Belrise Industries Limited

Consumer Cyclical — Auto Parts · NSE

₹231.50+₹1.60 (+0.70%)

DalalBaazaar Score

63 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by small-cap size, which brings sharper price swings, falling profits.

In simple words: Reasonable but unspectacular business quality, though profits are falling even as sales grow. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 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 Belrise Industries Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Belrise Industries Limited, together with its subsidiaries, manufactures and sells automotive parts and components of two-wheeler, three-wheeler and four-wheeler passenger and commercial vehicles in India.

IndustryAuto Parts

SectorConsumer Cyclical

Employees2,003

Annual revenue₹9,336 Cr

How does it make money?

Turns over ₹9,336 Cr a year. Of every ₹100 of sales, about ₹5 reaches shareholders as profit, with ₹13 left at the operating level before interest, tax and depreciation. Each of its 2,003 employees supports ₹4.66 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin13.4%

Net margin5.3%

Revenue / employee₹4.66 Cr

Who are its competitors?

The closest listed comparisons in its industry are BOSCH LIMITED, MARUTI SUZUKI INDIA LTD., TVS MOTOR COMPANY LTD, EICHER MOTORS LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

BOSCH LIMITEDP/E 56.9x · ROE 15.9%

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

TVS MOTOR COMPANY LTDP/E 56.8x · ROE 35.8%

EICHER MOTORS LTDP/E 34.7x · ROE 23.0%

What is its competitive advantage?Little sign of one

Returns on capital of 14.4% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

ROCE14.4%

ROE9.5%

Peer median ROE23.0%

What is the outlook?

5 analysts covering the stock expect revenue to grow about 15.4% and earnings to grow about 34.0% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+15.4%

Est. earnings growth+34.0%

Analysts5

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 +46% while net margin moved +8% 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+46%

Margin effect+8%

DalalBaazaar Score

63/ 100

Good

Weighted across six categories. Every point is explained below.

✗ ROE of 9.5% is weak
✗ ROE has fallen by 5.8 points over the period

Quality vs. Valuation

Company Quality

65/ 100

Good

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

Valuation

48/ 100

Fair

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

38.7x

2Y Median

41.3x

19 monthly readings · mean 43.1x · range 26.6x–59.7x

Sector Median

45.7x

median of 4 sector peers

🟡Currently trading close to its 2y median of 41.3x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 15% below the peer median of 45.7x.

vs. its own history

Fair

41.3x median over 19 months · -6%

vs. sector peers

Fair

45.7x median of 4 peers · -15%

vs. generic bands

Expensive

Above 35x

P/E (Trailing)

38.7x

P/B

3.94x

EV/EBITDA

18.5x

PEG

2.34

Dividend Yield

0.24%

What's Good / What's Bad

🟢 What's Going Well3

Debt is being paid down
Total debt is down 35% over 3 years.
Very low debt
Debt/Equity of 0.29x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 15.3% to 9.5% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 17.3% to 14.4% — often a sign of competition or overexpansion.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 35% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹258 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?

Returns on shareholder capital are falling
ROE has dropped from 15.3% to 9.5%. 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.
Size brings its own risk
Small 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 10% a year✓ 13.5% CAGR
Latest reported year was 12.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 11%✓ 13.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹258 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.2x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 11%✓ 14.4%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 12 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
✓ Analyst consensus isn't majority-sell
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 6 neutral · 1 weak

Market Cap

₹22,390 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

38.7x

Fair

Fairly valued against the generic band

P/B Ratio

3.94x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹5.98

Profitable

Profitable on a per-share basis

ROE

9.5%

Moderate

Moderate capital efficiency

ROCE

14.4%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.29x

Low

Conservative leverage

Revenue Growth (YoY)

12.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-8.7%

Falling

Profits are shrinking

Dividend Yield

0.24%

Modest

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

Free Cash Flow

₹258 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹231.5

P/E (Forward)

25.5x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

7.6%

Average

Average margins

Net Margin

5.2%

Average

Average bottom-line conversion

Current Ratio

1.97

Comfortable

Healthy short-term liquidity

52W Range Position

71%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

239.1 / 237.4

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

34.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹6,377 Cr	₹7,310 Cr	₹8,132 Cr	₹9,336 Cr	+13.5%
EBITDA	₹905 Cr	₹963 Cr	₹1,072 Cr	₹1,248 Cr	+11.3%
EBITDA Margin	14.2%	13.2%	13.2%	13.4%	—
PAT (Net Profit)	₹314 Cr	₹314 Cr	₹355 Cr	₹497 Cr	+16.6%
EPS	₹3.52	₹3.53	₹3.99	₹5.82	+18.2%
ROE	15.3%	13.4%	13.2%	9.5%	—
ROCE	17.3%	16.6%	16.6%	14.4%	—
Total Debt	₹2,353 Cr	₹2,504 Cr	₹2,964 Cr	₹1,521 Cr	-13.5%
Free Cash Flow	₹555 Cr	₹130 Cr	-₹163 Cr	₹258 Cr	-22.6%

🟢 Revenue has grown at 13.5% a year over 3 years.

🟢 EBITDA has grown at 11.3% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 13.4% over 3 years.

🟢 PAT (Net Profit) has grown at 16.6% a year over 3 years.

🟢 EPS has grown at 18.2% a year over 3 years.

🔴 ROE has fallen from 15.3% to 9.5% over 3 years (-5.8 pts).

🔴 ROCE has fallen from 17.3% to 14.4% over 3 years (-2.9 pts).

🟢 Total Debt has shrunk at 13.5% a year over 3 years.

🔴 Free Cash Flow has shrunk at 22.6% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹8,550 Cr

Total Liabilities

₹3,324 Cr

Total Debt

₹1,521 Cr

Cash & Equivalents

₹806 Cr

Operating Cash Flow

₹876 Cr

Capex

-₹618 Cr

Shareholding (proxy)

Institutional Holding

17.4%

Insider Holding

62.2%

Corporate Actions

Dividend Rate

₹0.55

Ex-Dividend Date

15 Sept 2026

Analyst Consensus

Recommendations

6 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹265

+14.5% vs CMP

Target Range

₹249 – ₹285

Peer Comparison

Company	P/E	ROE
BOSCH LIMITED	56.9x	15.9%
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TVS MOTOR COMPANY LTD	56.8x	35.8%
EICHER MOTORS LTD	34.7x	23.0%

Recent News

1 positive3 mixed2 general

Belrise Industries approves ₹20,000 million fund raise via QIP

scanx.trade, 18 OctFunding

🟡Mixed / dependsNew funding changes the capital structure. Debt raises leverage; an equity raise dilutes existing holders.

Jefferies raises Belrise Industries target price, sees 18% upside on strong demand, business expansion

The Economic Times, 18 AugCapacity

🟡Mixed / dependsCapacity additions can raise revenue over two to three years, but the capital spend usually pressures free cash flow first. Worth checking whether the capex is funded from operations or from borrowing.

Belrise Industries Ltd Dividend History, Yield & Record Date

INDmoney, 09 OctCapital return

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

Belrise Industries share price gains after ₹1,200 crore QIP launch

Livemint, 15 JulPrice 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.

Belrise Industries Ltd Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 29 Aug

If EPS Growth Is Important To You, Belrise Industries (NSE:BELRISE) Presents An Opportunity

Simply Wall Street, 28 May

Watch Items

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

DalalBaazaar Thesis

🟡Business QualityAdequate10.5/20

🟢Financial HealthStrong16.4/20

🟢GrowthStrong16.1/20

🔴ProfitabilityWeak5.8/15

🟡ValuationFair8.1/15

🟡RiskModerate5.9/10

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself.

This thesis breaks if

✓Revenue growth stays above 10% a year13.5% CAGR
✓EBITDA margin holds above 11%13.4%
✓Free cash flow remains positive₹258 Cr
✓Debt / EBITDA stays below 2x1.2x
✓ROCE stays above 11%14.4%