Check Before You Invest : Crestchem Ltd

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

Crestchem Ltd belongs to the Chemicals & Fertilizers sector, operating specifically within the Chemicals segment.

Q: Is Crestchem Ltd a good quality company?

Crestchem Ltd is a quality company, based on a 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 Crestchem Ltd undervalued or overvalued?

Crestchem Ltd appears Undervalued, as its key valuation ratios are lower 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: 16.74, Historic Median: 23.67. Price to Book, Current: 4.23, Historic Median: 7.81. Price to Sales, Current: 1.4, Historic Median: 1.83. EV to EBITDA, Current: 12.13, Historic Median: 16.56

Q: Is Crestchem Ltd a good buy now?

Crestchem 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 Crestchem Ltd?

Crestchem Ltd revenue growth is 18% for FY-2025, which is below its 5-year CAGR of 32.25%, indicating slower growth.

Q: Gross Profit margin of Crestchem Ltd?

Crestchem Ltd Gross profit margin which is the profit after deduction of direct costs, is 14.8% for FY-2025, which is above its 5-year median of 10.2%, indicating increasing margins.

Q: Operating Profit Margin of Crestchem Ltd?

Crestchem Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 13.25% for FY-2025, which is above its 5-year median of 9.41% indicating increasing margins.

Q: Net Profit Margin of Crestchem Ltd?

Crestchem Ltd Net Profit Margin is 10.87% for FY-2025, is above its 5-year median of 7.51%, indicating increasing margins. Profitability Metrics. Gross Profit Margin (%), Current: 14.8, Historic Median: 10.2. Operating Profit Margin (%), Current: 13.25, Historic Median: 9.41. Net Profit Margin (%), Current: 10.87, Historic Median: 7.51

Q: Return on Asset of Crestchem Ltd?

Crestchem Ltd Return on Asset is 30.88%, which is above its 5-year historical median of 21.71%, indicating improved asset utilization efficiency.

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

Crestchem Ltd Return on capital employed is 59.94% for FY-2025, which is above its 5-year historical median of 45.15%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Check Before You Invest : Crestchem Ltd

BSE: 526269 NSE: ISIN: INE293N01016

| Sector: Chemicals & Fertilizers | Industry: Chemicals

Snapshot

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

Crestchem Ltd belongs to the Chemicals & Fertilizers sector, operating specifically within the Chemicals segment.

Q.2 Is Crestchem Ltd a good quality company?

Crestchem Ltd is a quality company, based on a 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 Crestchem Ltd undervalued or overvalued?

Crestchem Ltd appears Undervalued, as its key valuation ratios are lower 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	16.74	23.67
Price to Book	4.23	7.81
Price to Sales	1.4	1.83
EV to EBITDA	12.13	16.56

Q.4 Is Crestchem Ltd a good buy now?

Crestchem 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 Crestchem Ltd?

Crestchem Ltd revenue growth is 18% for FY-2025, which is below its 5-year CAGR of 32.25%, indicating slower growth.

Q.2 Gross Profit margin of Crestchem Ltd?

Crestchem Ltd Gross profit margin which is the profit after deduction of direct costs, is 14.8% for FY-2025, which is above its 5-year median of 10.2%, indicating increasing margins.

Q.3 Operating Profit Margin of Crestchem Ltd?

Crestchem Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 13.25% for FY-2025, which is above its 5-year median of 9.41% indicating increasing margins.

Q.4 Net Profit Margin of Crestchem Ltd?

Crestchem Ltd Net Profit Margin is 10.87% for FY-2025, is above its 5-year median of 7.51%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin (%)	14.8	10.2
Operating Profit Margin (%)	13.25	9.41
Net Profit Margin (%)	10.87	7.51

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Crestchem Ltd?

Crestchem Ltd Return on Asset is 30.88%, which is above its 5-year historical median of 21.71%, indicating improved asset utilization efficiency.

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

Crestchem Ltd Return on capital employed is 59.94% for FY-2025, which is above its 5-year historical median of 45.15%. 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 Crestchem Ltd?

Crestchem Ltd Return on equity is 44.06% for FY-2025, which is in line with its 5-year historical median of 44.06%, indicating the business is making similar use of its shareholders capital.

Q.8 Cash conversion cycle of Crestchem Ltd?

Crestchem Ltd Cash conversion cycle is 3 days, above its 5-year historical median of 3 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover (x)	2.84	2.89
ROE (%)	44.06	44.06
ROCE (%)	59.94	45.15
Cash Conversion Cycle	3 days	3 days

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

Q.9 Debt to Equity ratio of Crestchem Ltd?

Crestchem Ltd Debt-to-Equity ratio is 0.00, which is lower the industry average of 0.13, indicating lower debt levels in the industry.

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

Crestchem Ltd Debt to cash flow from operations is 0, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Crestchem Ltd?

Q.1 Promoter shareholding and pledge status of Crestchem Ltd?

Promoters hold 30.04% of the Crestchem Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

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

Q.1 Revenue growth of Crestchem Ltd vs industry peers?

Crestchem Ltd revenue CAGR is 32.25%, compared to the industry median CAGR of 7.53%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth (%)	18	7.5
Gross Profit Growth (%)	22.4	12.1
Operating Profit Growth (%)	19.9	11.7
Net Profit Growth (%)	27	9.7

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover (x)	2.84	0.93
ROE (%)	44.06	10.17
ROCE (%)	59.94	12.96
Cash Conversion Cycle (days)	2.57	62

Valuation & price assessment

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

Over the last 9 year(s), the stock has delivered a CAGR of 29.3% based on the current price.

	9Y	5Y	3Y	1Y
Share Price CAGR	29.3%	27.1%	8.6%	-36.2%

Q.2 Valuation ratios of Crestchem Ltd vs historical?

The current P/E ratio of 16.74 is lower than its historical median of 23.67, indicating that the stock is trading below 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	16.74	23.67	28.17
Price to Book	4.23	7.81	2.22
Price to Sales	1.4	1.83	1.93
EV to EBITDA	12.13	16.56	14.20

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Check Before You Invest : Crestchem 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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