Revenue and Operating Performance
Over the past six years, Amal’s net sales have shown a robust upward trajectory, rising from ₹32.60 crores in March 2020 to ₹135.32 crores by March 2025. This represents a more than fourfold increase, underscoring strong demand and effective market penetration. The total operating income mirrored this growth, with no other operating income reported during this period.
Despite this growth, the company faced a notable dip in operating profit in the fiscal year ending March 2023, registering a negative operating profit before depreciation, interest, and tax (PBDIT) of ₹-5.59 crores. However, Amal rebounded strongly in the subsequent years, achieving an operating profit of ₹43.31 crores in March 2025, reflecting improved cost management and operational leverage.
Raw material costs, a significant component of total expenditure, increased in line with sales but were managed efficiently relative to revenue growth. Employee costs and power expenses also rose steadily, consistent with the company’s expansion, while manufacturing and other expenses remained controlled. The operating profit margin, excluding other income, recovered from a negative margin in 2023 to a healthy 32.01% in 2025, signalling enhanced profitability.
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Profitability and Margins
Amal’s profit before tax (PBT) and profit after tax (PAT) have exhibited significant volatility, with a loss recorded in 2023 followed by a strong recovery. The PAT swung from a loss of ₹16.11 crores in 2023 to a profit of ₹29.29 crores in 2025. This turnaround is reflected in the earnings per share (EPS), which improved from a negative ₹11.83 in 2023 to ₹23.7 in 2025, indicating substantial value creation for shareholders.
The PAT margin followed a similar pattern, recovering from a negative 26.27% in 2023 to a robust 21.64% in 2025. This improvement highlights the company’s ability to convert higher revenues into net profits effectively. Interest expenses have declined over the years, contributing positively to the bottom line, while depreciation charges increased in line with asset growth.
Balance Sheet and Financial Position
Amal’s balance sheet has strengthened considerably, with shareholder’s funds rising from ₹25.53 crores in 2020 to ₹99.18 crores in 2025. The company has successfully reduced its long-term borrowings to zero by 2025, a significant deleveraging from ₹41.93 crores in 2022. This reduction in debt has improved the company’s financial stability and reduced interest burden.
Total liabilities increased moderately, reflecting the company’s expansion, but current liabilities remained manageable. The net block of fixed assets grew substantially, indicating ongoing capital investment, while capital work in progress declined sharply from a peak in 2022, suggesting project completions.
Current assets, including investments and cash balances, have increased, supporting liquidity. The book value per share has nearly tripled from ₹24.59 in 2020 to ₹80.22 in 2025, reflecting enhanced net asset value and shareholder wealth.
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Cash Flow and Operational Efficiency
Cash flow from operating activities has mirrored the company’s profitability trends, with a negative cash flow in 2023 turning positive and reaching ₹49 crores in 2025. Investing activities have consistently been cash outflows, reflecting ongoing capital expenditure and expansion efforts. Financing activities showed a net outflow in recent years, consistent with debt repayment and deleveraging strategies.
Net cash inflow remained positive in 2025, with closing cash and cash equivalents increasing to ₹3 crores, supporting operational flexibility. Changes in working capital have been managed prudently, contributing to improved cash generation.
Overall, Amal’s historical performance reveals a company that has navigated through a challenging phase to emerge stronger, with solid revenue growth, improved profitability, a healthier balance sheet, and positive cash flows. Investors may find these trends encouraging as the company continues to build on its recent momentum.
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