How has been the historical performance of Vasudhagama Ent.?

Revenue and Profitability Trends

Over the fiscal years ending March 2024 and March 2025, Vasudhagama Ent. recorded a notable increase in net sales, rising from ₹21.13 crores to ₹26.25 crores. This growth in top-line revenue was accompanied by a corresponding increase in total operating income, which remained consistent with net sales figures as the company reported no other operating income during these periods.

The company’s expenditure profile shows that purchase of finished goods constituted the largest cost component, increasing from ₹17.71 crores to ₹21.97 crores. Employee costs and other expenses also saw marginal rises, reflecting operational scaling. Total expenditure excluding depreciation rose from ₹18.74 crores to ₹23.14 crores, yet Vasudhagama Ent. managed to improve its operating profit (PBDIT) from ₹2.39 crores to ₹3.11 crores, enhancing its operating profit margin slightly from 11.31% to 11.85%.

Profit before tax increased from ₹2.16 crores to ₹2.37 crores, while profit after tax rose from ₹1.61 crores to ₹1.76 crores. Despite this, earnings per share (EPS) declined from ₹0.95 to ₹0.40, primarily due to a substantial increase in equity capital during the same period. The consolidated net profit followed a similar upward trajectory, moving from ₹1.61 crores to ₹1.74 crores. The profit after tax margin, however, saw a slight contraction from 7.62% to 6.7%.

Balance Sheet and Financial Position

Vasudhagama Ent.’s balance sheet reveals a significant expansion in shareholder’s funds, which surged from ₹41.65 crores in March 2024 to ₹112.61 crores in March 2025. This growth was driven by a sharp increase in both share capital and reserves, with share capital rising from ₹16.96 crores to ₹43.91 crores and reserves increasing from ₹24.69 crores to ₹68.70 crores.

The company’s total liabilities also expanded substantially, from ₹46.22 crores to ₹113.72 crores, reflecting the increased equity base. Notably, long-term borrowings were fully repaid by March 2025, reducing from ₹1.22 crores to zero, indicating a stronger debt-free position. Current liabilities decreased significantly, improving the company’s short-term financial stability.

On the asset side, total assets grew in tandem with liabilities, rising from ₹46.22 crores to ₹113.72 crores. Non-current assets, primarily comprising non-current investments, increased markedly from ₹45.97 crores to ₹113.31 crores, signalling strategic investment activity. Net block of fixed assets slightly decreased, while current assets showed a modest increase.

Book value per share improved from ₹24.55 to ₹25.64, reflecting enhanced net worth per share despite the equity dilution. The company maintained a negligible debt level by the end of the latest fiscal year, underscoring a conservative capital structure.

Cash Flow and Operational Insights

Cash flow statements for the recent fiscal years indicate that Vasudhagama Ent. generated a positive cash flow from operating activities of ₹1.00 crore in March 2025, compared to no significant cash flow in the previous year. However, the company invested heavily in investing activities, with cash outflows amounting to ₹70.00 crores, likely related to the surge in non-current investments.

Financing activities provided ₹68.00 crores in cash inflows, which aligns with the increase in equity capital, suggesting fresh capital infusion to support expansion. The net cash inflow/outflow remained neutral, indicating balanced cash management despite the sizeable investment outlays.

Overall, Vasudhagama Ent. has shown a trajectory of growth in revenues and profits, supported by a strengthened balance sheet and strategic investments. While EPS has been diluted due to equity expansion, the company’s operating margins and net worth per share have improved, signalling a solid foundation for future performance.

Limited Time Only! Subscribe for Rs. 12,999 and get 1 Year of MojoOne + an Additional Year Completely FREE. Don't miss out on this exclusive offer. Claim Your Free Year →