Kshitij Polyline Limited

Industrials — Business Equipment & Supplies · NSE

₹3.47+₹0.05 (+1.46%)

DalalBaazaar Score

60 / 100

🟢 Good

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, 7:48 pm

Understanding the Business

Company site ↗

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

What does this company do?

Kshitij Polyline Limited engages in the manufacture, distribution, supply, and export of lamination equipment and stationery products in India.

IndustryBusiness Equipment & Supplies

SectorIndustrials

Employees92

Annual revenue₹45 Cr

How does it make money?

Turns over ₹45 Cr a year. Of every ₹100 of sales, about ₹8 reaches shareholders as profit, with ₹18 left at the operating level before interest, tax and depreciation. Each of its 92 employees supports ₹48.6 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹48.6 lakh

Who are its competitors?

The closest listed comparisons in its industry are LARSEN & TOUBRO LTD., SIEMENS LTD, ABB INDIA 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 8.3% 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 ROE15.2%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +32% while net margin moved +649% 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+32%

Margin effect+649%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.20 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

62/ 100

Average

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

Valuation

68/ 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

12.0x

3Y Median

0.1x

40 monthly readings · mean 26.5x · range 0.0x–105.1x

Sector Median

88.8x

median of 3 sector peers

⚠️Current valuation is approximately 13796% above its 3y median of 0.1x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

🟢Against its sector it trades 87% below the peer median of 88.8x.

vs. its own history

Expensive

0.1x median over 40 months · +13796%

vs. sector peers

Cheap

88.8x median of 3 peers · -87%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

9.0x

PEG

0.10

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 10.0% to 17.9% over 3 years.
Debt is being paid down
Total debt is down 14% over 3 years.
Return on equity is rising
ROE has improved from 1.6% to 5.3%.
Very low debt
Debt/Equity of 0.30x leaves the balance sheet with plenty of headroom.

🔴 What Needs Attention0

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

Red Flags

2 items require attention · 1 high · 1 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.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 182% 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 10.0% to 17.9%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Cheaper than its peers
It trades 87% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

The price already assumes success
The stock trades 13796% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
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

1EBITDA margin holds above 16%✓ 17.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA stays below 2x✗ 2.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
3Free cash flow remains positive✗ -₹10 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✓ 3.8x
How much operating profit can fall before interest stops being comfortably covered.
5Revenue growth stays above 7% a year✓ 9.6% CAGR
Latest reported year was 57.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.

Investment Checklist

6 / 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

₹54 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

12.0x

Cheap

Cheap against the generic band

P/B Ratio

1.16x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹0.29

Profitable

Profitable on a per-share basis

ROE

5.3%

Weak

Weak capital efficiency

ROCE

8.3%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.30x

Low

Conservative leverage

Revenue Growth (YoY)

57.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-40.0%

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

-₹10 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

3.6%

Weak

Thin margins leave little room for error

Net Margin

7.4%

Average

Average bottom-line conversion

Current Ratio

2.79

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.20

Defensive

Steadier than the market

52W Range Position

30%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

4.0 / 3.5

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

20.1

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹34 Cr	₹59 Cr	₹42 Cr	₹45 Cr	+9.6%
EBITDA	₹3 Cr	₹6 Cr	-₹5 Cr	₹8 Cr	+33.0%
EBITDA Margin	10.0%	9.4%	-11.5%	17.9%	—
PAT (Net Profit)	₹0 Cr	₹2 Cr	-₹9 Cr	₹4 Cr	+114.4%
EPS	₹0.07	₹55.51	₹-0.77	₹0.25	+50.1%
ROE	1.6%	7.9%	-23.7%	5.3%	—
ROCE	7.7%	11.7%	-16.5%	8.3%	—
Total Debt	₹22 Cr	₹46 Cr	₹15 Cr	₹19 Cr	-4.9%
Free Cash Flow	-₹3 Cr	-₹16 Cr	-₹11 Cr	-₹10 Cr	—

🟢 Revenue has grown at 9.6% a year over 3 years.

🟢 EBITDA has grown at 33.0% a year over 3 years.

🟢 EBITDA Margin has risen from 10.0% to 17.9% over 3 years (+7.9 pts).

🟢 PAT (Net Profit) has grown at 114.4% a year over 3 years.

🟢 EPS has grown at 50.1% a year over 3 years.

🟢 ROE has risen from 1.6% to 5.3% over 3 years (+3.7 pts).

🟡 ROCE has held roughly flat at 8.3% over 3 years.

🟢 Total Debt has shrunk at 4.9% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹89 Cr

Total Liabilities

₹23 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹1 Cr

Capex

-₹9 Cr

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%

Recent News

1 mixed5 general

Kshitij Polyline Share Price Forecast: 3 Year Outlook to 2030

Univest, 21 Jul

Kshitij Polyline (KSHITIJPOL) Share/Stock Price Live, NSE

TechGraph, 08 Oct

Kshitij Polyline Board Approves Rights Issue of Equity Shares Up to Rs. 2,933.74 Lakhs

scanx.trade, 08 MayFunding

🟡Mixed / dependsNew funding changes the capital structure. Debt raises leverage; an equity raise dilutes existing holders.

Kshitij Polyline Ltd. - RE Share Price Live Today

CNBC TV18, 04 Sept

Penny stock under ₹10 hits upper circuit despite stock market sell-off

Livemint, 08 Jun

Kshitij Polyline Limited (NSE: KSHITIJPOL) Stock Falls 5%: Is the Rally Losing Steam?

Kalkine India, 13 Jul

Watch Items

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

StrongFinancial Health · Growth · Valuation

MiddlingBusiness Quality · Profitability

WeakRisk

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

2 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive · see Key things to watch ↑