Footwear and fashion brand RedTape Limited (BSE: 543957 | NSE: REDTAPE) reported a strong profit performance for the quarter ended September 30, 2026, even as revenue dipped because of a shift in the festive and promotional calendar.
Q2 numbers
The company said it delivered strong profitability during a seasonally subdued Q2 FY27, despite reported revenue being impacted by shifts in the festive and promotional calendar during the quarter.
On a standalone basis, RedTape reported revenue of Rs 474 crore in Q2 FY27, down 3.5% year-on-year. EBITDA rose 8.2% year-on-year to Rs 89 crore, while profit after tax (PAT) grew 27.3% to Rs 36 crore. EBITDA margin stood at 18.9%, up 204 basis points year-on-year. Gross margin remained consistent.
First-half performance
For H1 FY27, revenue was flat at Rs 955 crore. EBITDA grew 12.4% year-on-year to Rs 190 crore, and PAT rose 22.7% to Rs 83 crore. EBITDA margin came in at 19.9%, up 220 basis points year-on-year.
Festive calendar shift, digital surge
The company said Big Billion Days moved from September to October, shifting associated sales from Q2 into Q3 and affecting reported revenue for the quarter.
Online mix rebounded to about 31% from about 22% in Q1 FY27, returning broadly to normalised levels. RedTape.com sales surged 712% year-on-year, which the company said demonstrates strong traction of its own website.
Retail expansion continues
RedTape added 49 exclusive brand outlets (EBOs) and 5 shop-in-shops during the quarter, continuing the expansion of its physical retail footprint.
As of September 30, 2026, the company’s network comprised 756 stores across 369 cities in 20 states and 4 union territories, with total retail area of about 17 lakh sq. ft. The network included 299 Exclusive Mega Showrooms (Online) across 163 cities, 305 Exclusive Showrooms (Offline) across 233 cities, 137 Shop in Shop outlets across 63 cities, 12 Factory Shops across 10 cities and 3 Sports Outlets across 3 cities.
By ownership, 60.90% of stores are franchisee-run and 39.10% are company-operated. By location, 96.28% are on high streets and 3.72% in malls.
Management commentary
Arvind Verma, Whole Time Director, RedTape Limited said, “Q2 is seasonally a softer quarter for our business, and this year the performance was also influenced by the shift in the festive and promotional calendar, which moved a part of the sales opportunity into Q3. Despite the softer revenue base, we maintained healthy margins and delivered strong profitability, reflecting the operating leverage in the business and continued discipline across costs and channels.
“As we enter the second half, we move into a seasonally stronger period for the business, supported by festive and winter demand. At the same time, we continue to strengthen our omnichannel presence, with our digital business gaining momentum and our physical retail network continuing to expand. Our focus remains on strengthening the RedTape brand and driving sustainable, profitable growth across channels.”
Outlook
Looking ahead, RedTape said it remains focused on disciplined growth, sharper execution across retail and digital channels, continued operating efficiency and protection of its consumer value proposition. Supported by improving demand trends, a healthy retail network, and stronger product and category mix, the company believes it is well positioned to pursue profitable growth while continuing to strengthen its brand, channel mix and operating model through FY27.
Headquartered in Noida, Uttar Pradesh, RedTape Limited is one of India’s leading lifestyle brands, offering footwear, apparel and accessories for men, women and children. Its portfolio includes RedTape, Mode, Bond Street by RedTape and OZARK, spanning casual, formal, sports and outdoor segments. The company follows an asset-light model built on strategic vendor partnerships.
