OnMobile Global Limited

Communication Services — Telecom Services · NSE

₹60.99+₹3.52 (+6.12%)

DalalBaazaar Score

33 / 100

🔴 Weak

Verdict

CAUTION

Risk

Moderate

Driven by the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, but sales are shrinking. Whether sales start growing again is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:49 pm

Understanding the Business

Company site ↗

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

What does this company do?

OnMobile Global Limited provides telecom value added services in India, Europe, Africa, Latin America, the United States, and internationally.

IndustryTelecom Services

SectorCommunication Services

Employees266

Annual revenue₹517 Cr

How does it make money?

Turns over ₹517 Cr a year. Of every ₹100 of sales, about ₹-2 reaches shareholders as profit, with ₹6 left at the operating level before interest, tax and depreciation. Each of its 266 employees supports ₹1.94 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.94 Cr

Who are its competitors?

The closest listed comparisons in its industry are BHARTI AIRTEL LIMITED, VODAFONE IDEA 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 -0.3% 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 ROE20.2%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -2% while net margin moved -270% 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-2%

Margin effect-270%

DalalBaazaar Score

33/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative

Quality vs. Valuation

Company Quality

29/ 100

Weak

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

Valuation

36/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

No P/E — the company is lossmaking

EV/EBITDA

19.2x

PEG

—

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 4.2% to 6.5% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Very low debt
Debt/Equity of 0.12x 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

4 items require attention · 3 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 329% over 3 years, from ₹18 Cr to ₹77 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only -0.3x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹11 Cr in the latest reported year.
🟡Receivables growing faster than salesFinancial
Receivables up 44% against revenue up -2% — sales are being booked faster than they are collected.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 4.2% to 6.5%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹52 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.

🔴 Bear CaseWhat could go wrong?

Sales are being booked faster than collected
Receivables are up 44% against revenue up -2%. 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
3 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 4%✓ 6.5%
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.
3Interest cover stays above 3x✗ -0.3x
How much operating profit can fall before interest stops being comfortably covered.
4Free cash flow remains positive✓ ₹52 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 8%✗ -0.3%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

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

4 good · 2 neutral · 5 weak

Market Cap

₹649 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

1.04x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-5.26

Loss-making

Negative earnings per share — the business is losing money

ROE

-1.8%

Weak

Weak capital efficiency

ROCE

-0.3%

Weak

Low return on total capital employed

Debt/Equity

0.12x

Low

Conservative leverage

Revenue Growth (YoY)

-2.1%

Shrinking

Sales are contracting

Profit Growth (YoY)

72.0%

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

₹52 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

-6.5%

Weak

Thin margins leave little room for error

Net Margin

-10.8%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.16

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.19

Defensive

Steadier than the market

52W Range Position

47%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

52.3 / 54.3

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

68.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹525 Cr	₹513 Cr	₹573 Cr	₹517 Cr	-0.5%
EBITDA	₹22 Cr	₹42 Cr	₹16 Cr	₹33 Cr	+14.6%
EBITDA Margin	4.2%	8.2%	2.7%	6.5%	—
PAT (Net Profit)	₹7 Cr	₹15 Cr	-₹40 Cr	-₹11 Cr	—
EPS	₹0.63	₹1.43	₹-3.78	₹-1.07	—
ROE	1.0%	2.3%	-6.5%	-1.8%	—
ROCE	1.2%	4.7%	-4.5%	-0.3%	—
Total Debt	₹18 Cr	₹18 Cr	₹44 Cr	₹77 Cr	+62.5%
Free Cash Flow	-₹44 Cr	-₹39 Cr	-₹49 Cr	₹52 Cr	—

🟡 Revenue has been broadly flat over 3 years (-0.5% a year).

🟢 EBITDA has grown at 14.6% a year over 3 years.

🟢 EBITDA Margin has risen from 4.2% to 6.5% over 3 years (+2.2 pts).

🔴 PAT (Net Profit) has turned negative, from ₹7 Cr to -₹11 Cr.

🔴 EPS has turned negative, from ₹0.63 to ₹-1.07.

🔴 ROE has fallen from 1.0% to -1.8% over 3 years (-2.8 pts).

🔴 ROCE has fallen from 1.2% to -0.3% over 3 years (-1.4 pts).

🔴 Total Debt has grown at 62.5% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹44 Cr to ₹52 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹981 Cr

Total Liabilities

₹355 Cr

Cash & Equivalents

₹84 Cr

Operating Cash Flow

₹87 Cr

Capex

-₹35 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

52.1%

Corporate Actions

Ex-Dividend Date

14 Sept 2022

Peer Comparison

Company	P/E	ROE
BHARTI AIRTEL LIMITED	39.8x	20.2%
VODAFONE IDEA LIMITED	3.6x	—

Recent News

1 mixed1 negative4 general

Onmobile Global Share Price Rise: Price Action and Valuation

Univest, 14 OctPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Top 4 Gaming Stocks to Buy in India for 2025

Samco, 17 Oct

Onmobile Global Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 27 Aug

OnMobile Global signs Poorvika to expand ONMO+ Smart Console to retail

scanx.trade, 16 Oct

There Is A Reason OnMobile Global Limited's (NSE:ONMOBILE) Price Is Undemanding

Simply Wall Street, 22 Jan

OnMobile Global Appoints Independent Law Firm to Probe Former Consultant's Claims

Sahi, 17 SeptRegulatory

🔴Potentially negativeRegulatory and legal actions carry a financial cost and a governance question. The second usually matters more than the first.

Watch Items

Revenue growth is negative (-2.1%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

MiddlingFinancial Health · Valuation

WeakBusiness Quality · Growth · Profitability · Risk

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 3 high-severity red flags sit above this conclusion and should be read first.

3 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Interest cover stays above 3x; ROCE stays above 8% · see Key things to watch ↑