Centum Electronics Limited (CENTUM) AI Stock Analysis

• Market Cap: ₹41.61B
• Dividend Yield: 0.2%
• Average Volume (3M): 26.87K
• Price to Earnings (P/E): 594.4
• Beta (1Y): 1.36
• Revenue Growth: 8.64%
• EPS Growth: N/A
• Country: IN
• Employees: 1,290
• Sector: Technology
• Sector Strength: 83
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 3.04
• Shares Outstanding: 14,707,152
• 10 Day Avg. Volume: 2,637
• 30 Day Avg. Volume: 26,869
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹2,351.00
• Price Target Upside: -16.89% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 53 Neutral
• Price Target: ₹2,351.00 ▼(-16.89% Downside)

Centum Electronics Limited's overall stock score is primarily impacted by its mixed financial performance and poor valuation. While there are strengths in revenue growth and operational efficiency, the high P/E ratio and negative cash flows are significant concerns. Technical indicators suggest a lack of strong momentum, further contributing to a cautious outlook.

Centum Electronics Limited Business Overview & Revenue Model

Company Description

Centum Electronics Limited (CENTUM) is a leading electronics company specializing in the design, development, and manufacturing of advanced electronics systems and subsystems. Serving a diverse range of sectors including aerospace, defense, industrial, medical, and transportation, Centum offers a comprehensive portfolio of products and services. These include electronic system design, manufacturing services, and product lifecycle management, aimed at providing high-reliability solutions tailored to customer needs.

How the Company Makes Money

Centum Electronics Limited generates revenue through several key streams. Primarily, the company earns money by providing design and manufacturing services to clients in various industries, including aerospace and defense, where it designs and manufactures critical components and systems. Additionally, Centum offers product lifecycle management services, which provide ongoing support and upgrades to existing systems. The company also benefits from strategic partnerships and collaborations, which enhance its technological capabilities and market reach. These collaborations often involve joint development initiatives or long-term supply agreements. Centum's ability to provide customized, high-reliability solutions allows it to maintain strong relationships with its clients, ensuring a steady flow of revenue.

Centum Electronics Limited Financial Statement Overview

Summary

Centum Electronics Limited shows a mixed financial picture. Revenue and gross margins have improved, but profitability is a concern with negative net margins. The balance sheet is strong in terms of leverage and equity, yet cash flow management shows significant reliance on financing, with negative free and operating cash flows.

Income Statement

Centum Electronics Limited shows a mixed performance in its income statement. The gross profit margin improved significantly from 8.5% in 2024 to 47.3% in 2025, indicating enhanced operational efficiency. However, the net profit margin turned negative in 2025 at -0.17%, down from 0.17% in 2024, primarily due to a net loss, which raises concerns. Revenue grew by 7.88% from 2024 to 2025, showing positive sales momentum. EBIT and EBITDA margins were 4.65% and 8.01% respectively, demonstrating moderate operational performance but room for improvement in profitability management.

Balance Sheet

The balance sheet shows a stable financial structure with a debt-to-equity ratio decreasing from 1.10 in 2024 to 0.46 in 2025, reflecting improved leverage. The equity ratio improved to 32.7%, indicating a stronger equity base relative to total assets. However, return on equity turned negative at -0.48% due to the net loss, highlighting profitability challenges. The overall stability is commendable, but profitability needs focus.

Cash Flow

Centum Electronics faced cash flow challenges with negative operating and free cash flows in 2025. The operating cash flow to net income ratio was negative, indicating cash outflows despite a net loss, which is a concern. The free cash flow to net income ratio was also negative. Despite these issues, the company had a high financing cash flow, suggesting reliance on external financing. The cash flow management needs improvement to ensure liquidity and reduce dependency on financing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	11.41B	11.31B	10.48B	8.84B	7.33B	7.67B
Gross Profit	5.35B	5.35B	891.54M	4.66B	4.20B	4.10B
EBITDA	905.87M	905.87M	783.52M	741.56M	185.22M	870.07M
Net Income	-19.27M	-19.27M	17.75M	98.16M	-305.43M	171.56M
Balance Sheet
Total Assets	12.39B	12.39B	10.64B	10.73B	9.23B	9.80B
Cash, Cash Equivalents and Short-Term Investments	1.78B	1.78B	481.21M	352.71M	523.51M	453.90M
Total Debt	1.87B	1.87B	2.25B	3.06B	3.19B	3.73B
Total Liabilities	8.45B	8.45B	8.67B	8.69B	7.24B	7.40B
Stockholders Equity	4.05B	4.05B	2.03B	2.11B	2.04B	2.23B
Cash Flow
Free Cash Flow	0.00	-479.32M	1.81B	491.76M	847.34M	559.85M
Operating Cash Flow	0.00	-293.51M	2.14B	709.32M	1.03B	806.03M
Investing Cash Flow	0.00	-588.22M	-440.16M	-112.49M	-149.32M	119.45M
Financing Cash Flow	0.00	1.07B	-1.45B	-880.54M	-811.79M	-659.67M

Centum Electronics Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2828.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CENTUM, the sentiment is Positive. The current price of 2828.9 is above the 20-day moving average (MA) of 2673.58, above the 50-day MA of 2445.67, and above the 200-day MA of 1965.46, indicating a bullish trend. The MACD of 135.80 indicates Negative momentum. The RSI at 72.35 is Negative, neither overbought nor oversold. The STOCH value of 72.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:CENTUM.

Centum Electronics Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SYRMA	67 Neutral	₹160.89B	74.30		0.18%	-3.83%	103.32%
Sector *	61 Neutral	$35.52B	8.84	-11.06%	1.87%	8.55%	-8.14%
CYIENTDLM	60 Neutral	₹34.09B	52.46		―	24.95%	-2.24%
KERNEX	60 Neutral	₹18.42B	33.57		―	358.71%	―
AVALON	56 Neutral	₹57.58B	76.38		―	46.95%	326.05%
NIITLTD	56 Neutral	₹15.49B	36.39		0.88%	11.08%	-3.08%
CENTUM	53 Neutral	₹41.61B	594.42		0.20%	8.64%	―

Centum Electronics Limited Corporate Events

Centum Electronics Successfully Concludes 32nd AGM

Centum Electronics Limited held its Thirty Second Annual General Meeting on August 5, 2025, via video conferencing. The meeting saw all resolutions passed with the required majority, as confirmed by the scrutinizer’s report. This successful AGM underscores the company’s stable governance and shareholder engagement, reinforcing its position in the electronics industry.