1. At a Glance
Filatex India spins synthetic yarn — and corporate tales that go from dazzling to “dukaan bandh karo” in a single fiscal. With 10% 10Y RoE, solid debt reduction, and margins that behave like moody teenagers, it’s the textile stock that wants to be a tech stock… but still trips over its polyester pants.
2. Introduction with Hook
Imagine a treadmill that looks like it’s sprinting… but it’s just staying in place. That’s Filatex India — forever running, rarely arriving.
- FY25 revenue: ₹4,252 Cr
- FY25 net profit: ₹135 Cr
- 3Y profit growth: -24%
Yep, their polyester yarns have more consistency than their EPS trajectory.
3. Business Model (WTF Do They Even Do?)
Filatex doesn’t make clothes. It makes what clothes are ashamed to admit they’re made of — synthetic yarns.
Product buffet includes:
- Polyester Chips (not edible)
- POY, DTY, FDY (all sound like K-pop bands)
- Air Textured Yarn (because apparently, yarn wasn’t textured enough?)
Also, niche stuff like “Flexifil” and “Wooly.” In short: They make thread. But brand it like it’s wearable engineering.
4. Financials Overview
| Metric | FY25 |
|---|---|
| Revenue | ₹4,252 Cr |
| EBITDA | ₹259 Cr |
| Net Profit | ₹135 Cr |
| OPM | 6.1% |
| ROCE | 13.8% |
| ROE | 10.6% |
| EPS | ₹3.03 |
Commentary:
Margins are decent, but have bounced between 4% and 16% over the years — like a bobbin having an identity crisis. Profit’s back to ₹135 Cr — but still down from FY22’s ₹303 Cr. Pass the tissues.
5. Valuation
CMP: ₹58.4 | EPS: ₹3.03 → P/E: ~18x
Book Value: ₹30 → P/B: 1.95x
Method 1: Industry Median P/E (~20x)
FV = ₹3.03 x 20 = ₹60.6
Method 2: EV/EBITDA approach (~7x fair multiple)
EBITDA FY25 = ₹259 Cr →
EV = ₹259 x 7 = ₹1,813 Cr
Minus net debt (~₹147 Cr borrowings – ₹312 Cr CFO) = zero debt net
Market cap = EV = ₹1,813 Cr → Per share ~₹41.3
Fair Value Range: ₹41 – ₹61
Verdict:
Valuation’s okay — if you’re into average returns and above-average volatility.
6. What’s Cooking – News, Triggers, Drama
- Granted 2.5 lakh stock options — employee motivation or last-ditch retention?
- Amended MoA to include steam power distribution — plot twist: Are we now a boiler company?
- Reappointed MDs & directors — steady hands on a spinning ship.
Concall hint: Nothing revolutionary. No GenAI yarns… yet.
7. Balance Sheet
| Metric | FY25 |
|---|---|
| Equity | ₹44 Cr |
| Reserves | ₹1,287 Cr |
| Borrowings | ₹147 Cr (down from ₹700+ Cr!) |
| Fixed Assets | ₹1,326 Cr |
| Investments | ₹186 Cr |
| Total Assets | ₹2,276 Cr |
Debt has been cut faster than a dupatta in a ceiling fan. Strong reserves, low leverage — clean and conservative.
8. Cash Flow – Sab Number Game Hai
| Year | CFO | CFI | CFF | Net Flow |
|---|---|---|---|---|
| FY23 | ₹325 Cr | ₹-114 Cr | ₹-160 Cr | ₹51 Cr |
| FY24 | ₹168 Cr | ₹-102 Cr | ₹-113 Cr | ₹-48 Cr |
| FY25 | ₹312 Cr | ₹-160 Cr | ₹-135 Cr | ₹17 Cr |
Consistently positive CFO — the holy grail. Investing cash shows they’re building stuff, financing flow suggests debt is being yeeted. Love to see it.
9. Ratios – Sexy or Stressy?
| Ratio | FY25 |
|---|---|
| ROE | 10.6% |
| ROCE | 13.8% |
| P/E | 18x |
| PAT Margin | 3.2% |
| D/E | ~0.1x |
Not sexy, not stressy — just “middle class uncle in polo t-shirt” stable.
10. P&L Breakdown – Show Me the Money
| Year | Revenue | EBITDA | PAT |
|---|---|---|---|
| FY23 | ₹4,304 Cr | ₹232 Cr | ₹90 Cr |
| FY24 | ₹4,286 Cr | ₹239 Cr | ₹111 Cr |
| FY25 | ₹4,252 Cr | ₹259 Cr | ₹135 Cr |
Analysis:
Revenue is plateauing like your gym gains after 3 months. PAT is recovering, but slowly. EBITDA’s trying its best.
11. Peer Comparison
| Company | Rev (Cr) | PAT (Cr) | P/E | ROE |
|---|---|---|---|---|
| KPR Mill | ₹6,388 | ₹797 | 53x | 17.0% |
| Trident | ₹6,987 | ₹370 | 42x | 8.3% |
| Vardhman | ₹9,861 | ₹852 | 16x | 9.3% |
| Welspun | ₹10,545 | ₹639 | 21x | 13.7% |
| Filatex | ₹4,252 | ₹135 | 18x | 10.6% |
Filatex looks like the overachieving middle sibling — doesn’t top the class, but isn’t failing either.
12. Miscellaneous – Shareholding, Promoters
| Category | Jun 2025 |
|---|---|
| Promoters | 64.82% |
| FIIs | 5.12% |
| DIIs | 2.06% |
| Public | 28.01% |
| No. of Shareholders | 1.10 lakh+ |
Promoter stake solid. FII/DII not running for the hills. Retail army strong, possibly confused.
13. EduInvesting Verdict™
Filatex India is the kind of stock you respect — not for glamour, but for reliability. It’s boring, it spins yarns, it pays some tax, and it doesn’t blow up. Profit recovery is encouraging, and debt reduction is worth a slow clap.
A respectable chai break in your portfolio. But don’t expect champagne.
Metadata:
Written by EduInvesting Team | 23 July 2025
Tags: Filatex India Ltd, Synthetic Yarn, Analysis, EduInvesting Premium
