Symphony Limited

Consumer Cyclical — Furnishings, Fixtures & Appliances · NSE

₹545.50−₹6.25 (−1.13%)

DalalBaazaar Score

28 / 100

🔴 Weak

Verdict

HIGH RISK

Risk

Very 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, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:09 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 Symphony Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Symphony Limited, together with its subsidiaries, manufactures and trades in air coolers and other appliances under the Symphony brand for residential, commercial, and industrial customers in India and internationally.

IndustryFurnishings, Fixtures & Appliances

SectorConsumer Cyclical

Employees479

Annual revenue₹1,126 Cr

How does it make money?

Turns over ₹1,126 Cr a year. Of every ₹100 of sales, about ₹-13 reaches shareholders as profit, with ₹-1 left at the operating level before interest, tax and depreciation. Each of its 479 employees supports ₹2.35 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin-1.5%

Net margin-12.5%

Revenue / employee₹2.35 Cr

Who are its competitors?

The closest listed comparisons in its industry are HAVELLS INDIA LIMITED, VOLTAS LTD, TITAN COMPANY LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

HAVELLS INDIA LIMITEDP/E 43.5x · ROE 17.1%

VOLTAS LTDP/E 75.8x · ROE 7.0%

TITAN COMPANY LIMITEDP/E 68.5x · ROE 36.7%

What is its competitive advantage?Little sign of one

Returns on capital of -7.4% 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.

ROCE-7.4%

ROE-25.9%

Peer median ROE17.1%

What is the outlook?

6 analysts covering the stock expect revenue to grow about 59.3% and earnings to grow about 29.1% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+59.3%

Est. earnings growth+29.1%

Analysts6

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -5% while net margin moved -227% 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-5%

Margin effect-227%

DalalBaazaar Score

28/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Revenue has contracted at 1.7% a year
✗ Profit fell 5.1% in the latest year

Quality vs. Valuation

Company Quality

29/ 100

Weak

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

Valuation

21/ 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

N/A

No P/E — the company is lossmaking

P/E (Trailing)

Not meaningful

P/B

6.87x

EV/EBITDA

—

PEG

—

Dividend Yield

1.65%

What's Good / What's Bad

🟢 What's Going Well1

Debt is being paid down
Total debt is down 26% over 3 years.

🔴 What Needs Attention6

Margins are compressing
EBITDA margin has slipped from 14.5% to -1.5% over 3 years.
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 13.2% to -25.9% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 16.2% to -7.4% — often a sign of competition or overexpansion.
Receivables growing faster than sales
Receivables are up 31% against revenue growth of -5% — customers are taking longer to pay.
Inventory building faster than sales
Inventory is up 25% against revenue growth of -5% — stock may not be moving.

Red Flags

7 items require attention · 3 high · 4 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only -2.6x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹141 Cr in the latest reported year.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 15.9 points, from 14.5% to -1.5%.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 29.4x to -2.6x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹100 Cr in the latest year.
🟡Receivables growing faster than salesFinancial
Receivables up 31% against revenue up -5% — sales are being booked faster than they are collected.
🟡Inventory building faster than salesFinancial
Inventory up 25% against revenue up -5% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 26% 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?

Margins are being competed away
EBITDA margin has fallen from 14.5% to -1.5%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Sales are being booked faster than collected
Receivables are up 31% against revenue up -5%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 13.2% to -25.9%. 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.

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

1EBITDA margin holds above -3%✓ -1.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Free cash flow remains positive✗ -₹100 Cr
Profit that never becomes cash eventually stops being profit.
3Interest cover stays above 3x✗ -2.6x
How much operating profit can fall before interest stops being comfortably covered.
4ROCE stays above 8%✗ -7.4%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 12 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
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

2 good · 2 neutral · 7 weak

Market Cap

₹3,746 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

6.87x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹-18.5

Loss-making

Negative earnings per share — the business is losing money

ROE

-25.9%

Weak

Weak capital efficiency

ROCE

-7.4%

Weak

Low return on total capital employed

Debt/Equity

0.32x

Low

Conservative leverage

Revenue Growth (YoY)

50.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-5.1%

Falling

Profits are shrinking

Dividend Yield

1.65%

Modest

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

Free Cash Flow

-₹100 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

CMP

₹545.5

P/E (Forward)

19.7x

Operating Margin

10.6%

Average

Average margins

Net Margin

-12.3%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.52

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

567.7 / 590.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

24.8

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,184 Cr	₹1,154 Cr	₹1,573 Cr	₹1,126 Cr	-1.7%
EBITDA	₹171 Cr	₹199 Cr	₹338 Cr	-₹16 Cr	—
EBITDA Margin	14.5%	17.2%	21.5%	-1.5%	—
PAT (Net Profit)	₹116 Cr	₹148 Cr	₹213 Cr	-₹141 Cr	—
EPS	₹16.64	₹21.43	₹30.89	₹-20.54	—
ROE	13.2%	19.8%	27.9%	-25.9%	—
ROCE	16.2%	23.0%	36.6%	-7.4%	—
Total Debt	₹232 Cr	₹170 Cr	₹142 Cr	₹173 Cr	-9.4%
Free Cash Flow	₹114 Cr	₹154 Cr	₹236 Cr	-₹100 Cr	—

🟡 Revenue has been broadly flat over 3 years (-1.7% a year).

🔴 EBITDA has turned negative, from ₹171 Cr to -₹16 Cr.

🔴 EBITDA Margin has fallen from 14.5% to -1.5% over 3 years (-15.9 pts).

🔴 PAT (Net Profit) has turned negative, from ₹116 Cr to -₹141 Cr.

🔴 EPS has turned negative, from ₹16.64 to ₹-20.54.

🔴 ROE has fallen from 13.2% to -25.9% over 3 years (-39.1 pts).

🔴 ROCE has fallen from 16.2% to -7.4% over 3 years (-23.6 pts).

🟢 Total Debt has shrunk at 9.4% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹114 Cr to -₹100 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1,030 Cr

Total Liabilities

₹484 Cr

Total Debt

₹173 Cr

Cash & Equivalents

₹50 Cr

Operating Cash Flow

-₹81 Cr

Capex

-₹19 Cr

Shareholding (proxy)

Institutional Holding

8.5%

Insider Holding

75.8%

Corporate Actions

Dividend Rate

₹9

Ex-Dividend Date

11 Aug 2026

Analyst Consensus

Recommendations

5 Buy · 2 Hold · 0 Sell

Target Price (Mean)

₹790.86

+45.0% vs CMP

Target Range

₹740 – ₹855

Peer Comparison

Company	P/E	ROE
HAVELLS INDIA LIMITED	43.5x	17.1%
VOLTAS LTD	75.8x	7.0%
TITAN COMPANY LIMITED	68.5x	36.7%

Recent News

1 positive4 mixed1 general

SYMPHONY Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Earnings Release: Here's Why Analysts Cut Their Symphony Limited (NSE:SYMPHONY) Price Target To ₹874

Simply Wall Street, 07 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Symphony stock rallies 13.5% on foray into AC, air purifiers & BLDC fans

Business Standard, 08 Sept

Why Is Symphony Share Price Falling Key Reasons 2026

Univest, 06 JulPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Symphony Shares Fall as Q1 Profit Dips 5% Despite Dividend

Equitypandit, 04 AugCapital return

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

Symphony Ltd Share Price Target, Forecast for Long Term Equity.

HDFC Sky, 01 JulAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

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.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

🔴Business QualityWeak4.7/20

🟡Financial HealthAdequate12.1/20

🔴GrowthWeak2.4/20

🔴ProfitabilityWeak2.5/15

🔴ValuationDemanding2.6/15

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

This thesis breaks if

✓EBITDA margin holds above -3%-1.5%
✗Free cash flow remains positive-₹100 Cr
✗Interest cover stays above 3x-2.6x
✗ROCE stays above 8%-7.4%