Arex Industries

Why is Arex Industries Ltd falling/rising?

As of 01-Sep, Arex Industries Ltd's stock price is at 125.20, down 4.79%, reflecting a consistent downward trend with a 17.11% decline over the past year and significantly reduced investor participation. Despite recent profit increases, the stock has underperformed its sector and the broader market, indicating waning investor interest.

As of 01-Sep, Arex Industries Ltd's stock price is falling, currently at 125.20, reflecting a decrease of 6.3 points or 4.79%. This decline is evident as the stock has underperformed its sector by 4.91% today and has touched an intraday low of Rs 125.2. Additionally, the stock has shown a negative return of 1.49% over the past week and a significant drop of 17.11% over the past year, indicating a consistent downward trend.<BR><BR>Investor participation has also decreased sharply, with a delivery volume of just 1 on August 31, which is a staggering 99.24% drop compared to the 5-day average. This lack of trading activity suggests waning interest among investors. While the company reported positive results in June, such as record net sales and operating profit margins, these have not translated into sustained stock performance, as evidenced by the weak long-term fundamental strength, including a -1.82% CAGR growth in operating profits over the last five years.<BR><BR>Moreover, despite a rise in profits by 41.3% over the past year, the stock's overall performance remains negative, and it has underperformed the broader market, which has generated positive returns of 2.32% in the same period. This combination of declining stock price, reduced investor participation, and underperformance relative to the market contributes to the current downward movement of Arex Industries Ltd's stock.

Who are in the management team of Arex Industries?

The management team of Arex Industries includes Dinesh A Bilgi (Managing Director & CFO), Neel D Bilgi (Managing Director), Pragnesh K Shah (Whole-time Director), and several other directors, including independent and non-executive members, overseeing the company's strategic direction.

The management team of Arex Industries includes the following individuals:<BR><BR>1. Dinesh A Bilgi - Managing Director & CFO<BR>2. Neel D Bilgi - Managing Director<BR>3. Pragnesh K Shah - Whole-time Director<BR>4. Laxman C Tilani - Non Executive Director<BR>5. Vasant R Shah - Non Executive Director<BR>6. Balkrishna I Makwana - Independent Director<BR>7. Chirag D Bilgi - Managing Director<BR>8. Harsha H Parikh - Independent Director<BR>9. Kairavi Bilgi - Company Secretary & Compliance Officer<BR>10. Aviv Divekar - Independent Director<BR><BR>This team is responsible for the strategic direction and management of the company.

What does Arex Industries do?

Arex Industries Ltd manufactures and trades woven and printed labels for the garments industry. As of June 2026, it reported net sales of 14 Cr and a net profit of 9 Cr, with a market cap of INR 47 Cr.

Overview: <BR>Arex Industries Ltd is engaged in the manufacturing and trading of woven and printed labels within the garments and apparels industry, classified as a micro-cap company.<BR><BR>History: <BR>Arex Industries Limited was incorporated in 1983 and was founded in 1989 by Mr. Dinesh Bilgi, who utilized his weaving expertise to establish the company. The latest quarterly results reported net sales and profit for June 2026.<BR><BR>Financial Snapshot: <BR>Net Sales: 14 Cr (Quarterly Results - Jun 2026) <BR>Net Profit: 9 Cr (Quarterly Results - Jun 2026) <BR>Market Cap: INR 47 Cr (Micro Cap)<BR><BR>Key Metrics: <BR>P/E: 16.00 <BR>Industry P/E: 28 <BR>Dividend Yield: 0.00% <BR>Debt Equity: 0.39 <BR>Return on Equity: 10.82% <BR>Price to Book: 1.76 <BR><BR>Contact Details: <BR>Address: 612 GIDC, Chhatral Tal Kalol Gandhinagar Gujarat : 382729 <BR>Tel: 91-2764-233636 <BR>Email: mail@arex.co.in <BR>Website: http://www.arex.co.in

Who are the peers of the Arex Industries?

Arex Industries' peers include MKP Mobility, Wires & Fabriks, SVP Global, GTN Industries, Bang Overseas, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and Silky Overseas. MKP Mobility leads in 1-year returns at 20.33%, while Arex Industries has a return of -17.30%.

Peers: The peers of Arex Industries are MKP Mobility, Wires & Fabriks, SVP Global, GTN Industries, Bang Overseas, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and Silky Overseas.<BR><BR>Quality Snapshot: Excellent management risk is observed at MKP Mobility and Silky Overseas, while Average management risk is found at Arex Industries, GTN Industries, and the rest. Below Average management risk is noted at Wires & Fabriks, SVP Global, Bang Overseas, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and the rest. Growth is rated as Excellent for Bang Overseas, Good for MKP Mobility and Silky Overseas, Below Average for Arex Industries, Wires & Fabriks, SVP Global, GTN Industries, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and the rest. Capital Structure is rated as Good for MKP Mobility and Silky Overseas, Average for Arex Industries, and Below Average for Wires & Fabriks, SVP Global, GTN Industries, Bang Overseas, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and the rest.<BR><BR>Return Snapshot: The peer with the highest 1-year return is MKP Mobility at 20.33%, while the peer with the lowest is Celebrity Fash. at -46.43%. Arex Industries has a 1-year return of -17.30%, which is better than Celebrity Fash. but worse than MKP Mobility. Additionally, the six-month return is negative for Bang Overseas, Dhanlaxmi Fabric, Celebrity Fash., Shubham Polyspin, and GTN Industries.

How big is Arex Industries?

As of 31st August, Arex Industries Ltd has a market capitalization of 47.00 Cr, with recent net sales of 52.66 Cr and a net profit of 10.04 Cr. Shareholder's funds are 27.74 Cr and total assets amount to 44.97 Cr as of March 2026.

As of 31st August, Arex Industries Ltd has a market capitalization of 47.00 Cr, categorizing it as a Micro Cap company.<BR><BR>In the latest four quarters, Arex Industries reported Net Sales of 52.66 Cr and a Net Profit of 10.04 Cr.<BR><BR>The latest reporting period for the balance sheet is March 2026, with Shareholder's Funds amounting to 27.74 Cr and Total Assets of 44.97 Cr.

Which are the latest news on Arex Industries?

Are Arex Industries Ltd latest results good or bad?

Arex Industries Ltd's latest results show impressive revenue growth and a significant profit increase, but concerns about sustainability and low returns on equity suggest that the underlying business may not be as strong as it appears. Investors should exercise caution due to potential issues with the quality of earnings and overall financial health.

Arex Industries Ltd's latest results present a mixed picture. On one hand, the company reported a significant increase in net profit for Q1 FY27, reaching ₹8.81 crores, which is an astounding 3,424% growth year-on-year. Revenue also saw a healthy rise, with net sales of ₹14.28 crores, marking a 26.71% increase compared to the same quarter last year. Additionally, the operating margin improved to 23.53%, the highest in eight quarters.<BR><BR>However, while these figures are impressive on the surface, they raise concerns regarding sustainability. The extraordinary profit surge appears to be driven by exceptional items rather than core operational performance, suggesting that the underlying business may not be as strong as the headline numbers imply. The profit before tax of ₹11.78 crores significantly exceeds the operating profit of ₹3.36 crores, indicating that a substantial portion of the profits may not be recurring.<BR><BR>Moreover, the company's return on equity (ROE) and return on capital employed (ROCE) remain low, at 8.59% and 9.14% respectively, which are below acceptable thresholds for quality businesses. The absence of institutional interest and a deteriorating balance sheet further complicate the outlook.<BR><BR>In summary, while the latest results show strong revenue growth and improved margins, the quality of earnings and overall financial health raise red flags. Investors should approach with caution, as the apparent success may not reflect sustainable operational improvements.

Should I buy, sell or hold Arex Industries Ltd?

Is Arex Industries overvalued or undervalued?

As of December 3, 2025, Arex Industries is considered a compelling investment opportunity due to its attractive valuation metrics, including a PE ratio of 19.57 and a PEG ratio of 0.00, despite a year-to-date stock performance lagging at -16.42% compared to the Sensex's 8.92%.

As of 3 December 2025, Arex Industries has moved from an attractive to a very attractive valuation grade. The company is currently undervalued, with a PE ratio of 19.57, an EV to EBIT of 13.40, and an EV to EBITDA of 6.83. In comparison to peers, K P R Mill Ltd is very expensive with a PE ratio of 41.06, while Trident is attractive with a PE of 32.27.<BR><BR>Despite recent stock performance lagging behind the Sensex, with a year-to-date return of -16.42% compared to the Sensex's 8.92%, Arex Industries' strong valuation metrics suggest it is a compelling investment opportunity. The PEG ratio stands at 0.00, indicating potential for growth at a reasonable price, further supporting the conclusion that Arex Industries is undervalued in the current market.

How has been the historical performance of Arex Industries?

Arex Industries has experienced fluctuating financial performance, with net sales increasing slightly to 51.14 Cr in March 2025 but operating profit declining to 8.88 Cr. Overall, while some metrics improved, others showed a decline, indicating variability in profitability and cash generation.

Answer:<BR>The historical performance of Arex Industries shows a fluctuating trend in net sales and profitability over the years.<BR><BR>Breakdown:<BR>Arex Industries reported net sales of 51.14 Cr in March 2025, a slight increase from 51.01 Cr in March 2024 and a notable rise from 45.02 Cr in March 2023. However, this is a decrease from the peak of 53.75 Cr in March 2022. The total operating income followed a similar pattern, reaching 51.14 Cr in March 2025, with total expenditure (excluding depreciation) increasing to 42.95 Cr from 41.92 Cr in the previous year. Operating profit (PBDIT) decreased to 8.88 Cr in March 2025 from 9.18 Cr in March 2024, reflecting a decline in operating profit margin to 16.01% from 17.82%. Profit before tax remained relatively stable at 3.67 Cr in March 2025, compared to 3.69 Cr in March 2024, while profit after tax increased slightly to 2.63 Cr from 2.54 Cr. The company's total assets decreased to 46.62 Cr in March 2025 from 50.16 Cr in March 2024, and total liabilities also fell to 46.62 Cr from 50.16 Cr. Cash flow from operating activities was 8.00 Cr in March 2025, down from 9.00 Cr in March 2024, indicating a decline in cash generation capacity. Overall, Arex Industries has shown variability in its financial performance, with some metrics improving while others have declined over the years.

When is the next results date for Arex Industries?

Arex Industries will announce its results on 12 November 2025.

Arex Industries will declare its results on 12 November 2025.

Who are the top shareholders of the Arex Industries?

The top shareholder of Arex Industries is Dinesh Apparao Bilgi, holding 21.06% of the shares, with Umesh Divyakant Desai as the highest public shareholder at 2.94%. Promoters have no pledged holdings, and individual investors collectively own 18.91%.

The top shareholders of Arex Industries include the promoters, with Dinesh Apparao Bilgi holding the largest share at 21.06%. There are no pledged promoter holdings, and the company does not have any mutual funds or foreign institutional investors (FIIs) holding shares. The highest public shareholder is Umesh Divyakant Desai, who owns 2.94%. Additionally, individual investors collectively hold 18.91% of the shares.

What is the technical trend for Arex Industries?

As of May 19, 2025, Arex Industries shows a mildly bearish trend based on daily moving averages and monthly MACD, despite mixed signals from weekly MACD and Bollinger Bands indicating potential upward movement.

As of 19 May 2025, the technical trend for Arex Industries has changed from sideways to mildly bearish. The daily moving averages indicate a mildly bearish stance, while the weekly MACD shows a mildly bullish signal, creating a mixed picture. The monthly MACD and KST are both mildly bearish, suggesting underlying weakness. The Bollinger Bands are mildly bullish on both weekly and monthly time frames, indicating potential for upward movement, but this is countered by the lack of signals from the RSI and Dow Theory, which show no trend. Overall, the current technical stance is mildly bearish, driven primarily by the daily moving averages and the monthly MACD.

Has Arex Industries declared dividend?

Arex Industries Ltd has declared a 20% dividend, amounting to 2 per share, but the dividend yield is 0%. Total returns over various periods have been positive, primarily driven by price appreciation rather than dividends.

Arex Industries Ltd has declared a 20% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 20%<BR>- Amount per share: 2<BR>- Ex-date: 06 Sep 19<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the 6-month period, the price return was -1.61%, with a dividend return of 0%, resulting in a total return of -1.61%.<BR><BR>For the 1-year period, the price return was 9.36%, with a dividend return of 0%, leading to a total return of 9.36%.<BR><BR>Over the 2-year period, the price return was 32.31%, with a dividend return of 0%, resulting in a total return of 32.31%.<BR><BR>In the 3-year period, the price return was 22.47%, with a dividend return of 0%, leading to a total return of 22.47%.<BR><BR>For the 4-year period, the price return was 148.28%, with a dividend return of 0%, resulting in a total return of 148.28%.<BR><BR>Over the 5-year period, the price return was 226.28%, with a dividend return of 0%, leading to a total return of 226.28%.<BR><BR>Overall, Arex Industries has declared a dividend, but the dividend yield is 0%, indicating that the dividends have not contributed to returns in recent periods. The total returns have been positive over various periods, primarily driven by price appreciation rather than dividends.