Bihar Sponge

Why is Bihar Sponge Iron Ltd falling/rising?

As of 09-Aug, Bihar Sponge Iron Ltd's stock price is at 12.40, showing a recent upward trend and outperforming its sector. However, a significant drop in delivery volume and mixed moving average signals indicate potential caution for investors.

As of 09-Aug, Bihar Sponge Iron Ltd's stock price is rising, currently at 12.40, with a change of 0.08 (0.65%) upwards. The stock has shown a performance today that outperformed its sector by 0.6%, indicating positive momentum. Additionally, it has been gaining for the last two days, with a total increase of 1.06% during this period. <BR><BR>In terms of short-term performance, the stock has increased by 0.49% over the past week, which is slightly lower than the Sensex's gain of 0.52%. However, it has demonstrated a strong year-to-date performance with a rise of 6.53%, contrasting sharply with the Sensex's decline of 7.89%. <BR><BR>Despite these positive indicators, it is important to note that the stock's delivery volume has significantly decreased, falling by 69.23% against the 5-day average, which suggests a decline in investor participation. Furthermore, while the stock is currently above its 5-day moving average, it remains below its longer-term moving averages (20-day, 50-day, 100-day, and 200-day), indicating mixed signals regarding its overall trend. <BR><BR>Overall, the recent rise in stock price can be attributed to short-term gains and outperformance against its sector, despite the decline in investor participation and mixed moving average indicators.

Which are the latest news on Bihar Sponge?

How big is Bihar Sponge?

As of 10th June, Bihar Sponge Iron Ltd has a market capitalization of 111.00 Cr, with recent net sales of 245.48 Cr and a net profit of 11.33 Cr. The company has negative shareholder's funds of -45.35 Cr and total assets of 131.87 Cr.

As of 10th June, Bihar Sponge Iron Ltd has a market capitalization of 111.00 Cr, categorizing it as a Micro Cap company.<BR><BR>In the latest four quarters, Bihar Sponge reported Net Sales of 245.48 Cr and a Net Profit of 11.33 Cr.<BR><BR>As of the latest annual period, the company has Shareholder's Funds of -45.35 Cr and Total Assets amounting to 131.87 Cr.

Who are in the management team of Bihar Sponge?

The management team of Bihar Sponge includes Umesh K Modi (Chairman & President), Abhishek Modi, Jayesh Modi, Kum Kum Modi, Anirudh Modi, Aditya Kumar Modi (Whole-time Director), and several independent directors, along with key personnel like the Company Secretary. This diverse team oversees the company's governance and operations.

The management team of Bihar Sponge includes the following individuals:<BR><BR>1. Umesh K Modi - Chairman & President<BR>2. Abhishek Modi - Director<BR>3. Jayesh Modi - Director<BR>4. Kum Kum Modi - Director<BR>5. Anirudh Modi - Director<BR>6. Aditya Kumar Modi - Whole-time Director<BR>7. Jagdish Chander Chawla - Independent Director<BR>8. Shiv Shanker Agarwal - Independent Director<BR>9. Vijay K Modi - Independent Director<BR>10. Asha Agarwal - Independent Director<BR>11. Salil Seth - Independent Director<BR>12. Vimal Prasad Gupta - Company Secretary & Compliance Officer<BR>13. AJAY KUMAR AGGARWAL - Additional Director<BR>14. Pramod Kumar Gupta - Additional Director<BR><BR>This team comprises a mix of directors, independent directors, and key management personnel, contributing to the governance and operational oversight of the company.

Who are the peers of the Bihar Sponge?

Bihar Sponge's peers include Scan Steels, Nagpur Power, Vaswani Industri, KIC Metaliks, Indsil Hydro, Shyam Century, Chrome Silicon, Facor Alloys, and Impex Ferro Tech. Notably, Nagpur Power has the highest 1-year return at 15.16%, while Shyam Century has the lowest at -34.63%.

Peers: The peers of Bihar Sponge are Scan Steels, Nagpur Power, Vaswani Industri, KIC Metaliks, Indsil Hydro, Shyam Century, Chrome Silicon, Facor Alloys, and Impex Ferro Tech.<BR><BR>Quality Snapshot: Excellent management risk is observed at Shyam Century, while Average management risk is found at Scan Steels and Indsil Hydro, and the rest have Below Average management risk. Below Average growth is noted at Nagpur Power, Vaswani Industri, KIC Metaliks, Indsil Hydro, Shyam Century, Chrome Silicon, and Facor Alloys, while Bihar Sponge, Impex Ferro Tech, and the rest do not qualify for growth assessment. Good capital structure is seen at Scan Steels, while Excellent capital structure is noted at Shyam Century, and the rest have Below Average capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Nagpur Power at 15.16%, while the lowest is Shyam Century at -34.63%. Bihar Sponge's 1-year return of -3.56% is better than Shyam Century's but worse than Nagpur Power's. Additionally, Indsil Hydro, Shyam Century, Chrome Silicon, and Facor Alloys have negative six-month returns.

What does Bihar Sponge do?

Bihar Sponge Iron Ltd is a micro-cap company that produces sponge iron from iron ore and was the first merchant sponge iron plant in India. As of March 2026, it reported net sales of 17 Cr and a net profit of 1 Cr, with a market cap of INR 111 Cr.

Overview:<BR>Bihar Sponge Iron Ltd is a micro-cap company in the ferrous metals industry that produces sponge iron from iron ore.<BR><BR>History:<BR>The company was incorporated on 16 April 1982 in Patna, Bihar. It is recognized as the first merchant sponge iron plant in India. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>Most recent Net Sales: 17 Cr (Quarterly Results - Mar 2026) <BR>Most recent Net Profit: 1 Cr (Quarterly Results - Mar 2026) <BR>Market-cap value: INR 111 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>P/E: 10.00 <BR>Industry P/E: 26 <BR>Dividend Yield: 0.00% <BR>Debt-Equity: -0.72 <BR>Return on Equity: -33.31% <BR>Price to Book: -3.26 <BR><BR>Contact Details:<BR>Address: Umesh Nagar Chandil, Dist Saraikela Kharsawan Jharkhand : 832401 <BR>Email: companysecretary@bsil.org <BR>Website: http://www.bsil.org.in

Are Bihar Sponge Iron Ltd latest results good or bad?

Bihar Sponge Iron Ltd's latest results are concerning, showing an 80.62% decline in net sales and a deeply negative operating margin of -20.80%. The company's reliance on non-operating income for profitability and negative book value indicate significant financial distress and sustainability issues.

Bihar Sponge Iron Ltd's latest results are concerning and indicate significant operational distress. In the quarter ending March 2026, the company experienced a staggering 80.62% decline in net sales, dropping to ₹16.92 crores, which is the lowest quarterly sales figure in recent history. This dramatic collapse suggests severe production disruptions or a catastrophic drop in demand.<BR><BR>The operating margin, excluding other income, was deeply negative at -20.80%, reflecting ongoing issues with cost structure and operational efficiency. Although the company reported a net profit of ₹1.25 crores, this was entirely reliant on other income, which accounted for an alarming 444.80% of profit before tax. Without this non-operating income, the company would have faced substantial losses.<BR><BR>Furthermore, the financial health of Bihar Sponge Iron is troubling, with a negative book value of ₹-9.49 per share and a significant portion of promoter shares (52.05%) pledged, indicating financial stress at the ownership level. Overall, the results suggest that the company is in a precarious position, and the reliance on other income for profitability raises serious concerns about its sustainability moving forward.

Should I buy, sell or hold Bihar Sponge Iron Ltd?

When is the next results date for Bihar Sponge Iron Ltd?

The next results date for Bihar Sponge Iron Ltd is 29 May 2026.

The next results date for Bihar Sponge Iron Ltd is scheduled for 29 May 2026.

How has been the historical performance of Bihar Sponge?

Bihar Sponge has experienced fluctuating financial performance, with net sales increasing to 319.42 Cr in Mar'25 but facing operating losses of -15.48 Cr due to rising expenditures. Despite a decrease in total liabilities and stable cash flow, profitability remains a challenge.

Answer:<BR>The historical performance of Bihar Sponge shows significant fluctuations in its financial metrics over the years.<BR><BR>Breakdown:<BR>Bihar Sponge's net sales have shown a notable increase from Mar'20, where it recorded no sales, to Mar'25 with sales of 319.42 Cr, despite a drop from the previous year's 463.37 Cr. The total operating income followed a similar trend, reaching 319.42 Cr in Mar'25, up from 266.65 Cr in Mar'24. However, the total expenditure, excluding depreciation, also increased to 334.90 Cr in Mar'25, leading to an operating profit (PBDIT) of -15.48 Cr, indicating a loss compared to a profit of 14.11 Cr in Mar'23. The profit before tax for Mar'25 was 10.39 Cr, slightly down from 12.14 Cr in Mar'23, while profit after tax mirrored this trend at 10.39 Cr. The company's total liabilities decreased to 131.87 Cr in Mar'25 from 182.09 Cr in Mar'24, and total assets also fell to 131.87 Cr. Cash flow from operating activities was stable at 19.00 Cr in Mar'24, but the net cash inflow/outflow remained at 0.00 Cr. Overall, while Bihar Sponge has shown growth in sales, it continues to face challenges in profitability and managing expenses.

Is Bihar Sponge overvalued or undervalued?

As of April 25, 2023, Bihar Sponge is considered overvalued and risky, with a PE ratio of 11.44 and a year-to-date stock decline of 21.98%, contrasting sharply with industry peers like JSW Steel and Tata Steel.

As of 25 April 2023, the valuation grade for Bihar Sponge has moved from does not qualify to risky. The company is currently considered overvalued. Key ratios include a PE ratio of 11.44, an EV to EBITDA of -9.30, and a PEG ratio of 0.24, which indicate significant concerns regarding profitability and valuation metrics. <BR><BR>When compared to peers, JSW Steel has a PE ratio of 64.98 and Tata Steel has a PE of 51.92, both of which highlight the stark contrast in valuation and performance within the industry. Additionally, the company's recent stock performance has underperformed against the Sensex, particularly in the year-to-date period, where it has declined by 21.98% compared to the Sensex's gain of 5.61%. This further reinforces the notion that Bihar Sponge is currently overvalued in the market.

What is the technical trend for Bihar Sponge?

As of May 27, 2025, Bihar Sponge shows a mildly bearish trend overall, with mixed signals from indicators like the MACD and Bollinger Bands, suggesting short-term weakness despite a mildly bullish weekly outlook.

As of 27 May 2025, the technical trend for Bihar Sponge has changed from bearish to mildly bearish. The weekly MACD indicates a mildly bullish stance, while the monthly MACD shows a mildly bearish trend. The daily moving averages are also mildly bearish, suggesting short-term weakness. Bollinger Bands are bearish on both weekly and monthly time frames, reinforcing the bearish sentiment. The KST aligns with the MACD, being mildly bullish weekly but mildly bearish monthly. Overall, the indicators reflect a mildly bearish stance with some mixed signals, particularly in the weekly time frame.

Who are the top shareholders of the Bihar Sponge?

The top shareholder of Bihar Sponge is Moderate Leasing And Capital Services Ltd., holding 49.1% of the shares, while individual investors own 26.11%. There are no foreign institutional investors, and 14 mutual fund schemes hold about 0.07% of the shares.

The top shareholders of Bihar Sponge are primarily the promoters, with a significant portion of their holdings pledged. The promoter with the highest stake is Moderate Leasing And Capital Services Ltd., which holds 49.1% of the shares. Additionally, individual investors collectively own 26.11% of the company. There are also 14 mutual fund schemes that hold a small fraction of shares, approximately 0.07%. Currently, there are no foreign institutional investors (FIIs) holding shares in the company.

Has Bihar Sponge declared dividend?

No Dividend History Available