Elgi Rubber Co

Why is Elgi Rubber Company Ltd falling/rising?

As of 04-Sep, Elgi Rubber Company Ltd's stock price is declining, currently at 58.69, with a total return of -100% over the past eight weeks. The company's weak financial fundamentals and poor market performance indicate a lack of investor confidence.

As of 04-Sep, Elgi Rubber Company Ltd's stock price is falling, currently at 58.69, reflecting a change of -0.39 (-0.66%). The stock has been underperforming significantly, having fallen for the last two days and generating a total decline of -3.6% during this period. Over the past eight weeks, the stock has consistently decreased, resulting in a total return of -100%. Additionally, it has experienced a monthly decline for the last six weeks, also yielding -100% returns.<BR><BR>The stock's performance relative to the benchmark, Sensex, shows a decline of -3.69% over the past week, while the Sensex has only fallen by -1.15%. This indicates that Elgi Rubber is not only declining but doing so at a rate that is worse than the broader market. The company's financial fundamentals are also weak, with a -247.11% CAGR growth in operating profits over the last five years and a high Debt to EBITDA ratio of -5.07 times, indicating a low ability to service debt.<BR><BR>Furthermore, the company has reported a negative EBITDA of Rs. -60.62 crore, and its net sales have fallen by -23.5% compared to the previous four-quarter average. The stock has generated a return of -20.57% over the past year, significantly underperforming the market, which has seen a return of 1.51% in the same timeframe. The falling investor participation, with a delivery volume decrease of -27.08% against the five-day average, further highlights the lack of confidence among investors.<BR><BR>Overall, the combination of poor financial performance, consistent declines in stock price, and weak market sentiment contributes to the ongoing fall in Elgi Rubber Company Ltd's stock price.

Which are the latest news on Elgi Rubber Co?

Who are in the management team of Elgi Rubber Co?

The management team of Elgi Rubber Co includes Sudarsan Varadaraj (Chairman & Managing Director), Jairam Varadaraj, M D Selvaraj, P Vijay Raghunath, and R Bhuvaneshwari, all serving as Non-Executive Directors.

The management team of Elgi Rubber Co includes the following individuals:<BR><BR>1. **Sudarsan Varadaraj** - Chairman & Managing Director<BR>2. **Jairam Varadaraj** - Non-Executive Director<BR>3. **M D Selvaraj** - Non-Executive Director<BR>4. **P Vijay Raghunath** - Non-Executive Director<BR>5. **R Bhuvaneshwari** - Non-Executive Director<BR><BR>If you need more information about their roles or the company, feel free to ask!

What does Elgi Rubber Co do?

Elgi Rubber Company Ltd, established in 2006, specializes in reclaimed rubber, retreading machinery, and retreading rubber, and is a leader in Pre-cured Retreading technology in India. As of June 2026, it reported net sales of 70 Cr and a net profit of 41 Cr, with a market cap of INR 301 Cr.

Overview:<BR>Elgi Rubber Company Ltd is a leading solutions provider in the Rubber Industry, specializing in the manufacturing of reclaimed rubber, retreading machinery, and retreading rubber, and operates within the micro-cap market segment.<BR><BR>History:<BR>Elgi Rubber Company Ltd was incorporated on 16 October 2006 in Coimbatore. The company has established itself as a pioneer in Pre-cured Retreading technology and has the largest franchise network in India. The latest quarterly results reported net sales and net profit for June 2026.<BR><BR>Financial Snapshot:<BR>Net Sales: 70 Cr (Quarterly Results - Jun 2026) <BR>Net Profit: 41 Cr (Quarterly Results - Jun 2026) <BR>Market Cap: INR 301 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>P/E: N/A <BR>Industry P/E: 81 <BR>Dividend Yield: 0.00% <BR>Debt-Equity: 3.77 <BR>Return on Equity: -112.56% <BR>Price to Book: 4.03<BR><BR>Contact Details:<BR>Address: 2000 Trichy Road, Singanallur Coimbatore Tamil Nadu : 641005 <BR>Tel: 91-0422-2321000 <BR>Email: info@in.elgirubber.com <BR>Website: http://www.elgirubber.com

Who are the peers of the Elgi Rubber Co?

Elgi Rubber Co.'s peers include Rubfila Intl., Harri. Malayalam, Gayatri Rubbers, Agarwal Toughene, Century Extrus., Galaxy Bearings, and Baroda Extrusion. Elgi Rubber Co. has below-average management risk and growth, with a 1-year return of -28.56%, the lowest among its peers.

Peers: The peers of Elgi Rubber Co are Rubfila Intl., Harri. Malayalam, Gayatri Rubbers, Agarwal Toughene, Century Extrus., Galaxy Bearings, and Baroda Extrusion.<BR><BR>Quality Snapshot: Excellent management risk is observed at Rubfila Intl., Agarwal Toughene, Century Extrus., Galaxy Bearings, and Gayatri Rubbers, while Below Average management risk is found at Harri. Malayalam and Elgi Rubber Co. Growth is Excellent at Agarwal Toughene, Good at Gayatri Rubbers, and Below Average at Rubfila Intl., Harri. Malayalam, Elgi Rubber Co., Century Extrus., and Galaxy Bearings, with the rest showing Below Average growth. Capital Structure is Excellent at Rubfila Intl. and Agarwal Toughene, Good at Gayatri Rubbers, Average at Century Extrus., and Below Average at Harri. Malayalam, Elgi Rubber Co., Galaxy Bearings, and Baroda Extrusion.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Century Extrus. at 4.67%, while Elgi Rubber Co. has the lowest at -28.56%. Compared to its peers, Elgi Rubber Co. has a significantly lower return. Additionally, Baroda Extrusion is the only peer with a six-month return of 0.00%.

How big is Elgi Rubber Co?

As of 31st August, Elgi Rubber Company Ltd has a market capitalization of 301.00 Cr and reported Net Sales of 351.01 Cr, but incurred a Net Profit loss of 197.88 Cr in the latest four quarters. Shareholder's Funds are valued at 75.69 Cr, with Total Assets amounting to 404.42 Cr as of March 2026.

As of 31st August, Elgi Rubber Company Ltd has a market capitalization of 301.00 Cr, categorizing it as a Micro Cap company.<BR><BR>In the latest four quarters, the company reported Net Sales of 351.01 Cr. However, it experienced a Net Profit loss of 197.88 Cr during the same period.<BR><BR>The latest reporting period for the balance sheet is March 2026. Shareholder's Funds are valued at 75.69 Cr, while Total Assets amount to 404.42 Cr.

Should I buy, sell or hold Elgi Rubber Company Ltd?

Are Elgi Rubber Company Ltd latest results good or bad?

Elgi Rubber Company Ltd's latest results are poor, reporting a net loss of ₹204.05 crores in Q4 FY26, a decline of 1,098.88% year-on-year, with net sales down 11.19% and a negative profit margin of -236.33%. The stock fell 7.75% following the announcement, reflecting serious concerns about the company's operational viability.

Elgi Rubber Company Ltd's latest results can be characterized as quite poor. In the fourth quarter of FY26, the company reported a significant net loss of ₹204.05 crores, which is a staggering decline of 1,098.88% year-on-year. This loss is alarming as it exceeds the company's total revenue for the quarter, resulting in a negative profit after tax (PAT) margin of -236.33%. <BR><BR>Net sales also fell by 11.19% year-on-year to ₹86.34 crores, and sequentially, there was a decline of 13.74% from the previous quarter. The operating margin, excluding other income, plummeted to -47.98%, marking the lowest performance in the company's history. This indicates severe operational inefficiencies and raises concerns about the company's ability to sustain its business model.<BR><BR>The stock reacted negatively to these results, dropping 7.75% to ₹47.50, and has seen a year-to-date decline of 25.20%. Overall, the financial performance reflects a critical situation for Elgi Rubber, with significant questions about its operational viability and management's capacity to address these challenges.

How has been the historical performance of Elgi Rubber Co?

Elgi Rubber Co has experienced fluctuating financial performance, with net sales declining from 394.50 Cr in Mar'23 to 383.92 Cr in Mar'25, and a significant drop in profitability, resulting in a profit after tax of -4.36 Cr in Mar'25 compared to 11.66 Cr in Mar'24. Total liabilities and assets also decreased during this period, indicating a downward trend in overall financial health.

Answer:<BR>The historical performance of Elgi Rubber Co shows a fluctuating trend in key financial metrics over the past several years.<BR><BR>Breakdown:<BR>Elgi Rubber Co's net sales have seen a decline from 394.50 Cr in Mar'23 to 383.92 Cr in Mar'25, with a peak of 409.85 Cr in Mar'19. The total operating income followed a similar pattern, decreasing from 394.50 Cr in Mar'23 to 383.92 Cr in Mar'25. Raw material costs have also decreased slightly from 177.44 Cr in Mar'23 to 164.94 Cr in Mar'25. Operating profit (PBDIT) has varied, peaking at 47.30 Cr in Mar'24 before dropping to 22.52 Cr in Mar'25. The profit before tax turned negative in Mar'25 at -4.51 Cr, contrasting with a profit of 13.71 Cr in Mar'24. Consequently, the profit after tax also fell to -4.36 Cr in Mar'25 from 11.66 Cr in Mar'24. Total liabilities decreased from 539.20 Cr in Mar'24 to 492.60 Cr in Mar'25, while total assets also declined from 539.20 Cr to 492.60 Cr in the same period. Cash flow from operating activities decreased to 6.00 Cr in Mar'24 from 26.00 Cr in Mar'23, indicating a downward trend in cash generation. Overall, Elgi Rubber Co has experienced significant fluctuations in its financial performance, with a notable decline in profitability and sales in the latest fiscal year.

Is Elgi Rubber Co overvalued or undervalued?

As of May 30, 2025, Elgi Rubber Co is considered overvalued and risky due to its negative PE ratio of -15.87, high EV to EBITDA ratio of 88.16, negative returns on capital and equity, and a year-to-date stock decline of 57.56%, significantly underperforming compared to its peers and the market.

As of 30 May 2025, Elgi Rubber Co's valuation grade has moved from attractive to risky, indicating a significant deterioration in its financial standing. The company appears to be overvalued given its negative PE ratio of -15.87 and an EV to EBITDA ratio of 88.16, which are starkly unfavorable compared to its peers. The Price to Book Value stands at 1.62, suggesting that the market is pricing the company above its book value despite its poor performance metrics.<BR><BR>In comparison to its peers, Elgi Rubber Co's ratios are concerning; for instance, Cupid has a PE of 70.91 and an EV to EBITDA of 44.50, while Pix Transmission is at 19.3 and 13.43, respectively. Notably, Elgi's ROCE and ROE are also negative at -0.79% and -2.37%, further emphasizing its struggles. The company's recent stock performance has been disappointing, with a year-to-date return of -57.56%, contrasting sharply with the Sensex's gain of 6.22% during the same period. This combination of factors leads to the conclusion that Elgi Rubber Co is overvalued in the current market environment.

What is the technical trend for Elgi Rubber Co?

As of July 28, 2020, Elgi Rubber Co's stock price of 57.74 is significantly below its 52-week high and has a negative year-to-date return of -57.56%, indicating a bearish sentiment and a neutral technical stance due to insufficient data for a clear classification.

As of 28 July 2020, the technical trend for Elgi Rubber Co does not qualify. The current price is 57.74, which is significantly below the 52-week high of 154.98 and closer to the 52-week low of 51.98. The stock has shown a negative return of -57.56% year-to-date, while the Sensex has gained 6.17% in the same period. The recent performance indicates bearish sentiment, particularly with a 1-week return of -5.75%. Overall, the lack of qualifying technical indicators suggests a neutral stance due to insufficient data for a definitive bullish or bearish classification.

Who are the top shareholders of the Elgi Rubber Co?

The top shareholder of Elgi Rubber Co is Sudarsan Varadaraj, holding 47.09%, with Tamilnadu Industrial Investment Corporation Limited as the largest public shareholder at 2.36%. Individual investors own 24.52%, while mutual funds and foreign institutional investors hold 0.0%.

The top shareholders of Elgi Rubber Co include the promoters, with Sudarsan Varadaraj holding the highest stake at 47.09%. The company does not have any pledged promoter holdings. In terms of public shareholders, Tamilnadu Industrial Investment Corporation Limited is the largest, holding 2.36%. Additionally, individual investors collectively own 24.52% of the company. There are also two mutual fund schemes and three foreign institutional investors, but they hold 0.0% of the shares.

When is the next results date for Elgi Rubber Co?

No Upcoming Board Meetings

Has Elgi Rubber Co declared dividend?

Elgi Rubber Company Ltd has declared a 16% dividend, amounting to ₹0.16 per share, with an ex-date of March 18, 2020. Despite this, the dividend yield is 0%, and total returns have varied significantly, with a 297.3% return over the past 5 years but recent declines in shorter periods.

Elgi Rubber Company Ltd has declared a 16% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 16%<BR>- Amount per share: 0.16<BR>- Ex-date: 18 Mar 20<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -55.69%, with a dividend return of 0%, resulting in a total return of -55.69%.<BR><BR>Over the past year, the price return was -18.39%, with a dividend return of 0%, leading to a total return of -18.39%.<BR><BR>In the 2-year period, the price return was 54.74%, with a dividend return of 0%, culminating in a total return of 54.74%.<BR><BR>For the 3-year period, the price return was 82.61%, with a dividend return of 0%, resulting in a total return of 82.61%.<BR><BR>In the last 4 years, the price return was 57.22%, with a dividend return of 0%, leading to a total return of 57.22%.<BR><BR>Over the past 5 years, the price return was 297.3%, with a dividend return of 0%, culminating in a total return of 297.3%.<BR><BR>Overall, Elgi Rubber Company Ltd has declared a dividend, but the dividend yield remains at 0%. The total returns over various periods show significant fluctuations, particularly a strong performance over the 5-year period despite recent declines in shorter time frames.