Raymond Limited (RAYMOND.NS) Bundle
From its origins as The Raymond Woollen Mills Limited founded on September 10, 1925 in Ratnagiri to introducing its first woolen fabric in 1944 and expanding with a Thane mill in 1958, Raymond Limited (listed as BSE: 500330 / NSE: RAYMOND) has evolved into a diversified industrial story-launching 'The Raymond Shop' in 1991, branching into engineering in 2008, and executing a strategic demerger in 2024 that carved out Raymond Lifestyle and Raymond Realty while refocusing the parent on engineering and real estate; led by Chairman and MD Gautam Hari Singhania, the company operates a vertically integrated model spanning precision engineering (files, tools, auto and aerospace components) and real estate projects like Ten X Habitat and The Address by GS, supports a distribution network of over 700 retail stores, and reports a net cash surplus of ₹27 crore as of September 30, 2025, positioning it to monetize textiles, engineering supplies, licensing and property sales across domestic and international markets
Raymond Limited (RAYMOND.NS): Intro
- Founded on 10 September 1925 in Ratnagiri, Maharashtra, as The Raymond Woollen Mills Limited - beginning its presence in Indian textiles.
- Introduced its first woollen fabric in 1944, cementing its role as a manufacturer of suiting and worsted fabrics.
- Expanded manufacturing with a woollen mill at Thane (Maharashtra) in 1958 to boost capacity and vertical integration.
- Entered branded retail in 1991 with the launch of 'The Raymond Shop' in Mumbai, beginning its move from B2B fabric sales to consumer-facing apparel retail.
- Diversified into engineering in 2008 - adding files & tools manufacturing - and later expanded into auto components and precision engineering capabilities.
- In 2024 Raymond demerged its Lifestyle and Real Estate businesses into separate listed entities to sharpen focus on core engineering and real estate operations.
| Milestone / Date | Event / Detail |
|---|---|
| 10 Sep 1925 | Incorporation as The Raymond Woollen Mills Limited in Ratnagiri |
| 1944 | First woollen fabric introduced |
| 1958 | Woollen mill commissioned at Thane, Maharashtra |
| 1991 | First retail store 'The Raymond Shop' opened (Mumbai) |
| 2008 | Foray into engineering: files & tools; later added auto components & precision engineering |
| 2024 | Demerged Lifestyle & Real Estate into separate listed entities; refocused on core engineering & real estate |
Ownership & Shareholding (high-level)
- Listed on BSE & NSE as RAYMOND / RAYMOND.NS.
- Promoter group historically retained a controlling stake; institutional (FIIs + DIIs) and public shareholders hold the balance.
- Post-2024 demerger, shareholding structure and float changed as parts of business moved to newly listed entities (investors should review latest filings for precise percentages).
How Raymond Limited Works - Business Model & Segments
- Fabrics & Apparel: Manufacture of suiting fabrics, shirting, ready-to-wear menswear sold through franchise & company-owned stores, and brand licensing.
- Retail: Branded formats including The Raymond Shop, Park Avenue, ColorPlus, Parx, and Raymond Ready-to-Wear networks (company + franchise + distributors).
- Engineering & Auto Components: Manufacturing of industrial files, cutting tools, precision-engineered parts, and components for automotive & industrial customers.
- Real Estate (post-demerger entity): Owns and monetizes land & development projects; retained as a separate listed focus area after 2024 restructuring.
- Export & B2B Sales: Supply of fabrics and garmenting to domestic and international brands; contract manufacturing and institutional buyers.
| Segment | Revenue Drivers | Key Margins / Characteristics |
|---|---|---|
| Fabrics & Textiles | Worsted suiting, blended fabrics, shirting | Moderate margins; capital & labour intensive; cyclical demand tied to discretionary apparel spending |
| Branded Apparel & Retail | Own brands, license partners, franchise network, retail stores, e-commerce | Higher gross margins; marketing & retail operating costs; inventory management critical |
| Engineering & Auto Components | Files & tools, precision components, industrial products | Stable B2B revenue; margins depend on scale & engineering value-add |
| Real Estate (separate entity) | Land monetization, projects, rentals | Lumpy revenue; high margin on asset monetization but dependent on approvals & demand |
How Raymond Makes Money - Revenue & Profit Drivers
- Product sales: Fabric and finished apparel (largest contributor historically).
- Retail markup and licensing: Brand premiums from flagship brands and franchise royalties.
- Engineering sales: B2B contracts for files, tools, precision parts.
- Real estate monetization: Sale or development of land parcels and commercial projects (after demerger, realized through the separate listed real estate entity).
- Value-added services: Custom tailoring, garmenting services, contract manufacturing for domestic & export customers.
Selected Financial Snapshot (latest reported FY / recent figures - indicative)
| Metric | Value (Indicative, recent FY) |
|---|---|
| Consolidated Revenue | ~₹3,700-3,900 crore |
| Consolidated EBITDA | ~₹350-450 crore |
| Consolidated Net Profit | ~₹100-150 crore |
| Market Capitalization (approx., mid-2024) | ~₹6,000-8,000 crore |
| Number of Stores / Retail Touchpoints | 1,000+ branded touchpoints (company + franchise + multi-brand outlets) across formats (approx.) |
Key Operational Metrics & Drivers to Watch
- Retail same-store sales growth, store additions or rationalization, and e‑commerce traction.
- Fabric sales volumes and realization per meter, especially in worsted suiting and premium segments.
- Utilization and margins in engineering and auto components; order wins from OEMs and industrial clients.
- Cash flows & asset monetization from the real estate entity post-demerger; timing of project sales affects reported earnings.
- Working capital trends (inventory and receivables) given the cyclical nature of apparel demand.
Raymond Limited (RAYMOND.NS): History
Raymond Limited is an Indian diversified company listed on the Bombay Stock Exchange (BSE: 500330) and the National Stock Exchange (NSE: RAYMOND). Founded in 1925, Raymond evolved from textiles into a group with businesses spanning branded fabric and apparel, engineering (auto-component and specialty textiles for technical applications), real estate, and lifestyle products. In 2024 Raymond executed a strategic demerger to separate its Lifestyle and Real Estate businesses, creating Raymond Lifestyle Limited and Raymond Realty Limited, respectively, while refocusing Raymond Limited on industrial/engineering and select real estate activities.- Listing: BSE 500330 | NSE RAYMOND
- Key executive: Gautam Hari Singhania - Chairman & Managing Director
- Demerger (2024): Raymond Lifestyle Limited (lifestyle products) and Raymond Realty Limited (real estate developments) carved out to unlock shareholder value
| Aspect | Details |
|---|---|
| Year Founded | 1925 |
| 2024 Corporate Action | Demerger into Raymond Limited (engineering & select real estate), Raymond Lifestyle Limited, Raymond Realty Limited |
| Stock Codes | BSE: 500330 | NSE: RAYMOND |
| Chairman & MD | Gautam Hari Singhania |
| Primary business focus (post-2024) | Engineering products (technical textiles & auto components), land assets/real estate project oversight |
- Rationale for demerger: unlock shareholder value by enabling focused capital allocation, clearer performance metrics and independent growth strategies for lifestyle and real estate businesses.
- Post-demerger operational split:
- Raymond Limited - engineering/industrial operations and select real estate holdings
- Raymond Lifestyle Limited - branded apparel, retail and lifestyle product portfolio
- Raymond Realty Limited - development, monetization and management of land and property assets
| Shareholder Category | Notes |
|---|---|
| Promoters | Significant stake held by the Singhania family; Gautam Hari Singhania is Chairman & MD (promoter holding reported as a substantial single-party stake) |
| Institutional Investors | Includes domestic mutual funds and foreign institutional investors-material holders on the register |
| Retail/Public | Broad retail investor base across India with ownership traded on BSE/NSE |
Raymond Limited (RAYMOND.NS): Ownership Structure
Raymond Limited (RAYMOND.NS) is one of India's oldest and largest integrated fabric-to-retail companies, diversified into textiles, apparel, engineering (auto components), and garmenting. Its strategic focus combines a legacy branded textiles business with growing industrial engineering and B2B services, guided by a clear mission and set of values. Mission and Values- Mission: To be a global leader in textiles and engineering, delivering high-quality products and services across consumer and industrial segments.
- Innovation: Continuous product and process innovation-new fabrics, blended yarns, branded apparel concepts and advanced engineering solutions-driven by R&D and design studios.
- Sustainability: Implementation of eco-friendly practices-water and energy efficiency, waste reduction, and use of sustainable raw materials in manufacturing and construction projects.
- Customer-centricity: Prioritizes customer satisfaction through premium quality, extensive retail network, e-commerce integration and after-sales service for made-to-measure and tailored products.
- Integrity & Ethics: Corporate governance, transparency in financial reporting and adherence to regulatory and compliance standards across operations.
- Social Responsibility: Community development initiatives, skill development programs and employee welfare schemes across manufacturing hubs and retail locations.
- Textiles and Apparel: Core revenue driver-manufacture of suiting fabrics, shirting, ready-to-wear branded apparel (Raymond, Park Avenue, ColorPlus) sold via a hybrid distribution model (company-owned stores, franchised outlets, multi-brand retailers and e-commerce).
- Garmenting & Made-to-Measure: Value-added garmenting services, bespoke tailoring and made-to-measure programs that command higher margins than commodity fabric sales.
- Engineering & B2B: Auto components and industrial solutions (Raymond's engineering vertical) contribute recurring revenues from OEM contracts and exports.
- Real Estate & Investments: Monetization of real estate assets and strategic investments provide occasional non-operating income.
- Brand Licensing & Exports: Licensing agreements and international distribution expand reach and add royalty/export revenues.
| Holder Category | Approx. Stake | Notes |
|---|---|---|
| Promoter & Promoter Group | ~40% | Long-term strategic holders providing control and board influence |
| Foreign Institutional Investors (FIIs) | ~20-25% | Portfolio and strategic investors participating in equity and ADR flows |
| Domestic Institutional Investors (Mutual Funds / Banks) | ~10-15% | Active ownership through mutual funds and insurance funds |
| Public & Retail Investors | ~20-25% | Retail shareholders, retail mutual funds and public float |
| Metric | Value (approx.) | Period / Note |
|---|---|---|
| Annual Revenue (Consolidated) | ₹3,000-4,500 crore | Latest fiscal year range (textiles + engineering + others) |
| EBITDA Margin (Consolidated) | ~8-12% | Reflects mix of retail, manufacturing and engineering margins |
| Net Profit Margin | ~3-7% | Varies year-over-year with one-off items and real estate monetisation |
| Market Capitalization | ₹8,000-12,000 crore | Indicative public market valuation (varies with stock price) |
| Return on Equity (ROE) | ~8-14% | Depends on leverage and profitability in the reporting year |
- Premiumisation of product portfolio (higher mix of branded apparel and tailored services).
- Expansion of omni-channel retail footprint and digital sales to raise same-store sales and reduce dependence on physical channels.
- Operational efficiencies in manufacturing (vertical integration, automation) to improve margins.
- Selective asset monetisation (non-core real estate) to strengthen the balance sheet.
- Growth in engineering exports and OEM contracts to diversify revenue and reduce cyclicality.
Raymond Limited (RAYMOND.NS): Mission and Values
Raymond Limited operates as an integrated industrial and real-estate group, combining engineered products with property development while retaining a consumer-facing apparel and retail heritage through an extensive distribution footprint. How It Works- Two primary segments: Engineering and Real Estate. The Engineering segment produces precision-engineered components - including files, hand tools, automotive parts and aerospace components - sold to industrial and OEM customers. The Real Estate segment develops residential and commercial projects such as Ten X Habitat (Thane) and The Address by GS (Bandra).
- Vertically integrated model: design → in-house manufacturing → quality control → marketing → sales and distribution. This reduces dependency on external suppliers and shortens lead times to market for both engineered products and real-estate offerings.
- Strong distribution and retail network: over 700 branded and multichannel retail outlets across India and select international markets enable broad consumer reach and recurring revenue streams.
- Net debt-free balance sheet: maintained a net cash surplus of ₹27 crore as of September 30, 2025, providing financial flexibility for capex, project funding and strategic investments.
- Engineering segment revenue drivers: contract manufacturing for industrial customers, supply of precision tools and components to automotive and aerospace OEMs, and sale of branded engineered products.
- Real Estate segment revenue drivers: sale of residential units and commercial space, lease income from completed properties, and land monetization through phased development models.
- Margin mix: Engineering typically delivers lower but steadier gross margins driven by volume contracts; Real Estate produces higher per-project margins but with lumpy recognition tied to project milestones and sales cycles.
- End-to-end value chain control: in-house design and manufacturing facilities for engineered products; integrated project management and marketing teams for real estate launches.
- Customer channels: B2B contracts (engineering), B2C retail and distributor network (branded products), and direct buyer sales (real estate).
- Market reach: retail and distribution footprint of over 700 stores plus online and wholesale channels.
- Ten X Habitat - residential development in Thane targeting mid-to-premium buyers with phased inventory release and pre-sales strategy.
- The Address by GS - premium Bandra project oriented to high-net-worth customers, combining sales and potential commercial leasing options.
| Metric | Value / Note |
|---|---|
| Primary Segments | Engineering; Real Estate |
| Net cash / (debt) | Net cash surplus of ₹27 crore (as of Sept 30, 2025) |
| Retail / Distribution footprint | Over 700 stores (India + international markets) |
| Typical revenue mix | Combination of B2B engineering contracts (steady revenue) and project-based real-estate sales (lumpy) |
| Vertical integration | Design, manufacturing, marketing, sales - in-house across segments |
- Manufacturing & Sales (Engineering): contract manufacturing for industrial clients, branded tools and components sold through distribution channels, aftermarket parts, and specialized aerospace/automotive components with long-term OEM supply agreements.
- Real Estate Development & Sales: presale and sale of residential apartments and commercial units, income from leasing of developed commercial assets and project-based gains realized on completion and handover.
- Retail/Branded Consumer Sales: revenue from marquee retail stores and franchisee partners, including apparel and lifestyle product lines leveraging the group's brand equity.
- Asset Monetization & Investments: selective monetization of land banks, joint-ventures and strategic partnerships to accelerate development while conserving balance-sheet capital.
Raymond Limited (RAYMOND.NS): How It Works
Raymond Limited is a diversified company whose core activities span textiles, engineering, and real estate, supplemented by brand licensing and related consumer products. Over the past decade the company has been repositioning after restructuring and demergers to sharpen focus on engineering and real estate while retaining branded apparel and licensing streams.- Primary revenue streams: textiles & garments, engineering components, real estate sales & leasing, brand licensing, and tools & hardware.
- Organizational focus post-demerger: streamlined operations to concentrate capital and management bandwidth on higher-margin engineering and real estate projects.
- Textiles & Apparel: Sales of suiting fabric, ready-to-wear garments, and made-to-measure services under in-house and licensed brands through a mix of company-owned retail, wholesale, and distribution partners.
- Engineering: Manufacturing and supply of precision components and assemblies for automotive, aerospace, defense and industrial customers; long-term OEM contracts and tiered supply agreements provide recurring revenues.
- Real Estate: Development and sale of residential and commercial projects, leasing income from owned commercial properties, and milestone-based revenue recognition as projects are completed and handed over.
- Brand Licensing & Franchising: Royalty and fee income from licensing Raymond's brand for products such as fragrances, home furnishings, and selected apparel categories.
- Tools & Hardware: Sales of engineering tools, precision hardware and allied products domestically and to export markets, sold via distribution networks and direct OEM supply.
| Metric / Segment | Reported / Estimated Value |
|---|---|
| Consolidated Revenue (latest FY) | ≈ INR 3,400 crore |
| Consolidated EBITDA Margin (latest FY) | ≈ 10-12% |
| Net Profit (latest FY) | ≈ INR 175 crore |
| Engineering Segment Revenue | ≈ INR 1,100 crore |
| Textiles & Apparel Revenue | ≈ INR 1,200-1,400 crore |
| Real Estate Revenue / Launches (booked) | Project sales pipeline ≈ INR 1,500 crore (ongoing developments) |
| Brand Licensing & Other Income | ≈ INR 150-250 crore |
| Market Capitalization (approx.) | ≈ INR 8,000-10,000 crore |
- Fabric & Garment Sales: Unit pricing set by fabric grade and finished SKU; gross margins vary by branded retail vs. institutional B2B orders, with branded retail typically delivering higher gross margins but higher operating costs.
- Engineering Supplies: Margin profile driven by scale, design value-add, and long-term supplier agreements. Higher margins on precision components bespoke to aerospace/defense vs commodity automotive parts.
- Real Estate: Revenue recognized on project completion/milestones; cash flows dependent on pre-sales, construction schedules, and inventory turnover-land and project margins can be significantly higher than manufacturing returns but are lumpy and capital-intensive.
- Licensing: Low capital intensity; earns royalties (typically a percentage of retail/wholesale sales) and fixed fees, boosting margins and cash flow conversion.
- Retail network: Company-owned stores and franchise partners for Raymond and sub-brands; e-commerce and omnichannel integration for garments.
- B2B sales: Institutional fabric buyers, garment exporters, and corporate uniform contracts.
- OEM & industrial customers: Automotive suppliers, defense and aerospace OEMs for engineering components with contract-based deliveries.
- Real estate buyers: End-users for residential, corporates and institutional tenants for commercial leasing.
- Demerger: Separation of Lifestyle and certain real estate assets into distinct entities/structures has reduced complexity and allowed Raymond Limited to deploy capital more selectively into engineering and high-return real estate projects.
- Balance sheet: Post-demerger asset-light licensing and brand income improves return on capital; engineering and real estate require targeted investments in factories, capex and project development.
- Fabric/meters sold and average realizations per meter for textile segment.
- Order book value, lead-time and BOM margins for engineering contracts.
- Pre-sales velocity, inventory days and realizable sales pipeline for real estate projects.
- Royalty income growth and new licensing agreements signed annually.
- Retail same-store sales growth, store expansion rates and e-commerce penetration.
Raymond Limited (RAYMOND.NS): How It Makes Money
Raymond Limited generates revenue across three principal verticals-textiles & apparel, engineering (industrial & aerospace components), and real estate-each supported by a strong brand, distribution network and strategic acquisitions. The company's demerger (creation of Raymond Realty as a focussed entity) and subsequent portfolio moves have sharpened managerial focus on higher-growth segments.- Core textile & apparel business: branded shirting, suiting fabrics, ready-to-wear and fashion labels (Park Avenue, Raymond, ColorPlus) sold via ~1,600+ exclusive stores and ~10,000 multi-brand outlets across India.
- Engineering & aviation: precision components and assemblies for aerospace & defense and industrial applications supplied to OEMs and system integrators, aided by acquisitions that expanded capabilities and certifications (AS9100, NADCAP-level processes).
- Real estate (Raymond Realty Limited): residential and commercial projects concentrated in the Mumbai Metropolitan Region (MMR) including projects like Ten X Habitat and The Address by GS; sales and development margins provide a capital returns stream.
| Metric / Year | FY2022 (approx.) | FY2023 (approx.) | Notes |
|---|---|---|---|
| Consolidated Revenue | ₹3,600 crore | ₹4,000 crore | Growth driven by textiles recovery, realty sales and engineering order inflows |
| Reported PAT | ₹220 crore | ₹300 crore | Improved margins post-demerger and operational efficiencies |
| EBITDA Margin | ~10-12% | ~12-14% | Textiles and engineering margin expansion offset by project phase costs in realty |
| Revenue mix (approx.) | Textiles/Apparel 60% Engineering 20% Realty & Others 20% |
Textiles/Apparel 55% Engineering 25% Realty & Others 20% |
Shift toward engineering as aerospace/defence wins increase |
- How the money flows: product sales (fabrics, garments), licensing/franchise fees, project sales & deposits (realty), B2B contracts and long-term supply agreements for engineering components, plus ancillary income (logistics, processing & garment manufacturing services).
- Key financial levers: gross margins on premium fabrics, scale in branded retail distribution, project cycle timing in real estate, and margin-accretive engineering contracts with higher entry barriers.
- Leadership: Raymond is widely regarded as India's leading suiting and shirting fabric maker with strong premium positioning and brand equity across urban India.
- Engineering expansion: strategic acquisitions and certifications have positioned the company to target aerospace & defense supply chains; management is actively exploring exports to increase global market share.
- Real estate focus: Raymond Realty is established among top MMR developers with ongoing launches (Ten X Habitat, The Address by GS), providing high-margin monetization opportunities as projects complete.
- Demerger impact: separating realty and core businesses lets Raymond Limited redeploy capital and management toward high-growth textile premiumization and engineering capabilities, while Raymond Realty focuses on land monetization and project execution.
- Future plans: scale up engineering manufacturing capacity, accelerate international outreach for aerospace components, and expand selective real estate developments to capitalize on urban housing demand in MMR and premium segment recovery.
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