Mahalaxmi Rubtech Ltd (MHLXMIRU) AI Stock Analysis

• Market Cap: ₹2.07B
• Dividend Yield: N/A
• Average Volume (3M): 1.06K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 1.15
• Revenue Growth: -26.45%
• EPS Growth: 57.89%
• Country: IN
• Employees: 236
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Apparel - Manufacturers
• EPS (TTM): 5.53
• Shares Outstanding: 10,620,275
• 10 Day Avg. Volume: 876
• 30 Day Avg. Volume: 1,061
• PEG Ratio: 0.27
• Price to Book (P/B): 3.43
• Price to Sales (P/S): 2.56
• P/FCF Ratio: 19.98
• 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: 73 Outperform
• Price Target: ₹214.00 ▲(4.31% Upside)

Mahalaxmi Rubtech Ltd shows strong financial health with a stable balance sheet and efficient debt management, contributing significantly to its overall score. The technical analysis indicates a bullish trend, supporting a positive outlook. The valuation suggests reasonable pricing, although the lack of a dividend yield may deter income-focused investors. The absence of earnings call and corporate events data limits further insights.

Positive Factors

High Gross Margins

Sustained gross margins above 30% indicate durable unit economics and effective cost controls in manufacturing. That margin buffer supports reinvestment in operations and shields operating profit from input-cost swings, underpinning earnings resilience over the coming months.

Conservative Capital Structure

A strong equity base and low leverage reduce default and refinancing risk, giving management flexibility to fund growth or absorb shocks without aggressive external financing. This conservative structure supports long-term financial stability and strategic optionality.

Positive Free Cash Flow

Consistent positive free cash flow demonstrates the firm's ability to convert profits into liquidity, enabling capex, working capital and potential debt reduction. Reliable cash generation is a durable strength for funding operations and strategic investments.

Negative Factors

Recent Revenue Decline

A recent ~26% revenue contraction signals weakening demand or lost volumes, which can erode scale economics and pressure margins. If sustained, declining top‑line undermines investment plans and heightens reliance on cost cuts to protect profitability over the medium term.

Volatile Net Profit Margins

Material swings in net margins indicate earnings sensitivity to cost inputs, pricing or mix changes and reduce forecast reliability. Margin volatility complicates capital allocation and returns to shareholders, and may persist without steadier revenue or stronger pricing power.

Inconsistent Cash Flow Growth

While FCF is positive, uneven cash flow growth and intermittent declines limit predictable funding for expansion or dividends. Inconsistent cash conversion can force opportunistic financing or deferred investments, weakening long‑term strategic execution if not stabilized.

Mahalaxmi Rubtech Ltd Business Overview & Revenue Model

Company Description

Mahalaxmi Rubtech Limited manufactures and sells traditional and technical textile products in India. The company operates through Rubber/Technical Textiles Products and Textile Products segments. It offers offset printing blankets; rubber textile printing blankets and coated fabrics; and rubber coated fabrics. The company also provides hydraulic seals, including single acting piston/rod seals, double acting piston seals, wiper dust seals, O-rings, wear rings, and anti-extrusion rings; air cells; technical textiles; and dyes, pigments, and auxiliaries. In addition, it exports its products. Mahalaxmi Rubtech Limited was incorporated in 1991 and is based in Ahmedabad, India.

How the Company Makes Money

Mahalaxmi Rubtech Ltd generates revenue primarily through the sale of its rubber products to various industries. The company operates on a business-to-business (B2B) model, supplying its products to manufacturers and distributors. Key revenue streams include direct sales from product orders, long-term contracts with major clients, and customized solutions that cater to specific customer needs. Additionally, Mahalaxmi Rubtech Ltd may benefit from strategic partnerships with other firms in the supply chain, enhancing its market reach and operational efficiency. Factors contributing to its earnings include strong demand for rubber components in the automotive and industrial sectors, effective cost management, and a focus on research and development to innovate new product offerings.

Mahalaxmi Rubtech Ltd Financial Statement Overview

Summary

Mahalaxmi Rubtech Ltd demonstrates solid financial health with strong gross margins and a stable balance sheet. The company manages its debt well and maintains a strong equity position, minimizing financial risk. However, the variability in net profit margins and cash flow growth indicates potential volatility and room for improvement in financial consistency.

Income Statement

Mahalaxmi Rubtech Ltd has demonstrated a strong gross profit margin, consistently above 30%, indicating efficient cost management. However, the net profit margin has been fluctuating, showing both resilience and vulnerability to market conditions. Revenue growth has been uneven, with significant increases in some years, suggesting potential volatility. Overall, the company shows good profitability, though with some variance in income stability.

Balance Sheet

The company maintains a healthy equity ratio, consistently over 40%, suggesting a strong equity base. The debt-to-equity ratio is low, indicating conservative leverage use, which reduces financial risk. However, the return on equity has shown inconsistency, reflecting varying profitability against equity. Overall, the balance sheet reflects financial stability and prudent management of liabilities.

Cash Flow

Mahalaxmi Rubtech Ltd exhibits positive free cash flow, a sign of effective cash management and ability to fund operations and investments. The operating cash flow to net income ratio indicates sound cash generation relative to earnings, though some years reflect lower cash conversion efficiency. Cash flow growth rates have been mixed, with periods of decline, pointing to potential fluctuations in cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	965.76M	921.22M	769.74M	689.99M	1.94B	1.37B
Gross Profit	464.80M	350.80M	305.67M	1.24B	345.13M	316.32M
EBITDA	287.81M	267.39M	199.55M	179.32M	225.56M	203.74M
Net Income	179.57M	167.77M	110.34M	84.43M	72.88M	60.74M
Balance Sheet
Total Assets	0.00	984.77M	822.31M	2.10B	1.92B	1.73B
Cash, Cash Equivalents and Short-Term Investments	326.14M	281.93M	218.90M	107.57M	375.71M	367.32M
Total Debt	0.00	146.21M	160.29M	558.54M	549.46M	383.48M
Total Liabilities	-687.27M	295.01M	293.43M	1.23B	1.13B	789.24M
Stockholders Equity	687.27M	687.27M	528.87M	873.16M	786.71M	942.63M
Cash Flow
Free Cash Flow	1.87M	117.86M	137.98M	10.90M	17.45M	95.12M
Operating Cash Flow	21.97M	146.85M	166.48M	61.03M	83.85M	164.57M
Investing Cash Flow	-21.36M	-105.22M	-82.94M	90.50M	-125.94M	-170.92M
Financing Cash Flow	23.89M	-14.08M	-37.44M	-56.49M	-9.54M	8.25M

Mahalaxmi Rubtech Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 205.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:MHLXMIRU, the sentiment is Negative. The current price of 205.15 is above the 20-day moving average (MA) of 198.39, below the 50-day MA of 209.24, and below the 200-day MA of 217.58, indicating a bearish trend. The MACD of -2.51 indicates Negative momentum. The RSI at 47.96 is Neutral, neither overbought nor oversold. The STOCH value of 19.58 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MHLXMIRU.

Mahalaxmi Rubtech Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MHLXMIRU	73 Outperform	₹2.07B	10.35	―	―	-26.45%	57.89%
OCCL	67 Neutral	₹1.25B	11.71	―	10.99%	-76.65%	-76.77%
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%	―
ARCHIDPLY	49 Neutral	₹1.89B	39.42	―	―	35.50%	―