Revenue and Operating Performance Trends
Vivid Global's net sales have experienced a notable decline from ₹61.24 crores in March 2019 to ₹41.02 crores by March 2025. The peak revenue was recorded in fiscal 2019, followed by a gradual decrease with intermittent fluctuations. For instance, sales dipped to ₹34.41 crores in March 2024 before rebounding slightly in the latest fiscal year. The absence of other operating income throughout this period indicates reliance solely on core sales activities.
Operating profit margins have mirrored this trend, with the operating profit (PBDIT) excluding other income shrinking from ₹5.62 crores in 2019 to ₹1.17 crores in 2025. Correspondingly, the operating profit margin declined from a robust 9.18% in 2019 to a modest 2.85% in 2025, signalling pressure on operational efficiency and cost management.
Despite these challenges, the company maintained a positive operating profit each year, supported by other income which modestly increased to ₹0.61 crores in 2025. However, the gross profit margin also contracted significantly, from 8.57% in 2019 to just over 3% in the latest fiscal year, underscoring tighter cost controls and pricing pressures.
Just announced: This Small Cap from Tyres & Allied with precise target price is our pick for the week. Get the pre-market insights that informed this selection!
- - Just announced pick
- - Pre-market insights shared
- - Tyres & Allied weekly focus
Profitability and Earnings Analysis
The profit before tax (PBT) has shown considerable volatility, with a peak of ₹4.70 crores in 2019, followed by a sharp decline and even a negative PBT in 2023. The latest fiscal year saw a modest recovery to ₹0.53 crores. Profit after tax (PAT) followed a similar trajectory, dropping from ₹3.39 crores in 2019 to a loss in 2023, before returning to a positive ₹0.39 crores in 2025.
Correspondingly, earnings per share (EPS) declined from ₹3.72 in 2019 to a low of negative ₹0.21 in 2023, recovering to ₹0.43 in 2025. The PAT margin contracted sharply from 5.54% in 2019 to under 1% in 2025, reflecting the company's struggle to sustain profitability amid declining revenues and rising costs.
Interest expenses have fluctuated but remained relatively contained, with a slight increase to ₹0.51 crores in 2025. Depreciation charges have been stable, averaging around ₹0.7 crores annually, indicating consistent asset utilisation without significant new capital expenditure.
Balance Sheet and Asset Management
On the balance sheet front, shareholder's funds have grown steadily from ₹12.19 crores in 2020 to ₹15.28 crores in 2025, supported by rising reserves which increased from ₹6.76 crores in 2019 to ₹10.72 crores in 2025. This indicates retained earnings accumulation despite profit fluctuations.
Total liabilities have decreased from ₹33.57 crores in 2021 to ₹29.50 crores in 2025, reflecting some deleveraging. Long-term borrowings remain minimal, around ₹0.10 crores, while short-term borrowings have varied, peaking at ₹3.88 crores in 2024 before easing to ₹2.37 crores in 2025.
Net block of fixed assets has declined from ₹6.74 crores in 2020 to ₹4.16 crores in 2025, suggesting asset disposals or depreciation outpacing additions. Current assets have remained relatively stable, with inventories and sundry debtors showing moderate fluctuations, while cash and bank balances have been maintained around ₹4 crores in recent years.
Cash Flow and Liquidity Position
Cash flow from operating activities has been inconsistent, with positive inflows in most years but a notable negative flow in 2022. The latest fiscal year reported a positive operating cash flow of ₹2 crores, indicating some improvement in working capital management. Investing activities have been largely inactive, with no significant cash outflows recorded.
Financing activities have seen mixed cash flows, including repayments and borrowings, with a net outflow of ₹1 crore in 2025. Overall, the company has maintained a stable cash and cash equivalent position, closing at ₹4 crores in 2025, consistent with prior years.
Holding Vivid Global from Commodity Chemicals? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Summary of Historical Performance
In summary, Vivid Global has faced a challenging period marked by declining sales and compressed margins since 2019. While the company has managed to sustain positive operating profits and maintain a stable balance sheet, profitability metrics such as PAT and EPS have been volatile, including a loss in 2023. The steady growth in reserves and shareholder funds provides some cushion, but the contraction in asset base and fluctuating cash flows highlight operational pressures.
Investors should note the company's efforts to stabilise its financial position in recent years, with improved cash flow and reduced liabilities. However, the subdued revenue growth and narrow profit margins suggest cautious optimism is warranted when evaluating Vivid Global's future prospects.
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 →
