WEBSITE BSE:531648 NSE: MAHAVIRIND Inc. Year: 1989 Industry: Electrodes & Welding Equipment My Bucket: Add Stock
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1. Business Overview
Mahavir Industries Ltd. is an Indian company operating in the Electrodes & Welding Equipment sector. The company primarily manufactures and sells various types of welding electrodes and potentially other welding-related equipment and accessories. Its core business model involves supplying these consumable products and equipment to a diverse range of industrial customers across sectors such as manufacturing, infrastructure, automotive, heavy engineering, and fabrication. The company generates revenue through the sale of its manufactured products.
2. Key Segments / Revenue Mix
Based on its industry, Mahavir Industries Ltd. likely has two primary business segments:
Welding Electrodes: This would include various types of electrodes such as Mild Steel, Stainless Steel, Low Hydrogen, Cast Iron, and other specialized electrodes used for different welding applications.
Welding Equipment & Accessories: This segment could include welding machines, cutting equipment, safety gear, and other related accessories.
Specific revenue contribution percentages for these segments are not publicly disclosed.
3. Industry & Positioning
The Indian electrodes and welding equipment industry is characterized by a mix of large established players, both domestic and international, and numerous regional and smaller manufacturers. It is a fundamental industry, directly correlated with the growth of manufacturing, infrastructure development, and overall industrial activity in India. Mahavir Industries Ltd. is positioned as a player within this competitive landscape, likely competing on factors such as product quality, pricing, distribution reach, and customer service. Its market share and exact positioning relative to top-tier competitors would depend on its scale of operations and specialization.
4. Competitive Advantage (Moat)
In the electrodes and welding equipment sector, creating a strong moat can be challenging as many products can be commoditized. Potential competitive advantages for Mahavir Industries Ltd. could include:
Brand Reputation for Quality: Consistent quality and reliability of electrodes, especially for critical industrial applications, can foster customer loyalty.
Distribution Network: A robust and widespread distribution and dealer network across India could provide a significant advantage in reaching diverse customers and ensuring product availability.
Cost Efficiency: Efficient manufacturing processes and supply chain management could enable competitive pricing, particularly for standard products.
Product Specialization: Developing niche or specialized electrodes that cater to specific high-value industrial needs could offer some differentiation.
5. Growth Drivers
Key factors that can drive growth for Mahavir Industries Ltd. over the next 3-5 years include:
Indian Industrial Growth: Continued expansion in manufacturing, infrastructure projects (roads, railways, ports), and construction sectors will directly boost demand for welding consumables and equipment.
Government Initiatives: Programs like "Make in India" promoting domestic manufacturing and capital expenditure in various industries.
Urbanization and Development: Growing demand for fabricated steel structures and goods across various applications.
Technological Upgrades: Demand for more efficient, automated, and specialized welding solutions.
Aftermarket Demand: Electrodes are consumables, ensuring recurring demand for replacements.
6. Risks
Economic Downturn: A slowdown in industrial or manufacturing activity in India would directly impact demand for welding products, leading to lower sales.
Raw Material Price Volatility: Fluctuations in the prices of key raw materials like steel, ferroalloys, and other chemicals used in electrode manufacturing can impact profit margins.
Intense Competition: The industry faces significant competition from both large domestic and international players, leading to pricing pressure and potential margin erosion.
Technological Obsolescence: Rapid advancements in welding technology might require continuous investment in R&D and manufacturing upgrades to remain competitive.
Regulatory Changes: Stricter environmental norms or safety standards could increase operational costs.
Import Competition: Cheaper imports, especially from countries with lower manufacturing costs, could put pressure on domestic pricing.
7. Management & Ownership
Like many Indian companies, Mahavir Industries Ltd. is likely promoter-driven, meaning the founding family or group holds a significant ownership stake and plays a key role in its management and strategic direction. Details regarding the specific promoters, their management quality, and the precise ownership structure (e.g., promoter holding, institutional investor stakes, public float) are not available in the provided information.
8. Outlook
Mahavir Industries Ltd. operates in a foundational industry critical to India's industrial and infrastructural development. Its performance is intrinsically linked to the broader economic growth of the country, particularly within the manufacturing and construction sectors. The company's ability to maintain product quality, manage raw material costs, expand its distribution network, and navigate intense competition will be crucial for its sustained growth and profitability. While it benefits from the essential and consumable nature of its products, it must also contend with cyclical demand, pricing pressures, and the need for continuous technological adaptation to thrive in the competitive Indian market.
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Market Cap ₹2 Cr.
Stock P/E -492
P/B 185.7
Current Price ₹0.9
Book Value ₹ 0
Face Value 5
52W High ₹0
Dividend Yield 0%
52W Low ₹ 0
Price goes above X
Price falls below X
PE goes above X
PE falls below X
₹ | |
| #(Fig in Cr.) | Dec 2019 | Mar 2020 | Jun 2020 | Sep 2020 | Dec 2020 | Mar 2021 | Jun 2021 | Sep 2021 | Dec 2021 | Mar 2022 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Expenditure | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Profit | -0 | 0 | -0 | 0 | 0 | -0 | 0 | 0 | -0 | -0 |
| Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Depreciation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit Before Tax | -0 | 0 | -0 | 0 | 0 | -0 | 0 | 0 | -0 | -0 |
| Provision for Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Tax | -0 | 0 | -0 | 0 | 0 | -0 | 0 | 0 | -0 | -0 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | -0 | 0 | -0 | 0 | 0 | -0 | 0 | 0 | -0 | -0 |
| Adjusted Earnings Per Share | -0 | 0 | -0 | 0 | 0 | -0 | 0 | 0 | -0 | -0 |
| #(Fig in Cr.) | Mar 2011 | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 0 | 21 | 43 | 5 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Income | 0 | 22 | 43 | 5 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Expenditure | 0 | 22 | 43 | 5 | 0 | 0 | 0 | 2 | 1 | 0 | 0 |
| Operating Profit | -0 | 0 | 0 | -0 | 0 | -0 | -0 | -2 | -1 | 0 | 0 |
| Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -0 | 0 | 0 |
| Depreciation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit Before Tax | -0 | 0 | 0 | -0 | 0 | -0 | -0 | -2 | -1 | 0 | 0 |
| Provision for Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Tax | -0 | 0 | 0 | -0 | 0 | -0 | -0 | -2 | -1 | -0 | 0 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | -0 | 0 | 0 | -0 | 0 | -0 | -0 | -2 | -1 | -0 | 0 |
| Adjusted Earnings Per Share | -0 | 0 | 0 | -0 | 0 | -0 | -0.1 | -1.2 | -0.6 | -0 | 0 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | 0% | 0% | 0% | 0% |
| Operating Profit CAGR | 0% | 0% | 0% | 0% |
| PAT CAGR | 0% | 0% | 0% | 0% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | 0% | 17% | 5% | -17% |
| ROE Average | -80% | -127% | -77% | -39% |
| ROCE Average | 1% | -40% | -24% | -12% |
| #(Fig in Cr.) | Mar 2011 | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 |
|---|---|---|---|---|---|---|---|---|---|---|
| Shareholder's Funds | -0 | -0 | -0 | 4 | 4 | 4 | 3 | 1 | 0 | 0 |
| Minority's Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Borrowings | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Current Liabilities | 0 | 21 | 4 | 0 | 0 | 0 | 2 | 2 | 1 | 1 |
| Total Liabilities | 0 | 21 | 4 | 4 | 4 | 4 | 5 | 3 | 1 | 1 |
| Fixed Assets | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Assets | 0 | 0 | 0 | 0 | 2 | 2 | 5 | 2 | 0 | 0 |
| Total Current Assets | 0 | 21 | 4 | 4 | 1 | 1 | 0 | 1 | 1 | 1 |
| Total Assets | 0 | 21 | 4 | 4 | 4 | 4 | 5 | 3 | 1 | 1 |
| #(Fig in Cr.) | Mar 2011 | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 |
|---|---|---|---|---|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 0 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 |
| Cash Flow from Operating Activities | 0 | 0 | 0 | -1 | 1 | 0 | -0 | -2 | -0 | -0 |
| Cash Flow from Investing Activities | 0 | 0 | 0 | -2 | -2 | -0 | -2 | 2 | 1 | 0 |
| Cash Flow from Financing Activities | 0 | 0 | 0 | 4 | 0 | 0 | 2 | 0 | -1 | -0 |
| Net Cash Inflow / Outflow | 0 | 0 | 0 | 1 | -1 | -0 | 0 | -0 | 0 | -0 |
| Closing Cash & Cash Equivalent | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 |
| # | Mar 2011 | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 |
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Per Share (Rs) | -0.02 | 0.01 | 0 | -0.02 | 0 | -0.01 | -0.05 | -1.18 | -0.56 | -0 |
| CEPS(Rs) | -0.02 | 0.01 | 0 | -0.02 | 0 | -0.01 | -0.05 | -1.18 | -0.56 | -0 |
| DPS(Rs) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Book NAV/Share(Rs) | -0.32 | -0.31 | -0.31 | 1.8 | 1.8 | 1.79 | 1.74 | 0.57 | 0 | 0 |
| Core EBITDA Margin(%) | 0 | -3.61 | 0.03 | -1.68 | -125.09 | 0 | 0 | 0 | -1711.82 | -23.69 |
| EBIT Margin(%) | 0 | 0.05 | 0.03 | -0.97 | 3.11 | 0 | 0 | 0 | -1653.6 | 11.71 |
| Pre Tax Margin(%) | 0 | 0.05 | 0.02 | -1.02 | 2.16 | 0 | 0 | 0 | -1500.95 | 10.9 |
| PAT Margin (%) | 0 | 0.05 | 0.01 | -1.02 | 1.37 | 0 | 0 | 0 | -1500.95 | -3.7 |
| Cash Profit Margin (%) | 0 | 0.05 | 0.01 | -1.02 | 1.37 | 0 | 0 | 0 | -1500.95 | -3.7 |
| ROA(%) | -6262.18 | 0.1 | 0.03 | -1.26 | 0.03 | -0.49 | -2.3 | -57.15 | -56.23 | -0.37 |
| ROE(%) | 0 | 0 | 0 | -2.87 | 0.03 | -0.49 | -2.88 | -101.87 | -197.73 | -80.44 |
| ROCE(%) | 0 | 0 | 0 | -2.47 | 0.08 | -0.43 | -1.96 | -55.73 | -64.12 | 1.2 |
| Receivable days | 0 | 335.31 | 101.24 | 172.52 | 0 | 0 | 0 | 0 | 292 | 355.88 |
| Inventory Days | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Payable days | 0 | 354.88 | 102.19 | 151.45 | 0 | 0 | 0 | 0 | 0 | 0 |
| PER(x) | 0 | 5851.58 | 1067.82 | 0 | 8750 | 0 | 0 | 0 | 0 | 0 |
| Price/Book(x) | 0 | -151.88 | -9.73 | 2.36 | 2.91 | 4.18 | 3.53 | 1.84 | 248.13 | 371.04 |
| Dividend Yield(%) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EV/Net Sales(x) | 0 | 2.82 | 0.09 | 1.64 | 116.66 | 0 | 0 | 0 | 34.57 | 19.64 |
| EV/Core EBITDA(x) | -313.54 | 5710.74 | 259.6 | -169.12 | 3755.61 | -968.47 | -162.2 | -1.69 | -2.09 | 167.7 |
| Net Sales Growth(%) | 0 | 0 | 106.44 | -89.59 | -98.02 | -100 | 0 | 0 | 0 | 33.33 |
| EBIT Growth(%) | -221.33 | 151.61 | 38.54 | -405.11 | 106.34 | -656.48 | -457.59 | -2508.35 | 44.88 | 100.94 |
| PAT Growth(%) | -221.33 | 150.37 | -65.2 | -1407.72 | 102.65 | -1552.6 | -472.53 | -2212.94 | 52.11 | 99.67 |
| EPS Growth(%) | -222.22 | 150.36 | -65.2 | -924.7 | 102.6 | -1579.23 | -472.53 | -2212.94 | 52.11 | 99.67 |
| Debt/Equity(x) | 0 | 0 | 0 | 0 | 0 | 0 | 0.5 | 1.53 | 155.08 | 345.58 |
| Current Ratio(x) | 0.01 | 1 | 0.99 | 26.54 | 929.69 | 92.47 | 0.03 | 0.41 | 1.01 | 1 |
| Quick Ratio(x) | 0.01 | 1 | 0.99 | 26.54 | 929.69 | 92.47 | 0.03 | 0.41 | 1.01 | 1 |
| Interest Cover(x) | 0 | 41.57 | 3.88 | -19.68 | 3.28 | -251.15 | -5.61 | -22.37 | 10.83 | 14.49 |
| Total Debt/Mcap(x) | 0 | 0 | 0 | 0 | 0 | 0 | 0.14 | 0.83 | 0.63 | 0.93 |
| # | Jun 2019 | Sep 2019 | Dec 2019 | Mar 2020 | Jun 2020 | Sep 2020 | Dec 2020 | Mar 2021 | Jun 2021 | Sep 2021 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 | 1.55 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 | 98.45 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Jun 2019 | Sep 2019 | Dec 2019 | Mar 2020 | Jun 2020 | Sep 2020 | Dec 2020 | Mar 2021 | Jun 2021 | Sep 2021 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 | 1.97 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 |
* The pros and cons are machine generated.
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