ScoreWhy is Kirloskar Electric Company Ltd ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of 15.46% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 5.26 times
- The company has been able to generate a Return on Capital Employed (avg) of 7.90% signifying low profitability per unit of total capital (equity and debt)
2
With a growth in Operating Profit of 11.37%, the company declared Very Positive results in Dec 25
- The company has declared positive results for the last 2 consecutive quarters
- NET SALES(Q) Highest at Rs 151.42 cr
- OPERATING PROFIT TO INTEREST(Q) Highest at 2.62 times
- DEBT-EQUITY RATIO(HY) Lowest at 0.83 times
3
Stock is technically in a Mildly Bullish range
- The technical trend has improved from Mildly Bearish on 22-May-26 and has generated 4.96% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band and KST
4
With ROCE of 7.4, it has a Expensive valuation with a 4.2 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -8.04%, its profits have risen by 499.7% ; the PEG ratio of the company is 0.1
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Kirl. Electric should be less than 10%
- Overall Portfolio exposure to Other Electrical Equipment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Electrical Equipment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Kirl. Electric for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Kirl. Electric
23.4%
-0.18
45.50%
Sensex
-3.04%
-0.49
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
16.25%
EBIT Growth (5y)
26.28%
EBIT to Interest (avg)
0.72
Debt to EBITDA (avg)
2.64
Net Debt to Equity (avg)
0.52
Sales to Capital Employed (avg)
2.21
Tax Ratio
2.12%
Dividend Payout Ratio
0
Pledged Shares
75.33%
Institutional Holding
2.45%
ROCE (avg)
6.30%
ROE (avg)
31.20%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
46
Industry P/E
44
Price to Book Value
7.54
EV to EBIT
34.06
EV to EBITDA
29.90
EV to Capital Employed
5.31
EV to Sales
1.80
PEG Ratio
0.10
Dividend Yield
NA
ROCE (Latest)
15.58%
ROE (Latest)
16.36%
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TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend19What is working for the Company
PAT(Latest six months)
Higher at Rs 11.17 cr
ROCE(HY)
Highest at 20.56%
NET SALES(Q)
Highest at Rs 163.57 cr
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 31.92 cr
DEBT-EQUITY RATIO(HY)
Lowest at 0.76 times
-7What is not working for the Company
PBT LESS OI(Q)
At Rs -1.35 cr has Fallen at -2447.8% (vs previous 4Q average
PAT(Q)
At Rs -0.63 cr has Fallen at -113.7% (vs previous 4Q average
INTEREST(Q)
Highest at Rs 6.66 cr
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Here's what is working for Kirl. Electric
Net Sales - Quarterly
Highest at Rs 163.57 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 31.92 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio - Half Yearly
Lowest at 0.76 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Kirl. Electric
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -1.35 cr has Fallen at -2447.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 0.06 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -0.63 cr has Fallen at -113.7% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 4.59 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Quarterly
Highest at Rs 6.66 cr
in the last five quarters and Increased by 10.45 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
