In the latest quarter, Shahlon Silk Industries reported net sales of ₹77.49 crores, marking the highest quarterly revenue recorded by the company to date. Correspondingly, the profit after tax (PAT) for the quarter stood at ₹1.43 crores, also representing a peak in recent periods. These figures contribute to an adjustment in the company’s financial trend evaluation, which has moved from a negative score of -10 over the past three months to a flat score of -2 as of September 2025.
Return on Capital Employed (ROCE) for the half-year period ending September 2025 was noted at 10.84%, the highest level observed in recent reporting cycles. This metric is a key indicator of the company’s efficiency in generating returns from its capital base and is closely monitored by market participants assessing operational effectiveness.
Momentum just kicked in! This Small Cap from the Auto - Trucks sector entered our list with explosive short-term signals. Catch the wave while it's still building!
- Fresh momentum detected
- Explosive short-term signals
- Early wave positioning
Despite these positive quarterly markers, the company’s nine-month net sales figure of ₹189.27 crores reflects a contraction of 35.44% compared to the corresponding period in the previous year. This decline in cumulative sales over the longer term tempers the quarterly gains and suggests challenges in sustaining revenue growth across the fiscal year.
Operational efficiency indicators also present areas of concern. The operating profit to interest coverage ratio for the quarter was recorded at 1.42 times, the lowest level in recent history. This ratio is critical in assessing the company’s ability to meet interest obligations from its operating profits, and a lower figure may indicate tighter financial flexibility.
Additionally, the debtors turnover ratio for the half-year period was 2.01 times, also the lowest in recent cycles. This ratio measures how effectively the company is managing its receivables and converting them into cash. A lower turnover ratio can imply slower collection periods, which may impact liquidity.
From a market perspective, Shahlon Silk Industries’ stock price closed at ₹19.00 on the latest trading day, showing a modest day change of 1.33%. The stock’s 52-week price range spans from a low of ₹12.52 to a high of ₹26.00, indicating significant volatility over the past year.
When comparing returns against the benchmark Sensex index, Shahlon Silk Industries has underperformed across multiple time frames. Over the past week, the stock recorded a return of -4.09% while the Sensex gained 0.50%. The one-month return for the stock was -16.52% compared to the Sensex’s 1.11%. Year-to-date, the stock’s return was -5.94%, contrasting with the Sensex’s 8.64% gain. Over the one-year period, the stock posted a return of -8.26% while the Sensex advanced 9.42%. However, over a three-year horizon, Shahlon Silk Industries’ return of 43.72% exceeded the Sensex’s 37.66%, though the five-year return of 65.07% lagged behind the Sensex’s 94.69%. Ten-year data for the stock is not available, while the Sensex has returned 228.48% over that period.
Holding Shahlon Silk Industries from Garments & Apparels? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- Peer comparison ready
- Superior options identified
- Cross market-cap analysis
Shahlon Silk Industries operates within the Garments & Apparels sector, which is subject to cyclical demand patterns and competitive pressures. The company’s market capitalisation grade stands at 4, reflecting its relative size and market presence within the sector. The recent adjustment in its financial trend parameter from negative to flat indicates a revision in evaluation, signalling a stabilisation in performance metrics after a period of contraction.
Investors analysing Shahlon Silk Industries should consider the mixed signals from the latest financial data. While quarterly revenue and profit after tax figures have reached new highs, the broader nine-month sales contraction and operational ratios suggest ongoing challenges. The company’s ability to manage working capital efficiently and improve interest coverage will be critical in shaping its financial trajectory going forward.
Market participants may also weigh the stock’s historical returns relative to the Sensex benchmark. The underperformance in recent short- and medium-term periods contrasts with stronger returns over three years, highlighting variability in the company’s market performance. This variability underscores the importance of a comprehensive evaluation of both financial fundamentals and market conditions when considering Shahlon Silk Industries as part of an investment portfolio.
Overall, the recent financial trend adjustment for Shahlon Silk Industries reflects a nuanced picture of stabilisation amid persistent operational and market challenges. Continued monitoring of quarterly results and sector dynamics will be essential for investors seeking to understand the company’s evolving position within the Garments & Apparels industry.
Limited Time Only! Subscribe for Rs. 12,999 and get 1 Year of MojoOne + an Additional Year Completely FREE. Don't miss out on this exclusive offer. Claim Your Free Year →
