Arvind Fashions Ltd - Stock Valuation and Financial Performance

BSE: 542484 | NSE: ARVINDFASN | Retailing | Small Cap

Arvind Fashions Share Price

449.65 4.85 1.09%
as on 18-Apr'24 16:01

DeciZen - make an informed investing decision on Arvind Fashions

Overall Rating
Bole Toh

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

Semi Strong

Arvind Fashions stock performance -

mw4me loader
P/E Ratio (CD):
88.21
Market Cap:
5,930.4 Cr.
52-wk low:
264
52-wk high:
533.4

Is Arvind Fashions Ltd an attractive stock to invest in?

1. Is Arvind Fashions Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Arvind Fashions Ltd is a below average quality company.

2. Is Arvind Fashions Ltd undervalued or overvalued?

The key valuation ratios of Arvind Fashions Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Arvind Fashions Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Arvind Fashions Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Arvind Fashions:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Arvind Fashions Ltd has not performed well majority of the past ten years indicating its past ten year financial track record is not good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 0%0%0%3.1%6.2%6.1%-6.8%-18.1%-3%9.7%-
Value Creation
Index
NANANA-0.8-0.5-0.6-1.5-2.3-1.2-0.3-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 0001,2924,2194,6443,6141,9123,0564,4214,489
Sales YoY Gr.-NANANA226.5%10.1%-22.2%-47.1%59.8%44.7%-
Adj EPS 0001.12.62.2-55.9-39.1-10.435.1
YoY Gr.-NANANA142.9%-14.9%-2677.9%NANANA-
BVPS (₹) 00045135.8143.298.348.255.767.370.3
Adj Net
Profit
00015.419.916.9-336-443-13839.767
Cash Flow from Ops. 000-146-77.8175206-69.7300317-
Debt/CF from Ops. 000-4.2-9.64.76.1-13.51.71.9-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales NA0.9%7%44.7%
Adj EPS NA3.2%NANA
BVPSNA-13.1%-11.9%20.8%
Share Price - -8.8% 53.5% 54.8%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
0002.32.31.5-38.9-79.2-21.64.87.4
Op. Profit
Mgn %
00066.16.67.60.26.310.711.6
Net Profit
Mgn %
0001.20.40.5-9.3-24-3.521.5
Debt to
Equity
0000.90.70.72.11.90.70.7-
Working Cap
Days
000015217533247625817788
Cash Conv.
Cycle
00002752154130744713

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 7.40%

Debt to equity has declined versus last 3 years average to 0.67

Sales growth is good in last 4 quarters at 10.11%

Sales growth has been subdued in last 3 years 6.95%

Net Profit has been subdued in last 3 years 0.00%

Latest Financials - Arvind Fashions Ltd.

Standalone Consolidated
TTM EPS (₹) -0.6 5.1
TTM Sales (₹ Cr.) 742 4,489
BVPS (₹.) 173.5 70.3
Reserves (₹ Cr.) 2,253 881
P/BV 2.57 6.35
PE 0.00 88.21
From the Market
52 Week Low / High (₹) 264.00 / 533.35
All Time Low / High (₹) 107.95 / 806.58
Market Cap (₹ Cr.) 5,930
Equity (₹ Cr.) 53.2
Face Value (₹) 4
Industry PE 109.8

Management X-Ray of Arvind Fashions:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *7.977.977.977.977.977.977.977.977.977.97
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Arvind Fashions

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales1,2924,2194,6443,6141,9123,0564,421
Operating Expenses 1,2163,9704,3363,3411,9082,8653,952
Manufacturing Costs120415477400260360479
Material Costs6961,9792,2891,9921,1181,7102,292
Employee Cost 112367408313205237268
Other Costs 2881,2091,163636325559913
Operating Profit 772493082734191469
Operating Profit Margin (%) 5.9%5.9%6.6%7.6%0.2%6.2%10.6%
Other Income 2124601096753
Interest 34111146289185135155
Depreciation 43139153421238233239
Exceptional Items 000-61-4500
Profit Before Tax -11213-437-356-110128
Tax -16-1-9-7742-640
Profit After Tax 151321-360-398-10488
PAT Margin (%) 1.2%0.3%0.5%-10.0%-20.8%-3.4%2.0%
Adjusted EPS (₹)1.01.92.1-66.7-54.7-20.22.8
Dividend Payout Ratio (%)0%0%0%0%0%0%36%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 6571,0581,117591511737894
Share Capital 22232323425353
Reserves 6361,0351,094567468684840
Minority Interest087918869100183
Debt5776717911,210903461557
Long Term Debt15381861631577231
Short Term Debt4245907051,048746390526
Trade Payables7481,0681,2391,3259601,0481,020
Others Liabilities 155617784866509608
Total Liabilities 1,9972,9393,2553,9983,3092,8563,260

Fixed Assets

Gross Block5048419751,7571,9231,0511,465
Accumulated Depreciation163309437523869390600
Net Fixed Assets3405325371,2341,054661865
CWIP 01111002
Investments 82000000
Inventories9447271,1841,306880831982
Trade Receivables250784879781655572560
Cash Equivalents 2328121219105200
Others Assets358867631664701687651
Total Assets 1,9972,9393,2553,9983,3092,8563,260

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity -146-78175206-70300317
PBT 21213-496-554-243127
Adjustment 76242295692365311329
Changes in Working Capital -219-306-9621108244-96
Tax Paid -4-25-37-1111-12-43
Cash Flow From Investing Activity -710-149-150-118-49-9-28
Capex -55-170-153-120-4617-61
Net Investments -85000000
Others -5702142-2-2533
Cash Flow From Financing Activity 855226-46-85113-209-198
Net Proceeds from Shares 8803001214994955
Net Proceeds from Borrowing 13-26-35771-86-41
Interest Paid -19-88-120-266-249-88-86
Dividend Paid 0000000
Others -194097103-138-531-76
Net Cash Flow -1-1-213-68291
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)2.281.511.98-42.14-72.26-16.6810.78
ROCE (%)2.688.45-7.84-10.331.8120.51
Asset Turnover Ratio0.651.921.710.830.520.991.45
PAT to CFO Conversion(x)-9.73-68.33N/AN/AN/A3.6
Working Capital Days
Receivable Days7140571011377347
Inventory Days267646615220910275
Payable Days293127138181306179135

Arvind Fashions Ltd Stock News

Arvind Fashions Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Arvind Fashions on 18-Apr-2024 16:01 is ₹449.6.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 18-Apr-2024 16:01 the market cap of Arvind Fashions stood at ₹5,930.4.
The latest P/E ratio of Arvind Fashions as of 18-Apr-2024 16:01 is 0.00.
The latest P/B ratio of Arvind Fashions as of 18-Apr-2024 16:01 is 2.57.
The 52-week high of Arvind Fashions is ₹533.4 and the 52-week low is ₹264.0.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Arvind Fashions is ₹742.2 ( Cr.) .

About Arvind Fashions Ltd

Arvind Fashions is India's leading casual and denim player, a lifestyle powerhouse with a strong portfolio of fashion brands catering to consumers across sub-categories and price points.

Earlier in 2018 Arvind Ltd, the textile major, first announced a plan to demerge the engineering and branded apparel divisions on November 8, 2017. After SEBI's approval, the demerger finally took place on November 28, 2018. While Anup Engineering got listed on the exchanges on 1 March, 2019, Arvind Fashions got listed on March 8, 2019. The core objective behind the exercise was to unlock value in each of the three verticals.

Presently, Arvind Fashions Limited is proud to be the most valuable lifestyle powerhouse that has redefined the retail and fashion industry in India. With a dynamic portfolio of leading global brands in India, it has something for everyone. From CEOs to the fashion forward youth to value conscious family, and from the experimental to the conventional dressers, its brands are for the India of today and tomorrow. Fuelling India’s booming fashion aspiration, it got denim to India and Flying Machine to your wardrobe. With Arrow, India first international brand, it raised the bar of excellence.

Business area of the company

The company is India's no. 1 casual and denim player, a lifestyle powerhouse with a strong portfolio of fashion brands catering to consumers across the sub-categories and price points. With a host of renowned brands, both international and indigenous, like US Polo Association, ARROW, Tommy Hilfiger, Calvin Klein, Flying Machine, Unlimited and Sephora, it has presence across lifestyle brands, value fashion and prestige beauty.

Brands

  • Aeropostale
  • Arrow
  • Calvin Klein
  • Cole Haan
  • ED Hardy
  • Flying Machine
  • GAP
  • Hanes & U.S. Polo Association Innerwear
  • Sephora
  • Stride
  • The Children’s Place
  • Tommy Hilfiger
  • Unlimited
  • U.S. Polo Association

Awards and recognitions

2016

  • 2 Awards in the Make-Up category at Vogue Beauty Awards 2016
  • Most Admired Retailer of the year- Store Design & VM

2017

  • U.S. Polo Assotiation (USPA) won the Best Men’s Classic Brand Award in the Shoppers Stop Pinnacle Award
  • USPA was awarded the Best Men’s Casual Wear Brand Award at the Myntra Tech Threads Function on 2nd November 2017
  • Unlimited certified with IRF trusted mark
  • 6th edition of TRRAIN Retail Awards - Winner 2017
  • 7th instalment of TRRAIN Retail Awards - Winner 2017
  • Number of Awards at the IRF and from KamiKaze B2B Media
  • 3 Awards in the Make-Up category at Vogue Beauty Awards 2017
  • ‘Excellence in Quality Management’ Award at the 6th Manufacturing Supply Chain Summit 2017
  • Emerging Young Leader in HR Awards
  • Excellence in Cost Management
  • Pepe Jeans, Levi Strauss, Aditya Birla have given us a pat on the back!
  • 16th Asia Pacific HRM Congress Awads 2017

2018

  • Sephora Awarded Retailer of the year at the 2018 World Reatil Congress
  • Best Brand Men’s Innearwear Award
  • 1st in “Best Companies To Work For” in Retail (including QSR), by Business Today
  • Arrow ranked India’s most trusted apparel brand 2018
  • National Best Employer Award 2018

History and milestones

  • 1931: The birth of Arvind and the beginning of a legacy that would revolutionise Indian textile and denim industry.
  • 1980: India’s first ever home grown denim brand, Flying Machine is born.
  • 1993: With the arrival of Arrow and the opening of its exclusive flagship store, India was for the first time ever introduced to an international brand.
  • 1995: Ruf n Tuf, an iconic youth denim brand, was launched with a commercial featuring Akshay Kumar.
  • 1995: India was introduced to its first mass market brand with the launch of Megamart.
  • 1997: Arvind brought Excalibur to India and it is now a part of our UNLIMITED stores.
  • 1999: Arvind brought Wrangler to India
  • 2004: Tommy Hilfiger, India’s first designer premium brand, was brought to India by Arvind.
  • 2006: GANT, an internationally recognised brand for effortlessly blending American sportswear with European sophistication, arrived in India.
  • 2007: Cherokee was launched in India.
  • 2009: The iconic U.S. Polo Assn. brand was brought to India by Arvind. It has gone to become one of the fastest growing brands in our portfolio.
  • 2012: Inspired by the sea and all its surrounding, the nautical theme brand, Nautica, arrived in India.
  • 2012: Elle was launched in India.
  • 2013: Ed Hardy, the namesake brand of the iconic tattoo artist, was launched in India.
  • 2013: Hanes, the Innerwear brand was acquired by Arvind.
  • 2014: Calvin Klein was added to the Brand portfolio in joint venture with PVH
  • 2014: Arvind launched Creyate, its very own bespoke menswear brand that offers state-of-the-art custom clothing.
  • 2015: The go-to destination for children’s clothing and accessories, The Children’s Place, was launched in India.
  • 2015: International clothing giant GAP was launched in India.
  • 2015: Arrow, U.S. Polo Assn. and Flying Machine launched their footwear range in India.
  • 2015: Aeropostale launched its shoe range in India.
  • 2016: Arvind launched Nnnow.com, a one-stop shopping destination for fashion lovers and style seekers across the country.
  • 2016: Sephora was added to the Brand portfolio.
  • 2017: Arvind Ltd, the textile major, first announced a plan to demerge the engineering and branded apparel divisions on November 8, 2017.
  • 2018: Arvind Fashion finally demerged from Arvind Limited on November 28, 2018.
  • 2019: Arvind Fashions got listed on March 8, 2019.
  • 2019: U.S. Polo Assn. launched a range of responsible jeans
  • 2019: Flying Machine launched a range of shirts made from 100% recycled fabric, blend of recycled cotton and polyester.
  • 2019: Flying Machine and U.S. Polo Assn. launched certain products that were manufactured using non-hazardous chemicals in the washing process.
  • 2020: ‘Eco Warrior’ label under Flying Machine continued to experiment with the shirts range made from 100% recycled fabric, blend of recycled cotton and polyester.
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