Kaushalya Infrastructure Development Corporation Limited

Industrials — Engineering & Construction · NSE

₹843.00+₹19.80 (+2.41%)

DalalBaazaar Score

45 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Very High

Driven by negative free cash flow, the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, but sales are shrinking. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:46 pm

Understanding the Business

Company site ↗

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

What does this company do?

Kaushalya Infrastructure Development Corporation Limited engages in executing construction contracts relating to infrastructure and real estate developments in India. It operates through Construction and Hotel segments.

IndustryEngineering & Construction

SectorIndustrials

Employees5

Annual revenue₹1 Cr

How does it make money?

Turns over ₹1 Cr a year. Of every ₹100 of sales, about ₹18 reaches shareholders as profit, with ₹37 left at the operating level before interest, tax and depreciation. Each of its 5 employees supports ₹18.0 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹18.0 lakh

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., ADANI PORT & SEZ LTD, SIEMENS 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?Little sign of one

Returns on capital of 0.6% 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.

Peer median ROE14.1%

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 +623% while net margin moved -100% 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+623%

Margin effect-100%

DalalBaazaar Score

45/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative
✗ ROE has fallen by 27.4 points over the period

Quality vs. Valuation

Company Quality

44/ 100

Weak

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

Valuation

30/ 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

N/A

No P/E — the company is lossmaking

EV/EBITDA

86.3x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 27.6% to 0.2% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 27.4% to 0.6% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 1 high · 2 watch

🔴Significant margin compressionFinancial
EBITDA margin has fallen 13183.1 points, from 13220.5% to 37.4%.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹0 Cr in the latest year.
🟡Profit is decliningFinancial
Net profit is down 99% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

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 13220.5% to 37.4%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Returns on shareholder capital are falling
ROE has dropped from 27.6% to 0.2%. 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

1Revenue growth stays above 70% a year✓ 93.3% CAGR
Latest reported year was -98.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 35%✓ 37.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹0 Cr
Profit that never becomes cash eventually stops being profit.
4ROCE stays above 8%✗ 0.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

3 / 10 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 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

1 good · 3 neutral · 7 weak

Market Cap

₹29 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

0.38x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-15.47

Loss-making

Negative earnings per share — the business is losing money

ROE

-0.7%

Weak

Weak capital efficiency

ROCE

0.6%

Weak

Low return on total capital employed

Debt/Equity

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

-98.1%

Shrinking

Sales are contracting

Profit Growth (YoY)

-96.9%

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

-₹0 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

ROA

-0.2%

Weak

Assets generate little profit

Operating Margin

-1379.0%

Weak

Thin margins leave little room for error

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.53

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.47

Defensive

Steadier than the market

52W Range Position

14%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

836.5 / 863.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

46.5

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹0 Cr	₹0 Cr	₹0 Cr	₹1 Cr	+93.3%
EBITDA	₹16 Cr	₹3 Cr	₹5 Cr	₹0 Cr	-72.6%
EBITDA Margin	13220.5%	1833.5%	3668.9%	37.4%	—
PAT (Net Profit)	₹15 Cr	₹15 Cr	₹5 Cr	₹0 Cr	-78.1%
EPS	₹4.46	₹148.82	₹153.95	₹9.46	+28.5%
ROE	27.6%	21.0%	6.7%	0.2%	—
ROCE	27.4%	24.3%	6.1%	0.6%	—
Free Cash Flow	₹1 Cr	₹19 Cr	₹0 Cr	-₹0 Cr	—

🟢 Revenue has grown at 93.3% a year over 3 years.

🔴 EBITDA has shrunk at 72.6% a year over 3 years.

🔴 EBITDA Margin has fallen from 13220.5% to 37.4% over 3 years (-13183.1 pts).

🔴 PAT (Net Profit) has shrunk at 78.1% a year over 3 years.

🟢 EPS has grown at 28.5% a year over 3 years.

🔴 ROE has fallen from 27.6% to 0.2% over 3 years (-27.4 pts).

🔴 ROCE has fallen from 27.4% to 0.6% over 3 years (-26.8 pts).

🔴 Free Cash Flow has turned negative, from ₹1 Cr to -₹0 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹81 Cr

Total Liabilities

₹2 Cr

Total Debt

—

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

61.4%

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
ADANI PORT & SEZ LTD	29.9x	14.1%
SIEMENS LTD	88.8x	10.5%

Recent News

1 positive1 mixed4 general

Kaushalya Infra vs Nifty 50: Share Price Performance Compared

Univest, 01 Oct

Kaushalya Infrastructure NSE:KAUSHALYA Reg 74(5) Certificate Q2 2026

Kalkine India, 13 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Saraswati Commercial (India) Ltd leads gainers in 'B' group

Business Standard, 07 Jul

KAUSHALYA Stock Price and Chart — NSE:KAUSHALYA

TradingView, 03 Jan

KAUSHALYA INFRA Share Price

Upstox, 22 Oct

2 Stocks To Hit Ex-Date For Stock Split This Week: Buy Any?

Goodreturns, 10 JanCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Watch Items

Revenue growth is negative (-98.1%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongFinancial Health

MiddlingValuation

WeakBusiness Quality · 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. 1 high-severity red flag sits above this conclusion and should be read first.

2 of 4 tripwires tripped — Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑