Textile Stock in Which Mukul Agrawal Made a Fresh Investment of ₹6.8 Cr in Q4 FY26

Synopsis:- Ace investor Mukul Agrawal invested ₹6.8 crore for a 1.6% stake with 3.99 lakh shares. Operating profit rose from ₹7 crore to ₹23 crore, while margins improved to 15%. Capacity doubled to 2 crore meters, with 60 machine installations worth ₹38.44 crore driving growth.

India’s textile printing‑solutions sector is growing rapidly, with the broader dyeing and printing market estimated at around USD 700 million in FY 2025 and projected to cross USD 1.7 billion by 2033, driven by rising fashion demand and digital adoption. Digital printing is expanding at a double‑digit CAGR, supported by e‑commerce, customisation trends, and government focus on modernising the textile industry.

With a market capitalisation of Rs 436.51 crore, the shares of True Colour Ltd closed at Rs 177.05 per share, decreased around 4.04 percent as compared to the previous closing price of Rs 184.50 apiece.

Fresh Investment

Ace investor Mukul Agrawal made a fresh investment in March 2026, picking up a stake in True Colours worth around Rs 6.8 crore (1.6%) with nearly 3.99 lakh shares. This addition aligns with his diversified portfolio of 73 stocks worth Rs 6,369 crore, reflecting continued interest in emerging opportunities.

Financial & other Highlights

The company reported a strong performance, with revenue rising 62% from Rs 93 crore to Rs 151 crore in Sep 2025, indicating robust business growth. Profit surged 400% from Rs 3 crore to Rs 15 crore, significantly outpacing revenue. This sharp rise reflects improved operating leverage, better cost control, and a notable strengthening in overall profitability.

Over the period from Sep 2024 to Sep 2025, operating performance improved meaningfully. Operating profit increased from Rs 7 crore to Rs 23 crore, reflecting better business traction. Meanwhile, OPM expanded from 7% to 15%, indicating improved cost efficiency and stronger margins, although it moderated from the peak seen in the interim period.

The company’s growth is supported by strong execution across segments. Manufacturing revenue rose from Rs 46 crore to Rs 68 crore (~50%), while the ink business increased from Rs 35 crore to Rs 40 crore. Spare parts contributed Rs 6 crore in H1, and the machine segment scaled sharply with 60 installations worth Rs 38.44 crore, with a Rs 9 crore order book remaining.

The company’s paper manufacturing segment is operating at a strong utilisation of 85–90% in H1, with capacity expanded from ~1 crore meters to 2 crore meters per month. This expansion, backed by ₹6–7 crore capex, is expected to generate ~₹5 crore monthly revenue (~₹60 crore annually), indicating meaningful scale-up and improved revenue visibility.

Meanwhile, digital textile printing is running at ~75% utilization, with capacity increased by ~15% through new machines, supporting near-term growth. Additionally, energy efficiency is improving, with solar capacity expected to generate ~7,000–8,000 units/day, covering 30–40% of consumption, reducing costs, and enhancing operational sustainability over time.

True Colours operates in the digital textile printing industry, focusing on both manufacturing and trading activities. The company imports and distributes digital textile printers and also produces and supplies related products. Its business model is built around three main areas: machinery and ink supply, sublimation paper manufacturing and distribution, and digital textile printing. 

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