Alan Scott Enterprises Ltd (539115)
🎯 Key Takeaways
- Alan Scott Enterprises Ltd appears to be in a distressed phase, marked by persistent losses, negative margins, and deteriorating returns. The company has posted consecutive quarterly losses with declining operational performance, and its negative ROE and ROCE indicate severe capital inefficiency.
- Revenue grew 9.1% QoQ to ₹9 in Q1FY27.
- ⚠️ Persistent quarterly losses with widening net deficits and negative margins across all metrics.
- Market Cap
- ₹166
- P/B Ratio
- 14.79
- ROE
- -26.5%
- ROCE
- -12.6%
- Debt/Equity
- 0.86
- Promoter
- 63.6%
📖 The Story
Alan Scott Enterprises Ltd appears to be in a distressed phase, marked by persistent losses, negative margins, and deteriorating returns. The company has posted consecutive quarterly losses with declining operational performance, and its negative ROE and ROCE indicate severe capital inefficiency. Despite stable promoter holding, weak financials and lack of visible recovery initiatives suggest ongoing operational challenges.
📰 What's Happening
The most recent board meeting on 2026-08-27 approved the FY2026 annual report and reappointed auditors, marking routine governance updates with no strategic announcements. Earlier in the year, the company continued to report quarterly losses, with operating performance deteriorating from a 1% operating profit margin in June 2025 to negative margins by March 2026. There are no disclosed capital raises, divestments, or new growth initiatives in the filings to date.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|
| Revenue | 9 | 9 | 8 | 8 | 9 |
| Operating Profit | 0 | -0 | -1 | -2 | -0 |
| OPM % | 1.0% | -3.6% | -15.4% | -18.3% | -4.6% |
| Net Profit | -0 | -1 | -1 | -2 | -1 |
| EPS | ₹-0.42 | ₹-1.15 | ₹-1.23 | ₹-2.24 | ₹-0.67 |
Quarterly revenue has remained flat around ₹8-9 crore, but profitability has sharply declined, with operating profit margins turning deeply negative from a 1% margin in June 2025 to -18.3% by March 2026. Net losses have widened, and EPS has turned increasingly negative, reflecting mounting operational stress. Despite flat top-line performance, cost pressures have eroded margins, signaling potential inefficiencies or pricing challenges in the core textile business.
🔮 Management Outlook & What's Next
There is no forward guidance or strategic outlook provided in the available filings. Management has not articulated any recovery plan, cost-cutting measures, or growth targets in the reviewed disclosures. The absence of commentary on future performance suggests limited visibility or confidence in near-term improvement.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 4 | 4 | 6 | 5 |
| Reserves | -2 | -2 | 6 | 3 |
| Borrowings | 7 | 11 | 10 | 12 |
| Total Liabilities | 27 | 28 | 36 | 35 |
| Fixed Assets | 16 | 15 | 13 | 15 |
| Investments | 1 | 2 | 2 | 3 |
| Total Assets | 27 | 28 | 36 | 35 |
The balance sheet shows a modest increase in total assets from ₹27 crore to ₹36 crore over two years, but this growth is accompanied by rising borrowings and stagnant equity. Borrowings have increased from ₹7 crore to ₹12 crore, indicating reliance on debt to fund operations or assets without significant equity growth. Reserves remain minimal and even negative in earlier periods, reflecting cumulative losses eroding capital.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2025 | Mar 2026 |
|---|---|---|
| Operating | -2 | -6 |
| Investing | +0 | -6 |
| Financing | -0 | +13 |
| Net Cash Flow | -2 | +1 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 66.8% | 63.5% | 63.5% | 63.6% |
| FII | 0.0% | 0.0% | 0.0% | 0.3% |
| DII | 0.3% | 0.2% | 0.2% | 0.2% |
| Public | 28.5% | 29.7% | 29.4% | 29.3% |
| # Shareholders | 7,070 | 7,031 | 6,926 | 6,887 |
Promoter holding has gradually declined from 66.8% to 63.57%, while public shareholding has slightly increased. FII and DII holdings remain negligible, with no signs of institutional accumulation. The stable promoter stake suggests no urgent exit, but the lack of investor interest from FIIs/DIIs and a growing shareholder base may indicate speculative trading without fundamental conviction.
⚖️ Peer Comparison — Textiles
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. Persistent quarterly losses with widening net deficits and negative margins across all metrics. 2. Negative ROE and ROCE, indicating the company is destroying shareholder value. 3. Rising debt levels alongside stagnant asset growth, raising solvency concerns. 4. No visible recovery strategy or management communication on path to profitability.
📋 Recent Filings
- 🟡 Board Meeting2026-09-29The 32nd Annual General Meeting of Alan Scott Enterprises Limited was held on September 29, 2026, at 11:30 AM IST via video conferencing. The meeting …
- 🔴 Announcement2026-09-29Alan Scott Enterprises announced the re-appointment of Sureshkumar Jain as Managing Director for a five-year term effective June 24, 2026, through Sep…
- 🔴 Announcement2026-09-29Alan Scott Enterprises Ltd announced on September 29, 2026, that its shareholders approved an alteration to the Memorandum of Association to align it …
- 🔴 Announcement2026-09-29Alan Scott Enterprises Ltd announced amendments to its Memorandum and Articles of Association, adopting a new Articles of Association under the Compan…
- 🔴 Corporate Action2026-09-17Alan Scott Enterprises announced the allotment of 952,931 equity shares via rights issue on September 17, 2026, following the closure of the offer on …
- 🔴 Corporate Action2026-09-17The company finalized the rights issue outcome, allotting 952,931 partly paid equity shares at INR 75 per share, with INR 40 paid as application money…
- 🔴 annual report2026-09-04Alan Scott Enterprises reported FY 2025-26 results with ₹12.3 crores revenue and [amount context mismatch] crores net profit, up from ₹9.1 crores reve…
- 🟡 Board Meeting2026-09-04The 32nd Annual General Meeting of Alan Scott Enterprises Limited is scheduled for September 29, 2026, at 11:30 AM IST via video conferencing. Shareho…
- 🟡 Board Meeting2026-08-27The board approved the annual report for FY2026, appointed NH Variava & Co as internal auditors and KNK & Co LLP as secretarial auditors for 2027, set…
🧠 Analyst's Read
The company is navigating significant operational and financial headwinds with no disclosed plan to reverse the trend. Investors should monitor for any strategic shift, cost restructuring, or new revenue initiatives that could stabilize margins. Until then, the business remains high-risk with limited visibility into a turnaround.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-29.
Editorial & Data Transparency Notice
This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.
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