Pearl Polymers Limited (PEARLPOLY) AI Stock Analysis

• Market Cap: ₹279.29M
• Dividend Yield: N/A
• Average Volume (3M): 2.01K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IN
• Employees: 64
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Packaging & Containers
• EPS (TTM): -0.98
• Shares Outstanding: 16,834,932
• 10 Day Avg. Volume: 3,097
• 30 Day Avg. Volume: 2,014
• PEG Ratio: 0.01
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 2.08
• P/FCF Ratio: -8.65
• 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: 44 Neutral
• Price Target: ₹16.00 ▼(-30.43% Downside)
• Action: N/A Date: 01/04/26
• Date: Action: N/A 01/04/26

The score is weighed down primarily by weak financial performance—loss-making operations and negative operating/free cash flow—despite a strong, debt-free balance sheet. Technicals also remain soft with the stock below key moving averages and a negative MACD, while valuation signals are constrained by a negative P/E tied to current losses.

Positive Factors

Debt-free balance sheet

A debt-free FY2025 balance sheet provides durable financial flexibility: it reduces solvency risk, lowers fixed financing costs, and gives management optionality to fund working capital or capex organically or via equity without immediate refinancing pressure, which matters over months.

Revenue and gross margin improvement

Top-line growth with a meaningful gross margin expansion signals improvement in pricing, mix, or input-cost pass-through. If sustained, this enhances structural profitability potential and supports margin recovery even if SG&A or other costs must be controlled to convert improvement into lasting operating earnings.

Conservative capital structure and equity buffer

A conservative capital structure and sizable equity base act as a durable buffer against operating volatility. This reduces near-term insolvency risk, supports creditor and supplier confidence, and gives time for operational fixes without forced restructuring—important over a multi-month horizon.

Negative Factors

Loss-making operations

Sizable net losses and deeply negative operating/EBITDA margins indicate the core business is not currently generating sustainable earnings. Persistent losses erode equity, limit reinvestment capacity, and require either rapid operational turnaround or external funding to restore durable profitability over the medium term.

Negative operating and free cash flow

Consecutive years of negative operating and free cash flow mean the business is consuming cash to run operations. That undermines self-funding, constrains capex and working capital investments, and increases the likelihood of needing external capital or asset sales to sustain operations over coming months.

Volatile, deteriorating earnings quality

Large multi-year swings in results and a recent deterioration in ROE reduce confidence in earnings quality and predictability. Volatility complicates planning, raises execution risk for any turnaround, and makes it harder to rely on past performance when forecasting sustainable margins or cash generation.

Pearl Polymers Limited Business Overview & Revenue Model

Company Description

Pearl Polymers Limited manufactures and trades in PET jars and bottles in India and internationally. The company offers jars and bottles for kitchen, home, and office use, as well as containers; and stainless steel and copper bottles. It also provides its products online. The company's packaging solutions are used for agro chemical, confectionery, cosmetics, food, liquor, and pharmaceutical products. Pearl Polymers Limited was incorporated in 1971 and is headquartered in New Delhi, India.

How the Company Makes Money

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Pearl Polymers Limited Financial Statement Overview

Summary

Despite revenue growth and improved gross margin, FY2025 profitability deteriorated into a sizable net loss with deeply negative operating/EBITDA margins. Cash generation is also weak with negative operating and free cash flow in FY2024–FY2025, partially offset by a strong, debt-free balance sheet that lowers solvency risk.

Income Statement

Revenue improved in FY2025 (up ~5% YoY) and gross margin expanded meaningfully versus FY2024, signaling better pricing/mix or input-cost relief. However, profitability deteriorated sharply: FY2025 posted a sizable net loss with deeply negative operating and EBITDA margins, reversing FY2024’s modest profit. Longer-term results are volatile (large swings across years), which reduces confidence in earnings quality and sustainability.

Balance Sheet

The balance sheet is a clear strength: FY2025 shows no debt and a large equity base relative to assets, indicating low financial leverage and reduced solvency risk. That said, returns on equity turned negative in FY2025, reflecting weak profitability despite the conservative capital structure, and equity has come down from prior years, suggesting value erosion during loss periods.

Cash Flow

Cash generation is weak: operating cash flow and free cash flow were negative in FY2024 and FY2025, implying the business is consuming cash rather than funding itself internally. While free cash flow was negative alongside a net loss in FY2025 (and less negative than FY2024), the multi-year pattern shows material volatility, including a one-off very strong year (FY2022) that has not been sustained.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	211.33M	219.72M	161.50M	171.24M	139.92M	1.12B
Gross Profit	79.30M	102.25M	62.28M	45.90M	-61.66M	446.50M
EBITDA	-53.08M	-47.30M	9.84M	-74.00M	288.00M	-10.38M
Net Income	-56.88M	-51.20M	6.54M	-81.73M	218.44M	-105.76M
Balance Sheet
Total Assets	404.69M	408.50M	451.85M	452.48M	563.43M	911.28M
Cash, Cash Equivalents and Short-Term Investments	278.46M	276.27M	315.69M	321.30M	371.75M	23.31M
Total Debt	0.00	0.00	995.00K	2.28M	4.19M	283.17M
Total Liabilities	61.13M	74.50M	66.32M	72.09M	102.61M	670.96M
Stockholders Equity	343.56M	334.00M	385.53M	380.39M	460.82M	240.32M
Cash Flow
Free Cash Flow	-35.40M	-52.77M	-76.60M	-54.20M	274.56M	14.44M
Operating Cash Flow	-34.80M	-48.24M	-70.90M	-47.84M	289.05M	23.29M
Investing Cash Flow	30.50M	33.24M	83.83M	-14.10M	51.28M	17.89M
Financing Cash Flow	-156.00K	-1.55M	-1.83M	-2.58M	-282.18M	-22.82M

Pearl Polymers Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAHYADRI	65 Neutral	₹2.44B	14.07	―	0.40%	1.59%	-15.40%
KHAICHEM	62 Neutral	₹4.77B	9.32	―	―	67.43%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MANORG	54 Neutral	₹3.46B	24.26	―	―	22.53%	237.55%
PEARLPOLY	44 Neutral	₹279.29M	-5.93	―	―	―	―

Pearl Polymers Limited Corporate Events

Pearl Polymers Opens Special Window for Re‑lodgement of Physical Share Transfers

Pearl Polymers Limited has notified the Indian stock exchanges that it has published newspaper advertisements in Financial Express and Hari Bhoomi announcing the opening of a special window for shareholders to re-lodge transfer requests for physical share certificates. The move is in line with a recent Securities and Exchange Board of India circular and is aimed at giving holders of physical shares an additional opportunity to regularise pending transfer requests, reinforcing compliance with evolving capital market regulations and potentially easing the transition of legacy physical holdings for investors.