1. At a Glance
M K Exim (India) Ltd is that one company which, on paper, looks like it woke up one morning and said: “Why choose one business when you can confuse everyone with three?” Textiles, cosmetics, plastic material, exports, luxury haircare brands, bonus shares flying around — all packed into a ₹203 crore market cap wrapper.
As of the latest quarter (Q3 FY26, December 2025), the company clocked ₹26.2 crore revenue with PAT of ₹4.64 crore, translating into a net margin north of 17%. ROCE is sitting at a juicy 28.4%, ROE at 20.1%, and debt is practically non-existent at ₹1.9 crore. On valuation, the stock trades at ~11.7x P/E, well below the industry average of ~15x.
But before you clap — the stock is down 40% over one year, 25% in three months, and investors look like they were promised a fashion show but delivered a GST notice instead.
So what exactly is going on here? Is this a misunderstood high-margin distributor play or a messy diversification experiment with auditor musical chairs? Let’s open the suitcase. 🧳
2. Introduction – One Company, Many Avatars
Founded in 1992, M K Exim (India) Ltd started life as a fairly normal export-oriented textile business. Fabrics, garments, blended suitings — boring but respectable.
Then somewhere along the journey, MK Exim discovered FMCG cosmetics, luxury hair care brands, and suddenly textiles became the side hustle.
By FY23, ~70% of revenue was coming from cosmetics, while fabrics were quietly reduced to ~27%. Exports? Only ~28%. Domestic distribution? A chunky ~72%.
So today, MK Exim is less “Exim” and more “Importer & Distributor of Fancy Bottles with Good Margins”.
And the market? The market hates confusion. Especially when:
- Auditors resign.
- GST notices arrive.
- Bonus shares rain down.
- Share price collapses anyway.
Yet, beneath the drama, the financials are… annoyingly decent.
Is this a hidden compounder stuck in the penalty box, or a classic smallcap
mirage? Let’s dig.
3. Business Model – WTF Do They Even Do?
A. Fabric Manufacturing (The Old Soul)
MK Exim manufactures and finishes blended fabrics — polyester-viscose, polyester-cotton, worsted suitings, premium wool blends, shirting, and what not.
Brands include:
- Cashmere Fabrics
- French Elegance
- Galaxy
- Classic
- Isiem
These are largely B2B and export-linked, low glamour, working-capital-heavy businesses.
Margins? Decent but volatile.
Growth? Meh.
Excitement? Zero.
B. FMCG Cosmetics (The Plot Twist)
This is where the money is.
MK Exim is the exclusive Indian distributor for premium international hair and spa brands:
- Moroccan Oil
- John Paul Mitchell Systems
- BCL Spa
- K18 Biomimetic Hair Science
This is asset-light, brand-led, high-margin distribution. You don’t manufacture — you import, market, and sell to salons and premium consumers.
That’s why OPM consistently stays above 20%, and ROCE looks like it’s on steroids.
So the business model today is:
Low capex + imported brands + domestic consumption + pricing power
Sounds good, right? Then why is the stock punished?
4. Financials Overview – The Numbers Don’t Lie (But They Do Wink)
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 26.22 | 23.99 | 17.99 | 9.3% | 45.7% |
| EBITDA (₹ Cr) | 5.62 | 7.39 | 3.01 | -24% | 86.7% |
| PAT (₹ Cr) | 4.64 | 5.57 | 2.38 | -16.7% | 95% |
| EPS (₹) | 1.15 | 1.38 | 0.59 | -16.7% | 94.9% |
Annualised EPS (Q3 rule):
Average of Q1, Q2, Q3 EPS × 4
≈ ₹4.29 (matches TTM)
Commentary:
- Revenue is steady, not explosive.
- Margins swing quarter to quarter — classic
