Khyati Global Ventures Limited

Consumer Defensive — Packaged Foods · BSE

₹45.00−₹1.99 (−4.23%)

DalalBaazaar Score

64 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

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

In simple words: Strong business and financial position, with both sales and profits growing well. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:07 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

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

What does this company do?

Khyati Global Ventures Limited exports food products, ready-to-eat products, confectioneries, snacks, and general items in India and internationally.

IndustryPackaged Foods

SectorConsumer Defensive

Employees27

Annual revenue₹149 Cr

How does it make money?

Turns over ₹149 Cr a year. Of every ₹100 of sales, about ₹4 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 27 employees supports ₹5.53 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin7.3%

Net margin4.1%

Revenue / employee₹5.53 Cr

Who are its competitors?

The closest listed comparisons in its industry are NESTLE INDIA LIMITED, BRITANNIA INDUSTRIES LTD, TATA CONSUMER PRODUCT LTD, DABUR INDIA LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

NESTLE INDIA LIMITEDP/E 59.8x · ROE 79.9%

BRITANNIA INDUSTRIES LTDP/E 44.1x · ROE 51.0%

TATA CONSUMER PRODUCT LTDP/E 59.3x · ROE 7.5%

DABUR INDIA LTDP/E 34.7x · ROE 17.2%

What is its competitive advantage?The numbers suggest a real one

ROCE has stayed above 15% in every year available and stands at 22.8%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 17.5% against a peer median of 51.0% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

ROCE22.8%

ROE17.5%

Peer median ROE51.0%

What has been driving growth?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +61% while net margin moved +87% 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+61%

Margin effect+87%

DalalBaazaar Score

64/ 100

Good

Weighted across six categories. Every point is explained below.

• Beta of 1.12 — moves roughly with the market
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

63/ 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

5.1x

2Y Median

8.5x

26 monthly readings · mean 9.8x · range 5.3x–15.9x

Sector Median

51.7x

median of 4 sector peers

🟢Current valuation is approximately 40% below its 2y median of 8.5x. 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 90% below the peer median of 51.7x.

vs. its own history

Cheap

8.5x median over 26 months · -40%

vs. sector peers

Cheap

51.7x median of 4 peers · -90%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

5.1x

P/B

0.86x

EV/EBITDA

5.1x

PEG

0.11

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 4.5% to 7.3% over 3 years.
High return on capital employed
ROCE of 22.8% is the mark of a business that converts capital into profit efficiently.
Valuation below its historical average
At 5.1x the stock trades 40% below its own median of 8.5x.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention6

Debt is rising
Total debt is up 63% over 3 years — worth checking what it funded.
Free cash flow is negative
The business is not currently covering its capital spending from operations.
Return on equity is falling
ROE has dropped from 22.0% to 16.9% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 32.7% to 22.8% — often a sign of competition or overexpansion.
Receivables growing faster than sales
Receivables are up 172% against revenue growth of 61% — customers are taking longer to pay.
Inventory building faster than sales
Inventory is up 457% against revenue growth of 61% — stock may not be moving.

Red Flags

5 items require attention · 5 high

🔴Debt has risen sharplyFinancial
Total debt is up 63% over 3 years, from ₹17 Cr to ₹27 Cr.
🔴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 172% against revenue up 61% — sales are being booked faster than they are collected.
🔴Inventory building faster than salesFinancial
Inventory up 457% against revenue up 61% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 22.8% 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 4.5% to 7.3%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 40% 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 90% 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?

Sales are being booked faster than collected
Receivables are up 172% against revenue up 61%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 22.0% to 16.9%. 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.
Several serious flags at once
5 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 13% a year✓ 17.2% CAGR
Latest reported year was 33.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 5%✓ 7.3%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹23 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 20%✓ 22.8%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 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 · 3 neutral · 1 weak

Market Cap

₹31 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

5.1x

Cheap

Cheap against the generic band

P/B Ratio

0.86x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹8.87

Profitable

Profitable on a per-share basis

ROE

17.5%

Strong

Strong capital efficiency

ROCE

22.8%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.95x

Moderate

Moderate leverage

Revenue Growth (YoY)

33.7%

Healthy

Healthy top-line growth

Profit Growth (YoY)

57.0%

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

-₹24 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹45

ROA

8.0%

Good

Assets are working hard

Operating Margin

9.4%

Average

Average margins

Net Margin

4.1%

Average

Average bottom-line conversion

Current Ratio

1.60

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.12

Market-like

Moves roughly in line with the market

52W Range Position

22%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

43.9 / 45.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

52.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹93 Cr	₹102 Cr	₹121 Cr	₹149 Cr	+17.2%
EBITDA	₹4 Cr	₹6 Cr	₹8 Cr	₹11 Cr	+37.9%
EBITDA Margin	4.5%	5.5%	6.8%	7.3%	—
PAT (Net Profit)	₹2 Cr	₹3 Cr	₹5 Cr	₹6 Cr	+44.4%
EPS	₹2.95	₹4.42	₹7.45	—	—
ROE	22.0%	25.9%	15.5%	16.9%	—
ROCE	32.7%	41.0%	24.5%	22.8%	—
Total Debt	₹17 Cr	₹20 Cr	₹16 Cr	₹27 Cr	+17.7%
Free Cash Flow	-₹0 Cr	-₹1 Cr	-₹11 Cr	-₹23 Cr	—

🟢 Revenue has grown at 17.2% a year over 3 years.

🟢 EBITDA has grown at 37.9% a year over 3 years.

🟢 EBITDA Margin has risen from 4.5% to 7.3% over 3 years (+2.8 pts).

🟢 PAT (Net Profit) has grown at 44.4% a year over 3 years.

🔴 ROE has fallen from 22.0% to 16.9% over 3 years (-5.1 pts).

🔴 ROCE has fallen from 32.7% to 22.8% over 3 years (-10.0 pts).

🔴 Total Debt has grown at 17.7% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹100 Cr

Total Liabilities

₹59 Cr

Total Debt

₹27 Cr

Cash & Equivalents

₹4 Cr

Operating Cash Flow

-₹18 Cr

Capex

-₹5 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

62.9%

Peer Comparison

Company	P/E	ROE
NESTLE INDIA LIMITED	59.8x	79.9%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%
TATA CONSUMER PRODUCT LTD	59.3x	7.5%
DABUR INDIA LTD	34.7x	17.2%

Recent News

6 general

Compare with

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Watch Items

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

DalalBaazaar Thesis

🟡Business QualityAdequate9.6/20

🟡Financial HealthAdequate12/20

🟢GrowthStrong18.5/20

🟡ProfitabilityModerate7.3/15

🟢ValuationAttractive13.2/15

🔴RiskHigh3.7/10

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

This thesis breaks if

✓Revenue growth stays above 13% a year17.2% CAGR
✓EBITDA margin holds above 5%7.3%
✗Debt / EBITDA stays below 2x2.5x
✗Free cash flow remains positive-₹23 Cr
✓ROCE stays above 20%22.8%