Textiles & Apparels
Valuation | |
|---|---|
| Market Cap | 1.78 kCr |
| Price/Earnings (Trailing) | 10.67 |
| Price/Sales (Trailing) | 0.55 |
| EV/EBITDA | 5.96 |
| Price/Free Cashflow | 6.39 |
| MarketCap/EBT | 7.92 |
| Enterprise Value | 2.7 kCr |
Fundamentals | |
|---|---|
Growth & Returns | |
|---|---|
| Price Change 1W | 0.00% |
| Price Change 1M | -0.20% |
| Price Change 6M | -18.9% |
| Price Change 1Y | -19.6% |
| 3Y Cumulative Return | 12% |
| 5Y Cumulative Return | 30.9% |
| 7Y Cumulative Return | 20.3% |
| 10Y Cumulative Return | 16.3% |
| Revenue (TTM) |
| 3.24 kCr |
| Rev. Growth (Yr) | -7.6% |
| Earnings (TTM) | 166.92 Cr |
| Earnings Growth (Yr) | -17.5% |
Profitability | |
|---|---|
| Operating Margin | 7% |
| EBT Margin | 7% |
| Return on Equity | 12.19% |
| Return on Assets | 6.58% |
| Free Cashflow Yield | 15.65% |
Cash Flow & Liquidity |
|---|
| Cash Flow from Investing (TTM) | -21.58 Cr |
| Cash Flow from Operations (TTM) | 307.43 Cr |
| Cash Flow from Financing (TTM) | -278.83 Cr |
| Cash & Equivalents | 3 L |
| Free Cash Flow (TTM) | 291.2 Cr |
| Free Cash Flow/Share (TTM) | 51.8 |
Balance Sheet | |
|---|---|
| Total Assets | 2.54 kCr |
| Total Liabilities | 1.17 kCr |
| Shareholder Equity | 1.37 kCr |
| Current Assets | 919.48 Cr |
| Current Liabilities | 491.65 Cr |
| Net PPE | 1.51 kCr |
| Inventory | 436.03 Cr |
| Goodwill | 0.00 |
Capital Structure & Leverage | |
|---|---|
| Debt Ratio | 0.36 |
| Debt/Equity | 0.67 |
| Interest Coverage | 1.84 |
| Interest/Cashflow Ops | 4.63 |
Dividend & Shareholder Returns | |
|---|---|
| Dividend/Share (TTM) | 3 |
| Dividend Yield | 0.95% |
| Shares Dilution (1Y) | 0.00% |
| Shares Dilution (3Y) | 0.00% |
Balance Sheet: Strong Balance Sheet.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Technicals: Bullish SharesGuru indicator.
Smart Money: Smart money is losing interest in the stock.
Insider Trading: Significant insider selling noticed recently.
Balance Sheet: Strong Balance Sheet.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Technicals: Bullish SharesGuru indicator.
Smart Money: Smart money is losing interest in the stock.
Insider Trading: Significant insider selling noticed recently.
Investor Care | |
|---|---|
| Dividend Yield | 0.95% |
| Dividend/Share (TTM) | 3 |
| Shares Dilution (1Y) | 0.00% |
| Earnings/Share (TTM) | 29.69 |
Financial Health | |
|---|---|
| Current Ratio | 1.87 |
| Debt/Equity | 0.67 |
Technical Indicators | |
|---|---|
| RSI (14d) | 43.12 |
| RSI (5d) | 49.43 |
| RSI (21d) | 52.9 |
| MACD Signal | Sell |
| Stochastic Oscillator Signal | Hold |
| SharesGuru Signal | Buy |
| RSI Signal | Hold |
| RSI5 Signal | Hold |
| RSI21 Signal | Hold |
| SMA 5 Signal | Buy |
| SMA 10 Signal |
Summary of Nitin Spinners's latest earnings call, featuring management's outlook on business performance, financial results, and analyst Q&A sessions that highlight key strategic initiatives and market challenges.
Management's outlook for Nitin Spinners Ltd. is cautiously optimistic, despite current challenges in the textile industry driven by global uncertainties such as U.S. tariffs. They anticipate an improvement in industry conditions in the second half of FY26, supported by the Indian government's removal of the import duty on cotton until December 31, 2025. This policy, along with potential resolutions concerning U.S.-India trade agreements, is expected to stimulate demand recovery.
Key forward-looking points include:
Revenue Expectations: Management expects the second half of FY26 to demonstrate resilience, with projected revenue improvement as they anticipate a normalization in margins due to lower cotton costs influenced by the import duty removal.
Capacity Expansion: The company has outlined a capital expenditure plan of approximately INR 1,100 crores to increase spinning capacity by 25% and fabric division capacity by over 50%. This expansion is expected to contribute an incremental revenue of INR 1,000 crores, with around INR 400 crores expected in FY27.
Operational Utilization: Current utilization rates show spinning capacity utilization at over 95% and woven fabric capacity at nearly 90%.
Cost Optimizations: The utilization of renewable energy sources for approximately 18 megawatts is aimed at reducing power costs by about 5%, which will enhance overall operational efficiency.
Market Diversification: Management emphasizes ongoing efforts to expand into lower tariff regions and solidify export presence across more than 50 countries, mitigating risks associated with reliance on the U.S. market.
In summary, while the company navigates current headwinds, they are positioned for future growth through capacity expansion and marketplace diversification, aiming for enhanced revenue and profitability.
Understand Nitin Spinners ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
| Shareholder Name | Holding % |
|---|---|
| REDIAL TRADING AND INVESTMENT PRIVATE LIMITED | 32.18% |
| SUSHILA DEVI NOLKHA | 13.87% |
| BANDHAN SMALL CAP FUND | 6.3% |
| QUANT MUTUAL FUND QUNAT SMALL CAP FUND | 4.86% |
| NITIN NOLAKHA | 3.29% |
| MAHINDRA MANULIFE MULTI CAP FUND | 3.17% |
| RATAN LAL NOLKHA HUF | 2.96% |
Detailed comparison of Nitin Spinners against industry peers, highlighting key financial metrics, valuation ratios, and performance indicators to provide competitive context within the sector.
Ticker | Name | Mkt Cap | Revenue | Price %, 1M | Returns, 1Y | P/E | P/S | Rev 1-Yr | Inc 1-Yr |
|---|---|---|---|---|---|---|---|---|---|
| KPRMILL | K.P.R. Mill | 28.3 kCr | 6.78 kCr | -15.00% | -13.90% | 33.79 | 4.17 | - | - |
| TRIDENT | Trident | 12.98 kCr | 7.1 kCr |
Comprehensive comparison against sector averages
NITINSPIN metrics compared to Textiles
| Category | NITINSPIN | Textiles |
|---|---|---|
| PE | 10.67 | -0.02 |
| PS | 0.55 | 0.18 |
| Growth | 1.8 % | 458.6 % |
Nitin Spinners Limited manufactures and sells cotton and blended yarns, and knitted and woven fabrics in India and internationally. The company offers yarns, including cotton ring spun carded, cotton ring spun, cotton compact ring spun combed, cotton compact ring spun carded, poly/cotton blended ring spun, multifold ring spun, fancy and core slub, compact fancy slub, compact core spun, S and Z twist, organic, BCI/TBC certified, supima and giza certified, contamination free, zero and eli twist, poly/cotton blended open end yarns, and yarns made out of recycled fibers. It also provides knitted fabrics, such as single jersey, lycra blended fabrics, pique structures, interlock structures, rib structures, and 3 T fleece fabrics; and finished and printed fabrics. The company products are used for in woven and knitted apparel, furnishing fabrics, denims, terry towel, medical fabrics, tea bags, uniform, heath care apparel, hotel apparel, as well as inner, comfort, sports, baby, winter, fashion and image, industrial and protective, and defence wear applications. The company was incorporated in 1992 and is headquartered in Bhilwara, India.
This is an informational page just to provide a quick 'first look' at the stock. You must do your own deeper research. Know your risk appetite. Consult a SEBI-registered financial advisor before making any investment decisions.
| Buy |
| SMA 20 Signal | Sell |
| SMA 50 Signal | Sell |
| SMA 100 Signal | Sell |
NITINSPIN vs Textiles (2021 - 2026)
Question: Just wanted to understand when you expect to see a normalization in spinning spreads? And what are the key drivers you expect to help achieve that?
Answer: Normalization of cotton spreads depends on several geopolitical factors. We expect margins to stabilize within the next 3 to 6 months as uncertainties dissipate. The prolonged compression warrants our anticipation of returns to normal levels in the coming quarters.
Question: Given it's been a reasonably long downturn in spinning, have we seen smaller capacities closing down?
Answer: Yes, over 10 million spindles have ceased operations in the last 2-3 years, amounting to around 18-20% of the total installed capacity, primarily affecting smaller-sized mills.
Question: Are fabric margins also impacted similar to yarn?
Answer: Fabric margins are normal as yarn prices have declined. The overall margin between yarn and fabric remains stable despite decreases in yarn prices.
Question: With the duty waiver until December, are you stocking up on inventory?
Answer: We do not expect the duty to be extended beyond December. Currently, Indian cotton prices are comparable to imported cotton, thus there's no need for additional stocking.
Question: Could you explain how the falling prices will affect margins if yarn prices are stable?
Answer: Falling cotton prices have affected margins more than yarn prices. So, any margin restoration will likely only happen if cotton prices stabilize or improve going forward.
Question: You mentioned government allowing cotton imports duty-free until December; do we expect any changes?
Answer: As of now, there is no indication the duty waiver will be extended; any review will occur in the upcoming budget.
Question: What would be the expected impact on revenue from your ongoing capex plan?
Answer: We anticipate approximately INR1,000 crores in additional revenue once the expansion is complete, partially contributing around INR400 crores in the next fiscal year as we ramp up capacity.
Question: You mentioned the debt levels; will they increase or decrease?
Answer: Our debt levels are currently one of the lowest. We aim to maintain a debt-to-equity ratio below 1:1 and intend to manage our leverage prudently.
Question: Are we concerned about manpower availability due to automation and labor market issues?
Answer: We've been automating for five years, which has helped mitigate such concerns. There hasn't been a challenge with manpower availability recently despite market growth slowdowns.
Question: What return do you target from this significant capex expansion?
Answer: We generally target an IRR of at least 15% on capital expenditures, aligning with historical performance while remaining competitive in the market.
This summary reflects the key questions and responses, maintaining their integrity while adhering to your character limit request.
| DINESH NOLKHA | 2.12% |
| DINESH NOLKHA HUF | 0.64% |
| KRISHNA NOLKHA | 0.48% |
| PRATYUSH NOLAKHA | 0.46% |
| NITIN NOLAKHA HUF | 0.36% |
| RANJEETA NOLAKHA | 0.34% |
| PRASHAM NOLAKHA | 0% |
| ANANYA NOLKHA | 0% |
Distribution across major stakeholders
Distribution across major institutional holders
| -7.80% |
| -19.00% |
| 29.96 |
| 1.83 |
| - |
| - |
| SUTLEJTEX | SUTLEJ TEXTILES & INDUSTRIES | 468.88 Cr | 2.6 kCr | -11.40% | -50.90% | -5.19 | 0.18 | - | - |
| 740 |
| 779 |
| 780 |
| 766 |
| 747 |
| Profit Before exceptional items and Tax | -14.8% | 47 | 55 | 63 | 60 | 57 | 57 |
| Total profit before tax | -14.8% | 47 | 55 | 63 | 60 | 57 | 57 |
| Current tax | -15.4% | 12 | 14 | 15 | 13 | 13 | 13 |
| Deferred tax | 16.7% | 0.15 | -0.02 | 1.75 | 1.88 | 2.09 | 1.82 |
| Total tax | -15.4% | 12 | 14 | 17 | 15 | 15 | 15 |
| Total profit (loss) for period | -15% | 35 | 41 | 46 | 45 | 42 | 42 |
| Other comp. income net of taxes | 89.6% | 0.73 | -1.6 | 3.27 | -0.88 | 0.41 | 0.7 |
| Total Comprehensive Income | -7.9% | 36 | 39 | 50 | 44 | 43 | 43 |
| Earnings Per Share, Basic | -17.5% | 6.19 | 7.29 | 8.25 | 7.96 | 7.5 | 7.49 |
| Earnings Per Share, Diluted | -17.5% | 6.19 | 7.29 | 8.25 | 7.96 | 7.5 | 7.49 |