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Duncan Engineering Overview

1. Business Overview

Duncan Engineering Ltd. is an Indian company primarily engaged in the manufacturing and supply of hydraulic components and systems. Its core business revolves around producing a wide range of hydraulic cylinders and hydraulic power packs/systems. The company also provides related engineering services, including design, installation, and after-sales support for its products. It operates on a B2B model, supplying its equipment and solutions to Original Equipment Manufacturers (OEMs) and end-users across diverse industrial sectors such as construction, material handling, agriculture, mining, industrial machinery, and automotive. The company makes money by selling its manufactured hydraulic equipment and components, as well as through service contracts and parts sales.

2. Key Segments / Revenue Mix

The company's primary focus and revenue generation stem from its Hydraulics division. While explicit revenue breakdown percentages for different product lines (e.g., standard cylinders vs. custom cylinders vs. power packs) are not typically disclosed in public overviews, its main product categories include:

Hydraulic Cylinders: A wide variety of standard and custom-engineered cylinders for various applications.

Hydraulic Power Packs/Systems: Complete hydraulic solutions tailored to specific industrial requirements.

The company essentially operates as an integrated provider of hydraulic solutions.

3. Industry & Positioning

The Indian industrial equipment and hydraulics market is characterized by a mix of organized and unorganized players, alongside the presence of international companies. It can be considered competitive, with demand closely tied to industrial capital expenditure cycles. Duncan Engineering is an established player in the Indian hydraulics industry, having a long operational history. It is recognized for its expertise in hydraulic cylinders and systems and competes with other domestic manufacturers and global players who have a presence in the Indian market. It is positioned as a reliable supplier for a range of heavy-duty and industrial applications, often known for its ability to provide customized solutions.

4. Competitive Advantage (Moat)

Experience and Reputation: With decades of experience in the Indian market (established in the 1960s), Duncan Engineering has built a strong reputation for quality, reliability, and engineering capabilities, particularly in customized hydraulic solutions.

Product Range & Customization: The ability to offer a diverse range of hydraulic cylinders and custom-engineered hydraulic systems allows it to cater to specific and complex client requirements across various industries.

Client Relationships: Long-standing relationships with key OEMs and industrial clients, built on consistent product performance and responsive after-sales service, create a degree of stickiness.

Manufacturing Capabilities: In-house design, manufacturing, and testing facilities contribute to quality control and the ability to produce complex, high-precision hydraulic components.

5. Growth Drivers

Infrastructure Development: Significant government investments in infrastructure projects (roads, railways, construction, smart cities) are driving demand for heavy machinery, which heavily relies on hydraulic components.

Industrial Capital Expenditure: Growth in core sectors like manufacturing, mining, material handling, and agriculture leads to increased demand for new machinery and the replacement of existing hydraulic equipment.

"Make in India" Initiative: Government thrust on boosting domestic manufacturing and reducing import dependence encourages sourcing from local players, benefiting companies like Duncan Engineering.

Automation and Modernization: Increasing adoption of automation and modern machinery across industries fuels demand for efficient and advanced hydraulic systems.

Aftermarket and Services: The expanding installed base of hydraulic equipment creates a consistent demand for spare parts, maintenance, and repair services.

6. Risks

Cyclical Demand: The demand for industrial equipment is highly cyclical and sensitive to economic slowdowns, global economic conditions, and capital expenditure cycles of its end-user industries.

Raw Material Price Volatility: Fluctuations in the prices of key raw materials such as steel, castings, and other specialized components can significantly impact manufacturing costs and profitability.

Intense Competition: The presence of both domestic and international competitors can lead to pricing pressures and potential challenges in maintaining market share.

Technological Obsolescence: While hydraulics is a mature field, evolving customer demands for more energy-efficient, precise, and integrated systems require continuous R&D investment to stay competitive.

Supply Chain Disruptions: Dependency on specific suppliers for certain components or materials can expose the company to supply chain risks.

7. Management & Ownership

Duncan Engineering Ltd. is part of the Duncan Goenka Group, an Indian diversified conglomerate. The company is promoter-led, with the Goenka family being the primary promoters. This structure is common in India, often characterized by a long-term strategic vision. While specific details on the individual management team's track record would require a deeper dive, the company's longevity and established market position suggest experienced leadership. The ownership structure typically involves a substantial promoter holding, with the remaining shares held by public and institutional investors.

8. Outlook

Duncan Engineering is positioned to capitalize on India's strong focus on infrastructure development and the "Make in India" initiative, which are expected to drive robust demand for industrial equipment and hydraulic solutions. Its established reputation, technical expertise in customization, and diversified customer base across various industries provide a resilient foundation. However, the company operates in a cyclical industry, making it susceptible to economic downturns and fluctuations in industrial capital expenditure. Intense competition and volatility in raw material prices remain ongoing challenges that could pressure margins and market share. Its ability to innovate, maintain cost efficiencies, and deepen customer relationships will be crucial for sustained growth amidst these dynamics.

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Duncan Engineering Key Financials

Market Cap ₹152 Cr.

Stock P/E 29.1

P/B 2.5

Current Price ₹410

Book Value ₹ 160.8

Face Value 10

52W High ₹565

Dividend Yield 0.73%

52W Low ₹ 351.5

Duncan Engineering Share Price

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Volume
Price

Duncan Engineering Quarterly Price

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Duncan Engineering Peer Comparison

Duncan Engineering Quarterly Results

#(Fig in Cr.) Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Net Sales 15 18 16 28 20 21 18 18 20 25
Other Income 1 1 1 1 1 1 1 1 1 0
Total Income 16 19 16 29 21 21 19 19 20 25
Total Expenditure 13 16 15 25 19 19 16 16 18 22
Operating Profit 2 3 2 4 2 3 2 3 2 3
Interest 0 0 0 0 0 0 0 0 0 0
Depreciation 0 0 0 1 1 1 1 1 1 1
Exceptional Income / Expenses 0 0 0 0 0 0 0 0 0 0
Profit Before Tax 2 3 1 3 1 1 2 2 1 2
Provision for Tax 0 1 0 1 0 0 0 0 0 1
Profit After Tax 1 2 1 2 1 1 1 1 1 1
Adjustments 0 0 0 -0 0 0 0 -0 0 0
Profit After Adjustments 1 2 1 2 1 1 1 1 1 1
Adjusted Earnings Per Share 3.4 5.4 2.1 6.7 1.9 3.4 3.4 3.8 2.8 3.2

Duncan Engineering 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 64 36 37 41 44 43 41 56 70 65 85 81
Other Income 1 0 1 0 1 1 1 1 1 2 3 3
Total Income 65 37 38 41 45 44 42 56 72 67 87 83
Total Expenditure 67 40 39 37 40 38 37 47 57 56 77 72
Operating Profit -2 -3 -2 4 6 7 5 10 15 11 10 10
Interest 2 2 2 2 1 0 0 0 0 0 1 0
Depreciation 3 1 2 2 2 1 1 1 1 2 2 4
Exceptional Income / Expenses 0 0 0 0 0 -2 0 0 0 0 0 0
Profit Before Tax -8 -6 -6 0 3 3 4 8 13 9 7 7
Provision for Tax -2 1 -0 0 0 0 -4 2 3 2 2 1
Profit After Tax -6 -7 -6 0 3 3 8 6 10 7 5 4
Adjustments 0 0 0 0 0 0 0 0 0 0 0 0
Profit After Adjustments -6 -7 -6 0 3 3 8 6 10 7 5 4
Adjusted Earnings Per Share -16.4 -18.7 -15.9 0.4 7.5 8.8 21.6 16.9 26.8 18.6 14.1 13.2

Growth Rates

# 1 Year 3 Year 5 Year 10 Year
Sales CAGR 31% 15% 15% 3%
Operating Profit CAGR -9% 0% 7% 0%
PAT CAGR -29% -6% 11% 0%
# 1 Year 3 Year 5 Year 10 Year
Share Price CAGR -5% -2% 20% 18%
ROE Average 9% 16% 19% 5%
ROCE Average 13% 21% 21% 10%

Duncan Engineering 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 29 22 16 16 19 22 30 37 46 53 57
Minority's Interest 0 0 0 0 0 0 0 0 0 0 0
Borrowings 0 0 0 0 0 0 0 0 0 0 0
Other Non-Current Liabilities 0 1 0 0 0 0 -4 -1 2 2 3
Total Current Liabilities 35 31 24 19 15 10 11 13 15 14 16
Total Liabilities 65 54 41 36 35 33 38 49 63 68 76
Fixed Assets 27 24 21 19 16 16 16 16 17 17 19
Other Non-Current Assets 1 1 0 0 0 0 0 0 0 0 0
Total Current Assets 36 30 19 16 18 17 22 32 46 52 56
Total Assets 65 54 41 36 35 33 38 49 63 68 76

Duncan Engineering 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 2 0 0 0 0 2 0 1 1 0 1
Cash Flow from Operating Activities 0 2 4 7 5 7 6 9 14 3 7
Cash Flow from Investing Activities -2 -2 2 -0 0 -3 -5 -9 -15 -1 -4
Cash Flow from Financing Activities -0 0 -6 -7 -3 -6 -1 0 0 -1 -2
Net Cash Inflow / Outflow -2 0 0 -0 2 -2 0 1 -1 1 0
Closing Cash & Cash Equivalent 0 0 0 0 2 0 1 1 0 1 1

Duncan Engineering 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) -16.36 -18.75 -15.9 0.4 7.52 8.83 21.61 16.9 26.8 18.6 14.1
CEPS(Rs) -7.44 -15.18 -10.91 5.35 12.04 12.6 24.54 20.12 30.78 23.15 20.56
DPS(Rs) 0 0 0 0 0 0 0 0 1 3.5 3
Book NAV/Share(Rs) 78.84 60.1 44.25 44.59 51.91 60.51 82.2 99.21 125.57 143.17 153.81
Core EBITDA Margin(%) -4.36 -7.87 -6.33 7.93 10.91 13.5 10.82 16.38 18.63 13.53 8.57
EBIT Margin(%) -7.86 -9.86 -8.42 4.08 8.65 8.57 9.46 15.35 18.65 14.34 8.81
Pre Tax Margin(%) -11.09 -14.55 -14.14 0.35 6.98 7.61 8.99 15.05 18.42 14.19 7.97
PAT Margin (%) -8.51 -16.6 -14.13 0.35 6.25 7.52 19.14 11.09 14.11 10.56 6.15
Cash Profit Margin (%) -3.87 -13.44 -9.7 4.73 10.01 10.73 21.74 13.2 16.21 13.14 8.97
ROA(%) -9.43 -11.66 -12.42 0.39 7.88 9.67 22.76 14.48 17.71 10.44 7.24
ROE(%) -18.8 -26.99 -30.47 0.9 15.59 15.71 30.29 18.63 23.84 13.84 9.49
ROCE(%) -11.29 -9.32 -9.75 6.02 14.88 15.18 14.7 25.42 30.86 18.5 13.41
Receivable days 86.33 126.77 89.86 56.69 44.89 42.81 45.83 37.59 30.54 38.43 28.82
Inventory Days 70.75 122.04 90.9 72.84 65.96 66.49 66.53 54.11 51.76 61.18 54.67
Payable days 98.21 180.49 120.01 91.28 76.65 74.11 83.1 77.14 68.93 76.25 48.08
PER(x) 0 0 0 173.84 9.52 9.97 5.32 13.44 13.14 22.99 26.17
Price/Book(x) 0.85 1.17 1.81 1.56 1.38 1.45 1.4 2.29 2.8 2.99 2.4
Dividend Yield(%) 0 0 0 0 0 0 0 0 0.28 0.82 0.81
EV/Net Sales(x) 0.66 1.2 1.19 0.86 0.7 0.72 0.89 1.4 1.79 2.31 1.52
EV/Core EBITDA(x) -18.61 -15.62 -26.5 9.86 5.64 4.53 7.32 7.92 8.62 13.62 13.05
Net Sales Growth(%) -7.2 -43.14 0.78 10.78 9.17 -2.42 -4.37 34.44 25.69 -7.12 30.13
EBIT Growth(%) -321.51 26.34 14.96 148.79 125.25 -3.35 6.19 118.99 51.45 -28.68 -20.04
PAT Growth(%) -6312.63 -14.56 15.2 102.51 1782.13 17.4 144.8 -21.82 58.59 -30.59 -24.19
EPS Growth(%) -6312.95 -14.56 15.2 102.51 1782.29 17.4 144.8 -21.82 58.59 -30.59 -24.19
Debt/Equity(x) 0.63 0.84 0.89 0.56 0.35 0.03 0.01 0.02 0.02 0.01 0.02
Current Ratio(x) 1.03 0.95 0.81 0.86 1.19 1.74 1.98 2.45 3.08 3.78 3.59
Quick Ratio(x) 0.58 0.56 0.45 0.43 0.67 0.92 1.31 1.74 2.38 2.95 2.69
Interest Cover(x) -2.44 -2.1 -1.47 1.09 5.16 8.98 19.99 51.12 79.73 92.81 10.4
Total Debt/Mcap(x) 0.74 0.72 0.49 0.36 0.25 0.02 0.01 0.01 0.01 0 0.01

Duncan Engineering Shareholding Pattern

# Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Promoter 74.56 74.56 74.56 74.56 74.56 74.56 74.56 74.56 74.56 74.56
FII 0 0 0 0 0 0 0 0 0 0
DII 0.06 0.06 0.06 0.06 0.06 0.06 0.06 0.06 0.06 0.06
Public 25.38 25.38 25.38 25.38 25.38 25.38 25.38 25.38 25.38 25.38
Others 0 0 0 0 0 0 0 0 0 0
Total 100 100 100 100 100 100 100 100 100 100

Duncan Engineering News

Duncan Engineering Pros & Cons

Pros

  • Debtor days have improved from 76.25 to 48.08days.
  • Company is almost debt free.

Cons

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