Indo Count up 14%

Indo Count Industries is currently the surprising top gainer on the BSE; we say, “surprising” because there has really been no real new material development in the company; in fact the tariff news was stressful for the company given that it exports to USA but today its up as it has manufacturing facility in the USA itself.

The stock opened 3% higher at Rs.256.15 and rose to an intraday high at Rs.283, up almost 14%.

The only explanation – it is most likely a technical rebound after a recent sharp decline. The stock had dropped significantly in the past month and hit a low of Rs.213.55, likely prompting value investors and traders to buy in at discounted levels. Today's movement may also reflect speculative buying or short-covering.

The company had recently acquired Fluvitex USA, Modern Home Textiles USA, and new licensed brands have started contributing to revenues, achieving approximately Rs. 100 crores in Q3.

The company has invested approximately $72 million in brands and acquisitions and it anticipates an additional revenue of approximately $275 million over the next three years. The near term investments in US will impact margins by 150 to 200 basis points till March ‘26.

Indo Count Global East Inc., a step-down subsidiary of its wholly owned US subsidiary is further strengthening this business with a strategic greenfield manufacturing facility in North Carolina, USA. The new facility will have a production capacity of 18 million pillows with a total investment of $15 million financed through 75:25 debt to equity structure to start with. With a gradual roll out and revenue build up targeted from September 2025, Indo Count's total US manufacturing capacity will expand to 31 million pillows and 1.5 million quilts annually.

Company expects to double its revenue at consolidated level by 2028. For current fiscal, management had guided EBITDA Margin to be maintained at 13-15% range. Its 52-week high is at Rs.450.25, hit in July’24.