1. At a Glance – Raymond, the Corporate Yoga Master
Raymond Limited at ₹388 looks like a value investor’s wet dream on the surface: Price-to-Book of 0.79, P/E of ~13.6, and a brand name older than most Indian companies’ balance sheets. Market cap sits at ₹2,582 crore, which is hilarious once you realise the company reported ₹5,328 crore PAT in Q2FY26 and ₹7,636 crore PAT in FY25. Yes, the profits are larger than the market cap — welcome to India, where accounting footnotes matter more than headlines.
But don’t get too excited and start drafting retirement tweets. This is Raymond in the middle of a multi-layered demerger, restructuring, corporate yoga, and balance-sheet detox program. The stock is down 34% in 3 months, 42% in 6 months, and 24% YoY, while the company is busy separating lifestyle, real estate, aerospace, auto components, denim JVs, FMCG JVs, and probably emotional baggage.
Latest quarterly revenue came in at ₹557 crore, up 19.5% YoY, while quarterly PAT was just ₹7.1 crore — unless you include exceptional demerger gains, in which case Raymond briefly became more profitable than half of Nifty combined.
So what is Raymond today?
Not a textile company.
Not a real estate company.
Not yet a clean engineering pure play.
It’s a corporate Rubik’s cube, and investors are staring at it asking: “Solve ho gaya kya?”
2. Introduction – From Suitings to Schemes of Arrangement
Raymond is not a company; it’s an Indian corporate history syllabus. Founded in 1925, it started with wool, moved into suits, then into brands, then real estate, then engineering, then aerospace, and finally into the modern Indian obsession: demergers.
Over the last two years, Raymond has been on a mission called “Raymond 2.0”, which roughly translates to:
“Let’s stop confusing investors and unlock value… eventually.”
First, Raymond Lifestyle Ltd (RLL) was demerged in FY24, taking the branded apparel and textile crown jewels with it. Then came Raymond Realty, housing the high-value Thane land bank and JDAs. Now, what remains in Raymond Ltd is primarily engineering, auto components, aerospace, and denim JV exposure, with a dash of FMCG JVs for spice.
The market reaction?
Absolute confusion.
Reported profits exploded due to one-time demerger gains, while operating metrics stayed… human. ROE dropped to 0.59%, ROCE to 1.64%, and suddenly the “Raymond is cheap” narrative started sounding like a WhatsApp forward without the PDF attached.
This article is about what Raymond really is today, what the numbers actually say after removing accounting steroids, and whether this Frankenstein
