BrilliA Inc

BrilliA Inc operates in the ladies' intimate apparel industry, serving as a holding company for Bra Pro Limited and PT Mirae Asia Pasifik (MAP). The industry is highly fragmented and competitive, with an increasing number of players in the lingerie ODM and OEM market in Indonesia. Neighboring markets such as Bangladesh, with overall lower labor costs, exert pressure on margins. The company also faces competition in the branded lingerie and apparel market, where established players with longer histories and well-known brands vie for market share. The industry is subject to rapid changes in consumer preferences, supply chain interruptions, and the impact of U.S. trade policy, including tariffs on imported goods such as textiles and apparel.

Primary competitors named in the filing include Fruit of the Loom Inc, Hanes Brands Inc, Jockey International, Hennes & Mauritz, Canadelle, and Li & Fung, which are also key customers. Competitive advantages include strong design and sourcing capabilities, an asset-light approach with no owned manufacturing facilities, a vertically integrated operation providing one-stop apparel supply chain services, and strong, stable relationships with key customers in the United States, Europe, and Canada. The company differentiates by specializing in intricate, skill-intensive product offerings rather than direct cost competition with lower-cost markets. Bra Pro's top two customers accounted for 67.62% and 78.74% of revenues for the years ended March 31, 2026 and 2025, respectively.

The company generates revenue through two primary sources: the sale of garments and services rendered. Garment sales are predominantly focused on the production and distribution of brassieres for globally recognized brands, delivered through international partners. Revenue from services includes rendering of services and service for sample preparation. The business model is transactional, with orders fulfilled on an as-required basis based on individual purchase orders, as the company does not have long-term agreements with its top customers. Bra Pro operates as a sales and marketing entity, while MAP serves as the fulfillment partner, overseeing design, prototyping, and quality control. The company is also developing a direct-to-consumer model through its licensed DIANA brand and a licensed Jockey brand in Indonesia.

For the financial year ended March 31, 2026, the best-selling products were brassiere and top. Sales of goods by product for FY2026 included brassiere at $36,868 thousand, top at $2,287 thousand, panty at $3,565 thousand, bodysuit at $1,497 thousand, swimsuit at $1,707 thousand, dress at $49 thousand, and others at $2,854 thousand ^1234567. For FY2025, brassiere sales were $54,801 thousand, top $2,661 thousand, panty $1,271 thousand, bodysuit $1,730 thousand, swimsuit $2,697 thousand, dress $39 thousand, and others $868 thousand ^891011121314. The DIANA brand, launched in the fourth quarter of 2024, is an in-house direct-to-consumer lingerie brand targeting the premium market and younger consumers in Southeast Asia, distributed primarily online through the company's website, social media platforms, and marketplace platforms like Shopee. The company also entered into a five-year trademark license agreement with Jockey International, Inc. on December 9, 2025, granting exclusive rights to source, design, manufacture, market, and sell Jockey-branded products in Indonesia, including underwear, bras, shapewear, socks, activewear, loungewear, and sleepwear for both men and women.

The DIANA brand is being developed to diversify the Group's business by tapping into Southeast Asia's expanding base of young, digitally engaged consumers. The brand offers high-quality, value-driven lingerie and is expanding into adjacent categories including sleepwear, activewear, baby wear, and period panties. The company's strategy includes offering high-quality, fashionable lingerie and expanding the product range to include these categories. The Jockey license agreement, effective from April 1, 2026, until December 31, 2030, with a renewable five-year term, positions the Group to address Indonesia's apparel market, estimated at approximately USD 22 to 23 billion annually across a population of more than 280 million ¹⁵¹⁶. The company also formed a strategic alliance with Hung Hon (4K) Limited, which has commenced production of foam pads for BrilliA at a facility in Central Java, supported by a dedicated office in Jakarta.

Significant operational developments during the period include the launch of the DIANA brand in the fourth quarter of 2024, with a private launch event at Grand Indonesia in the second quarter of 2025. On December 9, 2025, the Group entered into a five-year trademark license agreement with Jockey International, Inc. The company also formed a strategic alliance with Hung Hon (4K) Limited for foam pad production in Central Java. On September 15, 2025, the company declared a cash dividend of US$0.133 per Class A share, representing an aggregate distribution of US$2,992,500 across 22.5 million Class A shares outstanding ¹⁷¹⁸. The company adopted a 2024 ESIP allowing issuance of up to 2,500,000 Class A Shares, though no awards had been granted as of the filing date ¹⁹. Additionally, Bra Pro Singapore was incorporated on June 11, 2025, as a 100% directly owned subsidiary.

For the financial year ended March 31, 2026, total revenue decreased by 23.92% to $48,988 thousand from $64,391 thousand in the prior year ²⁰²¹. Gross profit decreased by 33.05% to $6,984 thousand from $10,431 thousand ²²²³. The company reported a net loss of $15 thousand for FY2026, compared to a net profit of $2,819 thousand in FY2025 ²⁴²⁵. The decline was primarily attributable to new U.S. tariff measures affecting exports to the United States, which caused customers to defer or reduce order placements. Gross profit margin decreased from 15.78% to 13.97% ²⁶²⁷. Operating expenses increased slightly by 0.43% to $7,022 thousand ²⁸. The company maintained a cash dividend payment of US$0.133 per Class A share in September 2025.

A primary growth vector is the development of the DIANA brand and distribution channels. The company plans to continue building the DIANA brand, repositioned to serve a broader and younger demographic, with a focus on fast fashion for younger women. The brand is being expanded into adjacent categories including sleepwear, baby wear, activewear, and period panties. Distribution is primarily through online channels, including the company's own e-commerce website, social media platforms such as Instagram and TikTok, and regional marketplaces like Shopee. The marketing strategy centers on influencer collaborations and key opinion leaders (KOLs). The company aims to establish retail channels in Indonesia, Singapore, other ASEAN countries, and Europe under the DIANA brand, enhancing direct customer engagement and brand control.

A second major growth vector is the licensed-brand partnership with Jockey International, Inc. The five-year trademark license agreement, effective from April 1, 2026, grants exclusive rights to source, design, manufacture, market, and sell Jockey-branded products in Indonesia, spanning underwear, bras, shapewear, socks, activewear, loungewear, and sleepwear for both men and women. The company plans to build distribution through wholesale partnerships, retail stores, and e-commerce platforms, addressing Indonesia's apparel market estimated at approximately USD 22 to 23 billion annually across a population of more than 280 million ²⁹³⁰. This strategy allows the company to capture higher margins than its traditional fulfillment model while leveraging Jockey's global brand equity to accelerate market entry.

The filing does not contain specific margin or cost outlook figures for the upcoming period. However, the company's gross profit margin decreased from 15.78% in FY2025 to 13.97% in FY2026, with margin compression reflecting the broader pricing environment and the adverse impact of U.S. tariff measures ³¹³². The company partially mitigated the decline through cost control initiatives, including more efficient sourcing of materials and improved management of subcontractor costs.

The filing does not contain a specific operational outlook for supply chain, manufacturing capacity, technology infrastructure, or headcount strategy beyond the strategic alliance with Hung Hon (4K) Limited for foam pad production in Central Java and the incorporation of Bra Pro Singapore on June 11, 2025.

The filing does not contain specific R&D spending levels, capital expenditure plans, share repurchase authorization amounts, or dividend policy figures for the upcoming period. The company declared a cash dividend of US$0.133 per Class A share on September 15, 2025, but the board retains discretion over future dividends ³³.

Structural headwinds explicitly flagged include the introduction of new U.S. tariff measures affecting exports to the United States, which created uncertainty across the apparel supply chain and resulted in customers deferring or reducing order placements. The ongoing conflict in Ukraine has adversely affected consumer demand and supply chain stability across European markets. Geopolitical friction and subsequent military conflict between the United States and Iran that began in February 2026 has severely dampened global consumer sentiment, shifting household budgets toward essential goods rather than discretionary spending.

Regulatory and macro factors identified as constraints include changes in U.S. trade policy, including the imposition of additional tariffs on imported goods such as textiles and apparel, which could increase the cost of goods sold or require supply chain adjustments. Fluctuations in the value of the Indonesian Rupiah may materially affect the company, as depreciation could create difficulties in purchasing imported goods and services critical for MAP's operations. The company is also subject to risks from the Omnibus Law on job creation in Indonesia, which introduces new concepts and implementing regulations that may impact MAP's business and operations.

The company faces material risks from substantial customer concentration, with the top two customers accounting for 67.62% of revenues in FY2026 and 78.74% in FY2025, and the absence of long-term agreements with these customers, whose purchases are made on an order-by-order basis ³⁴³⁵. The introduction of new U.S. tariff measures has already caused a 23.92% decline in total revenue, and further changes in U.S. trade policy could increase costs or require supply chain adjustments, negatively affecting pricing competitiveness in the U.S. market, which represented 82.38% of FY2026 revenue ³⁶³⁷. The company is entirely reliant on third-party contract manufacturers with no long-term contracts, exposing it to production disruptions, quality issues, and pricing fluctuations. The development of the DIANA brand creates a direct conflict of interest with existing customers, risking erosion of trust, customer alienation, and market fragmentation. Additionally, the company's reliance on a related-party license agreement for the DIANA brand with PT Diana Mode Indonesia, in which controlling shareholder Mr. Salim has a 25% beneficial interest, poses risks of unfavorable renewal terms or termination, with a potential loss of up to 15% of net offering proceeds if the license is terminated ³⁸.

Management's message emphasizes the company's evolution from an Original Design Manufacturer into a comprehensive cross-border solution provider for ladies' intimate products, with a focus on diversifying the Group's business through the licensed DIANA brand and the new Jockey brand partnership. The strategic priorities emphasized for the period ahead include: (1) developing licensed brands to capture higher-margin, brand-led revenue, as demonstrated by the five-year trademark license agreement with Jockey International, Inc. granting exclusive rights to source, design, manufacture, market, and sell Jockey-branded products in Indonesia; (2) continuing to develop the DIANA brand and distribution channels, with a renewed focus on fast fashion for younger women and expansion into adjacent categories including sleepwear, baby wear, activewear, and period panties; and (3) developing new customers through digital marketing, utilizing social media platforms, influencer collaborations, and online advertising campaigns. The company aims to attain recognition as a lingerie company and retail brand known for exceptional craftsmanship, innovative designs, inclusivity, and ethical practices.