Check Before You Invest : Organic Recycling Systems Ltd

Snapshot

Q.1 Which industry/sub-sector does Organic Recycling Systems Ltd belong to?

Organic Recycling Systems Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering segment.

Q.2 Is Organic Recycling Systems Ltd a good quality company?

Organic Recycling Systems Ltd is a weak quality company, based on a inconsistent 8-year financial track record.

Q.3 Is Organic Recycling Systems Ltd undervalued or overvalued?

Organic Recycling Systems Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is Organic Recycling Systems Ltd a good buy now?

Organic Recycling Systems 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

Q.1 Revenue growth of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd revenue growth is 39.2% for FY-2025, which is above its 5-year CAGR of 23.48%, indicating faster growth.

Q.2 Return on capital employed (ROCE) of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Return on capital employed is 2.21% for FY-2025, which is below its 5-year historical median of 2.49%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Return on Asset is 1.49%, which is in line with its 5-year historical median of 1.49%, indicating stable asset utilization efficiency.

Q.4 Return on Equity (ROE) of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Return on equity is 1.94% for FY-2025, which is below its 5-year historical median of 2.31%, indicating the business is making worse use of its shareholders capital.

Q.5 Cash conversion cycle of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Cash conversion cycle is 242 days, above its 5-year historical median of 26 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	0.11	0.07
ROE	1.94	2.31
ROCE	2.21	2.49
Cash Conversion Cycle	242 days	26 days

Q.6 Gross Profit margin of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Gross profit margin which is the profit after deduction of direct costs, is 21.5% for FY-2025, which is below its 5-year median of 24.5%, indicating decreasing margins.

Q.7 Operating Profit Margin of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 12.32% for FY-2025, which is in line with its 5-year median of 12.76% indicating stable margins.

Q.8 Net Profit Margin of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Net Profit Margin is 13.55% for FY-2025, is below with its 5-year median of 17.35%, indicating decreasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	21.5	24.5
Operating Profit Margin	12.32	12.76
Net Profit Margin	13.55	17.35

Q.9 Debt to Equity ratio of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Debt-to-Equity ratio is 0.16, which is lower with the industry average of 0.41, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of Organic Recycling Systems Ltd?

Organic Recycling Systems Ltd Debt to cash flow from operations is -1.94, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Organic Recycling Systems Ltd?

Promoters hold 18.10% of the Organic Recycling Systems Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Organic Recycling Systems Ltd vs industry peers?

Organic Recycling Systems Ltd revenue CAGR is 23.48%, compared to the industry median CAGR of 11.42%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	39.2	11.4
Gross Profit Growth	25	16.2
Operating Profit Growth	-40	16.8
Net Profit Growth	-	29

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.11	0.71
ROE	1.94	8.26
ROCE	2.21	10.15
Cash Conversion Cycle (days)	241.7	99

Valuation & price assessment

Q.1 Stock return of Organic Recycling Systems Ltd over the last decade?

Over the last 1 year(s), the stock has delivered a CAGR of -7.29% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	-	-7.3%

Q.3 Valuation ratios of Organic Recycling Systems Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 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	54.85	63.55	29.85
Price to Book	1.15	1.20	2.38
Price to Sales	5.05	11.82	2.23
EV to EBITDA	32.16	42.78	15.78

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