KASE:ILP

Stock Analysis Report

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Executive Summary

Interloop Limited manufactures and exports hosiery products in Pakistan.


Snowflake Analysis

Mediocre balance sheet unattractive dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ILP's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.6%

ILP

4.3%

PK Luxury

3.5%

PK Market


1 Year Return

4.5%

ILP

-1.8%

PK Luxury

-5.2%

PK Market

Return vs Industry: ILP exceeded the PK Luxury industry which returned -1.8% over the past year.

Return vs Market: ILP exceeded the PK Market which returned -5.2% over the past year.


Shareholder returns

ILPIndustryMarket
7 Day0.6%4.3%3.5%
30 Day3.2%4.6%1.8%
90 Day9.6%13.1%12.5%
1 Year10.8%4.5%4.2%-1.8%-0.6%-5.2%
3 Yearn/a-22.0%-31.4%-22.2%-32.1%
5 Yearn/a10.0%-10.0%2.9%-19.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

11.09x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ILP (PKR44.88) is trading above our estimate of fair value (PKR19.42)

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


Price To Earnings Ratio

PE vs Industry: ILP is poor value based on its PE Ratio (11.1x) compared to the Luxury industry average (4.6x).

PE vs Market: ILP is poor value based on its PE Ratio (11.1x) compared to the PK market (8.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ILP is overvalued based on its PB Ratio (2.3x) compared to the PK Luxury industry average (0.4x).


Next Steps

Future Growth

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

21.9%

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 Interloop 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 Interloop performed over the past 5 years?

8.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ILP has a high level of non-cash earnings.

Growing Profit Margin: ILP's current net profit margins (8.5%) are lower than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: ILP's earnings have grown by 8.9% per year over the past 5 years.

Accelerating Growth: ILP's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ILP had negative earnings growth (-20.9%) over the past year, making it difficult to compare to the Luxury industry average (-4.3%).


Return on Equity

High ROE: Whilst ILP's Return on Equity (20.77%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Interloop's financial position?


Financial Position Analysis

Short Term Liabilities: ILP's short term assets (PKR26.5B) exceed its short term liabilities (PKR25.3B).

Long Term Liabilities: ILP's short term assets (PKR26.5B) exceed its long term liabilities (PKR8.9B).


Debt to Equity History and Analysis

Debt Level: ILP's debt to equity ratio (156.1%) is considered high.

Reducing Debt: ILP's debt to equity ratio has increased from 118% to 156.1% over the past 5 years.

Debt Coverage: ILP's debt is not well covered by operating cash flow (9.2%).

Interest Coverage: ILP's interest payments on its debt are well covered by EBIT (5.3x coverage).


Balance Sheet


Next Steps

Dividend

What is Interloop current dividend yield, its reliability and sustainability?

7.80%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ILP's dividend (7.8%) is higher than the bottom 25% of dividend payers in the PK market (2.22%).

High Dividend: ILP's dividend (7.8%) is low compared to the top 25% of dividend payers in the PK market (8.33%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether ILP's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if ILP's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (68%), ILP's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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


CEO

Navid Fazil

no data

Tenure

Mr. Navid Fazil is a CEO & Executive Director of Interloop Limited. He earned his Master's in Management from the University of Oxford. 


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

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


Key Information

  • Name: Interloop Limited
  • Ticker: ILP
  • Exchange: KASE
  • Founded: 1992
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: PK₨39.144b
  • Shares outstanding: 872.20m
  • Website: https://www.interloop-pk.com

Number of Employees


Location

  • Interloop Limited
  • 1-KM, Khurrianwala-Jaranwala Road
  • Khurrianwala
  • Faisalabad
  • Pakistan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ILPKASE (Pakistan Stock Exchange Limited)YesOrdinary SharesPKPKRApr 2019

Biography

Interloop Limited manufactures and exports hosiery products in Pakistan. It offers athletic, casual, work, and medical socks; and carded plain, combed plain, Siro, slub carded/combed, and stretch yarns. The company also exports its products to Bangladesh, North America, and Europe. Interloop Limited was founded in 1992 and is based in Faisalabad, Pakistan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/06 15:00
End of Day Share Price2020/07/06 00:00
Earnings2020/03/31
Annual Earnings2019/06/30


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.