1. At a Glance – Innerwear King or Margin Victim?
₹2,806 crore market cap.
Stock at ₹933.
Down 20% in 3 months. Down 32% in 1 year.
Q3 FY26 revenue: ₹673 crore (up 21.6% YoY).
Q3 PAT: ₹13 crore (down 46.7% YoY).
Operating margin: 5%.
ROE: 9.81%.
ROCE: 12.5%.
Debt: ₹518 crore.
P/E: 24.8.
Price-to-book: 1.57.
This is India’s largest mid-segment hosiery enterprise with 15% share in the organised market. It manufactures 2 crore garments per month across nine plants. It sponsors IPL teams. It hires Bollywood. It installs solar panels. It launches “Lux Nitro,” “Lux Parker,” “Lux Cozi Pynk,” “Lux Venus Her,” and probably soon “Lux Universe.”
But here’s the twist: Sales are rising, profits are falling.
Is this a temporary wardrobe malfunction? Or is the stitching coming loose?
Let’s unzip the numbers.
2. Introduction – From Vests to Vision 2030
Founded in 1995, Lux Industries is not your average baniyan company. It has built a serious brand portfolio: Lux Cozi, ONN, Lux Venus, Lyra, GenX.
It is present in 2 lakh+ stores.
1,170+ dealers.
16 exclusive brand outlets.
Exports to 46+ countries.
Revenue split Q3 FY25:
93% Domestic
7% Export
Regionally:
East 29%
West 28%
North 19%
Central 17%
South 7%
So this is a deeply domestic consumption story.
Over the last 7 years, the company spent ~₹900 crore on branding. On average, 8% of revenue goes to marketing.
Salman Khan. Hrithik Roshan. Kartik Aaryan. Shraddha Kapoor. IPL sponsorship.
The company is not shy.
But the real question:
When marketing rises, are profits rising too?
Or are they just buying eyeballs?
3. Business Model – WTF Do They Even Do?
Lux manufactures and markets:
- Men’s innerwear (vests, briefs, trunks)
- Men’s outerwear (T-shirts, joggers)
- Women’s innerwear (bras, shapewear)
- Women’s outerwear (leggings, jeggings)
- Kidswear
- Thermals
- Rainwear
Vertical revenue mix Q3 FY25:
Vertical A (Lux Cozi, ONN, Premium):
