Revenue Growth and Operating Performance
Over the past six years, Monarch Networth’s net sales have exhibited a strong compound growth pattern, rising from ₹69.32 crores in March 2019 to ₹326.80 crores in March 2025. This represents a near fivefold increase, underscoring the company’s expanding operational scale. Total operating income mirrored this growth, with no other operating income reported, indicating that core business activities have been the primary revenue drivers.
Operating profit margins have improved markedly, with the operating profit (PBDIT) margin excluding other income increasing from 18.36% in March 2019 to an impressive 66.33% in March 2025. This margin expansion reflects enhanced operational efficiency and cost management, despite rising employee and manufacturing expenses. The company’s gross profit margin also strengthened, reaching 61.27% in the latest fiscal year, up from 22.91% six years prior.
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Profitability and Earnings Metrics
Monarch Networth’s profit before tax surged from ₹14.94 crores in March 2019 to ₹192.68 crores in March 2025, reflecting a substantial increase in profitability. Correspondingly, profit after tax rose from ₹13.05 crores to ₹149.27 crores over the same period. The company’s PAT margin improved significantly, reaching 45.68% in the latest fiscal year compared to 18.83% in 2019, indicating a strong bottom-line performance relative to revenue.
Earnings per share (EPS) also followed an upward trend, climbing from ₹4.20 in March 2019 to ₹19.02 in March 2025. This growth in EPS is partly attributable to an increase in equity capital, which nearly doubled from ₹31.05 crores to ₹78.46 crores, reflecting capital infusion and possible share issuance to support expansion.
Balance Sheet Strength and Asset Management
The company’s total assets expanded from ₹407.94 crores in March 2021 to ₹1,234.50 crores in March 2025, highlighting aggressive asset accumulation and investment. Shareholders’ funds grew substantially, reaching ₹796.79 crores in March 2025 from ₹107.83 crores in March 2021, signalling strong equity growth and retained earnings accumulation.
Monarch Networth maintained a low debt profile, with total debt rising modestly to ₹9.20 crores in March 2025 from zero in earlier years, indicating a conservative approach to leverage. The company’s cash and bank balances increased significantly to ₹632.21 crores, providing ample liquidity and financial flexibility.
Cash Flow Trends
Cash flow from operating activities showed volatility in earlier years but turned positive with ₹29 crores in March 2025, after a negative outflow in the previous year. Investing activities reflected strategic outflows of ₹86 crores in the latest year, consistent with asset growth, while financing activities contributed ₹170 crores, supporting expansion and liquidity. The net cash inflow of ₹113 crores in March 2025 further strengthens the company’s cash position.
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Summary of Historical Performance
Monarch Networth’s historical financial performance reveals a company on a strong growth trajectory, with consistent increases in revenue, profitability, and shareholder equity. The firm has successfully expanded its operational scale while improving margins and maintaining a healthy balance sheet with minimal debt. Its liquidity position remains robust, supported by growing cash reserves and positive cash flows in recent years.
Investors may note the company’s ability to enhance earnings per share and return on equity, reflecting effective capital utilisation. The steady rise in reserves and book value per share further underscores Monarch Networth’s strengthening financial foundation. While the company has experienced fluctuations in cash flow from operations in the past, recent trends suggest improved cash management and operational efficiency.
Overall, Monarch Networth’s historical data portrays a resilient and expanding enterprise with promising fundamentals, making it a noteworthy consideration for investors seeking growth in the capital markets sector.
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