The Indian textile industry is a crucial sector of the country’s economy, contributing significantly to exports, employment, and overall economic growth.
Recently, the Indian government has announced a capital expenditure (capex) of Rs 10,000 crore under the production-linked incentive (PLI) scheme to boost the domestic garment manufacturing and exports sector. The scheme is expected to attract investments, enhance manufacturing capabilities, and create jobs in the textile sector.
Listed below are such textile stocks in which ace investors bought fresh stakes in Q1FY25:
Super Sales India Ltd
With a market capitalization of Rs. 584 crores, the shares of yarn manufacturing company started Tuesday’s trading session on a lower note at Rs. 1,866.60 compared to its previous close of Rs. 1,921. During the trading session, the shares hit a low of Rs. 1,850, losing around 2 percent and closed at Rs. 1,890 apiece.
Looking at the company’s financial performance, the revenue decreased by around 2 percent from Rs. 102.20 crores during the December quarter to Rs. 100.16 crores in the March quarter. On the other hand, the net profits showcased a transition from a net profit of Rs. 3.98 crores to a net loss of Rs. 1.95 crores during the same period.
According to the BSE data, Ace Investor Mrs Dolly Khanna entered the stock in March 2024, by acquiring 32,661 equity shares equivalent to a 1.06 percent stake in this company. The current holding value of his investment amounts to Rs. 6 crores.
In terms of key financial metrics, the company reported a return on equity of 3.56 percent and a return on capital employed of 5.20 percent for the period spanning FY23-24. Additionally, the net profit margin stood at 4.73 percent during the same timeframe.
Lux Industries Ltd
With a market capitalisation of Rs. 5,939 crores, the shares of innerwear and hosiery products manufacturer started Tuesday’s trading session on a higher note at Rs. 1,995 compared to its previous close of Rs. 1,952.05. During the trading session, the shares hit a high of Rs. 2,024, gaining around 2 percent and closed at Rs. 1,966 apiece.
Coming onto the company’s financial statements, the revenue zoomed by 58 percent from Rs. 445.01 crores during the December quarter to Rs. 704.21 crores in the March quarter. In addition, the net profits magnified by 182 percent from Rs. 19.49 crores to Rs. 55.09 crores during the same period.
According to the BSE data, Ace Investor Mr Mukul Agrawal entered the stock in March 2024, by acquiring 4 lakh equity shares equivalent to a 1.33 percent stake in this company. The current holding value of his investment amounts to Rs. 78.6 crores. Moreover, LIC also holds a 4.74 percent stake in the company.
The company has a total of seven manufacturing facilities that possess a cumulative capacity of 34 crores of garment pieces a year. The company’s manufacturing units are located in India in Punjab, Uttar Pradesh, Tamil Nadu and West Bengal. And the company has a 15 percent existing market share in men’s innerwear.
In terms of key financial metrics, the company reported a return on equity of 8.26 percent and a return on capital employed of 12.13 percent for the period spanning FY23-24. Additionally, the net profit margin stood at 5.40 percent during the same timeframe.
Written By Vaibhav Patil
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