Samsrita Labs Limited

Healthcare — Diagnostics & Research · BSE

₹12.35+₹1.05 (+9.29%)

DalalBaazaar Score

36 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

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

In simple words: The company is currently losing money. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:08 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 Samsrita Labs Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Samsrita Labs Limited operates as a biopharmaceutical company in India.

IndustryDiagnostics & Research

SectorHealthcare

Employees5

Annual revenue₹0 Cr

How does it make money?

Turns over ₹0 Cr a year. Of every ₹100 of sales, about ₹-45001 reaches shareholders as profit, with ₹39541 left at the operating level before interest, tax and depreciation. Each of its 5 employees supports ₹36,268 of revenue a year, the signature of a people-led business.

EBITDA margin39541.0%

Net margin-45000.7%

Revenue / employee₹36,268

Who are its competitors?

The closest listed comparisons in its industry are SUN PHARMACEUTICAL IND L, CIPLA LTD, DR. REDDY S LABORATORIES, APOLLO HOSPITALS ENTER. L. These are the companies its valuation and returns are measured against elsewhere in this report.

SUN PHARMACEUTICAL IND LP/E 34.9x · ROE 14.5%

CIPLA LTDP/E 31.8x · ROE 9.8%

DR. REDDY S LABORATORIESP/E 31.0x · ROE 8.8%

APOLLO HOSPITALS ENTER. LP/E 54.3x · ROE 22.0%

What is its competitive advantage?Little sign of one

Returns on capital of -6.5% 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.

ROCE-6.5%

ROE-69.4%

Peer median ROE14.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -16% while net margin moved +1280% 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-16%

Margin effect+1280%

DalalBaazaar Score

36/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 5.7% a year
✗ Profit fell 2765.8% in the latest year

Quality vs. Valuation

Company Quality

36/ 100

Weak

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

Valuation

49/ 100

Fair

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

P/E (Trailing)

Not meaningful

P/B

2.39x

EV/EBITDA

3.9x

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 2250.3% to 39541.0% over 3 years.
Debt is being paid down
Total debt is down 20% over 3 years.
Very low debt
Debt/Equity of 0.14x leaves the balance sheet with plenty of headroom.

🔴 What Needs Attention3

Free cash flow is negative
The business is not currently covering its capital spending from operations.
Return on equity is falling
ROE has dropped from -5.6% to -69.4% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from -2.0% to -6.5% — often a sign of competition or overexpansion.

Red Flags

3 items require attention · 2 high · 1 watch

🔴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.
🔴The company is lossmakingFinancial
Net profit of -₹8 Cr in the latest reported year.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 54% 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 2250.3% to 39541.0%. 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 20% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.

🔴 Bear CaseWhat could go wrong?

Returns on shareholder capital are falling
ROE has dropped from -5.6% to -69.4%. 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.
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
2 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 39539%✓ 39541.0%
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✓ 0.2x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4ROCE stays above 8%✗ -6.5%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

4 / 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)
✗ 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

1 good · 4 neutral · 6 weak

Market Cap

₹28 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

2.39x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹-3.43

Loss-making

Negative earnings per share — the business is losing money

ROE

-69.4%

Weak

Weak capital efficiency

ROCE

-6.5%

Weak

Low return on total capital employed

Debt/Equity

0.14x

Low

Conservative leverage

Revenue Growth (YoY)

Not available

No data

Source didn't return this field

Profit Growth (YoY)

-2765.8%

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

-₹4 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹12.35

Operating Margin

-48285.0%

Weak

Thin margins leave little room for error

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.00

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.32

Defensive

Steadier than the market

52W Range Position

15%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

11.7 / 11.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

48.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹0 Cr	—	—	₹0 Cr	-5.7%
EBITDA	₹0 Cr	-₹0 Cr	-₹0 Cr	₹7 Cr	+145.1%
EBITDA Margin	2250.3%	—	—	39541.0%	—
PAT (Net Profit)	-₹1 Cr	-₹0 Cr	-₹0 Cr	-₹8 Cr	—
EPS	₹-0.48	₹-0.18	₹-0.19	₹-3.99	—
ROE	-5.6%	-2.1%	-2.4%	-69.4%	—
ROCE	-2.0%	-2.0%	-2.1%	-6.5%	—
Total Debt	₹2 Cr	₹2 Cr	₹2 Cr	₹2 Cr	-7.1%
Free Cash Flow	₹1 Cr	-₹0 Cr	-₹0 Cr	-₹4 Cr	—

🔴 Revenue has shrunk at 5.7% a year over 3 years.

🟢 EBITDA has grown at 145.1% a year over 3 years.

🟢 EBITDA Margin has risen from 2250.3% to 39541.0% over 3 years (+37290.6 pts).

🔴 ROE has fallen from -5.6% to -69.4% over 3 years (-63.8 pts).

🔴 ROCE has fallen from -2.0% to -6.5% over 3 years (-4.5 pts).

🟢 Total Debt has shrunk at 7.1% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹1 Cr to -₹4 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹14 Cr

Total Liabilities

₹3 Cr

Total Debt

₹2 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

-₹4 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

78.0%

Peer Comparison

Company	P/E	ROE
SUN PHARMACEUTICAL IND L	34.9x	14.5%
CIPLA LTD	31.8x	9.8%
DR. REDDY S LABORATORIES	31.0x	8.8%
APOLLO HOSPITALS ENTER. L	54.3x	22.0%

Recent News

1 mixed5 general

Samsrita Labs Ltd. Peer Comparison – Compare with Others

Value Research, 11 Sept

Samsrita Labs schedules EGM on Oct 26 to approve ₹26 crore RPTs

scanx.trade, 05 Oct

Samsrita Labs : Compliane under Reg 74(5) SEBI (DP) regulations 2018 for the quarter ended 30.09.2026

www.marketscreener.com, 12 OctResults

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

Samsrita Labs (SAMSRITA) Share: What This Micro-Cap's Numbers Really Show

Kalkine India, 10 Sept

Samsrita Labs Ltd. Financials – Balance Sheet, Profit & Loss, Cash Flow

Value Research, 03 Sept

Samsrita Labs appoints Varanasi as independent director

scanx.trade, 06 Jul

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

🔴Business QualityWeak7.5/20

🟢Financial HealthStrong13/20

🔴GrowthWeak2.4/20

🔴ProfitabilityWeak3.8/15

🔴ValuationDemanding5.1/15

🔴RiskHigh4/10

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

This thesis breaks if

✓EBITDA margin holds above 39539%39541.0%
✗Free cash flow remains positive-₹4 Cr
✓Debt / EBITDA stays below 2x0.2x
✗ROCE stays above 8%-6.5%