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Asian Star Co Overview

1. Business Overview

Asian Star Company Ltd. (ASTAR) is primarily engaged in the manufacturing, processing, and trading of diamonds and diamond-studded jewellery. The company operates an integrated business model, sourcing rough diamonds, undertaking cutting and polishing, and then either trading these polished diamonds or setting them into jewellery for sale. While they have a presence in the domestic Indian market, a significant portion of their business revolves around the export of polished diamonds and diamond-studded jewellery to international markets. Their core business model focuses on B2B sales to wholesalers, retailers, and brands globally, making money through value addition in the diamond processing and jewellery manufacturing supply chain.

2. Key Segments / Revenue Mix

The company's revenue is primarily derived from two main segments:

Cut & Polished Diamonds: This segment involves the trading of loose, finished diamonds after cutting and polishing rough stones. Historically, this has been the larger contributor to revenue.

Diamond-Studded Jewellery: This segment encompasses the design, manufacturing, and sale of jewellery embedded with diamonds. This segment typically commands higher margins and represents a strategic focus for value addition.

While specific percentage contributions can fluctuate year-on-year based on market demand and company strategy, both segments are crucial to their overall revenue stream, with a growing emphasis on the jewellery segment.

3. Industry & Positioning

The Indian diamond and jewellery industry is a global powerhouse, particularly in diamond cutting and polishing, handling a large majority of the world's rough diamonds. It is also a significant exporter of finished jewellery. Asian Star is an established player within this industry, known for its long operational history and reputation. The company operates in a competitive environment with numerous domestic and international players. ASTAR differentiates itself through its integrated operations (from rough sourcing to finished product), focus on quality, and established relationships with international clients and rough diamond suppliers. It positions itself as a reliable manufacturer and exporter of polished diamonds and diamond-studded jewellery, primarily serving the mid-to-high end segments of the market.

4. Competitive Advantage (Moat)

Experience & Reputation: With over five decades in the business, Asian Star has built a strong reputation for quality and reliability, fostering long-standing relationships with both suppliers and customers.

Integrated Operations: The company's vertically integrated model, from rough diamond procurement and manufacturing to finished jewellery, allows for better control over the supply chain, quality, and costs, potentially leading to operational efficiencies.

Established Export Network: A well-developed international sales and distribution network facilitates access to key global markets, crucial for a predominantly export-oriented business.

Design & Manufacturing Expertise: In-house capabilities for jewellery design and manufacturing provide flexibility and control over product offerings and quality.

5. Growth Drivers

Global Demand for Luxury Goods: Increasing disposable incomes in emerging markets and sustained demand from developed economies for diamonds and diamond jewellery.

India's Dominance in Diamond Processing: India's continued position as the world's leading center for diamond cutting and polishing provides a strong operational base.

Focus on Value-Added Jewellery: Shifting product mix towards higher-margin diamond-studded jewellery can enhance profitability and revenue growth.

Market Diversification: Exploring new geographical markets for exports or strengthening presence in existing high-potential markets.

E-commerce Penetration: Leveraging online channels for B2B and potential B2C sales to expand reach and efficiency.

6. Risks

Volatility of Diamond Prices: Fluctuations in rough and polished diamond prices, driven by global supply and demand dynamics, can impact profitability and inventory valuations.

Global Economic Slowdown: As a luxury product, demand for diamonds and jewellery is highly susceptible to global economic downturns and reduced consumer discretionary spending.

Currency Fluctuations: Being a major exporter, adverse movements in the Indian Rupee (INR) against major currencies like the US Dollar can impact export revenues and import costs.

Intense Competition: The industry is highly fragmented and competitive, leading to pressure on pricing and margins.

Changing Consumer Preferences: Evolving consumer tastes, growing interest in lab-grown diamonds, and increasing demand for ethical sourcing could pose challenges if the company does not adapt.

Regulatory & Trade Policies: Changes in import/export duties, taxation, or international trade agreements can impact business operations and profitability.

7. Management & Ownership

Asian Star Company Ltd. is promoted and primarily managed by the Shah family. Mr. Arunkumar M. Shah serves as the Chairman & Managing Director, leading the company with a long tenure in the diamond and jewellery industry. The promoter group typically holds a significant majority stake in the company, which indicates strong alignment of interests between ownership and management. This high promoter holding suggests long-term commitment and stability in leadership.

8. Outlook

Asian Star Company Ltd. benefits from its established position and integrated operations in the globally dominant Indian diamond and jewellery manufacturing sector. Its extensive experience and export-oriented model provide a stable foundation, particularly given the anticipated growth in global luxury consumption. The company's strategic focus on the higher-margin studded jewellery segment offers potential for enhanced profitability. However, the business remains inherently sensitive to global economic cycles, currency volatility, and raw material price fluctuations. Furthermore, evolving consumer preferences, including the rise of lab-grown diamonds, present both a potential threat and an opportunity for adaptation. Future performance will largely depend on its ability to navigate these external macroeconomic factors, manage commodity price risks, and strategically adapt to shifts in consumer demand and competitive landscapes.

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Asian Star Co Key Financials

Market Cap ₹977 Cr.

Stock P/E 23.5

P/B 0.6

Current Price ₹610.1

Book Value ₹ 1010.9

Face Value 10

52W High ₹792.7

Dividend Yield 0.25%

52W Low ₹ 533.1

Asian Star Co Share Price

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Volume
Price

Asian Star Co Quarterly Price

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Asian Star Co Peer Comparison

Asian Star Co Quarterly Results

#(Fig in Cr.) Sep 2023 Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025
Net Sales 922 691 986 759 654 688 854 717 759 660
Other Income 1 11 8 8 10 4 -1 11 -0 8
Total Income 922 702 994 767 664 692 853 728 759 668
Total Expenditure 890 664 958 732 628 666 850 695 735 648
Operating Profit 33 38 36 35 36 26 4 33 24 20
Interest 10 10 10 10 9 8 7 7 7 5
Depreciation 3 3 3 3 3 3 2 2 2 2
Exceptional Income / Expenses 0 0 0 0 -3 0 0 0 0 0
Profit Before Tax 20 25 23 21 22 16 -5 23 15 12
Provision for Tax 3 7 5 4 3 5 1 4 3 2
Profit After Tax 17 18 19 17 19 11 -6 19 12 9
Adjustments 0 -0 0 1 -2 1 2 -0 -0 0
Profit After Adjustments 18 18 19 18 17 12 -4 19 12 10
Adjusted Earnings Per Share 11 11.3 11.7 11.5 10.7 7.5 -2.8 12.1 7.3 6.1

Asian Star Co Profit & Loss

#(Fig in Cr.) Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 TTM
Net Sales 3221 3302 3494 3905 3642 3053 2544 4423 4478 3523 2956 2990
Other Income 2 1 7 8 5 2 20 10 12 32 22 18
Total Income 3223 3304 3501 3913 3648 3055 2564 4433 4490 3556 2978 3008
Total Expenditure 3081 3170 3362 3730 3461 2940 2482 4291 4339 3407 2875 2928
Operating Profit 141 133 139 184 187 116 83 142 151 149 103 81
Interest 30 25 31 35 30 22 5 9 33 40 35 26
Depreciation 16 16 18 17 17 16 15 14 12 12 11 8
Exceptional Income / Expenses 6 -1 -0 -5 -3 0 -4 -5 -1 0 -3 0
Profit Before Tax 101 91 90 127 137 78 59 113 105 97 54 45
Provision for Tax 19 17 24 17 21 14 -5 19 22 20 13 10
Profit After Tax 82 74 66 109 116 63 64 94 83 78 41 34
Adjustments 0 -0 0 -0 -1 0 -0 -0 -0 -0 2 2
Profit After Adjustments 82 74 66 109 115 63 64 94 83 77 43 37
Adjusted Earnings Per Share 51.2 46.4 41.3 68.2 71.8 39.6 39.9 58.6 51.6 48.2 27 22.7

Growth Rates

# 1 Year 3 Year 5 Year 10 Year
Sales CAGR -16% -13% -1% -1%
Operating Profit CAGR -31% -10% -2% -3%
PAT CAGR -47% -24% -8% -7%
# 1 Year 3 Year 5 Year 10 Year
Share Price CAGR -15% -4% -3% -2%
ROE Average 3% 5% 5% 8%
ROCE Average 4% 6% 5% 7%

Asian Star Co Balance Sheet

#(Fig in Cr.) Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025
Shareholder's Funds 629 784 843 950 1075 1165 1214 1315 1435 1513 1566
Minority's Interest 0 -1 -3 33 -2 -2 -2 -2 -2 -4 -4
Borrowings 47 23 25 23 52 51 51 50 53 53 58
Other Non-Current Liabilities 69 124 66 63 63 64 53 52 51 55 47
Total Current Liabilities 1263 1443 1305 1247 871 756 732 1018 970 1095 741
Total Liabilities 2008 2373 2236 2317 2059 2034 2048 2433 2507 2713 2408
Fixed Assets 165 266 260 241 229 217 203 178 168 173 163
Other Non-Current Assets 81 108 93 98 106 112 104 99 83 73 72
Total Current Assets 1761 1998 1882 1977 1724 1705 1741 2156 2257 2467 2173
Total Assets 2008 2373 2236 2317 2059 2034 2048 2433 2507 2713 2408

Asian Star Co Cash Flow

#(Fig in Cr.) Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025
Opening Cash & Cash Equivalents 216 225 465 295 405 312 341 334 305 319 316
Cash Flow from Operating Activities 152 118 63 278 128 105 116 -176 94 -67 230
Cash Flow from Investing Activities -15 -9 -44 -34 -12 -4 -1 16 16 30 17
Cash Flow from Financing Activities -133 129 -188 -134 -208 -71 -123 132 -97 34 -248
Net Cash Inflow / Outflow 5 239 -170 110 -93 29 -7 -28 13 -3 -0
Closing Cash & Cash Equivalent 224 465 295 405 312 341 334 305 319 316 315

Asian Star Co Ratios

# Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025
Earnings Per Share (Rs) 51.2 46.43 41.31 68.18 71.8 39.61 39.94 58.62 51.63 48.25 26.98
CEPS(Rs) 61.26 56.68 52.41 79.08 83.11 49.44 49.28 67.53 59.61 55.87 32.82
DPS(Rs) 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5
Book NAV/Share(Rs) 392.79 489.98 526.55 593.81 671.88 727.7 758.26 821.69 896.73 945.05 978.48
Core EBITDA Margin(%) 4.34 3.99 3.77 4.49 4.99 3.71 2.47 2.98 3.11 3.3 2.74
EBIT Margin(%) 4.07 3.51 3.45 4.13 4.57 3.27 2.52 2.77 3.08 3.89 3.03
Pre Tax Margin(%) 3.15 2.76 2.58 3.24 3.76 2.54 2.33 2.56 2.34 2.76 1.83
PAT Margin (%) 2.54 2.25 1.89 2.8 3.18 2.07 2.52 2.13 1.85 2.2 1.4
Cash Profit Margin (%) 3.04 2.75 2.4 3.24 3.65 2.59 3.1 2.44 2.13 2.54 1.78
ROA(%) 4.29 3.39 2.87 4.8 5.29 3.09 3.14 4.2 3.36 2.97 1.62
ROE(%) 13.91 10.52 8.12 12.18 11.43 5.64 5.38 7.44 6.03 5.26 2.7
ROCE(%) 8.49 6.73 6.47 8.92 9.35 5.56 3.57 6.5 6.78 6.34 4.12
Receivable days 92.18 96.5 90.26 83.49 84.69 85.63 105.69 76.52 85.47 110.64 124.76
Inventory Days 59.68 57.97 56.28 55.59 56.4 66.95 74.53 43.33 54.27 87.42 102.79
Payable days 28.16 37.14 38.54 30.8 25.51 23.98 29.1 27.42 34.52 46.75 46.28
PER(x) 24.48 14.65 16.14 15.56 9.87 17.99 19.73 12.76 13.37 15.59 27
Price/Book(x) 3.19 1.39 1.27 1.79 1.06 0.98 1.04 0.91 0.77 0.8 0.74
Dividend Yield(%) 0.12 0.22 0.22 0.14 0.21 0.21 0.19 0.2 0.22 0.2 0.21
EV/Net Sales(x) 0.83 0.53 0.5 0.55 0.42 0.48 0.58 0.36 0.32 0.46 0.47
EV/Core EBITDA(x) 18.99 13.12 12.6 11.64 8.09 12.63 17.88 11.17 9.35 10.95 13.36
Net Sales Growth(%) -0.89 2.51 5.8 11.77 -6.73 -16.18 -16.66 73.82 1.26 -21.32 -16.11
EBIT Growth(%) 4.76 -11.59 4.1 33.7 3.18 -39.99 -35.83 91.08 12.73 -0.77 -34.59
PAT Growth(%) 5.12 -9.29 -11.16 65.32 6.08 -45.46 1.37 46.86 -11.75 -6.53 -46.51
EPS Growth(%) 5.12 -9.32 -11.02 65.03 5.31 -44.83 0.83 46.76 -11.92 -6.54 -44.08
Debt/Equity(x) 1.44 1.43 1.16 0.89 0.64 0.57 0.45 0.53 0.44 0.49 0.34
Current Ratio(x) 1.39 1.39 1.44 1.59 1.98 2.26 2.38 2.12 2.33 2.25 2.93
Quick Ratio(x) 0.92 1.08 0.96 1.14 1.33 1.52 1.72 1.56 1.54 1.41 1.93
Interest Cover(x) 4.41 4.7 3.94 4.66 5.64 4.49 13.56 13.16 4.16 3.44 2.53
Total Debt/Mcap(x) 0.45 1.03 0.92 0.5 0.61 0.58 0.44 0.58 0.57 0.62 0.45

Asian Star Co Shareholding Pattern

# Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Promoter 74.66 74.66 74.66 74.66 74.66 74.66 74.66 74.66 74.66 74.66
FII 0 0 0 0 0 0 0 0 0 0
DII 4.26 4.24 4.24 4.21 4.21 4.21 4.21 4.21 4.21 4.21
Public 21.08 21.1 21.1 21.13 21.13 21.13 21.13 21.13 21.13 21.13
Others 0 0 0 0 0 0 0 0 0 0
Total 100 100 100 100 100 100 100 100 100 100

Asian Star Co News

Asian Star Co Pros & Cons

Pros

  • Stock is trading at 0.6 times its book value
  • Debtor days have improved from 46.75 to 46.28days.
  • Company is almost debt free.

Cons

  • Company has a low return on equity of 5% over the last 3 years.
  • The company has delivered a poor profit growth of -8% over past five years.
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