Check Before You Invest : LT Foods Ltd

BSE: 532783 NSE: LTFOODS ISIN: INE818H01020

| Sector: FMCG | Industry: Consumer Food

Snapshot

Q.1 Which industry/sub-sector does LT Foods Ltd belong to?

LT Foods Ltd belongs to the FMCG sector, operating specifically within the Consumer Food segment.

Q.2 Is LT Foods Ltd a good quality company?

LT Foods Ltd is a good quality company, based on a consistently good 10-year financial track record.

Q.3 Is LT Foods Ltd undervalued or overvalued?

LT Foods Ltd appears Overvalued, as its key valuation ratios are above with their past averages.

Q.4 Is LT Foods Ltd a good buy now?

LT Foods Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of LT Foods Ltd?

LT Foods Ltd revenue growth is 11.7% for FY-2025, which is below its 5-year CAGR of 15.99%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of LT Foods Ltd?

LT Foods Ltd Return on capital employed is 21.42% for FY-2025, which is above its 5-year historical median of 19.09%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 13.5%, indicating value creation.

Q.3 Return on Asset of LT Foods Ltd?

LT Foods Ltd Return on Asset is 9.13%, which is in line with its 5-year historical median of 8.77%, indicating stable asset utilization efficiency.

Q.4 Return on Equity (ROE) of LT Foods Ltd?

LT Foods Ltd Return on equity is 16.93% for FY-2025, which is in line with its 5-year historical median of 17.78%, indicating the business is making similar use of its shareholders capital.

Q.5 Cash conversion cycle of LT Foods Ltd?

LT Foods Ltd Cash conversion cycle is 118 days, in line with its 5-year historical median of 121 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	1.33	1.33
ROE	16.93	17.78
ROCE	21.42	19.09
Cash Conversion Cycle	118 days	121 days

Q.6 Gross Profit margin of LT Foods Ltd?

LT Foods Ltd Gross profit margin which is the profit after deduction of direct costs, is 11% for FY-2025, which is in line with its 5-year median of 10.5%, indicating stable margins.

Q.7 Operating Profit Margin of LT Foods Ltd?

LT Foods Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 11.27% for FY-2025, which is in line with its 5-year median of 11.27% indicating stable margins.

Q.8 Net Profit Margin of LT Foods Ltd?

LT Foods Ltd Net Profit Margin is 7.05% for FY-2025, is above with its 5-year median of 6.1%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	11	10.5
Operating Profit Margin	11.27	11.27
Net Profit Margin	7.05	6.1

Q.9 Debt to Equity ratio of LT Foods Ltd?

LT Foods Ltd Debt-to-Equity ratio is 0.19, which is lower with the industry average of 0.59, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of LT Foods Ltd?

LT Foods Ltd Debt to cash flow from operations is 1.61, which is at a moderate level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of LT Foods Ltd?

Promoters hold 51.01% of the LT Foods Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of LT Foods Ltd vs industry peers?

LT Foods Ltd revenue CAGR is 15.99%, compared to the industry median CAGR of 10.95%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	11.7	11
Gross Profit Growth	8.2	12
Operating Profit Growth	4.3	NAN
Net Profit Growth	2.3	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	1.33	1.33
ROE	16.93	9.91
ROCE	21.42	11.48
Cash Conversion Cycle (days)	118.08	62

Valuation & price assessment

Q.1 Stock return of LT Foods Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 33.9% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	33.9%	40.3%	58.2%	26.2%

Q.3 Valuation ratios of LT Foods Ltd vs historical?

The current P/E is higher 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	23.02	12.45	26.64
Price to Book	3.45	2.87	2.52
Price to Sales	1.46	1.23	1.43
EV to EBITDA	12.68	10.48	14.44

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