GHCL Textiles Limited has embarked on an ambitious ₹1,000 crore expansion journey aimed at transforming its operations from a traditional yarn manufacturing setup into a fully integrated textile enterprise.
As part of this forward-looking strategy, the company has already deployed ₹500 crore to install 25,000 additional spindles and 40 advanced circular knitting machines, significantly increasing its production capacity and enabling it to serve the fast-growing knitted fabric market more efficiently. This move is not just about scaling operations, but about strategically realigning GHCL Textiles with evolving global demands by offering quicker turnaround times, a broader range of products, and increased value to customers.
The company is also actively exploring forward integration into weaving and dyed fabric production, a step that would allow it to cater to a more diversified clientele across home textiles, apparel, and industrial fabric segments. Internally, the reorganization of its Kaveri division at the Manaparai plant is set to enhance operational efficiency, reduce conversion costs, and contribute to improved margins. The financial performance for FY25 reflects the positive impact of these initiatives, with GHCL Textiles reporting a revenue of ₹1,168 crore (a 10% increase), an EBITDA of ₹117 crore, and a 123% surge in profit after tax to ₹56 crore.
Its Q4 results were particularly strong, aided by stabilizing cotton prices, favorable yarn spreads, and resilient export demand. On the infrastructure front, the company operates with a robust manufacturing setup including 2 lakh ring spindles, 3,320 rotors, 480 vortex spinning positions, and 5,760 TFO spindles—allowing it to produce a diverse mix of cotton, synthetic, and blended yarns such as slub, mélange, compact, and core-spun varieties.
GHCL Textiles is also expanding its circular knitting capabilities to support its transition into high-performance fabric production. Sustainability plays a central role in this transformation, with 72% of its energy needs met through renewable sources powered by a 62 MW green energy base. This not only reduces its carbon footprint but also secures long-term cost savings. Additionally, the company adheres to a comprehensive ESG policy encompassing responsible sourcing, efficient water usage, and waste minimization.
Despite challenges in global trade, GHCL Textiles remains confident in its growth trajectory, supported by favorable government policies and rising international demand. With its ongoing investments and strategic focus on integration, innovation, and sustainability, GHCL Textiles is well on its way to becoming one of India’s most future-ready and competitive textile manufacturers.