Page Industries Limited stands tall as the exclusive licensee for Jockey International in India. Investors and market watchers eagerly await its quarterly earnings, and the Q2 FY26 results, released recently, deliver a mixed bag of insights. While year-over-year revenue shows modest growth, quarter-on-quarter dips in key metrics signal underlying challenges. Yet, the announcement of a hefty ₹125 dividend per share injects optimism, rewarding shareholders amid a competitive landscape. This comprehensive analysis dives deep into the numbers, contextualizes them against industry trends, and explores the road ahead for Page Industries’ stock performance.
As a leading player in innerwear and athleisure, Page Industries has built a reputation for premium quality and robust distribution. With over 100,000 points of sale across India, the company commands a significant market share. But in Q2 FY26, ending September 2025, executives revealed figures that reflect resilience in a post-pandemic recovery phase. Revenue climbed to ₹1,290 crore, up from ₹1,246 crore a year ago, but slipped slightly from ₹1,316 crore in the prior quarter. Expenses rose in tandem, squeezing margins and leaving net profit flat at ₹195 crore year-over-year. Earnings per share (EPS) hovered at ₹174, a marginal dip from last quarter’s ₹180.
This report unpacks these developments, highlights the dividend’s appeal, and forecasts potential catalysts for Page Industries’ share price. Whether you’re a long-term holder or eyeing entry points, understanding these Q2 FY26 results equips you to navigate the stock’s trajectory. Let’s break it down.
Page Industries Company Overview: A Legacy in Premium Innerwear
Page Industries traces its roots back to 1995, when it secured the license to manufacture and distribute Jockey products in India. Headquartered in Bengaluru, the company has evolved from a niche innerwear provider to a powerhouse in athleisure and casual apparel. Its portfolio boasts iconic brands like Jockey, Speedo, and Athlite, catering to men, women, and children with a focus on comfort, innovation, and sustainability.
What sets Page Industries apart? A vertically integrated model that controls design, production, and distribution ensures quality consistency. Factories in Karnataka and Tamil Nadu churn out millions of units annually, leveraging advanced technology for moisture-wicking fabrics and ergonomic fits. The company’s omnichannel strategy—spanning exclusive Jockey stores, e-commerce tie-ups with Amazon and Myntra, and traditional retail—drives accessibility. As of FY25, Page Industries reported annual revenues exceeding ₹4,500 crore, underscoring its dominance in a ₹50,000 crore innerwear market growing at 10-12% CAGR.
Leadership under Chairman Hari Ganapathy emphasizes ethical practices and consumer-centric innovation. Recent launches, like eco-friendly bamboo-based underwear lines, align with rising demand for sustainable fashion. Yet, challenges persist: raw material volatility, seasonal sales fluctuations, and intense competition from unorganized players and global entrants like Hanes. In this context, Q2 FY26 results offer a snapshot of how Page Industries navigates these headwinds.
Investors often compare Page Industries to peers like Arvind Fashions or TCNS Clothing. Its premium pricing—Jockey briefs retail at ₹300-500 versus ₹100-200 for local brands—commands loyalty but exposes it to economic slowdowns. With a market cap hovering around ₹70,000 crore as of November 2025, the stock trades at a P/E multiple of 75x, reflecting high growth expectations. Q2 FY26 tempers those hopes slightly, but strategic moves could reignite momentum.
Dividend Announcement: ₹125 Payout Signals Confidence in Cash Flows
One of the standout highlights from Page Industries’ Q2 FY26 board meeting? The declaration of a ₹125 per share dividend, payable to shareholders on record as of November 19, 2025. This equates to a payout ratio of over 60% of quarterly profits, a generous gesture in an era of conservative capital allocation.
Dividends from Page Industries have long been a shareholder magnet. Historically, the company maintains a progressive policy, balancing reinvestment with returns. Last year’s interim dividend stood at ₹110, making this ₹125 hike a 14% increase—a clear vote of confidence from management. The ex-dividend date falls shortly after the record date, so mark your calendars if you’re holding shares.
Why does this matter? In a low-interest-rate environment, where fixed deposits yield 6-7%, Page Industries’ 0.8-1% dividend yield (on current prices around ₹40,000) adds stability. For income-focused investors, it’s a reliable stream; for growth chasers, it underscores financial health. The payout draws from robust cash reserves—over ₹800 crore at FY25 end—bolstered by efficient working capital management.
Critics might argue it’s a short-term boost amid flat profits, but data suggests otherwise. Page Industries’ free cash flow conversion consistently exceeds 90%, funding dividends without debt strain. This move could stabilize the share price post-earnings dip, attracting dividend aristocrat hunters. As markets digest Q2 FY26, watch for institutional inflows; mutual funds like HDFC Mid-Cap Opportunities hold significant stakes, and such announcements often prompt top-ups.
In broader terms, this dividend aligns with India’s evolving corporate governance norms under SEBI. Companies like Page Industries, with strong promoter holding (around 45%), prioritize minority shareholders, enhancing trust. If sustained, it positions the stock as a defensive play in volatile sectors like consumer discretionary.
Revenue Breakdown: 4% YoY Growth Amid Quarterly Slump
Delving into the topline, Page Industries posted ₹1,290 crore in Q2 FY26 revenue, a 4% year-over-year (YoY) increase from ₹1,246 crore in Q2 FY25. Quarter-over-quarter (QoQ), however, it dipped 2% from ₹1,316 crore in Q1 FY26. This dichotomy reveals seasonal nuances and execution hiccups in a festive-heavy quarter.
Break it down by segments: Innerwear, the cash cow, contributed 70% of sales, growing 5% YoY on strong urban demand for Jockey classics. Athleisure lines like Speedo swimwear surged 8%, riding the wellness wave—yoga pants and sports bras flew off shelves amid Diwali promotions. Footwear, a nascent category, added 3% growth but remains under 5% of mix.
Geographically, South India (40% share) led with 6% YoY gains, fueled by store expansions in Tier-2 cities like Coimbatore. North and East lagged at 2-3%, hit by unseasonal rains disrupting offline sales. E-commerce, now 15% of revenue, jumped 12% YoY, thanks to targeted ads on Flipkart and quick-delivery tie-ups.
What drove the YoY uptick? Strategic pricing held firm despite cotton price hikes (up 10% YoY), while marketing spends on digital campaigns—think influencer tie-ups with fitness icons—boosted brand recall. Volume growth of 3% offset a 1% price realization dip, per management commentary.
The QoQ slide? Blame it on Q1’s base effect from summer clearances. Inventory rationalization curbed aggressive discounting, leading to a 1-2% volume pullback. Still, at 4% YoY, Page Industries outpaced the innerwear sector’s 2-3% growth, per CRISIL estimates. For context, competitors like Rupa & Company reported flat revenues, underscoring Page’s premium edge.
Looking ahead, management eyes 10-12% FY26 revenue growth, banking on 200 new stores and rural penetration via Jockey kiosks. If monsoon recovery aids Q3, this modest Q2 could mark a trough.
Expense Analysis: Rising Costs Pressure Margins in Q2 FY26
Expenses tell a cautionary tale in Page Industries’ Q2 FY26 ledger. Total outgo reached ₹1,049 crore, up from ₹998 crore YoY and ₹1,061 crore QoQ—a 5% YoY escalation that mirrors revenue trends but erodes profitability.
Raw materials, 40% of costs, climbed 6% due to global cotton volatility and polyester shortages from China. Employee expenses rose 4% on wage hikes and a 5% headcount addition for distribution scaling. Marketing, at 8% of sales, increased 7% YoY for IPL sponsorships and social media blitzes—essential for Gen Z outreach but a margin drag.
A silver lining: Inventory valuation gains of ₹95 crore, flipping a ₹92 crore loss from Q2 FY25. Better demand forecasting reduced obsolescence write-offs, per notes to accounts. Logistics costs, however, inched up 3% amid fuel price surges, though in-house fleet optimizations mitigated worse.
Gross margins contracted 50 basis points to 52%, reflecting cost pass-through limits in a price-sensitive market. Operating expenses as a percentage of revenue held at 28%, but EBITDA margins slipped to 18% from 19% YoY. Management attributes this to “investments in capacity,” including a new Andhra Pradesh plant for 20% output boost by FY27.
Compared to peers, Page’s expense discipline shines—Arvind’s costs ballooned 8% in similar quarters. Yet, sustained rises could cap ROE, currently at 25%. Investors should monitor Q3 for cost levers like supplier negotiations or automation.
Profitability Insights: Flat Net Profit at ₹195 Crore Signals Stability Over Growth
Net profit held steady at ₹195 crore in Q2 FY26, matching Q2 FY25’s figure but down 3% QoQ from ₹200 crore. This flatline, against 4% revenue growth, underscores margin compression—a 150 basis point drop in net margins to 15%.
PAT drivers? Other income dipped 2% on lower interest earnings, while tax outgo rose marginally to 25%. Depreciation held flat at ₹25 crore, reflecting mature asset base. Core operations generated ₹210 crore EBITDA, down from ₹225 crore QoQ, as volume-price dynamics faltered.
YoY flatness isn’t alarming; it beats sector averages where profits shrank 5-10% amid input inflation. Page’s 25% ROCE remains enviable, funded by internal accruals—no debt on books. For shareholders, this stability supports the dividend, but growth investors crave more.
EPS mirrored profits at ₹174, versus ₹175 YoY and ₹180 QoQ. At 75x forward P/E, the stock prices in 12-15% EPS growth—achievable if Q3 festive sales hit 15% targets. Analyst consensus (from Motilal Oswal, ICICI Securities) pegs FY26 EPS at ₹750, implying 10% upside.
In essence, Q2 FY26 profits reflect a “steady state” phase. Strategic capex—₹300 crore planned for FY26—could juice returns, but execution risks loom.
EPS and Valuation Metrics: How Q2 FY26 Shapes Page Industries Share Price Outlook
Earnings per share (EPS) at ₹174 for Q2 FY26 offers a lens into per-share value creation. Diluted shares outstanding remain at 1.12 crore, unchanged YoY. This EPS trails QoQ’s ₹180 due to profit dip but edges last year’s ₹175, aligning with flat profitability.
Valuation-wise, Page Industries trades at premiums: EV/EBITDA of 45x versus sector 25x, justified by 15% CAGR historical growth. Post-Q2, shares dipped 2-3% to ₹39,500, erasing pre-earnings gains. Dividend news cushioned the fall, with RSI at 45 signaling neutral momentum.
Key ratios:
- P/E Ratio: 75x trailing, 65x forward—stretched but supported by 20% ROE.
- PEG Ratio: 4.5x, indicating overvaluation if growth slows below 15%.
- Dividend Yield: 0.9% post-hike, appealing for defensives.
Technical charts show support at ₹38,000 (200-DMA), resistance at ₹42,000. A Q3 beat could propel to ₹45,000 by March 2026.
Macro tailwinds? Urbanization and rising disposable incomes favor premiumization—innerwear spend per capita could double to ₹500 by 2030, per KPMG. Risks include GST hikes or rupee depreciation inflating imports.
Industry Context: Page Industries in a Booming Apparel Sector
India’s apparel market, valued at ₹5 lakh crore, grows at 10% CAGR, with innerwear at 12%. Page Industries captures 25% organized share, but unorganized players (60% market) erode pricing power. Q2 FY26’s 4% growth outstrips industry 3%, per FICCI data.
Peers’ performance:
| Company | Q2 Revenue Growth (YoY) | Q2 Profit Growth (YoY) | Dividend |
|---|---|---|---|
| Page Industries | 4% | 0% | ₹125 |
| Rupa & Company | 2% | -5% | Nil |
| Arvind Fashions | 6% | 8% | ₹10 |
| TCNS Clothing | 1% | -2% | Nil |
Page’s premium focus yields higher margins (15% vs. sector 10%), but volume sensitivity bites during slowdowns.
Sustainability trends boost athleisure—Page’s recycled polyester lines tap a ₹10,000 crore green apparel niche. E-commerce penetration, at 20% by FY26, levels the playing field against fast-fashion giants like Zara.
Global headwinds? US-China trade tensions spike cotton prices, but India’s MSP regime buffers. Domestically, PLI schemes for textiles could cut costs 5-7% via incentives.
Strategic Initiatives: Fueling Page Industries’ Future Growth
Beyond numbers, Q2 FY26 spotlights forward-looking bets. Store count hits 800, with 50 additions in Q2 targeting Tier-3 towns. Digital investments—AR try-ons via app—aim to lift online conversion 20%.
Sustainability? Page commits to 50% recycled materials by 2030, partnering with Reliance for supply chains. Export forays into Middle East add 2% revenue diversification.
Capex focus: ₹150 crore on automation, slashing labor costs 10%. R&D in bio-fabrics positions against synthetics bans.
Management guidance: 12% FY26 revenue, 10% profit growth. If met, shares could rerate to 80x P/E.
Investor Implications: Is Page Industries Stock a Buy Post-Q2 FY26?
For long-term bulls, Q2’s flat profits are noise; dividend and strategy affirm moat. Target ₹48,000 in 12 months (20% upside), per Emkay Global.
Cautious types? Wait for Q3 confirmation—below 10% growth warrants caution. High valuation demands flawless execution.
In sum, Page Industries Q2 FY26 blends caution with promise. Revenue inches forward, profits hold firm, and dividends delight. As India’s innerwear kingpin, it’s poised for rebound—track share price reactions closely.