Updates

VTM Limited Q2 - FY27 | Earnings Presentation 05-Nov-2026 Quarterly Results ₹ 9,817 L Review Net sales, Q2 FY27 Unaudited standalone results for the quarter ended September 30, 2026 — compared with Q1 FY27 and Q2 FY26 ₹ 9,840 L Q2 FY27 Earnings Snapshot Net sales Q1 FY27 Source: Company filing, Statement of Unaudited Financial Results (Board meeting Nov 5, 2026) · ₹ in Lakhs MOMENTUM AT A GLANCE Margins Recover, Fixed charges Rise 01 02 03 Top-line growth EBITDA expansion Raw-material intensity EBITDA of ₹ 694 L, up 38.9% YoY; Material cost at 59.8% of sales vs 65.0% Net sales of ₹ 9,817 L, up 9.2% YoY; margin 7.1% vs 5.6% in Q2 FY26 (+151 a year ago (−516 bps) and 67.9% in Q1 flat QoQ (−0.2%) vs Q1 FY27 bps) 04 05 06 Profit after tax Rising fixed charges Earnings per share PAT of ₹ 294 L: up 26.6% YoY and 52.1% Finance cost ₹ 86 L (+116% YoY) and EPS of ₹ 0.29 vs ₹ 0.23 in Q2 FY26 and QoQ; no exceptional items in either D&A ₹ 359 L (+26% YoY) weigh on PBT ₹ 0.19 in Q1 FY27 (H1 FY27: ₹ 0.48) quarter VTM Limited · Q2 FY27 · ₹ in Lakhs 2 FINANCIAL HIGHLIGHTS Q2 FY27 – Financial highlights Net Sales Total Income Gross Margin EBITDA 9,817 L 9,931 L 3,947 L 694 L YoY +9.2% QoQ −0.2% YoY +9.1% QoQ +0.3% YoY +25.3% QoQ +24.8% YoY +38.9% QoQ +19.0% PBT (pre-exceptional) Profit After Tax Total Comprehensive Inc. EPS (₹, not annualised) 363 L 294 L 371 L 0.29 YoY +24.8% QoQ +40.0% YoY +26.6% QoQ +52.1% YoY +4.6% QoQ +38.3% Q2 FY26: 0.23 Q1: 0.19 VTM Limited · Q2 FY27 · ₹ in Lakhs · Gross margin = Net sales − materials consumed ± inventory change 3 Unaudited Results – Quarter Ended September 30, 2026 Particulars (₹ Q2 FY27 Q1 FY27 Q2 FY26 QoQ % YoY % FY26 Lakhs) Net Sales 9,816.53 9,840.41 8,987.59 −0.2 9.2 37,198.13 Other Income 114.10 63.67 116.41 79.2 −2.0 340.83 Total Income 9,930.63 9,904.08 9,104.00 0.3 9.1 37,538.96 Materials (net of 5,869.81 6,679.10 5,837.81 −12.1 0.5 23,384.28 inventory change) Gross Margin 3,946.72 3,161.31 3,149.78 24.8 25.3 13,813.85 Employee Benefits 833.80 839.96 661.11 −0.7 26.1 2,662.79 Other Expenses 2,419.33 1,738.40 1,989.15 39.2 21.6 8,378.71 EBITDA 693.59 582.95 499.52 19.0 38.9 2,772.35 Depreciation & (358.59) (307.37) (285.11) 16.7 25.8 (1,134.92) Amortisation Finance Cost (86.05) (79.91) (39.80) 7.7 116.2 (179.55) PBT before 363.05 259.34 291.02 40.0 24.8 1,798.71 Exceptional Exceptional Items – – – n.m. n.m. (302.32) Total Tax (69.15) (66.10) (58.80) 4.6 17.6 (376.51) Profit After Tax 293.90 193.24 232.22 52.1 26.6 1,119.88 EPS (₹, basic) 0.29 0.19 0.23 52.1 26.6 1.11 EBITDA excludes other income. FY26 per the Q2 filing (differs by ₹0.02 L on PBT, D&A and PAT from the Q1 filing). 4 PROFITABILITY Margin profile across periods Gross margin % EBITDA margin % PAT margin % Q2 FY27 40.2 Q2 FY27 7.1 Q2 FY27 3.0 Q1 FY27 32.1 Q1 FY27 5.9 Q1 FY27 2.0 Q2 FY26 35.0 Q2 FY26 5.6 Q2 FY26 2.6 FY26 37.1 FY26 7.5 FY26 3.0 +516 bps YoY · +808 bps QoQ +151 bps YoY · +114 bps QoQ +41 bps YoY · +103 bps QoQ VTM Limited · Q2 FY27 · Margins as % of net sales · bars scaled within each card 5 COST STRUCTURE Where each ₹ 100 of sales went Materials (net) Employee Benefits Other expenses EBITDA Q2 FY27 59.8% 8.5% 24.6% 7.1% Q1 FY27 67.9% 8.5% 17.7% 5.9% Q2 FY26 65.0% 7.4% 22.1% 5.6% FY26 62.9% 7.2% 22.5% 7.5% VTM Limited · Q2 FY27 · % of net sales · segments sum to 100% (rounded) 6 EBITDA BRIDGE · YOY Q2 FY26 → Q2 FY27 EBITDA (₹ Lakhs) Green adds to EBITDA, red reduces · 499.52 + 828.94 − 32.00 − 172.69 − 430.18 = 693.59 7 Management’s Opinion Key takeaways from the quarter 1. Sales up YoY, flat QoQ, Material-to-sales fall 2. Other costs Increase Net sales +9.2% YoY, but net material cost grew only 0.5%, so Other expenses +21.6% YoY (+39.2% QoQ) gross margin rose 25.3%, 59.8% (vs 65.0% YoY, 67.9% QoQ) [Reason: Other Exp Increase represents the additional selling and lifted EBITDA margin to 7.1%, above Q1 FY27 (5.9%) and Q2 distribution expenses incurred towards retaining existing customer FY26 (5.6%); FY26 was 7.5%. base and exploring new markets ] [Reason: Change in the Product-Mix] 3. Fixed Charges Increase 4. PAT up; Total Comprehensive Income lags Employee cost +26.1%, Finance cost +116%; PAT +26.6% YoY, +52.1% QoQ. Total comprehensive income rose only 4.6% YoY as OCI fell to ₹ 77 L from ₹ 123 L. [Reason: Increase in emp cost due to Human resources addition and impact of change in the Labourcode compliances] VTM Limited · Q2 FY27 8 ABOUT VTM Stock information Shareholding Pattern: Stock Data (as on 5 November 2026) Market Cap ₹ 428 Cr Promoters 75% Stock Price ₹ 42.30 Public 25% 52 Week (High / Low) ₹ 103.33 / ₹ 30.75 Shares Outstanding 10,05,69,000 Face Value ₹ 1.00 Other equity (Sep 30, 2026) ₹ 31,133 L Price: Nov 5, 2026 close (BSE India) · Market cap = price ×10,05,69,000 shares · 52-week high / low (BSE India) 9 APPENDIX Definitions and reconciliation Definitions used EBITDA → PBT check (₹ L) • Materials (net) = cost of materials consumed + Item Q2 FY27 Q1 FY27 change in inventories of FG, WIP and stock-in- EBITDA 693.59 582.95 trade + Other income 114.10 63.67 • Gross margin = Net sales − Materials (net) • EBITDA = Gross margin − employee − other − D&A 358.59 307.37 expenses (excludes other income) − Finance cost 86.05 79.91 • QoQ = vs Q1 FY27; YoY = vs Q2 FY26 = PBT (derived) 363.05 259.34 PBT (reported) 363.05 259.34 Q2 FY27 and Q1 FY27 reconcile exactly. FY26 figures follow the Q2 filing, which differs from the Q1 filing by ₹ 0.02 L on PBT, D&A and PAT. Source: VTM Limited, Statement of Unaudited Financial Results for the quarter and six months ended September 30, 2026 (standalone) Disclaimer The contents of this presentation are for informational purposes only and for the reader's personal, non-commercial use. While reasonable care has been taken in its preparation, the contents are not guaranteed to be complete or accurate in every respect. Financial results for the quarter and half-year ended 30 September 2026 are unaudited and have been subjected to a limited review by the Statutory Auditors of VTM Limited (the "Company"). All figures are in Rs. Lakhs unless otherwise stated. This presentation contains forward-looking statements based on the currently held beliefs and assumptions of the Management of the Company, which are expressed in good faith and are, in its opinion, reasonable. Such statements involve known and unknown risks, uncertainties and contingencies, including raw material price movements, demand conditions in domestic and export textile markets, foreign exchange fluctuations, regulatory changes and general economicconditions, whichmaycause actualresults, financialcondition, performance or achievements todiffer materiallyfromthose expressed or implied. The Company undertakes no obligation to update these statements and disclaims any liability to any person for loss or damage caused by errors or omissions, whether arising fromnegligence, accident or anyother cause. EBITDA and EBITDA margin are non-Ind AS measures, computed as profit before tax after exceptional items, less other income, plus finance cost and depreciation and amortization,adjustedfor exceptional items.Theymaynot becomparable with similarlytitledmeasures used byother companies. This presentation does not constitute an offer, invitation or recommendation to buy or sell any securities of the Company. Recipients should not construe its contents, or any prior or subsequent communication from or with the Company or its representatives, as investment advice. It does not purport to be all- inclusive or to contain all the information required for a full analysis of the Company, and recipients should make such independent investigations as they deemnecessary.