Suyog Gurbaxani Funicular Ropeways Limited

Consumer Cyclical — Travel Services · BSE

₹78.00−₹0.26 (−0.33%)

DalalBaazaar Score

60 / 100

🟢 Good

Verdict

CAUTION

Risk

Very High

Driven by high debt relative to equity, short-term liabilities exceed short-term assets, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, but sales are shrinking. Debt is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:27 pm

Understanding the Business

Company site ↗

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

What does this company do?

Suyog Gurbaxani Funicular Ropeways Limited provides infrastructure development and transportation solutions for connectivity in terrains and pilgrimage destinations in India.

IndustryTravel Services

SectorConsumer Cyclical

Employees214

Annual revenue₹50 Cr

How does it make money?

Turns over ₹50 Cr a year. Of every ₹100 of sales, about ₹12 reaches shareholders as profit, with ₹47 left at the operating level before interest, tax and depreciation. Each of its 214 employees supports ₹23.3 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹23.3 lakh

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS 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 6.4% 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 ROE25.9%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +177% while net margin moved +585% 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+177%

Margin effect+585%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.24 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ High leverage magnifies any downturn in earnings
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

61/ 100

Average

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

Valuation

73/ 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

32.6x

3Y Median

74.8x

40 monthly readings · mean 309.5x · range 27.3x–1288.5x

Sector Median

69.2x

median of 4 sector peers

🟢Current valuation is approximately 56% below its 3y median of 74.8x. 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 53% below the peer median of 69.2x.

vs. its own history

Cheap

74.8x median over 40 months · -56%

vs. sector peers

Cheap

69.2x median of 4 peers · -53%

vs. generic bands

Fair

15x–35x

EV/EBITDA

15.5x

PEG

0.20

What's Good / What's Bad

🟢 What's Going Well3

Cash generation is improving
Free cash flow is up 736% over 3 years.
Return on equity is rising
ROE has improved from 3.1% to 14.6%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

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

Red Flags

5 items require attention · 3 high · 2 watch

🔴Debt has risen sharplyFinancial
Total debt is up 158% over 3 years, from ₹66 Cr to ₹170 Cr.
🔴High leverageFinancial
Debt/Equity of 2.47x — earnings must service borrowings before shareholders see anything.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 15.1 points, from 62.2% to 47.1%.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 4.0x to 2.6x.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.71 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Priced below its own history
The stock trades 56% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 53% 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 62.2% to 47.1%. 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 7.2x 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
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

1Revenue growth stays above 30% a year✓ 40.4% CAGR
Latest reported year was -25.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 45%✓ 47.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 7.2x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Interest cover stays above 3x✗ 2.6x
How much operating profit can fall before interest stops being comfortably covered.
5Free cash flow remains positive✓ ₹6 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

4 / 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

2 good · 5 neutral · 4 weak

Market Cap

₹194 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

32.6x

Fair

Fairly valued against the generic band

P/B Ratio

4.76x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹2.39

Profitable

Profitable on a per-share basis

ROE

12.7%

Moderate

Moderate capital efficiency

ROCE

6.4%

Weak

Low return on total capital employed

Debt/Equity

2.47x

High

High leverage

Revenue Growth (YoY)

-25.1%

Shrinking

Sales are contracting

Profit Growth (YoY)

-97.1%

Falling

Profits are shrinking

Dividend Yield

0.64%

Modest

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

Free Cash Flow

₹102 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

ROA

5.1%

Average

Average asset productivity

Operating Margin

38.2%

Good

Healthy core-business profitability

Net Margin

11.9%

Good

Strong bottom-line conversion

Current Ratio

0.71

Tight

Tight short-term liquidity

Beta (vs Nifty)

-0.24

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

82.3 / 89.4

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

36.1

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹18 Cr	₹63 Cr	₹53 Cr	₹50 Cr	+40.4%
EBITDA	₹11 Cr	₹21 Cr	₹17 Cr	₹23 Cr	+28.0%
EBITDA Margin	62.2%	33.8%	33.0%	47.1%	—
PAT (Net Profit)	₹0 Cr	₹6 Cr	₹9 Cr	₹6 Cr	+166.6%
EPS	₹0.13	₹2	₹3.5	₹2.39	+163.9%
ROE	3.1%	35.4%	35.5%	14.6%	—
ROCE	6.2%	15.0%	10.1%	6.4%	—
Total Debt	₹66 Cr	₹87 Cr	₹86 Cr	₹170 Cr	+37.1%
Free Cash Flow	₹1 Cr	-₹14 Cr	₹4 Cr	₹6 Cr	+102.9%

🟢 Revenue has grown at 40.4% a year over 3 years.

🟢 EBITDA has grown at 28.0% a year over 3 years.

🔴 EBITDA Margin has fallen from 62.2% to 47.1% over 3 years (-15.1 pts).

🟢 PAT (Net Profit) has grown at 166.6% a year over 3 years.

🟢 EPS has grown at 163.9% a year over 3 years.

🟢 ROE has risen from 3.1% to 14.6% over 3 years (+11.5 pts).

🟡 ROCE has held roughly flat at 6.4% over 3 years.

🔴 Total Debt has grown at 37.1% a year over 3 years.

🟢 Free Cash Flow has grown at 102.9% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹264 Cr

Total Liabilities

₹195 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹7 Cr

Capex

-₹0 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

70.2%

Corporate Actions

Dividend Rate

₹0.5

Ex-Dividend Date

22 Sept 2026

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

1 negative5 general

Suyog Gurbaxani Funicular Ropeways submits revised FY26 annual report

scanx.trade, 29 Sept

Suyog Gurbaxani Funicular Ropeways Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 01 Sept

Suyog Gurbaxani Funicular Ropeways Board Approves Share Reclassification and Notes BSE Fine

scanx.trade, 06 FebRegulatory

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

SGFRL Successfully Completes and Inaugurates Ropeway Project at Haji Malang, Maharashtra

scanx.trade, 19 Jan

A2ZINFRA Stock Price and Chart — NSE:A2ZINFRA

TradingView, 09 Feb

Suyog Gurbaxani Funicular Ropeways IPO Subscription Status {Final Data}

IPO Watch, 25 Sept

Watch Items

Revenue growth is negative (-25.1%) on the latest reported period — check if this is one-off or a trend.
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

StrongGrowth · Profitability

MiddlingBusiness Quality · Valuation

WeakFinancial Health · Risk

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

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