AB Cotspin Secures ₹18 Crore Cotton Yarn Order, Strengthens Growth Outlook

AB Cotspin India Limited has taken a significant step forward in its growth journey by securing a major order worth ₹18 crore for supplying 712 metric tonnes of cotton yarn. The order, scheduled for completion within two months, highlights the company’s strong standing in the textile sector and reinforces its reputation as a dependable supplier of high-quality yarn. The announcement sparked a sharp rally in the company’s stock, which surged 10.41% intraday to reach a high of ₹504 per share, up from the previous close of ₹456.50. With this move, the company’s market capitalization touched ₹1,032.07 crore. However, some profit booking brought the share price down to ₹467 per share, still reflecting healthy investor confidence. AB Cotspin operates in both textile and oil production segments, manufacturing cotton yarn, knitted fabric, cottonseed oil, and oilcakes. This diversified portfolio enables the company to capture demand across multiple industries, particularly in India’s key textile hubs. Looking ahead, the company has set ambitious financial targets for FY 2025–26, aiming for a turnover of ₹350–400 crore and an EBITDA of ₹40–45 crore. To achieve this, it is actively investing in sustainable practices, including the expansion of solar power capacity, which will not only lower costs but also appeal to global buyers who prioritize eco-friendly production. The timing of this order is particularly favorable, with the upcoming festive season expected to boost textile demand. The company is positioning itself to capture stronger growth in domestic markets such as Tirupur and Ludhiana, while also scaling its presence in exports. With its strategic focus on sustainability, operational efficiency, and market expansion, AB Cotspin is entering a promising phase. If it delivers on its ambitious growth plans, the company has the potential to transition from a small-cap textile player into a more influential force in both domestic and international markets.

AB Cotspin Secures ₹18 Crore Cotton Yarn Order, Strengthens Growth Outlook Read More »