Raymond Lifestyle Brings in New Leadership with Satyaki Ghosh as CEO
Raymond Lifestyle has made a significant leadership change. The company appointed Satyaki Ghosh as its new Chief Executive Officer. This marks the fourth CEO appointment for the branded apparel firm since 2020. Ghosh takes charge immediately during a difficult period for the retail sector.
A History of Leadership Changes
The CEO position at Raymond Lifestyle has seen considerable turnover in recent years. Sanjay Behl stepped down from the role in 2020. Joe Kuruvilla then took over but left by the end of 2021. Sunil Kataria became CEO and Managing Director in 2022. He guided the business through its demerger before resigning in April last year.
Since Kataria's departure, Gautam Singhania has been managing operations. Singhania serves as Chairman and Managing Director of Raymond Ltd. The frequent changes highlight the pressures facing apparel manufacturers in India today.
Ghosh's Professional Background
Satyaki Ghosh brings extensive experience to his new role. He most recently led the Cellulosic Fashion Yarn division at Grasim Industries. His career includes important stints at major corporations. Ghosh has worked at L'Oreal, Spencer's Retail, and PepsiCo in various capacities.
His diverse background spans fashion, retail, and consumer goods. This experience could prove valuable as Raymond Lifestyle navigates current market challenges.
Current Market Pressures
Raymond Lifestyle faces several headwinds. The company reported a difficult first half for FY26. Net profit fell by 25% compared to the previous year. Revenue grew by 12% during the same period, driven by branded textiles and apparel.
However, EBITDA for the branded apparel business declined sharply. The company expanded its store network rapidly, but many new locations proved unprofitable. Marketing expenditures also exceeded planned budgets, adding to financial pressures.
Store Network Adjustments
Raymond Lifestyle has been reevaluating its retail footprint. The company closed 66 stores across its apparel brands during the first half of FY26. Gautam Singhania explained the reasoning behind these closures.
"We expanded too quickly," Singhania stated. "Some stores were probably in the wrong location. This is why some correction happened. It was across all brands."
Retail real estate costs have been rising steadily across India. Quality shopfronts remain in short supply relative to demand. This situation affects both metropolitan areas and smaller cities.
Brand Portfolio and New Ventures
Raymond's apparel portfolio includes several well-known brands. The company offers men's westernwear through Raymond, ColorPlus, and Park Avenue. Ethnix serves as its men's Indianwear brand, launched in 2017.
The company has introduced new product lines in recent years. Sleepz by Raymond debuted in mid-2024 as a sleepwear brand. Park Avenue extended into innerwear in 2025. These newer ventures require more time to establish themselves in the market.
"Ethnix and the newer ventures are taking a longer gestation period than we expected but it is happening," Singhania noted.
Demand Challenges and Tax Impacts
Consumer demand has shown uneven patterns recently. The wedding season delivered strong performance. Demand softened somewhat in December after better months earlier in the quarter.
Tax changes have also affected the business. GST rate revisions implemented in September increased taxes on apparel priced above ₹2,500. The rate moved from 12% to 18%, impacting high-value purchases like wedding trousseaux.
Raymond Lifestyle's net working capital days increased to 105 days by September 2025. This rose from 97 days a year earlier. Rapid store additions and inventory build-up contributed to this change as demand softened.
Broader Industry Context
Raymond's challenges reflect wider pressures in India's apparel market. The men's westernwear, ethnicwear, and innerwear categories face particular difficulties. Vedant Fashions, parent company of Manyavar, has seen its shares decline nearly 57% over the past year.
Aditya Birla Fashion and Retail Ltd reported an 11% year-on-year sales increase. However, the company slipped deeper into losses during the first half of FY26. It cited sluggish demand and challenges in its TMRW online-first brands vertical.
Aditya Birla Lifestyle Brands performed somewhat better. The company posted 3% sales growth and a marginal profit exceeding 1%.
Analyst Perspectives
Despite near-term pressures, analysts maintain positive views on Raymond Lifestyle. Only three analysts currently track the stock, but all recommend buying. Systermatix Research expressed optimism in an October note.
"We anticipate FY26 to mark a steady recovery phase for the company," the brokerage stated. "The second half of FY26 should benefit from the wedding and festive season."
The firm projects branded apparel revenue growth at a 17.2% compound annual rate between FY25 and FY28. Raymond Lifestyle remains in a high-investment phase currently. Marketing and store-related costs continue to drive expenditures.
Early double-digit EBITDA margins could emerge once annual revenue reaches ₹23-25 billion. This milestone is projected to occur within the next 2-2.5 years according to analyst estimates.
The appointment of Satyaki Ghosh represents Raymond Lifestyle's latest effort to strengthen leadership during a challenging market period. His experience across multiple consumer sectors may help guide the company through current retail headwinds.
