Tanfac Industries Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Tanfac Industries Ltd trades at ₹2,684, in a confirmed uptrend and 83 weeks into that stage. That is +26.4% against its own 200-day average. It sits at 100% of a 52-week range of ₹1,704 to ₹2,684. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 3 straight weeks.

Today the stock is in a confirmed uptrend — week 83 of stage 2, confirmed. At ₹2,684 it trades +26.4% versus its 200-day average and sits at 100% of its 52-week range (₹1,704–₹2,684).

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +10,029% while the NIFTY 500 moved +280% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 3 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 100th percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Tanfac Industries Ltd trades at 84.7× P/E, about the priciest it has ever traded. Its long-run median P/E is 16.5×, measured across 9.8 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 84.7× is about the priciest it has ever traded, against a long-run median of 16.5× measured over 9.8 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

🚨 Why the multiple sits where it does: over the past year annual EPS moved −20.2% against a +11.9% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 5y, of the +81.9%/yr price move, ~+30.8%/yr came from earnings growth and ~+51.1 pp from the multiple (expanding); over 10y, of the +66.1%/yr price move, ~+29.6%/yr came from earnings growth and ~+36.5 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is full against its own past, so the story rests on the earnings line underneath it, not the multiple.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: Deteriorating Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Tanfac Industries Ltd reads as deteriorating on its fundamental arc. Deteriorating — profit and EPS growth are shrinking (profit growth −29.2% latest against +113.3% at its 12-quarter best), ROCE slipping at 24.0%. The read is built from 8 quarters across 4 curves, on partial evidence.

🚨 Why it matters: falling curves mean every cheap-looking ratio below needs a discount for direction.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

48.2/100 — rank 5 of 9 in Chemicals - Inorganic · 83% evidence confidence

Tanfac Industries Ltd scores 48.2 out of 100 against the 9 companies it is compared with in Chemicals - Inorganic, ranking 5. Price leads the evidence: RS versus the benchmark is 23%, but earnings trajectory is weak. Wait for revenue and profit confirmation.

The four contributions add to the total exactly: 10.8 + 17.4 + 6.2 + 13.8 = 48.2. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Tanfac Industries Ltd reported ₹187 Cr of revenue in the Jun 26 quarter, +6.3% year on year. That is the 2nd straight quarter of year-on-year growth. Over 10 years it has compounded at 18.3% a year. The last full year, FY26, came in at ₹711 Cr. The last four reported quarters add to ₹722 Cr.

Tanfac Industries Ltd reported ₹187 Cr of revenue in the Jun 26 quarter, +6.3% year on year. That is the 2nd straight quarter of year-on-year growth. Over 10 years it has compounded at 18.3% a year. The last full year, FY26, came in at ₹711 Cr. The last four reported quarters add to ₹722 Cr.

FY26 revenue came in at ₹711 Cr (+27.6% on the year), capping 10 years at 18.3% compound. The latest quarter (Jun 26) printed ₹187 Cr, +6.3% year on year — the 2nd consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +16.6% growth against the decade's 18.3% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +13.2% over the last 4 quarters against +40.3%/yr over the last 8 — rolling over; TTM profit −29.2% vs +22.9%/yr — rolling over.

→ Revenue grew — did margins hold as it scaled? Next: 15.0% this quarter (−1.0 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Tanfac Industries Ltd's operating margin is 15.0% in the Jun 26 quarter, −1.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 7.0% to 24.0%. The current quarter sits inside that band.

Tanfac Industries Ltd's operating margin is 15.0% in the Jun 26 quarter, −1.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 7.0% to 24.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 15.0%, −1.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 7.0%–24.0%.

🚨 Why the margin moved: operating margin went −1.2 pp year on year while gross margin went −3.0 pp — the loss came mostly from the gross line: input costs and pricing.

→ Margins slipped — did that reach the bottom line? Next: profit −10.5% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Tanfac Industries Ltd earned ₹17.0 Cr of net profit in the Jun 26 quarter, −10.5% year on year. Full-year FY26 profit was ₹70.0 Cr. That is 9.1% of the quarter's revenue. The same quarter a year earlier earned ₹19.0 Cr.

Tanfac Industries Ltd earned ₹17.0 Cr of net profit in the Jun 26 quarter, −10.5% year on year. Full-year FY26 profit was ₹70.0 Cr. That is 9.1% of the quarter's revenue. The same quarter a year earlier earned ₹19.0 Cr.

Jun 26 profit was ₹17.0 Cr, −10.5% year on year. On the full year, FY26 printed ₹70.0 Cr (−20.5%).

🚨 Why profit moved: revenue contributed +6.3% and the margin −1.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit −24.3% vs revenue +16.6%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

→ Profit rose — but did the cash follow? Next: 52% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 52% of Tanfac Industries Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹43.0 Cr of operating cash against ₹70.0 Cr of profit. After ₹82.0 Cr of capital spending, ₹−39.0 Cr was left as free cash.

FY26: operating cash of ₹43.0 Cr against reported profit of ₹70.0 Cr, leaving free cash of ₹−39.0 Cr after ₹82.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 52% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at 52%: the cash cycle stretched 81 days between FY21 and FY26 — more of each rupee of profit waits inside the cycle before arriving. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: conversion is below par and the cash cycle has stretched 81 days — the next section's job is to find where the cash is stuck.

→ So follow the cash to where it goes. Next: the 112-day cycle, in money terms.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Tanfac Industries Ltd's cash conversion cycle runs 112 days in FY26, up from 31 days in FY21. Capital spending ran ₹214 Cr over the last 3 years. At FY26 sales of ₹711 Cr each day of that cycle holds about ₹1.9 Cr, so roughly ₹218 Cr sits inside the business at any moment.

FY26: debtors at 57 days, inventory at 76 days — roughly 2.5 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 112 days, looser than FY21's 31.

The full loop: cash goes out to suppliers and production on day 0; stock waits 76 days to sell; customers pay about 57 days after that; and suppliers themselves are paid at 21 days — netting out to the 112-day cycle.

In money terms: at FY26 sales of ₹711 Cr, each day of the cycle holds about ₹1.9 Cr — so the 112-day loop keeps roughly ₹218 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹214 Cr over the last 3 fiscal years against ₹34.0 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹29.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the working-capital loop is the cash sink the router flagged — watch the cycle, not the P&L.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 24%.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Tanfac Industries Ltd earns a ROCE of 24% in FY26. That is up from a trough of 4% in FY15. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is 9.8% net margin on 1.35× asset turns.

FY26 ROCE is 24%, recovered from a FY15 trough of 4% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 9.8% net margin × 1.35× asset turns × 1.42× balance-sheet leverage ≈ 18.8% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.25.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

Tanfac Industries Ltd carries ₹93.0 Cr of borrowings against ₹373 Cr of equity in FY26, a debt-to-equity of 0.25. Operating profit covers the interest bill 28×. Over 5 years borrowings went from ₹0.0 Cr to ₹93.0 Cr. Capital spending ran ₹214 Cr across the last 3 of those years.

FY26: borrowings of ₹93.0 Cr against equity of ₹373 Cr — a debt-to-equity of 0.25. Operating profit covers the interest bill 28×. Over 5 years borrowings went from ₹0.0 Cr to ₹93.0 Cr while capital spending ran ₹214 Cr in just the last 3 — part of the build-out is riding on borrowed money.

→ Who owns this, and are they adding or leaving? Next: Domestic institutions added 4.0 points over 8 quarters.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Domestic institutions added 4.0 points of Tanfac Industries Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 4.2% of the company. Promoters moved −3.1 points over the same window, to 48.7%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: +4.0 points over 8 quarters to 4.2%; Promoters: −3.1 points over 8 quarters to 48.7%; Foreign institutions: +1.5 points over 8 quarters to 1.5%.

Why the register moved: domestic institutions drove it (+4.0 points), absorbed on the other side by promoters (−3.1 points) — steady accumulation by institutions reading the same numbers this page reads.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Tanfac Industries Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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