Amwill Health Care Limited

Healthcare — Medical Distribution · BSE

₹43.14₹0.00 (0.00%)

DalalBaazaar Score

72 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing obvious stands out as stretched — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Constructive picture on fundamentals. Profitability, leverage and growth metrics are broadly healthy on this snapshot. That said, valuation should still be checked against direct sector peers (not just the generic P/E bands used here) before treating this as a buy signal.

Understanding the Business

Company site ↗

The 60-second version of Amwill Health Care Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Amwill Health Care Limited, operates in the dermatology and dermo cosmetic industry in India.

IndustryMedical Distribution

SectorHealthcare

Employees88

Annual revenue₹45 Cr

How does it make money?

Turns over ₹45 Cr a year. Of every ₹100 of sales, about ₹25 reaches shareholders as profit, with ₹29 left at the operating level before interest, tax and depreciation. Each of its 88 employees supports ₹51.7 lakh of revenue a year, the signature of a people-led business.

EBITDA margin29.1%

Net margin25.1%

Revenue / employee₹51.7 lakh

Who are its competitors?

The closest listed comparisons in its industry are SUN PHARMACEUTICAL IND L, CIPLA LTD, DR. REDDY S LABORATORIES, APOLLO HOSPITALS ENTER. L. These are the companies its valuation and returns are measured against elsewhere in this report.

SUN PHARMACEUTICAL IND LP/E 34.9x · ROE 14.5%

CIPLA LTDP/E 31.8x · ROE 9.8%

DR. REDDY S LABORATORIESP/E 31.0x · ROE 8.8%

APOLLO HOSPITALS ENTER. LP/E 54.3x · ROE 22.0%

What is its competitive advantage?Some evidence

ROCE of 15.5% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

ROCE15.5%

ROE15.2%

Peer median ROE14.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +51% while net margin moved +143% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+51%

Margin effect+143%

DalalBaazaar Score

72/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

78/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

81/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

7.6x

2Y Median

6.7x

22 monthly readings · mean 8.1x · range 4.4x–15.2x

Sector Median

33.3x

median of 4 sector peers

⚠️Current valuation is approximately 13% above its 2y median of 6.7x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 77% below the peer median of 33.3x.

vs. its own history

Fair

6.7x median over 22 months · +13%

vs. sector peers

Cheap

33.3x median of 4 peers · -77%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

7.6x

P/B

1.07x

EV/EBITDA

2.9x

PEG

0.14

Dividend Yield

1.16%

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 14.9% to 29.1% over 3 years.
Cash generation is improving
Free cash flow is up 66% over 3 years.
Very low debt
Debt/Equity of 0.10x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention3

Return on equity is falling
ROE has dropped from 67.7% to 14.2% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 85.3% to 15.5% — often a sign of competition or overexpansion.
Receivables growing faster than sales
Receivables are up 1597% against revenue growth of 51% — customers are taking longer to pay.

Red Flags

1 item require attention · 1 high

🔴Receivables growing faster than salesFinancial
Receivables up 1597% against revenue up 51% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 14.9% to 29.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Cheaper than its peers
It trades 77% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹7 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 1597% against revenue up 51%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 67.7% to 14.2%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 11% a year✓ 14.7% CAGR
Latest reported year was 39.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 27%✓ 29.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹7 Cr
Profit that never becomes cash eventually stops being profit.
4ROCE stays above 13%✓ 15.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
5Valuation vs its own median of 6.7x✓ 7.6x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

11 / 11 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

9 good · 2 neutral · 0 weak

Market Cap

₹86 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

7.6x

Cheap

Cheap against the generic band

P/B Ratio

1.07x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹5.71

Profitable

Profitable on a per-share basis

ROE

15.2%

Strong

Strong capital efficiency

ROCE

15.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.10x

Low

Conservative leverage

Revenue Growth (YoY)

39.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

49.9%

Healthy

Profits growing at a healthy clip

Dividend Yield

1.16%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹6 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹43.14

ROA

9.9%

Good

Assets are working hard

Operating Margin

35.5%

Good

Healthy core-business profitability

Net Margin

25.1%

Good

Strong bottom-line conversion

Current Ratio

12.39

Comfortable

Healthy short-term liquidity

52W Range Position

51%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

43.6 / 43.2

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

50.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹30 Cr	₹44 Cr	₹41 Cr	₹45 Cr	+14.7%
EBITDA	₹4 Cr	₹17 Cr	₹12 Cr	₹13 Cr	+43.4%
EBITDA Margin	14.9%	38.1%	29.4%	29.1%	—
PAT (Net Profit)	₹3 Cr	₹12 Cr	₹11 Cr	₹11 Cr	+54.2%
EPS	₹1.56	₹6.25	₹6.63	—	—
ROE	67.7%	72.8%	15.5%	14.2%	—
ROCE	85.3%	94.4%	16.3%	15.5%	—
Free Cash Flow	₹4 Cr	-₹4 Cr	₹5 Cr	₹7 Cr	+18.3%

🟢 Revenue has grown at 14.7% a year over 3 years.

🟢 EBITDA has grown at 43.4% a year over 3 years.

🟢 EBITDA Margin has risen from 14.9% to 29.1% over 3 years (+14.2 pts).

🟢 PAT (Net Profit) has grown at 54.2% a year over 3 years.

🔴 ROE has fallen from 67.7% to 14.2% over 3 years (-53.5 pts).

🔴 ROCE has fallen from 85.3% to 15.5% over 3 years (-69.7 pts).

🟢 Free Cash Flow has grown at 18.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹87 Cr

Total Liabilities

₹6 Cr

Total Debt

—

Cash & Equivalents

₹47 Cr

Operating Cash Flow

₹8 Cr

Capex

-₹1 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

81.8%

Corporate Actions

Dividend Rate

₹0.5

Ex-Dividend Date

07 Aug 2026

Peer Comparison

Company	P/E	ROE
SUN PHARMACEUTICAL IND L	34.9x	14.5%
CIPLA LTD	31.8x	9.8%
DR. REDDY S LABORATORIES	31.0x	8.8%
APOLLO HOSPITALS ENTER. L	54.3x	22.0%

Recent News

6 general

Compare with ALKA INDIA

Equitymaster, 16 Oct

Amwill Health Care Ltd Peer Comparison – Compare with Others

Value Research, 14 Sept

Equitymaster, 16 Oct

Equitymaster, 16 Oct

Equitymaster, 15 Oct

Equitymaster, 17 Oct

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

🟢Business QualityStrong14.3/20

🟢Financial HealthStrong17.7/20

🟢GrowthStrong16.1/20

🟢ProfitabilityStrong10.2/15

🟢ValuationAttractive11.8/15

🔴RiskHigh2.3/10

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 11% a year14.7% CAGR
✓EBITDA margin holds above 27%29.1%
✓Free cash flow remains positive₹7 Cr
✓ROCE stays above 13%15.5%
✓Valuation vs its own median of 6.7x7.6x today