NSEI:BSL

Stock Analysis Report

Executive Summary

BSL Limited, a textile company, manufactures and sells fashion fabrics and yarns in India.

Rewards

PE ratio (13x) is below the Indian market (13.1x)

Earnings grew by 89.7% over the past year

Risk Analysis

Earnings have declined by -39.34% per year over past 5 years

Interest payments are not well covered by earnings

Does not have a meaningful market cap (₹309M)

Large one-off items impacting financial results



Snowflake Analysis

Mediocre balance sheet with acceptable track record.

Share Price & News

How has BSL's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BSL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.9%

BSL

-0.5%

IN Luxury

-1.5%

IN Market


1 Year Return

-27.7%

BSL

18.2%

IN Luxury

10.7%

IN Market

Return vs Industry: BSL underperformed the Indian Luxury industry which returned 18.2% over the past year.

Return vs Market: BSL underperformed the Indian Market which returned 10.7% over the past year.


Shareholder returns

BSLIndustryMarket
7 Day-3.9%-0.5%-1.5%
30 Day-13.8%3.0%-2.7%
90 Day5.8%9.2%1.3%
1 Year-27.7%-27.7%19.0%18.2%12.7%10.7%
3 Year-58.1%-59.6%52.2%48.8%22.0%15.1%
5 Year-7.6%-14.7%106.9%100.1%34.5%22.0%

Price Volatility Vs. Market

How volatile is BSL's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is BSL undervalued compared to its fair value and its price relative to the market?

13.03x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BSL (₹30.8) is trading above our estimate of fair value (₹23.34)

Significantly Below Fair Value: BSL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BSL is poor value based on its PE Ratio (13x) compared to the Luxury industry average (11.2x).

PE vs Market: BSL is good value based on its PE Ratio (13x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate BSL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BSL is good value based on its PB Ratio (0.4x) compared to the IN Luxury industry average (0.5x).


Next Steps

Future Growth

How is BSL forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

19.9%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as BSL has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has BSL performed over the past 5 years?

-39.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BSL has a large one-off gain of ₹25.4M impacting its December 31 2019 financial results.

Growing Profit Margin: BSL's current net profit margins (0.6%) are higher than last year (0.3%).


Past Earnings Growth Analysis

Earnings Trend: BSL's earnings have declined by -39.3% per year over the past 5 years.

Accelerating Growth: BSL's earnings growth over the past year (89.7%) exceeds its 5-year average (-39.3% per year).

Earnings vs Industry: BSL earnings growth over the past year (89.7%) exceeded the Luxury industry 5.6%.


Return on Equity

High ROE: BSL's Return on Equity (3.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is BSL's financial position?


Financial Position Analysis

Short Term Liabilities: BSL's short term assets (₹2.4B) exceed its short term liabilities (₹2.3B).

Long Term Liabilities: BSL's short term assets (₹2.4B) exceed its long term liabilities (₹335.0M).


Debt to Equity History and Analysis

Debt Level: BSL's debt to equity ratio (197.5%) is considered high.

Reducing Debt: BSL's debt to equity ratio has reduced from 201.1% to 197.5% over the past 5 years.

Debt Coverage: BSL's debt is not well covered by operating cash flow (13.2%).

Interest Coverage: BSL's interest payments on its debt are not well covered by EBIT (1.1x coverage).


Balance Sheet

Inventory Level: BSL has a high level of physical assets or inventory.

Debt Coverage by Assets: BSL's debt is covered by short term assets (assets are 1.6x debt).


Next Steps

Dividend

What is BSL's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.6%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate BSL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BSL's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if BSL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BSL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: BSL is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BSL's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.6yrs

Average board tenure


CEO

Arun Churiwal (69yo)

₹12,331,000

Compensation

Mr. Arun Kumar Churiwal serves as the Executive Chairman and Managing Director of BSL Limited. Mr. Churiwal served a the Managing Director at RSWM Limited from March 17, 2009 to March 31, 2016 and its Chie ...


CEO Compensation Analysis

Compensation vs Market: Arun's total compensation ($USD172.32K) is above average for companies of similar size in the Indian market ($USD50.34K).

Compensation vs Earnings: Arun's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Arun Churiwal
Executive Chairman & MD0yrs₹12.33m10.46% 32.3m
Nivedan Churiwal
Joint MD & Executive Director0yrs₹9.99m6.42% 19.8m
Sushil Jhunjhunwala
Independent Non-Executive Director19.2yrs₹90.00k0.19% 600.0k
Ravi Jhunjhunwala
Non-Executive Director26.3yrs₹60.00k0.82% 2.5m
Shekhar Agarwal
Non-Executive Director17.8yrs₹110.00kno data
Amar Choudhary
Independent Non-Executive Director0yrs₹220.00kno data
Abhilasha Mimani
Independent Non-Executive Director5.5yrs₹60.00kno data
Giriraj Singhal
Independent Non-Executive Director5.4yrs₹140.00kno data
Jagdish Laddha
Director0.08yrsno datano data

11.6yrs

Average Tenure

68yo

Average Age

Experienced Board: BSL's board of directors are seasoned and experienced ( 11.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

BSL Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BSL Limited
  • Ticker: BSL
  • Exchange: NSEI
  • Founded: 1970
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: ₹308.795m
  • Shares outstanding: 10.29m
  • Website: https://www.bslltd.com

Number of Employees


Location

  • BSL Limited
  • Bhilwara Towers
  • A-12, Sector–1
  • Noida
  • Uttar Pradesh
  • 201301
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
514045BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 1995
BSLNSEI (National Stock Exchange of India)YesEquity SharesININRMar 1995

Biography

BSL Limited, a textile company, manufactures and sells fashion fabrics and yarns in India. The company operates through Textile and Wind Power segments. It produces a range of polyester viscose fabrics, including suiting, shirting, safari, and corduroy blends; worsted fabrics, such as wool, wool rich, Lycra blended poly wool, poly viscose, mohair polyester wool, and polyester silk wool fabrics. The company also offers wool, wool-blended, and premium lightweight fabrics; wool modal, Trevira wool, and other specialized fabrics blended with lycra, silk, linen, tencel, etc.; and furnishing and fashion fabrics. In addition, it is involved in the generation of wind power at Jaisalmer. The company also exports its products to Africa, Australia, Europe, the United States, Canada, and other Latin American countries. BSL Limited was incorporated in 1970 and is based in Noida, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 13:01
End of Day Share Price2020/02/19 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.