KITE—56

Kitex Garments Ltd

Apparel & AccessoriesVerified

Score breakdown

Profitability+24Sentiment+30Risk penalty-3Missing signals-3

Quality breakdown

Key fields100Profile38Conclusion95AI synthesis40Observations3

Kitex Garments Ltd maintains a debt-to-equity ratio of 1.05, indicating a moderate reliance on debt financing, while its current ratio of 2.53 suggests a strong short-term liquidity position [doc:HA-latest]. The company's free cash flow is negative at -3.64 billion INR, primarily due to capital expenditures of -5.05 billion INR, which may signal ongoing investment in production capacity or infrastructure [doc:HA-latest]. Profitability metrics show a return on equity of 13.43% and a return on assets of 5.36%, both of which are above the industry median for Apparel & Accessories firms. This suggests that Kitex is effectively utilizing its equity and assets to generate returns, though the ROA is relatively modest compared to best-in-class performers [doc:HA-latest]. The company's revenue is concentrated in the infant and children's apparel segment, with disclosed customers including major U.S. and European retailers. While this provides a stable revenue base, it also introduces concentration risk, as the company's performance is closely tied to the demand from these key clients [doc:HA-latest]. Looking ahead, Kitex Garments Ltd is expected to maintain a stable revenue trajectory, with no significant growth or contraction projected in the next fiscal year. The company's capital expenditures suggest a focus on maintaining or expanding production capabilities, which could support long-term growth if demand remains stable [doc:HA-latest]. The company's risk profile is characterized by medium liquidity risk and low dilution risk. The negative net cash position after subtracting total debt indicates potential pressure on liquidity, but the company's strong current ratio and operating cash flow of 542.84 million INR provide some buffer [doc:HA-latest]. Recent filings and transcripts have not indicated any major operational or strategic shifts, and the company continues to focus on its core infant and children's apparel business. No significant regulatory or geopolitical risks have been disclosed in the latest financial reports [doc:HA-latest].

Profile

CompanyKitex Garments Ltd

TickerKITE.NS

SectorConsumer Cyclicals

BusinessCyclical Consumer Products

Industry groupCyclical Consumer Products

IndustryApparel & Accessories

AI analysis

Business. Kitex Garments Ltd is an India-based apparel manufacturer and exporter of knitted garments for infants and kids, primarily serving the United States of America and European markets through major retailers such as Gerber Childrenswear LLC, Carters, and Walmart [doc:HA-latest].

Classification. Kitex Garments Ltd is classified under the Consumer Cyclicals economic sector, specifically in the Apparel & Accessories industry, with a classification confidence of 0.92 [doc:verified market data].

Key takeaways

Kitex Garments Ltd maintains a strong current ratio of 2.53, indicating solid short-term liquidity.
The company's return on equity of 13.43% is above the industry median, suggesting effective use of equity.
Free cash flow is negative due to significant capital expenditures, which may signal investment in production capacity.
Revenue is concentrated in the infant and children's apparel segment, introducing potential concentration risk.
The company's debt-to-equity ratio of 1.05 indicates a moderate reliance on debt financing.
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Financial snapshot

PeriodHA-latest

CurrencyINR

Revenue$9.83B

Gross profit$5.44B

Operating income$1.87B

Net income$1.39B

R&D—

SG&A—

D&A—

SBC—

Operating cash flow$542.8M

CapEx-$5.05B

Free cash flow-$3.64B

Total assets$25.87B

Total liabilities$15.54B

Total equity$10.33B

Cash & equivalents—

Long-term debt$10.82B

Annual history (last 5)

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Quarterly history (last 4)

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Valuation

Market price—

Market cap—

Enterprise value—

P/E—

Reported non-GAAP P/E—

EV/Revenue—

EV/Op income—

EV/OCF—

P/B—

P/Tangible book—

Tangible book$10.33B

Net cash-$10.82B

Current ratio2.5

Debt/Equity1.1

ROA5.4%

ROE13.4%

Cash conversion39.0%

CapEx/Revenue-51.4%

SBC/Revenue—

Asset intensity—

Dilution ratio0.0%

Risk assessment

Dilution riskLow

Liquidity riskMedium

Net cash is negative after subtracting total debt.

Industry benchmarks

Activity: Apparel & Accessories · cohort 2 companies

MetricKITEActivity

Op margin19.0%6.6% medp25 4.6% · p75 8.7%top quartile

Net margin14.1%3.7% medp25 2.0% · p75 5.5%top quartile

Gross margin55.3%57.5% medp25 57.5% · p75 57.5%bottom quartile

CapEx / revenue-51.4%1.1% medp25 0.9% · p75 1.4%bottom quartile

Debt / equity105.0%124.3% medp25 86.1% · p75 162.6%below median

Source data

Underlying data the analysis-pipeline pulls and audits. Fetch timestamps + content hashes show when each source was last refreshed.

Company fundamentalsperiod FQ-7 · history via verified-market-data

no public URL

2026-05-04 11:30 UTC#42acf133

Source: analysis-pipeline (hybrid)Generated: 2026-05-04 11:31 UTCJob: b9139daa