Ganesh Benzoplast Limited

Basic Materials — Specialty Chemicals · NSE

₹93.70+₹1.23 (+1.33%)

DalalBaazaar Score

65 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

Driven by micro-cap size, which brings thin liquidity, 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, 6:10 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 Ganesh Benzoplast Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Ganesh Benzoplast Limited engages in the manufactures and sells specialty chemicals, food preservatives, and industrial lubricants in India and internationally. It operates through two segments, Liquid Storage Tanks and Chemical.

IndustrySpecialty Chemicals

SectorBasic Materials

Employees194

Annual revenue₹411 Cr

How does it make money?

Turns over ₹411 Cr a year. Of every ₹100 of sales, about ₹18 reaches shareholders as profit, with ₹29 left at the operating level before interest, tax and depreciation. Each of its 194 employees supports ₹2.12 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin29.5%

Net margin17.7%

Revenue / employee₹2.12 Cr

Who are its competitors?

The closest listed comparisons in its industry are ASIAN PAINTS LIMITED, PIDILITE INDUSTRIES LTD, SRF LTD, UPL LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

ASIAN PAINTS LIMITEDP/E 46.9x · ROE 22.3%

PIDILITE INDUSTRIES LTDP/E 57.8x · ROE 24.4%

SRF LTDP/E 33.8x · ROE 15.4%

UPL LIMITEDP/E 21.5x · ROE 6.1%

What is its competitive advantage?Little sign of one

Returns on capital of 14.8% 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.

ROCE14.8%

ROE11.9%

Peer median ROE22.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -2% while net margin moved +35% 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-2%

Margin effect+35%

DalalBaazaar Score

65/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 0.8% a year
• Profit CAGR of 9.7%
✗ Profit fell 3.2% in the latest year

Quality vs. Valuation

Company Quality

62/ 100

Average

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

Valuation

88/ 100

Cheap

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

9.4x

3Y Median

16.5x

40 monthly readings · mean 16.1x · range 9.2x–23.2x

Sector Median

40.4x

median of 4 sector peers

🟢Current valuation is approximately 43% below its 3y median of 16.5x. 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 77% below the peer median of 40.4x.

vs. its own history

Cheap

16.5x median over 40 months · -43%

vs. sector peers

Cheap

40.4x median of 4 peers · -77%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

9.4x

P/B

1.11x

EV/EBITDA

6.1x

PEG

0.97

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 22.8% to 29.5% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Valuation below its historical average
At 9.4x the stock trades 43% below its own median of 16.5x.
Very low debt
Debt/Equity of 0.12x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention3

Return on equity is falling
ROE has dropped from 15.4% to 11.9% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 17.9% to 14.8% — often a sign of competition or overexpansion.
Receivables growing faster than sales
Receivables are up 119% against revenue growth of -2% — customers are taking longer to pay.

Red Flags

1 item require attention · 1 high

🔴Receivables growing faster than salesFinancial
Receivables up 119% against revenue up -2% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 22.8% to 29.5%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 43% 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 77% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹15 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?

Sales are being booked faster than collected
Receivables are up 119% against revenue up -2%. 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 15.4% to 11.9%. 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
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

1EBITDA margin holds above 27%✓ 29.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✓ ₹15 Cr
Profit that never becomes cash eventually stops being profit.
3Debt / EBITDA stays below 2x✓ 0.6x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4ROCE stays above 12%✓ 14.8%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
5Valuation vs its own median of 16.5x✓ 9.4x today
A re-rating above its own history needs a reason; without one it is just a higher price.

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

6 good · 4 neutral · 1 weak

Market Cap

₹675 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

9.4x

Cheap

Cheap against the generic band

P/B Ratio

1.11x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹10.01

Profitable

Profitable on a per-share basis

ROE

11.9%

Moderate

Moderate capital efficiency

ROCE

14.8%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.12x

Low

Conservative leverage

Revenue Growth (YoY)

22.9%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-3.2%

Falling

Profits are shrinking

Dividend Yield

None

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

Free Cash Flow

₹15 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹93.7

Operating Margin

17.7%

Good

Healthy core-business profitability

Net Margin

16.8%

Good

Strong bottom-line conversion

Current Ratio

1.65

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.06

Defensive

Steadier than the market

52W Range Position

34%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

117.3 / 119.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

20.7

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹421 Cr	₹477 Cr	₹374 Cr	₹411 Cr	-0.8%
EBITDA	₹96 Cr	₹109 Cr	₹124 Cr	₹121 Cr	+8.2%
EBITDA Margin	22.8%	22.8%	33.1%	29.5%	—
PAT (Net Profit)	₹55 Cr	₹61 Cr	₹37 Cr	₹73 Cr	+9.7%
EPS	₹8.57	₹9.07	₹5.2	₹10.09	+5.6%
ROE	15.4%	12.3%	6.9%	11.9%	—
ROCE	17.9%	15.4%	9.5%	14.8%	—
Total Debt	₹62 Cr	₹57 Cr	₹64 Cr	₹76 Cr	+6.9%
Free Cash Flow	-₹3 Cr	₹1 Cr	₹21 Cr	₹15 Cr	—

🟡 Revenue has been broadly flat over 3 years (-0.8% a year).

🟢 EBITDA has grown at 8.2% a year over 3 years.

🟢 EBITDA Margin has risen from 22.8% to 29.5% over 3 years (+6.7 pts).

🟢 PAT (Net Profit) has grown at 9.7% a year over 3 years.

🟢 EPS has grown at 5.6% a year over 3 years.

🔴 ROE has fallen from 15.4% to 11.9% over 3 years (-3.5 pts).

🔴 ROCE has fallen from 17.9% to 14.8% over 3 years (-3.1 pts).

🔴 Total Debt has grown at 6.9% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹3 Cr to ₹15 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹850 Cr

Total Liabilities

₹232 Cr

Total Debt

₹76 Cr

Cash & Equivalents

₹8 Cr

Operating Cash Flow

₹79 Cr

Capex

-₹64 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

54.4%

Peer Comparison

Company	P/E	ROE
ASIAN PAINTS LIMITED	46.9x	22.3%
PIDILITE INDUSTRIES LTD	57.8x	24.4%
SRF LTD	33.8x	15.4%
UPL LIMITED	21.5x	6.1%

Recent News

6 general

Ganesh Benzoplast Lower Circuit Streak: Day 4 Price and Data

Univest, 14 Oct

Ganesh Benzoplast to sell liquid storage, rail logistics businesses for ₹1,154 crore

CNBC TV18, 29 Sept

Is Ganesh Benzoplast Limited's (NSE:GANESHBE) Recent Stock Performance Influenced By Its Fundamentals In Any Way?

Simply Wall Street, 10 Feb

Ganesh Benzoplast vs Nifty 50: Share Price Performance Compared

Univest, 24 Sept

Ganesh Benzoplast sells storage, rail units to Cisternina for ₹1,154 crore

scanx.trade, 29 Sept

Stocks to Watch Today: GSPL Transmission, Avalon Tech, Elevate Campuses, Adroit Industries, Power Mech,...

Moneycontrol.com, 30 Sept

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

🟢Business QualityStrong13/20

🟢Financial HealthStrong17.8/20

🔴GrowthWeak7.8/20

🟡ProfitabilityModerate8.2/15

🟢ValuationAttractive13.2/15

🟡RiskModerate5.2/10

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 1 high-severity red flag sits above this conclusion and should be read first.

This thesis breaks if

✓EBITDA margin holds above 27%29.5%
✓Free cash flow remains positive₹15 Cr
✓Debt / EBITDA stays below 2x0.6x
✓ROCE stays above 12%14.8%
✓Valuation vs its own median of 16.5x9.4x today