Mangalam Drugs & Organics Ltd. (MANGALAM) AI Stock Analysis

• Market Cap: ₹613.66M
• Dividend Yield: N/A
• Average Volume (3M): 5.11K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: -24.55%
• EPS Growth: -310.57%
• Country: IN
• Employees: 432
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -4.64
• Shares Outstanding: 15,828,248
• 10 Day Avg. Volume: 11,101
• 30 Day Avg. Volume: 5,111
• PEG Ratio: -0.11
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.39
• P/FCF Ratio: 5.56
• 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: 50 Neutral
• Price Target: ₹37.00 ▲(21.71% Upside)

Overall score is held back primarily by weak technicals (price below key long-term moving averages and negative MACD) and limited valuation support due to a negative P/E. Financial performance is mixed, with profitability pressure offset by a relatively stable balance sheet and improving operating cash flow.

Positive Factors

Diversified API & specialty chemicals portfolio

A broad product mix across APIs, intermediates and specialty chemicals with both domestic and international clients supports durable revenue channels. Serving pharma customers and bulk purchasers under quality/regulatory standards helps secure long-term contracts and repeat business.

Manageable leverage and stable equity

A balanced debt-to-equity profile and steady shareholders’ equity provide financial resilience. This stability reduces refinancing pressure, preserves borrowing capacity for capex or working capital, and supports operations through cyclical industry downturns over the medium term.

Improving operating cash flow

Rising operating cash flow and strong cash generation relative to reported earnings enhance liquidity and internal funding capacity. Improved cash from operations supports reinvestment, working capital needs and reduces dependence on external financing during multi-quarter recovery phases.

Negative Factors

Declining revenue and contracting margins

Sustained declines in revenue and compressed operating margins weaken the firm's ability to invest, lower competitiveness, and erode profitability cushions. If trends persist, this undermines long-term cash flow stability and the company's capacity to fund growth or absorb shocks.

Inconsistent and negative free cash flow periods

Intermittent negative free cash flow limits capital allocation flexibility and hampers the ability to fund capex, reduce debt or return capital to shareholders. Over months, inconsistent FCF can force reliance on external funding, raising financing costs and strategic constraints.

Rising total debt in recent years

An uptick in total debt amid weakening revenue increases leverage and interest burden risk. Continued higher debt levels reduce financial flexibility, elevate refinancing and covenant risks, and could strain liquidity if operating performance does not stabilize over the medium term.

Mangalam Drugs & Organics Ltd. Business Overview & Revenue Model

Company Description

Mangalam Drugs & Organics Limited manufactures and sells drugs, medicines, and allied products in India and internationally. It offers a range of active pharmaceutical ingredients, intermediates, and specialty chemicals, as well as impurities for use in anti-malarial, analgesic/anti-inflammatory, anti-hypertensive, and anti-retroviral applications. The company was incorporated in 1972 and is based in Mumbai, India.

How the Company Makes Money

Mangalam Drugs & Organics Ltd. generates revenue primarily through the production and sale of active pharmaceutical ingredients (APIs) and intermediates to pharmaceutical companies. The company's revenue model is based on wholesale and bulk sales, where it supplies its products to large pharmaceutical firms that utilize these inputs in their formulations. Key revenue streams include contracts with domestic and international clients, which provide a steady demand for its products. Additionally, MANGALAM may engage in partnerships with other companies for research and development, leading to potential royalties or revenue sharing agreements. The company's commitment to quality and compliance with regulatory standards enhances its reputation, allowing it to command competitive pricing and secure long-term contracts, which are crucial for its earnings.

Mangalam Drugs & Organics Ltd. Financial Statement Overview

Summary

Mangalam Drugs & Organics Ltd. reflects a mixed financial performance with challenges in sustaining revenue growth and profitability. The balance sheet displays an adequate financial position with manageable debt levels, while cash flow management reveals fluctuations, particularly in free cash flow generation. The company needs to address profitability and cash flow stability to improve its financial health.

Income Statement

Mangalam Drugs & Organics Ltd. shows fluctuating revenue and profit margins. The most recent year indicates a decline in total revenue and net income, impacting the net profit margin negatively. EBIT and EBITDA margins have also contracted, reflecting challenges in maintaining profitability. Despite a prior trend of increasing revenue, the recent performance suggests instability in revenue growth and profitability.

Balance Sheet

The company's debt-to-equity ratio and equity ratio indicate a balanced financial position with manageable leverage. A consistent stockholders' equity and adequate asset management demonstrate financial stability. However, the increase in total debt over recent years suggests potential risk if revenue declines persist.

Cash Flow

Operating cash flow has shown improvement although free cash flow remains inconsistent. The operating cash flow to net income ratio indicates strong cash generation relative to net income, but negative free cash flow in several periods signals potential challenges in investing activities and capital expenditure management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.98B	3.18B	3.67B	3.70B	4.47B	3.80B
Gross Profit	1.26B	1.50B	188.12M	287.77M	546.89M	976.69M
EBITDA	228.74M	363.25M	174.95M	259.54M	451.84M	550.15M
Net Income	-97.62M	67.21M	-90.72M	12.70M	196.57M	279.71M
Balance Sheet
Total Assets	0.00	3.66B	3.34B	3.60B	3.28B	2.64B
Cash, Cash Equivalents and Short-Term Investments	25.89M	25.89M	11.87M	26.88M	19.55M	5.92M
Total Debt	0.00	962.30M	1.07B	885.47M	879.04M	697.06M
Total Liabilities	-1.49B	2.17B	1.98B	2.08B	1.78B	1.33B
Stockholders Equity	1.49B	1.49B	1.36B	1.52B	1.51B	1.31B
Cash Flow
Free Cash Flow	0.00	223.93M	-79.20M	116.09M	-19.60M	-38.86M
Operating Cash Flow	0.00	425.94M	39.13M	395.23M	257.09M	275.50M
Investing Cash Flow	0.00	-194.72M	-118.27M	-221.72M	-273.26M	-312.85M
Financing Cash Flow	0.00	-217.12M	52.27M	-166.17M	29.79M	26.98M

Mangalam Drugs & Organics Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 30.40
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MANGALAM, the sentiment is Neutral. The current price of 30.4 is above the 20-day moving average (MA) of 28.00, below the 50-day MA of 38.55, and below the 200-day MA of 68.84, indicating a neutral trend. The MACD of 0.08 indicates Negative momentum. The RSI at 71.58 is Negative, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:MANGALAM.

Mangalam Drugs & Organics Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BHAGERIA	63 Neutral	₹7.44B	14.60	―	0.81%	33.39%	85.08%
GANESHBE	63 Neutral	₹5.61B	11.91	―	―	-12.30%	-26.40%
MANORG	62 Neutral	₹4.31B	17.79	―	―	22.53%	237.55%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
KHAICHEM	58 Neutral	₹6.82B	10.64	―	―	67.43%	―
HPAL	56 Neutral	₹3.73B	23.06	―	0.94%	13.33%	-21.39%
MANGALAM	50 Neutral	₹613.66M	-3.10	―	―	-24.55%	-310.57%

Mangalam Drugs & Organics Ltd. Corporate Events

Mangalam Drugs Files SEBI Demat Compliance Certificate for December Quarter

Mangalam Drugs & Organics Limited has submitted to both BSE and NSE a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended December 31, 2025. The certificate, issued by its registrar and share transfer agent MUFG Intime India Private Limited, confirms that all securities received for dematerialisation during the quarter were duly verified, accepted or rejected, mutilated and cancelled as required, and that corresponding entries were made in the company’s register of members and listed on the appropriate stock exchanges within the prescribed timelines, underscoring the company’s adherence to securities handling and demat compliance norms.

Mangalam Drugs & Organics Ltd. Releases Unaudited Financial Results

Mangalam Drugs & Organics Ltd. announced the publication of its unaudited financial results for the quarter and half-year ending September 30, 2025. These results, approved by the Board of Directors, were published in Financial Express and Loksatta newspapers. The company reported a decrease in net profit compared to the previous year, which may impact its financial standing and investor confidence.