Gloster Ltd Q2FY26 – When a 100-Year-Old Jute Company Goes Full Desi Industrial Drama Mode: 325% Profit Jump, 3 Auditors, and 2 Subsidiaries Later…

1. At a Glance

Gloster Ltd — the granddaddy of India’s jute industry — has suddenly remembered what growth looks like. In Q2FY26, this century-old jute legend postedsales of ₹360 croreand aPAT of ₹7.67 crore, marking a jaw-dropping325% YoY surgein profit and a 152% jump in sales. The stock trades at₹602with amarket cap of ₹644 crore,P/E of 70.2,ROCE of 1.55%, andROE of -1.31%— basically, valuation of a tech startup but returns of a slow-moving mill in Howrah.

But don’t be fooled — this is no sleepy mill story. Between launching new jute mills, revamping cable plants, and swapping PwC for Singhi & Co. as auditors, Gloster has had more drama than a Bengali daily soap. Oh, and did we mention the ₹1,153 crore power cable contract its subsidiary bagged in May 2025? Because nothing says “eco-friendly jute” like a full-blown electrical expansion.

With abook value of ₹988,dividend yield of 3.32%, anddebt-to-equity of 0.70, Gloster sits between “value buy” and “capital-heavy midlife crisis.” The only question is — can this old tiger of jute pull off an industrial reboot before the new capex chews through its cash faster than a Durga Puja bhog queue?

2. Introduction

If heritage had a factory, it would look like Gloster Ltd — born in 1923, surviving world wars, liberalization, and GST. But FY26? That’s Gloster’s glow-up year. The company that once only made jute sacks for sugar factories is now dabbling in lifestyle bags, laminated fabrics, and — wait for it —industrial power cablesthrough subsidiaries.

Who knew a jute player could pivot into cables faster than startups pivot into AI?

And let’s not ignore the sheer madness of its numbers.Sales jumped 152%this quarter, as if someone found the missing jute magic potion. PAT surged325%, the kind of turnaround that makes you suspiciously whisper, “Yeh kaise hua bhai?”

But underneath the noise, Gloster is quietly executing one of the most ambitious transformations in the jute sector — expanding production by130 tons/day, building a ₹300 crore integrated jute mill (because one mill is never enough), and pouring₹550 croreinto a cable manufacturing arm that could electrify their earnings — or short-circuit them.

And if you thought governance was boring —PwC just resigned, replaced bySinghi & Co., because even auditors couldn’t handle this plot twist.

So buckle up — Gloster’s not just weaving jute anymore. It’s weaving a full-blown industrial comeback story.

3. Business Model – WTF Do They Even Do?

Let’s break this down for every investor who still thinks “jute” is something your grandma stored rice in.

Gloster Ltd makes and exportsjute, cotton, and blended fiber products— basically turning plant fiber into money. Its catalog ranges from humbleHessian cloth and sackingto fancygeo-textiles, fire-retardant fabrics, and eveneco-friendly shopping bagsunder “Gloster Lifestyle.”

And just when you thought that’s it — they also makeindustrial cablesthrough their subsidiaryFort Gloster Industries Ltd, which sounds more like an engineering company than a jute mill.

The business split looks something like this:

• Traditional Jute Products:Hessian, yarn, sacking — the bread and butter (47% Hessian, 48% sacking).
• Technical Textiles:Fireproof, microbial-resistant, and hydrocarbon-free fabrics.
• Lifestyle Products:Bags, mats, furnishing fabrics — basically the “hipster” jute.
• Industrial Expansion:Power cables through subsidiary + new bag-making unit.

Government orders (mainly sacking) contribute around30% of revenue, because what’s more reliable than good old government tenders?

Exports? They’ve gone global —40+ countriesincluding the US, UK, Japan, and Germany. Certified underOeko-Tex Standard 100, meaning their jute is so pure even German labs approve it.

So yes, Gloster weaves everything fromeco-friendly grocery bags to cable jackets, proving that diversification is their favorite yoga asana.

4. Financials Overview

From loss to profit in one year —