PGIL-Sleeping Tiger about to Roar

Pearl Global Industries Ltd established in 1987 by Mr. Deepak Seth is a multinational apparel manufacturing company that provides end to end supply chain solutions to brands across the globe. PGIL have presence Across 8 countries such as India, Indonesia, Bangladesh, Vietnam, USA, Spain, Hong Kong & U.K. It have well diversified and de-risked manufacturing base with 22 manufacturing units across 8 countries. Total capacity to manufacture is around 82 millions unit per year.
It have marque clientele -**KOHL’S , MACY’S TOMMY HILFIGER, GAP , OLD NAVY, NEXT, NORDSTORM ** among others.
In May 2014 PDS LTD was demerged from PGIL. The Sourcing, Marketing & Distribution (SDM) business was entrusted with PDS Ltd and PDS Ltd ceased to be a subsidiary of the company. PDS Ltd is now a successful multinational platform company delivering stellar results.
PGIL’s manufacturing facilities along with capacity and items produced.

PGIL sales are growing rapidly consistently from 2018 onwards with GP margin in sync with sales with the exception of 2020-2021 due to covid.

Now coming to QTR 1 FY 23. The results were steller with highest ever QTR 1 revenues since inception.


Company is consistently growing its sales and profits
Company is having multiple manufacturing facilities in low cost countries which makes it competitive
Increase in capacity utilizations for inhouse and partnership factories in India , Bangladesh and Vietnam with better product mix paints a brighter future.
PGIL can gain over the medium to long term on the back of China + 1 adoption
Promoter Holding is consistent about 67 % with no pledged shares.
Low market cap to sales ratio
Debt Equity Ratio below 1
No of Subscribed Shares is 2.17 crs with very low floating shares
Famed investor Mukul Agarwal having 3.46 % shares as on June 2022.


Promoter having sister company PDS Ltd in the same line of Business
Cotton prices can have major impact on profitability.
EBITDA margins are fluctuating from -0.2 % in FY 18 to 4.4 % in FY 22.

Disclosure:- Having Position (This is not a investment advise. Please do your own due diligence)


PGIL have reported good results in spite of inflationary raw materials situation and recession fears in its major markets of Europe and North America

PGIL is constantly trying to diversify its revenues in different geographies by increasing its focus in India in this tough recession like conditions in Rest of World. PGIL offers its customers different options to choose for China +1 by having manufacturing capacity in India, Bangladesh, Vietnam & Indonesia



Pearl Global have given decent results from last few quarters. This quarter result is more significant as it comes in background of not so good results from other companies in this sector. The results of PDS Ltd, Gokaldas Exports, KPR Mills have all showing profit degrowth, but PGIL have given stellar results with confidence of growing topline and bottomline in coming quarters.

The acquisition of company in Guatemala will give PGIL easy and fast access to the North American Market

The most significant part of the result is increase of per unit price. The increase in realisations per unit means the company is moving upwards of value chain

PGIL have consistently shown improved performance in CAGR sales growth, profit growth and most importantly stock price. There return on equity have also improved

Hope experts will guide more with pros and cons of the company.


PGIL concall transcript.
The management seems confident to achieve the targeted revenue growth of 15-20 %

PGIL have given stupendous 40 % return in last one month and six month return is 130 %.

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