Lehar Footwear Reports Strong Financial Performance in Q2FY26 with Significant Sales Growth

Lehar Footwear Limited has announced its financial results for the quarter ending September 30, 2025. The company showcased strong performance in both the first half of FY26 and Q2FY26, driven by robust cash flows. This financial strength enabled the repayment of long-term debts, leading to an overall reduction in debt levels.

Sales for Q2FY26 surged to Rs 140.5 crore, a significant increase from Rs 37.6 crore in Q2FY25. Despite a slight dip in operating margin from 11.9% to 9.0%, operating profit rose sharply to Rs 12.6 crore from Rs 4.5 crore in the previous year. Depreciation experienced a minor increase, moving from Rs 1.2 crore to Rs 1.4 crore.

The company's Profit Before Tax (PBT) saw substantial growth, reaching Rs 10.1 crore compared to Rs 1.7 crore in Q2FY25. After accounting for an income tax expense that increased to Rs 2.8 crore from Rs 0.5 crore, Profit After Tax (PAT) more than quintupled to Rs 7.3 crore in Q2FY26 from Rs 1.3 crore in the same quarter of the previous year.

For the first half of FY26, Lehar Footwear reported sales of Rs 282.7 crore, a significant rise from Rs 100.8 crore in H1FY25. The PAT for this period also saw a notable increase, reaching Rs 14.6 crore compared to Rs 3.6 crore during the first half of the previous fiscal year.

The company has already surpassed its full-year performance for FY25 within just the first half of FY26, with a PAT of Rs 10.9 crore and total sales amounting to Rs 277.2 crore, indicating strong operational momentum and enhanced profitability.

The reduction of GST rates on footwear priced up to Rs 2,500 from 12% to 5% is expected to significantly boost consumer affordability and expand the addressable market, fostering growth and formalisation within India's footwear industry.

Operational Resilience and New Product Launch

"Despite temporary moderation in demand due to deferment of purchase in anticipation of the GST revision, the Company delivered stable performance, reflecting its operational resilience," stated Lehar Footwear in a stock exchange filing.

The company has also launched a new sports footwear line called "Rannr," which has received positive feedback and orders from across India. The launch event was attended by over 200 dealers nationwide, expanding Lehar's distribution network significantly.

Company Background and Distribution Channels

Since its inception in 1995, Lehar Footwears Ltd. has been a leading regional manufacturer of stylish non-leather footwear. The company markets its products under the "Lehar" brand through various channels including trade distribution, retail multi-brand stores, export markets, government programs, and e-commerce platforms.

Lehar operates five manufacturing facilities located in Kundli (Haryana), Kaladera (Chomu), and Jaipur, ensuring a wide reach across different market segments.