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Last Updated on: 28 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Pearl Global Industries Ltd

About the Company - Pearl Global Industries Ltd

Pearl Global Industries Ltd. is a Public Limited Listed company incorporated on 05/07/1989 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L74899DL1989PLC036849 and registration number is 036849. Currently Company is involved in the business activities of Manufacture of wearing apparel, except fur apparel. Company’s Total Operating Revenue is Rs. 933.77 Cr. and Equity Capital is Rs. 21.66 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Readymade ApparelsC-17/1, Paschimi Marg, New Delhi Delhi 110057investor.pgil@pearlglobal.com
http://www.pearlglobal.com
Management
NamePosition Held
Mr. Deepak SethChairman
Mr. Pulkit SethVice Chairman
Mr. Pallab BenerjeeManaging Director
Mr. Shailesh KumarExecutive Director
Mr. Deepak KumarExecutive Director
Mrs. Shifalli SethNon Executive Director
Mr. Rajendra Kumar AnejaNon Exe. & Ind. Director
Mr. Anil NayarNon Exe. & Ind. Director
Mr. Abhishek GoyalNon Exe. & Ind. Director
Mrs. Madhulika BhupatkarNon Exe. & Ind. Director
Mr. Chittranjan DuaNon Exe. & Ind. Director
Ms. Neha KhannaNon Exe. & Ind. Director

Pearl Global Industries Ltd. Share Price Update

Share PriceValue
Today₹559.85
Previous Day₹563.50

Basic Stock Data of Pearl Global Industries Ltd

Market Cap 2,878 Cr.
Current Price 661
High / Low735/188
Stock P/E18.4
Book Value 168
Dividend Yield1.31 %
ROCE19.2 %
ROE21.1 %
Face Value 5.00

Data Source: screener.in

Competitors of Pearl Global Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Active Clothing Co Ltd 163 Cr. 105125/35.641.7 43.10.00 %7.98 %3.57 % 10.0
VIP Clothing Ltd 362 Cr. 43.859.8/37.4 18.00.00 %4.92 %1.35 % 2.00
Thomas Scott India Ltd 254 Cr. 323336/32.429.1 25.60.00 %30.4 %26.5 % 10.0
Globe Textiles (India) Ltd 133 Cr. 4.404.92/1.7225.5 1.900.00 %11.4 %8.58 % 2.00
SP Apparels Ltd (SPAL) 1,603 Cr. 639685/30419.6 2870.47 %14.6 %12.6 % 10.0
Industry Average503.00 Cr223.0423.1875.120.09%13.86%10.52%6.80

Pearl Global Industries Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales451360525436681700896851860717730894961
Expenses420350494418641657856784808644667811883
Operating Profit31103118404340675273638377
OPM %7%3%6%4%6%6%4%8%6%10%9%9%8%
Other Income51988123184712377
Interest1011111291313161618162024
Depreciation11111112131213121213141416
Profit before tax147172302132443244565846
Tax %-5%-64%7%131%15%21%11%16%19%16%5%18%14%
Net Profit151116-1261728362637534739
EPS in Rs3.322.493.490.045.663.786.268.425.347.7111.9911.109.16

Pearl Global Industries Ltd Quarterly Chart

Pearl Global Industries Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2,7983,8204,6991,0241,3931,5381,4961,7581,6851,4912,7143,1583,302
Expenses2,7133,7274,6409741,3331,4651,4501,6571,6031,4242,5552,8833,005
Operating Profit869359506173461008267159275297
OPM %3%2%1%5%4%5%3%6%5%4%6%9%9%
Other Income16176024243047514436373439
Interest30344023213538435347618277
Depreciation25272916171923264244485156
Profit before tax4749513447493283311186176203
Tax %17%38%13%29%23%15%29%19%30%-54%18%13%
Net Profit3930442437422367221770153177
EPS in Rs14.5410.9817.8411.5716.9218.7511.1231.069.957.9731.4668.8979.89
Dividend Payout %0%9%11%19%18%16%18%10%0%0%16%11%

Pearl Global Industries Ltd Profit & Loss Yearly Chart

Pearl Global Industries Ltd Growth

Compounded Sales Growth
10 Years:-2%
5 Years:16%
3 Years:23%
TTM:-1%
Compounded Profit Growth
10 Years:16%
5 Years:45%
3 Years:78%
TTM:27%
Stock Price CAGR
10 Years:23%
5 Years:58%
3 Years:100%
1 Year:239%
Return on Equity
10 Years:9%
5 Years:11%
3 Years:12%
Last Year:21%

Pearl Global Industries Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital22222222222222222222222222
Reserves526592674296323359373448479496577701712
Borrowings452506605167217253315333463440645558502
Other Liabilities376610609250264282226298288339538501537
Total Liabilities1,3761,7301,9107348259169371,1001,2521,2961,7811,7811,772
Fixed Assets322328372213210256274338422390448500570
CWIP1131531116883647153337
Investments10264211191337333855556094
Other Assets1,0331,3731,4815075856306177227568041,2631,1881,071
Total Assets1,3761,7301,9107348259169371,1001,2521,2961,7811,7811,772

Pearl Global Industries Ltd Reserves and Borrowings Chart

Pearl Global Industries Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 0-58432251533756495-92365
Cash from Investing Activity -21-34-82-55-22-49-58-59-85-26-40-26
Cash from Financing Activity -940692241131-1415-62153-200
Net Cash Flow-30171-2027-2362-6722139

Pearl Global Industries Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days667352435038354648594924
Inventory Days43352911980939399119133131115
Days Payable455746113825148768211710688
Cash Conversion Cycle645235494880796985767452
Working Capital Days635747575554576575908548
ROCE %8%9%8%6%12%13%10%14%10%5%12%19%

Pearl Global Industries Ltd Financial Efficiency Indicators Chart

Pearl Global Industries Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters66.58%66.58%66.58%66.58%66.58%66.58%66.58%66.58%66.58%66.58%66.58%66.58%
FIIs6.39%6.39%6.39%6.44%5.81%5.66%5.59%5.33%5.25%5.17%5.03%5.30%
DIIs2.27%2.23%1.99%1.46%1.20%1.43%1.45%1.29%1.22%1.24%1.05%0.50%
Public24.76%24.79%25.04%25.52%26.40%26.32%26.37%26.79%26.95%27.01%27.32%27.61%
No. of Shareholders13,69313,09112,85313,81513,60013,47713,50213,73613,61913,40013,83914,776

Pearl Global Industries Ltd Shareholding Pattern Chart

No. of Pearl Global Industries Ltd Shareholders

This stock is not held by any mutual fund

Pearl Global Industries Ltd ROCE Trend

Pearl Global Industries Ltd EPS Trend

Pearl Global Industries Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)68.9031.467.979.9531.06
Diluted EPS (Rs.)68.7931.467.979.9531.06
Cash EPS (Rs.)94.0654.6728.4329.4442.93
Book Value[Excl.RevalReserv]/Share (Rs.)342.86283.82244.72237.05222.21
Book Value[Incl.RevalReserv]/Share (Rs.)342.86283.82244.72237.05222.21
Revenue From Operations / Share (Rs.)1457.911252.56688.21777.85811.26
PBDIT / Share (Rs.)128.4880.3438.8053.5355.55
PBIT / Share (Rs.)105.0558.0218.4434.1343.59
PBT / Share (Rs.)81.1739.615.2414.4238.28
Net Profit / Share (Rs.)70.6232.368.0710.0330.98
NP After MI And SOA / Share (Rs.)68.8928.697.979.9531.06
PBDIT Margin (%)8.816.415.636.886.84
PBIT Margin (%)7.204.632.674.385.37
PBT Margin (%)5.563.160.761.854.71
Net Profit Margin (%)4.842.581.171.283.81
NP After MI And SOA Margin (%)4.722.291.151.273.82
Return on Networth / Equity (%)20.6510.373.334.3014.31
Return on Capital Employeed (%)23.6114.455.1510.0015.20
Return On Assets (%)8.383.491.331.726.11
Long Term Debt / Equity (X)0.120.200.240.190.17
Total Debt / Equity (X)0.620.940.620.710.67
Asset Turnover Ratio (%)0.860.860.760.901.03
Current Ratio (X)1.421.371.471.381.39
Quick Ratio (X)0.790.770.920.860.89
Inventory Turnover Ratio (X)1.561.711.161.491.51
Dividend Payout Ratio (NP) (%)10.880.000.0030.136.43
Dividend Payout Ratio (CP) (%)8.120.000.0010.214.65
Earning Retention Ratio (%)89.120.000.0069.8793.57
Cash Earning Retention Ratio (%)91.880.000.0089.7995.35
Interest Coverage Ratio (X)4.273.732.042.764.19
Interest Coverage Ratio (Post Tax) (X)3.142.361.121.532.74
Enterprise Value (Cr.)1060.391355.13585.78498.70604.04
EV / Net Operating Revenue (X)0.330.490.390.290.34
EV / EBITDA (X)3.817.796.974.305.02
MarketCap / Net Operating Revenue (X)0.280.340.240.140.22
Retention Ratios (%)89.110.000.0069.8693.56
Price / BV (X)1.231.540.700.470.82
Price / Net Operating Revenue (X)0.280.340.240.140.22
EarningsYield0.160.060.040.090.17

Pearl Global Industries Ltd Profitability Ratios (%)

Pearl Global Industries Ltd Liquidity Ratios

Pearl Global Industries Ltd Liquidity Ratios (%)

Pearl Global Industries Ltd Interest Coverage Ratios (%)

Pearl Global Industries Ltd Valuation Ratios

Fair Value / Intrinsic Value of Pearl Global Industries Ltd

Fair Value: ₹660.79

The stock is overvalued by 0.03% compared to the current price ₹661

*Investments are subject to market risks

Strength and Weakness of Pearl Global Industries Ltd

StrengthWeakness
  1. The company has higher reserves (504.31 cr) compared to borrowings (419.69 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (1.85 cr) and profit (69.15 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 51.85 and average Dividend Yield of 4.85%.
  2. The stock has a low average ROCE of 10.50%, which may not be favorable.
  3. The stock has a high average Working Capital Days of 62.75, which may not be favorable.
  4. The stock has a high average Cash Conversion Cycle of 63.58, which may not be favorable.

Should I Buy Pearl Global Industries Ltd Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in Pearl Global Industries Ltd:
    1. Net Profit Margin: 4.84%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 23.61% (Industry Average ROCE: 17.86%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. Interest Coverage Ratio (Post Tax): 3.14
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    4. Quick Ratio: 0.79
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    5. ✗ Stock P/E: 17.9 (Industry average Stock P/E: 6.28)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    6. ✓ Total Debt / Equity: 0.62
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis suggests exercising caution. It's advisable to conduct further research or consult with financial experts before considering any investment.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Pearl Global Industries Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE