GO COLORS Q2 FY27: NET PROFIT DOWN 59% YOY; FOCUS ON LARGER STORES, MARGIN RECOVERY & DAILY WEAR EXPANSION

• Quarterly Results: Revenue declined 2.9% YoY to ₹217.6 Cr, EBITDA fell 21% to ₹52.6 Cr and PAT declined 58.7% to ₹9 Cr • Margin Pressure: EBITDA margin declined to 24.2% from 29.7% YoY, while gross margin fell to 60.8% from 62.6% due to higher fabric costs • Margin Recovery Plans: Management plans calibrated price increases to offset raw material inflation, expecting gradual gross margin recovery over the coming quarters • Festive Demand: Shift in the festive calendar delayed bulk dispatches to large-format store partners into October, affecting Q2 revenue; festive season started on a good note • Store Expansion Strategy: Increasing focus on larger-format exclusive brand outlets (EBOs), which continue to outperform smaller stores • Store Network Optimisation: Opened 9 stores and closed 23 during Q2, while expanding total retail space to 4.48 lakh sq. ft. from 4.34 lakh sq. ft. in March 2026 • Restructuring Costs: Recognised ₹9.9 Cr exceptional expense during H1 FY27 due to capital expenditure write-offs related to store closures • Product Premiumisation: Value-added bottom-wear products now contribute approximately 70% of the portfolio, reducing dependence on traditional leggings • Average Selling Price: H1 FY27 ASP stood at ₹827, representing approximately 20% growth over the last four years • Same-Store Sales: EBO same-store sales growth remained nearly flat at 0.2% during H1 FY27 • Future Growth Plans: Management prioritises larger-format stores, product refreshes, Daily Wear expansion, international initiatives and stronger customer acquisition • Working Capital: Inventory days improved to 94 from 100 at Q1-end, while working capital days stood at 134 • Cash Position: Cash and cash equivalents stood at ₹211.4 Cr, while H1 FY27 operating cash flow (pre-Ind AS 116) reached ₹52.6 Cr • FY27 Guidance & Capex: Management maintains its existing strategic priorities but has not disclosed quantified FY27 revenue, margin or fresh capex guidance

GO FASHION INDIA LTD

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