Vardhman Textiles

Increased capacity utilisation, softening cotton prices set to help sector: Analysts

At the bourses, shares of textile stocks like KPR Mills, Welspun India, and Vardhman Textiles have tumbled up to 45 per cent so far this year.

Stocks to watch today: Axis Bank, Tata Steel will report their June quarter 2022 results (Q1FY23) on Monday, July 25; Infosys delivered net profit for Q1 below street expectations at Rs 5,360 crore.

The gross revenue of the company is Rs 2,731.01 crore which is higher by 44.25 per cent over the corresponding quarter of the FY22

Analysts expect that the inflated cotton prices will continue to haunt small-sized yarn spinners during the first half of FY23 (H1-FY23). However, a good monsoon season can paint a different story

According to rating agency CRISIL, the domestic textile industry is firmly on course to recover in fiscal 2022 on the back of reopening of businesses, educational institutions and retail outlets.

The firm got an order from Himachal State Pollution Control Board directing it to stop part of the dyeing process which leads to the generation of 'category-IV' effluent in 3 units located at Baddi

The stock rallied 7% to Rs 1,108 after the board approved a buyback of 6.13 million equity shares for Rs 1,175 per share

The stock hit new high of Rs 1,117, up 16% after the company said that its board will meet on Sep 24, to consider share buyback proposal.

The proceeds from the stake sale would be used for expansion purpose in yarn and fabric manufacturing

The firm also announced sale of 40% stake in joint venture firm Vardhman Yarns and Threads to its partner A&E Global.