ARVIND LTD Q2 CONCALL: MANAGEMENT EXPECTS 18%+ Q3 REVENUE GROWTH, TARGETS ~15% FY27 GARMENTING GROWTH, ₹250 CR VARANASI REVENUE POTENTIAL & ₹500 CR+ FY27 INDIA CAPEX

• MANAGEMENT EXPECTS CONSOLIDATED REVENUE GROWTH OF OVER 18% IN Q3 FY27, SUPPORTED BY STRONG DENIM DEMAND, HEALTHY EXPORT ORDERS, GARMENTING RECOVERY & ADVANCED MATERIALS EXPANSION • MANAGEMENT EXPECTS FY27 GARMENTING REVENUE GROWTH TO APPROACH 15%, DRIVEN BY STRONGER H2 DEMAND, NEW CAPACITY ADDITIONS & IMPROVING PRODUCT MIX • MANAGEMENT IS EVALUATING A LONGER-TERM GARMENTING GROWTH MODEL OF APPROXIMATELY 25%, SUPPORTED BY VERTICAL INTEGRATION, INTERNATIONAL SOURCING & MANUFACTURING EXPANSION • MANAGEMENT TARGETS APPROXIMATELY ₹250 CR ANNUAL REVENUE POTENTIAL FROM ITS NEW VARANASI GARMENTING FACILITY AT FULL SCALE, WITH DOUBLE-DIGIT EBITDA MARGINS & ROCE ABOVE 20% • MANAGEMENT EXPECTS VARANASI FACILITY RAMP-UP OVER 6–8 MONTHS, WITH EVENTUAL CAPACITY OF APPROXIMATELY 25 MILLION GARMENT PIECES ANNUALLY • MANAGEMENT PLANS FY27 INDIA CAPEX ABOVE ₹500 CR, FOCUSED ON ADVANCED MATERIALS, GARMENTING, FABRIC MODERNIZATION & PRODUCTIVITY IMPROVEMENTS • MANAGEMENT EXPECTS DALCO GFT TO DELIVER APPROXIMATELY 9–10% UNDERLYING GROWTH, SUPPORTED BY US DEMAND, NEW CAPACITY & CUSTOMER PRICE REVISIONS • MANAGEMENT TARGETS LONG-TERM EBITDA MARGIN IMPROVEMENT OF APPROXIMATELY 50 BPS ANNUALLY THROUGH AUTOMATION, DIGITIZATION, BETTER PRODUCT MIX & OPERATING EFFICIENCIES • MANAGEMENT ASPIRES TO INCREASE CARBON COMPOSITES' PRODUCT-MIX CONTRIBUTION TO APPROXIMATELY 20–30% OVER 3–4 YEARS, SUPPORTED BY DEFENSE, AEROSPACE, DRONES & AUTOMOTIVE APPLICATIONS • MANAGEMENT EXPECTS INITIAL BENEFITS FROM THE INDIA–UK TRADE AGREEMENT AROUND Q4 FY27, WITH STRONGER EXPORT CONTRIBUTION ANTICIPATED DURING FY28 • MANAGEMENT EXPECTS WORKING CAPITAL NORMALIZATION BY MARCH 2027, WHILE TARGETING INVENTORY & WORKING CAPITAL EFFICIENCY IMPROVEMENT TOWARD 7 TURNS • MANAGEMENT EXPECTS REPAYMENT OF ITS INDIA-BASED DALCO ACQUISITION BORROWING OF APPROXIMATELY $60 MILLION BY MAY 2027, SUPPORTED BY QIP PROCEEDS • Q2 CONSOLIDATED REVENUE SURGED 23% YOY TO A RECORD ₹2,919 CR, WHILE EBITDA GREW 27% TO A RECORD ₹331 CR • Q2 PAT INCREASED 16% YOY TO ₹123 CR, WHILE CONSOLIDATED EBITDA MARGIN STOOD AT 11.4% DESPITE SIGNIFICANT RAW MATERIAL & LOGISTICS COST PRESSURES • TEXTILE BUSINESS REVENUE GREW 11% YOY TO ₹1,999 CR, WITH EBITDA REACHING ₹190 CR, SUPPORTED BY STRONG DENIM VOLUMES & IMPROVING PRODUCT REALIZATIONS • DENIM VOLUMES SURGED 19% YOY TO OVER 18 MILLION METERS, REACHING THE HIGHEST LEVEL IN 17 QUARTERS, SUPPORTED BY PREMIUMIZATION & DESIGN-LED PRODUCT INNOVATION • WOVEN FABRIC VOLUMES REACHED APPROXIMATELY 34 MILLION METERS, WHILE GARMENTING VOLUMES EXCEEDED 11 MILLION PIECES DURING Q2 FY27 • GARMENTING REVENUE GREW 9% YOY TO ₹577 CR, WITH MANAGEMENT EXPECTING STRONGER H2 PERFORMANCE FROM DENIM JEANS, ESSENTIALS & KNITWEAR • ADVANCED MATERIALS REVENUE SURGED 81% YOY TO ₹805 CR, WITH EBITDA MARGIN AT 14.8%, SUPPORTED BY ORGANIC GROWTH & DALCO GFT CONSOLIDATION • ADVANCED MATERIALS INDIA REVENUE INCREASED 23% YOY TO ₹550 CR, WHILE EBITDA GREW 29%, DRIVEN BY HUMAN PROTECTION, COMPOSITES & DEFENSE-RELATED DEMAND • DALCO GFT CONTRIBUTED ₹256 CR REVENUE IN ITS FIRST FULL QUARTER OF CONSOLIDATION, WITH CUSTOMER PRICE REVISIONS EXPECTED TO HELP OFFSET PETROCHEMICAL INFLATION • NEWLY COMMISSIONED INDUSTRIAL PRODUCTS LINE OFFERS APPROXIMATELY ₹70 CR ANNUAL REVENUE POTENTIAL, SUPPORTING ADVANCED MATERIALS GROWTH IN H2 FY27 • COMPANY COMMISSIONED PHASE 1 OF ITS VARANASI GARMENTING FACILITY DURING Q2 FY27, WITH INITIAL INVESTMENT OF APPROXIMATELY ₹75 CR INCLUDING LAND • DENIM MANUFACTURING CAPACITY STANDS AT APPROXIMATELY 70 MILLION METERS ANNUALLY, WITH MANAGEMENT EVALUATING AN ADDITIONAL 10% CAPACITY THROUGH DEBOTTLENECKING & MODERNIZATION • COMPANY IS EXPANDING INTERNATIONAL GARMENTING THROUGH BANGLADESH CONVERSION OPERATIONS & EGYPT SOURCING, WITH INITIAL EGYPT DENIM DELIVERIES EXPECTED IN Q3 FY27 • MANAGEMENT HIGHLIGHTED STRONG US CUSTOMER DEMAND & A HEALTHY Q3 ORDER BOOK, WHILE Q4 EXPORT ORDERS CONTINUE TO BUILD • COTTON, PETROCHEMICAL, ENERGY & LOGISTICS INFLATION CREATED APPROXIMATELY 75–100 BPS RECURRING GROSS MARGIN PRESSURE, WITH TEXTILE MARGINS AFFECTED BY AROUND 75 BPS IN Q2 • MANAGEMENT IS NEGOTIATING QUARTERLY CUSTOMER PRICE REVISIONS TO OFFSET INPUT COST INFLATION, WHILE APPROXIMATELY 80% OF CUSTOMERS DIRECTLY BEAR THEIR LOGISTICS COSTS • H1 FY27 INDIA CAPEX REACHED APPROXIMATELY ₹372 CR, WITH CONTINUED INVESTMENT IN ADVANCED MATERIALS, GARMENTING & MANUFACTURING EFFICIENCIES • CONSOLIDATED NET DEBT DECLINED APPROXIMATELY ₹95 CR SEQUENTIALLY TO ₹2,063 CR, WHILE THE COMPANY'S CREDIT RATING IMPROVED FROM AA− TO AA WITH STABLE OUTLOOK • COMPANY RAISED APPROXIMATELY ₹500 CR THROUGH QIP, WITH PROCEEDS EXPECTED TO SUPPORT ACQUISITION-RELATED DEBT REPAYMENT & BALANCE SHEET STRENGTHENING • MANAGEMENT REMAINS POSITIVE ON DENIM DEMAND, GARMENTING EXPANSION, ADVANCED MATERIALS, DEFENSE OPPORTUNITIES & EXPORT RECOVERY, BUT RAW MATERIAL INFLATION, DALCO INTEGRATION, CAPACITY CONSTRAINTS & ELEVATED WORKING CAPITAL REMAIN KEY RISKS KEY MONITORABLE: Q3 REVENUE GROWTH ABOVE 18%, FY27 GARMENTING GROWTH NEAR 15%, VARANASI RAMP-UP, ADVANCED MATERIALS MARGIN RECOVERY, DALCO PERFORMANCE & WORKING CAPITAL NORMALIZATION BY MARCH 2027. Note: The 25% garmenting growth model, ₹250 Cr Varanasi revenue potential and 20–30% carbon product-mix target are longer-term management ambitions rather than committed FY27 guidance.

ARVIND LIMITED

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