Hindware Home Innovation Experiences Quality Grade Change Amid Financial Performance Challenges

Hindware Home Innovation has recently undergone an evaluation revision, reflecting shifts in its financial performance metrics. The company, operating within the diversified consumer products sector, has reported a five-year sales growth rate of 9.37%. However, its EBIT growth over the same period has shown a decline of 13.47%, indicating challenges in profitability.
In terms of financial stability, Hindware's EBIT to interest ratio stands at 2.75, while its debt to EBITDA ratio is recorded at 3.32, suggesting a moderate level of leverage. The net debt to equity ratio is 1.44, which may raise concerns regarding its capital structure. The company maintains a sales to capital employed ratio of 2.34, reflecting its efficiency in utilizing capital for generating sales.

Hindware's tax ratio is at 11.85%, and it has a dividend payout ratio of 11.22%, indicating a commitment to returning value to shareholders. The institutional holding is relatively low at 10.73%, which may influence market perception.

When compared to peers like Stove Kraft, which holds an average quality assessment, Hindware's performance metrics highlight a need for strategic adjustments to enhance its competitive position in the market.