Bilcare Limited

Consumer Cyclical — Packaging & Containers · NSE

₹90.66−₹1.85 (−2.00%)

DalalBaazaar Score

35 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

Driven by high debt relative to equity, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, with both sales and profits growing well. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:59 pm

Understanding the Business

Company site ↗

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

What does this company do?

Bilcare Limited provides pharmaceutical packaging research solutions in India and internationally.

IndustryPackaging & Containers

SectorConsumer Cyclical

Employees54

Annual revenue₹723 Cr

How does it make money?

Turns over ₹723 Cr a year. Of every ₹100 of sales, about ₹0 reaches shareholders as profit, with ₹11 left at the operating level before interest, tax and depreciation. Each of its 54 employees supports ₹13.38 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹13.38 Cr

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.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 8.7% 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.

Peer median ROE25.9%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -25% while net margin moved -85% 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-25%

Margin effect-85%

DalalBaazaar Score

35/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 9.2% a year
✗ Profit has declined at 51.4% a year

Quality vs. Valuation

Company Quality

29/ 100

Weak

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

Valuation

73/ 100

Cheap

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

Optically cheap, but the underlying business scores poorly. Cheap-and-weak is what a value trap looks like from the outside — the low price may be deserved.

Historical Valuation

Current P/E

27.6x

Sector Median

69.2x

median of 4 sector peers

🟢Against its sector it trades 60% below the peer median of 69.2x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

69.2x median of 4 peers · -60%

vs. generic bands

Fair

15x–35x

EV/EBITDA

10.7x

PEG

—

What's Good / What's Bad

🟢 What's Going Well2

Margins are improving
EBITDA margin is up from 6.7% to 10.7% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.

🔴 What Needs Attention1

Return on capital is falling
ROCE has declined from 20.2% to 8.7% — often a sign of competition or overexpansion.

Red Flags

4 items require attention · 3 high · 1 watch

🔴High leverageFinancial
Debt/Equity of 8.37x — earnings must service borrowings before shareholders see anything.
🔴Thin interest coverageFinancial
Operating profit covers interest only 0.7x — little room if earnings dip.
🔴Inventory building faster than salesFinancial
Inventory up 37% against revenue up -25% — stock may not be moving.
🟡Profit is decliningFinancial
Net profit is down 89% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 6.7% to 10.7%. 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 60% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 8.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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.
Several serious flags at once
3 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

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

1EBITDA margin holds above 9%✓ 10.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 8.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Interest cover stays above 3x✗ 0.7x
How much operating profit can fall before interest stops being comfortably covered.
4Free cash flow remains positive✓ ₹117 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 8%✓ 8.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 10 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

Price history

Quick Metrics

5 good · 4 neutral · 2 weak

Market Cap

₹213 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

27.6x

Fair

Fairly valued against the generic band

P/B Ratio

1.08x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹3.29

Profitable

Profitable on a per-share basis

ROE

0.9%

Weak

Weak capital efficiency

ROCE

8.7%

Moderate

Moderate return on the capital in the business

Debt/Equity

8.37x

High

High leverage

Revenue Growth (YoY)

21.2%

Healthy

Healthy top-line growth

Profit Growth (YoY)

320.6%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹117 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

14.6%

Average

Average margins

Net Margin

1.5%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.21

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.53

Defensive

Steadier than the market

52W Range Position

20%

Mid-range

Technical Snapshot

RSI (14)

29.9

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹965 Cr	₹738 Cr	₹776 Cr	₹723 Cr	-9.2%
EBITDA	₹65 Cr	₹56 Cr	₹64 Cr	₹77 Cr	+6.0%
EBITDA Margin	6.7%	7.6%	8.3%	10.7%	—
PAT (Net Profit)	₹15 Cr	-₹33 Cr	-₹1 Cr	₹2 Cr	-51.4%
EPS	₹6.39	₹-14.12	₹-0.32	₹0.73	-51.5%
ROE	2.8%	-15.8%	-0.4%	0.9%	—
ROCE	20.2%	1.3%	6.5%	8.7%	—
Total Debt	₹639 Cr	₹756 Cr	₹689 Cr	₹620 Cr	-1.0%
Free Cash Flow	-₹7 Cr	-₹57 Cr	₹64 Cr	₹117 Cr	—

🔴 Revenue has shrunk at 9.2% a year over 3 years.

🟢 EBITDA has grown at 6.0% a year over 3 years.

🟢 EBITDA Margin has risen from 6.7% to 10.7% over 3 years (+4.0 pts).

🔴 PAT (Net Profit) has shrunk at 51.4% a year over 3 years.

🔴 EPS has shrunk at 51.5% a year over 3 years.

🔴 ROE has fallen from 2.8% to 0.9% over 3 years (-2.0 pts).

🔴 ROCE has fallen from 20.2% to 8.7% over 3 years (-11.4 pts).

🟡 Total Debt has been broadly flat over 3 years (-1.0% a year).

🟢 Free Cash Flow has turned positive, from -₹7 Cr to ₹117 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹843 Cr

Total Liabilities

₹769 Cr

Cash & Equivalents

₹5 Cr

Operating Cash Flow

₹128 Cr

Capex

-₹11 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

66.6%

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

1 mixed1 negative4 general

Bilcare Limited (BI.NS) Stock Price, News, Quote & History

Yahoo! Finance Canada, 16 Oct

Compare Bilcare with

Equitymaster, 16 Oct

Bilcare Ltd is Rated Sell by MarketsMOJO

MarketsMojo, 17 Oct

Bilcare Ltd. Share Price Up 10%: Price, Valuation Analysis

Univest, 18 AugPrice 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.

Bilcare Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 30 Aug

Bilcare Q1FY26 Results: Net profit falls 16% YoY to ₹13.00 crore

scanx.trade, 15 AugResults

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

Watch Items

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

MiddlingFinancial Health · Valuation

WeakBusiness Quality · Growth · Profitability · Risk

Points for each in the Score ↑

Cheap, but for a reason

The low price is the whole case here, and the business underneath scores poorly. Cheap-and-weak is what a value trap looks like from the outside — it needs a specific reason the numbers are about to improve, not just the observation that they are low. 3 high-severity red flags sit above this conclusion and should be read first.

2 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Interest cover stays above 3x · see Key things to watch ↑