Emmbi Industries Limited (EMMBI) AI Stock Analysis

• Market Cap: ₹1.54B
• Dividend Yield: 0.29%
• Average Volume (3M): 1.73K
• Price to Earnings (P/E): 41.7
• Beta (1Y): 1.57
• Revenue Growth: 11.97%
• EPS Growth: -29.32%
• Country: IN
• Employees: 162
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Packaging & Containers
• EPS (TTM): 0.58
• Shares Outstanding: 19,240,250
• 10 Day Avg. Volume: 973
• 30 Day Avg. Volume: 1,727
• PEG Ratio: -0.71
• Price to Book (P/B): 0.92
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 28.27
• 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: 60 Neutral
• Price Target: ₹84.00 ▼(-14.33% Downside)
• Action: Reiterated Date: 11/25/25
• Date: Action: Reiterated 11/25/25

Emmbi Industries Limited's overall stock score reflects a stable financial position with room for improvement in profitability and cash management. The technical analysis indicates a bearish trend with weak momentum, while the valuation suggests moderate pricing. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Manageable leverage and healthy equity base

A reasonable debt-to-equity ratio and healthy equity ratio provide durable financial flexibility for Emmbi. Manageable leverage reduces refinancing and solvency risk through commodity cycles, supports continued capex for capacity or conversion assets, and preserves strategic optionality over months to years.

Improved gross margins from cost management

Significant gross margin improvement driven by cost management increases the firm's ability to withstand polymer input volatility and supports longer-term profitability. Sustained better gross margins enhance cash generation potential and create headroom to invest in higher-value converted packaging or tooling.

Resilient revenue recovery and positive growth

A ~10.8% revenue uptick and noted recovery indicate underlying demand resilience for Emmbi's industrial packaging across end markets. Sustained top-line recovery supports higher capacity utilization, better fixed-cost absorption, and a platform for margin improvement and incremental investment over the coming quarters.

Negative Factors

Declining net income and lower ROE

Falling net income and reduced ROE signal weakening returns on shareholder capital, constraining the company's ability to finance growth organically. Over a multi-quarter horizon this can pressure reinvestment, dividend capacity and investor confidence, and may indicate structural margin or pricing issues.

Free cash flow pressured by higher capex

Rising capital expenditures that compress free cash flow reduce financial flexibility for debt servicing, dividends, or opportunistic investments. If elevated capex persists without proportional profit or cash conversion gains, Emmbi may need external funding or to cut discretionary spending, weakening resilience.

Low operating (EBIT/EBITDA) margins

Relatively low operating margins point to ongoing cost or mix pressures and limited buffer against raw material swings. Over months this erodes earnings stability and constrains the company's ability to invest in conversion capabilities or move up the value chain without structural efficiency improvements.

Emmbi Industries Limited Business Overview & Revenue Model

Company Description

Emmbi Industries Limited engages in the manufacturing, trading, and selling of woven polymer based products in India. The company provides various specialty flexible intermediate bulk containers (FIBCs), such as standard, tunnel lift, single and two loops, and ventilated and net, as well as woven sacks, garden waste, planter/hedge, and skip bags; box bags, including bale bags, automobile covers, and lumber covers; and woven fabrics, which include silt fence, sandwich fabrics, roofing underlayment, and tarpaulin. It also offers space confinement, conductive type C, flame retardant, anti-corrosive, and rodent repellent packaging bags, as well as de-watering, tamper evidence, and self-standing FIBCs; fall arrest systems; and carrier bags used for containing and transportation of asbestos. In addition, the company provides geo textile bags, canal and pond liner, flexi tank, and flood control bags. Further, it offers ground cover, weed mats, and mulch films used for weed control; crop covers to manage soil erosion, soil fertility, soil quality, water, weeds, pests, diseases, biodiversity, and wildlife in an agroecosystem. Additionally, the company provides industrial sling bags, a packaging solution for transport of heavy sacks; and protective furniture covers. It also exports its products to 70 countries. The company was formerly known as Emmbi Polyarns Limited and changed its name to Emmbi Industries Limited in July 2013. Emmbi Industries Limited was incorporated in 1994 and is based in Mumbai, India.

How the Company Makes Money

EMMBI makes money primarily by manufacturing and selling plastic-based industrial packaging products. Its core revenue model is product sales (B2B), where customers purchase woven PP and related packaging solutions for use in packaging, handling, storage, and transportation of goods. Revenue is typically driven by (i) volumes shipped and product mix (standard vs. higher-value converted/laminated or application-specific packaging), and (ii) realization per unit, which is influenced by polymer/raw-material input costs and the company’s ability to pass through price changes via customer pricing. Additional specific details about revenue segmentation, major customer/sector concentration, contract structure, or material partnerships are null.

Emmbi Industries Limited Financial Statement Overview

Summary

Emmbi Industries Limited demonstrates a mixed financial performance. Strong revenue recovery and cost management have supported gross margins, but declining net income and lower ROE highlight challenges in profitability. The balance sheet remains stable with manageable debt levels, but cash flow constraints due to higher capital expenditures may impact future liquidity and growth opportunities.

Income Statement

Emmbi Industries shows a mixed performance in its income statement. The gross profit margin has improved significantly from the previous year, indicating effective cost management. However, the net profit margin has decreased due to a decline in net income, suggesting challenges in maintaining profitability. The revenue growth rate is positive, showing recovery after a drop in the prior year, but the EBIT and EBITDA margins are relatively low, indicating higher operational costs.

Balance Sheet

The balance sheet reflects a stable financial position with a reasonable debt-to-equity ratio, suggesting manageable leverage. Return on Equity (ROE) has decreased, indicating lower profitability relative to shareholder equity. The equity ratio remains healthy, showing a strong asset base funded by equity, providing stability against liabilities.

Cash Flow

The cash flow statement highlights some concerns with a decline in free cash flow due to increased capital expenditures. The operating cash flow to net income ratio is favorable, suggesting effective cash conversion from operations. However, the free cash flow to net income ratio indicates a tighter cash position, which could impact future investments and debt servicing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.37B	4.04B	3.77B	3.71B	4.36B	2.74B
Gross Profit	1.73B	1.51B	833.66M	914.42M	779.96M	661.48M
EBITDA	410.93M	384.13M	334.08M	338.01M	449.97M	266.07M
Net Income	75.11M	62.29M	99.47M	82.66M	190.33M	76.74M
Balance Sheet
Total Assets	4.36B	4.12B	3.88B	3.66B	3.55B	3.28B
Cash, Cash Equivalents and Short-Term Investments	24.48M	17.28M	11.45M	15.64M	9.56M	14.82M
Total Debt	1.65B	1.59B	1.56B	1.47B	1.44B	1.36B
Total Liabilities	2.40B	2.25B	2.18B	2.06B	2.01B	1.93B
Stockholders Equity	1.96B	1.86B	1.70B	1.61B	1.53B	1.35B
Cash Flow
Free Cash Flow	-11.51M	60.53M	74.91M	139.70M	76.89M	-129.32M
Operating Cash Flow	45.21M	247.99M	282.28M	384.68M	274.42M	35.76M
Investing Cash Flow	-57.20M	-189.64M	-206.71M	-241.98M	-197.16M	-153.65M
Financing Cash Flow	18.92M	-52.86M	90.09M	-139.11M	-76.90M	108.36M

Emmbi Industries Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 98.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:EMMBI, the sentiment is Negative. The current price of 98.05 is above the 20-day moving average (MA) of 87.40, above the 50-day MA of 92.03, and below the 200-day MA of 102.11, indicating a bearish trend. The MACD of -3.58 indicates Positive momentum. The RSI at 25.86 is Positive, neither overbought nor oversold. The STOCH value of 18.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:EMMBI.

Emmbi Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
EMMBI	60 Neutral	₹1.54B	41.66	―	0.29%	11.97%	-29.32%
PEARLPOLY	44 Neutral	₹279.29M	-5.93	―	―	―	―
FLEXITUFF	40 Underperform	₹229.43M	-0.35	―	―	-67.01%	-140.84%