Greenchef Appliances Limited

Sector n/a · NSE

₹75.40−₹2.95 (−3.77%)

DalalBaazaar Score

33 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

Driven by moderate debt load, negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:02 pm

Understanding the Business

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

How does it make money?

Turns over ₹387 Cr a year. Of every ₹100 of sales, about ₹-2 reaches shareholders as profit, with ₹0 left at the operating level before interest, tax and depreciation.

What is its competitive advantage?Little sign of one

Returns on capital of -3.4% 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.

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +18% while net margin moved -171% 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+18%

Margin effect-171%

DalalBaazaar Score

33/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative
✗ ROE has fallen by 25.1 points over the period

Quality vs. Valuation

Company Quality

31/ 100

Weak

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

Valuation

18/ 100

Expensive

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

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

No P/E available

EV/EBITDA

674.3x

PEG

—

What's Good / What's Bad

🟢 What's Going Well0

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

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 17.3% to -7.8% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 20.8% to -3.4% — often a sign of competition or overexpansion.

Red Flags

7 items require attention · 4 high · 3 watch

🔴Debt has risen sharplyFinancial
Total debt is up 54% over 3 years, from ₹66 Cr to ₹101 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only -0.6x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹9 Cr in the latest reported year.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 6.2 points, from 6.3% to 0.1%.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 2.8x to -0.6x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹5 Cr in the latest year.
🟡Receivables growing faster than salesFinancial
Receivables up 40% against revenue up 18% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

No clear supporting case emerges from the available numbers.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 6.3% to 0.1%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
The debt load needs earnings to hold up
Debt is 247.2x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Sales are being booked faster than collected
Receivables are up 40% against revenue up 18%. 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 5.7% 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.
Returns on shareholder capital are falling
ROE has dropped from 17.3% to -7.8%. 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.

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

1EBITDA margin holds above -2%✓ 0.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 247.2x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Free cash flow remains positive✗ -₹5 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✗ -0.6x
How much operating profit can fall before interest stops being comfortably covered.
5Revenue growth stays above 4% a year✓ 5.7% CAGR
Latest reported year was 3.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.

Investment Checklist

4 / 9 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
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

0 good · 7 neutral · 4 weak

Market Cap

₹175 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not available

No data

Source didn't return this field

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

Not available

No data

Source didn't return this field

ROE

-7.8%

Weak

Weak capital efficiency

ROCE

-3.4%

Weak

Low return on total capital employed

Debt/Equity

0.91x

Moderate

Moderate leverage

Revenue Growth (YoY)

3.9%

Modest

Modest growth

Profit Growth (YoY)

-246.9%

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

-₹5 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Gross Margin

30.1%

Proxy

Operating margin unavailable — showing gross margin instead

Net Margin

-2.3%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.08

Adequate

Adequate, but no real cushion

Technical Snapshot

SMA 20 / SMA 50

69.0 / 62.7

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

29.7

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹328 Cr	₹331 Cr	₹373 Cr	₹387 Cr	+5.7%
EBITDA	₹21 Cr	₹13 Cr	₹16 Cr	₹0 Cr	-72.9%
EBITDA Margin	6.3%	4.0%	4.3%	0.1%	—
PAT (Net Profit)	₹10 Cr	₹5 Cr	₹6 Cr	-₹9 Cr	—
EPS	₹4.5	₹2.22	₹2.56	—	—
ROE	17.3%	4.2%	4.9%	-7.8%	—
ROCE	20.8%	7.8%	9.0%	-3.4%	—
Total Debt	₹66 Cr	₹121 Cr	₹85 Cr	₹101 Cr	+15.5%
Free Cash Flow	₹4 Cr	-₹58 Cr	₹4 Cr	-₹5 Cr	—

🟢 Revenue has grown at 5.7% a year over 3 years.

🔴 EBITDA has shrunk at 72.9% a year over 3 years.

🔴 EBITDA Margin has fallen from 6.3% to 0.1% over 3 years (-6.2 pts).

🔴 PAT (Net Profit) has turned negative, from ₹10 Cr to -₹9 Cr.

🔴 ROE has fallen from 17.3% to -7.8% over 3 years (-25.1 pts).

🔴 ROCE has fallen from 20.8% to -3.4% over 3 years (-24.2 pts).

🔴 Total Debt has grown at 15.5% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹4 Cr to -₹5 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹309 Cr

Total Liabilities

₹197 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹17 Cr

Capex

-₹22 Cr

Recent News

3 mixed3 general

Greenchef Appliances Ltd Key Financial Ratios – Valuation, Profitability & More

Value Research, 02 Sept

Greenchef Appliances Share Price Rises 9.93% to Rs 59.25

Univest, 25 AugPrice 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.

LPG crisis: TTK Prestige, other household appliances firms' shares rise for 3rd day as sales of induction...

Moneycontrol.com, 12 MarPrice 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.

SINGERIND Stock Price and Chart — NSE:SINGERIND

TradingView, 19 Mar

Greenchef Appliances Share Price Rise and Market Cap View

Univest, 09 SeptPrice 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.

Greenchef Appliances IPO: Here’s what you need to know

Moneycontrol.com, 21 Jun

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
Sector/industry classification unavailable — verify manually for peer comparison.
3 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
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

MiddlingValuation

WeakBusiness Quality · Financial Health · 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. 4 high-severity red flags sit above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Free cash flow remains positive; Interest cover stays above 3x · see Key things to watch ↑