BCL Industries Limited

Consumer Defensive — Beverages - Wineries & Distilleries · NSE

₹29.82+₹0.03 (+0.10%)

DalalBaazaar Score

66 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

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

In simple words: Strong business and financial position, but sales are shrinking. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:28 pm

Understanding the Business

Company site ↗

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

What does this company do?

BCL Industries Limited, an agro-processing and manufacturing company, engages in the edible oil, rice milling, grain-based distillery, and real estate businesses in India. It provides grain-based ethanol production, extra neutral alcohol, country liquor, and biofuels.

IndustryBeverages - Wineries & Distilleries

SectorConsumer Defensive

Annual revenue₹2,727 Cr

How does it make money?

Turns over ₹2,727 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹9 left at the operating level before interest, tax and depreciation.

Who are its competitors?

The closest listed comparisons in its industry are HINDUSTAN UNILEVER LTD., ITC LTD, NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 16.6% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE51.0%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +51% while net margin moved +15% 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+15%

DalalBaazaar Score

66/ 100

Good

Weighted across six categories. Every point is explained below.

• ROE of 12.6% is moderate

Quality vs. Valuation

Company Quality

62/ 100

Average

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

Valuation

88/ 100

Cheap

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

7.5x

3Y Median

12.4x

40 monthly readings · mean 14.7x · range 7.6x–28.6x

Sector Median

43.3x

median of 4 sector peers

🟢Current valuation is approximately 39% below its 3y median of 12.4x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 83% below the peer median of 43.3x.

vs. its own history

Cheap

12.4x median over 40 months · -39%

vs. sector peers

Cheap

43.3x median of 4 peers · -83%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

5.6x

PEG

0.37

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 7.1% to 9.2% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Return on capital is rising
ROCE has improved from 14.1% to 16.6%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

2 items require attention · 2 watch

🟡Debt is increasingFinancial
Total debt is up 31% over 3 years.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 22% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 7.1% to 9.2%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 39% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 83% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
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?

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✓ 14.8% CAGR
Latest reported year was -26.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 7%✓ 9.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✓ ₹260 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 14%✓ 16.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 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

6 good · 3 neutral · 2 weak

Market Cap

₹880 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

7.5x

Cheap

Cheap against the generic band

P/B Ratio

0.97x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹3.95

Profitable

Profitable on a per-share basis

ROE

12.6%

Moderate

Moderate capital efficiency

ROCE

16.6%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.60x

Low

Conservative leverage

Revenue Growth (YoY)

-26.4%

Shrinking

Sales are contracting

Profit Growth (YoY)

-26.0%

Falling

Profits are shrinking

Dividend Yield

1.17%

Modest

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

Free Cash Flow

₹260 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

8.8%

Average

Average margins

Net Margin

4.5%

Average

Average bottom-line conversion

Current Ratio

1.79

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.64

Defensive

Steadier than the market

52W Range Position

28%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

31.7 / 34.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

24.3

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,801 Cr	₹2,096 Cr	₹2,770 Cr	₹2,727 Cr	+14.8%
EBITDA	₹128 Cr	₹199 Cr	₹211 Cr	₹250 Cr	+24.9%
EBITDA Margin	7.1%	9.5%	7.6%	9.2%	—
PAT (Net Profit)	₹66 Cr	₹90 Cr	₹95 Cr	₹115 Cr	+20.2%
EPS	₹2.66	₹3.43	₹3.26	₹3.9	+13.6%
ROE	13.8%	13.9%	11.8%	12.6%	—
ROCE	14.1%	17.0%	14.7%	16.6%	—
Total Debt	₹432 Cr	₹477 Cr	₹536 Cr	₹567 Cr	+9.5%
Free Cash Flow	-₹228 Cr	-₹98 Cr	-₹21 Cr	₹260 Cr	—

🟢 Revenue has grown at 14.8% a year over 3 years.

🟢 EBITDA has grown at 24.9% a year over 3 years.

🟢 EBITDA Margin has risen from 7.1% to 9.2% over 3 years (+2.0 pts).

🟢 PAT (Net Profit) has grown at 20.2% a year over 3 years.

🟢 EPS has grown at 13.6% a year over 3 years.

🔴 ROE has fallen from 13.8% to 12.6% over 3 years (-1.2 pts).

🟢 ROCE has risen from 14.1% to 16.6% over 3 years (+2.5 pts).

🔴 Total Debt has grown at 9.5% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹228 Cr to ₹260 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,569 Cr

Total Liabilities

₹618 Cr

Cash & Equivalents

₹59 Cr

Operating Cash Flow

₹392 Cr

Capex

-₹132 Cr

Shareholding (proxy)

Institutional Holding

0.2%

Insider Holding

60.4%

Corporate Actions

Dividend Rate

₹0.35

Ex-Dividend Date

18 Sept 2026

Peer Comparison

Company	P/E	ROE
HINDUSTAN UNILEVER LTD.	42.5x	21.5%
ITC LTD	16.6x	27.4%
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%

Recent News

1 positive4 mixed1 general

BCL Industries schedules analyst meet in Mumbai

scanx.trade, 13 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

BCLIND Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

BCL Industries consolidates Svaksha Distillery with ₹55 Crore stake buy as revenue surges to ₹900 Crores

Sahi, 30 JunM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

Bcl Industries Share Price Target 2027, 2028 and 2030: Long Term Analyst Forecast

Univest, 07 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Why You Might Be Interested In BCL Industries Limited (NSE:BCLIND) For Its Upcoming Dividend

Simply Wall Street, 14 SeptCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

BCL Industries Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 30 Aug

Watch Items

Revenue growth is negative (-26.4%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

StrongFinancial Health · Growth · Valuation

MiddlingBusiness Quality · Risk

WeakProfitability

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you.

1 of 5 tripwires tripped — Debt / EBITDA stays below 2x · see Key things to watch ↑