Goldline Pharmaceutical Limited

Healthcare — Drug Manufacturers - Specialty & Generic · BSE

₹32.48+₹0.92 (+2.92%)

DalalBaazaar Score

76 / 100

🟢 Good

Verdict

REASONABLE

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing obvious stands out as stretched — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:48 pm

Understanding the Business

Company site ↗

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

What does this company do?

Goldline Pharmaceutical Limited engages in marketing of pharmaceutical products under the Goldline brand in India. It offers goldline pharma, goldline cardinal, goldline aayushman, goldline inLife, and goldline wellness.

IndustryDrug Manufacturers - Specialty & Generic

SectorHealthcare

Employees126

Annual revenue₹28 Cr

How does it make money?

Turns over ₹28 Cr a year. Of every ₹100 of sales, about ₹10 reaches shareholders as profit, with ₹22 left at the operating level before interest, tax and depreciation. Each of its 126 employees supports ₹22.3 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹22.3 lakh

Who are its competitors?

The closest listed comparisons in its industry are SUN PHARMACEUTICAL IND L, DR. REDDY S LABORATORIES, CIPLA LTD, DIVI S LABORATORIES LTD. 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 39.3%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 33.6% against a peer median of 14.5% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

Peer median ROE14.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 2 years revenue moved +41% while net margin moved +681% 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+41%

Margin effect+681%

DalalBaazaar Score

76/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

84/ 100

Excellent

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

Valuation

85/ 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

11.0x

Sector Median

33.3x

median of 4 sector peers

🟢Against its sector it trades 67% below the peer median of 33.3x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

33.3x median of 4 peers · -67%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

6.8x

PEG

0.05

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from 11.7% to 21.6% over 2 years.
Cash generation is improving
Free cash flow is up 65% over 2 years.
Return on equity is rising
ROE has improved from 4.4% to 27.4%.
Return on capital is rising
ROCE has improved from 18.6% to 39.3%.
High return on capital employed
ROCE of 39.3% is the mark of a business that converts capital into profit efficiently.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

1 item require attention · 1 high

🔴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.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 39.3% 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 11.7% to 21.6%. 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 67% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

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 14% a year✓ 18.9% CAGR
Latest reported year was 19.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 20%✓ 21.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Interest cover stays above 3x✓ 3.1x
How much operating profit can fall before interest stops being comfortably covered.
4Free cash flow remains positive✓ ₹2 Cr
Profit that never becomes cash eventually stops being profit.
5Debt / EBITDA stays below 2x✓ 1.8x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.

Investment Checklist

10 / 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

7 good · 4 neutral · 0 weak

Market Cap

₹31 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

11.0x

Cheap

Cheap against the generic band

P/B Ratio

1.80x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹2.95

Profitable

Profitable on a per-share basis

ROE

33.6%

Strong

Strong capital efficiency

ROCE

39.3%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.64x

Moderate

Moderate leverage

Revenue Growth (YoY)

19.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

56.9%

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

₹1 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

ROA

15.5%

Good

Assets are working hard

Operating Margin

29.1%

Good

Healthy core-business profitability

Net Margin

13.2%

Good

Strong bottom-line conversion

Current Ratio

2.15

Comfortable

Healthy short-term liquidity

52W Range Position

13%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

32.4 / 36.7

Bearish alignment (short < long)

RSI (14)

50.0

Neutral momentum

Financial Trend (3-Year)

Metric	FY23	FY24	FY25	2Y CAGR
Revenue	₹20 Cr	₹24 Cr	₹28 Cr	+18.9%
EBITDA	₹2 Cr	₹4 Cr	₹6 Cr	+61.6%
EBITDA Margin	11.7%	17.9%	21.6%	—
PAT (Net Profit)	₹0 Cr	₹2 Cr	₹3 Cr	+232.3%
ROE	4.4%	23.0%	27.4%	—
ROCE	18.6%	31.4%	39.3%	—
Total Debt	₹11 Cr	₹11 Cr	₹11 Cr	+0.9%
Free Cash Flow	₹1 Cr	₹2 Cr	₹2 Cr	+28.4%

🟢 Revenue has grown at 18.9% a year over 2 years.

🟢 EBITDA has grown at 61.6% a year over 2 years.

🟢 EBITDA Margin has risen from 11.7% to 21.6% over 2 years (+9.9 pts).

🟢 PAT (Net Profit) has grown at 232.3% a year over 2 years.

🟢 ROE has risen from 4.4% to 27.4% over 2 years (+23.0 pts).

🟢 ROCE has risen from 18.6% to 39.3% over 2 years (+20.7 pts).

🟡 Total Debt has been broadly flat over 2 years (0.9% a year).

🟢 Free Cash Flow has grown at 28.4% a year over 2 years.

Balance Sheet & Cash Flow — FY2025

Total Assets

₹26 Cr

Total Liabilities

₹16 Cr

Cash & Equivalents

₹1 Cr

Operating Cash Flow

₹2 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

79.9%

Peer Comparison

Company	P/E	ROE
SUN PHARMACEUTICAL IND L	34.9x	14.5%
DR. REDDY S LABORATORIES	31.0x	8.8%
CIPLA LTD	31.8x	9.8%
DIVI S LABORATORIES LTD	83.0x	17.5%

Recent News

2 mixed4 general

Compare with OMNITEX IND.

Equitymaster, 16 Oct

Goldline Pharmaceutical share price locked in 5% lower circuit after bumper debut

Livemint, 19 MayPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Goldline Pharmaceutical Share Price Locked in 5% Lower Circuit After 32% Listing Debut: What Happened

Univest, 19 MayPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

GOLDLINE PHARMACEUTICAL LIMITE Share Price - Live GLPL Stock Price & Chart

Upstox, 19 May

Compare with CHANDRA PRAB

Equitymaster, 15 Oct

Goldline Pharmaceutical IPO booked over 211x so far on third bidding day; check GMP. Should you invest in this SME IPO?

Livemint, 14 May

Watch Items

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

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability · 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. 1 high-severity red flag sits above this conclusion and should be read first.

All 5 tripwires holding · see Key things to watch ↑