ABFRL Takes Full Control of Urbano; Q1 FY27 Revenue Rises 11%

Quick Summary

Aditya Birla Fashion and Retail has taken full control of Urbano operator Imperial Online Services and established a UAE subsidiary for Sabyasachi. The developments strengthen its digital and luxury fashion portfolio, while investors continue to watch revenue growth, losses and execution.

Aditya Birla Fashion and Retail Limited (ABFRL) is in focus after announcing two important developments in September. The company's digital fashion subsidiary acquired the remaining stake in Imperial Online Services, while Sabyasachi India established a new subsidiary in the United Arab Emirates.

The moves strengthen ABFRL's presence in digital fashion and create a new platform for expanding its luxury fashion business internationally.

ABFRL Takes Full Control of Urbano Operator

On September 17, 2026, Aditya Birla Digital Fashion Ventures Limited, a wholly owned subsidiary of ABFRL, acquired an additional 15.62% stake in Imperial Online Services Private Limited.

The transaction increased its ownership in Imperial Online Services from 84.38% to 100%. Imperial has therefore become a wholly owned subsidiary of ABDFVL and a step-down wholly owned subsidiary of ABFRL.

Imperial Online Services operates the Urbano fashion brand and is engaged in the manufacturing, marketing and distribution of apparel through online and offline channels.

The company was incorporated in 2012. Its revenue increased to ₹119.38 Cr in FY26, compared with ₹77.93 Cr in FY25.

The transaction gives ABFRL complete ownership and control of the business after its earlier investment in Imperial.

Sabyasachi Establishes UAE Subsidiary

ABFRL also announced on September 17 that its subsidiary, Sabyasachi India Limited, had incorporated Sabyasachi Retail FZ-LLC in Ras Al Khaimah, UAE.

The entity was incorporated on September 16, 2026, and will operate in designer apparel, jewellery and accessories.

Sabyasachi Retail FZ-LLC has an authorised and paid-up capital of 3,458 shares with a face value of AED 1,000 each.

The new subsidiary provides Sabyasachi with a local corporate structure in the UAE and supports ABFRL's strategy of expanding its luxury fashion portfolio beyond India.

The development is separate from the Urbano transaction and represents a new international expansion initiative for the Sabyasachi business.

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Aditya Birla Fashion Share Price Today

Aditya Birla Fashion and Retail shares closed at ₹48.02, down ₹1.07 or 2.18%, on September 24, 2026.

The stock has delivered a -47.34% YTD return, while its one-year return stood at -46.65%.

Data as of September 24, 2026, 3:30 PM IST.

How Did ABFRL Perform in Q1 FY27?

ABFRL reported revenue from operations of ₹2,026 Cr in Q1 FY27, up 10.60% from ₹1,832 Cr in Q1 FY26.

Total revenue increased 9.80% YoY to ₹2,082 Cr from ₹1,895 Cr.

However, profitability remained under pressure. EBITDA stood at ₹117 Cr, compared with ₹112 Cr a year earlier, while EBITDA margin declined to 5.80% from 6.10%.

The company's PAT stood at a loss of ₹249 Cr, compared with a loss of ₹234 Cr in Q1 FY26.

Metric	Q1 FY27	Q4 FY26	QoQ %	Q1 FY26	YoY %
Revenue from Operations (₹ Cr)	2,026	1,990	1.78%	1,832	10.60%
Total Revenue (₹ Cr)	2,082	2,114	-1.52%	1,895	9.80%
EBITDA (₹ Cr)	117	197	-40.82%	112	4.67%
EBITDA Margin	5.80%	9.90%	-4.10 ppt	6.10%	-0.30 ppt
PAT (₹ Cr)	-249	-164	51.83%	-234	6.42%
PAT (Owners) (₹ Cr)	-215	-148	45.01%	-212	1.51%
EPS (₹)	-1.77	-1.22	-45.08%	-1.74	1.72%

Source: ABFRL Q1 FY27 financial results.

Pantaloons and Ethnic Businesses Deliver Growth

ABFRL recorded year-on-year revenue growth across both major operating segments during Q1 FY27.

Pantaloons remained the larger contributor, generating ₹1,204 Cr, up 10.08% YoY. The Ethnic and Others segment generated ₹831 Cr, increasing 10.10% YoY.

Segment (₹ Cr)	Q1 FY27	Q4 FY26	QoQ %	Q1 FY26	YoY %
Pantaloons	1,204.00	1,048.00	14.89%	1,094.00	10.08%
Ethnic and Others	831.00	950.00	-12.57%	755.00	10.10%
Less: Inter Segment Revenue	10.00	8.00	—	17.00	—
Total Revenue from Operations	2,026.00	1,990.00	1.78%	1,831.00	10.60%

Source: ABFRL company filing.

The segment numbers show that both businesses continued to grow annually, although Ethnic and Others declined sequentially from the March quarter.

What Do the September Developments Mean?

The Imperial transaction gives ABFRL complete ownership of Urbano and greater control over its digital fashion operations. The business has already recorded strong revenue growth, providing ABFRL with another platform in India's online apparel market.

The Sabyasachi UAE subsidiary represents a longer-term international opportunity. The new entity could support the luxury brand's expansion in the Gulf across designer apparel, jewellery and accessories.

Neither development, however, changes ABFRL's near-term earnings profile materially. The key issue remains whether the company's expanding portfolio can generate sufficient scale and profitability.

What Should Investors Watch Next?

Investors should track Urbano's growth under full ABFRL ownership and the pace at which Sabyasachi develops its UAE business.

The company's profitability also remains important. Q1 revenue increased 10.60% YoY, but PAT losses widened and EBITDA margin declined.

The September developments therefore strengthen ABFRL's growth pipeline, but execution and a gradual improvement in profitability will determine whether these investments create meaningful shareholder value.

Final Takeaway

ABFRL's latest developments centre on expanding its digital and luxury fashion businesses. The company has taken full control of Urbano operator Imperial Online Services and established a UAE subsidiary for Sabyasachi.

Q1 FY27 revenue grew 10.60% YoY, but the ₹249 Cr net loss highlights continued profitability pressure. Investors will therefore need to track expansion execution alongside earnings improvement.

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