₹20.19
-0.05% today
· 30d -5.65%
as of 2026-09-04
Price · Daily Candles
“VIP Clothing's Profit Pressure Continues as Quarterly Net Profit Dips Over 50%, FIIs Trim Holdings”
VIP Clothing (mktcap ₹234 Cr), an Apparel Manufacturing company, faces significant profitability challenges, reporting a 53.54% YoY drop in net profit to ₹1.0 Cr and an 18.93% YoY decline in revenue to ₹51.0 Cr for Q4 2025. This quarterly downturn comes despite a 28.95% annual revenue growth in FY2025, suggesting recent operational headwinds. The stock trades at a TTM P/E of 29.82 and has seen a 35.49% decline over the past year.
BULL CASE
+Annual revenue witnessed a healthy 28.95% YoY growth in FY2025, reaching ₹237.0 Cr.
+The 3-year revenue CAGR stands at 9.23%, indicating consistent top-line growth over a longer horizon.
+ML predictions for Free Cash Flow (FCF) show a neutral to strong outlook, with rolling 4-year FCF predicting a rank of 0.644 (neutral to strong).
+Technical indicators MACD (0.0402 value) and RSI(14) (61.24 value) are both in bullish territory, albeit with weak and moderate strength respectively.
BEAR CASE
−Q4 2025 net profit plummeted by 53.54% YoY to ₹1.0 Cr, coupled with an 18.93% YoY revenue decline to ₹51.0 Cr.
−Free Cash Flow yield is significantly negative at -16.23%, with current FCF at -₹38.0 Cr.
−The stock has seen a substantial price decline, dropping 35.49% over the last year and 22.88% in the past six months.
−FII shareholding decreased by 0.31% QoQ, from 0.46% to 0.15% in Q1 2026.
⟳ What Changed
₹ Latest Earnings · Q ending 2026-06-30
REVENUE
₹65 Cr
-1.15% YoY
NET PROFIT
₹2 Cr
-13.91% YoY
OPM
8.06%
-1.68pp YoY
EPS
₹0.21
PE 29.82
Intrinsic value · DCF: N/A — ML model predicts severe Δ FCF compression (h1=-50.0%, h2=-50.0%, h3=-50.0% of mktcap), driving projected FCF negative by year 3 despite healthy current FCF. Treating as forecast outlier rather than reporting a misleading ₹0 valuation. Use the Strategy Fit and ML sections instead.
◇ Sector Position
VIP Clothing's TTM P/E of 29.82 places it below sector leader PAGEIND (55.94) but above MANYAVAR (26.85), yet it lacks a comparable ROCE to its profitable peers, with the company currently running FCF negative.
PEERPEROCE %
VIPCLOTHNG29.82—
+ 2 more peers — sign in to view
ML Forward Growth Predictions 🔒
46
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
UNDERPERFORMER
5
Valuation
REASONABLE
60
Growth
STEADY
66
Profitability
DECENT
55
Technicals
WEAK
40
Risk
MODERATE
50
Key Stats
TTM PE
29.82
P/B
1.23
52W HIGH
₹41.2
OFF HIGH
-51.0%
MKT CAP
₹184 Cr
◉ Active Signals
MACDNeutral0.0566
RSI(14)Neutral40.6
⧉ Strategy Fit 🔒