Indo Count Industries Ltd. (ICIL) — Tipsheet

Indo Count aims for ₹5,500 cr in FY27, with new US business set to double

Tipsheet Editorial — Mon, 08 Jun 2026 12:24:44 GMT

The textile maker’s record-year bet hinges on scaling a US bedding and brands operation that barely existed two years ago.

What’s new

Indo Count guided for consolidated FY27 revenue of ~₹5,500 cr, a 30%+ increase from FY26.
Its new US bedding and brands business is targeted to nearly double to ₹1,500 cr from ₹792 cr.
EBITDA margin is guided at 13% on volumes of 105-110 million metres.

Why it matters

The company is staking a record year on a segment that is becoming a third of revenue. Scaling it without compressing margins is the core test.

What we’re watching

Execution on the US brands ramp, now the primary growth engine.
How the 13% EBITDA margin holds as the sales mix shifts.
Volume growth to 105-110 million metres amid tariff uncertainty.

The full read

Indo Count Industries is guiding for a record ₹5,500 crore in revenue for FY27, a 30%+ jump from the previous year. The number that matters is ₹1,500 crore. That is the target for the company's new US-based utility bedding and branded products business, which is expected to nearly double from ₹792 crore in FY26. The core textile business is projected at roughly ₹4,000 crore. The plan is supported by an expected normalisation in US tariffs and new free-trade agreements in the UK and EU. The company also guided for 13% EBITDA margins on volumes of 105-110 million metres. The bet is clear: Indo Count is pivoting a significant portion of its growth to newer, branded US operations, and it must prove it can scale profitably.

Primary source: BSE · NSE

Indo Count adds 24,000 spindles at Kolhapur, spends ₹85 cr

Tipsheet Editorial — Sat, 30 May 2026 23:34:53 GMT

A brownfield expansion lifts Alte plant capacity by 34%. Commissioning is targeted for Q2 FY27.

What’s new

Board approves adding 24,000 spindles to the Alte plant, lifting capacity from 70,000 to 94,000.
₹60 cr for the expansion; ₹25 cr to modernise the Gokul Shirgaon mill.
Funding via debt and internal accruals; new spindles targeted for Q2 FY27.

Why it matters

The ₹85 crore outlay is a small fraction of the company's ₹6,164 cr market cap, making this a capacity tweak rather than a major strategic pivot. The aim is to shift the Alte plant toward higher-margin products, but the context is weak recent earnings and regulatory scrutiny.

What we’re watching

Execution on the Q2 FY27 commissioning timeline.
Whether the value-added product mix translates into margin improvement.
The resulting debt load after the expansion is funded.

The full read

Indo Count is spending ₹85 crore to add spindles and upgrade a mill. The main bet is ₹60 crore on the Alte plant in Kolhapur, adding 24,000 spindles to take capacity from 70,000 to 94,000 — a 34% jump. The rest, ₹25 crore, goes to modernising the Gokul Shirgaon mill. Funding comes from debt and internal accruals, with the new lines targeted for Q2 FY27. At a ₹6,164 cr market cap, the outlay is small. It is a focused move toward higher-margin products. The backdrop matters: weak earnings and regulatory scrutiny frame this as a defensive investment, not a growth push.

Primary source: BSE · NSE

Indo Count profit halves on labour costs, US acquisitions

Tipsheet Editorial — Sat, 30 May 2026 18:10:05 GMT

Net profit fell 49% to ₹126.68 cr in FY26 as higher employee costs, rising depreciation, and a GST interest hit erased the benefit of steady revenue.

What’s new

FY26 net profit plunged 49% to ₹126.68 cr while revenue held flat at ₹4,141 cr.
Three specific cost pressures hit the bottom line: new labour codes, higher depreciation from US buys, and a ₹12.81 cr IGST interest charge.
Board recommended a final dividend of ₹1.50 per share.

Why it matters

Indo Count's revenue held steady but costs moved in only one direction. The profit halved because of permanent structural shifts — higher wage bills from new labour codes and stepped-up depreciation from its US expansion — plus a one-time GST penalty. The dividend payout suggests the board isn't hoarding cash, but the earnings trajectory is poor.

What we’re watching

Whether US acquisition depreciation normalises or stays elevated as a permanent drag.
How the new labour codes affect employee costs in FY27 and beyond.
Any IGST refund or settlement that could claw back the ₹12.81 cr interest.

The full read

Indo Count's FY26 numbers tell a simple story: revenue of ₹4,141 crore was flat, but net profit fell 49% to ₹126.68 crore from ₹249.99 crore a year earlier. Three costs did the damage. New labour codes pushed up the employee wage bill. Acquisitions in the US lifted depreciation. And a one-time ₹12.81 crore interest penalty on delayed IGST payments cut deeper. The labour-code and depreciation charges aren't going away. They are structural. The GST hit is one-off, but it made a bad year look worse. The board signed off on a final dividend of ₹1.50 per share, which is a signal that cash flow isn't under the same pressure as profit. But margins are the problem. Indo Count grew revenue without growing profit, and the cost base shifted permanently higher.

Primary source: BSE · NSE