Cantabil’s growth has been led by deep penetration into Tier II and III cities, which now account for a majority of its stores. The retail network crossed 500 stores in 2023 and continues to expand through a mix of company-operated and franchise outlets

New Delhi: Cantabil Retail India Ltd marks its 25th year with a network that now exceeds 600 stores across 290 cities and a revenue run rate north of ₹700 crore. The company continues to combine steady financial growth, low leverage, and a strategy rooted in expanding across smaller towns while diversifying its product mix.

Founded by Vijay Bansal, Cantabil opened its first branded outlet in Delhi’s Rajouri Garden in 2000. Over the years, it expanded from a men’s wear specialist into a complete family fashion brand — adding women’s wear in 2007, kidswear in 2018, and footwear and accessories in 2023. Its Bahadurgarh manufacturing facility, commissioned in 2016, anchors an integrated supply chain that supports design, production, and quality control for rapid scale-up.

Cantabil’s growth has been led by deep penetration into Tier II and III cities, which now account for a majority of its stores. The retail network crossed 500 stores in 2023 and continues to expand through a mix of company-operated and franchise outlets.

Financials, Margins & Capital Structure

• FY25 Net Revenue: ₹721.07 crore
• Profit After Tax (FY25): ₹74.86 crore
• EBITDA Margin (FY25): ~28–30%
• Q1 FY26 Revenue: ~₹159 crore; EBITDA margin in the high-20s to low-30s range, with PAT up year-on-year
• Revenue CAGR (last six years): ~17–18%
• Capital Structure: Negligible long-term debt; expansion primarily funded through internal accruals
• Fixed Assets: Reflect significant investment in owned infrastructure (manufacturing and stores)

The company has signaled its ambition to lift revenue growth to a 20% year-on-year trajectory over the next few years by deepening category mix, expanding its footprint, and reinforcing its value-fashion positioning.

Expansion Strategy: Stores, Formats & Categories

Cantabil is backing its next phase of growth with an aggressive yet self-funded retail rollout plan:

• Plans to open 70–80 new stores annually with strong focus on Tier II and III cities, while consolidating metro presence.
• Aims to reach 700–725 stores as a medium-term milestone to support its ₹1,000 crore revenue target by FY27.
• Operates ~46 exclusive Women & Kids stores, a share that is expected to rise steadily.
• Menswear contributes ~80–81% of revenue, while women’s and kidswear together account for ~10–12%; the company aims to raise this share to 14–15% in the medium term.
• The footwear and accessories line, introduced in 2023, is positioned to enhance basket value and strengthen the family fashion proposition.
• Investments continue in ERP and logistics integration to support expansion and efficiency.
• Online sales, currently about 6% of total revenue, are expected to scale to around 10% in the near term.

The company’s Bahadurgarh facility supports fast design-to-store cycles and margin control, while its ERP-backed backend enables smoother inventory flow and restocking. The integrated supply chain model helps the brand balance scale with operational efficiency.

Cantabil’s capex for FY26 is expected to be around ₹50 crore, covering new stores, warehousing, ERP, and backend investments, with plans to moderate thereafter. Its low-debt, internally funded approach underlines a conservative but consistent growth strategy.

Omnichannel Growth & Strategic Priorities

Cantabil’s omnichannel agenda is designed to complement its physical scale rather than replace it. The company is strengthening its presence on leading marketplaces, upgrading its own digital platforms, and developing loyalty and CRM programs aimed at improving repeat business.

Deepening the women’s and kids’ lines, improving digital conversion, and optimising store productivity in emerging categories such as footwear remain key priorities. As the company broadens its assortments, maintaining inventory efficiency and fashion relevance will be critical to sustaining growth.

Marking its 25th year, Cantabil now aims to translate its record of steady execution into accelerated scale while retaining a conservative financial profile. The leadership’s roadmap focuses on deepening market penetration, expanding category reach, and evolving from an apparel label into a complete family fashion and lifestyle destination.