Credit Rating- Revision

Ref. No. AL/SECT/2026-27/59 August 25, 2026 To, To, BSE Limited National Stock Exchange of India Limited Listing Dept./ Dept. of Corporate Services Listing Dept., Exchange Plaza, 5th Floor Phiroze Jeejeebhoy Towers Plot No. C/1, G. Block Dalal Street Bandra-Kurla Complex Mumbai - 400001 Bandra (E), Mumbai - 400051 Security Code : 500101 Symbol : ARVIND Security ID : ARVIND Dear Sir / Madam, Sub.: Intimation under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 – Credit Rating CARE Ratings Limited (“CARE”) has upgraded the Company's long-term Credit Rating to AA (Stable) from AA- (Stable). The new rated ratings are as under: Facilities Amount in Rating Rs. Cr Long-Term Bank Facilities 492.90 CARE AA; Stable (Upgraded from CARE AA-; Stable) Long-Term / Short-Term Bank 1,549.98 CARE AA; Stable / CARE A1+ Facilities (Long-term rating upgraded; Short-term rating reaffirmed) Short-Term Bank Facilities 1,001.01 CARE A1+ (Reaffirmed) Commercial Paper (Carved Out) 300.00 CARE A1+ (Reaffirmed) The Press Release issued by CARE in this regard, which was received by the Company on August 25, 2026 at 08:30 PM (IST) is annexed herewith. The Company Press Release on the captioned matter is also enclosed herewith. You are requested to take the same on your record. Thanking you Yours faithfully, For, Arvind Limited Pritesh Shah Company Secretary Encl: As Above PRESS RELEASE Arvind Ltd’s Credit Rating receives an upgrade to “AA” (Stable), reflecting strenghened financial profile Ahmedabad, 25th August 2026: Arvind Limited ("Arvind" or "the Company"), India's leading textile, apparel & technical textile company and flagship company of the Lalbhai Group, is pleased to announce that CARE Ratings Limited has upgraded the Company's long-term credit rating to AA (Stable) from AA- (Stable). The rating upgrade reflects the Company's superior operational and financial performance and reinforces the strong credit profile. The revised ratings assigned by CARE Ratings are as follows: Facilities Amount in RS Cr Rating Long-Term Bank Facilities 492.90 CARE AA; Stable (Upgraded from CARE AA-; Stable) Long-Term / Short-Term Bank 1,549.98 CARE AA; Stable / CARE A1+ (Long-term Facilities rating upgraded; Short-term rating reaffirmed) Short-Term Bank Facilities 1,001.01 CARE A1+ (Reaffirmed) Commercial Paper (Carved Out) 300.00 CARE A1+ (Reaffirmed) Arvind Limited’s rating upgrade reflects the Company’s resilient and well-diversified business model, supported by a balanced geographic presence and broad product portfolio. The Company has demonstrated performance superior to industry trends while maintaining financial discipline and operational resilience. Over the past three years, Arvind has strengthened its financial profile through sustained margin stability, improved return on capital employed (ROCE), and enhancement of key credit metrics, resulting in a stronger balance sheet. The upgraded rating underscores Arvind’s continued focus on strengthening its balance sheet, maintaining prudent financial discipline, improving business performance, and sustaining healthy relationships with its lending partners. The reaffirmation of the highest short-term rating of A1+ and upgradation of long-term rating of AA; stable reflects the Company's strong liquidity position and debt servicing capability, while its strengthened credit profile provides the flexibility to pursue growth opportunities with a continued focus on margin expansion, cash flow generation, and maintaining strong credit quality. About Arvind Ltd: Arvind is a textile to retail conglomerate with focus on textiles, apparels, advanced materials, environmental solutions, telecom and Omni-channel commerce. Arvind Limited is an integrated solutions provider in textiles with strong fiber to fashion capabilities for a global customer base. It is also a design powerhouse implementing innovative concepts and generating intellectual property. It ranks amongst the top suppliers of fabric worldwide. The company strives every day to create opportunities beyond conventional boundaries and believes that the possibilities are endless. For more information, please visit https://www.arvind.com/ For further information please contact: Satya Prakash Mishra | Group Head - Investor Relations | (Mobile: 7036228882) | Satyaprakash.mishra@arvind.in Disclaimer: Certain statements contained in this document may be statements of future expectations and other forward-looking statements that are based on management ‘s current view and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. None of Arvind Limited or any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its content or otherwise arising in connection with this document. This document does not constitute an offer or invitation to purchase or subscribe for any shares and neither it nor any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. Press Release Arvind Limited August 25, 2026 Name of the Amount Facilities/Instruments Rating2 Rating Action Regulator1 (₹ crore) Long-term / Short-term CARE AA; Stable / LT rating upgraded from CARE AA-; RBI 1,549.98 bank facilities CARE A1+ Stable and ST rating reaffirmed 492.90 Long-term bank facilities RBI (Enhanced CARE AA; Stable Upgraded from CARE AA-; Stable from 459.25) Short-term bank facilities RBI 1,001.01 CARE A1+ Reaffirmed Commercial paper (Carved RBI 300.00 CARE A1+ Reaffirmed out) * Details of instruments/facilities in Annexure-1. * Carved out of the sanctioned working capital limits. Rationale and key rating drivers Upgrade in the long-term rating assigned to bank facilities and instruments of Arvind Limited (Arvind) factor in the sustained improvement in its business risk profile considering growing share of its advanced materials/technical textile business in overall business mix and profitable scale-up of its garment business. The advanced materials business is characterised by specialised and industrial applications, large addressable market, growing demand, healthy profitability, and lower susceptibility of margins to cyclicality and raw material price fluctuations. The acquisition of Dalco-GFT (Dalco) significantly strengthens the advanced materials business by adding scale, specialised needle-punched non-woven capabilities and access to the US filtration and geotextile markets. Supported by Dalco’s consolidation, planned capacity additions, advanced materials business is expected to contribute ~28-30% of Arvind’s consolidated revenue and ~36-38% of Arvind’s consolidated profit before interest, lease rentals, depreciation and taxes (PBILDT) in FY27. Arvind’s garmenting volume grew by ~12% and ~13% in FY26 and Q1FY27 (y-o-y) respectively and expected to sustain healthy growth in near-to-medium term supported by improving efficiency and increasing verticalization. Despite global headwinds, performance of Arvind’s textile and advanced materials business remained resilient in FY26 and Q1FY27, providing comfort to ratings. Operationalisation of various free trade agreements (FTAs; UK, Australia, etc.), reduction in US tariff since February 2026 and expected implementation of FTA with European Union (EU) by FY28 also provide medium-term growth visibility. Advanced materials and garmenting businesses are expected to remain a key driver of Arvind’s growth and profitability and will also reduce Arvind’s dependence on relatively cyclical denim fabric business. Upgrade also factors sustained improvement in Arvind’s financial risk profile considering growing cash accruals and controlled net-debt levels in last few years. Debt funded acquisition of Dalco in May 2026 led to increase in Arvin [Showing first 8,000 characters — download PDF for full document]