Omnitex Industries (India) Limited

Consumer Cyclical — Textile Manufacturing · BSE

₹735.50+₹4.50 (+0.62%)

DalalBaazaar Score

50 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, but sales are shrinking. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:00 pm

Understanding the Business

Company site ↗

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

What does this company do?

Omnitex Industries (India) Limited engages in trading of textiles in India. It trades in fabrics and yarns. Omnitex Industries (India) Limited was incorporated in 1987 and is based in Mumbai, India.

IndustryTextile Manufacturing

SectorConsumer Cyclical

Employees2

Annual revenue₹4 Cr

How does it make money?

Turns over ₹4 Cr a year. Of every ₹100 of sales, about ₹34 reaches shareholders as profit, with ₹14 left at the operating level before interest, tax and depreciation. Each of its 2 employees supports ₹2.11 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.11 Cr

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, 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 1.1% 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?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +1139% while net margin moved -157% 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+1139%

Margin effect-157%

DalalBaazaar Score

50/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ No meaningful P/E — the company is lossmaking

Quality vs. Valuation

Company Quality

55/ 100

Average

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

Valuation

25/ 100

Expensive

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.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

No P/E — the company is lossmaking

EV/EBITDA

528.6x

PEG

—

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from -42.1% to 13.6% over 3 years.
Return on equity is rising
ROE has improved from -3.8% to 0.8%.
Return on capital is rising
ROCE has improved from -3.5% to 1.1%.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

1 item require attention · 1 high

🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -42.1% to 13.6%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
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

1Revenue growth stays above 99% a year✓ 131.4% CAGR
Latest reported year was -87.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 12%✓ 13.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹2 Cr
Profit that never becomes cash eventually stops being profit.
4ROCE stays above 8%✗ 1.1%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

4 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ 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

1 good · 4 neutral · 6 weak

Market Cap

₹309 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

1.84x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹-0.97

Loss-making

Negative earnings per share — the business is losing money

ROE

0.8%

Weak

Weak capital efficiency

ROCE

1.1%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

-87.3%

Shrinking

Sales are contracting

Profit Growth (YoY)

16.4%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹2 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

-688.1%

Weak

Thin margins leave little room for error

Net Margin

-10.4%

Weak

Very little revenue reaches the bottom line

Current Ratio

3.92

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.57

Defensive

Steadier than the market

52W Range Position

63%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

740.6 / 751.9

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

47.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹0 Cr	₹2 Cr	₹3 Cr	₹4 Cr	+131.4%
EBITDA	-₹0 Cr	₹1 Cr	₹0 Cr	₹1 Cr	—
EBITDA Margin	-42.1%	82.5%	5.2%	13.6%	—
PAT (Net Profit)	-₹0 Cr	₹4 Cr	₹1 Cr	₹1 Cr	—
EPS	₹-0.49	₹8.36	₹2.97	₹3.45	—
ROE	-3.8%	2.8%	0.7%	0.8%	—
ROCE	-3.5%	2.2%	1.2%	1.1%	—
Free Cash Flow	-₹0 Cr	-₹1 Cr	-₹37 Cr	-₹2 Cr	—

🟢 Revenue has grown at 131.4% a year over 3 years.

🟢 EBITDA has turned positive, from -₹0 Cr to ₹1 Cr.

🟢 EBITDA Margin has risen from -42.1% to 13.6% over 3 years (+55.6 pts).

🟢 PAT (Net Profit) has turned positive, from -₹0 Cr to ₹1 Cr.

🟢 EPS has turned positive, from ₹-0.49 to ₹3.45.

🟢 ROE has risen from -3.8% to 0.8% over 3 years (+4.7 pts).

🟢 ROCE has risen from -3.5% to 1.1% over 3 years (+4.5 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹179 Cr

Total Liabilities

₹2 Cr

Total Debt

—

Cash & Equivalents

₹7 Cr

Operating Cash Flow

-₹2 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

2.1%

Insider Holding

75.4%

Corporate Actions

Ex-Dividend Date

20 Aug 2024

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 mixed1 negative4 general

Omnitex Industries shareholders approve FY26 results and MD appointment

scanx.trade, 14 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Omnitex Industries (India) Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 30 Aug

Omnitex Industries Downgraded to Strong Sell Amid Technical and Financial Concerns

MarketsMojo, 06 OctAnalyst view

🔴Potentially negativeAn analyst opinion changing, which moves the price without changing the business.

Omnitex Industries (India) Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 30 Aug

Omnitex Industries (India) Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

OMNITEX Stock Price and Chart — BSE:OMNITEX

TradingView, 11 Aug

Watch Items

Revenue growth is negative (-87.3%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongFinancial Health · Growth

MiddlingBusiness Quality

WeakProfitability · Valuation · Risk

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. 1 high-severity red flag sits above this conclusion and should be read first.

2 of 4 tripwires tripped — Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑