by Prashant Marathe | EduInvesting.in | 22 May 2025
⚡ At a Glance:
Tembo Global Industries just dropped their Q4 FY25 results and the headline numbers look spicy — revenue up, profit solid, EPS rising like Adani stock in 2021.
But look under the hood, and you’ll find:
- 🧾 Negative operating cash flow
- đź’¸ â‚ą2,205 Cr in current borrowings
- 🧟 “Other financial assets” worth ₹338 Cr just… sitting there?
- 🧂 And ₹57 Cr in “Other Liabilities” that no one is talking about.
So, multibagger in the making or just another leveraged textile-meets-engineering cocktail waiting to go bust?
Let’s find out.
🏢 About the Company
Tembo Global Industries Ltd manufactures and trades inengineering productsandfabrics.Yes,steel brackets and synthetic textilesin the same company — because why not diversify like your neighbourhood kirana store?
They operate under two main segments:
- 🧰 Engineering: pipes, brackets, supports (used in infra and MEP)
- 🧵 Fabrics: trading of textile materials — a fancy way to say wholesale polyester
🙇‍♂️ Key Managerial Personnel (KMP)
- CMD: Jayant Baheti – also the
- public face of the company
- CFO: Arvind Rathi – the guy who probably approved ₹825 Cr in “Other Financial Assets”
- Auditor: R.A. Kuvadiya & Co. – gave anunmodified opinion, but let’s just say we have questions.
đź“Š Financials (Q4 FY25 + Full Year)
âś… Q4 FY25 (Standalone)
| Metric | Value (â‚ą Lakhs) |
|---|---|
| Revenue | 21,953 |
| Net Profit | 1,346 |
| EPS | â‚ą8.54 |
âś… Q4 FY25 (Consolidated)
| Metric | Value (â‚ą Lakhs) |
|---|---|
| Revenue | 27,479 |
| Net Profit | 1,561 |
| EPS | â‚ą9.31 |
âś… FY25 (Consolidated)
| Metric | Value (â‚ą Cr) |
|---|---|
| Total Income | â‚ą746.35 Cr |
| Net Profit | â‚ą54.13 Cr |
| Basic EPS | â‚ą32.77 |
| Diluted EPS | â‚ą31.13 |
YoY revenue is up significantly, net profit grew3.4x, and EPS looks too good to be true.(And spoiler: it might be.)
🧮 Forward-Looking Fair Value (FV) Calculation
Industry P/E (Infra/Engineering Midcap Blend): ~18xEPS (FY25): â‚ą32.77Fair Value Estimate: â‚ą32.77 Ă— 18 =â‚ą590
📉Current Market Price (CMP): ₹470 (as of 22 May 2025)💥Upside Potential
