KPR Mill
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
KPR Mill is currently navigating a significant expansion phase, with management emphasizing a strategic focus on scaling garmenting capacity and enhancing its value proposition through branded apparel. The INR12.25 billion capex program, which includes a new greenfield facility in Odisha and modernization efforts in Coimbatore, is expected to drive long-term revenue growth and margin expansion. Despite these positive developments, the company faces potential headwinds from export market volatility and global competitive pressures, which could impact its growth trajectory. Vista's financial outlook reflects stable revenue growth and margins, supported by KPR's operational efficiencies and vertical integration. The anticipated benefits from Free Trade Agreements and government initiatives further bolster the outlook, although geopolitical uncertainties and raw material price volatility remain critical risks. Over the next 12-24 months, KPR Mill's ability to execute its expansion plans while managing these risks will be pivotal. Key opportunities include leveraging government support and expanding into new markets, while watchpoints include geopolitical tensions and labor shortages that could affect production costs
Why We Like This Stock
- Significant capex program aimed at expanding garmenting capacity and enhancing product offerings
- Strong operational capabilities and vertical integration provide cost efficiencies and quality control
- Supportive government policies and Free Trade Agreements are expected to enhance competitiveness
Things To Watch Out For
- Potential risks from export market volatility and global competitive pressures could hinder growth
- Geopolitical uncertainties may drive up logistics and raw material costs, impacting margins
- Labor shortages and raw material price volatility, particularly for cotton, pose significant execution risks
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 6,060 | 6,388 | 6,650 | 7,084 | 7,583 |
| Profit Before Tax (Cr.) | 1,015 | 1,040 | 1,134 | 1,290 | 1,372 |
| PBT Margin | 16.7% | 16.3% | 1705.3% | 18.2% | 18.1% |
| Net Profit (Cr.) | 807 | 808 | 882 | 999 | 1,063 |
| Earnings Per Share | 23.6 | 23.6 | 25.8 | 29.2 | 31.1 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Elara Capital | ▲ Buy | 1,287 | 17-May-2026 |
| Mirae Asset | ▲ Buy | 1,287 | 29-Apr-2026 |
| Motilal Oswal | ► Neutral | 1,200 | 11-Aug-2026 |
Company Overview
Show Company Profile
K.P.R. Mill Limited operates as an integrated apparel manufacturing company in India and internationally. It operates through three segments: Textile, Sugar, and Others. The company offers compact, combed, carded, polyester cotton, viscose, grindel, red label, colour melange, cotton, poly cotton, melange, BCI, organic, and CMIA REEL yarns; knitted cotton fabrics; and readymade garments comprising casual, sports, active, sleep, and work wear for men, women, and children. It also produces sugar; ethanol; green energy through co-gen power; and wind power; and acts as a dealer for cars. It offers its products under FASO brand name. K.P.R. Mill Limited was founded in 1984 and is based in Coimbatore, India.