1. At a Glance – The Comeback Kid or Just Good Accounting?
Market Cap: ₹259 Cr
Current Price: ₹113
Stock P/E: 8.30
Price to Book: 0.67
ROE: 7.46%
ROCE: 5.04%
Debt: ₹194 Cr
3-Month Return: -7.13%
Now here’s the spicy part.
A company that shut down textile operations in 2008 is suddenly doing ₹12.64 Cr in Q3 FY26 sales with ₹4.23 Cr profit. OPM at 30.78%. Sounds impressive, right?
But wait.
Earnings include other income. Tax rate? 0%. Debt? ₹194 Cr. Real estate projects underway. Rating? BB- Stable. Promoters? 67.5% holding.
And the stock trades at 0.67x book value — meaning market thinks something smells interesting… or risky.
Is this a phoenix rising from viscose ashes? Or just land monetization dressed as a growth story?
Let’s open the books and check if this is revival or rerun.
2. Introduction – From Rayon to Real Estate Reroute
Founded in 1958, Baroda Rayon Corporation Ltd once made viscose filament yarn. Then 2008 happened. Textile operations shut down. Silence. Dust. Cobwebs.
Enter Mr. Damodarbhai Patel.
The company pivoted. Textile machines out. Land bank in. Real estate became the new avatar.
And this isn’t small land. The company converted capital asset land into stock-in-trade and revalued it around ₹604 crore since FY22. That’s not a side hustle — that’s a transformation.
Now they are developing:
- Surat Textile Bourse Phase-I (Part A & B)
- Industrial house plots
- Shree Laxminarayan Industrial Park
Phase I (Part A) total cost: ₹344.83 Cr
Units sold: 188 out of 323
Phase I (Part B) total cost: ₹185.35 Cr
Units sold: 16 out of 44
They’ve also availed a ₹100 Cr project term loan from SBI in May 2025.
And they still plan to restart viscose filament yarn manufacturing in Dahej with 15,000 MTPA capacity and a 12 MW captive power plant.
Textile comeback + real estate monetization.
Ambitious? Yes. Risky? Also yes.
Question is — can they handle debt, project execution, and old dues simultaneously?
Let’s decode.
3. Business Model – WTF Do They Even Do?
Currently?
