Sai Silks (Kalamandir) Limited

Consumer Cyclical — Apparel Retail · NSE

₹73.45−₹0.40 (−0.54%)

DalalBaazaar Score

62 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity, falling profits.

In simple words: Reasonable but unspectacular business quality, but sales are shrinking. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:56 pm

Understanding the Business

Company site ↗

The 60-second version of Sai Silks (Kalamandir) Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Sai Silks (Kalamandir) Limited engages in the retail sale of apparel in India.

IndustryApparel Retail

SectorConsumer Cyclical

Employees6,315

Annual revenue₹1,654 Cr

How does it make money?

Turns over ₹1,654 Cr a year. Of every ₹100 of sales, about ₹9 reaches shareholders as profit, with ₹17 left at the operating level before interest, tax and depreciation. Each of its 6,315 employees supports ₹26.2 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹26.2 lakh

Who are its competitors?

The closest listed comparisons in its industry are TRENT LTD, TITAN COMPANY LIMITED, AVENUE SUPERMARTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 13.7% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE25.9%

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +22% while net margin moved +18% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+22%

Margin effect+18%

DalalBaazaar Score

62/ 100

Good

Weighted across six categories. Every point is explained below.

• Beta of 0.99 — moves roughly with the market
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal

Quality vs. Valuation

Company Quality

59/ 100

Average

How good the business is, ignoring the share price entirely.

Valuation

87/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

7.9x

3Y Median

22.9x

39 monthly readings · mean 24.1x · range 7.7x–46.2x

Sector Median

69.9x

median of 3 sector peers

🟢Current valuation is approximately 65% below its 3y median of 22.9x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 89% below the peer median of 69.9x.

vs. its own history

Cheap

22.9x median over 39 months · -65%

vs. sector peers

Cheap

69.9x median of 3 peers · -89%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

5.1x

PEG

0.61

What's Good / What's Bad

🟢 What's Going Well4

Debt is being paid down
Total debt is down 31% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Very low debt
Debt/Equity of 0.29x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 24.6% to 11.2% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 27.3% to 13.7% — often a sign of competition or overexpansion.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 31% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 65% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 89% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹272 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Growth barely outpaces inflation
Revenue compounding at 7.0% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Returns on shareholder capital are falling
ROE has dropped from 24.6% to 11.2%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 15%✓ 16.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Revenue growth stays above 5% a year✓ 7.0% CAGR
Latest reported year was -1.0%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
3Free cash flow remains positive✓ ₹272 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 11%✓ 13.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

5 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✗ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 3 neutral · 2 weak

Market Cap

₹1,082 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

7.9x

Cheap

Cheap against the generic band

P/B Ratio

0.86x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹9.27

Profitable

Profitable on a per-share basis

ROE

11.2%

Moderate

Moderate capital efficiency

ROCE

13.7%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.29x

Low

Conservative leverage

Revenue Growth (YoY)

-1.0%

Shrinking

Sales are contracting

Profit Growth (YoY)

-14.7%

Falling

Profits are shrinking

Dividend Yield

2.04%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹272 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

6.1x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

9.9%

Average

Average margins

Net Margin

8.3%

Average

Average bottom-line conversion

Current Ratio

5.18

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.99

Market-like

Moves roughly in line with the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

76.3 / 81.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

37.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,351 Cr	₹1,374 Cr	₹1,462 Cr	₹1,654 Cr	+7.0%
EBITDA	₹218 Cr	₹234 Cr	₹235 Cr	₹280 Cr	+8.7%
EBITDA Margin	16.1%	17.1%	16.1%	16.9%	—
PAT (Net Profit)	₹98 Cr	₹101 Cr	₹85 Cr	₹141 Cr	+13.0%
EPS	₹6.36	₹7.51	₹5.8	₹9.56	+14.5%
ROE	24.6%	9.5%	7.5%	11.2%	—
ROCE	27.3%	14.4%	13.2%	13.7%	—
Total Debt	₹526 Cr	₹464 Cr	₹405 Cr	₹361 Cr	-11.8%
Free Cash Flow	-₹19 Cr	-₹63 Cr	₹54 Cr	₹272 Cr	—

🟢 Revenue has grown at 7.0% a year over 3 years.

🟢 EBITDA has grown at 8.7% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 16.9% over 3 years.

🟢 PAT (Net Profit) has grown at 13.0% a year over 3 years.

🟢 EPS has grown at 14.5% a year over 3 years.

🔴 ROE has fallen from 24.6% to 11.2% over 3 years (-13.4 pts).

🔴 ROCE has fallen from 27.3% to 13.7% over 3 years (-13.7 pts).

🟢 Total Debt has shrunk at 11.8% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹19 Cr to ₹272 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,849 Cr

Total Liabilities

₹588 Cr

Cash & Equivalents

₹19 Cr

Operating Cash Flow

₹323 Cr

Capex

-₹51 Cr

Shareholding (proxy)

Institutional Holding

6.0%

Insider Holding

68.8%

Corporate Actions

Dividend Rate

₹1.5

Ex-Dividend Date

03 Aug 2026

Analyst Consensus

Peer Comparison

Company	P/E	ROE
TRENT LTD	87.2x	25.9%
TITAN COMPANY LIMITED	68.5x	36.7%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 positive1 negative4 general

Sai Silks (Kalamandir) Ltd. 52 Week Low Streak: Key View

Univest, 16 Oct

Should You Buy Sai Silks (Kalamandir) Limited (NSE:KALAMANDIR) For Its Upcoming Dividend?

Simply Wall Street, 30 JulCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Sai Silks (Kalamandir) Holds Near ₹75 as KALAMANDIR.NS Posts Marginal Gain - Vanna Flow

www.siam.in, 12 Oct

Sai Silks launches 85th store in Srikakulam under Kanchipuram Varamahalakshmi format

scanx.trade, 13 Aug

Wealth Destroyer: Another recent listing down nearly 60% from IPO price; Growth guidance missed

CNBC TV18, 02 Apr

Sai Silks (Kalamandir) standalone net profit declines 14.68% in the June 2026 quarter

Business Standard, 15 JulResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Watch Items

Revenue growth is negative (-1.0%) on the latest reported period — check if this is one-off or a trend.
Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Valuation

MiddlingBusiness Quality · Growth · Profitability

WeakRisk

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you.

All 5 tripwires holding · see Key things to watch ↑