Growington Ventures India Limited

Consumer Defensive — Food Distribution · BSE

₹0.52−₹0.05 (−8.77%)

DalalBaazaar Score

58 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, falling profits.

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, 6:09 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

Growington Ventures India Limited engages in the import and exporting of fruits in India.

IndustryFood Distribution

SectorConsumer Defensive

Annual revenue₹132 Cr

How does it make money?

Turns over ₹132 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.

EBITDA margin5.2%

Net margin3.5%

Who are its competitors?

The closest listed comparisons in its industry are HINDUSTAN UNILEVER LTD., ITC LTD, NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

HINDUSTAN UNILEVER LTD.P/E 42.5x · ROE 21.5%

ITC LTDP/E 16.6x · ROE 27.4%

NESTLE INDIA LIMITEDP/E 59.8x · ROE 79.9%

BRITANNIA INDUSTRIES LTDP/E 44.1x · ROE 51.0%

What is its competitive advantage?Little sign of one

Returns on capital of 9.0% 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.

ROCE9.0%

ROE6.3%

Peer median ROE51.0%

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 +572% while net margin moved -45% 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+572%

Margin effect-45%

DalalBaazaar Score

58/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ ROE of 6.3% is weak

Quality vs. Valuation

Company Quality

55/ 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

6.5x

3Y Median

52.5x

40 monthly readings · mean 114.6x · range 6.3x–467.8x

Sector Median

43.3x

median of 4 sector peers

🟢Current valuation is approximately 88% below its 3y median of 52.5x. 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 85% below the peer median of 43.3x.

vs. its own history

Cheap

52.5x median over 40 months · -88%

vs. sector peers

Cheap

43.3x median of 4 peers · -85%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

6.5x

P/B

0.46x

EV/EBITDA

5.7x

PEG

0.12

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well3

Valuation below its historical average
At 6.5x the stock trades 88% below its own median of 52.5x.
Very low debt
Debt/Equity of 0.11x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention4

Margins are compressing
EBITDA margin has slipped from 9.7% to 5.2% over 3 years.
Free cash flow is negative
The business is not currently covering its capital spending from operations.
Receivables growing faster than sales
Receivables are up 1023% against revenue growth of 572% — customers are taking longer to pay.
Inventory building faster than sales
Inventory is up 2087% against revenue growth of 572% — stock may not be moving.

Red Flags

6 items require attention · 4 high · 2 watch

🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴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.
🔴Receivables growing faster than salesFinancial
Receivables up 1023% against revenue up 572% — sales are being booked faster than they are collected.
🔴Inventory building faster than salesFinancial
Inventory up 2087% against revenue up 572% — stock may not be moving.
🟡Margins are compressingFinancial
EBITDA margin is down 4.5 points over 3 years.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 137% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 88% 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 85% 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?

Margins are being competed away
EBITDA margin has fallen from 9.7% to 5.2%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Sales are being booked faster than collected
Receivables are up 1023% against revenue up 572%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
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.
Several serious flags at once
4 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

1Revenue growth stays above 67% a year✓ 88.7% CAGR
Latest reported year was 190.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 3%✓ 5.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹47 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.2x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 8%✓ 9.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

5 / 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 · 3 neutral · 3 weak

Market Cap

₹33 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

6.5x

Cheap

Cheap against the generic band

P/B Ratio

0.46x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹0.08

Profitable

Profitable on a per-share basis

ROE

6.3%

Weak

Weak capital efficiency

ROCE

9.0%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.11x

Low

Conservative leverage

Revenue Growth (YoY)

190.3%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-57.1%

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

-₹47 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹0.52

Operating Margin

5.6%

Average

Average margins

Net Margin

2.6%

Weak

Very little revenue reaches the bottom line

Current Ratio

3.33

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.88

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

0.7 / 0.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

20.9

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹20 Cr	₹34 Cr	₹64 Cr	₹132 Cr	+88.7%
EBITDA	₹2 Cr	₹2 Cr	₹5 Cr	₹7 Cr	+53.1%
EBITDA Margin	9.7%	6.7%	7.3%	5.2%	—
PAT (Net Profit)	₹1 Cr	₹1 Cr	₹2 Cr	₹5 Cr	+54.3%
EPS	₹0.05	₹0.04	₹0.09	₹0.08	+20.4%
ROE	7.3%	6.1%	11.8%	6.3%	—
ROCE	10.8%	11.9%	19.9%	9.0%	—
Total Debt	—	₹3 Cr	₹9 Cr	₹8 Cr	—
Free Cash Flow	-₹10 Cr	-₹5 Cr	-₹3 Cr	-₹47 Cr	—

🟢 Revenue has grown at 88.7% a year over 3 years.

🟢 EBITDA has grown at 53.1% a year over 3 years.

🔴 EBITDA Margin has fallen from 9.7% to 5.2% over 3 years (-4.5 pts).

🟢 PAT (Net Profit) has grown at 54.3% a year over 3 years.

🟢 EPS has grown at 20.4% a year over 3 years.

🟡 ROE has held roughly flat at 6.3% over 3 years.

🔴 ROCE has fallen from 10.8% to 9.0% over 3 years (-1.8 pts).

Balance Sheet & Cash Flow — FY2026

Total Assets

₹104 Cr

Total Liabilities

₹31 Cr

Total Debt

₹8 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

-₹47 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

29.9%

Peer Comparison

Company	P/E	ROE
HINDUSTAN UNILEVER LTD.	42.5x	21.5%
ITC LTD	16.6x	27.4%
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%

Recent News

1 negative5 general

Growington Ventures India Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 06 Oct

Growington Ventures India - 9 penny stocks surge up to 430% in 3 months; 2 turn multibaggers. Do you own any?

The Economic Times, 22 Mar

Growington Ventures India consolidated net profit declines 14.95% in the June 2026 quarter

Business Standard, 06 AugResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Growington Ventures AGM resolutions pass with majority

scanx.trade, 15 Jul

Growington Ventures India Ltd. Share Price Live Today

CNBC TV18, 03 Jan

Growington Ventures India and Peer Group Overview

Kalkine India, 15 Sept

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

🔴Business QualityWeak7.5/20

🟢Financial HealthStrong14.5/20

🟢GrowthStrong14.7/20

🔴ProfitabilityWeak4.5/15

🟢ValuationAttractive13.2/15

🔴RiskHigh4/10

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

This thesis breaks if

✓Revenue growth stays above 67% a year88.7% CAGR
✓EBITDA margin holds above 3%5.2%
✗Free cash flow remains positive-₹47 Cr
✓Debt / EBITDA stays below 2x1.2x
✓ROCE stays above 8%9.0%