Sangam (India) Limited is a significant player in India's textile manufacturing sector, engaged in the business of manufacturing and selling Synthetic Blended, Cotton & Texturised yarn, Fabrics, Denim Fabrics, and readymade seamless garments. Incorporated in 1984, the company has its registered office in Atun Sangam House, Chittorgarh Road, Bhilwara, Rajasthan, 311001.
The company stands as one of the largest manufacturers of PV Dyed Yarn and Denim Fabric, holding a market leader position in PV Yarn, PV Fabric, and Denim Fabric.
Sangam (India) Ltd operates through multiple divisions encompassing the entire textile value chain, including Yarn, Fabric, Garment, and Denim.
The company's product portfolio is particularly strong in denim manufacturing. Its denim fabric range includes basic, twills, broken, satins, denim shirting, fancy dobby, and regular dobby in stretch and non-stretch categories, available in poly and cotton versions. Its fabric products also include PV fabrics and processed fabrics.
The garment division offers a diverse range including air wear, active wear, leisure wear, intimate wear, shape wear, and casual wear. The company's flagship brands include Sangam Suiting and Sangam Denim.
Sangam India has established a robust manufacturing base across Rajasthan, strategically located in a major textile hub. Its manufacturing facilities are situated at Atun, Biliya Kalan, and Sareri in Bhilwara district, and Soniyana in Chittorgarh district, providing operational efficiencies and access to a skilled workforce.
Sangam (India) Ltd currently has a market capitalization of ₹2,369 crore, having shown a 14.4% increase in the last year. The company's stock trades under the symbol SANGAMIND on NSE and BSE.
For the full financial year, the company recorded:
- Revenue: ₹2,843 Crore
- Net Profit: ₹27.5 Crore
The company's latest quarterly performance shows mixed results:
- Revenue: Jumped 20.32% year-on-year to ₹750.80 Crore. On a quarterly growth basis, revenue increased by 10.89% from the previous quarter.
- Net Profit: Fell -35.7% year-on-year to ₹2.45 Crore. On a quarterly growth basis, net profits decreased by -55.86% from the previous quarter.
- Market Capitalization: ₹2,369 Crore (as of current valuations)
- PE Ratio: 59.22
- PB Ratio: 2.13
- Return on Equity: 8.09% (over last 3 years)
- Dividend Yield: 0.53%
- 52-week High Stock Price: ₹498.40
- 52-week Low Stock Price: ₹293.15
- Promoter Holding: 70.16% (as of Mar 2025, increased from Jun 2024)
Mr. S.N. Modani serves as the chairman and company secretary for Sangam (India) Ltd. The high promoter holding of 70.16% indicates strong management confidence in the company's future prospects.
The company is positioning itself for growth through strategic initiatives. In recent earnings calls, management expressed optimism about future growth, projecting a 15% revenue increase for the current year. This growth is expected to be driven by strategic shifts towards higher-margin fabric and garment production.
Significant capital expenditures are planned to double garment capacity, with expectations for this segment to grow substantially in the coming years, further strengthening its market position while navigating industry challenges.
- Market leadership in PV yarn and denim fabric segments.
- Diversified product portfolio across the textile value chain.
- Strong promoter holding indicating management confidence.
- Strategic expansion into higher-margin segments.
- Low interest coverage ratio.
- Poor sales growth of 9.78% over the past five years.
- Low dividend payout at 11.0% of profits over the last 3 years.
- Operates in the highly competitive textile industry, facing challenges from fluctuating raw material prices and changing consumer preferences.
Sangam India's journey from a traditional textile manufacturer to a diversified player across the textile value chain demonstrates its adaptability and strategic vision. With planned capacity expansions and a focus on higher-margin products, the company is working towards strengthening its market position while navigating industry challenges.
