Filtra Consultants and Engineers Limited

Industrials — Pollution & Treatment Controls · BSE

₹64.40₹0.00 (0.00%)

DalalBaazaar Score

47 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Very High

Driven by high debt relative to equity, negative free cash flow, 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 Filtra Consultants and Engineers Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Filtra Consultants and Engineers Limited engages in the manufacturing and trading of water treatment systems in India.

IndustryPollution & Treatment Controls

SectorIndustrials

Employees55

Annual revenue₹98 Cr

How does it make money?

Turns over ₹98 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹5 left at the operating level before interest, tax and depreciation. Each of its 55 employees supports ₹1.78 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.78 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?Some evidence

ROCE of 18.4% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE15.2%

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 +8% while net margin moved +0% 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+8%

Margin effect+0%

DalalBaazaar Score

47/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue CAGR of only 2.5% — barely ahead of inflation
✗ Profit CAGR of only 2.7%

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

61/ 100

Fair

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

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

18.9x

3Y Median

19.4x

40 monthly readings · mean 18.9x · range 9.7x–29.1x

Sector Median

88.8x

median of 3 sector peers

🟡Currently trading close to its 3y median of 19.4x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 79% below the peer median of 88.8x.

vs. its own history

Fair

19.4x median over 40 months · -2%

vs. sector peers

Cheap

88.8x median of 3 peers · -79%

vs. generic bands

Fair

15x–35x

EV/EBITDA

14.6x

PEG

7.08

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Return on capital is falling
ROCE has declined from 21.9% to 18.4% — often a sign of competition or overexpansion.

Red Flags

6 items require attention · 3 high · 3 watch

🔴Debt has risen sharplyFinancial
Total debt is up 385% over 3 years, from ₹0 Cr to ₹1 Cr.
🔴High leverageFinancial
Debt/Equity of 4.93x — earnings must service borrowings before shareholders see anything.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹1 Cr in the latest year.
🟡Receivables growing faster than salesFinancial
Receivables up 31% against revenue up 8% — sales are being booked faster than they are collected.
🟡Inventory building faster than salesFinancial
Inventory up 68% against revenue up 8% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 18.4% 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.
Cheaper than its peers
It trades 79% 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?

Leverage amplifies any setback
Debt/Equity of 4.93x. Interest is payable whether or not the business has a good year.
Sales are being booked faster than collected
Receivables are up 31% against revenue up 8%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Growth barely outpaces inflation
Revenue compounding at 2.5% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
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 3%✓ 5.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✗ -₹1 Cr
Profit that never becomes cash eventually stops being profit.
3Revenue growth stays above 4% a year✗ 2.5% CAGR
Latest reported year was 15.5%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
4Debt / EBITDA stays below 2x✓ 0.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 15%✓ 18.4%
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

5 good · 4 neutral · 2 weak

Market Cap

₹71 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

18.9x

Fair

Fairly valued against the generic band

P/B Ratio

2.75x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹3.4

Profitable

Profitable on a per-share basis

ROE

14.9%

Moderate

Moderate capital efficiency

ROCE

18.4%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

4.93x

High

High leverage

Revenue Growth (YoY)

15.5%

Healthy

Healthy top-line growth

Profit Growth (YoY)

123.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

3.11%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

-₹3 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

7.3%

Average

Average asset productivity

Operating Margin

3.4%

Weak

Thin margins leave little room for error

Net Margin

3.8%

Average

Average bottom-line conversion

Current Ratio

2.52

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.86

Market-like

Moves roughly in line with the market

52W Range Position

44%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

63.8 / 63.4

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

55.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹91 Cr	₹100 Cr	₹87 Cr	₹98 Cr	+2.5%
EBITDA	₹5 Cr	₹5 Cr	₹4 Cr	₹5 Cr	-0.9%
EBITDA Margin	5.5%	4.9%	4.8%	5.0%	—
PAT (Net Profit)	₹3 Cr	₹4 Cr	₹3 Cr	₹4 Cr	+2.7%
EPS	₹3.14	₹4.34	₹2.87	—	—
ROE	17.1%	15.1%	12.1%	14.5%	—
ROCE	21.9%	19.7%	17.0%	18.4%	—
Total Debt	₹0 Cr	—	—	₹1 Cr	+69.2%
Free Cash Flow	₹2 Cr	₹3 Cr	₹0 Cr	-₹1 Cr	—

🟢 Revenue has grown at 2.5% a year over 3 years.

🟡 EBITDA has been broadly flat over 3 years (-0.9% a year).

🟡 EBITDA Margin has held roughly flat at 5.0% over 3 years.

🟢 PAT (Net Profit) has grown at 2.7% a year over 3 years.

🔴 ROE has fallen from 17.1% to 14.5% over 3 years (-2.6 pts).

🔴 ROCE has fallen from 21.9% to 18.4% over 3 years (-3.4 pts).

🔴 Total Debt has grown at 69.2% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹2 Cr to -₹1 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹41 Cr

Total Liabilities

₹16 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

-₹1 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

78.6%

Corporate Actions

Dividend Rate

₹2

Ex-Dividend Date

17 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

3 positive3 general

Filtra Consultants schedules 15th AGM on Sep 24, 2026

scanx.trade, 25 Aug

Filtra Consultants and Engineers Limited Appoints Seema C Kakade as A Non-Executive, Independent Director

marketscreener.com, 25 Sept

Paluck Technologies (BSE:544897) - Stock Analysis

Simply Wall Street, 01 Oct

Filtra Consultants FY26 Results: Net profit rises 28% to ₹3.73 crore

scanx.trade, 01 SeptResults

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

Dividend Stocks: Bharat Rasayan, KCP Sugar Sansera Engineering, Acutaas Chemicals — Last Day To Buy Shares To Qualify

NDTV Profit, 16 SeptCapital return

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

Dividend record date alert: Last chance to buy Asian Energy, Bharat Rasayan, IRCON, MSTC, and others | Full list

Livemint, 16 SeptCapital return

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

Watch Items

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

DalalBaazaar Thesis

StrongValuation

MiddlingFinancial Health

WeakBusiness Quality · Growth · Profitability · Risk

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 3 high-severity red flags sit above this conclusion and should be read first.

2 of 5 tripwires tripped — Free cash flow remains positive; Revenue growth stays above 4% a year · see Key things to watch ↑