Bharat Road Network Ltd. (BRNL) AI Stock Analysis

• Market Cap: ₹1.78B
• Dividend Yield: N/A
• Average Volume (3M): 13.47K
• Price to Earnings (P/E): 0.9
• Beta (1Y): 1.47
• Revenue Growth: -57.13%
• EPS Growth: N/A
• Country: IN
• Employees: 166
• Sector: Services
• Sector Strength: N/A
• Industry: Industrial - Infrastructure Operations
• EPS (TTM): 0.57
• Shares Outstanding: 83,950,000
• 10 Day Avg. Volume: 18,106
• 30 Day Avg. Volume: 13,469
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.96
• P/FCF Ratio: 10.63
• 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: 50 Neutral
• Price Target: ₹21.50 ▼(-2.45% Downside)

The score is held down primarily by weak financial quality (high leverage, volatile profitability and revenue) and a soft technical backdrop (negative MACD and trading below longer-term moving averages). A very low P/E provides meaningful valuation support, preventing a lower overall score.

Positive Factors

Consistent operating cash flow

Steady operating cash flow generation provides durable funding for maintenance, toll operations and near-term obligations. This reduces reliance on new equity, supports scheduled capex and helps service debt through cycles, improving long-term operational resilience.

Net profit margin turned positive

A return to positive net margin indicates potential operational recovery and stronger earnings quality. If sustained, positive margins can rebuild retained earnings, enhance reinvestment capacity and improve credit metrics over the coming quarters.

Improved equity and ROE

Rising equity and better ROE signal improving capital structure and profitability effectiveness. A stronger equity base enhances balance-sheet flexibility for infrastructure investments and reduces some solvency risk when maintained over multiple reporting periods.

Negative Factors

High leverage

Significant leverage increases refinancing and interest-rate exposure, constraining strategic choices and cash available for capex or dividends. High debt amplifies downside during revenue weakness and can limit capacity to fund long-term infrastructure projects without external support.

Steep and volatile revenue

A large recent revenue decline and historically inconsistent top-line growth undermine visibility for future cash flows. Sustained revenue volatility complicates planning for toll collections and maintenance spending, raising execution risk for multi-year infrastructure contracts.

Operational inefficiencies and margin volatility

Persistent negative EBIT and swinging EBITDA margins signal cost structure problems and weak operational leverage. Without durable margin improvements, free cash flow and the ability to deleverage will remain constrained, limiting long-term profitability and investment capacity.

Bharat Road Network Ltd. Business Overview & Revenue Model

Company Description

Bharat Road Network Limited designs, develops, builds, owns, operates, and transfers road and related services in India. It offers financial and concession management, tolling operations and highway management, and financial and project management services; specialized toll plaza construction and integration with the selected TMS services; and corridor and incident management integrated with HTMS services. The company was incorporated in 2006 and is based in Kolkata, India.

How the Company Makes Money

Bharat Road Network Ltd. generates revenue primarily through toll collection from the highways and roads it develops and operates. The company's revenue model is heavily reliant on long-term concession agreements with the government, allowing them to collect tolls over specified periods. Additionally, BRNL may earn income through project execution fees and operational services for maintaining the roads. The company often partners with government bodies and financial institutions to secure funding and support for infrastructure projects, which also aids in enhancing its revenue streams. Factors contributing to its earnings include the growth in vehicular traffic, government initiatives to improve road infrastructure, and efficient management of operational costs.

Bharat Road Network Ltd. Financial Statement Overview

Summary

Mixed fundamentals: net profit margin turned positive recently and operating cash flow has been consistently generated, but profitability and revenue trends have been volatile. High leverage (elevated debt-to-equity and low equity ratio) remains a key balance-sheet risk despite improved equity and ROE in the latest year.

Income Statement

Bharat Road Network Ltd. has experienced significant volatility in its revenue and profitability metrics over recent years. The net profit margin improved substantially in the latest year, turning positive after a series of losses, indicating a potential turnaround. However, the negative EBIT and fluctuating EBITDA margins reflect operational inefficiencies and cost management challenges. Revenue growth has been inconsistent, with significant declines in recent periods.

Balance Sheet

The company exhibits a high debt-to-equity ratio, indicating significant leverage and potential financial risk. Improvements in stockholders' equity are noteworthy, but the equity ratio remains low, suggesting limited asset backing by equity. Return on equity showed improvement due to positive net income in the latest year, but historical losses have impacted overall financial stability.

Cash Flow

Cash flow metrics show some resilience, with consistent operating cash flow generation over the years. The free cash flow growth rate is positive in the latest year, though it has been unstable historically. The company demonstrates an acceptable operating cash flow to net income ratio, suggesting reasonable cash generation relative to earnings. However, the free cash flow to net income ratio reflects potential variability in cash generation capabilities.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.17B	2.74B	3.80B	3.26B	2.16B	2.10B
Gross Profit	1.32B	1.27B	2.88B	636.95M	1.39B	1.80B
EBITDA	2.41B	2.62B	1.49B	269.31M	-452.03M	822.61M
Net Income	1.67B	1.41B	-1.12B	-2.10B	-3.76B	-1.14B
Balance Sheet
Total Assets	0.00	14.35B	27.34B	27.06B	28.46B	31.43B
Cash, Cash Equivalents and Short-Term Investments	2.23B	2.23B	2.76B	2.22B	609.29M	1.35B
Total Debt	0.00	4.34B	13.28B	14.13B	14.92B	15.39B
Total Liabilities	-4.22B	10.12B	24.48B	23.07B	22.44B	21.51B
Stockholders Equity	4.22B	3.31B	1.90B	3.02B	5.09B	8.86B
Cash Flow
Free Cash Flow	0.00	246.94M	2.60B	2.51B	-63.20M	512.67M
Operating Cash Flow	0.00	768.53M	3.65B	2.59B	219.49M	512.67M
Investing Cash Flow	0.00	-518.32M	-2.08B	807.52M	1.96B	1.68B
Financing Cash Flow	0.00	-620.46M	-2.14B	-2.50B	-2.33B	-1.99B

Bharat Road Network Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 22.04
• 50DMA: Negative
• 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:BRNL, the sentiment is Neutral. The current price of 22.04 is above the 20-day moving average (MA) of 20.62, above the 50-day MA of 22.00, and below the 200-day MA of 22.35, indicating a neutral trend. The MACD of -0.40 indicates Negative momentum. The RSI at 49.02 is Neutral, neither overbought nor oversold. The STOCH value of 39.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:BRNL.

Bharat Road Network Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDBANK	71 Outperform	₹1.54B	22.48	―	―	-18.35%	-43.75%
RPPINFRA	60 Neutral	₹4.11B	6.68	―	0.47%	-7.32%	-26.92%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
BRNL	50 Neutral	₹1.78B	0.94	―	―	-57.13%	―
SADBHAV	41 Neutral	₹1.06B	-0.68	―	―	―	―

Bharat Road Network Ltd. Corporate Events

Bharat Road Network Shuts Trading Window Ahead of December Quarter Results

Bharat Road Network Limited has announced that its trading window for dealing in the company’s securities will be closed for all insiders, including directors, designated persons and their immediate relatives, from 1 January 2026 until 48 hours after the announcement of its unaudited financial results for the quarter and nine months ended 31 December 2025. The move, made in line with the company’s Insider Trading Code and SEBI’s Prohibition of Insider Trading Regulations, is designed to prevent trading on unpublished price-sensitive information and underscores the company’s compliance focus and corporate governance standards, with implications for when key stakeholders may transact in the stock.