Nahar Industrial Enterprises Limited (NIEL), promoted by the OSM Group, was established on September 27, 1983, initially as 'Oswal Fats and Oils Limited'. In 1994-95, its name was changed to Nahar Industrial Enterprises Limited. The Company is engaged in the business of Textiles and Sugar. Based in Ludhiana, India, NIEL operates as a vertically-integrated textile manufacturer, covering spinning, weaving, processing, and selling of textiles both domestically and internationally. Its operations span across Textile, Sugar, and Other segments.
NIEL is a significant player in the Indian textile industry, consuming over 4 Lac bales of cotton annually, making it one of the largest buyers of cotton in India.
Nahar Industrial Enterprises Ltd has a market capitalization of approximately ₹580 Crore as of May 2025. The company's recent financial performance shows mixed results. On a consolidated basis, for the quarter ended March 2025, NIEL reported a profit of ₹16.18 Crore on a total income of ₹405.72 Crore. For the fiscal year ended March 2024, the company posted a profit of ₹9.73 Crore on a total income of ₹1,471.76 Crore.
The stock's performance has seen fluctuations. Over the last month, the share price on BSE decreased by 1.56%. However, it increased by 48.47% over the last 3 months, 2.68% over the last 12 months, and 7.56% over the last 3 years. The stock's 52-week high was ₹175.00 and its 52-week low was ₹89.22.
- Q4 FY2024-25 Performance: Net Profit of ₹16.18 Crore, Total Income of ₹405.72 Crore
- FY2023-24 Performance: Net Profit of ₹9.73 Crore, Total Income of ₹1,471.76 Crore
- Market Capitalization: ₹580 Crore (as of May 2025)
- Promoter Holding: 71.24% (as of March 2025)
- PE Ratio: 24.66 (as of May 20, 2025)
- PB Ratio: 1.66 (as of May 20, 2025)
#### Textile Operations
The textile segment is the core of NIEL's business. The company offers a wide range of yarns including cotton, dyed cotton, compact spun, blended, polyester, industrial, open end, TFO, Eli twist, core spun, and vortex yarns. It also manufactures various fabrics, such as piece dyed, yarn dyed, and prints, along with specialty and performance fabrics, and indigo yarn dyed shirting.
NIEL has significantly expanded its manufacturing capabilities. The company commenced commercial production of Unit II processing with a capacity of 50,000 meters per day and a yarn dyeing plant with a capacity of 5 tons per day at Lalru, Punjab. Additionally, it commissioned an 8MW power plant at Amloh, Punjab, and a 12 MW power plant at Lalru, Punjab, supporting its operational efficiency.
#### Sugar Business
In addition to textiles, Nahar Industrial Enterprises Limited produces various types and grades of sugar and allied products. It also operates biomass/multi-fuel cogeneration power plants. The company's sugar unit has a capacity of 2500 TCD (Tonnes of Cane per Day). This diversification into sugar production provides revenue diversification across different agricultural and industrial sectors.
The Board of Directors comprises experienced industrialists, businessmen, financial experts, and professionals, supported by a team of qualified technocrats, engineers, chartered accountants, and business management experts. The Chairman of the company is Jawahar Lal Oswal, and the Managing Director is Kamal Oswal.
The promoter holding in Nahar Industrial Enterprises Ltd remained stable at 71.24% as of March 2025, consistent with June 2024. This stable promoter stake signifies strong management commitment and confidence in the company's long-term growth potential. There is no promoter pledging reported for NIEL.
The company has undergone corporate restructuring, including the amalgamation of Cotton County Retail Limited with Nahar Industrial Enterprises Limited, sanctioned by the National Company Law Tribunal, Chandigarh, effective March 18, 2023.
While the company shows strengths, it also faces certain operational and financial challenges. Nahar Industrial Enterprises Ltd has a low interest coverage ratio. It has delivered a poor sales growth of -4.64% over the past five years. Furthermore, the company has a low return on equity of 8.22% over the last 3 years, indicating potential inefficiencies in generating profits from shareholder equity.
Nahar Industrial Enterprises Limited presents a complex investment profile, with both opportunities and challenges. Its strong position as one of India's largest cotton buyers and its vertically integrated textile operations offer competitive advantages. Diversification into sugar production adds revenue stability and helps balance the textile business cycle.
The stable promoter holding and experienced management team contribute to governance stability. The company's strategic focus on leveraging growth opportunities in domestic and global textile markets positions it for potential expansion. However, investors should carefully consider the recent financial performance challenges, including negative sales growth trends and low returns on equity, before making investment decisions.
