Jerash (US) (JRSH) Q4 2026 earnings summary

Executive summary

• Achieved record annual revenue of $166.3 million for fiscal 2026, up 14.0% year-over-year, with robust Q4 growth of 46.6% to $42.9 million, driven by strong demand from key and new customers, including Hansol Group in South Korea.

• Net income for the year improved to $3.6 million from a net loss of $840,000 in fiscal 2025; Q4 net income reached $1.7 million, reversing a loss last year.

• Operational improvements, automation, and capacity expansion enhanced production capabilities and margins, with facilities fully booked through December 2026.

• Completed major and repeat orders for Hansol, with additional follow-up orders and ongoing diversification of customer base and product mix.

• Expansion underway to increase production capacity by up to 40% by mid-2027, including renovations and new hires.

Financial highlights

• Fiscal 2026 Q4 revenue grew 46.6% year-over-year to $42.9 million; full-year revenue reached $166.3 million, up 14.0%.

• Gross profit increased 40.4% to $7.4 million in Q4; gross margin was 17.1% for Q4 and 16.1% for the year, both improved year-over-year.

• Operating income for Q4 rose over fivefold to $2.3 million; full-year operating income more than quadrupled to $6.3 million.

• Net income reached $1.7 million ($0.12 per diluted share) in Q4 and $3.6 million ($0.27 per diluted share) for the year.

• Cash and restricted cash totaled $12.5 million; net working capital was $36.7 million as of March 31, 2026.

Outlook and guidance

• Fiscal 2027 Q1 revenue expected to increase 20%-22% year-over-year, with gross margin targeted at 15%-17%.

• Facilities fully booked through December 2026, with 80% of orders confirmed and the remainder expected to be finalized soon.

• Production expansion to add 15% capacity by end of 2026 and another 20–25% by mid-2027.

• Full-year growth for fiscal 2027 is anticipated but not specifically projected due to capacity constraints.

• Focus on customer diversification and reduced seasonality in upcoming quarters.