Marble City India Limited

Industrials — Building Products & Equipment · BSE

₹173.35+₹1.35 (+0.78%)

DalalBaazaar Score

53 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Very 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, 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, 6:05 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

Marble City India Limited manufactures, processes, sells, and trades in marble blocks and slabs in India. The company is also involved in the cutting and finishing of imported marbles.

IndustryBuilding Products & Equipment

SectorIndustrials

Employees34

Annual revenue₹97 Cr

How does it make money?

Turns over ₹97 Cr a year. Of every ₹100 of sales, about ₹7 reaches shareholders as profit, with ₹30 left at the operating level before interest, tax and depreciation. Each of its 34 employees supports ₹2.86 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin30.1%

Net margin7.3%

Revenue / employee₹2.86 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.

LARSEN & TOUBRO LTD.P/E 30.1x · ROE 15.2%

SIEMENS LTDP/E 88.8x · ROE 10.5%

ABB INDIA LIMITEDP/E 92.6x · ROE 19.1%

What is its competitive advantage?Some evidence

ROCE of 15.4% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

ROCE15.4%

ROE8.7%

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 -15% while net margin moved +983% 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-15%

Margin effect+983%

DalalBaazaar Score

53/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Debt/Equity of 1.35x is on the heavy side
✓ Current ratio of 2.85 — short-term bills are well covered
✗ Free cash flow is negative — growth is being funded by borrowing or fresh equity
✗ Interest cover of only 1.8x — little room if profits dip
✗ Debt has grown 25.6% a year — worth checking what it bought

Quality vs. Valuation

Company Quality

57/ 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

59.4x

3Y Median

104.7x

40 monthly readings · mean 114.8x · range 21.5x–287.1x

Sector Median

88.8x

median of 3 sector peers

🟢Current valuation is approximately 43% below its 3y median of 104.7x. 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 33% below the peer median of 88.8x.

vs. its own history

Cheap

104.7x median over 40 months · -43%

vs. sector peers

Cheap

88.8x median of 3 peers · -33%

vs. generic bands

Expensive

Above 35x

P/E (Trailing)

59.4x

P/B

5.43x

EV/EBITDA

19.6x

PEG

0.54

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 6.6% to 30.1% over 3 years.
Return on equity is rising
ROE has improved from 2.6% to 8.7%.
Return on capital is rising
ROCE has improved from 9.8% to 15.4%.
Valuation below its historical average
At 59.4x the stock trades 43% below its own median of 104.7x.

🔴 What Needs Attention4

Debt is rising
Total debt is up 98% over 3 years — worth checking what it funded.
Free cash flow is negative
The business is not currently covering its capital spending from operations.
Receivables growing faster than sales
Receivables are up 104% against revenue growth of -15% — customers are taking longer to pay.
Inventory building faster than sales
Inventory is up 59% against revenue growth of -15% — stock may not be moving.

Red Flags

7 items require attention · 6 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 98% over 3 years, from ₹64 Cr to ₹127 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only 1.8x — little room if earnings dip.
🔴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 104% against revenue up -15% — sales are being booked faster than they are collected.
🔴Inventory building faster than salesFinancial
Inventory up 59% against revenue up -15% — stock may not be moving.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 114% 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 6.6% to 30.1%. 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 43% 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 33% 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 debt load needs earnings to hold up
Debt is 4.3x 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 104% against revenue up -15%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
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.
Several serious flags at once
6 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

1EBITDA margin holds above 28%✓ 30.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 4.3x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Free cash flow remains positive✗ -₹22 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✗ 1.8x
How much operating profit can fall before interest stops being comfortably covered.
5ROCE stays above 12%✓ 15.4%
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 · 4 neutral · 4 weak

Market Cap

₹451 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

59.4x

Expensive

Expensive — verify against sector peers

P/B Ratio

5.43x

Rich

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

EPS (TTM)

₹2.92

Profitable

Profitable on a per-share basis

ROE

8.7%

Moderate

Moderate capital efficiency

ROCE

15.4%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.35x

Moderate

Moderate leverage

Revenue Growth (YoY)

24.0%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-6.1%

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

-₹22 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹173.35

Operating Margin

27.5%

Good

Healthy core-business profitability

Net Margin

8.7%

Average

Average bottom-line conversion

Current Ratio

2.85

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.68

Defensive

Steadier than the market

52W Range Position

88%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

169.5 / 143.7

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

61.0

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹114 Cr	₹46 Cr	₹59 Cr	₹97 Cr	-5.1%
EBITDA	₹8 Cr	₹10 Cr	₹18 Cr	₹29 Cr	+56.9%
EBITDA Margin	6.6%	22.3%	30.3%	30.1%	—
PAT (Net Profit)	₹1 Cr	-₹2 Cr	₹2 Cr	₹7 Cr	+109.9%
EPS	₹0.65	₹-1.49	₹1.02	₹2.79	+62.5%
ROE	2.6%	-6.9%	4.0%	8.7%	—
ROCE	9.8%	8.1%	12.5%	15.4%	—
Total Debt	₹64 Cr	₹105 Cr	₹104 Cr	₹127 Cr	+25.6%
Free Cash Flow	-₹5 Cr	-₹14 Cr	-₹22 Cr	-₹22 Cr	—

🔴 Revenue has shrunk at 5.1% a year over 3 years.

🟢 EBITDA has grown at 56.9% a year over 3 years.

🟢 EBITDA Margin has risen from 6.6% to 30.1% over 3 years (+23.4 pts).

🟢 PAT (Net Profit) has grown at 109.9% a year over 3 years.

🟢 EPS has grown at 62.5% a year over 3 years.

🟢 ROE has risen from 2.6% to 8.7% over 3 years (+6.1 pts).

🟢 ROCE has risen from 9.8% to 15.4% over 3 years (+5.6 pts).

🔴 Total Debt has grown at 25.6% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹249 Cr

Total Liabilities

₹156 Cr

Total Debt

₹127 Cr

Cash & Equivalents

₹5 Cr

Operating Cash Flow

-₹20 Cr

Capex

-₹2 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

81.2%

Corporate Actions

Ex-Dividend Date

22 Sept 2015

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

6 general

Marble City India Upper Circuit Today: Price, Data and Peers

Univest, 12 Oct

Marble City India shareholders approve preferential warrant issue

scanx.trade, 14 Oct

JKIPL Stock Price and Chart — NSE:JKIPL

TradingView, 15 Oct

Marble City India Ltd. Peer Comparison – Compare with Others

Value Research, 14 Sept

Marble City India sets record date for shareholders on Sept 30

scanx.trade, 30 Sept

Marble City India Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 29 Aug

Watch Items

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

DalalBaazaar Thesis

🟢Business QualityStrong15.8/20

🔴Financial HealthStretched8/20

🟡GrowthModest10.5/20

🟡ProfitabilityModerate8.3/15

🔴ValuationDemanding6.7/15

🔴RiskHigh4/10

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

This thesis breaks if

✓EBITDA margin holds above 28%30.1%
✗Debt / EBITDA falls below 3x4.3x
✗Free cash flow remains positive-₹22 Cr
✗Interest cover stays above 3x1.8x
✓ROCE stays above 12%15.4%