Kesoram Industries Ltd (KESORAMIND) AI Stock Analysis

• Market Cap: ₹2.75B
• Dividend Yield: N/A
• Average Volume (3M): 550.89K
• Price to Earnings (P/E): <0.1
• Beta (1Y): 0.62
• Revenue Growth: -91.62%
• EPS Growth: N/A
• Country: IN
• Employees: 1,588
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 0.19
• Shares Outstanding: 310,640,140
• 10 Day Avg. Volume: 165,617
• 30 Day Avg. Volume: 550,895
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.14
• Price to Sales (P/S): 0.24
• P/FCF Ratio: 1.99
• 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: 52 Neutral
• Price Target: ₹9.00 ▼(-9.09% Downside)

The score is anchored by mixed financial performance (inconsistent profitability and higher leverage despite decent gross profit and operating cash generation). Technical indicators are weak in the near term (below key moving averages with negative MACD), partially offset by very low P/E valuation support.

Positive Factors

Brand and Market Focus

A clear, focused business model around cement (Birla Shakti) aligns the company with persistent structural demand from infrastructure and real-estate. This specialization supports predictable volume channels (institutional and retail) and long-term route-to-market advantages versus diversified, unfocused peers.

Operational Cash Generation

Positive operating cash flow relative to net income indicates the company can convert core earnings into cash despite earnings volatility. For a capital- and energy-intensive cement business, consistent cash generation sustains plant maintenance, working capital needs, and debt servicing over multiple quarters.

Gross Profitability

Maintained gross profitability implies decent control over core production economics (raw materials and fuel). In cement, steady gross margins provide a buffer for absorbing input cost swings and support medium-term margin recovery if volumes normalize, helping protect operating cash flow.

Negative Factors

High Leverage

Elevated debt levels increase refinancing and interest risks, reducing financial flexibility to fund capex or absorb demand shocks. In a cyclical, freight- and energy-sensitive industry, leverage magnifies earnings volatility and can constrain strategic investments over the next several quarters.

Severe Revenue Volatility

A sharp, persistent drop in revenue signals structural demand, market-share loss, or operational disruptions. Such extreme volatility undermines forecasting, weakens negotiating power with suppliers/customers, and complicates fixed-cost absorption in a high-fixed-cost cement business over the medium term.

Under Pressure Margins and Inconsistent Net Income

Sustained margin pressure and erratic net income reflect structural inefficiencies or recurring cost shocks (energy, logistics). For capital-intensive cement operations, weak EBITDA conversion and inconsistent profits impede reinvestment, dividend capacity, and long-term recovery unless operational fixes are implemented.

Kesoram Industries Ltd Business Overview & Revenue Model

Company Description

Kesoram Industries Limited manufactures and markets cement products under the Birla Shakti brand in India. It also offers rayon, transparent paper, and filament yarn under the Kesoram Rayon brand. The company was formerly known as Kesoram Industries & Cotton Mills Ltd. and changed its name to Kesoram Industries Limited in 1986. Kesoram Industries Limited was incorporated in 1919 and is based in Kolkata, India.

How the Company Makes Money

Kesoram Industries generates revenue primarily through the sale of cement and tyres, which are its core products. The cement division contributes significantly to the company's overall revenue, benefiting from strong demand in the construction sector. The tyre division also plays a crucial role, catering to both domestic and international markets, and capitalizing on the growing automotive industry. Additionally, Kesoram's textile segment adds to its revenue stream by providing a variety of fabric products. The company engages in strategic partnerships and collaborations to enhance its market reach and operational efficiency, which further contribute to its earnings. Overall, Kesoram's diverse portfolio and focus on quality products help maintain a steady flow of income.

Kesoram Industries Ltd Financial Statement Overview

Summary

Mixed fundamentals: relatively healthy gross profitability and some operational cash generation, but inconsistent net income and revenue volatility. High leverage (elevated debt-to-equity) and pressured EBIT/EBITDA margins add meaningful risk.

Income Statement

Kesoram Industries shows a mixed performance in its income statement. The gross profit margin remains relatively healthy, but the net profit margin is inconsistent due to fluctuating net income, including significant losses in recent years. Revenue growth is volatile, with noticeable declines, reflecting challenges in sustaining sales momentum. EBIT and EBITDA margins have been under pressure, indicating operational inefficiencies.

Balance Sheet

The balance sheet reveals moderate financial stability with a positive equity base but high levels of debt. The debt-to-equity ratio is relatively high, suggesting potential leverage risks. Return on equity has been erratic due to inconsistent net income levels. However, the equity ratio indicates that a reasonable portion of the company’s assets are funded by equity, providing some cushion against liabilities.

Cash Flow

Cash flow analysis indicates some strengths in operational cash generation, although free cash flow growth fluctuates. The operating cash flow to net income ratio is positive, showing the company’s ability to generate cash from operations despite net income volatility. However, the free cash flow to net income ratio suggests room for improvement in translating profits into free cash flows consistently.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.53B	2.59B	39.87B	37.78B	35.99B	26.48B
Gross Profit	310.40M	917.50M	15.77B	17.96B	20.26B	15.90B
EBITDA	-1.35B	-516.70M	3.41B	1.58B	5.13B	2.27B
Net Income	55.27B	55.65B	-3.84B	-1.94B	-773.40M	1.40B
Balance Sheet
Total Assets	0.00	8.13B	33.76B	34.35B	34.33B	32.31B
Cash, Cash Equivalents and Short-Term Investments	325.80M	292.40M	1.48B	547.70M	1.35B	1.12B
Total Debt	0.00	1.99B	22.70B	19.38B	19.02B	20.36B
Total Liabilities	-4.52B	3.61B	32.81B	29.62B	29.22B	30.34B
Stockholders Equity	4.52B	4.52B	948.20M	4.73B	5.11B	1.97B
Cash Flow
Free Cash Flow	0.00	313.00M	1.12B	581.70M	2.88B	2.31B
Operating Cash Flow	0.00	373.40M	2.06B	1.31B	3.24B	2.59B
Investing Cash Flow	0.00	68.40M	-164.00M	487.40M	-633.00M	-1.50B
Financing Cash Flow	0.00	-488.40M	-1.48B	-2.48B	-2.24B	2.01B

Kesoram Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 9.90
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KESORAMIND, the sentiment is Neutral. The current price of 9.9 is below the 20-day moving average (MA) of 9.94, above the 50-day MA of 9.50, and above the 200-day MA of 6.43, indicating a neutral trend. The MACD of -0.29 indicates Positive momentum. The RSI at 38.39 is Neutral, neither overbought nor oversold. The STOCH value of 11.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:KESORAMIND.

Kesoram Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OCCL	67 Neutral	₹1.25B	11.71	―	10.99%	-76.65%	-76.77%
HISARMETAL	63 Neutral	₹891.00M	36.07	―	0.61%	-1.81%	-45.95%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MODIRUBBER	57 Neutral	₹3.23B	19.02	―	―	31.62%	-23.04%
KESORAMIND	52 Neutral	₹2.75B	0.05	―	―	-91.62%	―
JOCIL	51 Neutral	₹904.55M	18.66	―	0.34%	―	―

Kesoram Industries Ltd Corporate Events

Kesoram Industries Publishes Unaudited Q3 FY26 Results in Leading Dailies

Kesoram Industries Ltd has published its unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025, and has disseminated an extract of these results through advertisements in national English and regional Bengali newspapers. The company has also made the full financial results available via stock exchange portals and its corporate website, underscoring its compliance with listing regulations and its focus on transparent disclosure for investors and other stakeholders.

Kesoram Industries Swings to Quarterly Profit and Forms Panel on Open Offer

Kesoram Industries’ board has approved the unaudited standalone and consolidated financial results for the quarter ended 31 December 2025, showing a standalone profit from continuing operations of ₹30.04 crore for the quarter, compared with a loss in the year-ago period, largely supported by higher other income and tighter expense control. On a year-to-date basis, the company continues to report a loss from continuing operations and its recent demerger still weighs on comparative figures through discontinued-operations impacts, but the latest quarter’s return to profit signals some operational and financial stabilisation. The board has also set up an Independent Director Committee to issue a reasoned recommendation to shareholders on an open offer made by an acquirer under SEBI takeover regulations, a development that could significantly influence the company’s ownership structure and strategic direction, and is therefore a key event for existing investors and potential buyers.