Ahlada Engineers Limited (AHLADA) AI Stock Analysis

• Market Cap: ₹707.04M
• Dividend Yield: 3.19%
• Average Volume (3M): 32.59K
• Price to Earnings (P/E): 29.2
• Beta (1Y): 0.61
• Revenue Growth: -46.84%
• EPS Growth: -79.85%
• Country: IN
• Employees: 188
• Sector: Services
• Sector Strength: N/A
• Industry: Construction
• EPS (TTM): 0.34
• Shares Outstanding: 12,921,000
• 10 Day Avg. Volume: 17,384
• 30 Day Avg. Volume: 32,585
• PEG Ratio: -0.28
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.57
• P/FCF Ratio: 5.59
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: ₹57.00 ▲(20.18% Upside)

Overall score is held back primarily by weak recent financial performance (notably the revenue decline and thin net margins). Balance sheet strength and strong free-cash-flow conversion provide support, while technicals are modestly constructive but not strong enough to outweigh the valuation headwind from a high P/E.

Positive Factors

Strong free cash flow conversion

Very high free cash flow conversion demonstrates the company's ability to turn accounting profits into cash. For an engineering contractor this durable cash generation supports working capital for project cycles, funds capex/maintenance, reduces reliance on external funding and improves resilience to project delays.

Conservative leverage profile

Low debt relative to equity provides financial flexibility for bidding on larger contracts and absorbing project timing mismatches. A conservative capital structure lowers fixed interest burden, enabling steady investment in operations and helping sustain performance through cyclical downturns in construction activity.

Healthy gross and EBITDA margins

Relatively strong gross and EBITDA margins suggest structural pricing power and effective project cost controls. In infrastructure contracting, these durable margin cushions help absorb input cost volatility and execution risks, supporting long-term profitability even if revenues fluctuate across project cycles.

Negative Factors

Sharp recent revenue decline

A significant drop in revenue reduces scale economics and may reflect weaker contract wins or lower backlog. Sustained top-line contraction undermines fixed-cost absorption, limits ability to invest in business development, and can erode competitive position in bidding for future infrastructure projects.

Very thin net profit margin

A narrow net margin indicates limited profitability after operating and financing costs, leaving little buffer for cost overruns or delays common in construction. Persistently thin margins constrain retained earnings for reinvestment and reduce the firm's ability to build reserves for cyclical downturns.

Modest shareholder returns (ROE)

Low ROE points to inefficient use of equity capital and limited ability to generate attractive returns for shareholders. Over the medium term this can hinder capital raising, reduce investor confidence, and limit the company's capacity to fund growth initiatives without diluting equity or increasing leverage.

Ahlada Engineers Limited Business Overview & Revenue Model

Company Description

Ahlada Engineers Limited manufactures and sells steel doors and windows in India. It offers steel doors, including residential and commercial doors; and steel windows, such as single and double rebate windows. The company also manufactures and sells cleanroom equipment comprising pass box, horizontal and vertical air flow units, air showers, mobile LAF trolleys, bio-safety cabinets, dispensing and sampling booths, and sanitizing tunnels; clean room furniture, such as double sink cabinet, cupboards, die cabinets, cages, cage trolleys, table with keyboard slots and lockers, cross over benches, dust bins, enclosures, flat pallets, chairs, school benches, office tables, recycle cabinets, gown dispensers, steps, steps ladder, material trolleys, pallet shelves, pigeon cupboards, tool box cabinets, work shop carts, stools, and storage tanks; and water purifying systems. It serves the pharmaceutical, biotechnology, food, healthcare, entertainment, real estate, and other industries. The company also exports its products. Ahlada Engineers Limited was incorporated in 2005 and is based in Hyderabad, India.

How the Company Makes Money

AHLADA generates revenue primarily through project contracts in the engineering and construction sectors. The company secures funding for its projects through competitive bidding processes for government and private contracts, which can include large-scale infrastructure developments. Key revenue streams include fees for engineering design services, construction management, and ongoing maintenance services post-project completion. Additionally, AHLADA may engage in partnerships with local governments and private firms to co-develop projects, which can enhance its earnings potential through shared investment and risk mitigation. Furthermore, the company may also explore opportunities in consultancy services, providing expertise in environmental assessments and project feasibility studies, thereby diversifying its income sources.

Ahlada Engineers Limited Financial Statement Overview

Summary

Ahlada Engineers Limited faces challenges in revenue growth and profitability, as reflected in the income statement. The balance sheet is stable with low leverage, providing a solid foundation. Cash flow metrics indicate strong cash conversion, although historical volatility in cash flows is a concern. Overall, the company exhibits a mixed financial performance with strengths in cash flow management and balance sheet stability, but weaknesses in revenue growth and profitability.

Income Statement

Ahlada Engineers Limited has experienced a significant decline in revenue growth, with a notable decrease of 35.09% in the latest year. The gross profit margin stands at 36.98%, which is relatively healthy, but the net profit margin is low at 2.81%. The EBIT and EBITDA margins are moderate at 8.12% and 16.08%, respectively. Overall, the income statement reflects challenges in revenue growth and profitability.

Balance Sheet

The company maintains a solid debt-to-equity ratio of 0.26, indicating a conservative leverage position. Return on equity is modest at 2.66%, suggesting limited profitability relative to equity. The equity ratio is not explicitly calculated, but the balance sheet shows a stable financial structure with a focus on equity financing.

Cash Flow

Ahlada Engineers Limited has shown a remarkable improvement in free cash flow, with a growth rate labeled as 'Infinity' due to a previous negative base. The operating cash flow to net income ratio is 0.21, indicating moderate cash generation relative to net income. The free cash flow to net income ratio is strong at 0.997, reflecting efficient cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.32B	1.32B	2.60B	1.58B	1.52B	1.59B
Gross Profit	435.26M	488.11M	362.38M	625.38M	231.21M	500.99M
EBITDA	213.98M	212.23M	367.80M	254.95M	268.14M	297.08M
Net Income	37.06M	37.06M	136.49M	50.94M	51.83M	101.88M
Balance Sheet
Total Assets	2.12B	2.12B	2.29B	1.98B	1.84B	2.33B
Cash, Cash Equivalents and Short-Term Investments	25.15M	25.15M	24.89M	753.00K	873.00K	55.57M
Total Debt	357.58M	357.58M	429.25M	323.49M	310.60M	598.02M
Total Liabilities	724.79M	724.80M	913.75M	722.37M	616.28M	1.14B
Stockholders Equity	1.39B	1.39B	1.38B	1.26B	1.22B	1.19B
Cash Flow
Free Cash Flow	0.00	135.55M	-39.26M	39.22M	350.11M	-144.03M
Operating Cash Flow	0.00	135.93M	-2.02M	81.63M	363.12M	-21.19M
Investing Cash Flow	0.00	5.67M	-36.49M	-39.23M	-13.40M	-169.47M
Financing Cash Flow	0.00	-141.56M	40.44M	-42.58M	-350.66M	191.44M

Ahlada Engineers Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 47.43
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AHLADA, the sentiment is Neutral. The current price of 47.43 is below the 20-day moving average (MA) of 50.69, below the 50-day MA of 52.29, and below the 200-day MA of 59.54, indicating a neutral trend. The MACD of 0.73 indicates Negative momentum. The RSI at 52.46 is Neutral, neither overbought nor oversold. The STOCH value of 37.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:AHLADA.

Ahlada Engineers Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HPIL	59 Neutral	₹1.55B	164.03	―	0.37%	42.23%	-50.43%
AHLADA	58 Neutral	₹707.04M	29.20	―	3.19%	-46.84%	-79.85%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
PNC	47 Neutral	₹374.70M	-33.92	―	―	-38.18%	-174.01%
INFOMEDIA	42 Neutral	₹323.25M	-10.08	―	―	―	―
MANUGRAPH	38 Underperform	₹471.43M	1,061.22	―	―	27.73%	―

Ahlada Engineers Limited Corporate Events

Ahlada Engineers Denies Any Undisclosed Developments Behind Share Price Surge

Ahlada Engineers Limited has responded to a query from the National Stock Exchange of India regarding a significant movement in its share price, stating that the change in price and trading volume is purely market driven. The company said it is not aware of any undisclosed information, event, development or unpublished price-sensitive information that could explain the stock’s recent behaviour, and affirmed that it is in compliance with regulatory disclosure requirements and will continue to promptly inform exchanges of any material developments, indicating that the volatility appears to stem from broader market conditions and investor sentiment rather than company-specific actions.

Ahlada Engineers Limited Releases Unaudited Financial Results for September 2025

Ahlada Engineers Limited has released its unaudited financial results for the quarter and half-year ending September 30, 2025. The results were published in The South India Times and Sakshyam newspapers, in compliance with SEBI regulations. This announcement reflects the company’s ongoing transparency and adherence to regulatory requirements, potentially impacting its market perception and stakeholder confidence.

Ahlada Engineers Secures Major Furniture Supply Contract in Andhra Pradesh

Ahlada Engineers Limited has secured a contract to supply furniture to ZP High School in Simhadripuram, Andhra Pradesh, awarded by the Chief Engineer of Andhra Pradesh Samgra Shiksha. The contract, valued at approximately INR 47.63 lakh, is expected to be executed within a month, with a bank guarantee required for the defect liability period. This order reinforces Ahlada’s position in the domestic market and highlights its capability to fulfill significant orders within tight deadlines.