Revenue and Profitability Trends
Over the seven-year period ending March 2025, Responsive Ind’s net sales exhibited a generally upward trend, rising from ₹775.04 crores in 2019 to ₹1,417.91 crores in 2025. Despite a dip in 2020, likely influenced by broader economic conditions, the company rebounded strongly, with sales surpassing the ₹1,000 crore mark from 2022 onwards. The total operating income mirrored this pattern, reflecting the absence of other operating income throughout the period.
Operating profit before depreciation, interest, and tax (PBDIT) excluding other income showed a marked improvement, climbing from ₹115.41 crores in 2019 to ₹295.00 crores in 2025. Including other income, operating profit reached ₹303.41 crores in 2025, up from ₹139.86 crores in 2019. This growth was accompanied by an increase in operating profit margin, which peaked at 22.34% in 2024 before slightly moderating to 20.81% in 2025.
Profit after tax (PAT) displayed a more volatile pattern, with a low point in 2022 at just ₹0.10 crore, but a strong recovery to ₹198.86 crores in 2025. Correspondingly, the PAT margin improved significantly to 14.02% in 2025 from a mere 0.01% in 2022, indicating enhanced operational efficiency and cost management in recent years.
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Cost Structure and Expenditure
The company’s expenditure profile reveals a shift in raw material costs and purchase of finished goods. Raw material costs decreased from ₹528.42 crores in 2019 to ₹355.56 crores in 2025, while purchases of finished goods surged from negligible levels in 2019 to ₹653.53 crores in 2025, suggesting a strategic change in sourcing or product mix. Other expenses also rose steadily, reaching ₹130.04 crores in 2025 from ₹91.92 crores in 2019.
Employee costs increased gradually, reflecting possible expansion or wage inflation, rising from ₹17.94 crores in 2019 to ₹33.61 crores in 2025. Notably, power, manufacturing, and selling expenses remained minimal or zero, indicating a lean operational model or reclassification of costs.
Balance Sheet and Financial Position
Responsive Ind’s total assets grew consistently, from ₹1,267.62 crores in 2021 to ₹1,737.88 crores in 2025. Net block of fixed assets fluctuated but remained substantial, with ₹791.45 crores reported in 2025. Non-current assets showed a decline from ₹991.62 crores in 2020 to ₹864.60 crores in 2025, while current assets increased significantly to ₹873.27 crores in 2025, driven by higher inventories and sundry debtors.
Shareholder’s funds strengthened from ₹943.51 crores in 2020 to ₹1,345.38 crores in 2025, supported by rising reserves. Total debt increased moderately to ₹250.37 crores in 2025 from ₹166.10 crores in 2020, with a notable rise in long-term borrowings to ₹110.26 crores in 2025. The company’s book value per share improved steadily, reaching ₹50.46 in 2025 from ₹35.94 in 2020.
Cash Flow Analysis
Cash flow from operating activities showed considerable variability, peaking at ₹225 crores in 2024 before moderating to ₹75 crores in 2025. Investing activities consistently reflected cash outflows, with ₹102 crores spent in 2025, indicating ongoing capital expenditure or investments. Financing activities fluctuated, with a positive inflow of ₹18 crores in 2025 following a negative outflow in the previous year.
Despite these movements, the company’s net cash position declined slightly, with closing cash and cash equivalents falling to ₹7 crores in 2025 from ₹16 crores in 2024. This suggests a cautious liquidity stance amid expansion efforts.
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Summary of Historical Performance
Responsive Ind’s historical performance reflects a company that has successfully navigated market challenges to achieve robust growth in sales and profitability. The steady increase in net sales and operating profits, coupled with improved margins, underscores effective management and operational resilience. The balance sheet shows a strengthening financial position with growing shareholder equity and manageable debt levels.
However, fluctuations in profit after tax and cash flows highlight areas for continued focus, particularly in working capital management and sustaining profitability. The company’s evolving cost structure, with increased reliance on purchased finished goods, may warrant further analysis for long-term sustainability.
Overall, Responsive Ind’s financial journey over the past several years demonstrates a positive trajectory, making it a noteworthy entity within its sector for investors and analysts alike.
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