Piccadily Sugar & Allied Industries Limited

Sector n/a · BSE

₹32.66−₹1.06 (−3.14%)

DalalBaazaar Score

40 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

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

In simple words: Reasonable but unspectacular business quality, 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, 7:45 pm

Understanding the Business

The 60-second version of Piccadily Sugar & Allied Industries Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

How does it make money?

Turns over ₹2 Cr a year. Of every ₹100 of sales, about ₹20 reaches shareholders as profit, with ₹167 left at the operating level before interest, tax and depreciation.

What is its competitive advantage?Little sign of one

Returns on capital of the level reported 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.

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -90% 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-90%

Margin effect-270%

DalalBaazaar Score

40/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 54.3% a year
✗ Profit fell 94.5% in the latest year

Quality vs. Valuation

Company Quality

40/ 100

Weak

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

Valuation

18/ 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

No P/E available

EV/EBITDA

34.6x

PEG

—

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from -5.3% to 167.0% over 3 years.
Return on equity is rising
ROE has improved from -14.7% to 2.4%.
Return on capital is rising
ROCE has improved from -16.4% to 1.5%.

🔴 What Needs Attention0

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

Red Flags

4 items require attention · 4 high

🔴Debt has risen sharplyFinancial
Total debt is up 673% over 3 years, from ₹3 Cr to ₹21 Cr.
🔴Free cash flow negative for 3 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.
🔴Inventory building faster than salesFinancial
Inventory up 254% against revenue up -90% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -5.3% to 167.0%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 7.5x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
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
4 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 165%✓ 167.0%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 7.5x
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✗ -₹5 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 4x✓ 7.1x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

1 / 9 checks passed

✗ Strong return on equity (ROE ≥ 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 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

₹76 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not available

No data

Source didn't return this field

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹0.14

Profitable

Profitable on a per-share basis

ROE

Not available

No data

Source didn't return this field

ROCE

Not available

No data

Source didn't return this field

Debt/Equity

NaNx

Low

Conservative leverage

Revenue Growth (YoY)

17.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-94.5%

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

—

Cash burning

Spending more cash than the operations bring in

More Metrics

Gross Margin

56.0%

Proxy

Operating margin unavailable — showing gross margin instead

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

NaN

Adequate

Adequate, but no real cushion

52W Range Position

96%

Near high

Near its 52-week high

Technical Snapshot

SMA 20 / SMA 50

34.2 / 35.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

31.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹17 Cr	₹5 Cr	₹4 Cr	₹2 Cr	-54.3%
EBITDA	-₹1 Cr	-₹1 Cr	-₹1 Cr	₹3 Cr	—
EBITDA Margin	-5.3%	-30.2%	-33.1%	167.0%	—
PAT (Net Profit)	-₹2 Cr	-₹2 Cr	-₹1 Cr	₹0 Cr	—
EPS	₹-0.89	₹-0.82	₹-0.39	₹0.14	—
ROE	-14.7%	-15.6%	-8.0%	2.4%	—
ROCE	-16.4%	-7.6%	-6.1%	1.5%	—
Total Debt	₹3 Cr	₹15 Cr	₹23 Cr	₹21 Cr	+97.8%
Free Cash Flow	₹1 Cr	-₹14 Cr	-₹6 Cr	-₹5 Cr	—

🔴 Revenue has shrunk at 54.3% a year over 3 years.

🟢 EBITDA has turned positive, from -₹1 Cr to ₹3 Cr.

🟢 EBITDA Margin has risen from -5.3% to 167.0% over 3 years (+172.3 pts).

🟢 PAT (Net Profit) has turned positive, from -₹2 Cr to ₹0 Cr.

🟢 EPS has turned positive, from ₹-0.89 to ₹0.14.

🟢 ROE has risen from -14.7% to 2.4% over 3 years (+17.1 pts).

🟢 ROCE has risen from -16.4% to 1.5% over 3 years (+17.9 pts).

🔴 Total Debt has grown at 97.8% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹1 Cr to -₹5 Cr.

Balance Sheet & Cash Flow — FY2020

Total Assets

—

Total Liabilities

—

Cash & Equivalents

—

Operating Cash Flow

—

Capex

—

Recent News

2 mixed4 general

Ravi Kumar Distilleries (NSEI:RKDL) - Stock Analysis

Simply Wall Street, 15 Oct

Piccadily Sugar Q1 Results: Standalone figures approved by board

scanx.trade, 10 AugResults

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

Alcokraft Distilleries (NSEI:ALCODIS) - Stock Analysis

Simply Wall Street, 12 Oct

Piccadily Sugar shareholders approve NCRPS Series 2 at AGM

scanx.trade, 25 Sept

Top Alcohol Penny Stocks in India for 2027

Univest, 29 Sept

Q4 Results Today: Coal India, Varun Beverages, Bajaj Housing Finance Among 45+ Companies To Declare Earnings

NDTV Profit, 27 AprResults

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

Watch Items

Trading very close to its 52-week high — momentum-driven entries here carry more mean-reversion risk.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
Sector/industry classification unavailable — verify manually for peer comparison.
4 metrics couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongBusiness Quality

MiddlingValuation

WeakFinancial Health · 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. 4 high-severity red flags sit above this conclusion and should be read first.

2 of 4 tripwires tripped — Debt / EBITDA falls below 3x; Free cash flow remains positive · see Key things to watch ↑