Updates

To: Date: August 21, 2026 BSE Limited National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, Bandra Kurla Complex P.J. Towers, 1st Floor, Dalal Street Bandra (E) Mumbai - 400 001 Mumbai - 400 051 Scrip Code: 535601 Symbol: SREEL Dear Sir/Madam, Sub: Q1 FY 2026-27 Financial and Business Update. We enclose herewith the Press Release on Q1 FY 2026-27 Financial & Business Update. The Press Release will also be available on the website of the Company at https://www.sreeleathers.com This is for your kind information and record. Thanking you, Yours truly, For Sreeleathers Limited, Bijoy Kumar Roy Company Secretary Quarter 1, FY 2026-27 Results Quarter ended 30 June 2026 | Unaudited | Approved 14 August 2026 01 Headline results Revenue from operations Profit before tax Profit after tax Earnings per share ₹59.63 ₹9.28 ₹6.99 ₹3.02 Cr Cr Cr +19.7% +131.7% +138.2% +138.2% vs ₹49.80 Cr in Q1 FY26 vs ₹4.01 Cr in Q1 FY26 vs ₹2.93 Cr in Q1 FY26 vs ₹1.27 in Q1 FY26 Trailing twelve months to 30 June 2026 Revenue ₹257.93 Cr Profit after tax ₹32.80 Cr EPS ₹14.17 02 Financial summary ₹ crore Particulars Q1 FY27 Q1 FY26 Change Revenue and profit after tax, Q1 comparison Revenue from Operations 59.63 49.80 +19.7% Revenue, ₹ Cr Profit after tax, ₹ Cr Total Income 60.43 50.25 +20.3% 59.63 6.99 Gross Profit 15.21 8.86 +71.7% 49.80 Gross Margin 25.5% 17.8% +773 bps Operating EBITDA 8.90 3.97 +124.3% 2.93 Profit before Tax 9.28 4.01 +131.7% Profit after Tax 6.99 2.93 +138.2% Q1 FY26 Q1 FY27 Q1 FY26 Q1 FY27 PAT Margin 11.7% 5.9% +583 bps Margin recovery Earnings per Share (₹) 3.02 1.27 +138.2% Gross margin was at the Company's expected level of about 26%. Operating EBITDA more than doubled on a 19.7% revenue increase. Total Comprehensive Income 17.12 9.82 +74.4% Operating EBITDA excludes other income. 03 Growth on a four-year basis Measured on a trailing twelve month basis, TTM to June 2026 against TTM to June 2022, the four-year performance is as follows. Revenue Profit after tax Earnings per share +67.1% +56.0% +56.0% ₹257.93 Cr against ₹154.33 Cr ₹32.80 Cr against ₹21.02 Cr ₹14.17 against ₹9.08 a CAGR of 13.7% a CAGR of 11.8% a CAGR of 11.8% 04 Operational overview The balance sheet remains effectively debt free, with finance The Company has fully integrated a Microsoft ERP platform, costs of 0.16% of revenue in the quarter. For FY 2025-26 the giving a more granular view of its cost structure and supporting Board declared the Company's first ever dividend of ₹2 per share, cost optimisation at both the purchase and the promotional level. comprising a ₹1 interim dividend and a ₹1 final dividend. Network detail is set out in section 08. Sreeleathers Limited | Q1 FY 2026-27 results, category and channel review Page 1 of 4 Category and channel performance Four-year view, FY 2021-22 to FY 2025-26 | Management analysis 05 Accessories are becoming top performers Footwear remains the core of the business. Alongside it, accessories now hold the majority of the range's best-selling categories by volume. Top-quartile composition, share held by accessories, by units FY 2024-25 43% FY 2025-26 57% 4-year CAGR by category, FY 2021-22 to FY 2025-26 Accessories 23.2% Ladies Footwear 21.9% Footwear overall 18.4% Gents Footwear 15.2% 06 Footwear and accessories, the current split Q1 FY 2026-27 mix Accessories have moved from 29.5% of sales in FY 2021-22 to 32.9% in FY 2025-26. The trend continued into Q1 FY 2026-27, with accessories reaching 33.8% of revenue, the highest share yet. 66.2% Footwear 33.8% Accessories 07 Online is a growing, higher-value channel Online revenue Online units Revenue per unit, online 19.4% 15.3% +45% 4-year CAGR 4-year CAGR vs company-wide average +103.3% cumulative, FY 2021-22 to FY 2025- +76.7% cumulative, FY 2021-22 to FY The channel skews toward higher-value items 26 2025-26 New categories have scaled online Cumulative growth in units sold online, FY 2021-22 to FY 2025-26. Each panel is scaled to its own FY 2025-26 level; bar lengths are not comparable between panels. Trolleys Briefcases and portfolio bags +850% +135% cumulative 75.6% 4-year CAGR cumulative 23.8% 4-year CAGR FY 2025-26 = 100%, FY 2021-22 shown as a share of it FY 2025-26 = 100%, FY 2021-22 shown as a share of it FY 2021-22 FY 2021-22 FY 2025-26 FY 2025-26 Sreeleathers Limited | Q1 FY 2026-27 results, category and channel review Page 2 of 4 The franchised network Store network, geography and same-store performance | Management analysis 08 Franchise growth Existing stores performance Sales at stores trading in both years held steady and stayed in positive territory on revenue and on volume alike. The established base is a stable platform that carries its own footfall and holds its price realisation while the network expands around it. Total franchise, including new stores +19.6% +19.2% revenue, FY 2025-26 units, FY 2025-26 Franchised network by region, share of active network West Bengal East 46.9% Odisha East 18.8% Jharkhand East 12.5% Bihar East 9.4% Assam North East 3.1% Tripura North East 3.1% Delhi NCR North 3.1% Chhattisgarh Central 3.1% across eight states, at August 2026 Network growth, active stores +36.0% over the period, April 2024 to August 2026 31 32 25 26 27 Growth in the active network against the April 2024 base. The network grew 18.5% year on year to the close of the June quarter, against revenue growth of 19.7%. Openings in the twelve months to June 2026 were Ranaghat, Raghunathganj, Rampurhat and Bagnan in West Bengal, and Balasore in Odisha; Raipur followed in July 2026, the Company's first store in Chhattisgarh, and Kandi in August 2026. Company-owned stores continue to operate in Kolkata and Jaipur alongside the franchised network. Apr Mar Jun Sep Mar Jun Aug 24 25 25 25 26 26 26 Sreeleathers Limited | Q1 FY 2026-27 results, category and channel review Page 3 of 4 Outlook and Board detail Near-term demand, Director appointments | Q1 FY 2026-27 09 Entering the festival season Footfall, COCO stores Footfall, COCO stores Q2 FY27 vs Q1 FY27 +17.4% +9.4% ~45% against the preceding 45 day period against the same 45 days a year earlier management estimate, quarter on quarter Why the September quarter should be stronger Footfall in company-owned and company-operated stores rose 17.4% over the 45 days following the close of the June quarter, compared with the preceding 45 days, and 9.4% against the same period a year earlier. Two festive-season weekends fall in Q3 this year; however, franchised store sales occur roughly 10 days in advance, muting the effect on Q2 results. The only tempering factor is our COCO stores, but those are tracking ahead of last year, offsetting the drag and strengthening Q3 results. On this basis, management estimates the September quarter will run approximately 45% ahead of the June quarter. Footfall figures are single-period comparisons, not annualised, and are not comparable to the 4-year CAGRs used elsewhere in this report. The quarter-on-quarter estimate is forward looking and should carry the Company's standard cautionary wording. 10 Appointment of Directors Mr. Soham Dey Whole-time Director An MBA in finance and operations from the Kellogg School of Management, Northwestern University, and a bachelor's in mechanical engineering from Boston University. He has worked in design and manufacturing and has founder experience in the United States, and brings that experience to Sreeleathers. Formally inducted into the business now, he has been involved with the Company for virtually all his life. Mr. Bhaskar Chatterjee Independent Director A retail professional with over three decades as a profit centre head across FMCG and retail. He has held senior retail roles at Hindustan Unilever, Bata India, Raymond, Reliance Communications and S. Kumars, and has taught retail management at NSHM and Times Business School. B.Com, MBA, with executive training in Toronto, Singapore and Dubai. Basis of preparation All multi-year rates ar [Showing first 8,000 characters — download PDF for full document]