Vardhman Polytex Limited (VPL) is a prominent Indian holding company primarily engaged in the manufacturing of yarn and garments. Established in 1980 and headquartered in Ludhiana, India, VPL is the flagship company of the Oswal Group. The company operates as a key player in India's textile sector, with a diverse product range that includes various types of yarns, fabrics, and garments such as compact yarns, Organic Cotton Yarns, dyed yarns, polo t-shirts, round neck t-shirts, hoodies, and sweatshirts for men, women, and children. The Textile Business is the primary revenue generator for the company.
Vardhman Polytex boasts a robust manufacturing infrastructure with units strategically located across North India. Its facilities are situated in Bathinda, Punjab; Ludhiana, Punjab (with an annual production capacity of five lakh pieces); and Nalagarh, Himachal Pradesh. The company's technological capabilities are comprehensive, leveraging machinery from leading manufacturers like Rieter, Trutzschler, Kirloskar Toyota, Schlafhorst, Murata, Volkmann, Xorella, Loptex, Uster, Luwa, Fongs, Thies, SSM, and Monga Strayfield. VPL has a significant dyeing capacity of 15 tons of yarn per day, supported by a dye house equipped with imported technology from manufacturers such as Fongs (Hong Kong), SSM (Switzerland), Monga Strayfield (UK), and Detin (Italy).
The company manufactures a wide array of Cotton Yarns, including Carded, Combed, Organic, and Better Cotton Initiative (BCI) variants, alongside Cotton Polyester Yarns and Value-Added Yarns (Grey and Dyed) available in various counts. The company has successfully established a global presence, exporting its products to key international markets including the UK, Belgium, Italy, Germany, Korea, Australia, New Zealand, Hong Kong, and Taiwan.
As of May 12, 2025, Vardhman Polytex Ltd (VARDMNPOLY) reported a market capitalization of ₹492.85 Cr. Other reported figures include ₹553.89 Cr as of April 28, 2025, and ₹434 Cr as of March 24, 2025.
Recent financial performance indicates mixed results. For the recent reporting period, the company recorded Revenue of ₹285 Cr and Profit of ₹14.9 Cr. Quarter-on-quarter, the net profit for the quarter ended September 2024 was ₹0.63 crore, a significant improvement from a net loss of ₹34.07 crore in the previous quarter ended September 2023. However, sales declined by 35.98% to ₹64.40 crore in the quarter ended September 2024, compared to ₹100.60 crore in the same period the prior year.
- Trailing 12-Month Revenue (as of 31-Dec-2024): $33.2 Million
- Trailing 12-Month EPS: $0.13
- TTM Profit After Tax: ₹15 Cr
- P/E Ratio (VARDMNPOLY): -18.41 (as per trailing earnings)
Vardhman Polytex Ltd (VARDMNPOLY) has shown dynamic stock performance. The 52-week high is ₹15.39, and the 52-week low is ₹7.15. Over the past six months, the share price has increased by 20.7%, and over the last year, it has risen by 63.33%. In the last three years, the company has delivered a return of 61.87%. Vardhman Polytex Ltd is classified as a Small Cap company and belongs to the Consumer Discretionary sector & Textiles sub-sector.
The company faces certain operational challenges, including a poor sales growth of -12.6% over the past five years. Revenue has declined at a yearly rate of -13.26% over the last five years, significantly underperforming the industry average of 3%. Consequently, its market share has decreased from 0.57% to 0.23% over the same period.
Corporate governance aspects indicate a low promoter holding (34.2%), with a substantial portion (69.6%) of their holding being pledged or encumbered. The Chairman and Managing Director of the company is Mr. Adish Oswal.
Despite these challenges, Vardhman Polytex has demonstrated positive steps towards financial restructuring by reducing debt. The company has also entered into strategic arrangements with vendors for raw material processing and sale of finished goods, which provides a steady business model for specific operational segments.
