Sheela Foam Ltd(SFL)

NSE: SFLBSE: 540203

₹ 575.15+1.42%refreshed 26 Oct, 03:50 pm ISTMarket cap: ₹ 6,281 crWebsite: www.sheelafoam.comUpdated: 24 Oct 2026

About

Sheela Foam Limited manufactures and sells polyurethane foam products and mattresses in India under the Sleepwell and Kurlon brands, and operates overseas subsidiaries in Australia (Joyce) and Spain (Interplasp). The group reported consolidated revenue of INR3,821 cr in FY26, making it one of India's largest organised mattress and foam companies. Its FY25 annual report describes it as the largest maker of flexible slab stock PU foam in India, with ~29% share of the branded Indian mattress segment and ~40% market share in Australia. It also holds a majority stake in Furlenco, a furniture-rental and subscription platform operating in 29+ cities.^[1][2]

Business segments

Joyce Australia delivered INR120 cr revenue in Q1 FY27 (+31% YoY); full-year FY26 revenue was INR422 cr with a 10% EBITDA margin.^[3]
Interplasp Spain delivered INR133 cr revenue in Q1 FY27 (+54% YoY); full-year FY26 revenue was INR391 cr with a 10.4% EBITDA margin.^[3]
Furlenco reported FY26 revenue of INR370 cr (+60% YoY) and PAT of ~INR60 cr vs INR3 cr in FY25; Q1 FY27 revenue grew 38% and EBITDA grew 65% YoY.^[1]
B2C share of business reached 55% in H1 FY26, up ~5 percentage points from H1 FY25; India accounts for 75% of total group turnover.^[4]
Staqo, the group's IT initiative, grew revenue 61% year on year with 28% EBITDA margins in FY25.^[2]

Products and brands

Flagship brands are Sleepwell, Kurl-on, Feather Foam and Lamiflex (FY25 annual report).^[2]
Value-tier foldable PU mattresses Sleepwell Tarang and Kurlon Aaram target small-town and entry-level buyers.^[2][4]
Technical foams include automotive, reticulated and UV-stable grades, serving automotive, acoustics, furniture, footwear and packaging; the company is expanding into aviation insulation, ceramic filters, acoustics and footwear insoles (FY25).^[2]
In Q1 FY27 the company launched sofa beds under both Sleepwell and Kurlon as its first step into furniture, using Furlenco's design, manufacturing and logistics capabilities.^[3]
Pillows are being developed as a standalone revenue category (described as an INR100 cr market) rather than a bundled freebie.^[1]

Operations and capacity

As of FY25 the company operated 18 manufacturing units across India, Spain and Australia with total production capacity of 187,000 MTPA, vs 21 units and 1,46,000 MTPA foaming capacity in FY24.^[2][5]
After the Kurlon merger, units at Jhagadia, Roorkee and Dabbaspet were closed, leaving 12 existing plants in India (FY25); closures and monetisation are expected to yield approx. ₹200 crore in one-time gains.^[2]
Main raw materials are TDI, Polyol, adhesives and fabric, bought in bulk after the merger; adopting SFL's high-yield foam formulations improved output by ~10% (FY25).^[2]
Company-owned company-operated (COCO) stores stood at ~42 in Q1 FY27, with a near-term target of 50.^[3]
Solar capacity expansion of 1,000+ kWp planned at Erode, Talwada and Nandigram across FY27 and FY28.^[1]

Key operating numbers

Mattress volumes grew 6% YoY and mattress value grew 15% YoY in Q1 FY27.^[3]
Foam value grew 26% and volumes 4% YoY in Q1 FY27; in Q4 FY26 foam volumes grew 34% and value 36%.^[3]
India foam production target was ~80,000 MT for FY26 vs ~70,000 MT the prior year (+15%).^[4]
Tarang and Aaram volumes grew 58% YoY in H1 FY26, reaching a run rate of ~INR25 - 27 cr per quarter.^[4]
Furlenco's acquired subscriber base grew 36% YoY in Q1 FY27, across 29+ cities.^[3]

Distribution and channels

As of FY25 the network spanned over 10,000 multi-brand outlets, 6,000 exclusive brand outlets, 100+ distributors and 13,000+ touchpoints; the Small-Town Initiative reached more than 4,000 towns.^[2]
Showroom-format EBOs reached ~3,800 as of Q3 FY26, with ~600 net new showrooms added in FY26.^[6]
U2O dealer network expanded to ~10,000 dealers in Q1 FY27, up from 8,400 dealers in 5,000+ towns in FY26; U2O value grew 81% and volumes 19% YoY in Q1 FY27.^[3]
E-commerce grew 30% YoY in Q1 FY27 (volumes +23%); Brand.com grew 69% and platform sales 19%. In FY26 Brand.com grew 136% and platform sales 39%.^[3][1]
Integrated Furlenco + Sleepwell/Kurlon shop-in-shop stores stood at 40 - 50 in Q1 FY27, targeting 100 by end of FY27.^[3]
Products were exported to 25 countries as of FY25; outside-India standalone revenue was Rs 12.45 cr in FY25 vs Rs 23.15 cr in FY24.^[2]

Expansion and capex

FY27 capex guided at INR125 - 150 cr, covering maintenance, debottlenecking and new stores across India, Australia and Spain.^[1]
Remaining ~INR40 cr of Kurlon synergy savings from new malleable fibre machines: partial benefit expected in Q2 FY27, full benefit in Q3 FY27.^[3]
Overseas combined (Australia + Spain) revenue targeted to cross INR1,000 cr with EBITDA of ~INR120 cr in FY27.^[3]
Furlenco FY27 revenue target is ~INR500 cr; an IPO decision was expected within 3 - 4 months of the Q4 FY26 call.^[1]

Recent developments

India Ratings affirmed bank loan facilities at 'IND AA'/Stable on 09 Oct 2026 and withdrew the rating on fully redeemed NCDs.^[7]
In Q1 FY27 the group crossed INR1,000 cr consolidated revenue and INR100 cr consolidated EBITDA in a first quarter for the first time.^[3]
The Board recommended the company's first dividend since listing, at 20% for FY26.^[1]
Kurlon merger filings were completed by Q3 FY26; combined India core EBITDA reached 10% over 9M FY26 vs Kurlon's pre-acquisition mid-single-digit margin.^[6]
CEO India Business Nilesh Mazumdar resigned on 31 March 2025.^[2]

Market Cap

₹6,281 Cr

High / Low

₹832 / 461

Stock P/E

28.8

Price / Book

1.9

Book Value

₹299

EPS

₹14.7

No. of Shares

10.87 Cr

ROCE

6.6%

ROE

5.1%

OPM

6.9%

Debt / Equity

0.28

Sales

₹3,821 Cr

Net Profit

₹161 Cr

Promoter holding

65.4%

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