KOCHI: V-Guard Industries, the Kerala-based consumer electricals and electronics major known for its strong corporate reputation, has effectively become a debt-free company as of March-end 2025.
V-Guard group, which had total borrowings of Rs291 crore a year ago, has pared down its debt to just Rs10.81 crore. At the same time, its cash and cash equivalents stood at Rs30.07 crore, placing it in a net cash (or net debt-free) position.
Financial analysts note that few listed companies in India operate with little to no debt on their books.
"Supported by strong cash flows, we have pre-closed the entire term loan related to the Sunflame acquisition and are back to being a debt-free company," said Mithun K Chittilappilly, Managing Director, V-Guard Industries Ltd.
He added that the company is entering the new financial year with optimism and plans for several exciting product launches.
Rs50cr expansion
V-Guard is also set to invest Rs50 crore in expanding capacity at its battery manufacturing facility, operated by its subsidiary V-Guard Consumer Products Ltd.
The expansion will nearly double the plant’s annual output from 3.60 lakh units to 7.56 lakh units.
V-Guard Industries Ltd is the holding company of three subsidiaries - V-Guard Consumer Products Ltd, Guts Electro-Mech Ltd, and Sunflame Enterprises Pvt Ltd. It also holds a stake in associate company Gegadyne Energy Labs Private Ltd.
The group’s balance sheet has grown to Rs3,038.86 crore in FY25 from Rs2,885.89 crore a year earlier, while its total equity increased to Rs1,998.34 crore from Rs1,768.07 crore.
