Last Updated2026-06-02

Market View

₹42.82(▼0.02%)

Reporting PeriodQ4 FY26

INDORAMAINDORAMA Forensic Risk Analysis

Name: INDORAMA Structural Risk Analysis
Creator: Flagium AI
License: https://creativecommons.org/licenses/by-nc-nd/4.0/

Other Textile Products

Risk ClassWatch

Market CapN/A

Primary DriverBalance Sheet Stress

Flagium AI Risk Score

22 / 100

+2 QoQ

Deteriorating

Sentinel Insight

Financial profile remains stable for now. Weakness is detected in balance sheet stress. This suggests a building risk profile. Risk is increasing at a faster pace.

41.5th %ile (Sector)Accel: +3 Qtrs

Updated2026-06-02

Market View

₹42.82▼0.02%

PeriodQ4 FY26

Score Waterfall
Absolute contribution points of each forensic pillar to the final risk score. Derived from: Sector Baseline + Active Penalties - Mitigation Buffers.

Balance Sheet Stress

+12.0 pts

Growth Sustainability

+10.0 pts

Final Composite Risk22 / 100

Investment Risk Thesis

Historical Trend

Current risk score has risen from 9 → 22 over 13 quarters.

Expected Direction

🚨 Escalate

Primary Deterioration Drivers

Inventory Stress
Industrial Margin Stress
Working Capital Expansion

What to Watch Next Quarter

Operating profit margins
Inventory turnover
Working capital efficiency

Active Risk Objects (8)

CriticalHigh

Industrial Margin Stress

📊 Earnings QualityAnnualActive for 3 Years

More Detail

Impact Weight12/15

MomentumPersistent

Last SignalQ3 FY2026

INDORAMA: EBITDA margin compressed by 3.2 bps YoY.

"Margins are in freefall. Operating costs are growing significantly faster than revenue."

Low Interest Coverage

💧 Liquidity & CoverageQuarterlyActive for 10 Qtrs

More Detail

Impact Weight8/15

MomentumDecaying

Last SignalQ3 FY2026

INDORAMA: Low Interest Coverage Ratio of 1.24x in FY2026 Q3 (Threshold: 2.5x).

"The ability to cover interest is strengthening as earnings improve or debt is retired."

Inventory Stress

📊 Earnings QualityAnnualActive for 2 Years

More Detail

Impact Weight15/15

MomentumAccelerating

Last SignalQ4 FY2026

Inventory growth (12.2%) significantly outpaced revenue growth (-1.2%).

"Stock is piling up in the warehouse. Inventory turnover is slowing down dangerously."

Working Capital Expansion

💧 Liquidity & CoverageAnnualActive for 2 Years

More Detail

Impact Weight10/15

MomentumAccelerating

Last SignalQ4 FY2026

Working capital expansion detected: Receivable days increased by 47.9%.

"Working capital cycle is stretching dangerously. This is putting severe strain on daily operations."

Cash Conversion Deficit

📊 Earnings QualityAnnualActive for 3 Years

More Detail

Impact Weight6/15

MomentumPersistent

Last SignalFY2026

INDORAMA: OCF below Net Profit in 2/3 recent years.

"Cash conversion is dangerously low. Operational cash flow is significantly trailing reported PAT."

Profit Collapse

📊 Earnings QualityQuarterlyActive for 3 Qtrs

More Detail

Impact Weight8/15

MomentumDecaying

Last SignalQ4 FY2024

INDORAMA: Net Profit collapsed by 2598.8% from FY2023 Q4 to FY2024 Q4.

"Earnings quality is stabilizing. The reliance on non-operational items is receding."

Capex Efficiency Stress

📊 Earnings QualityAnnualActive for 1 Years

More Detail

Impact Weight8/15

MomentumDecaying

Last SignalQ2 FY2024

Aggressive Capex (16.0%) amidst slow revenue growth (9.0%).

"Earnings quality is stabilizing. The reliance on non-operational items is receding."

Revenue-Debt Divergence

🏛️ Solvency & LeverageAnnualActive for 1 Years

More Detail

Impact Weight6/15

MomentumDecaying

Last SignalFY2024

INDORAMA: Revenue fell 5.6% while Debt rose 52.1% in 2024 vs 2023.

"Debt servicing metrics have improved recently. The company is actively deleveraging."

Risk Trajectory

Loading Chart

Resilience Matrix

Metric	Value	vs Sector	Signal
Volatility (σ)	6.08	8.38	✅ RESILIENT
Sensitivity (ε_s)	1	1.00	✅ RESILIENT
Escalation Prob.	5%	5%	✅ NEUTRAL
Safety Buffer	+44.0	+42.0	✅ RESILIENT

Forensic Benchmark Context: Other Textile Products (n=42 peers)

Correlation Analysis
Visualizing the relationship between stock price movement and structural risk objects.

Loading Chart

Share Price

Risk Score (0-100)

Market Performance

₹42.82(-0.02%)

1M Divergence+9.36%

1 Week-3.71%

1 Month+11.63%

6 Months-12.38%

1 Year-11.98%

2 Year+6.39%

3 Year-0.07%

Sector Average (1M)+2.27%

Sentinel Forensic Assessment

ALGORITHMIC RISK PROFILE • NON-ADVISORY

The risk profile is Early Signals and currently consolidating. Recent structural triggers in balance sheet stress suggest a building pressure on the underlying framework. Material forensic traces are visible in core structural metrics, indicating a progressive erosion of structural stability. Continued monitoring is necessary as risk levels remain above institutional safety parameters.

INDORAMA • MARKET STRUCTURE

Stage 4 — Declining

The company is in a defensive phase. Sentiment and fundamentals are deteriorating under persistent downward pressure, indicating elevated risk levels.

Stage Transition Prob.0%

Trend QualityDeteriorating

Phase Progression

Phase Progression Score10%

Readiness LabelLow (Early Base Consolidation)

Probability of Advancing0%

CoinTree Momentum

Composite Z-Score+0.5137σ

Improving momentum strength

Universe Rank#443 of 2716

Top 16.31% in momentum strength

Timeframe Sparklines

1W-3.7%

1M+11.6%

6M-12.4%

Weinstein Indicators

150 DMA₹43.61

200 DMA₹46.55

150 DMA Slope-5.9856%Declining

Relative Strength-6.89%Lagging

Relative Turnover (RTR)0.6058

ParticipationWeak

PEER COMPARISON

Ranked comparison against sector peers

Risk profile is broadly in line with the Sector Mean (24).

Ticker	Risk Score	Sector %ile	Delta	Flags	Accel	Primary Driver
INDORAMAINDORAMA	22	41th	+2	8	+3	Balance Sheet StressWatch
ABCOTSA B Cotspin India Limited	25	51th	-5	10	+0	Balance Sheet StressWatch
AYMSYNTEXAYM Syntex Limited	34	78th	-5	33	+0	Competitive PositionWatch
ALOKINDSAlok Industries Limited	35	83th	+8	23	+1	Competitive PositionWatch