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Precot Ltd (PRECOT)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 521184 NSE: PRECOT Textile - Spinning | Small Cap | Precot Share Price

BSE Share Price
Not Listed

Precot Ltd (PRECOT)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 521184 NSE: PRECOT Textile - Spinning | Small Cap | Precot Share Price

BSE Share Price
Not Listed
Key Metrics
Valuation Multiples
Market Cap
₹919 Cr.
Current Price
₹0
52-Week Low / High
₹0 / 0
TTM EPS
₹29.9
TTM Sales
₹852 Cr.
Book Value per Share
₹381.1
P/E Ratio
25.63
Higher than its 5-year historical median
Industry PE
21.5
Price to Book (P/B)
2.01
Higher than its 5-year historical median
Price to Sales (P/S)
1.08
Higher than its 5-year historical median
EV/EBITDA
10.86
Higher than its 5-year historical median
Dividend Yield
0.68%
Profitability Efficiency
Return on Equity (ROE)
12.63%
In line with industry median
Return on Capital Employed (ROCE)
13.10%
Outperforms industry median
Return on Assets (ROA)
5.61%
Operating Profit Margin
13.1%
Net Profit Margin
5.96%
Gross Profit Margin
10%
Growth Momentum
1-yr vs 3-yr growth
Sales Growth (1 Year)
Improving versus 3-year growth rate
3.28%
Operating Profit Growth (1 Year)
Improving versus 3-year growth rate
57.33%
Net Profit Growth (1 Year)
Improving versus 3-year growth rate
128.57%
Asset Quality
Promoter Holding
61.51%
Pledged shares (%) of Promoter's holding (%)
0.00%
Reserves
₹445 Cr.
Equity
₹12 Cr.
Face Value
₹10
All Time Low / High
- / -

Precot stock performance

Key Ratios
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Quality

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Valuation

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Price Trend

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Q.1 Is Precot Ltd a good quality company?
Precot Ltd is a average quality company, based on a somewhat consistent 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.

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.

How does Precot Ltd performance compare with that of its Peers?
Q.1 Revenue growth of Precot Ltd vs industry peers?
Precot Ltd revenue CAGR is 3.64%, compared to the industry median CAGR of 1.47%, indicating faster growth and gaining its market share.
Q.1 Promoter shareholding and pledge status of Precot Ltd?
Promoters hold 61.51% of the Precot Ltd, with 0.00% of their stake pledged, indicating no pledge risk.
Q.1 Stock return of Precot Ltd over the last decade?
Over the last 5 year(s), the stock has delivered a CAGR of 37.16% based on the current price.

10 Year X-Ray : Login to view analysis.

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.
Precot Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25TTM
ROCE % -3.3%3.5%5.3%4.9%4.3%10.8%23.1%0.6%7.9%13.1%-
Value Creation
Index
-1.2-0.8-0.6-0.7-0.7-0.20.7-1.0-0.4-0.1-

Growth Parameters

Sales 684679709790726665993954841868852
Sales YoY Gr.--0.6%4.4%11.4%-8.1%-8.4%49.3%-4%-11.9%3.3%-
Adj EPS -33.6-30.9-25.8-8.5-13.725.685.7-2117.842.529.9
YoY Gr.-NANANANANA235.2%-124.5%NA138.7%-
BVPS (₹) 66271.2266.7260.2239265.2350.6318.6329354.3381.1
Adj Net
Profit
-40.3-37.1-31-10.2-16.530.7103-25.221.45136
Cash Flow from Ops. 29.119.710.875.561.32655.549.2121116-
Debt/CF from Ops. 13.717.935.34.7512.66.47.73.12.8-

CAGR

9 Years 5 Years 3 Years 1 Years
Sales 2.7%3.6%-4.4%3.3%
Adj EPS NANA-20.9%138.7%
BVPS20.5%8.2%0.4%7.7%
Share Price - 35% 61.5% 45.1%

Key Financial Parameters

Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25TTM
Return on
Equity %
-37.7-18.4-9.6-3.2-5.510.227.9-6.35.512.48.1
Op. Profit
Mgn %
6.14.34.17.46.914.219.13.68.613.113.2
Net Profit
Mgn %
-5.9-5.5-4.4-1.3-2.34.610.4-2.62.55.94.2
Debt to
Equity
51.11.21.11.110.910.90.80.3
Working Cap
Days
11511912711812314713616918717472
Cash Conv.
Cycle
74889486889999123116965

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Sales684679709790726665993954841868
Operating Expenses + 654650687731677571803923768755
Manufacturing Costs149123120135140107154163137150
Material Costs378413446472430359489623524479
Employee Cost 78757277727494857183
Other Costs 48394947353167523743
Operating Profit 3029225949941903172114
Operating Profit Margin (%) 4.4%4.3%3.1%7.4%6.8%14.1%19.1%3.2%8.6%13.1%
Other Income + 1125561166794
Exceptional Items -1904100000-20
Interest 39444242403430393431
Depreciation 38343331333333332019
Profit Before Tax -56-24-6-8-1333134-352568
Tax 00004028-9316
Profit After Tax -56-24-6-8-1733105-262352
PAT Margin (%) -8.1%-3.5%-0.8%-1.1%-2.3%5.0%10.6%-2.7%2.7%6.0%
Adjusted EPS (₹)-46.3-19.7-4.8-6.9-13.827.587.9-21.718.943.1
Dividend Payout Ratio (%)0%0%0%0%0%0%6.80%0%8%7%

Valuation of Precot - Standalone

YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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Analyst's Notes

data not found
No data found!

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25

Equity and Liabilities

Shareholders Fund + 79325320312287318421382395425
Share Capital 12121212121212121212
Reserves 67313308300275306409370383413
Debt +352316378324296274291347333286
Long Term Debt15914117814712310582145144103
Short Term Debt193174200177173169209202189183
Minority Interest0000000000
Trade Payables212236294530386310398
Others Liabilities 961246698801131608598106
Total Liabilities 548787800764708734910877929915

Fixed Assets

Net Fixed Assets +313533509487446420409423424454
Gross Block720566575584575581601647670716
Accumulated Depreciation407336697129161192224246262
CWIP 151213323564
Investments 18171718111113101612
Inventories128148155133124131241242232211
Trade Receivables4749748089102140119131113
Cash Equivalents 35988911686
Others Assets 383236352859647461116
Total Assets 548787800764708734910877929915

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Cash Flow From Operating Activity + 2920117561265649121116
PBT -56-10-5-8-1333134-351144
Adjustment 96423672646459675653
Changes in Working Capital -12-12-201110-71-117235020
Tax Paid 10-0-0-0-0-20-64-1
Cash Flow From Investing Activity + -66910-821-8-55-30-69-37
Capex -8389-1119-10-56-28-60-44
Net Investments 026-1000-0-3-125
Others 2533321122
Cash Flow From Financing Activity + -23-87-17-68-82-171-23-50-81
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing -20-2812-5-4421-10264-39
Interest Paid -39-42-41-40-33-33-27-34-39-34
Dividend Paid -0-0-0-000-0-7-0-2
Others 35-1613-23-5-438-8-15-6
Net Cash Flow -024-1012-41-2

Financial Ratio

PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Ratios
ROE (%)-51.93-11.68-1.79-2.62-5.5210.8928.53-6.485.8312.63
ROCE (%)-3.33.495.274.914.3310.7523.060.597.8613.1
Asset Turnover Ratio1.221.020.891.010.990.921.211.070.930.94
PAT to CFO Conversion(x)N/AN/AN/AN/AN/A0.790.53N/A5.262.23
Working Capital Days
Receivable Days23.3025.7031.6035.5042.5052.5044.5049.5054.2051.30
Inventory Days60.3074.2077.9066.4064.6070.1068.5092.5010393.10
Payable Days17.801923.9025.1031.6038.1025.3029.7057.9076.50

Management X-Ray

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Top 5 Mutual Funds Holding

Last Visited Stocks

Announcements

Precot Ltd FAQs

The current trading price of Precot on 01-Jan-1970 05:30 is ₹0.00.

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 31-Dec-1969 the market cap of Precot stood at ₹918.8 Cr

The latest P/E ratio of Precot as of 31-Dec-1969 is 25.63.

The latest P/B ratio of Precot as of 31-Dec-1969 is 2.01.

The 52-week high of Precot is ₹0.00 and the 52-week low is ₹0.00.

The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Precot is ₹852 ( Cr.) .

Past 10 year's financial track record analysis by Moneyworks4me indicates that Precot Ltd is a average quality company.

The key valuation ratios of Precot Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

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

About Precot Ltd

Established in 1962, Precot has symbolized Quality and Trust in the textile industry. With four decades of spinning experience and a diverse range of products that include cotton yarns, sewing threads, fabrics and garments; Precot is one of the few totally integrated textile players with a total turnover of 90 million US Dollars.

Precot Mills limited was renamed as Precot Meridian Limited with effect from September 28,2006. The company has also adopted a new logo. The name change is in tune with the transformation of the company from a pure spinning mill into an integrated textile player. The company apart from manufacturing cotton yarn and polyester sewing thread has also commenced manufacture of yarn dyed shirting fabrics. It proposed to venture into garment manufacture also in due course. 

The group has state of the art infrastructure facilities and skilled personnel to rise up to customer expectations.

The group has been accorded the status of ‘Export House’ by the Cotton Textile Export Promotion Council of India (TEXPROCIL). The countries we export our products to include Belgium, China, Italy, Japan, Malaysia, Portugal, South Korea, Turkey and U.K. among others.

Meridian Industries Limited has been merged with Precot Mills Limited with effect from 01st April,2006. Meridian Industries Ltd (MIL) which was incorporated in the year 1993 was promoted by Precot Mills Limited and. Around 70% of the shares of MIL were held by the shareholders of Precot. To have larger capacity in a single company,  instead of the capacities being spread over in two companies having common shareholders, the merger was proposed.

This has been approved by the High Court of Madras vide its order dated 30th August and 1st September, 2006. As per the scheme of Merger, the shareholders of MIL are entitled for one share of Precot for every two shares of MIL. Accordingly the share certificates of  Precot was despatched in Dec,06 to those shareholders who have surrendered the certificates of MIL.

Product range of the company includes:

Combed Cotton yarn

  • Knitting and Weaving : Ne. 20/1 to 50/1
  • P/C Blends and Modal/Cotton Blends
  • Doubled yarn on TFO: Ne.50/2,56/2,66/2,74/2, 80/2, 94/2, 100/2
  • Gassed yarn: Ne.40/2 to 100/2
  • Compact spun yarn for Weaving
  • Elitwist yarn for Weaving & Hosiery
  • OE yarn 2's - 10's

Polyester Sewing Thread on TFO

  • Bulk cones Raw White & Dyed
  • Mini cones 5,000 meters
  • Ne.30/2, 30/3, 40/2, 40/3 & 60/3

Achievements/ recognition

  • All the group companies are ISO 9001:2000 certified and are in the process of implementing TQM
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