have peaked but notes that any potential correction hinges on the easing of geopolitical tensions. It is a tightrope walk. The next test is whether the aggressive store expansion and premium sneaker push can sustain these margins in a cost-sensitive market.
Questions answered
- What is the company's strategy for FY27 store expansion?
- Campus Activewear plans to open 60 exclusive brand outlets in FY27. This follows a period in FY26 where the store count remained flat.
- How is the company managing raw material inflation?
- Management implemented price increases in April to offset rising costs. While they report positive demand, they have acknowledged some consumer resistance to these hikes.
- What are the production targets for the sneaker portfolio?
- The company aims to reach an in-house manufacturing capacity of 8-9 lakh pairs monthly by the end of FY27. This segment has already doubled year-over-year.
- What is the outlook for EBITDA margins?
- Management expects to sustain EBITDA margins within a 17-19% band. They believe raw material costs have likely peaked and may correct if geopolitical conditions improve.
Story so far
All notes on CAMPUS →- 25 May 2026 · 6:22 PM IST Campus Activewear targets 60 new stores as sneaker sales double
- 1d ago Campus Activewear's transcript adds no new news to its Q4 story
- 4d ago Campus Activewear board confirms FY26 results and dividend
- 5d ago Campus Activewear confirms FY26 results with no new guidance
- 5d ago Campus Activewear reports 11% revenue growth for FY26