Krishna Ventures Limited

Real Estate — Real Estate Services · BSE

₹58.66+₹2.79 (+4.99%)

DalalBaazaar Score

50 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: The business is earning a fairly low return on the money invested in it, 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, 7:02 pm

Understanding the Business

Company site ↗

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

What does this company do?

Krishna Ventures Limited offers engineering solutions in the form of products and services in the area of HVAC (Heating, Ventilation & Air Conditioning) steel fabrication, solar structure, and pre-engineered buildings.

IndustryReal Estate Services

SectorReal Estate

Employees14

Annual revenue₹9 Cr

How does it make money?

Turns over ₹9 Cr a year. Of every ₹100 of sales, about ₹3 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 14 employees supports ₹67.6 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹67.6 lakh

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY LIMITED. 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 2.1% 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 ROE10.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +134% while net margin moved -441% 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+134%

Margin effect-441%

DalalBaazaar Score

50/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ P/E of 202.3x is demanding — it needs sustained high growth to justify
✗ P/B of 5.84x is a steep premium to book

Quality vs. Valuation

Company Quality

57/ 100

Average

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

Valuation

24/ 100

Expensive

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

202.3x

Sector Median

30.2x

median of 3 sector peers

⚠️Against its sector it trades 570% above the peer median of 30.2x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Expensive

30.2x median of 3 peers · +570%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

101.9x

PEG

—

What's Good / What's Bad

🟢 What's Going Well2

Margins are improving
EBITDA margin is up from 4.0% to 7.0% over 3 years.
Return on equity is rising
ROE has improved from -0.3% to 2.7%.

🔴 What Needs Attention0

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

Red Flags

4 items require attention · 3 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 5049% over 3 years, from ₹0 Cr to ₹4 Cr.
🔴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 1811% against revenue up 134% — sales are being booked faster than they are collected.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹0 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 4.0% to 7.0%. 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?

The debt load needs earnings to hold up
Debt is 5.8x 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 1811% against revenue up 134%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
A premium to the sector to defend
It trades 570% above the peer median. That premium needs a reason that persists, or it closes.
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 25% a year✓ 32.7% CAGR
Latest reported year was 448.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 5%✓ 7.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 5.8x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Free cash flow remains positive✗ -₹0 Cr
Profit that never becomes cash eventually stops being profit.
5Interest cover stays above 3x✗ 2.4x
How much operating profit can fall before interest stops being comfortably covered.

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

4 good · 2 neutral · 5 weak

Market Cap

₹63 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

202.3x

Expensive

Expensive — verify against sector peers

P/B Ratio

5.84x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹0.29

Profitable

Profitable on a per-share basis

ROE

2.7%

Weak

Weak capital efficiency

ROCE

2.1%

Weak

Low return on total capital employed

Debt/Equity

0.35x

Low

Conservative leverage

Revenue Growth (YoY)

448.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

134.1%

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

-₹0 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

6.5%

Average

Average margins

Net Margin

4.3%

Average

Average bottom-line conversion

Current Ratio

4.05

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

1.10

Market-like

Moves roughly in line with the market

52W Range Position

100%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

47.6 / 44.3

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

84.7

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹4 Cr	₹2 Cr	₹2 Cr	₹9 Cr	+32.7%
EBITDA	₹0 Cr	-₹0 Cr	-₹1 Cr	₹1 Cr	+59.1%
EBITDA Margin	4.0%	-6.4%	-32.8%	7.0%	—
PAT (Net Profit)	-₹0 Cr	-₹0 Cr	-₹1 Cr	₹0 Cr	—
EPS	₹-0.03	₹-0.43	₹-0.81	₹0.28	—
ROE	-0.3%	-4.1%	-8.3%	2.7%	—
ROCE	0.6%	-3.1%	-2.8%	2.1%	—
Total Debt	₹0 Cr	—	—	₹4 Cr	+272.0%
Free Cash Flow	-₹6 Cr	-₹2 Cr	₹0 Cr	-₹0 Cr	—

🟢 Revenue has grown at 32.7% a year over 3 years.

🟢 EBITDA has grown at 59.1% a year over 3 years.

🟢 EBITDA Margin has risen from 4.0% to 7.0% over 3 years (+2.9 pts).

🟢 PAT (Net Profit) has turned positive, from -₹0 Cr to ₹0 Cr.

🟢 EPS has turned positive, from ₹-0.03 to ₹0.28.

🟢 ROE has risen from -0.3% to 2.7% over 3 years (+3.1 pts).

🟢 ROCE has risen from 0.6% to 2.1% over 3 years (+1.5 pts).

🔴 Total Debt has grown at 272.0% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹28 Cr

Total Liabilities

₹17 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

74.7%

Corporate Actions

Ex-Dividend Date

09 Jul 2010

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

1 positive1 mixed4 general

Krishna Ventures Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

Krishna Ventures AGM resolutions pass with near-unanimous promoter support

scanx.trade, 29 Sept

Top 15 Low-Price Stocks In India To Buy In October 2026

Samco, 17 Oct

Stocks to Watch Today: Amagi Media Labs, Manipal Health, Saatvik Green Energy, RailTel Corp, Kfin...

Moneycontrol.com, 21 Aug

6 Stocks To Buy For Long Term: Analysts recommend 2 largecap, 4 smallcap scrips; Krishna Institute on the list

Zee Business, 07 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

A B Infrabuild standalone net profit rises 4.30% in the June 2026 quarter

Business Standard, 13 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

StrongGrowth

MiddlingFinancial Health · Profitability

WeakBusiness Quality · Valuation · Risk

Points for each in the Score ↑

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. 3 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 ↑