Madhav Marbles & Granites Ltd. (MADHAV) AI Stock Analysis

• Market Cap: ₹319.77M
• Dividend Yield: N/A
• Average Volume (3M): 2.24K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.52
• Revenue Growth: -15.13%
• EPS Growth: 14.17%
• Country: IN
• Employees: 173
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction
• EPS (TTM): -0.55
• Shares Outstanding: 8,947,000
• 10 Day Avg. Volume: 1,107
• 30 Day Avg. Volume: 2,237
• PEG Ratio: 1.02
• Price to Book (P/B): 0.30
• Price to Sales (P/S): 1.19
• P/FCF Ratio: 20.95
• 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: 46 Neutral
• Price Target: ₹35.00 ▼(-17.06% Downside)
• Action: Reiterated Date: 10/31/25
• Date: Action: Reiterated 10/31/25

The overall stock score is primarily impacted by weak financial performance and bearish technical indicators. The company's declining revenues and profitability, coupled with negative valuation metrics, highlight significant challenges. Technical analysis further supports a bearish outlook, with the stock trading below key moving averages and showing negative momentum.

Positive Factors

Strong equity base

A high equity ratio and a stable equity base provide long-term financial resilience versus peers in cyclical construction materials. This cushions cash flow volatility, supports capital expenditure for processing capacity, and reduces short-term refinancing risk as the company seeks to restore profitability.

Improving free cash flow

Recent improvement to positive free cash flow indicates the company can self-fund working capital and selective investments without immediate external capital. Sustained FCF supports operational stability, debt servicing, and potential reinvestment into higher-margin value-added processing.

Value-added processing model

The core business of processing raw stone into finished slabs, tiles and value-added products creates margin uplift versus pure trading. This asset-backed manufacturing capability supports differentiation, customer stickiness with fabricators and projects, and potential to capture higher ASPs over commodity suppliers.

Negative Factors

Revenue & profit decline

Sustained top-line decline and repeated negative EBIT erode scale economics and weaken pricing power. Persistent operating losses impair ability to invest in plant upgrades and product development, making recovery dependent on structural demand improvement or margin restoration.

Margin compression

Falling gross margins signal rising procurement or processing costs relative to selling prices. Even with positive EBITDA, negative net income implies limited buffer after interest and non-cash charges, constraining long-term reinvestment and making margins vulnerable if input costs or logistics remain elevated.

Rising leverage

An increasing debt-to-equity ratio raises financial fixed costs and reduces flexibility to absorb cyclical downturns in construction demand. Higher leverage increases refinancing and interest risk, pressuring cash flows and limiting the firm's ability to pursue expansion or weather prolonged revenue weakness.

Madhav Marbles & Granites Ltd. Business Overview & Revenue Model

Company Description

Madhav Marbles and Granites Limited manufactures, processes, and trades in granite and marble slabs, and tiles in India. It also provides sandstone, quartz, and tile products. The company exports its products to North America, Canada, Europe, Australia, South Africa, Russia, and the Far East. It is also involved in the windmill power generation and real estate businesses. The company was incorporated in 1989 and is based in Udaipur, India.

How the Company Makes Money

MADHAV makes money primarily by selling marble and granite materials and related processed/value-added stone products. Key revenue streams typically include (1) sale of processed stone such as slabs and tiles produced through cutting, polishing, and finishing activities, and (2) trading/wholesale distribution of marble and granite (including imported and domestic varieties) to dealers, fabricators, and project customers. Earnings are driven by the spread between procurement (quarrying/purchasing/import costs) and realized selling prices, plus the value uplift from processing (cutting, polishing, sizing, and finishing). Additional factors that can materially influence revenue and margins include product mix (premium varieties vs. commoditized stone), capacity utilization of processing facilities, raw-material sourcing terms, logistics costs, and demand conditions in construction and real-estate markets. Specific details on customer concentration, contract structure (e.g., project-based vs. dealer network), export share, and named partnerships: null.

Madhav Marbles & Granites Ltd. Financial Statement Overview

Summary

Madhav Marbles & Granites Ltd. faces significant challenges with declining revenues and profitability, as evidenced by consistently negative net income and EBIT. The balance sheet remains strong with substantial equity, although leverage is increasing. Cash flow management shows improvement, but operational inefficiencies and profitability issues need addressing to ensure long-term financial health.

Income Statement

Madhav Marbles & Granites Ltd. has experienced declining revenue over the past few years, with a significant drop from 2021 to 2025. The gross profit margin has decreased, indicating reduced efficiency in managing production costs relative to revenue. The company has consistently reported negative EBIT, reflecting operational challenges. While EBITDA margins have been positive, net income has remained negative, highlighting ongoing profitability issues.

Balance Sheet

The company's balance sheet shows a stable equity base with a high equity ratio, indicating financial stability. However, the debt-to-equity ratio has increased, suggesting a growing reliance on debt financing. While stockholders' equity is strong, the negative ROE indicates that the company is not generating returns on its equity investments.

Cash Flow

Cash flow analysis reveals improvement in free cash flow from 2024 to 2025, a positive sign for financial flexibility. The operating cash flow to net income ratio has been inconsistent, reflecting fluctuations in cash generation relative to accounting profits. Despite these fluctuations, recent positive free cash flow suggests better cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	293.92M	310.57M	399.01M	472.25M	531.28M	618.21M
Gross Profit	116.35M	126.68M	151.15M	197.48M	231.23M	246.06M
EBITDA	27.39M	28.71M	27.48M	46.90M	56.93M	58.41M
Net Income	-9.21M	-6.80M	-14.49M	-20.20M	-51.10M	-4.34M
Balance Sheet
Total Assets	1.39B	1.39B	1.42B	1.41B	1.44B	1.53B
Cash, Cash Equivalents and Short-Term Investments	5.18M	7.21M	8.91M	44.51M	23.89M	100.88M
Total Debt	102.93M	117.15M	150.72M	96.08M	82.88M	113.61M
Total Liabilities	214.74M	208.27M	227.88M	194.13M	188.05M	225.05M
Stockholders Equity	1.24B	1.24B	1.25B	1.26B	1.29B	1.31B
Cash Flow
Free Cash Flow	-7.01M	17.57M	-59.07M	184.57M	197.06M	80.00M
Operating Cash Flow	-5.71M	20.20M	-55.53M	232.21M	210.73M	80.00M
Investing Cash Flow	27.34M	30.57M	17.68M	-48.51M	-51.83M	78.68M
Financing Cash Flow	-23.66M	-48.11M	36.96M	-185.47M	-188.98M	-132.01M

Madhav Marbles & Granites Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 42.20
• 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:MADHAV, the sentiment is Negative. The current price of 42.2 is above the 20-day moving average (MA) of 36.18, above the 50-day MA of 37.71, and below the 200-day MA of 42.71, indicating a bearish trend. The MACD of -0.88 indicates Positive momentum. The RSI at 38.77 is Neutral, neither overbought nor oversold. The STOCH value of 42.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MADHAV.

Madhav Marbles & Granites Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRAIL	67 Neutral	₹7.33B	14.28	―	0.41%	36.98%	-64.34%
OCCL	67 Neutral	₹961.55M	18.71	―	10.99%	-76.65%	-76.77%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
AROGRANITE	48 Neutral	₹361.23M	-4.01	―	―	-21.28%	59.71%
MADHAV	46 Neutral	₹319.77M	-19.39	―	―	-15.13%	14.17%
ORIENTALTL	41 Neutral	₹397.67M	137.24	―	―	293.84%	―

Madhav Marbles & Granites Ltd. Corporate Events

Madhav Marbles & Granites Slips to Quarterly Loss as Margins Come Under Pressure

Madhav Marbles & Granites reported standalone revenue from operations of Rs 660.25 lakh for the quarter ended 31 December 2025, slightly below both the preceding quarter and the year-ago period, while total income reached Rs 763.93 lakh on the back of higher other income. Despite this, increased material costs and other operating expenses pushed the company into a quarterly loss before tax of Rs 15.34 lakh, reversing a profit in the same quarter last year and signaling pressure on margins and profitability.

For the nine-month period ended 31 December 2025, revenue from operations declined compared with the previous year, and total income also softened, reflecting a more challenging operating environment. Although the company remained marginally profitable over the period with a small profit before tax of Rs 8.68 lakh, the weaker quarter underscores ongoing cost and demand headwinds that may weigh on returns for shareholders and could affect its competitive positioning in the stone and construction materials market.