Emiac Technologies Limited

Communication Services — Advertising Agencies · BSE

₹83.95+₹0.02 (+0.02%)

DalalBaazaar Score

65 / 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, 6:59 pm

Understanding the Business

Company site ↗

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

What does this company do?

Emiac Technologies Limited operates as a digital marketing and content marketing company in India. It develops digital growth solutions, including SEO, content marketing, PR, link building, and business automation.

IndustryAdvertising Agencies

SectorCommunication Services

Annual revenue₹20 Cr

How does it make money?

Turns over ₹20 Cr a year. Of every ₹100 of sales, about ₹21 reaches shareholders as profit, with ₹30 left at the operating level before interest, tax and depreciation.

Who are its competitors?

The closest listed comparisons in its industry are BHARTI AIRTEL LIMITED, VODAFONE IDEA 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 62.3%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 23.0% against a peer median of 20.2% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE20.2%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 2 years revenue moved +575% while net margin moved +61% 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+575%

Margin effect+61%

DalalBaazaar Score

65/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ High leverage magnifies any downturn in earnings
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

74/ 100

Good

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

Valuation

60/ 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

25.8x

Sector Median

21.7x

median of 2 sector peers

⚠️Against its sector it trades 18% above the peer median of 21.7x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Fair

21.7x median of 2 peers · +18%

vs. generic bands

Fair

15x–35x

EV/EBITDA

16.5x

PEG

0.11

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 20.5% to 30.0% over 2 years.
Cash generation is improving
Free cash flow is up 601% over 2 years.
High return on capital employed
ROCE of 62.3% is the mark of a business that converts capital into profit efficiently.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 82.3% to 46.7% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 93.0% to 62.3% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 3 high

🔴Debt has risen sharplyFinancial
Total debt is up 2667% over 2 years, from ₹0 Cr to ₹0 Cr.
🔴High leverageFinancial
Debt/Equity of 1.80x — earnings must service borrowings before shareholders see anything.
🔴Receivables growing faster than salesFinancial
Receivables up 903% against revenue up 575% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 62.3% 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 20.5% to 30.0%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

Leverage amplifies any setback
Debt/Equity of 1.80x. Interest is payable whether or not the business has a good year.
Sales are being booked faster than collected
Receivables are up 903% against revenue up 575%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 82.3% to 46.7%. 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.
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.

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

1Revenue growth stays above 120% a year✓ 159.8% CAGR
Latest reported year was 273.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 28%✓ 30.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✓ ₹1 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 0.0x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 59%✓ 62.3%
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 · 4 neutral · 1 weak

Market Cap

₹103 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

25.8x

Fair

Fairly valued against the generic band

P/B Ratio

3.38x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹3.26

Profitable

Profitable on a per-share basis

ROE

23.0%

Strong

Strong capital efficiency

ROCE

62.3%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.80x

High

High leverage

Revenue Growth (YoY)

273.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

404.2%

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

₹3 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

ROA

12.3%

Good

Assets are working hard

Operating Margin

-6.9%

Weak

Thin margins leave little room for error

Net Margin

11.2%

Good

Strong bottom-line conversion

Current Ratio

3.46

Comfortable

Healthy short-term liquidity

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

89.8 / 92.2

Bearish alignment (short < long)

RSI (14)

19.9

Oversold zone

Financial Trend (3-Year)

Metric	FY23	FY24	FY25	2Y CAGR
Revenue	₹3 Cr	₹5 Cr	₹20 Cr	+159.8%
EBITDA	₹1 Cr	₹1 Cr	₹6 Cr	+214.3%
EBITDA Margin	20.5%	22.6%	30.0%	—
PAT (Net Profit)	₹0 Cr	₹1 Cr	₹4 Cr	+229.7%
ROE	82.3%	63.9%	46.7%	—
ROCE	93.0%	78.5%	62.3%	—
Total Debt	₹0 Cr	₹0 Cr	₹0 Cr	+426.0%
Free Cash Flow	₹0 Cr	₹0 Cr	₹1 Cr	+164.8%

🟢 Revenue has grown at 159.8% a year over 2 years.

🟢 EBITDA has grown at 214.3% a year over 2 years.

🟢 EBITDA Margin has risen from 20.5% to 30.0% over 2 years (+9.5 pts).

🟢 PAT (Net Profit) has grown at 229.7% a year over 2 years.

🔴 ROE has fallen from 82.3% to 46.7% over 2 years (-35.5 pts).

🔴 ROCE has fallen from 93.0% to 62.3% over 2 years (-30.7 pts).

🔴 Total Debt has grown at 426.0% a year over 2 years.

🟢 Free Cash Flow has grown at 164.8% a year over 2 years.

Balance Sheet & Cash Flow — FY2025

Total Assets

₹17 Cr

Total Liabilities

₹8 Cr

Cash & Equivalents

₹5 Cr

Operating Cash Flow

₹1 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

85.9%

Peer Comparison

Company	P/E	ROE
BHARTI AIRTEL LIMITED	39.8x	20.2%
VODAFONE IDEA LIMITED	3.6x	—

Recent News

6 general

Emiac Technologies Ltd Share Price

Business Today, 15 Oct

Compare with FIRSTOBJECT TECH.

Equitymaster, 18 Oct

Emiac Technologies Share Price near 52-week low, RSI 39.62

Univest, 08 Oct

Compare with

Equitymaster, 18 Oct

Compare with

Equitymaster, 17 Oct

Compare with

Equitymaster, 17 Oct

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

StrongBusiness Quality · Growth · Profitability

MiddlingFinancial Health · Valuation

WeakRisk

Points for each in the Score ↑

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

All 5 tripwires holding · see Key things to watch ↑