Positive EBITDAPositive EBITDA in FY2025 indicates the core manufacturing operations can generate earnings before non-cash charges, interest and taxes. This suggests an underlying operational footprint that can become sustainably cash-generative if financing costs and one-off/non-cash charges are addressed, improving long-term viability.

Prior Cash Generation Track RecordThe company delivered positive operating and free cash flow across FY2022–FY2024, showing it has historically been able to self-fund operations. That track record implies management and the business can generate cash under better conditions, offering a durable foundation for a turnaround if structural issues are fixed.

Sizable Asset BaseA substantial asset base provides structural optionality: assets can support refinancing, secure credit lines, or be monetized via sales/leases to reduce leverage. This tangible-capital position is a durable strength for restructuring and preserving enterprise value during a multi-quarter recovery plan.

Bears Say

Negative Equity & High LeverageNegative shareholders' equity combined with very large debt creates persistent solvency and refinancing risk. Accumulated losses shrink capital buffers, constrain access to new financing, and limit strategic flexibility, raising the probability of covenant stress or forced deleveraging over the medium term.

Shrinking Revenue And Negative Gross MarginDeclining top-line and a negative gross margin indicate the core apparel business is losing pricing power or facing structural cost/efficiency issues. When the business cannot cover direct costs at scale, margins and profitability remain impaired, threatening sustainable recovery absent fundamental operational change.

Deteriorating, Volatile Cash FlowWeak and erratic cash generation—recently slipping to slightly negative OCF and breakeven FCF—reduces ability to service debt, fund capex, or invest in operations. Persistent volatility increases refinancing risk and makes multi-quarter planning and creditor confidence materially more difficult.

SEL Manufacturing Co. Ltd. News

SEL Manufacturing Closes Trading Window Ahead of December Quarter Results

SEL Manufacturing Co. Ltd. ( ($IN:SELMC) ) has shared an announcement. SEL Manufacturing Company Limited has announced the...

2M ago

SELMC

SEL Manufacturing Co. Ltd. Receives SEBI Compliance Certificate

An update from SEL Manufacturing Co. Ltd. ( ($IN:SELMC) ) is now available. SEL Manufacturing Co. Ltd. has...

4M ago

SELMC

SEL Manufacturing Announces Key Appointments and Resignations

SEL Manufacturing Co. Ltd. ( ($IN:SELMC) ) just unveiled an update. SEL Manufacturing Co. Ltd. has announced several...

6M ago

SELMC

SEL Manufacturing Announces Resignation of Key Executive

SEL Manufacturing Co. Ltd. ( ($IN:SELMC) ) has provided an update. SEL Manufacturing Company Limited announced the resignation...

6M ago

SELMC

SELMC FAQ

What was SEL Manufacturing Co. Ltd.’s price range in the past 12 months?

SEL Manufacturing Co. Ltd. lowest stock price was ₹25.01 and its highest was ₹48.81 in the past 12 months.

What is SEL Manufacturing Co. Ltd.’s market cap?

SEL Manufacturing Co. Ltd.’s market cap is ₹1.02B.

When is SEL Manufacturing Co. Ltd.’s upcoming earnings report date?

SEL Manufacturing Co. Ltd.’s upcoming earnings report date is Jun 03, 2026 which is in 107 days.

How were SEL Manufacturing Co. Ltd.’s earnings last quarter?

SEL Manufacturing Co. Ltd. released its earnings results on Feb 07, 2026. The company reported -₹12.298 earnings per share for the quarter, missing the consensus estimate of N/A by -₹12.298.

Is SEL Manufacturing Co. Ltd. overvalued?

According to Wall Street analysts SEL Manufacturing Co. Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does SEL Manufacturing Co. Ltd. pay dividends?

SEL Manufacturing Co. Ltd. does not currently pay dividends.

What is SEL Manufacturing Co. Ltd.’s EPS estimate?

SEL Manufacturing Co. Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does SEL Manufacturing Co. Ltd. have?

SEL Manufacturing Co. Ltd. has 33,134,700 shares outstanding.

What happened to SEL Manufacturing Co. Ltd.’s price movement after its last earnings report?

SEL Manufacturing Co. Ltd. reported an EPS of -₹12.298 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -4.978%.

Which hedge fund is a major shareholder of SEL Manufacturing Co. Ltd.?

Currently, no hedge funds are holding shares in IN:SELMC

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

SEL Manufacturing Co. Ltd.

SEL Manufacturing Company Limited engages in the spinning, knitting, and processing of yarns and fabrics in India and internationally. It offers knitted garments, terry towels, knitted and processed fabrics, and various kinds of yarn. The company, through its subsidiary, SEL Aviation Pvt. Ltd., provides aviation services. SEL Manufacturing Company Limited was founded in 1969 and is based in Ludhiana, India.