Check Before You Invest : Spunweb Nonwoven Ltd

Snapshot

Q.1 Which industry/sub-sector does Spunweb Nonwoven Ltd belong to?

Spunweb Nonwoven Ltd belongs to the Textiles & Apparels sector, operating specifically within the Textile segment.

Q.2 Is Spunweb Nonwoven Ltd a good quality company?

Spunweb Nonwoven Ltd is a weak quality company, based on a inconsistent 4-year financial track record.

Q.3 Is Spunweb Nonwoven Ltd undervalued or overvalued?

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

Q.4 Is Spunweb Nonwoven Ltd a good buy now?

Spunweb Nonwoven 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 Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd revenue growth is 42.1% for FY-2025, which is above its 3-year CAGR of 23.44%, indicating faster growth.

Q.2 Return on capital employed (ROCE) of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Return on capital employed is 20.98% for FY-2025, which is above its 3-year historical median of 16.17%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.3 Return on Asset of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Return on Asset is 6.81%, which is above its 3-year historical median of 6%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Return on equity is 25.33% for FY-2025, which is in line with its 3-year historical median of 25.33%, indicating the business is making similar use of its shareholders capital.

Q.5 Cash conversion cycle of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Cash conversion cycle is 67 days, above its 3-year historical median of 47 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.

	Current Level	3-year Historic Median
Asset Turnover	1.63	1.49
ROE	25.33	25.33
ROCE	20.98	16.17
Cash Conversion Cycle	67 days	47 days

Q.6 Gross Profit margin of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Gross profit margin which is the profit after deduction of direct costs, is 9.9% for FY-2025, which is in line with its 3-year median of 9.9%, indicating stable margins.

Q.7 Operating Profit Margin of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 13.39% for FY-2025, which is above its 3-year median of 10.08% indicating increasing margins.

Q.8 Net Profit Margin of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Net Profit Margin is 4.19% for FY-2025, is in line with with its 3-year median of 4.03%, indicating stable margins.

	Current Level	3-year Historic Median
Gross Profit Margin	9.9	9.9
Operating Profit Margin	13.39	10.08
Net Profit Margin	4.19	4.03

Q.9 Debt to Equity ratio of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Debt-to-Equity ratio is 1.70, which is above with the industry average of 0.51, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Spunweb Nonwoven Ltd?

Spunweb Nonwoven Ltd Debt to cash flow from operations is -13.67, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Spunweb Nonwoven Ltd?

Promoters hold 65.27% of the Spunweb Nonwoven Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Spunweb Nonwoven Ltd vs industry peers?

Spunweb Nonwoven Ltd revenue CAGR is 23.44%, compared to the industry median CAGR of 4.23%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	3-year Industry Median
Revenue Growth	42.1	4.2
Gross Profit Growth	31.3	4.3
Operating Profit Growth	80	6
Net Profit Growth	50	10.7

Operating Efficiency

	Current Level	3-year Industry Median
Asset Turnover	1.63	1.01
ROE	25.33	6.67
ROCE	20.98	7.78
Cash Conversion Cycle (days)	66.86	113

Valuation & price assessment

Q.1 Stock return of Spunweb Nonwoven Ltd over the last decade?

Over the last - year(s), the stock has delivered a CAGR of N/A% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	-	-

Q.3 Valuation ratios of Spunweb Nonwoven Ltd vs historical?

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

Q.4 How do the current valuation ratios compare with 3-year historical median and industry numbers?

Valuation Ratios	Current	3-year Historic Median	3-year Industry Median
Price to Earnings	33.65	37.52	21.83
Price to Book	2.85	6.66	1.40
Price to Sales	1.41	1.57	1.28
EV to EBITDA	13.19	14.41	10.27

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