Mallcom (India) Limited

Industrials — Security & Protection Services · NSE

₹896.55−₹5.75 (−0.64%)

DalalBaazaar Score

53 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity, falling profits.

In simple words: Reasonable but unspectacular business quality, but sales are shrinking. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:01 pm

Understanding the Business

Company site ↗

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

What does this company do?

Mallcom (India) Limited, together with its subsidiaries, manufactures and sells personal protective equipment in India and internationally.

IndustrySecurity & Protection Services

SectorIndustrials

Employees438

Annual revenue₹514 Cr

How does it make money?

Turns over ₹514 Cr a year. Of every ₹100 of sales, about ₹6 reaches shareholders as profit, with ₹12 left at the operating level before interest, tax and depreciation. Each of its 438 employees supports ₹1.17 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.17 Cr

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 14.7% 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?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +31% while net margin moved -38% 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+31%

Margin effect-38%

DalalBaazaar Score

53/ 100

Moderate

Weighted across six categories. Every point is explained below.

• ROCE of 14.7% is adequate but not distinctive
✗ ROCE has fallen by 10.0 points — returns are eroding
✗ EBITDA margin of 11.9% is thin — little cushion if costs rise
✗ Net margin of 5.1% is slim
• Revenue has compounded at 9.5% a year, which is the base these returns are earned on

Quality vs. Valuation

Company Quality

51/ 100

Average

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

Valuation

67/ 100

Fair

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

20.9x

3Y Median

18.5x

40 monthly readings · mean 17.9x · range 10.2x–26.2x

Sector Median

88.8x

median of 3 sector peers

⚠️Current valuation is approximately 13% above its 3y median of 18.5x. 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 76% below the peer median of 88.8x.

vs. its own history

Fair

18.5x median over 40 months · +13%

vs. sector peers

Cheap

88.8x median of 3 peers · -76%

vs. generic bands

Fair

15x–35x

EV/EBITDA

10.9x

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 18.2% to 9.4% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 24.7% to 14.7% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 3 watch

🟡Debt is increasingFinancial
Total debt is up 27% over 3 years.
🟡Margins are compressingFinancial
EBITDA margin is down 3.7 points over 3 years.
🟡Inventory building faster than salesFinancial
Inventory up 61% against revenue up 31% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 76% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹0 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
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 15.6% to 11.9%. 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 18.2% to 9.4%. 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

1EBITDA margin holds above 10%✓ 11.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Revenue growth stays above 7% a year✓ 9.5% CAGR
Latest reported year was -10.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
3Free cash flow remains positive✓ ₹0 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.9x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 12%✓ 14.7%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

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

3 good · 6 neutral · 2 weak

Market Cap

₹559 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

20.9x

Fair

Fairly valued against the generic band

P/B Ratio

1.76x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹42.88

Profitable

Profitable on a per-share basis

ROE

9.4%

Moderate

Moderate capital efficiency

ROCE

14.7%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.38x

Low

Conservative leverage

Revenue Growth (YoY)

-10.6%

Shrinking

Sales are contracting

Profit Growth (YoY)

-33.4%

Falling

Profits are shrinking

Dividend Yield

0.33%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹0 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

9.2%

Average

Average margins

Net Margin

5.1%

Average

Average bottom-line conversion

Current Ratio

1.54

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.26

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

927.4 / 958.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

21.7

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹392 Cr	₹407 Cr	₹470 Cr	₹514 Cr	+9.5%
EBITDA	₹61 Cr	₹60 Cr	₹63 Cr	₹61 Cr	+0.1%
EBITDA Margin	15.6%	14.7%	13.4%	11.9%	—
PAT (Net Profit)	₹37 Cr	₹36 Cr	₹57 Cr	₹30 Cr	-6.7%
EPS	₹59.19	₹58.2	₹92.04	₹48.15	-6.6%
ROE	18.2%	15.3%	19.2%	9.4%	—
ROCE	24.7%	21.5%	26.3%	14.7%	—
Total Debt	₹91 Cr	₹93 Cr	₹116 Cr	₹115 Cr	+8.4%
Free Cash Flow	₹8 Cr	-₹20 Cr	-₹77 Cr	₹0 Cr	-63.5%

🟢 Revenue has grown at 9.5% a year over 3 years.

🟡 EBITDA has been broadly flat over 3 years (0.1% a year).

🔴 EBITDA Margin has fallen from 15.6% to 11.9% over 3 years (-3.7 pts).

🔴 PAT (Net Profit) has shrunk at 6.7% a year over 3 years.

🔴 EPS has shrunk at 6.6% a year over 3 years.

🔴 ROE has fallen from 18.2% to 9.4% over 3 years (-8.7 pts).

🔴 ROCE has fallen from 24.7% to 14.7% over 3 years (-10.0 pts).

🔴 Total Debt has grown at 8.4% a year over 3 years.

🔴 Free Cash Flow has shrunk at 63.5% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹512 Cr

Total Liabilities

₹194 Cr

Cash & Equivalents

₹4 Cr

Operating Cash Flow

₹35 Cr

Capex

-₹35 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

78.7%

Corporate Actions

Dividend Rate

₹3

Ex-Dividend Date

22 Sept 2026

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 negative5 general

Mallcom (India) Share Price: Price Action and Valuation

Univest, 05 Oct

Mallcom (India) Limited (MALLCOM.NS) Slips 2.28% to ₹954.0 as Stock Holds Mid-Range Ground - Retracement Entry

https://www.siam.in/, 13 Sept

Mallcom (India) vs Nifty 50: Share Price Performance Compared

Univest, 05 Oct

Mallcom (India) consolidated net profit declines 33.30% in the June 2026 quarter

Business Standard, 31 JulResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Mallcom (India) to host investor meet on September 1

scanx.trade, 25 Aug

Is Mallcom India the Best Stock in Its Sector? A Look at the Numbers

Univest, 01 Oct

Watch Items

Revenue growth is negative (-10.6%) on the latest reported period — check if this is one-off or a trend.
Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
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

MiddlingValuation · Risk

WeakBusiness Quality · Growth · Profitability

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.

All 5 tripwires holding · see Key things to watch ↑