1. INTRODUCTION

• Brief Introduction of the company  

Kamadgiri is an Indian textile manufacturing company established in 1987. The company has their headquarters located in Mumbai, Maharashtra. The company operates in weaving fabric, manufacturing and uniform supply in the domestic market. The company has a diversified product portfolio. The company aims to deliver quality fabric at a competitive price to the customer. 

• Industry Overview  

The Indian textile and apparel industry is significant at global as well as at country level. This industry generates employment and improves the country's GDP. This industry has a very great future because of increasing demand in textile and fashionable products. However, this industry faces many challenges like raw material price fluctuation, global competition, and change in demand. 

• Purpose of the Analysis 

This research and analysis will help to understand the financial condition of Kamadgiri Fashion Ltd. also this analysis will help to know more about the company and about the textile industry in the country... The analysis will cover all companies’ profit and loss statements, balance sheets and key financial ratios. 

2. COMPANY OVERVIEW 

• Background and History 

Kamadgiri Fashion Limited is involved in the textile industry, the office of the company is located in Mumbai, Maharashtra. The company started their operation in 1987 with fabric manufacturing and textile trading. After some time they entered apparel and uniform manufacturing. The company was previously known as Kamadgiri synthetic limited. Companies supply their product all over the domestic as well as international market to meet customer demand. 

• Business model

The company follow Trading-business model –

1) Fabric manufacturing 

             2) Customize Apparel Manufacturing 

3) Textile Trading and Distribution 

• Key Product and Services 

1) Woven Fabric

2) Garment and apparel product

3) Corporate and institute uniforms

4) Fabric gift pack and packed textile product. 

• Market Positioning 

The company comes under the mid-sized textile manufacturing segment. The company mainly focuses on niche markets such as institutional uniform and customized textile solutions. This specialization allows the company to maintain stability in the market because of corporate client demand. Where the industry is highly competitive due to domestic and international companies. Therefore, Kamadgiri focuses on providing quality and cost effective products to the customer. 

3. PROMOTERS / FOUNDER

4. FINANCIAL ANALYSIS

• Income statement analysis  

              Key Observations of Income Statement:

1) The company has declined revenue from 217 cr. in FY24 to 177 cr. in FY25.

2) The company has generated 1.19 cr. in FY25.

• Balance sheet analysis 

                                                                                                                                            (In Cr.)

End of the FY25 –

1) Equity share capital: There is no change in equity share capital. 

2) Total Current Assets: Total current asset for company is less as compared to FY24

     i.e. 61 Cr.

3) Total Current liability: Current Liability is decreased in FY25 i.e.17Cr.

• Cash Flow Statement 

                                                                                                                                  (In Cr.)

            Note – 

             1) Cash from operating and investing activity is positive. 

             2) The company has negative cash flow in financing activity because of loan,

                  debt and funding.

• Key financial Ratio 

• Profitability Ratio  

Net Profit Margin = 0.67%

•  Liquidity Ratio  

  Current Ratio = 1.47

•  Leverage Ratio   

  Debt to Equity Ratio = 0.03

• Efficiency Ratios

Earnings per Share = 2.04

• Year on year comparison ( 3 years revenue)

5. KEY INSIGHTS AND INTERPRETATION 

• Strengths 

1) Established presence in the textile industry from a long period.

2) Diversified product portfolio in textile products. 

3) Improved profitability in recent years. 

• Weakness 

1) Revenue from operations has decreased as compared to previous year. 

2) High competition from big textile companies. 

• Risk factor 

1) Volatility in textile product demand and market trend. 

2) Economic slowdown can affect the textile market.

• Future Outlook 

Kamadgiri Fashion ltd. is in good financial condition, currently they are earning continuous net profit. The industry has strong global demand for textile products. They can improve their operational efficiency and manufacture more to export in the international market to increase profitability. This industry is also getting strong support from the government. Companies can improve manufacturing plants by adapting new technology.

6. CONCLUSION 

Final evaluation of financial condition 

Kamadgiri Fashion Ltd. is a mid-scale textile company which has been having stable financial health in recent years. The company has increased revenue in FY25.They need to focus more on competing with their competition with their specialization such as customizing apparel. They have a diversified product portfolio which helps them to sustain in the market.

Investment / Performance Perceptive 

Kamadgiri Fashion Ltd. is in good financial condition, the company was in a declining revenue phase but the company managed to become profitable in FY25. The company has a very small profit margin but there is a potential turnaround opportunity.

Sources

https://www.kflindia.com/ 

https://www.screener.in/company/514322/#balance-sheet