The Indian Garage Co Sees Growth Slow Sharply to 15% in FY26, Losses Widen 27%
D2C men's fashion brand The Indian Garage Co (TIGC) grew its operating revenue just 15% in FY26, a sharp deceleration from the roughly 2X growth it posted the previous year, according to financial statements filed with the Registrar of Companies.
Here's the actual math behind the slowdown. Revenue from operations rose to Rs 234.6 crore in FY26, up from Rs 204.2 crore in FY25. On the cost side, materials remained the biggest expense, rising 13% to Rs 117.5 crore, while advertising and promotional spending more than doubled to Rs 29.3 crore, employee benefit expenses climbed 24% to Rs 21 crore, and total expenditure grew 16% to Rs 276.1 crore. With costs outpacing revenue, the Aditya Birla Digital-owned company's net loss widened 27% to Rs 28.7 crore.
The unit economics tell the real story here. TIGC now spends Rs 1.18 to earn every rupee of operating revenue, up from Rs 1.16 the previous year, a small but meaningful shift in the wrong direction, especially when advertising spend more than doubling didn't translate into proportionate growth.
The founder story adds context. TIGC was founded in 2012 by Anant Tanted as a mass-premium men's casualwear brand, and has previously talked about ambitions to build a Rs 1,000 crore business within a few years, backed by TMRW (Aditya Birla's D2C arm) among others.
The bigger picture makes this genuinely instructive. India's D2C fashion space has gotten intensely competitive, with brands like Snitch, Rare Rabbit, Bewakoof and The Souled Store all scaling rapidly and fighting for the same wallet share. TIGC's slowdown is a signal that in this market, revenue growth alone isn't enough anymore, contribution margins and customer-acquisition efficiency now matter just as much, if not more.
From doubling revenue one year to grinding out 15% the next, TIGC's FY26 numbers are a reminder that scaled D2C brands are entering a tougher, more disciplined phase of growth.
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— Sandeep Raiza