Saraswati Saree Depot Ltd Q3 FY26 Results

Dear Valued Shareholders & Stakeholders, During the quarter, demand remained relatively softer on a sequential basis due to normalization following a seasonally stronger previous period, which led to lower revenues compared to last year's high base. Despite this, our nine-month revenue continued to register steady growth, reflecting the resilience of our wholesale network and continued traction across key markets. Margins during the period were impacted by input cost pressures and operating deleverage arising from lower volumes; however, we remain focused on maintaining financial discipline and strengthening operating cash flows. Our priority continues to be prudent capital allocation, tighter working capital management, and ensuring sustainable profitability over the medium term. We are also encouraged by the initial progress in our retail initiative, which has begun contributing to revenues during the quarter. While the contribution is currently modest at around 1% of sales, it represents an important strategic step towards expanding our market reach and building a stronger direct consumer connect over time. Looking ahead, we expect seasonal tailwinds in the fourth quarter, driven by the wedding season and spring festive demand, which historically supports a recovery in wholesale volumes across our key markets of Maharashtra, Karnataka, Tamil Nadu, and Goa. We remain well-positioned to capitalize on this uptick through our established wholesale network and deepening supplier relationships. Going forward, we remain focused on strengthening our product portfolio, improving supply chain efficiencies, and driving consistent cash generation while preparing the business to benefit from demand recovery in upcoming quarters.”