Bella Casa Fashion & Retail Limited

Consumer Cyclical — Textile Manufacturing · NSE

₹235.00+₹2.04 (+0.88%)

DalalBaazaar Score

63 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, falling profits.

In simple words: Strong business and financial position, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

The 60-second version of Bella Casa Fashion & Retail Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Bella Casa Fashion & Retail Limited engages in the production and retail of apparels and home furnishing products in India.

IndustryTextile Manufacturing

SectorConsumer Cyclical

Employees1,302

Annual revenue₹416 Cr

How does it make money?

Turns over ₹416 Cr a year. Of every ₹100 of sales, about ₹5 reaches shareholders as profit, with ₹9 left at the operating level before interest, tax and depreciation. Each of its 1,302 employees supports ₹32.0 lakh of revenue a year, the signature of a people-led business.

EBITDA margin8.8%

Net margin4.8%

Revenue / employee₹32.0 lakh

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

MARUTI SUZUKI INDIA LTD.P/E 25.2x · ROE 13.4%

TITAN COMPANY LIMITEDP/E 68.5x · ROE 36.7%

TRENT LTDP/E 87.2x · ROE 25.9%

AVENUE SUPERMARTS LIMITEDP/E 69.9x · ROE 12.7%

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.

ROCE16.6%

ROE12.0%

Peer median ROE25.9%

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 +107% while net margin moved +26% 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+107%

Margin effect+26%

DalalBaazaar Score

63/ 100

Good

Weighted across six categories. Every point is explained below.

• ROE of 12.0% is moderate

Quality vs. Valuation

Company Quality

65/ 100

Good

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

Valuation

77/ 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

17.4x

1.4Y Median

22.2x

17 monthly readings · mean 24.8x · range 15.6x–49.5x

Sector Median

69.2x

median of 4 sector peers

🟢Current valuation is approximately 22% below its 1.4y median of 22.2x. 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 75% below the peer median of 69.2x.

vs. its own history

Cheap

22.2x median over 17 months · -22%

vs. sector peers

Cheap

69.2x median of 4 peers · -75%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

17.4x

P/B

1.83x

EV/EBITDA

10.7x

PEG

0.47

Dividend Yield

0.85%

What's Good / What's Bad

🟢 What's Going Well2

Valuation below its historical average
At 17.4x the stock trades 22% below its own median of 22.2x.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Debt is rising
Total debt is up 100% over 3 years — worth checking what it funded.
Free cash flow is negative
The business is not currently covering its capital spending from operations.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 100% over 3 years, from ₹39 Cr to ₹79 Cr.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹15 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 22% 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 75% 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 21% a year✓ 27.3% CAGR
Latest reported year was 33.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 7%✓ 8.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.1x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹15 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

7 / 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

4 good · 5 neutral · 2 weak

Market Cap

₹315 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

17.4x

Fair

Fairly valued against the generic band

P/B Ratio

1.83x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹13.51

Profitable

Profitable on a per-share basis

ROE

12.0%

Moderate

Moderate capital efficiency

ROCE

16.6%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.47x

Low

Conservative leverage

Revenue Growth (YoY)

33.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-46.2%

Falling

Profits are shrinking

Dividend Yield

0.85%

Modest

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

Free Cash Flow

-₹15 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹235

Operating Margin

3.8%

Weak

Thin margins leave little room for error

Net Margin

4.0%

Average

Average bottom-line conversion

Current Ratio

1.91

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.52

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

254.8 / 245.9

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

25.4

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹202 Cr	₹230 Cr	₹349 Cr	₹416 Cr	+27.3%
EBITDA	₹17 Cr	₹19 Cr	₹31 Cr	₹37 Cr	+30.2%
EBITDA Margin	8.3%	8.3%	8.8%	8.8%	—
PAT (Net Profit)	₹8 Cr	₹10 Cr	₹16 Cr	₹20 Cr	+37.4%
EPS	₹6.22	₹8.21	₹12.39	₹15.03	+34.2%
ROE	10.3%	12.0%	10.6%	12.0%	—
ROCE	17.7%	20.0%	16.2%	16.6%	—
Total Debt	₹39 Cr	₹43 Cr	₹31 Cr	₹79 Cr	+25.9%
Free Cash Flow	₹13 Cr	₹1 Cr	₹1 Cr	-₹15 Cr	—

🟢 Revenue has grown at 27.3% a year over 3 years.

🟢 EBITDA has grown at 30.2% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 8.8% over 3 years.

🟢 PAT (Net Profit) has grown at 37.4% a year over 3 years.

🟢 EPS has grown at 34.2% a year over 3 years.

🟢 ROE has risen from 10.3% to 12.0% over 3 years (+1.8 pts).

🔴 ROCE has fallen from 17.7% to 16.6% over 3 years (-1.1 pts).

🔴 Total Debt has grown at 25.9% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹13 Cr to -₹15 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹302 Cr

Total Liabilities

₹134 Cr

Total Debt

₹79 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹31 Cr

Capex

-₹46 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

80.1%

Corporate Actions

Dividend Rate

₹2

Ex-Dividend Date

08 Sept 2025

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

2 mixed1 negative3 general

Bella Casa Fashion & Retail (BELLACASA) Share Price Rises 11.4% Today

Univest, 07 OctPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Bella Casa Fashion & Retail standalone net profit declines 45.96% in the June 2026 quarter

Business Standard, 14 AugResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Bella Casa Fashion & Retail Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 01 Sept

Bella Casa Fashion & Retail (NSE: BELLACASA): 4 Things to Watch

Kalkine India, 10 Sept

Bella Casa Fashion & Retail holds 30th AGM, reappoints Gaurav Gupta

scanx.trade, 29 Sept

Bella Casa Fashion & Retail Ltd. (BELLACASA) Share Price Falls 10.6% Today; Textile Micro Cap in Focus

Univest, 14 AugPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
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

🟡Business QualityAdequate10.3/20

🟢Financial HealthStrong13/20

🟢GrowthStrong18.5/20

🔴ProfitabilityWeak6.5/15

🟢ValuationAttractive10.7/15

🔴RiskHigh4.4/10

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 21% a year27.3% CAGR
✓EBITDA margin holds above 7%8.8%
✗Debt / EBITDA stays below 2x2.1x
✗Free cash flow remains positive-₹15 Cr
✓ROCE stays above 14%16.6%