Please find enclosed herewith transcript of the Earnings Conference Call of the Company held on 31.07.2026

@) | Vardhman VARDHMAN TEXTILES LIMITED Gardhmiin | Delivering Excellence. Since 1965. CHANDIGARH ROAD LUDHIANA- 141010, PUNJAB T: +91-161-2228943-48 F: +91-161-2601 048 E: secretarial.lud@vardhman.com Ref. VTL:SCY:AUG:2026-27 Dated: 03-Aug-2026 BSE Limited, The National Stock Exchange of India Ltd, New Trading Ring, Exchange Plaza, Bandra-Kurla Complex, Rotunda Building, P.J. Towers, Bandra (East), Dalal Street, MUMBAI-400001. MUMBAI-400 051 Scrip Code: 502986 Scrip Code: VTL SUB: TRANSCRIPT OF EARNINGS CONFERENCE CALL OF VARDHMAN TEXTILES LIMIT— QE1 DFY2 7 Sir, Pursuant to the provisions of Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith transcript of the earnings conference call of the Company held on 315* July, 2026 to discuss Q1 FY27 results. Kindly take the same on record. Thanking you, Yours faithfully, FOR VARDHMAN TEXTILES LIMITED (SANJAY GUPTA) COMPANY SECRETARY YARNS | FABRICS | GARMENTS | THREADS | FIBRES | STEELS CIN: LI7111PB1973PLC003345 WWW.VARDHMAN.COM “Vardhman Textiles Limited Q1 FY27 Earnings Conference Call” July 31, 2026 MANAGEMENT: MR. NEERAJ JAIN – MANAGING DIRECTOR – VARDHMAN TEXTILES LIMITED MR. SUSHIL JHAMB – DIRECTOR, RAW MATERIALS – VARDHMAN TEXTILES LIMITED MR. RAJEEV THAPAR – CHIEF FINANCIAL OFFICER -- VARDHMAN TEXTILES LIMITED MR. VARUN MALHOTRA – HEAD, FINANCE -- VARDHMAN TEXTILES LIMITED MODERATOR: MS. ARADHANA JAIN – 360 ONE CAPITAL MARKETS Page 1 of 16 Vardhman Textiles Limited July 31, 2026 Moderator: Ladies and gentlemen, good day, and welcome to Vardhman Textiles Q1 FY27 Earnings Conference Call hosted by 360 ONE Capital Markets. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Aradhana Jain. Thank you, and over to you, ma'am. Aradhana Jain: Thank you, Sania. Good evening, everyone. On behalf of 360 ONE Capital, I welcome all participants and the management of Vardhman Textiles to the 1Q FY27 Con Call. From the management, we have Mr. Neeraj Jain, Managing Director; Mr. Sushil Jhamb, Director, Raw Materials; Mr. Rajeev Thapar, CFO; and Mr. Varun Malhotra, Head of Finance. Without further ado, I would like to hand over the call to Neeraj sir for his opening remarks, post which we can open the floor for the Q&A session. Thank you, and over to you, sir. Neeraj Jain: Good afternoon, everyone. So the results are already out for Vardhman Textiles. There's an improvement in the numbers in terms of percentage as well as the absolute amounts. The major difference we look at in the spinning business has been -- there has been some improvement in the yarn sizes. Also, partially, there has been an advantage in terms of the raw material available earlier and the price increase which happened on the raw material as the yarn prices got adjusted to the new raw material. So there's a kind of a partial trading gain as well in the raw materials. On the fabric side, the improvement is not to the extent which should have been for two reasons. One, during last year, because of the U.S. tariff, there's been an issue. We missed the sampling of a particular season. And as a result of that, during that period -- during this period, all the U.S. orders did not come to India. But we are now -- last 1 month or so, things have started improving, and we are expecting far better business in the next 2, 3 months from the U.S. customers as well. So hopefully, the utilization in the fabric business will start improving, though in terms of absolute numbers on the fabric side, we have -- we are almost comparable to what we did last year in the first quarter, a little lower than the fourth quarter this year, but we are hoping that this will start improving. Again, in terms of percentage utilization, it was lower because we added a new line also in the month of March, which could not be utilized fully. On the spinning side, the utilization has been full. The margins have been good and the overall demand is also good, which was originally started deriving from China. Our expectation on the various fronts in terms of raw materials, yarn prices, our view is one, raw material is stabilized in international market in the range of about USD0.78 to USD0.81 per pound, most of the time, let's say, the average USD0.80 or so. And this is what -- it was almost Page 2 of 16 Vardhman Textiles Limited July 31, 2026 comparable when we did the last call also, except for a few days where the July New York future was much higher, whereas the December and the next months were inverse, which was a clear signal that the July New York future may not be sustainable. And as of now, there's no inverse situation in any of the months. So there could be a possibility that these levels could be sustained. Two, if you look at the raw material availability across globe. India, there has been very -- the rains behavior has been very different. One, it's a El Nino case. So there could be a reduction in the overall rains. Also, the variation in the areas has been huge. So one, the rain started a little later. Two, of course, it has picked up in our overall average, but still area to area, this has been different. As of now, the cotton growing -- sowing is almost comparable to the previous period with a gap of only 1% or 2% in our estimate, but we are yet to understand and look at what kind of growth or what kind of crop quality would be there as there has been very, very different scenarios of rain in the different areas. Generally, whenever we see these kind of variations, there is -- generally, there are always some quality concerns and also the crop size also comes down because of the quality. But it is very early to say as of now, and we have to watch it for next maybe 2, 3, 4 weeks to get a better estimate and idea of how Indian cotton behaves. Brazil, there has been a reduction in area by about 5%. So to that extent, there could be a reduction in the crop there. Australia, there has been a major drop in the crop size. The last year figures were much higher. This year, we are expecting to be about 3.5 million bales. And going by the situation of water, maybe the next year could be even much lesser, maybe about 2.5 million bales or so. The next major cotton growing area is USA. So the USA West Texas is still talking of drought conditions in that area, which means the crop over there can also be effective. China announced designed reduction in their cotton growing areas because they want to concentrate more on the eatables. So practically, if you look at all areas, there is hardly any area which looks like it's going to increase in terms of the cotton. But there are signs as of now where the reduction could be there. So these are -- based upon this, it's our view that the cotton prices may not come down in a big way, rather may increase only as the consumption across the world are increasing. So that's on a cotton swing -- cotton growth and the production possibilities. Two, this has been a period where lots of uncertainty because of the U.S. Iran war happened and the crude prices, we saw the crude prices touching $100, of course, come down to about $87, $88 as of now. And as the crude increased, all the intermediary products increased and that gave an increase to the polyester prices, acrylic prices, especially. And as a result of that, those prices are much higher than what it used to be pre-war. And that's also given some kind of a raw material increase across fibers as a sympathy to those fibers as well. Page 3 of 16 Vardhman Textiles Limited July 31, 2026 So to that extent also, I think there's likelihood that if the prices of acryli [Showing first 8,000 characters — download PDF for full document]