Dhunseri Tea & Industries Ltd (DTIL) AI Stock Analysis

• Market Cap: ₹1.43B
• Dividend Yield: 0.62%
• Average Volume (3M): 1.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: 11.82%
• EPS Growth: 92.76%
• Country: IN
• Employees: 12,984
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): -6.77
• Shares Outstanding: 10,507,427
• 10 Day Avg. Volume: 2,416
• 30 Day Avg. Volume: 1,419
• PEG Ratio: 0.11
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 0.41
• P/FCF Ratio: -5.43
• 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: 43 Neutral
• Price Target: ₹131.00 ▼(-18.76% Downside)
• Action: Reiterated Date: 10/21/25
• Date: Action: Reiterated 10/21/25

Dhunseri Tea & Industries Ltd faces significant challenges, primarily due to its weak financial performance and bearish technical indicators. The negative P/E ratio and low dividend yield further highlight valuation concerns. The company's ability to improve operational efficiency and profitability is crucial for enhancing its financial position.

Positive Factors

Focused tea value-chain business

Dhunseri operates an integrated tea plantation-to-sale model, anchoring revenue in a stable commodity value chain. That vertical focus supports control over quality, supply and margins over time, providing a durable operating base amid sector cycles and helping preserve core cash generation potential.

Revenue growth trend

A reported ~14% revenue growth indicates expanding top-line scale, which can improve fixed-cost absorption in processing and estates. If sustained, this trend supports future margin recovery opportunities and better utilization of estate capacity, strengthening long-term operational resilience.

Manageable leverage

Management’s current leverage position is characterized as manageable, giving the company financial flexibility to fund working capital and maintenance capex for estates. Reasonable debt levels lower refinancing strain and allow room to navigate commodity cycles without immediate solvency pressure.

Negative Factors

Negative free cash flow

Persistent negative free cash flow and a recent swing to negative operating cash flow reduce internal funding for estate upkeep, processing investments and debt service. Over months this raises liquidity risk, forces reliance on external financing and constrains capacity to sustainably invest in productivity gains.

Persistent unprofitability

Recurring negative net income and depressed EBIT/EBITDA margins show the company struggles to convert revenue into profit. Structurally high costs or pricing pressures undermine reinvestment and returns, making long-term recovery dependent on meaningful margin improvement or cost restructuring.

Eroding equity base

Declining shareholders’ equity signals cumulative losses or capital erosion, reducing the absorbency of future shocks and limiting borrowing capacity. Over a multi-month horizon this weakens the company’s financial cushion, increasing funding risk for seasonal working capital and estate capital expenditures.

Dhunseri Tea & Industries Ltd Business Overview & Revenue Model

Company Description

Dhunseri Tea & Industries Limited engages in the cultivation, manufacture, and sale of loose and packet tea in India and internationally. It also produces and sells macadamia nuts. The company was formerly known as Dhunseri Services Limited and changed its name to Dhunseri Tea & Industries Limited in February 2014. Dhunseri Tea & Industries Limited was incorporated in 1997 and is based in Kolkata, India.

How the Company Makes Money

Dhunseri Tea & Industries Ltd generates revenue primarily through the sale of its tea products, which include bulk tea for commercial clients and packaged tea for retail consumers. The company capitalizes on both domestic and export markets, with a significant portion of its revenue derived from exports to countries like the UK, the US, and several European nations. Key revenue streams also include the sale of value-added products, such as specialty teas and branded tea blends, which cater to the growing consumer demand for premium and organic options. Additionally, DTIL benefits from strategic partnerships with distributors and retailers, enhancing its market reach and brand visibility. The company's focus on cost-effective production techniques and sustainable practices further contributes to its profitability, allowing it to maintain competitive pricing while ensuring high-quality offerings.

Dhunseri Tea & Industries Ltd Financial Statement Overview

Summary

Dhunseri Tea & Industries Ltd shows revenue growth but struggles with profitability and cash flow management. The balance sheet is relatively stable but shows signs of weakening equity. The company faces significant challenges in improving operational efficiency and achieving sustainable profitability.

Income Statement

Dhunseri Tea & Industries Ltd has experienced significant volatility in its income statement. While there was a notable increase in total revenue from 2024 to 2025, the company has struggled to maintain profitability, as evidenced by negative net income and low or negative EBIT and EBITDA margins over several years. The gross profit margin has been strong at times, but the net profit margin consistently remains negative, indicating challenges in cost management and profitability.

Balance Sheet

The company's balance sheet reflects moderate financial stability with a reasonable equity base. The debt-to-equity ratio is manageable, indicating a balanced approach to leveraging. However, declining stockholders' equity over time suggests potential risks in maintaining financial health. The equity ratio indicates a fair level of asset financing by equity, but the overall trajectory shows declining financial strength.

Cash Flow

Cash flow analysis reveals significant challenges, with consistently negative free cash flow and operating cash flow recently turning negative. This highlights difficulties in generating cash from operations and managing capital expenditures. The operating cash flow to net income ratio is weak, suggesting inefficiencies in converting income into cash. These trends point to potential liquidity constraints and the need for improved cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.73B	4.56B	3.95B	3.37B	3.49B	3.77B
Gross Profit	4.56B	388.25M	201.81M	2.90B	2.58B	2.84B
EBITDA	575.00K	-181.31M	-1.27B	-76.51M	-575.45M	642.91M
Net Income	-27.41M	-200.46M	-1.41B	-237.86M	-942.35M	307.18M
Balance Sheet
Total Assets	0.00	9.59B	9.53B	11.23B	10.43B	11.22B
Cash, Cash Equivalents and Short-Term Investments	199.07M	199.07M	125.70M	570.85M	1.45B	1.06B
Total Debt	0.00	2.62B	2.55B	1.81B	1.12B	937.91M
Total Liabilities	-5.20B	4.39B	4.31B	4.25B	2.94B	2.67B
Stockholders Equity	5.20B	5.20B	5.22B	6.97B	7.48B	8.55B
Cash Flow
Free Cash Flow	0.00	-340.40M	-1.26B	-1.84B	-199.18M	217.13M
Operating Cash Flow	0.00	-15.51M	-834.56M	203.13M	331.52M	461.20M
Investing Cash Flow	0.00	249.19M	225.48M	-605.19M	-363.43M	36.52M
Financing Cash Flow	0.00	-161.76M	518.69M	559.35M	45.99M	-548.42M

Dhunseri Tea & Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 161.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DTIL, the sentiment is Negative. The current price of 161.25 is above the 20-day moving average (MA) of 140.90, above the 50-day MA of 148.20, and below the 200-day MA of 174.77, indicating a bearish trend. The MACD of -3.78 indicates Positive momentum. The RSI at 41.46 is Neutral, neither overbought nor oversold. The STOCH value of 20.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:DTIL.

Dhunseri Tea & Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNITEDTEA	74 Outperform	₹2.52B	10.75	―	0.67%	―	―
GROBTEA	70 Outperform	₹1.05B	4.09	―	0.30%	-20.04%	-104.83%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
PKTEA	51 Neutral	₹2.40B	166.47	―	0.11%	-13.72%	-136.12%
DTIL	43 Neutral	₹1.43B	-5.93	―	0.62%	11.82%	92.76%

Dhunseri Tea & Industries Ltd Corporate Events

Dhunseri Tea Opens SEBI-Mandated Window to Regularise Legacy Physical Share Transfers

Dhunseri Tea & Industries Limited has announced the opening of a special window, in line with a recent SEBI circular, to facilitate the transfer and dematerialisation of physical securities that were sold or purchased before April 1, 2019 but could not be processed earlier due to documentation or procedural deficiencies. The window, open from February 5, 2026 to February 4, 2027, allows affected shareholders to resubmit original security certificates, transfer deeds and required documents to the company’s registrar, with all approved transfers credited only in demat form and subject to a one-year lock-in, while disputed cases and shares already moved to the Investor Education and Protection Fund are excluded from this facility; the initiative is expected to help clean up legacy physical holdings and improve compliance and transparency in the company’s share register.