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Vardhman Textiles (NSE:VTL) Net-Net Working Capital : ₹34.10 (As of Mar. 2025)


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What is Vardhman Textiles Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Vardhman Textiles's Net-Net Working Capital for the quarter that ended in Mar. 2025 was ₹34.10.

The industry rank for Vardhman Textiles's Net-Net Working Capital or its related term are showing as below:

NSE:VTL's Price-to-Net-Net-Working-Capital is ranked worse than
76.27% of 354 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 5.1 vs NSE:VTL: 13.73

Vardhman Textiles Net-Net Working Capital Historical Data

The historical data trend for Vardhman Textiles's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Vardhman Textiles Net-Net Working Capital Chart

Vardhman Textiles Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only -9.13 -8.77 28.91 15.16 34.10

Vardhman Textiles Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 15.16 - 49.26 - 34.10

Competitive Comparison of Vardhman Textiles's Net-Net Working Capital

For the Textile Manufacturing subindustry, Vardhman Textiles's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Vardhman Textiles's Price-to-Net-Net-Working-Capital Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Vardhman Textiles's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Vardhman Textiles's Price-to-Net-Net-Working-Capital falls into.


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Vardhman Textiles Net-Net Working Capital Calculation

Vardhman Textiles's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2025 is calculated as

Net-Net Working Capital(A: Mar. 2025 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(6683.4+0.75 * 12975.7+0.5 * 37614.8-24664.6
-0-696.2)/289.175
=34.10

Vardhman Textiles's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2025 is calculated as

Net-Net Working Capital(Q: Mar. 2025 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(6683.4+0.75 * 12975.7+0.5 * 37614.8-24664.6
-0-696.2)/289.175
=34.10

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Vardhman Textiles  (NSE:VTL) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Vardhman Textiles Net-Net Working Capital Related Terms

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Vardhman Textiles Business Description

Traded in Other Exchanges
Address
Chandigarh Road, Vardhman Premises, Ludhiana, PB, IND, 141010
Vardhman Textiles Ltd is a manufacturer and seller of textiles and acrylic fiber. The company is based in India and generates about a quarter of revenue internationally. The company's largest revenue segment is textiles, which offers greige and dyed yarns in a number of fabrics such as cotton, polyester, acrylic, organic cotton, melange, cellulose, and synthetics. Vardhman Textiles provides fabrics for the apparel industry and home textiles and manufactures shirts for retail brands. In addition, the company offers hot-rolled bars for use in industries such as automotive, engineering, and allied industries.

Vardhman Textiles Headlines

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