Textile manufacturer Vardhman Textiles has announced that its board has approved the expansion of its garment manufacturing unit in Punjab with a proposed investment of approximately Rs. 125 crore (US $13.21 million).
The expansion is aimed at increasing the company’s shirt production capacity from the current 2.20 million men’s shirts per annum to nearly 4.50 million shirts annually. The company stated that the existing garment unit is currently operating at around 95% capacity utilisation.
According to the company, the proposed capacity addition is expected to be completed by the end of FY ’27 and will be financed through a mix of internal accruals and debt.
Vardhman Textiles said the expansion would help broaden its product portfolio, strengthen its ability to attract higher-value customers and secure additional order volumes. The company added that the enhanced capacity is expected to support the development of long-term relationships with premium international brands, while also improving cost efficiencies and overall capacity utilisation.
The announcement comes shortly after the company reported its fourth-quarter financial results. Vardhman Textiles posted a consolidated net profit of Rs. 185 crore (US $19.51 million) for Q4, marking a decline of 22.2% from Rs. 237 crore (US $25 million) reported during the corresponding period last year.
