Swaraj Suiting Ltd, a textile manufacturing company has announced a Rs 421 crore (US $43.77 million) expansion project at its Neemuch, Madhya Pradesh facility, as the company moves ahead with plans to strengthen its integrated textile operations. The project is expected to add 25,500 tonnes per annum (TPA) of spinning capacity.
The expansion is part of the company’s strategy to build a more integrated textile manufacturing operation, with denim processing, yarn dyeing and weaving facilities across its Bhilwara and Neemuch units.
The company reported strong financial performance for FY26, with revenue increasing 38.5% to Rs 576.74 crore (US $59.96 million). Profit After Tax (PAT) rose 58% to Rs 52.37 crore (US $5.45 million), while EBITDA stood at Rs 111.54 crore (US $11.60 million), with an EBITDA margin of 19.3%.
Export sales also increased significantly, rising 82.7% to Rs 41.19 crore (US $4.28 million) during the year.
The developments were announced following the company’s 23rd Annual General Meeting (AGM) held on September 30. Shareholders approved the appointment of Manoj Mansinghka as an Independent Director, along with revised remuneration for the executive leadership team.
Shareholders also approved a change in the utilisation of Rs 8.03 crore (US $0.83 million) raised through equity shares and warrants. The funds, which were earlier earmarked for capital expenditure, will now be used for working capital requirements.
Swaraj Suiting has also received credit rating upgrades to CRISIL BBB+/Stable and Acuité A-/Stable, indicating an improvement in its assessed credit profile.
The company will now focus on executing the Neemuch expansion while managing working capital requirements and ongoing operations. The progress of the 25,500 TPA spinning project, along with its impact on production capacity, margins and leverage, will be key developments to track as the company increases its manufacturing capacity.
