Radiant Cash Management Services Limited

Industrials — Specialty Business Services · NSE

₹33.70−₹0.11 (−0.33%)

DalalBaazaar Score

54 / 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, 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, 7:01 pm

Understanding the Business

Company site ↗

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

What does this company do?

Radiant Cash Management Services Limited engages in the provision of cash logistics and other related services in India.

IndustrySpecialty Business Services

SectorIndustrials

Employees2,641

Annual revenue₹429 Cr

How does it make money?

Turns over ₹429 Cr a year. Of every ₹100 of sales, about ₹8 reaches shareholders as profit, with ₹13 left at the operating level before interest, tax and depreciation. Each of its 2,641 employees supports ₹16.3 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹16.3 lakh

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 13.6% 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?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +21% while net margin moved -58% 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+21%

Margin effect-58%

DalalBaazaar Score

54/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Revenue CAGR of only 6.6% — barely ahead of inflation
✗ Profit has declined at 19.9% a year
✗ Profit is compounding slower than revenue — margins are being squeezed as the business grows
✗ Profit fell 13.0% in the latest year

Quality vs. Valuation

Company Quality

48/ 100

Average

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

Valuation

79/ 100

Cheap

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

11.5x

3Y Median

13.7x

40 monthly readings · mean 13.5x · range 7.5x–19.3x

Sector Median

88.8x

median of 3 sector peers

🟢Current valuation is approximately 16% below its 3y median of 13.7x. 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 87% below the peer median of 88.8x.

vs. its own history

Fair

13.7x median over 40 months · -16%

vs. sector peers

Cheap

88.8x median of 3 peers · -87%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

6.1x

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 27.3% to 11.6% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 36.8% to 13.6% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 2 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 575% over 3 years, from ₹29 Cr to ₹194 Cr.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 12.6 points, from 25.4% to 12.8%.
🟡Profit is decliningFinancial
Net profit is down 49% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 87% 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?

Margins are being competed away
EBITDA margin has fallen from 25.4% to 12.8%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
The debt load needs earnings to hold up
Debt is 3.5x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Growth barely outpaces inflation
Revenue compounding at 6.6% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Returns on shareholder capital are falling
ROE has dropped from 27.3% to 11.6%. 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 11%✓ 12.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 3.5x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Revenue growth stays above 5% a year✓ 6.6% CAGR
Latest reported year was 5.7%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
4Free cash flow remains positive✓ ₹14 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 11%✓ 13.6%
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

5 good · 5 neutral · 1 weak

Market Cap

₹360 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

11.5x

Cheap

Cheap against the generic band

P/B Ratio

1.30x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹2.94

Profitable

Profitable on a per-share basis

ROE

11.6%

Moderate

Moderate capital efficiency

ROCE

13.6%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.71x

Moderate

Moderate leverage

Revenue Growth (YoY)

5.7%

Modest

Modest growth

Profit Growth (YoY)

-13.0%

Falling

Profits are shrinking

Dividend Yield

7.42%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹14 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

6.1%

Average

Average margins

Net Margin

7.2%

Average

Average bottom-line conversion

Current Ratio

1.56

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.32

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

34.9 / 36.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

37.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹355 Cr	₹386 Cr	₹427 Cr	₹429 Cr	+6.6%
EBITDA	₹90 Cr	₹69 Cr	₹80 Cr	₹55 Cr	-15.2%
EBITDA Margin	25.4%	17.9%	18.8%	12.8%	—
PAT (Net Profit)	₹63 Cr	₹45 Cr	₹46 Cr	₹32 Cr	-19.9%
EPS	₹6.11	₹4.17	₹4.36	₹3.02	-20.9%
ROE	27.3%	17.7%	17.0%	11.6%	—
ROCE	36.8%	23.8%	23.8%	13.6%	—
Total Debt	₹29 Cr	₹33 Cr	₹117 Cr	₹194 Cr	+89.0%
Free Cash Flow	₹68 Cr	₹21 Cr	₹45 Cr	₹14 Cr	-40.6%

🟢 Revenue has grown at 6.6% a year over 3 years.

🔴 EBITDA has shrunk at 15.2% a year over 3 years.

🔴 EBITDA Margin has fallen from 25.4% to 12.8% over 3 years (-12.6 pts).

🔴 PAT (Net Profit) has shrunk at 19.9% a year over 3 years.

🔴 EPS has shrunk at 20.9% a year over 3 years.

🔴 ROE has fallen from 27.3% to 11.6% over 3 years (-15.7 pts).

🔴 ROCE has fallen from 36.8% to 13.6% over 3 years (-23.2 pts).

🔴 Total Debt has grown at 89.0% a year over 3 years.

🔴 Free Cash Flow has shrunk at 40.6% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹508 Cr

Total Liabilities

₹233 Cr

Cash & Equivalents

₹216 Cr

Operating Cash Flow

₹18 Cr

Capex

-₹3 Cr

Shareholding (proxy)

Institutional Holding

0.6%

Insider Holding

61.2%

Corporate Actions

Dividend Rate

₹2.5

Ex-Dividend Date

10 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 positive1 mixed1 negative3 general

Radiant Cash Management Services Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 30 Aug

Is Radiant Cash Management Services the Best Stock in Its Sector? A Look at the Numbers

Univest, 07 Oct

We Wouldn't Be Too Quick To Buy Radiant Cash Management Services Limited (NSE:RADIANTCMS) Before It Goes Ex-Dividend

Simply Wall Street, 06 SeptCapital return

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

Radiant Cash Management Slips 2.99% to ₹39.2: Support at ₹37.24 in Focus - Cash Secured Put

siam.in, 30 Aug

Radiant CMS standalone net profit falls 16% YoY in Q1FY27

scanx.trade, 12 AugResults

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

UPI MDR: Radiant Cash, CMS Info Systems, ATM-related shares jump; here's why

Business Today, 16 SeptPrice 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.

Watch Items

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.

DalalBaazaar Thesis

StrongFinancial Health · Valuation

MiddlingBusiness Quality · Profitability · Risk

WeakGrowth

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

1 of 5 tripwires tripped — Debt / EBITDA falls below 3x · see Key things to watch ↑