1. At a Glance – Small Company, Big Hair, Even Bigger Valuation
Radix Industries (India) Ltd is a ₹270 crore microcap that doesn’t make shampoos, conditioners, or fairness creams — it literally sells human hair. As of the latest close, the stock trades at ₹180, flaunting a spicy P/E of 78.8, a Price-to-Book of 12.2, and a ROCE of 18.8%. Q3 FY26 came in strong on optics: ₹17.46 crore revenue, ₹1.42 crore PAT, and EPS of ₹0.95, clocking 42% YoY profit growth. Sounds glamorous, right?
But wait — annual sales are still under ₹50 crore, margins are single-digit, and the stock is priced like it just discovered AI-powered hair follicles. The company is almost debt-free (₹0.24 crore debt), promoters hold a steady 75%, and dividends keep coming, albeit small. So is this a hidden scalp-collector of wealth or just a well-combed valuation bubble? Let’s open the salon chair and examine closely.
2. Introduction – From LPG Cylinders to Luxury Wigs
Radix Industries has one of those “India-only” corporate rebirth stories. Born in 1998 as an LPG bottling and gas supply business, it quietly lived a dull, combustible life until 2011, when promoters of Arqube Industries walked in and said: Enough gas, let’s do hair.
Post-acquisition, Radix pivoted sharply into the export-oriented human hair business — wigs, extensions, and processed Remy hair. No gradual transition. No pilot project. Just straight from cylinders to curls.
Fast forward to FY25–FY26, and Radix is now exporting Indian human hair to global beauty markets, where wigs are fashion, necessity, and sometimes medical lifelines. Revenues have grown steadily, profits have improved, and working capital discipline has visibly tightened. But here’s the catch: the stock price ran much faster than the business itself.
So the key
question: is Radix a niche exporter finally getting its due, or is the market pricing it like Godrej Consumer’s long-lost cousin? Keep reading — the scissors are sharp.
3. Business Model – WTF Do They Even Do?
Radix does one thing, and does it obsessively: process and sell natural human hair.
The company sources raw human hair (yes, real human hair), hygienically processes it, and converts it into wigs and extensions across multiple textures, lengths, and styles. The focus is on natural Remy hair, which means cuticles are aligned — premium stuff, not Halloween costume quality.
Product Buckets:
- Clip Collection: 5-clip to 10-piece clip-in sets
- Virgin Collection: Natural straight, wavy, curly
- Eminent Collection: Body wave, deep curly, Jackson wavy
This is not mass FMCG. This is fashion-meets-export niche manufacturing. Nearly 99% of revenue comes from hair products, with exports contributing ~58% and domestic sales ~42%.
No brand-building blitz. No D2C Instagram army (yet). Mostly B2B/export-driven demand. Simple model, limited capex, but also limited scalability unless volumes explode.
Ask yourself: can a ₹50 crore hair exporter justify FMCG-style multiples?
4. Financials Overview – The Numbers Under the Wig
EPS annualisation follows quarterly rules.
