More Stories

Informist, Tuesday, Aug. 11, 2026

 

By Deesha Jadhav

 

MUMBAI – VIP Industries Ltd. is expected to report a wider on-year net loss in the June quarter due to lower revenue, primarily on account of discount-driven sales, as well as high input costs, supply chain disruptions, and the ongoing business restructuring, according to brokerages tracking the company. Sequentially, however, the loss will be sharply lower and revenues will be up sharply higher.   

 

The company is expected to report a consolidated net loss of INR 397 million for the June quarter, according to the average of estimates from six brokerages, more than double the net loss of INR 150 million it had reported in the year-ago quarter. The net loss will, however, be much lower than the net loss of INR 1.29 billion it had reported in the March quarter. The highest estimate for net loss is INR 915 million from 360 ONE Capital Market Pvt. Ltd. and the lowest is INR 126 million from Prabhudas Lilladher Pvt. Ltd.

 

The company's net sales are likely to fall 3% on year to INR 5.46 billion from INR 5.61 billion in the year-ago quarter, according to the average of estimates from six brokerages. This will, however, be up 25% sequentially. The highest estimate for the company's net sales is INR 6.06 billion from Motilal Oswal Financial Services Ltd. and the lowest is INR 5.03 billion from 360 ONE.

 

VIP Industries' revenue is expected to decline due to discount-driven sales and ongoing business restructuring, according to Axis Securities Ltd. Lower sales volume may also impact the company's revenue, Elara Securities (India) Pvt. Ltd. said. Motilal Oswal, however, expects the company's revenue to rise 8% on year boosted by double-digit volume growth. The company has implemented price hikes of around 6?ross both offline and online channels, the brokerage said. The brokerage believes that most inventory and accounting clean-up activities will be completed during the first quarter, which could improve margin in the first half of the financial year 2027.

 

VIP Industries is expected to report earnings before interest, tax, depreciation, and amortisation of INR 201 million for the June quarter, according to the average of four estimates. Elara Securities expects the luggage maker to report negative EBITDA of INR 208 million. The highest estimate for the company's EBITDA is INR 306 million from Prabhudas Lilladher Pvt. Ltd. and the lowest is INR 20 million from Axis Securities.

 

The EBITDA margin of the company is likely to be (-)3.8% due to higher discounting across modern trade and e-commerce channels to revive demand, Elara Securities said. However, Prabhudas Lilladher expects the EBITDA margin to rise to 5.4% from 4.4% a year ago.

 

VIP Industries Ltd. manufactures and retails luggage, bag packs, handbags, and travel accessories. The company owns several brands such as Skybags, Caprese, VIP Alpha, and Aristocrat. The company will report its earnings for the June quarter Wednesday. Investors will closely watch guidance from the management, ramp up of production of backpacks and duffle bags, price hikes, and the company's market share.

 

Tuesday, shares of VIP Industries closed nearly 1% lower at INR 316.90 apiece­­­­­ on the National Stock Exchange. The shares are up more than 8% since the company announced its March quarter earnings on May 15.

 

Of the four research reports on the company available with Informist, two have a ‘buy' recommendation on the stock with an average target price of

INR 395.5 per share, which is nearly 25% higher than the closing price Tuesday. Two brokerages have a ‘sell' recommendation on the stock with an average target price of INR 260 apiece.

 

Following are the Apr-Jun earnings estimates for VIP Industries Ltd. from six brokerages, in descending order of net loss estimate, in INR million:

 

Brokerage Name	Net Sales	Net Loss	EBITDA
Prabhudas Lilladher Pvt. Ltd.	5,670	126	306
Motilal Oswal Financial Services Ltd.	6,063	181	243
IDBI Capital Market Services Ltd.	5,189	197	235
Axis Securities Ltd.	5,330	410	20
Elara Securities (India) Pvt. Ltd.	5,479	518	(-)208
360 ONE Capital Market Pvt. Ltd.	5,053	951	--
Average	5,464	397	119

 

End

 

Edited by Pankaj Aher

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.