Fundamental Analysis

KEWAL KIRAN CLOTHING
Ticker : 532732  
BUY: ₹271.40
Target: ₹305



Kewal Kiran Clothing Limited is engaged in manufacturing, marketing & retailing branded readymade garments, and finished accessories. On a consolidated basis, in Q4FY22, the company recorded net sales and other operating income of Rs 169.57 crore, higher by 53.18 per cent than Rs 110.70 crore reported in Q4FY21. Its operating profit was recorded at Rs 35.7 crore in Q4FY22, a hefty rise as compared to an operating profit of Rs 12.82 crore in Q3FY21. Q4FY22 recorded a net profit of Rs 24.83 crore in comparison with a net profit of Rs 8.25 crore in Q4FY21, giving a significant rise of 200 per cent. The company works with a robust manufacturing setup with a majority of the processes developed in-house from designing to finished product. In FY22, the company surpassed pre-COVID levels, recording double-digit growth. Hence, as the company bearing sound fundamentals is focussed on fulfilling the visible and latent needs of the customers, we recommend BUY.