💰 Financial Performance

Revenue Growth by Segment

The company operates in a single business segment: processing and manufacture of textiles. Net profit before exceptional items and tax for the half-year ended September 30, 2025, was INR 4.97 Cr, representing a 10.21% growth compared to INR 4.51 Cr in the previous year's corresponding period.

Geographic Revenue Split

The company predominantly exports to African countries. Specific percentage contribution by region is not disclosed in available documents.

Profitability Margins

Historical net profit margin was 3.09% (FY14) based on net sales of INR 43.98 Cr and net profit of INR 1.36 Cr. For H1 FY26, the operating profit before working capital changes stood at INR 7.67 Cr, up 28.54% from INR 5.97 Cr YoY, indicating improving operational efficiency.

EBITDA Margin

Historical EBITDA margin was 7.34% in FY14 (INR 3.23 Cr EBITDA on INR 43.98 Cr sales). Current period EBITDA is not explicitly stated, but operating profit before changes in assets/liabilities grew from INR 1.46 Cr to INR 2.70 Cr (84.9% increase) for the half-year ended September 30, 2025.

Capital Expenditure

Property, plant, and equipment increased by INR 0.57 Cr from INR 29.57 Cr in March 2025 to INR 30.14 Cr in September 2025. Capital work-in-progress also increased from INR 0.40 Cr to INR 0.92 Cr during the same period, indicating ongoing small-scale capacity enhancements.

Credit Rating & Borrowing

Historical debt-to-equity ratio was low at 0.09 times in FY14. Finance costs for H1 FY26 were INR 0.38 Cr, a significant increase from INR 0.02 Cr in H1 FY25, suggesting increased utilization of working capital limits or new debt.

⚙️ Operational Drivers

Raw Materials

Primary raw materials include grey fabric for processing and African print fabric. Specific percentage of total cost for each is not disclosed in available documents.

Capacity Expansion

The company operates a manufacturing facility in Vatva Road, Ahmedabad. Current installed capacity in MT or units and specific expansion timelines are not disclosed.

Raw Material Costs

Not disclosed as a specific percentage of revenue; however, inventories stood at INR 7.01 Cr as of September 30, 2025, down from INR 8.52 Cr in March 2025, suggesting a reduction in stock-holding or faster consumption.

Manufacturing Efficiency

Depreciation and amortization costs rose to INR 2.14 Cr in H1 FY26 from INR 1.30 Cr in H1 FY25, reflecting higher asset utilization or recent additions to the production line.

📈 Strategic Growth

Expected Growth Rate

10.21%

Growth Strategy

The company focuses on the processing and manufacture of specialized African print fabrics for export markets. Growth is driven by leveraging its Ahmedabad manufacturing facility and maintaining a professional work culture to optimize human resource potential. The strategy includes managing a portfolio of unquoted long-term investments to support the balance sheet.

Products & Services

African print fabric, finished fabric, and traded textile goods.

Brand Portfolio

Weizmann.

Market Expansion

The company continues to target African countries for its textile exports, though specific new regional targets are not listed.

Strategic Alliances

The company has an associate company included in its consolidated financial results, though the specific name and nature of the JV are not detailed in the snippets.

🌍 External Factors

Industry Trends

The textile industry is shifting toward specialized prints and processed fabrics. Weizmann is positioned as a niche player in the African print segment, which requires specific manufacturing capabilities in Ahmedabad.

Competitive Landscape

Competes with other Indian and Chinese textile exporters targeting the African continent.

Competitive Moat

The company's moat is built on its specialized knowledge of the African fabric market and its established manufacturing setup in Gujarat. This is sustained by a low debt-to-equity profile (historically 0.09x) and effective internal financial controls.

Macro Economic Sensitivity

Highly sensitive to economic conditions in African nations and global cotton/textile pricing cycles.

Consumer Behavior

Demand is driven by cultural preferences for specific fabric prints in African markets.

Geopolitical Risks

Trade relations with African nations and potential import restrictions in those markets pose a risk to the core export business.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to textile manufacturing standards and export-import regulations governed by the Ministry of Textiles and DGFT.

Taxation Policy Impact

The company's net profit before tax was INR 4.97 Cr for H1 FY26; standard Indian corporate tax rates apply.

Legal Contingencies

The auditor's report for the year ended March 31, 2025, was clean and did not contain qualifications, suggesting no major disclosed legal or regulatory defaults at that time.

⚠️ Risk Analysis

Key Uncertainties

The valuation of Level 3 unquoted investments is a key audit matter, representing a risk of material misstatement if market conditions or management assumptions change significantly.

Geographic Concentration Risk

High concentration risk with exports predominantly focused on African countries.

Technology Obsolescence Risk

The company must maintain manufacturing efficiency in its Ahmedabad plant to compete with lower-cost international textile producers.

Credit & Counterparty Risk

Trade receivables of INR 11.38 Cr as of September 30, 2025, represent a significant portion of current assets, indicating exposure to the creditworthiness of international buyers.