Windsor Machines Limited

Industrials — Specialty Industrial Machinery · NSE

₹289.20+₹0.60 (+0.21%)

DalalBaazaar Score

37 / 100

🔴 Weak

Verdict

CAUTION

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: The business is earning a fairly low return on the money invested in it, 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, 7:02 pm

Understanding the Business

Company site ↗

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

What does this company do?

Windsor Machines Limited engages in the manufacture and sale of plastic processing machinery in India and internationally. It operates through the Injection Moulding Machine, Pipe Extrusion, and and Blown Film segment.

IndustrySpecialty Industrial Machinery

SectorIndustrials

Employees1,101

Annual revenue₹567 Cr

How does it make money?

Turns over ₹567 Cr a year. Of every ₹100 of sales, about ₹0 reaches shareholders as profit, with ₹6 left at the operating level before interest, tax and depreciation. Each of its 1,101 employees supports ₹51.5 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹51.5 lakh

Who are its competitors?

The closest listed comparisons in its industry are SIEMENS LTD, ABB INDIA LIMITED, LARSEN & TOUBRO LTD., HAVELLS 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 1.5% 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.

Peer median ROE17.1%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +52% while net margin moved -91% 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+52%

Margin effect-91%

DalalBaazaar Score

37/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ P/E of 507.4x is demanding — it needs sustained high growth to justify
✗ P/E is 80% above its own historical median of 282.6x — expensive by its own standards
✗ P/B of 5.11x is a steep premium to book

Quality vs. Valuation

Company Quality

40/ 100

Weak

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

Valuation

23/ 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.

Historical Valuation

Current P/E

507.4x

3Y Median

282.6x

40 monthly readings · mean 720.7x · range 90.8x–4922.1x

Sector Median

66.2x

median of 4 sector peers

⚠️Current valuation is approximately 80% above its 3y median of 282.6x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

⚠️Against its sector it trades 667% above the peer median of 66.2x.

vs. its own history

Expensive

282.6x median over 40 months · +80%

vs. sector peers

Expensive

66.2x median of 4 peers · +667%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

90.6x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Very low debt
Debt/Equity of 0.17x leaves the balance sheet with plenty of headroom.

🔴 What Needs Attention2

Margins are compressing
EBITDA margin has slipped from 7.8% to 5.9% over 3 years.
Return on capital is falling
ROCE has declined from 3.8% to 1.5% — often a sign of competition or overexpansion.

Red Flags

6 items require attention · 2 high · 4 watch

🔴Debt has risen sharplyFinancial
Total debt is up 141% over 3 years, from ₹36 Cr to ₹86 Cr.
🔴Inventory building faster than salesFinancial
Inventory up 151% against revenue up 52% — stock may not be moving.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 8.1x to 2.1x.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹219 Cr in the latest year.
🟡Profit is decliningFinancial
Net profit is down 86% over 3 years.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 36% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

No clear supporting case emerges from the available numbers.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 7.8% to 5.9%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
The price already assumes success
The stock trades 80% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
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

1Revenue growth stays above 11% a year✓ 15.0% CAGR
Latest reported year was 31.4%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 4%✓ 5.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.6x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹219 Cr
Profit that never becomes cash eventually stops being profit.
5Interest cover stays above 3x✗ 2.1x
How much operating profit can fall before interest stops being comfortably covered.

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

3 good · 2 neutral · 6 weak

Market Cap

₹2,992 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

507.4x

Expensive

Expensive — verify against sector peers

P/B Ratio

5.11x

Rich

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

EPS (TTM)

₹0.57

Profitable

Profitable on a per-share basis

ROE

0.1%

Weak

Weak capital efficiency

ROCE

1.5%

Weak

Low return on total capital employed

Debt/Equity

0.17x

Low

Conservative leverage

Revenue Growth (YoY)

31.4%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-91.3%

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

-₹219 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

0.8%

Weak

Thin margins leave little room for error

Net Margin

1.7%

Weak

Very little revenue reaches the bottom line

Current Ratio

2.29

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.92

Market-like

Moves roughly in line with the market

52W Range Position

62%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

295.8 / 301.5

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

44.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹373 Cr	₹351 Cr	₹366 Cr	₹567 Cr	+15.0%
EBITDA	₹29 Cr	₹15 Cr	₹20 Cr	₹34 Cr	+5.0%
EBITDA Margin	7.8%	4.1%	5.5%	5.9%	—
PAT (Net Profit)	₹5 Cr	-₹8 Cr	₹7 Cr	₹1 Cr	-48.3%
EPS	₹0.72	₹-1.19	₹1.01	₹0.06	-55.7%
ROE	1.7%	-2.9%	1.8%	0.1%	—
ROCE	3.8%	-0.2%	4.5%	1.5%	—
Total Debt	₹36 Cr	₹36 Cr	₹35 Cr	₹86 Cr	+34.0%
Free Cash Flow	₹6 Cr	₹19 Cr	-₹389 Cr	-₹219 Cr	—

🟢 Revenue has grown at 15.0% a year over 3 years.

🟢 EBITDA has grown at 5.0% a year over 3 years.

🔴 EBITDA Margin has fallen from 7.8% to 5.9% over 3 years (-1.9 pts).

🔴 PAT (Net Profit) has shrunk at 48.3% a year over 3 years.

🔴 EPS has shrunk at 55.7% a year over 3 years.

🔴 ROE has fallen from 1.7% to 0.1% over 3 years (-1.5 pts).

🔴 ROCE has fallen from 3.8% to 1.5% over 3 years (-2.3 pts).

🔴 Total Debt has grown at 34.0% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹6 Cr to -₹219 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹883 Cr

Total Liabilities

₹390 Cr

Cash & Equivalents

₹25 Cr

Operating Cash Flow

-₹51 Cr

Capex

-₹168 Cr

Shareholding (proxy)

Institutional Holding

1.5%

Insider Holding

80.0%

Corporate Actions

Ex-Dividend Date

27 Aug 2024

Peer Comparison

Company	P/E	ROE
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%
LARSEN & TOUBRO LTD.	30.1x	15.2%
HAVELLS INDIA LIMITED	43.5x	17.1%

Recent News

2 positive3 mixed1 negative

Windsor Machines (WINDMACHIN.NS) Steadies Near ₹300 as Stock Consolidates Below ₹315 Resistance - Analyst Downgrade Signals

siam.in, 30 SeptAnalyst view

🔴Potentially negativeAn analyst opinion changing, which moves the price without changing the business.

Windsor Machines Q1FY27 net loss narrows to ₹107.63 lakh on revenue surge

scanx.trade, 08 AugResults

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

Windsor Machines Ltd. (WINDMACHIN) Share Price Rises 9.04% Today

Univest, 07 AugPrice 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.

Windsor Machines slumps after recording net loss of Rs 0.9 crore for June'26 quarter

Business Standard, 10 AugResults

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

Windsor Machines Share Price Gains 4.79% On NCLT Approval

HDFC Sky, 20 MarPrice 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.

Windsor Machines FY26 Results: Revenue Surges 52.8% YoY; Signs MOU With Allerindia Developers for ₹162 Cr Thane Property Sale

scanx.trade, 09 MayResults

🟢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

MiddlingFinancial Health

WeakBusiness Quality · Growth · Profitability · Valuation · Risk

Points for each in the Score ↑

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.

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