Loyal Textile Mills Limited (LOYALTEX) AI Stock Analysis

• Market Cap: ₹1.45B
• Dividend Yield: N/A
• Average Volume (3M): 66.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.90
• Revenue Growth: -26.76%
• EPS Growth: -25.96%
• Country: IN
• Employees: 1,854
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): -35.32
• Shares Outstanding: 4,816,446
• 10 Day Avg. Volume: 130
• 30 Day Avg. Volume: 66
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹293.00
• Price Target Upside: -2.75% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 46 Neutral
• Price Target: ₹293.00 ▼(-2.75% Downside)

Loyal Textile Mills Limited's overall stock score is primarily impacted by its challenging financial performance, characterized by declining revenues and profitability. The technical analysis indicates bearish momentum, and the valuation metrics are unfavorable due to a negative P/E ratio and lack of dividend yield. The company's strengths in cash flow management provide some support, but significant improvements in operational efficiency and cost management are needed to enhance its financial position.

Loyal Textile Mills Limited Business Overview & Revenue Model

Company Description

Loyal Textile Mills Limited manufactures and sells yarn, woven fabric, knitted fabric, and technical clothing for the textile and apparel industries in India. The company operates through two segments, Manufacturing and Trading. It offers yarn products, such as raw white, melange, and specialty yarns; a range of fabric products including cotton, polyester blended, modal/tencal blended, viscose, and elastane fabrics; and garment products comprising corporate and work wear, hospital garments, hotel garments, and protective garments. The company provides home textile products, including special stiches comprising merrowing, picotting, double needle, self hem, self piping, reverse hem, reverse piping and jacquard hem; special finishes comprising down proof, crease resistant, calendaring, silicon finish, and bio-polish finish; and organic cotton, as well as face masks and personal protective equipment kits. It also exports its products to Asia, Europe, the Americas, and internationally. The company was incorporated in 1946 and is based in Kovilpatti, India.

How the Company Makes Money

Loyal Textile Mills Limited makes money through its diverse range of textile products that cater to various segments of the textile industry. The company's primary revenue streams include the sale of yarn, fabric, garments, and home textiles. These products are distributed to customers in both domestic and international markets. The company benefits from its integrated operations, which enable cost efficiencies and quality control throughout the production process. Additionally, Loyal Textile Mills has established key partnerships and long-term relationships with clients, contributing to consistent demand for its products. The company also focuses on innovation and sustainability, which helps it to stay competitive and attract environmentally conscious customers.

Loyal Textile Mills Limited Financial Statement Overview

Summary

Loyal Textile Mills Limited faces significant financial challenges, with declining revenues and profitability, negative profit margins, and a high debt-to-equity ratio. However, the company shows strengths in cash flow management, maintaining positive operating and free cash flows.

Income Statement

The income statement shows significant challenges for Loyal Textile Mills Limited, particularly with declining revenue and profitability over the years. The company experienced a negative revenue growth rate from 2024 to 2025, with total revenue falling from 8.96 billion to 6.90 billion. Both the gross profit margin and net profit margin have deteriorated, with the latter being negative in the latest period, indicating operational inefficiencies or cost management issues. Additionally, the EBIT and EBITDA margins are negative, reflecting challenges in maintaining operational profitability.

Balance Sheet

The balance sheet reveals a moderate level of financial stability. The company's debt-to-equity ratio is relatively high due to significant total debt, which poses a risk in a declining revenue environment. Stockholders' equity has decreased over the period, reflecting accumulated losses. However, the equity ratio remains reasonable, suggesting some balance between assets and liabilities. Return on equity is negative, indicating a lack of profitability on shareholder investments.

Cash Flow

Cash flow analysis highlights some strengths in operational cash generation, with positive operating cash flow in the latest period. The free cash flow growth rate is positive, showing improvement in cash management, and the free cash flow to net income ratio is favorable. However, the reliance on cash flow for financial stability is crucial given the negative net income figures. The company has managed capital expenditures well, resulting in positive free cash flow.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.82B	6.82B	14.03B	8.96B	16.89B	10.82B
Gross Profit	1.97B	853.80M	5.12B	3.05B	6.12B	4.30B
EBITDA	21.20M	-17.50M	743.24M	355.40M	2.09B	1.11B
Net Income	-512.40M	-512.40M	28.40M	-394.97M	970.51M	328.40M
Balance Sheet
Total Assets	8.42B	8.42B	12.95B	11.18B	12.91B	10.00B
Cash, Cash Equivalents and Short-Term Investments	42.90M	42.90M	449.50M	11.53M	59.10M	41.60M
Total Debt	4.13B	4.13B	6.62B	6.22B	4.21B	3.80B
Total Liabilities	5.73B	5.73B	9.35B	7.97B	9.29B	7.32B
Stockholders Equity	2.69B	2.69B	3.60B	3.21B	3.62B	2.68B
Cash Flow
Free Cash Flow	0.00	1.47B	-140.62M	1.06B	771.47M	888.60M
Operating Cash Flow	0.00	1.48B	657.20M	1.06B	1.09B	1.01B
Investing Cash Flow	0.00	1.10B	-779.40M	-175.28M	-212.10M	-108.10M
Financing Cash Flow	0.00	-2.59B	100.10M	-929.92M	-862.20M	-873.80M

Loyal Textile Mills Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 301.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:LOYALTEX, the sentiment is Negative. The current price of 301.3 is below the 20-day moving average (MA) of 307.13, below the 50-day MA of 325.40, and above the 200-day MA of 297.23, indicating a neutral trend. The MACD of -5.61 indicates Positive momentum. The RSI at 45.04 is Neutral, neither overbought nor oversold. The STOCH value of 23.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:LOYALTEX.

Loyal Textile Mills Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAMBODHARA	64 Neutral	₹1.42B	20.04	5.82%	0.37%	17.57%	47.28%
SURYALAXMI	59 Neutral	₹1.20B	25.78	1.35%	―	5.90%	58.84%
AMBICAAGAR	54 Neutral	₹434.24M	85.72	0.45%	―	31.28%	-85.76%
LOYALTEX	46 Neutral	₹1.45B	―	―	―	-26.76%	-25.96%
SVPGLOB	41 Neutral	₹459.20M	-0.05	88.21%	―	-82.90%	-99.69%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%