Loading…
Welspun Living Ltd
NSE: WELSPUNLIV BSE: 514162 INE192B01031 Consumer Discretionary Consumer 🔎 Screen
NIFTY 500 Smallcap 250
₹19,734 Cr
Market Cap
71.5
P/E
44.27
PEG
6.3%
ROCE
4.5%
ROE
0.47
D/E
8.5%
OPM
-3.9%
% from 52W High
94
α RS
⚖️ Compare 🔒 Generate Report 🔒 Research Packet 📚 Guides
📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
Shareholding
About

Welspun Living Limited, part of the US$ 2.7 billion Welspun Group, is one of the largest home textile manufacturers in the world. The Company offers a wide spectrum of Home & Technical textile products and Flooring solutions. The Company has established itself as a thought leader within the home textile industry over the years and continue to focus on the enablers viz. Innovation, Branding and Sustainability to consolidate its leadership position. It manufactures a wide range of home textile products ranging from towels, bath robes to sheets, tob and basic& fashion bedding. It also entered into the business of carpets flooring solutions recently.

✓ Strengths

No strengths data yet.

! Concerns 5
  • Stock is trading at 4.05 times its book value
  • The company has delivered a poor sales growth of 5.07% over past five years.
  • Company has a low return on equity of 11.1% over last 3 years.
  • Dividend payout has been low at 2.89% of profits over last 3 years
  • Promoter holding has decreased over last 3 years: -4.14%
Key Ratios Snapshot
📊 Sector Averages
📈 Growth Pattern
📊 Quick Scorecard
Loading…
🔒
Premium Feature
AI-generated 10-section company profile — business model, financials, strengths, risks & management quality
Upgrade to Premium
Already a member? Log in
📐
3-Statement Financial Model
Bear / Base / Bull projections · DCF fair value · Reverse-DCF
Open Model →
Strong beat — Q1 revenue grew 23.5% YoY and EBITDA margin expanded 170bps QoQ to 12.5%, though the recovery is off a weak FY26 base and utilization remains sub-scale. quarter Investor Presentation One-Pager? Jun 2026
Revenue
₹2,828 Cr
+23.5% YoY; +15.4% QoQ (Total Income)
EBITDA Margin
12.5%
+140bps YoY; +170bps QoQ; EBITDA ₹354 Cr
PAT
₹161 Cr
+83.6% YoY; PAT margin 5.7%
Key Metric
Pillow business 2.3x YoY
Ohio >80% utilization; Nevada operational Jun 15; on track to double to USD 60Mn in FY27
What Went Right
  • Revenue grew 23.5% YoY to ₹2,828 Cr and Home Textile revenue grew 26.2% YoY to ₹2,680 Cr with segment EBITDA margin up 122bps YoY to 11.7%.
  • EBITDA rose 39.1% YoY to ₹354 Cr and margin expanded 140bps YoY / 170bps QoQ to 12.5%.
  • PAT surged 83.6% YoY to ₹161 Cr and cash profit rose 47.2% YoY to ₹253 Cr.
  • Domestic business grew 21.3% YoY, UK/Europe grew 20%+ YoY, and Home Textile exports grew ~28% YoY.
  • Innovation-led sales grew 16% YoY to ~25% of revenue; pillow business grew 2.3x YoY with Ohio >80% utilization and Nevada operational.
What to Watch
  • Flooring revenue declined 3.1% YoY to ₹188 Cr; Flooring B2B fell 8% YoY, so the +721bps QoQ margin improvement is not yet backed by sustainable revenue growth.
  • Core capacity utilization remains weak: Bed Linen 74%, Bath Linen 60%, Rugs 48%, Spunlace 36%, Needle Punch 18% and Wet Wipes ~5% — leaving significant idle capacity and unrealized operating leverage.
  • PAT margin is only 5.7%; depreciation of ₹100 Cr and finance costs of ₹34 Cr absorbed ~38% of EBITDA, limiting flow-through to net profit.
  • Advanced Textiles revenue was flat YoY at ₹103 Cr and is just 4% of sales, so the value-addition shift has not scaled yet.
  • Q1 growth is flattered by a weak base: FY26 full-year EBITDA margin was 9.1% vs 13.6% in FY25 and FY26 PAT fell to ₹204 Cr from ₹639 Cr, so one quarter of 12.5% margin does not yet prove a sustained recovery.
Management Guidance
  • FY27: double-digit revenue growth and EBITDA margin in the low teens
  • Pillow business on track to double revenue to USD 60mn in FY27
  • Medium-term normalized EBITDA target: 15%+
Investor Lens
The core thesis — India home-textile share gains plus a U.S. pillow ramp — is directionally intact, and Q1's +23.5% revenue growth and 12.5% EBITDA margin are clear evidence of recovery. But the recovery starts from a weak base: FY26 EBITDA margin was only 9.1% and PAT ₹204 Cr, so FY27's low-teens margin guidance is more about regaining lost ground than breaking out. Utilisation is the key swing factor: Bath Linen at 60%, Rugs 48%, Spunlace 36%, Needle Punch 18% and Wet Wipes ~5% show how much operating leverage remains unrealised. Flooring (-3.1% YoY) and Advanced Textiles (flat) are not yet dependable growth drivers, so watch whether those segments' utilizations improve next quarter. The near-term catalyst is the pillow business: Ohio >80%, Nevada live, targeting USD 60Mn in FY27; if margins hold and utilisation climbs, the FY27 double-digit revenue/low-teens margin outlook is credible.
From investor presentation · AI-generated analysis · Not investment advice
🔒
Premium Feature
Investor Presentation One-Pager — quarterly highlights, what went right/wrong & management guidance
Upgrade to Premium
Already a member? Log in
📈 STRONG Strong quarter: Net profit jumps 83% YoY to ₹163 Cr on 23.6% revenue growth
Revenue
Revenue grew 23.6% YoY to ₹2,795 Cr, with a solid 14.8% QoQ sequential gain. Operating profit rose 42.7% YoY, outpacing revenue growth and indicating better operational performance.
Profitability
Net profit surged 83.1% YoY to ₹163 Cr, with EPS improving to ₹1.68 from ₹0.91. PBT stood at ₹220 Cr after interest of ₹34 Cr and depreciation of ₹100 Cr, while tax was at 26%.
Margins
Operating margin expanded to 11% from 10% in the year-ago quarter, reflecting operating leverage and cost efficiency. Margins remained flat sequentially at 11%, indicating stability.
Key Risks
The stock trades at a high PE of 78.88, implying elevated market expectations. Low ROE of 4.47% and ROCE of 6.25% suggest weak capital efficiency relative to the valuation. Debt-to-equity of 0.44 indicates moderate leverage, with interest costs of ₹34 Cr in the quarter.
Outlook
Strong double-digit revenue and profit growth, along with margin expansion, indicate a positive trajectory. However, sustaining this momentum will be key given the high valuation and modest returns on capital.
Generated by AI · Jun 2026 results · Not investment advice
🔒
Free Account Required

Create a free Finmagine account to access Finmagine™ Scorecard.

See how this company scores across 5 dimensions — Financial Health, Growth Prospects, Competitive Position, Management Quality, and Valuation — powered by 30+ computed ratios.

Create Free AccountLog In
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Ask AI.

Get 25 expert AI analysis templates — Business KPIs, Comprehensive, Forensic Governance, Peer Comparison, Risk-Reward, Full Research Report, IPO Decoder, Red Flag Detector, and more — ready to paste into ChatGPT, Claude, Gemini, or Perplexity.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Peer Comparison.

Compare this company side-by-side against its sector peers with financial metrics, ratio benchmarking, and relative performance across all key dimensions.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Documents.

Access concall transcripts, annual reports, credit ratings, and investor presentations.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Catalyst Timeline.

Every result, order win, insider trade, SAST trigger, pledge change, concall, and corporate action for this company — in one chronological lane.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Forensic Report.

A filings-based disclosure review of this company's most recent Annual Report — Accounting Quality Signals, Related Party Disclosures, Auditor Signals, and Governance Watchpoints, generated with your own AI key.

Upgrade to PremiumCreate Free Account

Revenue by Segment

Segment Q3FY26 Q4FY26 Trend
a) Home Textiles
2,175
EBIT 160
2,320
EBIT 244
b) Flooring
172
EBIT 3
189
EBIT 6
Total 2,347 2,508

Source: NSE Integrated Filing XBRL (Reg. 33 Ind AS). Values in ₹ Crore.

📊 Sector KPIs

Industry-specific KPIs with historical trend — AI-extracted from investor presentations
🔒
Premium Feature
Industry-specific KPIs with historical trend across quarters — AI-extracted from investor presentations
Upgrade to Premium
Already a member? Log in

💼 Management Guidance

Revenue, loan book, NIM and other management targets — with hit/miss tracking
🔒
Premium Feature
Management guidance targets with historical hit/miss tracking — unlocked with Premium
Upgrade to Premium
Already a member? Log in

🎯 Thesis Tracker

Guidance vs Delivery — management track record
🔒
Premium Feature
Management guidance vs actual delivery — track whether revenue & PAT targets were Beat, Met or Missed across every reporting year
Upgrade to Premium
Already a member? Log in
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Full Report.

Read the complete Finmagine™ investment research report — comprehensive fundamental analysis, business model assessment, competitive positioning, and investment recommendation.

Upgrade to PremiumCreate Free Account

📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

🎯
Discover Our Proven Investment Framework Learn how we analyze and rank stocks using advanced quantitative models, multi-dimensional scoring systems, and dynamic discriminatory ranking techniques that have guided successful investment decisions across market cycles.
📊 Explore The Finmagine™ Methodology

A comprehensive, bias-free framework for analyzing and ranking stocks by Financial Strength, Growth Potential, Competitive Edge, Management Quality, and Value.

⚠️ Important Disclaimers — Please read without fail.

Investment Risk:
Investing in securities, including equities and mutual funds, involves inherent risks, including the potential loss of principal. All investments are subject to market fluctuations, regulatory changes, and other risks that may affect their value. Past performance is not indicative of future results. This report is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This report does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a SEBI-registered investment adviser or other qualified financial professional before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities or financial instruments discussed in this report. Any such positions, if material, are disclosed to the best of the author's knowledge and are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company, institution, or third party.

Information Sources:
The analysis and opinions expressed herein are based on publicly available information, including but not limited to company filings with the BSE/NSE, annual reports, management commentary, investor presentations, data from the Reserve Bank of India (RBI), SEBI, industry publications, and other reliable financial data sources. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

Forward-Looking Statements:
This report may contain forward-looking statements, forecasts, or projections that are inherently subject to risks, uncertainties, and assumptions. Actual results may differ materially from those expressed or implied. The author does not undertake any obligation to update such statements in the future.

Regulatory Compliance:
This report is intended to comply with the Securities and Exchange Board of India (Research Analysts) Regulations, 2014, as amended, and other applicable Indian laws and regulations.

Limitation of Liability:
The content of this report is provided "as is" without any warranties, express or implied, including accuracy, completeness, merchantability, or fitness for a particular purpose. The author and publisher expressly disclaim any liability for errors, omissions, or any losses incurred as a result of reliance on the information provided. Readers assume full responsibility for their investment decisions.