M.K. Exim (India) Limited

Consumer Defensive — Household & Personal Products · NSE

₹57.46−₹0.02 (−0.03%)

DalalBaazaar Score

63 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

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

In simple words: Strong business and financial position, though profits are falling even as sales grow. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 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 M.K. Exim (India) Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

M.K. Exim (India) Limited engages in the manufacture and sale of fabrics, garments, and jewelry products in India. It operates through Finish Fabrics, Garments & Plastic Material; and Cosmetics & Hair Care segments.

IndustryHousehold & Personal Products

SectorConsumer Defensive

Employees70

Annual revenue₹97 Cr

How does it make money?

Turns over ₹97 Cr a year. Of every ₹100 of sales, about ₹19 reaches shareholders as profit, with ₹29 left at the operating level before interest, tax and depreciation. Each of its 70 employees supports ₹1.39 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin28.8%

Net margin19.3%

Revenue / employee₹1.39 Cr

Who are its competitors?

The closest listed comparisons in its industry are HINDUSTAN UNILEVER LTD., DABUR INDIA LTD, ITC LTD, BRITANNIA INDUSTRIES LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

HINDUSTAN UNILEVER LTD.P/E 42.5x · ROE 21.5%

DABUR INDIA LTDP/E 34.7x · ROE 17.2%

ITC LTDP/E 16.6x · ROE 27.4%

BRITANNIA INDUSTRIES LTDP/E 44.1x · ROE 51.0%

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

ROCE has stayed above 15% in every year available and stands at 22.5%. Returns that high normally get competed away; when they persist, something is protecting them, and its ROE of 15.8% against a peer median of 27.4% is consistent with that. What that something is — brand, scale, switching costs, regulation — the accounts cannot tell you.

ROCE22.5%

ROE15.8%

Peer median ROE27.4%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -6% while net margin moved +20% 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-6%

Margin effect+20%

DalalBaazaar Score

63/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 2.1% a year
✗ Profit CAGR of only 4.1%
✗ Profit fell 4.7% in the latest year

Quality vs. Valuation

Company Quality

61/ 100

Average

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

Valuation

65/ 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

12.5x

Sector Median

38.6x

median of 4 sector peers

🟢Against its sector it trades 67% below the peer median of 38.6x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

38.6x median of 4 peers · -67%

vs. generic bands

Cheap

Below 15x

P/E (Trailing)

12.5x

P/B

1.93x

EV/EBITDA

8.3x

PEG

3.03

Dividend Yield

1.04%

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 21.8% to 28.8% over 3 years.
Debt is being paid down
Total debt is down 28% over 3 years.
High return on capital employed
ROCE of 22.5% is the mark of a business that converts capital into profit efficiently.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention3

Return on equity is falling
ROE has dropped from 24.1% to 15.8% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 32.3% to 22.5% — often a sign of competition or overexpansion.
Inventory building faster than sales
Inventory is up 369% against revenue growth of -6% — stock may not be moving.

Red Flags

1 item require attention · 1 high

🔴Inventory building faster than salesFinancial
Inventory up 369% against revenue up -6% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 22.5% 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 21.8% to 28.8%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Deleveraging frees up earnings
Debt is down 28% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 67% 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?

Returns on shareholder capital are falling
ROE has dropped from 24.1% to 15.8%. 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 27%✓ 28.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✓ ₹4 Cr
Profit that never becomes cash eventually stops being profit.
3Debt / EBITDA stays below 2x✓ 0.1x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4ROCE stays above 19%✓ 22.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

8 / 10 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

Price history

Quick Metrics

5 good · 5 neutral · 1 weak

Market Cap

₹232 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

12.5x

Cheap

Cheap against the generic band

P/B Ratio

1.93x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹4.58

Profitable

Profitable on a per-share basis

ROE

15.8%

Strong

Strong capital efficiency

ROCE

22.5%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.46x

Moderate

Moderate leverage

Revenue Growth (YoY)

2.4%

Modest

Modest growth

Profit Growth (YoY)

-4.7%

Falling

Profits are shrinking

Dividend Yield

1.04%

Modest

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

Free Cash Flow

₹4 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹57.46

Operating Margin

31.0%

Good

Healthy core-business profitability

Net Margin

20.1%

Good

Strong bottom-line conversion

Current Ratio

22.06

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.67

Defensive

Steadier than the market

52W Range Position

27%

Mid-range

Technical Snapshot

RSI (14)

10.3

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹104 Cr	₹92 Cr	₹93 Cr	₹97 Cr	-2.1%
EBITDA	₹23 Cr	₹21 Cr	₹26 Cr	₹28 Cr	+7.4%
EBITDA Margin	21.8%	23.2%	28.2%	28.8%	—
PAT (Net Profit)	₹17 Cr	₹15 Cr	₹18 Cr	₹19 Cr	+4.1%
EPS	₹4.12	₹3.79	₹4.46	₹4.66	+4.2%
ROE	24.1%	18.2%	17.7%	15.8%	—
ROCE	32.3%	24.6%	25.3%	22.5%	—
Total Debt	₹2 Cr	₹1 Cr	₹1 Cr	₹2 Cr	-10.3%
Free Cash Flow	₹4 Cr	₹15 Cr	-₹2 Cr	₹4 Cr	+4.9%

🔴 Revenue has shrunk at 2.1% a year over 3 years.

🟢 EBITDA has grown at 7.4% a year over 3 years.

🟢 EBITDA Margin has risen from 21.8% to 28.8% over 3 years (+7.0 pts).

🟢 PAT (Net Profit) has grown at 4.1% a year over 3 years.

🟢 EPS has grown at 4.2% a year over 3 years.

🔴 ROE has fallen from 24.1% to 15.8% over 3 years (-8.3 pts).

🔴 ROCE has fallen from 32.3% to 22.5% over 3 years (-9.8 pts).

🟢 Total Debt has shrunk at 10.3% a year over 3 years.

🟢 Free Cash Flow has grown at 4.9% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹126 Cr

Total Liabilities

₹7 Cr

Total Debt

₹2 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

₹7 Cr

Capex

-₹3 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

74.2%

Corporate Actions

Dividend Rate

₹0.6

Ex-Dividend Date

18 Sept 2026

Peer Comparison

Company	P/E	ROE
HINDUSTAN UNILEVER LTD.	42.5x	21.5%
DABUR INDIA LTD	34.7x	17.2%
ITC LTD	16.6x	27.4%
BRITANNIA INDUSTRIES LTD	44.1x	51.0%

Recent News

1 positive1 mixed1 negative3 general

MK Exim (India) Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

M K Exim net profit falls to ₹650.93 lakhs in Q1FY27

scanx.trade, 05 AugResults

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

MK Exim India Q4 FY26 Results: Net Loss Rs 0.06 Crore, Revenue and Key Financial Highlights

Univest, 01 JunResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

1:2 Bonus Issue Each: 2 Multibagger Penny Stocks To Trade Ex-Bonus This Week; 1100-9500% Returns In 5 Years

Goodreturns, 12 OctCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

MK Exim (India) Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 31 Aug

MK Exim India Limited Responds to BSE Clarification on Share Price Movement

scanx.trade, 11 Apr

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

🟢Business QualityStrong15.2/20

🟢Financial HealthStrong15.5/20

🔴GrowthWeak4.8/20

🟢ProfitabilityStrong10.2/15

🟢ValuationAttractive11/15

🟡RiskModerate6.2/10

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

This thesis breaks if

✓EBITDA margin holds above 27%28.8%
✓Free cash flow remains positive₹4 Cr
✓Debt / EBITDA stays below 2x0.1x
✓ROCE stays above 19%22.5%