Raj Rayon Industries Ltd was initially incorporated on August 17, 1993, as Raj Rayon Ltd, later changing its name to Raj Rayon Industries Ltd on August 18, 2010. Based in Silvassa, India, the company operates as a specialized manufacturer within the textile industry.
The company's core business revolves around the manufacturing of polyester texturized yarn, which is a crucial component in weaving various fabrics used for suits, shirts, dress materials, sarees, hosiery, knitted fabric, zipper fasteners, curtains, and industrial cloth, as well as fancy yarns. Raj Rayon Industries Ltd is a part of the SVG group, based out of Mumbai, Maharashtra, India, and is engaged in the production of polyester chips, Partially Oriented Yarn (POY), and Drawn Textured Yarn (DTY).
Raj Rayon Industries Ltd operates across multiple segments within the textile value chain, specializing in the production of high-quality man-made fibers. The company manufactures and trades polyester chips, polyester yarn, and processed yarn.
Its product portfolio includes:
- Polyester Chips
- Partially Oriented Yarn (POY)
- Drawn Textured Yarn (DTY) in various forms such as trilobal, cationic, cotluk, colored, fire retardant, anti-microbial, and octa-lobal yarns.
- The company also offers full dull, semi dull, doped dyed, micro filaments, non-intermingle, low/slight intermingle, and high intermingle yarns.
These products find applications across diverse industries, including apparel manufacturing, home textiles, and various industrial uses. The company's key product categories include polyester filament yarns, polyester staple fibers, and cotton yarns. Popular brands associated with the company include Raj Rayon, Rajtex, and Rajflex.
Raj Rayon Industries Limited boasts an extensive international footprint, exporting its products to numerous countries including Brazil, Chile, Colombia, Egypt, Guatemala, Iran, Mexico, Morocco, Peru, Poland, Spain, Syria, Thailand, and Vietnam. This global reach underscores the company's competitive positioning in the international polyester yarn market and its capability to cater to diverse customer requirements across different regions.
The company has demonstrated a strong recovery and growth trajectory in its financial performance.
For the full financial year ended March 2025, Raj Rayon Industries Ltd reported a significant increase in profitability:
- Net Profit: Rose 241.83% to ₹13.81 crore, compared to ₹4.04 crore in the previous year (FY2023-24).
- Sales: Increased by 13.98% to ₹849.38 crore, up from ₹745.17 crore in FY2023-24.
For the quarter ended March 2025 (Q4 FY2024-25):
- Net Profit: Reported at ₹13.44 crore, a substantial turnaround from a net loss of ₹2.14 crore in the same period of the previous year (Q4 FY2023-24).
- Sales: Declined by 5.17% to ₹205.85 crore, compared to ₹217.08 crore in Q4 FY2023-24.
The company showed a remarkable profitability recovery, with net profit jumping 728.04% in Q4 FY2024-25 compared to the last year's same period. This turnaround indicates improved operational efficiency and favorable market conditions.
- Revenue (FY2024-25): ₹849 crore
- Net Profit (FY2024-25): ₹13.8 crore
- Q4 FY2024-25 Revenue: ₹205.85 crore
- Q4 FY2024-25 Net Profit: ₹13.44 crore
- Earnings Per Share (Q4 FY2024-25): ₹0.24
- Market Capitalization: ₹1,634 crore (as of recent trading sessions)
- P/E Ratio (RAJRILTD): 113.59
- P/B Ratio (RAJRILTD): 14.49
- Promoter Holding: 94.13% (as of Mar 2025)
As of recent trading sessions, Raj Rayon Industries Ltd has a market capitalization of ₹1,634 crore. The stock is currently trading at 13.3 times its book value.
The company's shares have demonstrated strong performance, with the share price increasing by 92.60% on BSE over the last three years. The 52-week high share price for Raj Rayon Industries Ltd is ₹29.38, and its 52-week low is ₹18.44. The high promoter holding indicates strong management confidence and commitment to the company's growth trajectory.
The company's leadership includes Mr. Rajkumar Satyanarayan Agarwal as the Chairperson, and Mr. Chintan Dharod serving as the Company Secretary & Compliance Officer. The Board of Directors comprises Sandiip Satyanarayan Agarwwal, Chintan Mukesh Dharod, Rajkumar Satyanarayan Agarwal, Sapna Rajkumar Agarwal, Vinodkumar Bajranglal Dalmia, Kailashnath Jeevan Koppikar, and Supriya Mahesh Pujari.
Raj Rayon Industries Ltd is actively focusing on strategic initiatives for growth and operational improvement. The Q4 FY2024-25 presentation detailed capacity expansions, capital expenditure plans, and broader growth strategies. The company has approved its audited FY2024-25 results with a modified audit opinion and has appointed a new secretarial auditor. Additionally, borrowings have increased to ₹194.46 crore, likely to support its expansion plans.
The company appears to be in a recovery phase, effectively addressing previous operational challenges. Management is committed to enhancing production efficiency and exploring new market opportunities. The robust financial performance in FY2024-25 and consistent profitability growth reflect the effectiveness of the company's strategic initiatives and operational improvements, positioning it for continued growth in the polyester yarn segment.
