Relaxo Footwear Experiences Financial Stabilization Amidst Revenue Generation Challenges

Relaxo Footwears has recently undergone a financial trend adjustment, reflecting a flat performance for the quarter ending September 2025. The company's score has shown a slight improvement over the past three months, indicating a stabilization in its financial metrics.
One of the key strengths for Relaxo Footwear is its Debtors Turnover Ratio, which stands at a robust 9.68 times, suggesting efficient management of receivables. However, the company is facing challenges in several areas. Its cash and cash equivalents are notably low at Rs 25.22 crore, which may impact liquidity. Additionally, the company reported its lowest net sales for the quarter at Rs 628.54 crore, alongside a PBDIT of Rs 81.16 crore and a profit before tax (PBT) less other income of Rs 36.59 crore, all reflecting underperformance in revenue generation.

In terms of market performance, Relaxo Footwear has struggled compared to the Sensex, with significant declines over various time frames. Over the past year, the stock has decreased by 38.17%, while the Sensex has gained 8.72%. This trend highlights the challenges the company faces in regaining market traction.