Relaxo Footwears Limited (RELAXO)
Micro CapConsumer stocks · Micro cap · NSE
Relaxo Footwears Limited is a leading Indian footwear manufacturer with a diversified brand portfolio including Hawai, Flite, and Sparx. It operates 9 manufacturing facilities with a capacity of ~10.5 lakh pairs/day and a wide distribution network across ~70,000+ retailers, 630 distributors, and 420 EBOs.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is supportive, price trend argues for patience, and recent execution is mixed.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Average · 32/100margin compression · Rev +8% YoY · PAT +12% YoY
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹705 Cr | +7.8% | -6.1% |
| EBITDA | ₹108 Cr | +9.1% | -12.9% |
| Operating margin | 15.0% | +0 bps | -200 bps |
| PAT | ₹55 Cr | +12.2% | -19.1% |
| PAT margin | 7.8% | +31 bps | -125 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Q4FY26 saw strong sequential and YoY recovery with revenue up 8.05% YoY to 751 Cr and volumes up 11.11% YoY to 5.0 Cr pairs, driving PAT growth of 20.37% YoY to 68 Cr. Full-year FY26 revenue declined 3.13% YoY to 2,702 Cr and volumes declined 1.69% YoY to 17.5 Cr pairs, but PAT improved 5.25% YoY to 179 Cr due to margin expansion.
The company's Q4FY26 performance indicates a strong rebound in volumes and profitability, suggesting effective operational adjustments. While full-year revenue and volume growth remain a concern, the improvement in PAT and margins is positive. The decline in average realization per pair warrants close monitoring for pricing power.
FY26 Revenue by Brand
Latest issuer-disclosed distribution across 3 reported categories.
Indian Footwear Market Growth
Expected to grow at 9.7% CAGR from 2025-2034 to 4,433 Bn.
Organised Market Expansion
India's organised footwear market expected to grow at 13% CAGR from 674 Bn (2025) to 1,995 Bn (2034).
Sports & Athleisure Category
Fastest-growing footwear category, projected to expand at ~10% CAGR.
Digital Transformation
Online shopping, virtual try-ons, and AI-powered personalization are reshaping customer experiences.
Supportive Policy Reforms
Accelerating the shift of India’s footwear market toward the organised sector.
Rapid Urbanisation & Middle Class Growth
Driving demand and accelerating the shift to the organised sector.
Women's Footwear Market
Gaining share, reflecting rising workforce participation and faster fashion cycles.
Declining Average Realization
Average realization per pair declined YoY in both Q4FY26 and for the full year FY26.
Full-Year Revenue & Volume Decline
FY26 saw a YoY decline in both revenue and number of pairs sold.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
YoY comparison is essential for assessing annual performance and Q4 against the previous year's base. QoQ comparison is critical to gauge sequential momentum and the effectiveness of recent strategies, especially given the significant Q4 recovery from Q3.
Volume Growth
Q4FY26 volumes grew 11.11% YoY to 5.0 Cr pairs; FY26 volumes declined 1.69% YoY to 17.5 Cr pairs.
Average Realization per pair
Declined 1.96% YoY in Q4FY26 to 150 and 1.92% YoY for FY26 to 153.
EBITDA Margin
Q4FY26 EBITDA margin was 16.5% (+40 bps YoY, +610 bps QoQ); FY26 EBITDA margin was 13.8% (+10 bps YoY).
Distribution Network
~70,000+ Retailers/Multi-Brand Outlets, ~630 Active Pan-India Distributors, 420 Exclusive Brand Outlets.
Operational Optimization
Continuous focus on optimising operations, including lean manufacturing and yield improvement.
Cost Optimization
Focus on cost optimisation in manufacturing to enable competitive pricing.
Quality Assurance
Strong in-house manufacturing capabilities help maintain end-to-end quality.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Volume Growth Trend | Q4FY26 volumes up 11.11% YoY; FY26 volumes down 1.69% YoY. | Sustained sequential and YoY volume growth to confirm market demand recovery. |
| Average Realization per Pair | Declined 1.96% YoY in Q4FY26 and 1.92% YoY for FY26. | Stabilization or improvement in pricing to support revenue expansion. |
| EBITDA Margin Performance | Q4FY26 EBITDA margin 16.5% (+40 bps YoY); FY26 EBITDA margin 13.8% (+10 bps YoY). | Continued margin expansion or stability, indicating effective cost management. |
| Organised Market Share | Not explicitly stated, but company operates in a growing organised market. | Company's ability to capture growth and increase its share in the expanding organised footwear sector. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
38BearishSMA20 -6.9% / mo · RSI oversold · MACD −
Technical chart
RELAXOdaily · 1Y · AUTO+6.8%Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 29. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 falling (~7.4% over last month) — short-term momentum negative.
- RSI(14) at 29 — oversold zone; bounce conditions.
- MACD below signal but histogram contracting — bearish momentum easing.
- 32% off 52W high · 46% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation & score drivers
U-Score 24 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 24 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
OVERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Balance sheet contributes 10/15 to the score.
- Cash flow contributes 5/10 to the score.
Main drags
- Fair-value margin of safety is negative at -1045.5%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Quality is weaker at 1/20; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 81st percentile of the scored universe and 83rd percentile within Consumer. No major sub-score weakness stands out.
High Trust Lite: Promoter holding is 71.3%.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Consumer: 83rd pctile, median 66 · Micro: 66th pctile, median 73
96 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 71.3%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 1.4%.
- ▸11 years of positive FCF.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 53.20
- P/B
- 4.47
- EV/EBITDA
- 18.66
- Market Cap
- 9864.00Cr
Profitability
- ROE
- 8.33%
- ROCE
- 11.10%
- ROA
- 6.27%
- Dividend Y
- 0.88%
Growth (CAGR)
- Revenue 5Y
- 3.00%
- EPS 5Y
- -9.00%
- Revenue 3Y
- -1.00%
- EPS 3Y
- 5.00%
Balance Sheet
- Debt/Equity
- 0.11
- Interest Coverage
- 17.41×
- Altman Z
- 8.67
- Book Value
- 88.60
Cash Flow
- FCF Yield
- 1.43%
- FCF Positive Y
- 11/5
- OCF
- 348.00 Cr
- EPS TTM
- 7.45
Shareholding
- Promoter Hold
- 71.27%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 54%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Consumer, ranked by similarity
Peers
Business-comparable names in Consumer, ranked by similarity
Peers
Business-comparable peers in Consumer — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.