Rajapalayam Mills Ltd (RAJPALAYAM) Stock Analysis: Valuation, Latest Results, Financial Ratios & DeciZen Rating

BSE: 532503 | NSE: RAJPALAYAM | Textile - Spinning | Small Cap

Rajapalayam Mills Share Price

846.05 0.60 0.07%
as on 07-Nov'25 16:59

Rajapalayam Mills Ltd (RAJPALAYAM) Stock Analysis: Valuation, Latest Results, Financial Ratios & DeciZen Rating

BSE: 532503 | NSE: RAJPALAYAM | Textile - Spinning | Small Cap

DeciZen - make an informed investing decision on Rajapalayam Mills

Based on:

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Rajapalayam Mills stock performance -

Key Ratios
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P/E Ratio (SA):
0.00
Market Cap:
779.5 Cr.
52-wk low:
750.1
52-wk high:
1,150

Is Rajapalayam Mills Ltd an attractive stock to invest in?

1. Is Rajapalayam Mills Ltd a good quality company?

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

2. Is Rajapalayam Mills Ltd undervalued or overvalued?

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

3. Is Rajapalayam Mills Ltd a good buy now?

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

10 Year X-Ray of Rajapalayam Mills:

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.
Rajapalayam Mills 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'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25TTM
ROCE % 11.5%11.7%8.2%7.6%3.3%0.7%11.9%7.7%6.2%1.6%-
Value Creation
Index
-0.2-0.2-0.4-0.5-0.8-1.0-0.2-0.5-0.6-0.9-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 396410430416361415690862859898869
Sales YoY Gr.-3.5%4.7%-3.2%-13.3%15%66.3%25%-0.4%4.7%-
Adj EPS 30.64938.335.710-31.216.647.2-11.5-56.3-51.1
YoY Gr.-60%-21.8%-6.9%-72.1%-412.9%NA184.4%-124.4%NA-
BVPS (₹) 271.1316.5349.2378.9382.2362.8434.1493.1523.7467453.7
Adj Net
Profit
23.938.229.927.87.8-23.314.543.5-10.6-51.9-47
Cash Flow from Ops. 45.33276.521.543.333.93.7-45.7148116-
Debt/CF from Ops. 6.38.83.121.313.518.2202.3-24.37.39.6-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 9.5%20%9.2%4.7%
Adj EPS -207%-241.4%-250.3%NA
BVPS6.2%4.1%2.5%-10.8%
Share Price 10.4% 8.8% 2.4% -17.8%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25TTM
Return on
Equity %
11.716.711.59.82.6-8.24.510.4-2.3-11.4-11.1
Op. Profit
Mgn %
15.219.914.613.311.110.618.716.310.78.29.2
Net Profit
Mgn %
69.376.72.2-5.62.15.1-1.2-5.8-5.4
Debt to
Equity
1.41.10.91.622.322.42.22.6-
Working Cap
Days
179185184234294225186229254226109
Cash Conv.
Cycle
128143144154189157133173200181-20

Recent Performance Summary

No data to display

Return on Equity is Poor

Sales growth has been subdued in last 3 years 9.22%

Net Profit has been subdued in last 3 years -250.26%

Debt to equity has increased versus last 3 years average to 2.57

Sales growth is not so good in last 4 quarters at -0.51%

Latest Financials - Rajapalayam Mills Ltd.

Standalone Consolidated
TTM EPS (₹) -51.1 34.8
TTM Sales (₹ Cr.) 869 869
BVPS (₹.) 453.7 2,496.9
Reserves (₹ Cr.) 409 2,293
P/BV 1.86 0.34
PE 0.00 24.30
From the Market
52 Week Low / High (₹) 750.05 / 1150.00
All Time Low / High (₹) 66.70 / 1497.15
Market Cap (₹ Cr.) 780
Equity (₹ Cr.) 9.2
Face Value (₹) 10
Industry PE 21.1

Management X-Ray of Rajapalayam Mills:

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 (%)

Valuation of Rajapalayam Mills - Standalone Basis

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

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No data found!

Key Ratios of Rajapalayam Mills

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Sales396410430416361415690862859898
Operating Expenses 336332368361323373561730769825
Manufacturing Costs806061676061101122114144
Material Costs192204240218186232344463511521
Employee Cost 47485159575784100102120
Other Costs 17201617202232454240
Operating Profit 6079625538421291329073
Operating Profit Margin (%) 15.2%19.2%14.4%13.3%10.5%10.2%18.7%15.3%10.5%8.2%
Other Income 1921425231416211726
Interest 27211822264443557491
Depreciation 22213332344850576775
Exceptional Items 00000-3267581
Profit Before Tax 313825261-38774823-67
Tax 63-4-2-5-12386-5-16
Profit After Tax 253629286-27384228-50
PAT Margin (%) 6.3%8.8%6.8%6.7%1.8%-6.4%5.6%4.9%3.3%-5.6%
Adjusted EPS (₹)32.046.137.535.78.2-35.643.946.030.7-54.5
Dividend Payout Ratio (%)9%8%10%11%12%-1%2%2%2%-1%

Balance Sheet

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

Equity and Liabilities

Shareholders Fund 211247272296298271379455483431
Share Capital 7777779999
Reserves 204239265288291264370445474421
Minority Interest0000000000
Debt2352341993965835436471,035982995
Long Term Debt1007349196310302312481496531
Short Term Debt134161150200273241336554486464
Trade Payables610619151518152429
Others Liabilities 1161078811544124207182209254
Total Liabilities 5695985658269409531,2511,6861,6981,709

Fixed Assets

Gross Block6516566647241,0051,0311,1591,2301,5961,611
Accumulated Depreciation351370390412427468500549609675
Net Fixed Assets 300285274312578562659682987936
CWIP 0368641037262159
Investments 7877789899979773117175
Inventories108147115149147130249364324305
Trade Receivables404350625177103159168183
Cash Equivalents 2324667666
Others Assets 3938401165671981418095
Total Assets 5695985658269409531,2511,6861,6981,709

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Cash Flow From Operating Activity 4532772143344-46148116
PBT 313825261-365141-34-67
Adjustment 2940352938789294131149
Changes in Working Capital -12-3818-323-8-136-1825234
Tax Paid -3-8-2-11-1-32-1-0
Cash Flow From Investing Activity 6-5-10-209-132-25-152-304-46-51
Capex -12-9-24-212-166-41-184-345-93-21
Net Investments -00-0-21-00342116-59
Others 18314243416-2213129
Cash Flow From Financing Activity -53-26-6819092-10149349-102-65
Net Proceeds from Shares 0000006935114144
Net Proceeds from Borrowing 1-32-31169125-631148-74-97
Interest Paid -27-21-18-22-26-44-43-53-74-91
Dividend Paid -50-3-3-4-1-0-1-1-1
Others -2228-1646-44292220-69-20
Net Cash Flow -11-123-11-0-0-0

Finance Ratio

PARTICULARSMar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25
Ratios
ROE (%)12.2515.6811.279.82.16-9.3511.7710.176.04-10.99
ROCE (%)11.4811.668.247.613.330.711.97.76.231.56
Asset Turnover Ratio0.680.70.740.60.410.450.650.60.520.55
PAT to CFO Conversion(x)1.80.892.660.757.17N/A0.11-1.15.29N/A
Working Capital Days
Receivable Days37374049575446546769
Inventory Days9611411111615011797126141123
Payable Days11141221342417131419

Rajapalayam Mills Ltd Stock News

Rajapalayam Mills Ltd FAQs

The current trading price of Rajapalayam Mills on 07-Nov-2025 16:59 is ₹846.0.
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 06-Nov-2025 the market cap of Rajapalayam Mills stood at ₹779.5.
The latest P/E ratio of Rajapalayam Mills as of 06-Nov-2025 is 0.00.
The latest P/B ratio of Rajapalayam Mills as of 06-Nov-2025 is 1.86.
The 52-week high of Rajapalayam Mills is ₹1,150 and the 52-week low is ₹750.0.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Rajapalayam Mills is ₹869.1 ( Cr.) .

About Rajapalayam Mills Ltd

Rajapalayam Mills, a Ramco group company, was established in 1938, founded by PAC Ramasmy Raja with 6800 spindles imported from England. Rajapalayam Mills today produces 11 million kg of yarn per year, employs more than 1000 workers and has a turnover of over Rs1818 million. It is acknowledged as the most efficient spinning mills in the industry.

Rajapalayam Mills has set the industry standard for quality and price in cotton yarn manufactured with a production increase of about 40% purely through modernization. Present capacity : 1,21,856 Spindles (including 56,080 compact spinning spindles, 11568 Eli-Twist spindles and 2400 Slub Yarn Spindles). The company is also having 2000 Rotors in Rajapalaiyam and around 2000 Rotors in Andhra Pradesh.

Textile business is the first business venture of Ramco Group with setting up of Rajapalayam Mills Ltd  in 1938.

A technologically advanced unit right from its inception, the mill’s state-of-the-art equipment ensures optimum spinning efficiency and profitability. The mill traditionally makes quality counts from 6’s to 220’s, added capacity to produce value added yarns like Compact, Elitwist, Slub, Gazzed yarn in singles and doubles. It export 80% of its spinning capacity to the highly quality-conscious markets like Japan and also to other countries like Korea, China, Hong Kong, Malaysia, Indonesia, Thailand, Pakistan, Dubai, Bahrain, Italy and Spain etc.

The mill has had stable harmonious industrial relations for over 40 years. The management has evolved a number of welfare schemes to motivate its workforce and meet the various needs of them such as cheap credit, housing loans, interest-free marriage loans, educational subsides medical aid to the public at reduced rate. It also runs many Educational Instutions to impart quality education at affordable rate to the students in and around Rajapalayam. An educational trust has been established in the name of the founder Shri PAC Ramasamy Raja, which offers many social services to uplife the living standards of people in Rajapalayam.

The instaled capacity of the mill is 96,224 spindles and 1,344 rotors. It produces over nine million Kgs of yarn per annum, employing more than 1000 workers with a turnover of over Rs. 147 crores  Rajapalayam Spintext  and Rajapalayam Textiles are the two divisions of company.

It is one of the most advanced textile mill in the country and is setting the industry standard for quality and price for many years. Rajapalayam Mills is the first in the country to acquire an Open End Spinning machine in early eighties.

Product range of the company includes:

Rajapalayam Mills Ltd is engaged in manufacture and sale of yarns

  • Ring Yarn (Ne) - 30/1 to 120/1
  • Compact Yarn (Ne) - 30/1 to 140/1
  • Elitwist Compact Yarn (Ne) - 40/2 to 200/2
  • TFO Doubled Yarn (Ne) - 40/2 to 160/2
  • Gassed Yarn (Ne) - 40/2 to 220/2
  • Slub & Multicount Yarn (Ne) - 16s to 94s
  • Model / Tencel Yarn (Ne) - 20s to 40s
  • OE Yarn (Ne) - 4s to 20s
  • Organic Cotton Yarn - 30s to 60s

Awards/ Achievements

  • Rajapalayam Mill Ltd is the first company to be awarded in South India for “Usterized” certificate from Switzerland.
  • It also bagged the coveted “Oeko-tex standard 100” certificate which assures that there are no dangerous metals present in its yarns.
  • The mill also has obtained the accredition to use “Supima Cotton” logo for excellence in quality.
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