Loyal Textile Mills Ltd. (F.Y. 2024-2025)
Executive Summary
Loyal Textile Mills Ltd. is one of India's oldest companies. It was established in 1946. The company operates in manufacturing and exports of yarn, fabrics, garments, etc. The company operates in the domestic and international market. The company focuses on exports through its joint venture partner in Europe. During 2025, the company’s revenue has declined. The company faced challenges such as strong competition, change in market demand, etc. The company is improving its operational efficiency and strengthening its financial position through the sale of its manufacturing located in Andhra Pradesh, Sivaganga, Tamil Nadu. The company aims to reduce debts, lower interest rates. The company focuses on innovation, operational efficiency, sustainability, and high-value products.
Company Overview
Loyal Textile Mills Ltd. is one of India's oldest companies. It was established in 1946. Headquartered in Kovilpatti, Tamil Nadu. The company operates in manufacturing and exports of yarn, fabrics, garments, etc. The company focuses on exports through its joint venture partner in Europe. The company aims to reduce debts, lower interest rates. The company focuses on innovation, operational efficiency, sustainability, and high-value products.
Industry Overview
Loyal textile Mills Ltd. is a textile industry globally. The company operates in manufacturing and exports of yarn, fabrics, garments, etc. The company operates in the domestic and international market. During 2025, the company faced challenges such as strong competition, change in market demand, rising input costs, uncertainty in markets, etc. This industry has activities such as spinning, weaving, knitting, processing, garment manufacturing, and technical textile. Loyal Textile Mills Ltd. is India's largest producer of cotton, yarn, textiles. The company focuses on innovation, operational efficiency, sustainability, and high-value products.
Financial Performance (rupees in crores)
Particulars | 2025 | 2024 |
Revenue from operations | 682.15 | 939.19 |
EBITDA | 2.64 | 31.28 |
Less: interest | 50.96 | 52.88 |
Operating profit (EBDT) | (48.32) | (21.60) |
Less: depreciation | 34.68 | 37.76 |
Profit before tax (PBT) | (83.00) | (59.36) |
Less: tax expenses | (28.32) | (16.41) |
Profit after tax (PAT) | (54.68) | (42.63) |
Source: Annual Report of Loyal Textile Mills Ltd. 2025
Key Financial Ratio
Particulars | 2025 | 2024 |
Current ratio | 0.83 | 0.91 |
Quick ratio | 0.47 | 0.39 |
Debt-equity ratio | 1.76 | 2.14 |
Return on Equity (ROE) | (20.81%) | (13.77%) |
Net profit ratio | (8.02%) | (4.57%) |
Return on capital employed (ROCE) | (4.93%) | (0.71%) |
Source: Annual Report of Loyal Textile Mills Ltd. 2025
SWOT Analysis
Strengths 1.The company has a strong brand image. 2.The company has a strong export network. 3.The company has a strong focus on innovation, sustainability, etc. | Weaknesses 1.The company’s revenue has declined. 2. The company highly depends on global demand. 3. The company has high debt levels. |
Opportunities 1.The company’s demand is growing for sustainable and eco-friendly products. 2. The company can expand its business. 3.The company’s debt can be reduced. | Threats 1.The company has strong competition from domestic and international markets. 2. There can be economic slowdown and uncertainty in the market. 3.Change in raw material prices and cotton, etc. |
Conclusion
Loyal Textile Mills Ltd. is one of India's oldest companies. The company operates in manufacturing and exports of yarn, fabrics, garments, etc. The company operates in the domestic and international market. The company focuses on exports through its joint venture partner in Europe. During 2025, the company’s revenue has declined. The company faced challenges such as strong competition, change in market demand, etc. The company aims to reduce debts, lower interest rates. The company focuses on innovation, operational efficiency, sustainability, and high-value products. Loyal Textile Mills Ltd. is well-established for future growth.