1. At a Glance – Chappal Company or Government Scheme Machine?
₹407 crore market cap. ₹230 share price. Stock P/E of 18.8. ROCE of 12.4%. ROE of 10.2%. Debt of ₹58.4 crore. Promoters holding a tight 72.9%.
And then comes Q3 FY26: revenue at ₹57.1 crore (down 14.6% YoY), PAT ₹2.13 crore (down 2.3% YoY), but operating margin holding at 9.87%.
Meanwhile, the toolkit segment under PM Vishwakarma is contributing 62% revenue in H1 FY26, CRISIL upgrades the rating to BBB/Stable, and management talks about ₹450–500 crore revenue target for FY26.
So what is this company exactly?
A chappal manufacturer?
A government toolkit supplier?
Or a Jaipur-based family business slowly turning into a serious mid-cap contender?
Let’s wear our financial chappals and walk through this properly.
2. Introduction – From Hawai Chappal to ₹298 Crore Toolkit Dreams
Founded in 1994, Lehar Footwears is a Jaipur-based, family-run mass footwear manufacturer. It sells non-leather footwear across India. Open footwear. School shoes. Sports shoes. Slippers starting at ₹99.
This is not Bata. This is not Metro. This is not mall luxury.
This is Bharat’s footwear.
The company has around 1,300 active SKUs. Manufacturing capacity of 6.94 crore pairs per annum across Hawai chappals, PU, PVC, EVA, canvas and more.
And just when you thought this was a simple rubber slipper story…
Boom.
Toolkit business under the PM Vishwakarma Scheme.
Initial NSIC agreement worth ₹298 crore. ₹193 crore already delivered. Additional ₹74.9 crore order. Revenue diversification. Government-backed demand.
Is this diversification genius?
Or dependency risk?
And then the brand ambassador twist — Govinda. Yes. The Govinda.
If Bollywood nostalgia and government welfare schemes combine inside a Jaipur factory, you know something interesting is cooking.
But before we get emotional — let’s follow the money.
3. Business Model – WTF Do They Even Do?
Segment 1: Mass Footwear
Lehar manufactures and distributes:
- Men’s footwear
- Women’s footwear
- Kids’ footwear
- School shoes
- Sports shoes
- PU slippers
- Hawai chappals
Materials: PU, PVC, EVA, TPR.
Distribution:
- 520+ distributors
- Presence in 27 states
- B2G sales (school shoes under welfare schemes)
- D2C: 2 factory outlets + modern trade like Dmart
- Online platforms
Export presence in 20+ countries including UAE, France, Kenya, Saudi Arabia.
So far, straightforward.
Segment 2: Toolkit Business (Plot Twist)
Under PM Vishwakarma scheme, Lehar supplies toolkits.
Asset-light.
High ROIC (management claims ~50%).
Lower margin
