The 60-second version of Indian Infotech and Software Limited — what it does, how it earns, and who it competes with, before any of the numbers below.
What does this company do?
Indian Infotech and Software Limited, a non-banking finance company, engages in the business of financing in India. It involves finance and shares trading activities; and the provision of business loans to individuals and corporates.
IndustryCredit Services
SectorFinancial Services
Employees9
Annual revenue₹64 Cr
How does it make money?
Turns over ₹64 Cr a year. Of every ₹100 of sales, about ₹2 reaches shareholders as profit, with ₹21 left at the operating level before interest, tax and depreciation. Each of its 9 employees supports ₹7.12 Cr of revenue a year, the signature of a capital- or asset-led business.
Revenue / employee₹7.12 Cr
Who are its competitors?
The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, STATE BANK OF INDIA, HDFC BANK LTD, ICICI BANK LTD.. These are the companies its valuation and returns are measured against elsewhere in this report.
What is its competitive advantage?Not assessable from these ratios
For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.
Peer median ROE16.5%
What has been driving growth?
Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +36% while net margin moved +68% 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+36%
Margin effect+68%
DalalBaazaar Score
64/ 100
Good
Weighted across six categories. Every point is explained below.
✗ ROE of 0.4% is weak
Quality vs. Valuation
Company Quality
63/ 100
Average
How good the business is, ignoring the share price entirely.
vs
Valuation
87/ 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.
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
6.5x
PEG
—
What's Good / What's Bad
🟢 What's Going Well2
Margins are improving
EBITDA margin is up from 1.7% to 21.3% over 3 years.
Return on capital is rising
ROCE has improved from 0.3% to 2.5%.
🔴 What Needs Attention1
Inventory building faster than sales
Inventory is up 2644% against revenue growth of 36% — stock may not be moving.
Red Flags
1 item require attention · 1 watch
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 47% over 3 years — each existing share owns a smaller slice of the company.
Investment Thesis
🟢 Bull CaseWhat could make this work?
Margin expansion has further to run
EBITDA margin has risen from 1.7% to 21.3%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
🔴 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 8% a year✓ 10.9% CAGR
Latest reported year was -50.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 19%✓ 21.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 8%✗ 0.4%
For a lender this is the cleanest single read on whether the book is being grown profitably.
Investment Checklist
2 / 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
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✗ Profit growing year-over-year
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish
Price history
Quick Metrics
1 good · 4 neutral · 6 weak
Market Cap
₹89 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
0.28x
Reasonable
Reasonable against the company's book value
EPS (TTM)
₹-0
Loss-making
Negative earnings per share — the business is losing money
ROE
0.4%
Weak
Weak capital efficiency
ROCE
2.5%
Weak
Low return on total capital employed
Debt/Equity
Not available
No data
Source didn't return this field
Revenue Growth (YoY)
-50.7%
Shrinking
Sales are contracting
Profit Growth (YoY)
-47.5%
Falling
Profits are shrinking
Dividend Yield
None
None
No dividend yield reported — usually means no payout, but verify if one was recently initiated
Free Cash Flow
-₹59 Cr
Cash burning
Spending more cash than the operations bring in
More Metrics
Operating Margin
44.6%
Good
Healthy core-business profitability
Net Margin
0.8%
Weak
Very little revenue reaches the bottom line
Current Ratio
1751.44
Comfortable
Healthy short-term liquidity
Beta (vs Nifty)
0.14
Defensive
Steadier than the market
52W Range Position
13%
Near low
Near its 52-week low
Technical Snapshot
SMA 20 / SMA 50
0.5 / 0.6
Bearish alignment (short < long)
Price vs SMA 200
Below
Long-term downtrend
RSI (14)
30.8
Neutral momentum
Financial Trend (4-Year)
Metric
FY23
FY24
FY25
FY26
3Y CAGR
Revenue
₹47 Cr
₹21 Cr
₹39 Cr
₹64 Cr
+10.9%
EBITDA
₹1 Cr
₹35 Cr
₹25 Cr
₹14 Cr
+159.7%
EBITDA Margin
1.7%
165.5%
64.5%
21.3%
—
PAT (Net Profit)
₹1 Cr
₹2 Cr
-₹7 Cr
₹1 Cr
+31.7%
EPS
₹0.01
₹0.01
₹-0.04
₹0.01
+16.0%
ROE
0.3%
0.6%
-2.6%
0.4%
—
ROCE
0.3%
6.8%
3.5%
2.5%
—
Free Cash Flow
₹11 Cr
-₹59 Cr
-₹14 Cr
-₹59 Cr
—
🟢 Revenue has grown at 10.9% a year over 3 years.
🟢 EBITDA has grown at 159.7% a year over 3 years.
🟢 EBITDA Margin has risen from 1.7% to 21.3% over 3 years (+19.7 pts).
🟢 PAT (Net Profit) has grown at 31.7% a year over 3 years.
🟢 EPS has grown at 16.0% a year over 3 years.
🟡 ROE has held roughly flat at 0.4% over 3 years.
🟢 ROCE has risen from 0.3% to 2.5% over 3 years (+2.1 pts).
🔴 Free Cash Flow has turned negative, from ₹11 Cr to -₹59 Cr.
Revenue growth is negative (-50.7%) on the latest reported period — check if this is one-off or a trend.
This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
2 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
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.
