Bansal Roofing Products Limited

Industrials — Building Products & Equipment · BSE

₹193.00+₹0.85 (+0.44%)

DalalBaazaar Score

71 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

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

In simple words: Strong business and financial position, 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, 8:27 pm

Understanding the Business

Company site ↗

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

What does this company do?

Bansal Roofing Products Limited engages in the design, engineering, manufacturing, supply, and erection of pre-engineered steel buildings in India and internationally.

IndustryBuilding Products & Equipment

SectorIndustrials

Employees53

Annual revenue₹154 Cr

How does it make money?

Turns over ₹154 Cr a year. Of every ₹100 of sales, about ₹7 reaches shareholders as profit, with ₹10 left at the operating level before interest, tax and depreciation. Each of its 53 employees supports ₹2.91 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.91 Cr

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., SIEMENS LTD, ABB INDIA 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?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 32.5%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 25.0% against a peer median of 15.2% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE15.2%

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +66% while net margin moved +52% 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+66%

Margin effect+52%

DalalBaazaar Score

71/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.33 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ High leverage magnifies any downturn in earnings

Quality vs. Valuation

Company Quality

76/ 100

Good

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

Valuation

71/ 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

22.7x

3Y Median

29.6x

40 monthly readings · mean 30.9x · range 19.5x–55.3x

Sector Median

88.8x

median of 3 sector peers

🟢Current valuation is approximately 23% below its 3y median of 29.6x. 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 74% below the peer median of 88.8x.

vs. its own history

Cheap

29.6x median over 40 months · -23%

vs. sector peers

Cheap

88.8x median of 3 peers · -74%

vs. generic bands

Fair

15x–35x

EV/EBITDA

16.1x

PEG

0.63

What's Good / What's Bad

🟢 What's Going Well7

Margins are improving
EBITDA margin is up from 7.6% to 10.3% over 3 years.
Debt is being paid down
Total debt is down 54% over 3 years.
Cash generation is improving
Free cash flow is up 82% over 3 years.
Return on equity is rising
ROE has improved from 17.3% to 25.0%.
Return on capital is rising
ROCE has improved from 20.7% to 32.5%.
High return on capital employed
ROCE of 32.5% is the mark of a business that converts capital into profit efficiently.
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 high

🔴High leverageFinancial
Debt/Equity of 7.03x — earnings must service borrowings before shareholders see anything.
🔴Inventory building faster than salesFinancial
Inventory up 151% against revenue up 66% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 32.5% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from 7.6% to 10.3%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 54% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 23% 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 74% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

Leverage amplifies any setback
Debt/Equity of 7.03x. Interest is payable whether or not the business has a good year.
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
2 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

1Revenue growth stays above 14% a year✓ 18.4% CAGR
Latest reported year was 26.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 8%✓ 10.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹3 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.2x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 29%✓ 32.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

9 / 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

₹254 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

22.7x

Fair

Fairly valued against the generic band

P/B Ratio

6.02x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹8.49

Profitable

Profitable on a per-share basis

ROE

25.0%

Strong

Strong capital efficiency

ROCE

32.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

7.03x

High

High leverage

Revenue Growth (YoY)

26.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

32.0%

Healthy

Profits growing at a healthy clip

Dividend Yield

1.04%

Modest

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

Free Cash Flow

₹3 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

7.7%

Average

Average margins

Net Margin

6.8%

Average

Average bottom-line conversion

Current Ratio

1.57

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.33

Defensive

Steadier than the market

52W Range Position

83%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

172.8 / 154.6

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

63.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹93 Cr	₹106 Cr	₹97 Cr	₹154 Cr	+18.4%
EBITDA	₹7 Cr	₹7 Cr	₹9 Cr	₹16 Cr	+31.3%
EBITDA Margin	7.6%	6.3%	9.6%	10.3%	—
PAT (Net Profit)	₹4 Cr	₹4 Cr	₹6 Cr	₹11 Cr	+36.2%
EPS	₹3.16	₹2.69	₹4.2	₹8	+36.3%
ROE	17.3%	12.8%	16.7%	25.0%	—
ROCE	20.7%	17.3%	22.0%	32.5%	—
Total Debt	₹7 Cr	₹5 Cr	₹5 Cr	₹3 Cr	-23.0%
Free Cash Flow	₹2 Cr	₹2 Cr	-₹1 Cr	₹3 Cr	+22.0%

🟢 Revenue has grown at 18.4% a year over 3 years.

🟢 EBITDA has grown at 31.3% a year over 3 years.

🟢 EBITDA Margin has risen from 7.6% to 10.3% over 3 years (+2.7 pts).

🟢 PAT (Net Profit) has grown at 36.2% a year over 3 years.

🟢 EPS has grown at 36.3% a year over 3 years.

🟢 ROE has risen from 17.3% to 25.0% over 3 years (+7.6 pts).

🟢 ROCE has risen from 20.7% to 32.5% over 3 years (+11.8 pts).

🟢 Total Debt has shrunk at 23.0% a year over 3 years.

🟢 Free Cash Flow has grown at 22.0% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹62 Cr

Total Liabilities

₹20 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹8 Cr

Capex

-₹4 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

76.8%

Corporate Actions

Dividend Rate

₹2

Ex-Dividend Date

03 Sept 2026

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%

Recent News

1 positive2 mixed3 general

Bansal Roofing Products Lower Circuit Today: Price, Data and Peers

Univest, 15 Oct

Bansal Roofing Products wins Rs 8.75 crore order for PEB shed construction

scanx.trade, 31 Jul

Bansal Roofing Products Ltd. Share Price Rise Streak Today

Univest, 12 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.

Bansal Roofing Products Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 30 Aug

Bansal Roofing net profit surges 32% to ₹2.66 crore in Q1FY27

scanx.trade, 10 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Bansal Roofing Products Share Price rise in Capital Goods

Univest, 09 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.

Watch Items

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

DalalBaazaar Thesis

StrongFinancial Health · Growth · Profitability

MiddlingBusiness Quality · Valuation

WeakRisk

Points for each in the Score ↑

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. 2 high-severity red flags sit above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑