Check Before You Invest : Candour Techtex Ltd

Q: Which industry/sub-sector does Candour Techtex Ltd belong to?

Candour Techtex Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.

Q: Is Candour Techtex Ltd a good quality company?

Candour Techtex Ltd is a weak quality company, based on a inconsistent multi-year financial track record. This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q: Is Candour Techtex Ltd undervalued or overvalued?

Candour Techtex Ltd appears Overvalued, as its key valuation ratios are higher than their past averages. Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more. Valuation Ratios. Price to Earnings, Current: -, Historic Median: 49.80. Price to Book, Current: 1.77, Historic Median: 3.28. Price to Sales, Current: 1.88, Historic Median: 0.86. EV to EBITDA, Current: 78.08, Historic Median: 22.08

Q: Is Candour Techtex Ltd a good buy now?

Candour Techtex Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Q: Revenue growth of Candour Techtex Ltd?

Candour Techtex Ltd revenue growth is 1.8% for FY-2025, which is below its 5-year CAGR of 72.63%, indicating slower growth.

Q: Gross Profit margin of Candour Techtex Ltd?

Candour Techtex Ltd Gross profit margin which is the profit after deduction of direct costs, is 2.8% for FY-2025, which is above its 5-year median of 2.3%, indicating increasing margins.

Q: Operating Profit Margin of Candour Techtex Ltd?

Candour Techtex Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 3.46% for FY-2025, which is above its 5-year median of 1.69% indicating increasing margins.

Q: Net Profit Margin of Candour Techtex Ltd?

Candour Techtex Ltd Net Profit Margin is 0.36% for FY-2025, is below its 5-year median of 1%, indicating decreasing margins. Profitability Metrics. Gross Profit Margin (%), Current: 2.8, Historic Median: 2.3. Operating Profit Margin (%), Current: 3.46, Historic Median: 1.69. Net Profit Margin (%), Current: 0.36, Historic Median: 1

Q: Return on Asset of Candour Techtex Ltd?

Candour Techtex Ltd Return on Asset is 0.88%, which is below its 5-year historical median of 2.38%, indicating deteriorated asset utilization efficiency.

Q: Return on capital employed (ROCE) of Candour Techtex Ltd?

Candour Techtex Ltd Return on capital employed is 6.73% for FY-2025, which is below its 5-year historical median of 7.46%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Check Before You Invest : Candour Techtex Ltd

BSE: 522292 NSE: ISIN: INE713D01055

| Sector: Textiles & Apparels | Industry: Textile

Snapshot

Q.1 Which industry/sub-sector does Candour Techtex Ltd belong to?

Candour Techtex Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.

Q.2 Is Candour Techtex Ltd a good quality company?

Candour Techtex Ltd is a weak quality company, based on a inconsistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Candour Techtex Ltd undervalued or overvalued?

Candour Techtex Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios	Current	5-year Historic Median
Price to Earnings	-	49.80
Price to Book	1.77	3.28
Price to Sales	1.88	0.86
EV to EBITDA	78.08	22.08

Q.4 Is Candour Techtex Ltd a good buy now?

Candour Techtex Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

How has it performed on generating Profits?
By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.
How efficiently has it utilized Capital?
By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.
How is it managing its Debt?
By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Candour Techtex Ltd?

Candour Techtex Ltd revenue growth is 1.8% for FY-2025, which is below its 5-year CAGR of 72.63%, indicating slower growth.

Q.2 Gross Profit margin of Candour Techtex Ltd?

Candour Techtex Ltd Gross profit margin which is the profit after deduction of direct costs, is 2.8% for FY-2025, which is above its 5-year median of 2.3%, indicating increasing margins.

Q.3 Operating Profit Margin of Candour Techtex Ltd?

Candour Techtex Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 3.46% for FY-2025, which is above its 5-year median of 1.69% indicating increasing margins.

Q.4 Net Profit Margin of Candour Techtex Ltd?

Candour Techtex Ltd Net Profit Margin is 0.36% for FY-2025, is below its 5-year median of 1%, indicating decreasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin (%)	2.8	2.3
Operating Profit Margin (%)	3.46	1.69
Net Profit Margin (%)	0.36	1

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Candour Techtex Ltd?

Candour Techtex Ltd Return on Asset is 0.88%, which is below its 5-year historical median of 2.38%, indicating deteriorated asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Candour Techtex Ltd?

Candour Techtex Ltd Return on capital employed is 6.73% for FY-2025, which is below its 5-year historical median of 7.46%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.7 Return on Equity (ROE) of Candour Techtex Ltd?

Candour Techtex Ltd Return on equity is 2.09% for FY-2025, which is below its 5-year historical median of 5.5%, indicating the business is making worse use of its shareholders capital.

Q.8 Cash conversion cycle of Candour Techtex Ltd?

Candour Techtex Ltd Cash conversion cycle is 4 days, in line with its 5-year historical median of 4 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover (x)	2.46	2.46
ROE (%)	2.09	5.5
ROCE (%)	6.73	7.46
Cash Conversion Cycle	4 days	4 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Candour Techtex Ltd?

Candour Techtex Ltd Debt-to-Equity ratio is 0.67, which is above the industry average of 0.42, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Candour Techtex Ltd?

Candour Techtex Ltd Debt to cash flow from operations is 4.03, which is at a unhealthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Candour Techtex Ltd?

Q.1 Promoter shareholding and pledge status of Candour Techtex Ltd?

Promoters hold 32.20% of the Candour Techtex Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Candour Techtex Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Candour Techtex Ltd vs industry peers?

Candour Techtex Ltd revenue CAGR is 72.63%, compared to the industry median CAGR of 0%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth (%)	1.8	-
Gross Profit Growth (%)	150	9.1
Operating Profit Growth (%)	200	8.5
Net Profit Growth (%)	0	13

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover (x)	2.46	0.95
ROE (%)	2.09	4.34
ROCE (%)	6.73	7.56
Cash Conversion Cycle (days)	3.78	101

Valuation & price assessment

Q.1 Stock return of Candour Techtex Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 24% based on the current price.

	9Y	5Y	3Y	1Y
Share Price CAGR	24%	10.3%	39.2%	-9.5%

Q.2 Valuation ratios of Candour Techtex Ltd vs historical?

The current P/E ratio of 0 is lower than its historical median of 49.80, indicating that the stock is trading below its historical average valuation.

Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	-	49.80	20.16
Price to Book	1.77	3.28	1.32
Price to Sales	1.88	0.86	1.06
EV to EBITDA	78.08	22.08	9.31

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Check Before You Invest : Candour Techtex Ltd

Snapshot

Performance Analysis

Ownership & governance

Peer comparison (industry-wise, mcap)

Profit Metrics

Operating Efficiency

Valuation & price assessment

Check more companies

Check trending companies

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