The stock has given a negative return of 10% to its shareholders in the last one year, while it lost 41% in the past six months. In the calendar year, the counter has shed nearly 17%, while it declined more than 12% in a month.

Earlier this week, CRISIL reaffirmed ‘A+’ rating with stable outlook on the bank facilities of Campus Activewear, citing company’s strong business risk profile, driven by expected net worth of over ₹700 crore in FY23 backed by continuous accretion to reserve.

“The ratings continue to reflect the healthy market position of the Campus group in the footwear industry backed by strong brand, geographically diversified presence and wide product portfolio, along with a comfortable financial risk profile. These strengths are partially offset by stretched working capital cycle and exposure to intense competition,” CRISIL said in a report.

Last month, the U.S.-based alternative asset management firm TPG Global, through its affiliate TPG Growth III SF Pte, sold its entire 7.6% stake in the company at an average price of ₹347.24 apiece, taking the transaction value to ₹805.86 crore. In August 2017, TPG Growth III SF Pte, the growth equity platform of American investment firm, acquired a 17.19% stake in Campus. Post the listing in May 2022, the shareholding was reduced to 7.63%, while it sold its remaining stake of 7.63% through the open market on March 24, 2023.

Campus Activewear made its debut on domestic stock exchanges on May 9, 2022, after raising ₹1,400 crore via initial public offering (IPO), which received robust demand from investors, especially from qualified institutional buyers. For the December quarter of 2022 (Q3 FY23), the company reported 11.7% decline in consolidated net profit to ₹48.31 crore from ₹54.72 crore in Q3 FY22. However, revenue from operations rose 7.4% to ₹465.62 crore in Q3 FY23 as against ₹433.55 crore in the same period last year.

Campus buys land in Paonta Sahib

Why Campus Activewear shares are trading higher today