Vardhman Textiles Limited Just Recorded A 9.2% EPS Beat: Here's What Analysts Are Forecasting Next

The quarterly results for Vardhman Textiles Limited (NSE:VTL) were released last week, making it a good time to revisit its performance. Results look mixed - while revenue fell marginally short of analyst estimates at ₹23b, statutory earnings beat expectations 9.2%, with Vardhman Textiles reporting profits of ₹5.63 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

View our latest analysis for Vardhman Textiles

Taking into account the latest results, the current consensus from Vardhman Textiles' three analysts is for revenues of ₹107.5b in 2025. This would reflect a meaningful 13% increase on its revenue over the past 12 months. Per-share earnings are expected to leap 79% to ₹36.50. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹106.1b and earnings per share (EPS) of ₹34.60 in 2025. So the consensus seems to have become somewhat more optimistic on Vardhman Textiles' earnings potential following these results.

The consensus price target rose 6.2% to ₹410, suggesting that higher earnings estimates flow through to the stock's valuation as well. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Vardhman Textiles analyst has a price target of ₹421 per share, while the most pessimistic values it at ₹361. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 10% growth on an annualised basis. That is in line with its 11% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 14% per year. So it's pretty clear that Vardhman Textiles is expected to grow slower than similar companies in the same industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Vardhman Textiles' earnings potential next year. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Vardhman Textiles' revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Vardhman Textiles going out to 2026, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Vardhman Textiles , and understanding them should be part of your investment process.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.