Garware Technical Fibres Faces Flat Growth Amid Rising Interest Expenses and Declining Profits

Garware Technical Fibres, a midcap player in the textile industry, has recently undergone an evaluation adjustment reflecting its current market standing. The company reported flat financial performance for the quarter ending December 2024, with net sales showing an annual growth rate of 8.52% and operating profit at 12.95% over the past five years. In the latest quarter, the interest expense rose to Rs 16.91 crore, marking a growth of 31.90%. However, profit before tax, adjusted for other income, fell to Rs 53.05 crore, indicating a decline of 15.9%. Similarly, profit after tax for the quarter was reported at Rs 47.77 crore, down by 15.3%. Garware Technical Fibres maintains a return on equity of 20.1, but its valuation appears high with a price-to-book ratio of 6.2, suggesting it trades at a premium compared to industry peers. The company also exhibits strong management efficiency, evidenced by a low debt-to-equity ratio of 0.01 times. The technical trend has shown sideways movement, indicating a lack of clear price momentum. Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.