Check Before You Invest : Dhampur Bio Organics Ltd

Snapshot

Q.1 Which industry/sub-sector does Dhampur Bio Organics Ltd belong to?

Dhampur Bio Organics Ltd belongs to the Agriculture & Allied activities sector, operating specifically within the Sugar segment.

Q.2 Is Dhampur Bio Organics Ltd a good quality company?

Dhampur Bio Organics Ltd is a weak quality company, based on a inconsistent 4-year financial track record.

Q.3 Is Dhampur Bio Organics Ltd undervalued or overvalued?

Dhampur Bio Organics Ltd appears Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Dhampur Bio Organics Ltd a good buy now?

Dhampur Bio Organics Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd revenue growth is 2.8% for FY-2025, which is below its 3-year CAGR of 6.38%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Return on capital employed is 4% for FY-2025, which is below its 3-year historical median of 5.8%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Return on Asset is 0.51%, which is below its 3-year historical median of 2.21%, indicating deteriorated asset utilization efficiency.

Q.4 Return on Equity (ROE) of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Return on equity is 1.19% for FY-2025, which is below its 3-year historical median of 4.84%, indicating the business is making worse use of its shareholders capital.

Q.5 Cash conversion cycle of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Cash conversion cycle is 130 days, in line with its 3-year historical median of 130 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	3-year Historic Median
Asset Turnover	1.15	1.15
ROE	1.19	4.84
ROCE	4	5.8
Cash Conversion Cycle	130 days	130 days

Q.6 Gross Profit margin of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Gross profit margin which is the profit after deduction of direct costs, is 2.8% for FY-2025, which is below its 3-year median of 4.9%, indicating decreasing margins.

Q.7 Operating Profit Margin of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 7.43% for FY-2025, which is in line with its 3-year median of 7.72% indicating stable margins.

Q.8 Net Profit Margin of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Net Profit Margin is 0.64% for FY-2025, is below with its 3-year median of 2.67%, indicating decreasing margins.

	Current Level	3-year Historic Median
Gross Profit Margin	2.8	4.9
Operating Profit Margin	7.43	7.72
Net Profit Margin	0.64	2.67

Q.9 Debt to Equity ratio of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Debt-to-Equity ratio is 1.13, which is above with the industry average of 0.76, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Dhampur Bio Organics Ltd?

Dhampur Bio Organics Ltd Debt to cash flow from operations is 8.72, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Dhampur Bio Organics Ltd?

Promoters hold 50.65% of the Dhampur Bio Organics Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Dhampur Bio Organics Ltd vs industry peers?

Dhampur Bio Organics Ltd revenue CAGR is 6.38%, compared to the industry median CAGR of 2.07%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	3-year Industry Median
Revenue Growth	2.8	2.1
Gross Profit Growth	-33.6	-3.6
Operating Profit Growth	1.5	0.1
Net Profit Growth	-75.5	-12.3

Operating Efficiency

	Current Level	3-year Industry Median
Asset Turnover	1.15	0.88
ROE	1.19	9.61
ROCE	4	10.35
Cash Conversion Cycle (days)	130.19	116

Valuation & price assessment

Q.1 Stock return of Dhampur Bio Organics Ltd over the last decade?

Over the last 3 year(s), the stock has delivered a CAGR of -8.12% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	-8.1%	81.9%

Q.3 Valuation ratios of Dhampur Bio Organics Ltd vs historical?

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

Q.4 How do the current valuation ratios compare with 3-year historical median and industry numbers?

Valuation Ratios	Current	3-year Historic Median	3-year Industry Median
Price to Earnings	44.59	21.71	14.70
Price to Book	0.84	0.84	1.10
Price to Sales	0.27	0.34	0.73
EV to EBITDA	8.5	8.64	8.78

Check more companies

1. E.I.D. Parry (I)

2. Balrampur Chini Mill

3. Triveni Engg. & Inds

4. Shree Renuka Sugar

5. Bajaj Hindusthan Sug

6. Banna Amman Sugars

7. Dalmia Bharat Sugar

8. M.V.K. Agro FoodProd

9. Godavari Biorefin

10. Dhampur Sugar Mills

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