Nandan Denim Limited, incorporated in 1994, is one of India's leading manufacturers of denim, shirting materials, yarn, and various types of fabrics. The company is part of the Ahmedabad-based Chiripal Group and has established itself as a significant player in the textile industry over nearly three decades of operations. Nandan Denim Limited is India's largest and the world's fourth largest integrated denim fabric maker. NDL operates with a full vertical setup for making a whole range of denim fabrics and produces 110 Million Meters Per Annum (MMPA), making it the largest denim manufacturer in Asia and the 3rd largest in the world. NDL's denim fabric manufacturing capacity has increased to 110 mmpa (million metres per annum) – the highest in India.
The company is an ISO 17050-1, OEKO-TEX certified manufacturer and distributor of denim fabric, yarn/dyed yarn, cotton fabric, and shirting fabric to consumers in different parts of the globe. The company is engaged in the manufacturing and sale of fabrics, including Denim, Yarn, and Shirting.
- Denim Portfolio: Knit Denim, Basic Denim, Light weight shirting, Poly Dobby, and Cotton Dobby.
- Fabric Range: Denim, twills, stretch, bull denim, broken twills.
- Principal Products: Cotton grey fabric/blended fabrics, cotton yarn, denim fabrics, and ready-made garments.
- Shirting Fabrics: Plain, twill, dobby, chambray, fila fil, herringbone, basket weave, and pin-point oxford.
- Shirting Product Range: Indigo dyed checks; Indigo with sulphur; Melange, grindle, space dyed, slubs, and injection types of yarns, and Seasonal collection.
Nandan Denim utilizes an in-house 15 MW Power Plant for captive consumption of energy and is equipped with state-of-the-art weaving facilities, boasting a capacity of 10 MMPA. The company also manufactures cotton yarn and has a spinning project with a capacity of 14.4 million kgs. NDL promotes the reuse and recycling of water by establishing an Effluent Treatment Plant and Reverse Osmosis Plant, demonstrating its commitment to sustainable manufacturing practices.
NDL has successfully developed a healthy client base in the domestic market, including established apparel companies such as Spyker, Mufti, Gini & Jony, and Color Plus, and textile products manufacturers such as Tirupati Denim and Vardhaman Textiles. The top 10 clients account for approximately 39% of revenues, indicating moderate concentration risk.
According to the management, the company supplies to major global brands such as Ralph Lauren, Armani Exchange, Talbots, Calvin Klein, Tommy Hilfiger, Target, Ann Taylor, Carrefour, and Polo. In the export market, NDL has developed relationships with some international players, which needs to be further strengthened.
Nandan Denim Limited has shown significant revenue growth in recent years, though profitability faced challenges in the latest reported periods. The company's market share has increased, indicating its ability to gain traction in a competitive industry.
#### Latest Financial Results (FY 2025)
- Annual Revenue (FY 2025): ₹3,546.68 Cr (76.44% increase from FY 2024)
- Annual Net Profit (FY 2025): ₹33.48 Cr (25.50% decline from FY 2024)
- Q4 FY25 Revenue: ₹1,048.65 Cr (81.08% increase from Q4 FY24)
- Q4 FY25 Net Profit: ₹10.63 Cr (60.79% decline from Q4 FY24)
#### Key Financial Metrics
- Annual Revenue (FY 2025): ₹3,546.68 Cr
- Annual Net Profit (FY 2025): ₹33.48 Cr
- Q4 FY25 Revenue: ₹1,048.65 Cr
- Q4 FY25 Net Profit: ₹10.63 Cr
- Market Capitalization: ₹563.62 Cr (as of July 9, 2025)
- Promoter Holding: 51.01% (as of March 2025)
- 52-Week High: ₹7.35
- 52-Week Low: ₹3.05
- P/E Ratio: 16.83
- P/B Ratio: 0.96
- Return on Equity (3-Year Avg): 4.51%
The company plans to cater to the growing local and global demand with its expanded capacity. Nandan Denim focuses primarily on the low-to-mid end of denim fabrics where realisations range from ₹115-130/metre (domestic market). Premium products fetch realisations ranging from ₹160-250/metre, which will help to reduce market competition.
Over the last 5 years, revenue has grown at a yearly rate of 18.08%, compared to the industry average of 7.07%. Market share increased from 1.24% to 1.98% over the last 5 years, indicating the company's ability to gain market share in a competitive industry.
- Financial Results Clarification: The company submitted clarification on audited financial results for the quarter and year ended March 31, 2025, on May 23, 2025.
- Equity Share Face Value Correction: Made a correction of equity share face value from ₹10 to ₹1 in audited financial results for FY2025 on May 26, 2025.
- Income Tax Demand: An income tax order demands ₹21.07 Cr for the assessment year 2019-20. The company plans to appeal this order, with no material impact expected.
Despite challenges with profitability margins, Nandan Denim Limited remains positioned as a major player in India's textile industry with significant manufacturing capacity and a diverse customer base spanning both domestic and international markets.
