Check Before You Invest : Bemco Hydraulics Ltd

Q: Which industry/sub-sector does Bemco Hydraulics Ltd belong to?

Bemco Hydraulics Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering - Industrial Equipments segment.

Q: Is Bemco Hydraulics Ltd a good quality company?

Bemco Hydraulics Ltd is a average quality company, based on a somewhat consistent multi-year financial track record. This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q: Is Bemco Hydraulics Ltd undervalued or overvalued?

Bemco Hydraulics Ltd appears Overvalued, as its key valuation ratios are higher than their past averages. Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more. Valuation Ratios. Price to Earnings, Current: 37.96, Historic Median: 28.28. Price to Book, Current: 5.31, Historic Median: 3.61. Price to Sales, Current: 4.71, Historic Median: 3.02. EV to EBITDA, Current: 24.19, Historic Median: 17.65

Q: Is Bemco Hydraulics Ltd a good buy now?

Bemco Hydraulics Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Q: Revenue growth of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd revenue growth is 16% for FY-2025, which is below its 5-year CAGR of 20.93%, indicating slower growth.

Q: Gross Profit margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Gross profit margin which is the profit after deduction of direct costs, is 15.6% for FY-2025, which is above its 5-year median of 13.4%, indicating increasing margins.

Q: Operating Profit Margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 17.41% for FY-2025, which is above its 5-year median of 15.58% indicating increasing margins.

Q: Net Profit Margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Net Profit Margin is 11.12% for FY-2025, is above its 5-year median of 9.86%, indicating increasing margins. Profitability Metrics. Gross Profit Margin (%), Current: 15.6, Historic Median: 13.4. Operating Profit Margin (%), Current: 17.41, Historic Median: 15.58. Net Profit Margin (%), Current: 11.12, Historic Median: 9.86

Q: Return on Asset of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Return on Asset is 7.55%, which is above its 5-year historical median of 6.11%, indicating improved asset utilization efficiency.

Q: Return on capital employed (ROCE) of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Return on capital employed is 17.75% for FY-2025, which is in line with its 5-year historical median of 17.75%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Check Before You Invest : Bemco Hydraulics Ltd

Snapshot

Q.1 Which industry/sub-sector does Bemco Hydraulics Ltd belong to?

Bemco Hydraulics Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering - Industrial Equipments segment.

Q.2 Is Bemco Hydraulics Ltd a good quality company?

Bemco Hydraulics Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Bemco Hydraulics Ltd undervalued or overvalued?

Bemco Hydraulics Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios	Current	5-year Historic Median
Price to Earnings	37.96	28.28
Price to Book	5.31	3.61
Price to Sales	4.71	3.02
EV to EBITDA	24.19	17.65

Q.4 Is Bemco Hydraulics Ltd a good buy now?

Bemco Hydraulics Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

How has it performed on generating Profits?
By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.
How efficiently has it utilized Capital?
By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.
How is it managing its Debt?
By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd revenue growth is 16% for FY-2025, which is below its 5-year CAGR of 20.93%, indicating slower growth.

Q.2 Gross Profit margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Gross profit margin which is the profit after deduction of direct costs, is 15.6% for FY-2025, which is above its 5-year median of 13.4%, indicating increasing margins.

Q.3 Operating Profit Margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 17.41% for FY-2025, which is above its 5-year median of 15.58% indicating increasing margins.

Q.4 Net Profit Margin of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Net Profit Margin is 11.12% for FY-2025, is above its 5-year median of 9.86%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin (%)	15.6	13.4
Operating Profit Margin (%)	17.41	15.58
Net Profit Margin (%)	11.12	9.86

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Return on Asset is 7.55%, which is above its 5-year historical median of 6.11%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Return on capital employed is 17.75% for FY-2025, which is in line with its 5-year historical median of 17.75%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.7 Return on Equity (ROE) of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Return on equity is 14.62% for FY-2025, which is above its 5-year historical median of 12.24%, indicating the business is making better use of its shareholders capital.

Q.8 Cash conversion cycle of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Cash conversion cycle is 153 days, in line with its 5-year historical median of 153 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover (x)	0.71	0.71
ROE (%)	14.62	12.24
ROCE (%)	17.75	17.75
Cash Conversion Cycle	153 days	153 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Debt-to-Equity ratio is 0.22, which is above the industry average of 0.18, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Bemco Hydraulics Ltd?

Bemco Hydraulics Ltd Debt to cash flow from operations is 1.58, which is at a moderate level.

Ownership & governance

D: Promoter shareholding and pledge status of Bemco Hydraulics Ltd?

Q.1 Promoter shareholding and pledge status of Bemco Hydraulics Ltd?

Promoters hold 74.69% of the Bemco Hydraulics Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Bemco Hydraulics Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Bemco Hydraulics Ltd vs industry peers?

Bemco Hydraulics Ltd revenue CAGR is 20.93%, compared to the industry median CAGR of 3.04%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth (%)	16	3
Gross Profit Growth (%)	27.3	23.6
Operating Profit Growth (%)	27.3	21.7
Net Profit Growth (%)	28.6	27.1

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover (x)	0.71	0.89
ROE (%)	14.62	12.09
ROCE (%)	17.75	14.64
Cash Conversion Cycle (days)	152.84	98

Valuation & price assessment

Q.1 Stock return of Bemco Hydraulics Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 37.6% based on the current price.

	9Y	5Y	3Y	1Y
Share Price CAGR	37.6%	43.1%	37.4%	-20.9%

Q.2 Valuation ratios of Bemco Hydraulics Ltd vs historical?

The current P/E ratio of 37.96 is higher than its historical median of 28.28, indicating that the stock is trading above its historical average valuation.

Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	37.96	28.28	29.36
Price to Book	5.31	3.61	2.91
Price to Sales	4.71	3.02	2.93
EV to EBITDA	24.19	17.65	15.77

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Check Before You Invest : Bemco Hydraulics Ltd

Snapshot

Performance Analysis

Ownership & governance

Peer comparison (industry-wise, mcap)

Profit Metrics

Operating Efficiency

Valuation & price assessment

Check more companies

Check trending companies

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