Vadilal Industries Limited (VADILALIND) AI Stock Analysis

• Market Cap: ₹33.69B
• Dividend Yield: 0.42%
• Average Volume (3M): 179.00
• Price to Earnings (P/E): ―
• Beta (1Y): 1.23
• Revenue Growth: 11.81%
• EPS Growth: -12.36%
• Country: IN
• Employees: 681
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): -0.22
• Shares Outstanding: 7,187,830
• 10 Day Avg. Volume: 231
• 30 Day Avg. Volume: 179
• PEG Ratio: 7.85
• Price to Book (P/B): 5.42
• Price to Sales (P/S): 3.04
• P/FCF Ratio: 95.30
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ₹5,031.00 ▲(6.25% Upside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

Vadilal Industries Limited demonstrates strong financial performance with consistent revenue and profit growth, which is the most significant factor in its overall score. Technical analysis indicates neutral market momentum, while valuation metrics suggest moderate valuation. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Consistent Revenue Growth

Vadilal's consistent revenue and profit growth, supported by reported ~11.9% revenue growth, reflects durable demand for its branded ice-cream and processed foods. Sustained top-line expansion enables reinvestment in distribution, brand marketing and cold-chain capacity over the medium term.

Solid Balance Sheet & Manageable Leverage

A healthy equity ratio and moderate debt-to-equity provide financial resilience and flexibility for capital expenditure and seasonal working capital. Improved ROE noted in the balance sheet summary supports the company's ability to allocate capital efficiently without excessive leverage risk.

Robust Gross & Improving Net Margins

Sustained gross margins and improving net profitability indicate effective cost control across production and distribution. Improved margins enhance free cash potential and capacity to fund brand/buildout initiatives, making earnings more resilient to moderate volume swings over time.

Negative Factors

Inconsistent Free Cash Flow

Fluctuating free cash flow growth signals inconsistent cash generation despite operating profits. This can constrain funding for capex, cold-chain investments and franchise expansion, and may increase reliance on external financing during peak season or expansion phases, reducing flexibility.

Seasonality & Input-Cost Exposure

Heavy dependence on seasonal ice-cream demand and exposure to volatile inputs like milk solids and sugar creates persistent margin pressure and forecasting uncertainty. Seasonality forces larger working-capital swings and can compress margins in weaker months absent pricing power or hedging.

Volatile Operating (EBIT) Margins

Noted volatility in EBIT margins points to operational cost variability—likely from distribution, cold-chain or mix effects—which undermines earnings predictability. Persistent margin swings can impede long-range planning and weaken the stability of free cash flow and return metrics.

Vadilal Industries Limited Business Overview & Revenue Model

Company Description

Vadilal Industries Limited manufactures and sells ice-creams in India and internationally. The company provides flavored milk, frozen dessert, processed foods, and other dairy products; and exports processed ice-creams, frozen fruits, vegetables, pulp, ready-to-eat and ready-to-serve products, etc., as well as paneer and ghee products. It also engages in money changing and chemical businesses. Vadilal Industries Limited was incorporated in 1982 and is based in Ahmedabad, India.

How the Company Makes Money

Vadilal Industries Limited makes money mainly by selling branded packaged food products, with ice cream/frozen desserts forming its core business. Revenue is generated through (1) sales of ice cream/frozen dessert SKUs to trade channels (general trade/retailers, modern trade, and institutional customers) and via the company’s cold-chain enabled distribution network; (2) sales of processed and frozen foods (such as frozen vegetables and snacks) sold through similar retail and distribution channels and, where applicable, export channels; and (3) revenue associated with operating/servicing brand-led points of sale (e.g., scooping parlours/franchise-led outlets) where product is sold directly to consumers, where such formats are used by the company. Earnings are influenced by factors such as brand strength, product mix (premium vs. mass SKUs), seasonal demand for ice cream, cold-chain and distribution reach, input costs (e.g., milk solids, sugar, packaging), and the ability to expand in domestic and export markets. Specific details on material partnerships, channel-wise revenue split, or contract terms are null.

Vadilal Industries Limited Financial Statement Overview

Summary

Vadilal Industries Limited exhibits strong financial performance with consistent revenue and profit growth. The balance sheet is solid with a healthy equity position and manageable debt levels. Cash flow management shows room for improvement, particularly in free cash flow generation.

Income Statement

Vadilal Industries Limited has demonstrated strong revenue growth, with a notable increase from 2020 to 2025. Gross profit margin remains robust, indicating effective cost management. Net profit margin shows significant improvement, reflecting enhanced profitability. However, the volatility in EBIT margin suggests potential operational challenges.

Balance Sheet

The company's balance sheet shows a healthy equity ratio, suggesting financial stability. The debt-to-equity ratio is moderate, indicating manageable leverage. Return on equity has improved over the years, showcasing efficient use of equity. It's important to monitor the increase in liabilities to ensure sustained financial health.

Cash Flow

Cash flow analysis reveals a fluctuating free cash flow growth rate, which could signal inconsistent cash generation. Operating cash flow to net income ratio is stable, reflecting reliable cash flow from operations. Free cash flow to net income ratio shows improvement, but the company needs to continue focusing on enhancing free cash flow generation.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	13.26B	12.38B	11.23B	10.58B	6.95B	4.62B
Gross Profit	6.00B	4.56B	5.47B	4.97B	3.06B	1.89B
EBITDA	2.35B	2.56B	2.30B	1.76B	1.07B	519.70M
Net Income	1.34B	1.50B	1.46B	962.90M	447.02M	46.33M
Balance Sheet
Total Assets	11.56B	10.96B	9.17B	8.38B	6.23B	5.67B
Cash, Cash Equivalents and Short-Term Investments	1.43B	572.30M	541.50M	318.50M	452.58M	252.33M
Total Debt	2.04B	2.18B	2.23B	2.91B	1.86B	1.58B
Total Liabilities	3.70B	4.00B	3.74B	4.40B	3.26B	3.16B
Stockholders Equity	7.85B	6.95B	5.42B	3.97B	2.97B	2.51B
Cash Flow
Free Cash Flow	896.50M	395.20M	1.32B	-189.16M	106.46M	672.06M
Operating Cash Flow	1.37B	1.20B	1.92B	394.79M	320.32M	820.53M
Investing Cash Flow	-1.00B	-817.80M	-659.90M	-618.84M	-199.26M	-108.36M
Financing Cash Flow	-237.60M	-458.10M	-1.14B	90.16M	78.38M	-555.97M

Vadilal Industries Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4735.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VADILALIND, the sentiment is Negative. The current price of 4735.15 is below the 20-day moving average (MA) of 4894.23, below the 50-day MA of 4735.81, and below the 200-day MA of 5152.50, indicating a bearish trend. The MACD of -29.63 indicates Positive momentum. The RSI at 42.00 is Neutral, neither overbought nor oversold. The STOCH value of 26.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:VADILALIND.

Vadilal Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GOKULAGRO	78 Outperform	₹55.21B	17.02	―	―	34.34%	45.32%
VADILALIND	68 Neutral	₹33.69B	-5,541.37	―	0.42%	11.81%	-12.36%
BANARISUG	66 Neutral	₹45.66B	23.32	―	0.35%	-7.81%	-6.64%
ADFFOODS	64 Neutral	₹20.26B	24.99	―	0.57%	6.31%	-3.89%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
TASTYBITE	60 Neutral	₹17.73B	28.74	―	0.02%	17.13%	104.51%
GLOBUSSPR	56 Neutral	₹25.37B	25.16	―	0.28%	2.36%	-26.16%

Vadilal Industries Limited Corporate Events

Vadilal Director Resigns as Board Launches Governance Compliance Review

Vadilal Industries Limited has announced the resignation of independent director Shivakumar Dega, effective February 17, 2026, with the board formally recording its appreciation for his contributions and noting that he will cease to serve on the company’s board and its committees. In response to concerns raised by Dega about possible non-compliance with certain statutory provisions, the board has launched an expedited governance review, forming a dedicated sub-committee and moving to appoint independent advisers to assess regulatory compliance and reconstitute board committees, signaling heightened scrutiny of its governance framework for investors and other stakeholders.

The company disclosed that Dega, who also holds board and committee positions at Yes Bank Limited and Intellect Design Arena Ltd, has confirmed there are no significant reasons for his resignation beyond those stated in his letter. Vadilal’s steps to review compliance and strengthen oversight indicate an effort to mitigate potential regulatory risks and reassure markets about its commitment to statutory obligations and high standards of corporate governance.

Vadilal Industries Closes Trading Window Ahead of Q3 FY2025-26 Results

Vadilal Industries Limited has announced the closure of its trading window for designated persons and their immediate relatives from 1 January 2026 until 48 hours after the company announces its unaudited financial results for the quarter ended 31 December 2025, in line with SEBI’s Prohibition of Insider Trading Regulations and its own code for handling unpublished price-sensitive information. The move, a standard compliance measure across listed firms, temporarily restricts insider trading in the company’s securities and signals that the next quarterly financial disclosure is pending, with the specific board meeting date to consider these results to be communicated later.