Mallcom (India) Ltd. (MALLCOM) AI Stock Analysis

• Market Cap: ₹7.23B
• Dividend Yield: 0.25%
• Average Volume (3M): 770.00
• Price to Earnings (P/E): 13.5
• Beta (1Y): 1.43
• Revenue Growth: 15.06%
• EPS Growth: 40.56%
• Country: IN
• Employees: 309
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Security & Protection Services
• EPS (TTM): 16.27
• Shares Outstanding: 6,240,000
• 10 Day Avg. Volume: 1,217
• 30 Day Avg. Volume: 770
• PEG Ratio: 0.23
• Price to Book (P/B): 2.55
• Price to Sales (P/S): 1.62
• P/FCF Ratio: -9.90
• 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): 85.6
• Revenue Forecast (FY): ₹5.72B

• Rating: 71 Outperform
• Price Target: ₹1,248.00 ▲(5.45% Upside)
• Action: Upgraded Date: 01/29/26
• Date: Action: Upgraded 01/29/26

The score is primarily supported by strong operating performance and improving margins/ROE with manageable leverage, but is held back by poor cash flow generation (deeply negative free cash flow and weak cash conversion). Technical indicators are mixed with negative momentum signals, while valuation is reasonable on earnings but with a low dividend yield.

Positive Factors

Revenue & margin expansion

Sustained double-digit revenue growth and materially higher gross and net margins indicate durable improvements in pricing, cost control and product mix. That expands internal funds for reinvestment, strengthens competitive positioning, and supports long-term profitability stability.

Manageable leverage and improving ROE

A low D/E and a strong equity base reduce financial risk and give flexibility for growth or downturns. Rising ROE signals more effective capital deployment, implying the company can generate higher shareholder returns without relying on excessive leverage over the medium term.

Durable demand from PPE/industrial safety market

Exposure to industrial safety and PPE markets benefits from regulatory compliance, recurring institutional procurement and export diversification. These structural demand drivers create steady baseline revenue and make the business less cyclical over a multi-month horizon.

Negative Factors

Negative free cash flow trend

Widening negative free cash flow indicates the firm is consuming more cash than it generates, limiting capacity for organic investment, debt repayment or shareholder returns. Persistent FCF deficits increase reliance on external financing and raise medium-term execution risk.

Weaker cash conversion of earnings

A very low operating-cash-to-profit ratio signals working-capital stress or non-cash earnings quality. Poor cash conversion undermines the sustainability of profits, making funding for capex, inventory or growth more dependent on financing and raising operational vulnerability.

Rising debt and liabilities risk

An upward trend in total debt and liabilities can pressure liquidity and increase interest and covenant risk, especially alongside negative FCF. Even with current moderate leverage, rising obligations reduce financial flexibility and can constrain strategic options if the trend continues.

Mallcom (India) Ltd. Business Overview & Revenue Model

Company Description

Mallcom (India) Limited, together with its subsidiaries, manufactures and sells personal protective equipment in India and internationally. The company offers head protection equipment comprising skull, face, ear, and eye; hand protection gears, such as latex, nitrile, leather, knitted, cryogenic, polyurethane, and neoprene gloves; body protection products, such as occupational, functional, work, and disposable wear; feet protection equipment, including safety shoes and shoe accessories; and harness, arresters, lanyards, connectors, and accessories for fall. It also exports its products. Mallcom (India) Limited was incorporated in 1983 and is headquartered in Kolkata, India.

How the Company Makes Money

Mallcom generates revenue primarily through the sale of its extensive range of personal protective equipment, which includes safety footwear, hand protection, head protection, and specialized clothing. The company operates on a B2B model, supplying products to various industrial sectors, which constitute its key revenue streams. Additionally, Mallcom benefits from partnerships with other companies and distributors to expand its market reach and product availability. By focusing on quality, compliance with safety standards, and diversification of its product offerings, Mallcom enhances its competitive advantage and drives sales growth. The company's ability to adapt to market demands and invest in research and development also plays a crucial role in maintaining its revenue generation capacity.

Mallcom (India) Ltd. Financial Statement Overview

Summary

Strong profitability and growth (revenue +15.7% YoY; gross margin up to 18.5%; net margin up to 11.8%; ROE up to 19.2%) and a manageable leverage profile (debt-to-equity 0.39). The main constraint is weak cash conversion and deeper negative free cash flow (-769.7m INR) with a very low operating cash flow to net income ratio (0.03).

Income Statement

Mallcom (India) Ltd. exhibits a strong income statement with consistent revenue growth and profitability. The company's gross profit margin increased to 18.5% in 2025 from 13.4% in 2024, indicating improved cost management. Net profit margin also rose significantly to 11.8% from 8.6%, reflecting enhanced operational efficiency. Revenue growth was robust at 15.7% year-over-year. The EBIT margin grew to 14.4% from 11.8%, and the EBITDA margin showed a slight decline from 14.7% to 12.5% due to changes in depreciation/amortization.

Balance Sheet

The balance sheet of Mallcom (India) Ltd. is stable with a debt-to-equity ratio of 0.39, which is manageable. The equity ratio increased to 60.6% from 61.3%, showing a strong equity position. Return on equity improved to 19.2% from 15.3%, indicating enhanced shareholder value. However, the increase in total debt and liabilities suggests a potential risk if not managed well.

Cash Flow

Mallcom (India) Ltd. faces challenges in cash flow management with a negative free cash flow of -769.7 million INR in 2025, down from -199.6 million INR in 2024. The operating cash flow to net income ratio dropped to 0.03, indicating issues in converting earnings into cash. However, the company has improved its ability to generate cash from operations, as shown by the operating cash flow increase in 2025.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.07B	4.70B	4.21B	4.11B	3.49B	3.08B
Gross Profit	921.88M	899.47M	562.34M	833.00M	604.73M	485.19M
EBITDA	667.91M	608.73M	618.21M	616.30M	528.22M	448.34M
Net Income	587.59M	574.35M	363.16M	369.37M	326.24M	282.68M
Balance Sheet
Total Assets	0.00	4.93B	3.88B	3.54B	2.79B	2.53B
Cash, Cash Equivalents and Short-Term Investments	189.58M	189.58M	470.00M	670.19M	285.90M	494.96M
Total Debt	0.00	1.16B	926.92M	907.34M	533.78M	568.50M
Total Liabilities	-2.99B	1.94B	1.50B	1.51B	1.03B	1.06B
Stockholders Equity	2.99B	2.99B	2.38B	2.03B	1.68B	1.41B
Cash Flow
Free Cash Flow	0.00	-769.67M	-199.57M	76.08M	-225.59M	-78.51M
Operating Cash Flow	0.00	17.00M	63.75M	534.52M	12.46M	188.23M
Investing Cash Flow	0.00	-431.07M	-97.75M	-750.42M	-19.59M	-115.56M
Financing Cash Flow	0.00	151.82M	-41.67M	330.33M	-14.07M	180.98M

Mallcom (India) Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1183.55
• 50DMA: Positive
• 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:MALLCOM, the sentiment is Negative. The current price of 1183.55 is above the 20-day moving average (MA) of 1177.37, above the 50-day MA of 1145.02, and below the 200-day MA of 1235.93, indicating a neutral trend. The MACD of 6.58 indicates Positive momentum. The RSI at 49.23 is Neutral, neither overbought nor oversold. The STOCH value of 24.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MALLCOM.

Mallcom (India) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MALLCOM	71 Outperform	₹7.23B	13.50	―	0.25%	15.06%	40.56%
IRISDOREME	71 Outperform	₹6.14B	40.97	―	―	12.30%	92.63%
BIL	68 Neutral	₹10.13B	25.98	―	―	31.04%	6468.72%
SREEL	67 Neutral	₹4.69B	19.23	―	―	6.38%	1.63%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SATIA	60 Neutral	₹6.65B	9.43	―	0.44%	-9.42%	-56.27%
VARDMNPOLY	46 Neutral	₹3.87B	49.76	―	―	5.66%	―

Mallcom (India) Ltd. Corporate Events

Mallcom (India) Releases Q3 and 9-Month FY26 Earnings Presentation

Mallcom (India) Ltd. has released its earnings presentation for the third quarter and first nine months of fiscal year 2025-26, providing investors and analysts with detailed financial and operational updates for the period. The presentation, filed with the stock exchanges under SEBI’s disclosure norms and made available on the company’s website, is intended to enhance transparency for shareholders and other stakeholders by consolidating key performance metrics and business highlights for Q3 and the year-to-date period.

Mallcom (India) to Host Q3 FY26 Earnings Call on 22 January

Mallcom (India) Ltd has announced that it will hold a quarterly earnings conference call to discuss its financial performance for the third quarter of fiscal 2025-26. The call, organised with PhillipCapital (India) Private Limited and featuring senior company executives, is scheduled for January 22, 2026, at 4:00 pm IST, providing investors and analysts with an opportunity to gain insights into the company’s latest quarterly results and outlook, underscoring its ongoing engagement with capital market participants and regulatory compliance requirements.

Mallcom (India) Ltd. Announces Special Window for Share Transfer Requests

Mallcom (India) Ltd. has announced the publication of a notice to shareholders regarding the opening of a special window for re-lodgement of transfer requests for physical shares. This move aligns with SEBI regulations and aims to streamline the process for shareholders, potentially enhancing the company’s compliance and operational efficiency.

Mallcom (India) Ltd. Schedules Conference Call to Discuss 2QFY26 Financial Performance

Mallcom (India) Ltd. has announced a conference call scheduled for November 17, 2025, to discuss its financial performance for the second quarter of the fiscal year 2026. This call, organized by B&K Securities, will feature key management representatives and aims to provide insights into the company’s financial health, potentially impacting its market positioning and informing stakeholders about its operational strategies.