SPL Industries Ltd (SPLIL)

Textiles · Textiles · NSE · Updated 13 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹30 ↓ 24.68% (1Y)

🎯 Key Takeaways

  • SPL Industries Ltd is in a mature, cash-generating phase with stable operations and no debt, but faces modest growth headwinds. The company has maintained a debt-free balance sheet and consistent promoter holding, yet revenue growth has stalled over recent quarters, and net profit remains flat despite slight revenue increases.
  • Revenue grew 39.1% QoQ to ₹68 in Q3FY08.
  • ⚠️ 1) The proposed ₹300 crore related party transaction with Shivalik Prints raises governance concerns, especially without disclosed strategic rationale
Market Cap
₹87
P/B Ratio
0.40
Debt/Equity
0.00
Promoter
74.8%

📖 The Story

SPL Industries Ltd is in a mature, cash-generating phase with stable operations and no debt, but faces modest growth headwinds. The company has maintained a debt-free balance sheet and consistent promoter holding, yet revenue growth has stalled over recent quarters, and net profit remains flat despite slight revenue increases. Management continues to prioritize capital efficiency and shareholder approval for strategic moves, but operational momentum appears constrained.

📰 What's Happening

In Q1 FY2026-27, SPL Industries approved unaudited standalone financial results showing revenue of ₹2,355.34 lakhs and net profit of ₹213.06 lakhs, reflecting modest top-line growth but no meaningful profit expansion. The board also finalized plans for its 35th AGM on August 13, 2026, where shareholders will vote on a ₹100 crore borrowing limit, a ₹300 crore related party transaction with Shivalik Prints, and the reappointment of Managing Director Mukesh Kumar Aggarwal along with two independent directors. These approvals are critical for future capital deployment and governance continuity.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricDec 2006Dec 2007
Revenue4968
Operating Profit43
OPM %8.3%4.4%
Net Profit21
EPS₹0.76₹0.25

The company's revenue has shown only marginal growth in recent periods, with flat net profit and stagnant margins indicating limited operational leverage. Despite a debt-free balance sheet and stable asset base, there is no clear upward trajectory in profitability. The lack of significant margin improvement or earnings acceleration suggests that growth initiatives have not yet translated into financial upside, keeping performance range-bound.

🔮 Management Outlook & What's Next

Management has not provided explicit forward guidance in the latest filings. However, the upcoming AGM will serve as a key inflection point, where shareholder approval of the ₹100 crore borrowing limit and ₹300 crore related party transaction with Shivalik Prints will signal the board's capital allocation strategy. The reappointment of the MD and independent directors underscores continuity in leadership, but no new growth targets or timelines were disclosed.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2025Mar 2025Mar 2026Mar 2026
Equity Capital29292929
Reserves177180181187
Borrowings0000
Total Liabilities215222223235
Fixed Assets58575743
Investments78106116142
Total Assets215222223235

The balance sheet remains exceptionally conservative, with zero net debt and equity of ₹29 crore supported by substantial reserves of ₹180–187 crore. Total assets have grown modestly to ₹235 crore, indicating capital-light operations. With no borrowings, the company has limited financial leverage to fund expansion, suggesting that future investments may rely on internal cash flows or equity-linked instruments if approved at the AGM.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2026
Operating+14
Investing-14
Financing-0
Net Cash Flow+0

👥 Shareholding Pattern

CategoryQ2FY26Q3FY26Q4FY26Q1FY27
Promoters75.0%74.9%74.8%74.8%
FII0.1%0.1%0.1%0.1%
DII0.0%0.0%0.0%0.0%
Public21.9%22.1%22.2%22.3%
# Shareholders14,39614,15713,89213,771

Promoter holding remains stable at approximately 74.85%, indicating long-term confidence, but foreign investor interest is negligible, with FII and DII ownership each at just 0.13%. The number of public shareholders has slightly declined, suggesting limited retail or institutional appetite. There are no signs of accumulation by non-promoter investors, and the low free float may constrain liquidity and price discovery.

⚖️ Peer Comparison — Textiles

Company MCap (₹ Cr) P/E ROCE ROE D/E
GRASIM 2.23 L Cr 39.1 9.6% 10.8% 2.16
WELSPUNLIV 19,632 68.1 8.0% 5.8% 0.37
VTL 16,423 19.0 10.7% 8.7% 0.13
ARVIND 15,649 36.4 14.3% 10.6% 0.36
TRIDENT 11,940 30.0 10.1% 8.3% 0.37
SWANCORP 9,288 44.6 4.2% 2.9% 0.29
ICIL 8,775 58.1 9.8% 6.4% 0.46
GARFIBRES 7,784 37.6 22.9% 16.9% 0.05
KUSUMGAR 5,957 0.45
JINDWORLD 5,314 63.1 10.2% 9.8% 0.65

🔗 Peer Stock Analyses

⚠️ Risk Factors

1) The proposed ₹300 crore related party transaction with Shivalik Prints raises governance concerns, especially without disclosed strategic rationale or independent valuation. 2) Persistent flat profitability despite revenue stability suggests potential margin compression or pricing pressure in the textiles segment. 3) Minimal foreign institutional interest and low public float could lead to share price volatility and limited analyst coverage. 4) Lack of forward guidance leaves investors without clarity on growth expectations or capital deployment plans.

📋 Recent Filings

🧠 Analyst's Read

SPL Industries operates as a stable, debt-free textile manufacturer with strong promoter backing, but its lack of growth momentum and opaque capital plans create a cautious outlook. Investors should monitor the outcome of the upcoming AGM, particularly the related party transaction and borrowing approval, for clarity on future strategic direction. Until then, the stock is likely to trade in a narrow range without a clear catalyst.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-13.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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