Check Before You Invest : Lehar Footwears Ltd

Snapshot

Q.1 Which industry/sub-sector does Lehar Footwears Ltd belong to?

Lehar Footwears Ltd belongs to the FMCG sector, operating specifically within the Footwear segment.

Q.2 Is Lehar Footwears Ltd a good quality company?

Lehar Footwears Ltd is a weak quality company, based on a inconsistent 10-year financial track record.

Q.3 Is Lehar Footwears Ltd undervalued or overvalued?

Lehar Footwears Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is Lehar Footwears Ltd a good buy now?

Lehar Footwears 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

Q.1 Revenue growth of Lehar Footwears Ltd?

Lehar Footwears Ltd revenue growth is 42.7% for FY-2025, which is above its 5-year CAGR of 23.96%, indicating faster growth.

Q.2 Return on capital employed (ROCE) of Lehar Footwears Ltd?

Lehar Footwears Ltd Return on capital employed is 14.83% for FY-2025, which is above its 5-year historical median of 10.26%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.3 Return on Asset of Lehar Footwears Ltd?

Lehar Footwears Ltd Return on Asset is 4.55%, which is above its 5-year historical median of 2.62%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Lehar Footwears Ltd?

Lehar Footwears Ltd Return on equity is 13.62% for FY-2025, which is above its 5-year historical median of 9.66%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Lehar Footwears Ltd?

Lehar Footwears Ltd Cash conversion cycle is 106 days, below its 5-year historical median of 113 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	1.18	1.06
ROE	13.62	9.66
ROCE	14.83	10.26
Cash Conversion Cycle	106 days	113 days

Q.6 Gross Profit margin of Lehar Footwears Ltd?

Lehar Footwears Ltd Gross profit margin which is the profit after deduction of direct costs, is 6.9% for FY-2025, which is above its 5-year median of 4.9%, indicating increasing margins.

Q.7 Operating Profit Margin of Lehar Footwears Ltd?

Lehar Footwears Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 9.44% for FY-2025, which is above its 5-year median of 7.25% indicating increasing margins.

Q.8 Net Profit Margin of Lehar Footwears Ltd?

Lehar Footwears Ltd Net Profit Margin is 3.92% for FY-2025, is above with its 5-year median of 2.53%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	6.9	4.9
Operating Profit Margin	9.44	7.25
Net Profit Margin	3.92	2.53

Q.9 Debt to Equity ratio of Lehar Footwears Ltd?

Lehar Footwears Ltd Debt-to-Equity ratio is 0.75, which is above with the industry average of 0.35, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Lehar Footwears Ltd?

Lehar Footwears Ltd Debt to cash flow from operations is 3.14, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Lehar Footwears Ltd?

Promoters hold 72.90% of the Lehar Footwears Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Lehar Footwears Ltd vs industry peers?

Lehar Footwears Ltd revenue CAGR is 23.96%, compared to the industry median CAGR of 0.71%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	42.7	0.7
Gross Profit Growth	46.2	-0.7
Operating Profit Growth	44.4	-1.3
Net Profit Growth	57.1	-2.7

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	1.18	1.01
ROE	13.62	5.53
ROCE	14.83	10.23
Cash Conversion Cycle (days)	106.05	87

Valuation & price assessment

Q.1 Stock return of Lehar Footwears Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 17.2% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	17.2%	53.8%	36.1%	-2.3%

Q.3 Valuation ratios of Lehar Footwears Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 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	18.72	35.02	32.02
Price to Book	4.05	3.29	1.33
Price to Sales	0.91	0.96	0.96
EV to EBITDA	11.11	14.60	11.55

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