Zuari Industries Limited (ZUARIIND) AI Stock Analysis

• Market Cap: ₹7.30B
• Dividend Yield: 0.32%
• Average Volume (3M): 93.77K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.36
• Revenue Growth: 19.59%
• EPS Growth: -83.95%
• Country: IN
• Employees: 329
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Conglomerates
• EPS (TTM): -8.69
• Shares Outstanding: 29,781,183
• 10 Day Avg. Volume: 30,762
• 30 Day Avg. Volume: 93,767
• PEG Ratio: 0.07
• Price to Book (P/B): 0.14
• Price to Sales (P/S): 0.73
• P/FCF Ratio: -3.93
• 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: ₹247.00 ▼(-23.96% Downside)
• Action: Reiterated Date: 11/12/25
• Date: Action: Reiterated 11/12/25

Zuari Industries Limited's overall stock score reflects significant financial challenges, including declining revenue and net losses. Technical analysis shows mixed signals, with some positive price momentum but bearish indicators. Valuation concerns arise from a negative P/E ratio and low dividend yield.

Positive Factors

Diversified agribusiness holding model

As a holding company with diversified stakes in fertilizer and agribusiness operations, Zuari benefits from multiple income streams (dividends, interest, investment gains). This structure provides strategic flexibility and risk diversification across operating businesses, supporting steadier long-term cash flows if subsidiaries perform.

Moderate leverage and stable equity base

A moderate debt-to-equity ratio and a stable equity ratio give the company financial room to manage cyclical pressures in agribusiness. Reasonable leverage reduces refinancing risk and preserves capacity to support subsidiaries or fund restructuring, underpinning balance-sheet resilience over the medium term.

Positive revenue growth trend

Reported revenue growth of roughly 7.6% indicates expansion in underlying operations or investment income. Sustained top-line growth, if maintained, supports long-term recovery of margins and cash generation, providing a base for restoring profitability and reducing reliance on external financing.

Negative Factors

Net losses and negative return on equity

Persistent net losses and negative ROE erode shareholder capital and signal ineffective use of equity. Over time this undermines the company’s ability to reinvest internally, pay dividends, and attract capital, increasing reliance on external funding or asset sales to sustain operations.

Weak cash conversion and negative free cash flow growth

Negative free cash flow growth and poor conversion of net income to operating cash indicate structural liquidity pressure. Continued weak cash generation constrains capital expenditure, debt servicing and investments in subsidiaries, forcing dependence on financing or asset monetization for strategic needs.

Deteriorating operating margins

While gross margins remain positive, falling EBIT/EBITDA margins point to rising operating costs or inefficiencies. Structural margin erosion reduces sustainable earnings power, limiting capacity to fund growth or dividends and making recovery dependent on meaningful cost discipline or operational improvements.

Zuari Industries Limited Business Overview & Revenue Model

Company Description

Zuari Industries Limited engages in agriculture, heavy engineering, infrastructure, lifestyle, and services businesses in India. It operates through eight segments: Engineering Services, Furniture, Real Estate, Sugar, Power, Investment Services, Ethanol, and Management Services. The Engineering Services segment provides technology, basic engineering, detailed engineering, project management, procurement, and construction services to chemical, fertilizer, oil and gas, petrochemical, power, engineering, contracting, and other infrastructure projects. The Furniture segment manufactures, sells, and trades in furniture products. The Real Estate segment engages in the development of real estate projects. The Sugar segment extracts, manufactures, and sells sugar. The Power segment is involved in the co-generation of power using by-products, such as bagasse. The Investment Services segment provides capital market-related services. The Ethanol Plant segment manufactures ethanol using molasses. The Management Services segment offers management consultancy, manpower outsourcing, and related services. In addition, the company provides insurance solutions to individuals and corporates as insurance brokers; and stock and commodity broking, depository participant, portfolio management, and registrar and share transfer agent services, as well as distributes mutual fund products. The company was formerly known as Zuari Global Limited and changed its name to Zuari Industries Limited in June 2022. Zuari Industries Limited was incorporated in 1967 and is based in Gurugram, India.

How the Company Makes Money

Zuari Industries Limited makes money primarily through income generated from its investments and interests in operating businesses. Key revenue and earnings sources typically include: (1) dividends and profit distributions received from subsidiaries, associates, and other investee companies; (2) interest income from loans, deposits, or inter-corporate placements (where applicable); (3) gains or losses from the sale, revaluation, or restructuring of investments and other financial assets; and (4) management/administrative income charged to group companies if such arrangements exist. To the extent the company has direct operating activity, cash generation ultimately depends on the performance of its underlying agribusiness/fertilizer-related entities (e.g., volumes sold, product mix, input costs such as raw materials and energy, regulated pricing/subsidies where applicable, and working-capital cycles), but detailed segment-wise revenue composition and specific partnership contributions are not available here and are therefore null.

Zuari Industries Limited Financial Statement Overview

Summary

Zuari Industries Limited is facing financial pressures with declining revenue and net losses. The balance sheet shows moderate leverage but negative returns on equity. Cash flow issues highlight liquidity concerns, necessitating strategic adjustments.

Income Statement

Zuari Industries Limited has shown inconsistent revenue growth with a decline in the recent year. The latest period reports a net loss, significantly affecting the net profit margin. Although there is a positive gross profit margin, the deterioration in EBIT and EBITDA margins highlights profitability challenges.

Balance Sheet

The company's balance sheet reveals a moderate debt-to-equity ratio, which indicates a reasonable level of financial leverage. However, the return on equity is negative due to the net losses, impacting shareholder value. The equity ratio is relatively stable, suggesting a solid base of stockholder equity compared to total assets.

Cash Flow

Zuari Industries Limited is experiencing negative free cash flow growth, reflecting operational challenges. The operating cash flow to net income ratio is unfavorable, indicating inefficiencies in converting income to cash. Despite some positive financing activities, the cash flow metrics portray liquidity concerns.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	10.02B	9.70B	8.37B	9.55B	7.21B	8.04B
Gross Profit	1.91B	1.37B	2.97B	3.11B	2.59B	2.70B
EBITDA	2.24B	1.42B	10.66B	5.90B	2.24B	1.71B
Net Income	-598.21M	-932.19M	7.14B	3.11B	-358.26M	-858.56M
Balance Sheet
Total Assets	0.00	89.27B	74.94B	58.09B	62.44B	49.94B
Cash, Cash Equivalents and Short-Term Investments	6.94B	6.94B	775.19M	7.36B	3.39B	777.59M
Total Debt	0.00	25.09B	23.77B	26.32B	24.53B	22.30B
Total Liabilities	-50.32B	38.95B	35.90B	34.27B	32.82B	29.88B
Stockholders Equity	50.32B	50.48B	39.19B	23.95B	29.74B	19.37B
Cash Flow
Free Cash Flow	0.00	-1.81B	578.95M	-15.26M	407.23M	938.40M
Operating Cash Flow	0.00	-1.66B	714.80M	159.69M	615.25M	1.09B
Investing Cash Flow	0.00	895.32M	4.75B	945.60M	693.34M	-2.04B
Financing Cash Flow	0.00	946.77M	-5.83B	-886.48M	-869.04M	901.05M

Zuari Industries Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 324.85
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ZUARIIND, the sentiment is Negative. The current price of 324.85 is above the 20-day moving average (MA) of 257.71, above the 50-day MA of 276.77, and above the 200-day MA of 301.10, indicating a bearish trend. The MACD of -8.77 indicates Positive momentum. The RSI at 37.86 is Neutral, neither overbought nor oversold. The STOCH value of 13.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ZUARIIND.

Zuari Industries Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHREEPUSHK	68 Neutral	₹10.30B	17.66	―	0.52%	28.67%	50.12%
KHAICHEM	62 Neutral	₹5.17B	9.32	―	―	67.43%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
ZUARI	57 Neutral	₹8.86B	8.74	―	―	23.32%	447.31%
MADRASFERT	48 Neutral	₹10.91B	127.23	―	―	3.38%	0.68%
ZUARIIND	46 Neutral	₹7.30B	-9.38	―	0.32%	19.59%	-83.95%
UNIENTER	46 Neutral	₹6.93B	-247.22	―	0.34%	―	―

Zuari Industries Limited Corporate Events

Zuari Industries Schedules Analyst Meet, Reaffirms Compliance on Disclosures

Zuari Industries Limited has announced that its officials will participate in a virtual group meeting with investors and analysts at the Arihant Capital – Bharat Connect Conference on Wednesday, 11 March 2026 at 1:00 p.m. The company emphasized that only publicly available information will be used during the interaction, with no discussion of unpublished price sensitive information, and noted that the meeting schedule may change due to exigencies on the part of either the investors or the company.

The disclosure, made under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements, underscores Zuari Industries’ adherence to India’s corporate governance norms and its commitment to fair disclosure practices. By formally notifying exchanges of the planned engagement and clarifying information boundaries, the company signals a continued focus on maintaining market integrity and transparent communication with capital market participants.

Zuari Industries Opens Special Window for Legacy Physical Share Transfers

Zuari Industries Limited has notified shareholders via newspaper advertisements about a special window to transfer and dematerialize physical shares that were sold or purchased before 1 April 2019, aligning its practices with evolving securities market norms. The move, undertaken pursuant to a recent SEBI circular, is expected to streamline legacy share transactions, reduce settlement risk in physical securities, and facilitate better compliance and transparency for investors and the company alike.