SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : PlatinumOne Business Services Ltd

BSE: 543352 NSE: ISIN: INE0DTJ01015
  |   Sector:  IT & ITES   |   Industry:  BPO/ITeS

Snapshot

Q.1 Which industry/sub-sector does PlatinumOne Business Services Ltd belong to?
PlatinumOne Business Services Ltd belongs to the IT & ITES sector, operating specifically within the BPO/ITeS segment.
Q.2 Is PlatinumOne Business Services Ltd a good quality company?
PlatinumOne Business Services 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 PlatinumOne Business Services Ltd undervalued or overvalued?
PlatinumOne Business Services 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 13.59 15.34
Price to Book 1.28 2.10
Price to Sales 0.69 1.13
EV to EBITDA 7.01 8.03
Q.4 Is PlatinumOne Business Services Ltd a good buy now?
PlatinumOne Business Services 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 PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd revenue growth is 14.8% for FY-2025, which is above its 5-year CAGR of 3.13%, indicating faster growth.

Q.2 Gross Profit margin of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Gross profit margin which is the profit after deduction of direct costs, is 8.6% for FY-2025, which is in line with its 5-year median of 8.6%, indicating stable margins.

Q.3 Operating Profit Margin of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 9.14% for FY-2025, which is below its 5-year median of 12.83% indicating decreasing margins.

Q.4 Net Profit Margin of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Net Profit Margin is 5.11% for FY-2025, is below its 5-year median of 5.55%, indicating decreasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 8.6 8.6
Operating Profit Margin (%) 9.14 12.83
Net Profit Margin (%) 5.11 5.55

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Return on Asset is 7.44%, which is below its 5-year historical median of 8.27%, indicating deteriorated asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Return on capital employed is 13.7% for FY-2025, which is below its 5-year historical median of 19.73%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.7 Return on Equity (ROE) of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Return on equity is 9.87% for FY-2025, which is below its 5-year historical median of 17.55%, indicating the business is making worse use of its shareholders capital.

Q.8 Cash conversion cycle of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Cash conversion cycle is 52 days, below its 5-year historical median of 61 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 1.71 1.76
ROE (%) 9.87 17.55
ROCE (%) 13.7 19.73
Cash Conversion Cycle 52 days 61 days

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

Q.9 Debt to Equity ratio of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Debt-to-Equity ratio is 0.22, which is above the industry average of 0.05, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of PlatinumOne Business Services Ltd?
PlatinumOne Business Services Ltd Debt to cash flow from operations is 1.63, which is at a moderate level.

Ownership & governance

D: Promoter shareholding and pledge status of PlatinumOne Business Services Ltd?

Q.1 Promoter shareholding and pledge status of PlatinumOne Business Services Ltd?
Promoters hold 73.34% of the PlatinumOne Business Services Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does PlatinumOne Business Services Ltd performance compare with that of its Peers?

Q.1 Revenue growth of PlatinumOne Business Services Ltd vs industry peers?
PlatinumOne Business Services Ltd revenue CAGR is 3.13%, compared to the industry median CAGR of 3.91%, indicating slower growth and losing its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 14.8 3.9
Gross Profit Growth (%) 14.6 10.8
Operating Profit Growth (%) 17.3 10.8
Net Profit Growth (%) 5.4 8.5
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 1.71 0.72
ROE (%) 9.87 10.43
ROCE (%) 13.7 15.4
Cash Conversion Cycle (days) 52.09 38

Valuation & price assessment

Q.1 Stock return of PlatinumOne Business Services Ltd over the last decade?
Over the last 3 year(s), the stock has delivered a CAGR of -16.7% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
- - -16.7% 8.6%
Q.2 Valuation ratios of PlatinumOne Business Services Ltd vs historical?
The current P/E ratio of 13.59 is lower than its historical median of 15.34, 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 13.59 15.34 29.72
Price to Book 1.28 2.10 2.75
Price to Sales 0.69 1.13 4.18
EV to EBITDA 7.01 8.03 15.58

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through: