Jerash Holdings (Us), Inc.: Q4 FY2026 earnings call

What management said about Q4 FY2026, from the documents filed with the SEC on 15 June 2026: press release. Guidance figures: 3 new. The quarter’s numbers.

Read the filing

Key takeaways

• Quarterly revenue rose 46.6 percent: Fourth-quarter revenue was $42.9 million, up from $29.3 million a year earlier, a 46.6 percent increase. Source
• Quarterly operating income more than fivefold: Operating income was $2.3 million in the fourth quarter, compared with $434,000 a year earlier. Source
• Quarterly net income turned positive: Net income was $1.7 million, or $0.12 per diluted share, against a net loss of $144,000 a year earlier. Source
• Production fully booked through 2026: Management said production facilities are fully booked through December 2026. Source
• Quarterly gross margin eased: Fourth-quarter gross margin was 17.1 percent, compared with 17.9 percent a year earlier. Source
• First phase adds 15 percent capacity: The first renovation phase is expected to add about 15 percent to capacity and 700 workers by end of calendar 2026. Source

“We have made progress toward reducing customer concentration, and along with improved production efficiencies, we managed to smooth out seasonality in the second half of fiscal 2026 to achieve higher sales and better margins.”

Sam Choi, Jerash’s chairman and chief executive officer

Guidance

What changed from last quarter

• New: The company obtained two new revolving credit facilities totaling up to $20.0 million, both undrawn as of March 31, 2026. Source
• New: The building acquisition announced in the prior release is reported as completed in fiscal 2026, for about $3.4 million, partly financed by a bank loan. Source

Fourth quarter and full-year results

• Quarterly revenue rose 46.6 percent: Fourth-quarter revenue was $42.9 million, up from $29.3 million a year earlier, a 46.6 percent increase. Source
• Full-year revenue reached a record: Fiscal 2026 revenue was $166.3 million, up 14.0 percent from $145.8 million in fiscal 2025, described as a record. Source
• Quarterly operating income more than fivefold: Operating income was $2.3 million in the fourth quarter, compared with $434,000 a year earlier. Source
• Quarterly net income turned positive: Net income was $1.7 million, or $0.12 per diluted share, against a net loss of $144,000 a year earlier. Source
• Full-year net income rose to $3.6 million: Fiscal 2026 net income was $3.6 million, or $0.27 per diluted share, compared with a net loss of $840,000 in fiscal 2025. Source

Customers and order book

• Newer customers added to shipments: Quarterly growth reflected higher exports to long-standing key customers and orders from newer customers, including Hansoll Group in South Korea. Source
• Production fully booked through 2026: Management said production facilities are fully booked through December 2026. Source
• Expanding and diversifying customer base: The prior release said management continues to expand and diversify the customer base and product mix as order volumes grow.

“Management remains focused on further improving gross margin through increased automation and enhanced production efficiencies driven by economies of scale,”

Sam Choi, Jerash’s chairman and chief executive officer

Margins and operating costs

• Quarterly gross margin eased: Fourth-quarter gross margin was 17.1 percent, compared with 17.9 percent a year earlier. Source
• Full-year gross margin improved: Fiscal 2026 gross margin was 16.1 percent, up from 15.3 percent in fiscal 2025. Source
• Operating expenses fell as share of sales: Operating expenses were 11.7 percent of revenue, down from 16.4 percent a year earlier, reflecting lower export logistics costs and stock-based compensation. Source
• Interest kept other expenses elevated: Other expenses totaled $399,000 in the quarter, including $383,000 of interest expense. Source
• Lower Jordan tax rate cut quarterly rate: The quarterly effective tax rate fell to 13.9 percent, from higher profitability and a lower Jordan rate for companies in qualified development zones. Source
• Automation and scale targeted for margin: Management said it is focused on further gross margin gains through automation and production efficiencies from economies of scale. Source

Capacity expansion and new building

• Building bought with bank loan: The company bought a manufacturing building and land in Al Tajamouat for about $3.4 million, partly financed by a $2.8 million long-term bank loan. Source
• First phase adds 15 percent capacity: The first renovation phase is expected to add about 15 percent to capacity and 700 workers by end of calendar 2026. Source
• Remaining expansion due mid-2027: The remaining expansion is planned for completion by mid-calendar 2027, adding 20 to 25 percent in production capacity. Source
• Prior plan promised at least 40 percent: The prior release expected the new building to add at least 40 percent to production capacity once renovations finished by end of calendar 2026.

Ports, seasonality and warehouses

• Ports open and operating normally: Management said the Aqaba and Haifa ports were fully open and operating normally during the quarter. Source
• Warehouse capacity reorganized in phases: Management said it is expanding production and reorganizing warehouse capacity in phases across several facilities, including the newly acquired building. Source
• Ramadan impact absorbed in shipments: Export shipments were completed despite the seasonal impact of the month-long Ramadan and Eid al-Fitr holiday, which began February 19. Source

Balance sheet and cash flow

• Cash and working capital levels: Cash and restricted cash totaled $12.5 million, and net working capital was $36.7 million, as of March 31, 2026. Source
• Operating cash flow rose for year: Fiscal 2026 net cash from operating activities was $2.5 million, against $1.4 million in fiscal 2025; investing outflows were $5.8 million. Source
• Receivables and inventories increased: Accounts receivable rose to $5.7 million from $3.1 million, and inventories to $30.0 million from $27.7 million, as of March 31. Source

Dividends, financing and facilities

• Quarterly dividend held at $0.05: The board approved a regular quarterly dividend of $0.05 per share on May 4, 2026, paid May 21, 2026. Source
• Revolving facilities undrawn at year-end: Two new revolving facilities total up to $20.0 million and were undrawn at March 31, 2026. Source
• Credit facilities rose to $4.9 million: Current credit facilities were $4.9 million at March 31, 2026, up from $4.5 million a year earlier. Source

Footprint and workforce

• Eight factory units and six warehouses: Existing production facilities comprise eight factory units and six warehouses. Source
• About 6,300 employees: The company currently employs approximately 6,300 people. Source
• Footprint grew from prior release: The prior release reported six factory units, four warehouses and about 6,000 employees in Jordan.

Coming up, as management said on 15 June 2026

• First renovation phase completes: The first renovation phase is expected to add about 15 percent to capacity by end of calendar 2026. Source
• Remaining expansion due mid-2027: The remaining expansion is planned for completion by mid-calendar 2027. Source

Figures management reported

Risks management discussed

• Demand: Management noted the seasonal impact of Ramadan and Eid al-Fitr on shipments during the quarter. Source
• Demand: Management said it has made progress reducing customer concentration. Source
• External: Management noted the Aqaba and Haifa ports were fully open and operating normally during the quarter. Source
• Financial: Interest expense was $383,000 in the fourth quarter, within total other expenses of $399,000. Source

Earlier plans management reported on

• Met: The company said the quarterly dividend approved in May was paid on May 21, 2026. Source
• Not stated: The prior release said completing renovations by year-end would add at least 40 percent to capacity, a figure the current release does not repeat.

Other quarters

• Q1 FY2027 earnings call
• Q3 FY2026 earnings call
• Q2 FY2026 results
• Q1 FY2026 results
• Q2 FY2027 earnings call

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.