SSPDL Limited

Real Estate — Real Estate - Development · BSE

₹13.60₹0.00 (0.00%)

DalalBaazaar Score

60 / 100

🟢 Good

Verdict

NEUTRAL

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: Strong business and financial position, with both sales and profits growing well. Debt 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

Company site ↗

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

What does this company do?

SSPDL Limited, together with its subsidiaries, constructs and develops commercial and residential properties in metropolitan and tier II cities in South India.

IndustryReal Estate - Development

SectorReal Estate

Employees17

Annual revenue₹20 Cr

How does it make money?

Turns over ₹20 Cr a year. Of every ₹100 of sales, about ₹38 reaches shareholders as profit, with ₹81 left at the operating level before interest, tax and depreciation. Each of its 17 employees supports ₹1.17 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.17 Cr

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY 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?Some evidence

ROCE of 107.1% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE10.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -53% while net margin moved -286% 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-53%

Margin effect-286%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 22.4% a year

Quality vs. Valuation

Company Quality

61/ 100

Average

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

Valuation

83/ 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

2.0x

Sector Median

30.2x

median of 3 sector peers

🟢Against its sector it trades 93% below the peer median of 30.2x.

vs. its own history

Not enough price and earnings history

vs. sector peers

Cheap

30.2x median of 3 peers · -93%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

3.5x

PEG

—

What's Good / What's Bad

🟢 What's Going Well5

Margins are improving
EBITDA margin is up from -16.8% to 81.2% over 3 years.
Debt is being paid down
Total debt is down 15% over 3 years.
Return on equity is rising
ROE has improved from -126.8% to 78.7%.
Return on capital is rising
ROCE has improved from -62.1% to 107.1%.
High return on capital employed
ROCE of 107.1% is the mark of a business that converts capital into profit efficiently.

🔴 What Needs Attention0

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

Red Flags

2 items require attention · 1 high · 1 watch

🔴High leverageFinancial
Debt/Equity of 4.33x — earnings must service borrowings before shareholders see anything.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.76 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Capital compounds at a high rate
ROCE of 107.1% means each rupee reinvested earns well above what capital costs. If the company can keep deploying at this rate, growth creates value rather than just consuming cash.
Margin expansion has further to run
EBITDA margin has risen from -16.8% to 81.2%. 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 15% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Cheaper than its peers
It trades 93% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

Leverage amplifies any setback
Debt/Equity of 4.33x. Interest is payable whether or not the business has a good year.
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.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 79%✓ 81.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA stays below 2x✗ 2.5x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
3Free cash flow remains positive✓ ₹14 Cr
Profit that never becomes cash eventually stops being profit.
4ROCE stays above 104%✓ 107.1%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.
5Interest cover stays above 4x✓ 5.6x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

8 / 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

7 good · 3 neutral · 1 weak

Market Cap

₹18 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

2.0x

Cheap

Cheap against the generic band

P/B Ratio

1.85x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹6.67

Profitable

Profitable on a per-share basis

ROE

78.7%

Strong

Strong capital efficiency

ROCE

107.1%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

4.33x

High

High leverage

Revenue Growth (YoY)

677.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

486.2%

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

₹14 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

2.0%

Weak

Thin margins leave little room for error

Net Margin

28.9%

Good

Strong bottom-line conversion

Current Ratio

0.76

Tight

Tight short-term liquidity

Beta (vs Nifty)

0.87

Market-like

Moves roughly in line with the market

52W Range Position

29%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

13.8 / 14.3

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

50.7

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹43 Cr	₹19 Cr	₹3 Cr	₹20 Cr	-22.4%
EBITDA	-₹7 Cr	-₹1 Cr	₹1 Cr	₹16 Cr	—
EBITDA Margin	-16.8%	-4.5%	43.9%	81.2%	—
PAT (Net Profit)	-₹9 Cr	-₹3 Cr	-₹2 Cr	₹7 Cr	—
EPS	₹-6.68	₹-2.19	₹-1.5	₹5.8	—
ROE	-126.8%	-71.5%	-95.7%	78.7%	—
ROCE	-62.1%	-26.8%	2.7%	107.1%	—
Total Debt	₹49 Cr	₹46 Cr	₹48 Cr	₹41 Cr	-5.4%
Free Cash Flow	₹24 Cr	₹5 Cr	₹11 Cr	₹14 Cr	-16.8%

🔴 Revenue has shrunk at 22.4% a year over 3 years.

🟢 EBITDA has turned positive, from -₹7 Cr to ₹16 Cr.

🟢 EBITDA Margin has risen from -16.8% to 81.2% over 3 years (+98.0 pts).

🟢 PAT (Net Profit) has turned positive, from -₹9 Cr to ₹7 Cr.

🟢 EPS has turned positive, from ₹-6.68 to ₹5.8.

🟢 ROE has risen from -126.8% to 78.7% over 3 years (+205.5 pts).

🟢 ROCE has risen from -62.1% to 107.1% over 3 years (+169.2 pts).

🟢 Total Debt has shrunk at 5.4% a year over 3 years.

🔴 Free Cash Flow has shrunk at 16.8% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹76 Cr

Total Liabilities

₹67 Cr

Cash & Equivalents

₹2 Cr

Operating Cash Flow

₹14 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

70.8%

Corporate Actions

Ex-Dividend Date

19 Jul 2007

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

2 positive1 mixed3 general

SSPDL Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 31 Aug

SSPDL discloses AGM voting results; all resolutions pass with majority

scanx.trade, 29 SeptResults

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

Autoline Industries consolidated net profit rises 268.63% in the June 2026 quarter

Business Standard, 13 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

SSPDL Q1FY27 net loss narrows 73% to ₹42.77 lakh on asset sales

scanx.trade, 13 Sept

SSPDL LTD. Share Price

Upstox, 24 Mar

Honasa Consumer consolidated net profit rises 118.36% in the June 2026 quarter

Business Standard, 13 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Profitability · Valuation

MiddlingFinancial Health

WeakGrowth · 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. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 5 tripwires tripped — Debt / EBITDA stays below 2x · see Key things to watch ↑