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1. At a Glance
Kusumgar weaves and coats technical fabrics, and sews some of them into parachutes and camouflage kit. Quarterly sales were ₹242 crore, against ₹125 crore a year earlier. That is a jump of 93.6%. Net profit was ₹41.86 crore, against ₹4.26 crore. Screener records the change as an 883% variation, which makes the percentage sign look overworked.
Operating profit was ₹73.61 crore, on an operating margin of 30%. That margin was 15% in the three months to June 2025. Operating margin is the share of sales left after running costs, before interest and tax. Sales moved from ₹307.44 crore in the three months to March 2026 to ₹241.91 crore. Other income was ₹1.67 crore, having been ₹13.26 crore in the March quarter. The line item took the quarter off.
The shares listed on BSE and NSE on 15 July 2026. The offer for sale covered 1,55,21,350 equity shares, and the company itself received nothing. In an offer for sale, existing holders sell their own shares and the proceeds go to them. Screener puts the market capitalisation, the value the market places on all the shares, at ₹6,016 crore.
The calendar since has been busy. A chief financial officer resigned and a successor was appointed on consecutive days. An earnings presentation, an analyst call, a postal ballot notice and a newspaper publication all followed inside three weeks of August. Management says the company’s products take over a decade to materialise, so the secretarial clock runs quicker than the product one. Full-year FY26 sales were ₹675.71 crore, against ₹805.73 crore in FY25.
2. Introduction
Kusumgar Ltd was incorporated in 1990 by Yogesh Kusumgar. CARE, a credit-rating agency, reported in April 2026 that he has over four decades of experience in technical textiles. Technical textiles are fabrics built for a job rather than for looks. His son Siddharth Kusumgar is now Managing Director. CARE notes that the promoters are supported by professional management for daily operations, which is the rating agency’s way of saying the founder no longer checks the looms himself.
The company was previously Kusumgar Corporates Private Limited. CARE records that the name changed to the present one in January 2025. Management told the August 2026 earnings call that the pivot from trading into manufacturing began around 2009-10. Growth was materially faster after FY20, on the same account. Nineteen years is a long time to decide to make the thing rather than move it.
On that call, management described the listed entity as having evolved from a fabric supplier into “a specialized engineering fabrics and aerospace and defense solutions company”. The founding document says “synthetic fabrics”.
The listing came on 15 July 2026 through an entirely secondary offer. Screener records that ₹650 crore was raised through the IPO. Per the filing, 35,01,372 compulsorily convertible preference shares were allotted in September 2025. Those are shares that must convert into ordinary equity on a set date. They were converted into an equal number of equity shares in June 2026. CARE records a fresh equity raise of ₹127 crore to private equity investors through those instruments, in the nine months to December 2025.
Annual sales were ₹192.48 crore in FY21 and ₹805.73 crore in FY25. FY26 sales were ₹675.71 crore. Screener records five-year compounded sales growth of 29% and profit growth of 37%. It also records a sales change of minus 16% over the trailing twelve months.
CARE reaffirmed its CARE A; Stable and CARE A1 ratings in April 2026. The facilities rated were ₹18.05 crore and ₹23.50 crore respectively. CARE had upgraded the company from CARE A- in March 2025. In January 2026, CRISIL, another credit-rating agency, placed its ratings on the company under its non-cooperation category, citing non-availability of information.
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3. Business Model: WTF Do They Even Do?
The company weaves, dyes, coats and laminates synthetic fabric. It then sews a growing share of that fabric into things designed to fall out of aircraft.
The fabrics are built on polyamide, meaning Nylon 6 and 66, on polyester filaments and on polyurethane chemistry. They are engineered for tensile strength, tear strength, abrasion resistance and air permeability. Waterproofing and flame resistance are specified as well. The portfolio runs to more than 1,000 unique product codes, which is a great many adjectives.
Aerospace and defence fabrics were 32% of FY26 revenue, and industrial and automotive fabrics 24%. Aerospace and defence solutions were 23%, and outdoor and lifestyle fabrics 19%. Other sales made up the remaining 2%.
The solutions segment is the forward integration, meaning the company sews the fabric it has already made. It covers complete parachute systems, camouflage nets in two and three dimensions, ghillie suits and decoys. Inflatable shelters are listed too, alongside a product the presentation calls “Invisibility Cloaks”. The same catalogue offers “Regular Inspection and Testing”, which is reassuring on a parachute and funnier on a decoy.
Outdoor and lifestyle makes fabric for athleisure, rainwear, backpacks and tents. Sleeping bags are on the list as well. The coating lines that keep a paratrooper dry also keep a Decathlon customer dry.
Manufacturing is integrated across weaving,
