BSE: 500296 | NSE: NAHARSPING | Textile - Spinning | Small Cap
Past 10 year’s financial track record analysis by Moneyworks4me indicates that Nahar Spinning Mills Ltd is a below average quality company.
The key valuation ratios of Nahar Spinning Mills Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.
The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Nahar Spinning Mills Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.
| Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROCE % ⓘ | 5.4% | 7.8% | 6.7% | 0.5% | 9.2% | -0.6% | 6.6% | 32.7% | 7.5% | 0.4% | - |
| Value Creation Index ⓘ | -0.6 | -0.5 | -0.5 | -1.0 | -0.4 | -1.1 | -0.5 | 1.3 | -0.5 | -1.0 | - |
Growth Parameters ⓘGrowth Parameters Colour Code Guide ⓘ | |||||||||||
| Sales ⓘ | 2,150 | 2,029 | 2,132 | 2,133 | 2,305 | 2,083 | 2,112 | 3,594 | 2,797 | 3,050 | 3,170 |
| Sales YoY Gr. | - | -5.6% | 5.1% | 0.1% | 8.1% | -9.7% | 1.4% | 70.2% | -22.2% | 9.1% | - |
| Adj EPS ⓘ | 5.2 | 13.8 | 12.3 | -9 | 17.4 | -13 | 11.1 | 138.3 | 30.7 | -10.1 | -7.3 |
| YoY Gr. | - | 167.6% | -10.8% | -173.5% | NA | -174.7% | NA | 1147.8% | -77.8% | -133% | - |
| BVPS (₹) ⓘ | 210.8 | 224.8 | 237.4 | 227 | 243.2 | 227.1 | 249 | 443.8 | 430.9 | 410.7 | 413.6 |
| Adj Net Profit ⓘ | 18.6 | 49.7 | 44.3 | -32.6 | 62.7 | -46.9 | 40 | 499 | 111 | -36.5 | -26 |
| Cash Flow from Ops. ⓘ | 134 | 163 | 382 | -240 | 250 | 61.2 | -85.3 | 261 | 609 | -395 | - |
| Debt/CF from Ops. ⓘ | 8 | 6.3 | 1.9 | -4.2 | 3.5 | 15.1 | -12.6 | 3.9 | 1.2 | -2.9 | - |
CAGR Colour Code Guide ⓘ
| 9 Years | 5 Years | 3 Years | 1 Years | |||||
|---|---|---|---|---|---|---|---|---|
| Sales ⓘ | 4% | 5.8% | 13% | 9.1% | ||||
| Adj EPS ⓘ | -207.8% | -189.7% | -197% | -133% | ||||
| BVPSⓘ | 7.7% | 11.1% | 18.2% | -4.7% | ||||
| Share Price | 9.6% | 40.3% | -23% | -12.8% | ||||
Performance Ratio Colour Code Guide ⓘ
| Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on Equity % ⓘ | 2.4 | 6.3 | 5.3 | -3.9 | 7.4 | -5.5 | 4.7 | 39.9 | 7 | -2.4 | -1.8 |
| Op. Profit Mgn % ⓘ | 10.2 | 11.2 | 8.8 | 4.4 | 10.2 | 3.5 | 9.4 | 22.6 | 7.8 | 3.4 | 3.6 |
| Net Profit Mgn % ⓘ | 0.9 | 2.5 | 2.1 | -1.5 | 2.7 | -2.3 | 1.9 | 13.9 | 4 | -1.2 | -0.8 |
| Debt to Equity ⓘ | 1.4 | 1.3 | 0.9 | 1.2 | 1 | 1.1 | 1.2 | 0.6 | 0.5 | 0.8 | 0.1 |
| Working Cap Days ⓘ | 194 | 202 | 182 | 195 | 196 | 204 | 222 | 176 | 224 | 193 | 85 |
| Cash Conv. Cycle ⓘ | 159 | 169 | 146 | 150 | 151 | 157 | 165 | 130 | 167 | 151 | 34 |
Sales growth is growing at healthy rate in last 3 years 13.03%
Debt to equity has declined versus last 3 years average to 0.78
Sales growth is good in last 4 quarters at 16.40%
Return on Equity is Poor
| Standalone | Consolidated | |
|---|---|---|
| TTM EPS (₹) | -7.3 | - |
| TTM Sales (₹ Cr.) | 3,170 | - |
| BVPS (₹.) ⓘ | 413.6 | - |
| Reserves (₹ Cr.) ⓘ | 1,474 | - |
| P/BV ⓘ | 0.58 | - |
| PE ⓘ | 0.00 | - |
| From the Market | |
|---|---|
| 52 Week Low / High (₹) | 230.00 / 383.40 |
| All Time Low / High (₹) | 19.20 / 1000.00 |
| Market Cap (₹ Cr.) | 872 |
| Equity (₹ Cr.) | 18 |
| Face Value (₹) | 5 |
| Industry PE ⓘ | 26.9 |
| Pledged * | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 2,150 | 2,029 | 2,132 | 2,133 | 2,305 | 2,083 | 2,112 | 3,594 | 2,797 | 3,050 |
| Operating Expenses ⓘ | 1,930 | 1,803 | 1,944 | 2,040 | 2,070 | 2,019 | 1,914 | 2,783 | 2,581 | 2,962 |
| Manufacturing Costs | 389 | 395 | 398 | 383 | 385 | 354 | 337 | 423 | 357 | 436 |
| Material Costs | 1,276 | 1,134 | 1,277 | 1,376 | 1,394 | 1,358 | 1,308 | 1,936 | 1,866 | 2,109 |
| Employee Cost | 176 | 197 | 197 | 204 | 220 | 230 | 190 | 268 | 255 | 292 |
| Other Costs ⓘ | 89 | 77 | 72 | 76 | 71 | 77 | 79 | 157 | 103 | 125 |
| Operating Profit ⓘ | 220 | 226 | 188 | 94 | 236 | 64 | 198 | 811 | 216 | 88 |
| Operating Profit Margin (%) | 10.2% | 11.1% | 8.8% | 4.4% | 10.2% | 3.1% | 9.4% | 22.6% | 7.7% | 2.9% |
| Other Income ⓘ | 11 | 18 | 22 | 9 | 13 | 7 | 7 | 15 | 44 | 16 |
| Interest ⓘ | 86 | 63 | 47 | 55 | 60 | 67 | 69 | 75 | 33 | 70 |
| Depreciation ⓘ | 131 | 101 | 96 | 94 | 84 | 82 | 82 | 75 | 73 | 88 |
| Exceptional Items ⓘ | 0 | -1 | 0 | 0 | -1 | -1 | 0 | -1 | -4 | -6 |
| Profit Before Tax ⓘ | 15 | 79 | 68 | -46 | 104 | -78 | 54 | 675 | 150 | -61 |
| Tax ⓘ | -6 | 28 | 22 | -14 | 39 | -25 | 12 | 173 | 40 | -10 |
| Profit After Tax | 20 | 51 | 46 | -32 | 65 | -53 | 41 | 502 | 111 | -51 |
| PAT Margin (%) | 0.9% | 2.5% | 2.2% | -1.5% | 2.8% | -2.5% | 2.0% | 14.0% | 4.0% | -1.7% |
| Adjusted EPS (₹) | 5.7 | 14.1 | 12.8 | -8.9 | 18.1 | -14.7 | 11.5 | 139.2 | 30.7 | -14.2 |
| Dividend Payout Ratio (%) | 18% | 11% | 12% | -6% | 6% | 0% | 13% | 3% | 5% | -7% |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
Equity and Liabilities | ||||||||||
| Shareholders Fund | 760 | 811 | 856 | 819 | 877 | 819 | 898 | 1,601 | 1,554 | 1,481 |
| Share Capital ⓘ | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 |
| Reserves ⓘ | 742 | 793 | 838 | 800 | 859 | 801 | 880 | 1,583 | 1,536 | 1,463 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Debt | 969 | 916 | 625 | 886 | 821 | 897 | 1,048 | 978 | 671 | 1,084 |
| Long Term Debt | 346 | 273 | 169 | 73 | 60 | 169 | 191 | 158 | 218 | 218 |
| Short Term Debt | 623 | 643 | 456 | 813 | 760 | 729 | 857 | 821 | 453 | 866 |
| Trade Payables | 31 | 35 | 48 | 67 | 28 | 28 | 32 | 19 | 99 | 27 |
| Others Liabilities ⓘ | 242 | 238 | 280 | 268 | 239 | 194 | 257 | 523 | 228 | 297 |
| Total Liabilities ⓘ | 2,003 | 2,000 | 1,810 | 2,040 | 1,965 | 1,938 | 2,235 | 3,121 | 2,552 | 2,889 |
Fixed Assets | ||||||||||
| Gross Block | 2,037 | 913 | 956 | 989 | 1,110 | 1,200 | 1,249 | 1,352 | 1,502 | 1,671 |
| Accumulated Depreciation | 1,170 | 101 | 196 | 289 | 371 | 452 | 533 | 607 | 672 | 759 |
| Net Fixed Assetsⓘ | 867 | 813 | 761 | 700 | 739 | 748 | 716 | 745 | 831 | 911 |
| CWIP ⓘ | 20 | 1 | 3 | 6 | 13 | 7 | 28 | 21 | 101 | 3 |
| Investmentsⓘ | 9 | 27 | 37 | 34 | 30 | 30 | 69 | 306 | 163 | 134 |
| Inventories | 569 | 635 | 489 | 735 | 625 | 650 | 740 | 1,049 | 793 | 1,120 |
| Trade Receivables | 385 | 363 | 304 | 345 | 307 | 272 | 309 | 523 | 315 | 428 |
| Cash Equivalents | 9 | 13 | 27 | 3 | 2 | 5 | 2 | 4 | 53 | 2 |
| Others Assetsⓘ | 143 | 147 | 190 | 217 | 248 | 227 | 370 | 474 | 296 | 291 |
| Total Assets ⓘ | 2,003 | 2,000 | 1,810 | 2,040 | 1,965 | 1,938 | 2,235 | 3,121 | 2,552 | 2,889 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash Flow From Operating Activity ⓘ | 134 | 163 | 382 | -240 | 250 | 61 | -85 | 261 | 609 | -395 |
| PBT ⓘ | 15 | 79 | 68 | -46 | 104 | -78 | 54 | 675 | 150 | -61 |
| Adjustment ⓘ | 204 | 152 | 132 | 140 | 131 | 140 | 144 | 136 | 87 | 162 |
| Changes in Working Capital ⓘ | -39 | -16 | 225 | -300 | 90 | 49 | -221 | -342 | 418 | -446 |
| Tax Paid ⓘ | -4 | -29 | -25 | 0 | -31 | 0 | -10 | -167 | -29 | -6 |
| Cash Flow From Investing Activity ⓘ | -89 | -58 | -61 | -19 | -128 | -78 | -53 | -161 | -257 | -49 |
| Capex | -125 | -53 | -42 | -32 | -121 | -89 | -49 | -99 | -156 | -184 |
| Net Investments | 10 | -8 | -3 | 3 | 0 | -6 | 2 | -8 | -35 | 10 |
| Others ⓘ | 26 | 3 | -17 | 10 | -8 | 17 | -7 | -54 | -66 | 124 |
| Cash Flow From Financing Activityⓘ | -44 | -121 | -120 | -122 | -123 | 20 | 136 | -99 | -303 | 393 |
| Net Proceeds from Shares ⓘ | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Proceeds from Borrowing ⓘ | -1 | -82 | -90 | -99 | -57 | 69 | 22 | -25 | 85 | 8 |
| Interest Paid ⓘ | -38 | -34 | -24 | -17 | -11 | 20 | -14 | -27 | -13 | -23 |
| Dividend Paid ⓘ | -4 | -4 | -5 | -5 | -2 | -4 | 0 | -11 | -7 | -5 |
| Others ⓘ | -1 | -1 | -1 | -1 | -53 | -65 | 128 | -36 | -368 | 413 |
| Net Cash Flow ⓘ | 1 | -17 | 201 | -382 | -1 | 3 | -3 | 2 | 49 | -51 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Ratios | ||||||||||
| ROE (%) | 2.67 | 6.48 | 5.52 | -3.84 | 7.68 | -6.26 | 4.82 | 40.2 | 7.02 | -3.37 |
| ROCE (%) | 5.36 | 7.75 | 6.68 | 0.5 | 9.17 | -0.63 | 6.62 | 32.69 | 7.5 | 0.36 |
| Asset Turnover Ratio | 1.03 | 1.01 | 1.12 | 1.11 | 1.15 | 1.07 | 1.01 | 1.34 | 0.99 | 1.12 |
| PAT to CFO Conversion(x) | 6.7 | 3.2 | 8.3 | N/A | 3.85 | N/A | -2.07 | 0.52 | 5.49 | N/A | Working Capital Days |
| Receivable Days | 68 | 67 | 57 | 56 | 52 | 51 | 50 | 42 | 55 | 44 |
| Inventory Days | 99 | 108 | 96 | 105 | 108 | 112 | 120 | 91 | 120 | 114 |
| Payable Days | 12 | 11 | 12 | 15 | 12 | 8 | 8 | 5 | 12 | 11 |
Starting out as a tiny worsted spinning & hosiery unit in Ludhiana, Nahar Spinning Mills was incorporated as private limited company in December 1980 & became a public limited company in 1983. The steady growth in manufacture & export of woolen/cotton hosiery, knitwears & woolen textiles enabled the company to earn the recognition as an “Export House†followed by a “Recognized Trading House†by the Government of India in a short span of 8 years.
The company is the part of Nahar Group of Companies. The group was established in 1949 with the incorporation of oswal woollen mills limited. From there it had surged ahead to establish itself as a reputed industrial conglomerate with a wide ranging portfolio from wool combing, spinning, knitting, fabric, hosiery garments etc. other group companies are Nahar Industrial Enterprises Limited, Nahar Investments and Holdings Limited, Nahar Capital and Financial Services Limited.
Spinning a web of pure enchantment seems to be the aim and objective of Nahar Spinning, reckoned to be the blue-chip in the Nahar firmament.In 1992, as a measure of backward integration, the company diversified into the Spinning Industry. Today it has an installed spindlage of 335000 spindles.
Simultaneously the company also established an ultra modern facility to manufacture 12.5 Million pieces of Hosiery Garments. Today Nahar Spinning’s T-shirts are being exported to reputed international brands such as GAP, Arrow, Old Navy, Pierre Cardin, Philips Van Heusen, Izod, Quicksilver, Price Costco…
As a measure of further value addition Nahan Spining has put up a plant for the manufacture of fine count mercerized yarn & fabrics catering to both, the domestic hosiery garment market as well as export markets.
To make use of the emerging opportunities on the Global Textile Scenario and also to have a focused business approach, the company went in for the Scheme of demerger and arrangement to restructure its businesses. The Scheme has already been approved by the Hob’ble Punjab & Haryana High Court vide its Order dt. 21st December, 2006. As per the scheme, company’s Investment Activities stand demerged and transferred to Nahar Capital and Financial Services Limited. This has drawn a visible line between two segment i.e., One Industrial (Textile) business and Secondly Investment and Financial Activities.
Further as per the scheme “Textiles Business†of Nahar Exports Limited stand demerged and transferred to the company (post demerger of investment business) in accordance with the terms of the scheme. Thus upon implementation of the Scheme the spindlage capacity of the company stand increased to 3.35 Lacs spindles.Keeping in view the emerging opportunities arising out of the quota free global trade w.e.f. 1st January 2005, the Management decided to invest Rs 112.45 crore in the capacity expansion. The company shall be putting up an Ultra Modern Spinning and Knitting cum Dyeing Plant with a capacity of 25000 spindles at village Lalru, Patiala. The expansion is financed by way of term loan of Rs 80 crore from the Financial Institutions under Tuff scheme and balance from the internal accounts of the company. The management is quite optimistic that enhanced capacity will enable the company to improve its financial performance in the coming years.
Business area of the company includes:
Different divisions of the company
Milestones and achievements of the company
MoneyWorks4Me rating and ranking of funds for SIP is available to subscribers only. Moneyworks4Me is not a rating and ranking agency, however it is required that users have a way of selecting funds and building a Portfolio. The method used by it are described below to enable users to understand the logic behind the rating and ranking Subscriber will find more details on this in the various content made available from time to time. In case you need more please write to besafe@moneyworks4Me.com
MoneyWorks4Me rates and ranks mutual funds based on the following data-driven system:
Funds ranking in screeners: Performance Consistency and Quality are two parameters used for ranking funds for SIP. The ranking as follows GG, GO, GR, OG, OO, OR, RG, RO and RR.
With the same color-coded funds, the one with the higher Average 3-year rolling returns (over 5 to 10 years), the number that appears in the Performance tag, ranks higher.
Here is the summary:
The third tag Upside Potential is not relevant for SIP. It is relevant for lumpsum investments in Mutual Funds.
Make an informed decision for Stocks
Invest using an intelligent system with powerful data-driven tools that help you identify opportunities and make informed buy-hold-sell decisions
Buy quality Stocks when they are available at reasonable prices and supported by an upward price trend and Sell when they are Overvalued using the Decizen Rating System. Covers 3500+ stocks
Claim your FREE 15-day access to the most practical investing handbook.
Hurry, limited to the first 10 users today!
FREE Become a savvy and confident
stock investor.
Hurry, limited to the first 10 users today!
Download APP
