Zero Debt, Rising EquityA zero-debt balance sheet with steadily rising equity materially reduces financial risk and preserves optionality for multi-month capital allocation. This structural conservatism supports resilience to commodity cycles, enables self-funded maintenance/capex, and keeps refinancing risk minimal over a 2–6 month horizon.

High, Consistent MarginsSustained high gross and healthy net margins indicate a durable cost/processing advantage from estate-controlled cultivation and manufacturing. These margins underpin lasting cash generation capacity and protect profitability against moderate price swings, supporting strategic reinvestment and margin resilience.

Operating Cash > Net IncomeOperating cash flow outpacing net income and a strong positive free cash flow conversion indicate real cash-generating operations. Reliable FCF supports capex, working capital needs, and shareholder returns without reliance on external financing, strengthening long-term financial flexibility.

Bears Say

Volatile Operating Profit & FCFYear-to-year swings in operating margins and free cash flow reduce predictability of earnings and cash available for investment. For an agricultural producer, variability from yields, weather, and input costs can compress margins episodically, complicating multi-period planning and capital allocation.

Recent Uneven Revenue TrendNegative recent revenue growth signals top-line sensitivity to market demand or production variability. In tea production, inconsistent revenue trends can reflect crop cycles, price volatility, or distribution issues, making sustained expansion and capacity utilization harder to rely on over the medium term.

Moderate Returns On EquityModerate ROE despite a strong balance sheet indicates limited capital efficiency and modest profitability per unit equity. With little leverage, equity returns rely solely on operational improvement; absent strong top-line growth or margin expansion, shareholder returns may remain restrained over coming quarters.

United Nilgiri Tea Estates Co. Ltd. News

United Nilgiri Tea Estates Approves Interim Dividend, Results and Director Reappointment

United Nilgiri Tea Estates Co. Ltd. ( ($IN:UNITEDTEA) ) has provided an announcement. United Nilgiri Tea Estates Company’s...

17d ago

United Nilgiri Tea Estates Co. Ltd. (UNITEDTEA) Declares Q1 Dividend: Important Details for Shareholders

United Nilgiri Tea Estates Co. Ltd. (NSE: UNITEDTEA) has declared, under its dividend policy, a yearly cash dividend...

1y ago

UNITEDTEA FAQ

What was United Nilgiri Tea Estates Co. Ltd.’s price range in the past 12 months?

United Nilgiri Tea Estates Co. Ltd. lowest stock price was ₹350.10 and its highest was ₹548.00 in the past 12 months.

What is United Nilgiri Tea Estates Co. Ltd.’s market cap?

United Nilgiri Tea Estates Co. Ltd.’s market cap is ₹2.51B.

When is United Nilgiri Tea Estates Co. Ltd.’s upcoming earnings report date?

United Nilgiri Tea Estates Co. Ltd.’s upcoming earnings report date is May 11, 2026 which is in 77 days.

How were United Nilgiri Tea Estates Co. Ltd.’s earnings last quarter?

United Nilgiri Tea Estates Co. Ltd. released its earnings results on Feb 06, 2026. The company reported ₹10.654 earnings per share for the quarter, beating the consensus estimate of N/A by ₹10.654.

Is United Nilgiri Tea Estates Co. Ltd. overvalued?

According to Wall Street analysts United Nilgiri Tea Estates Co. Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does United Nilgiri Tea Estates Co. Ltd. pay dividends?

United Nilgiri Tea Estates Co. Ltd. pays a Semiannually dividend of ₹2 which represents an annual dividend yield of 0.67%. See more information on United Nilgiri Tea Estates Co. Ltd. dividends here

What is United Nilgiri Tea Estates Co. Ltd.’s EPS estimate?

United Nilgiri Tea Estates Co. Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does United Nilgiri Tea Estates Co. Ltd. have?

United Nilgiri Tea Estates Co. Ltd. has 4,996,566 shares outstanding.

What happened to United Nilgiri Tea Estates Co. Ltd.’s price movement after its last earnings report?

United Nilgiri Tea Estates Co. Ltd. reported an EPS of ₹10.654 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 2.698%.

Which hedge fund is a major shareholder of United Nilgiri Tea Estates Co. Ltd.?

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

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

United Nilgiri Tea Estates Co. Ltd.

The United Nilgiri Tea Estates Company Limited engages in growing, manufacturing, and selling teas in India. It offers black, special, green, herbal, and gift teas. The company is also involved in letting-out of properties. It also exports its products to Australia, Congo, Canada, Germany, the Netherlands, Denmark, Finland, Japan, the United States, and the United Kingdom. The company was incorporated in 1922 and is based in Coimbatore, India.