WEBSITE BSE:530169 NSE: MOHIT PAPER Inc. Year: 1992 Industry: Paper & Paper Products My Bucket: Add Stock
Last updated: 10:25
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1. Business Overview
Mohit Paper Mills Ltd. is engaged in the manufacturing of various paper and paper products. As a paper mill, its core business involves processing raw materials such as wood pulp, agro-residues, and recycled waste paper into finished paper and paperboard items. The company makes money by selling these manufactured paper products to a diverse range of customers, which may include publishers, printers, packaging companies, educational institutions, and stationery manufacturers. The exact product mix typically defines the primary revenue streams (e.g., writing & printing paper, packaging paper, specialty paper).
2. Key Segments / Revenue Mix
Without specific company data, the exact revenue mix is not available. However, based on the industry, Mohit Paper Mills Ltd. likely operates in one or more of the following common paper product segments:
Writing & Printing Paper: Used for notebooks, textbooks, office stationery, brochures, and magazines.
Packaging Paper/Board: Used for corrugated boxes, cartons, food packaging, and industrial packaging.
Specialty Paper: Niche applications such as coated papers, security paper, or other industrial papers.
The contribution of each segment would depend on the company's manufacturing capabilities and market focus.
3. Industry & Positioning
The Indian Paper & Paper Products industry is diverse, encompassing both large integrated players and numerous small to medium-sized mills. It is generally fragmented, with regional competition playing a significant role. The industry faces global competition, particularly from imports. Mohit Paper Mills Ltd. likely positions itself based on factors such as product quality, cost-efficiency, raw material sourcing strategy (e.g., waste paper-based, agro-based), regional market presence, and specific product offerings. Its scale relative to larger, integrated players might influence its competitive strategy towards niche markets or cost leadership within its operational region.
4. Competitive Advantage (Moat)
For a paper mill like Mohit Paper Mills Ltd., durable competitive advantages (moats) can be challenging to establish. Potential sources of moat could include:
Cost Leadership: Achieving superior operational efficiencies, access to low-cost raw materials (e.g., proximity to waste paper collection points or captive plantations/pulp units), or efficient energy management.
Regional Dominance/Distribution: A strong presence and distribution network within a specific geographical area, making it difficult for competitors to penetrate.
Product Niche/Quality: Specialization in certain paper grades that command premium pricing or cater to specific industrial requirements where quality is paramount.
Environmental Compliance/Sustainability: Proactive investments in environmentally friendly processes or sustainable sourcing can offer an advantage, especially with increasing regulatory scrutiny and consumer awareness.
A strong brand moat is less common for a B2B paper manufacturer unless they also have consumer-facing stationery brands.
5. Growth Drivers
Key factors that could drive growth for Mohit Paper Mills Ltd. over the next 3-5 years include:
Increasing Literacy & Education: Growing population, government emphasis on education, and rising literacy rates drive demand for writing and printing paper.
E-commerce & FMCG Growth: Expansion of e-commerce and the fast-moving consumer goods (FMCG) sector fuels demand for packaging paper and paperboard.
Urbanization & Lifestyle Changes: Increased consumption patterns in urban areas lead to higher demand for packaged goods and hygiene products.
Switch from Plastic: Growing environmental concerns and regulatory actions against single-use plastics may drive a shift towards paper-based packaging solutions.
Government Initiatives: Policies promoting 'Make in India' and local manufacturing could provide an impetus.
6. Risks
Mohit Paper Mills Ltd. faces several key business risks:
Raw Material Price Volatility: Fluctuations in the prices of key raw materials like wood pulp, waste paper, and chemicals can significantly impact profitability.
Energy Costs: Paper manufacturing is an energy-intensive process; rising electricity and fuel costs directly affect operational expenses.
Environmental Regulations: Increasing environmental scrutiny and stricter regulations regarding water consumption, effluent discharge, and air emissions can lead to higher compliance costs and capital expenditure.
Cyclicality of Paper Prices: The paper industry is cyclical, with demand and prices often correlating with economic growth, leading to periods of oversupply and price pressures.
Digital Disruption: For the writing and printing paper segment, the ongoing shift towards digitalization (e-books, online media, paperless offices) poses a long-term demand challenge.
Competition & Imports: Intense competition from domestic players and cheaper imports can pressure pricing and market share.
7. Management & Ownership
As is common with many Indian companies, Mohit Paper Mills Ltd. is likely promoter-driven, meaning the founding family or group holds a significant ownership stake and plays a key role in management and strategic decision-making. Information regarding the specific quality of management (e.g., experience, governance practices, succession planning) or detailed ownership structure is not available without further research into public filings. Typically, promoter groups aim to drive long-term value for their stakeholders while maintaining control over the business direction.
8. Outlook
Mohit Paper Mills Ltd. operates in an industry facing both opportunities and challenges. The long-term demand drivers for packaging paper (driven by e-commerce, FMCG, and anti-plastic sentiment) and certain segments of writing/printing paper (education, stationery) remain positive in India. However, the company must navigate intense competition, volatility in raw material and energy costs, and increasing environmental compliance requirements. Its ability to achieve operational efficiencies, innovate in product offerings (especially in packaging or specialty papers), manage raw material sourcing effectively, and comply with environmental standards will be crucial for sustained performance. While the traditional writing and printing paper segment faces headwinds from digitalization, diversification into packaging or value-added papers could provide resilience and growth avenues.
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Market Cap ₹42 Cr.
Stock P/E 6.5
P/B 0.7
Current Price ₹30.2
Book Value ₹ 40.9
Face Value 10
52W High ₹38.8
Dividend Yield 0%
52W Low ₹ 23.8
Price goes above X
Price falls below X
PE goes above X
PE falls below X
₹ | |
| #(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 | 35 | 49 | 46 | 49 | 34 | 45 | 52 | 53 | 43 | 44 |
| Other Income | 1 | 2 | 2 | 1 | 2 | 3 | 1 | 0 | 0 | -0 |
| Total Income | 37 | 50 | 48 | 50 | 36 | 48 | 53 | 54 | 43 | 44 |
| Total Expenditure | 33 | 45 | 42 | 45 | 30 | 41 | 47 | 48 | 38 | 38 |
| Operating Profit | 4 | 5 | 6 | 5 | 6 | 7 | 6 | 6 | 5 | 6 |
| Interest | 1 | 1 | 1 | 1 | 2 | 2 | 2 | 1 | 1 | 2 |
| Depreciation | 1 | 1 | 2 | 2 | 2 | 2 | 3 | 2 | 2 | 2 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit Before Tax | 2 | 3 | 2 | 2 | 2 | 3 | 2 | 2 | 2 | 2 |
| Provision for Tax | 0 | 0 | 1 | 1 | 0 | 1 | 1 | 1 | -0 | -0 |
| Profit After Tax | 2 | 2 | 1 | 2 | 2 | 3 | 0 | 1 | 2 | 3 |
| Adjustments | 0 | 0 | 0 | 0 | -0 | 0 | -0 | 0 | 0 | 0 |
| Profit After Adjustments | 2 | 2 | 1 | 2 | 2 | 3 | 0 | 1 | 2 | 3 |
| Adjusted Earnings Per Share | 1.1 | 1.6 | 0.5 | 1.1 | 1.5 | 1.8 | 0.2 | 1 | 1.6 | 1.9 |
| #(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 | 90 | 96 | 88 | 101 | 156 | 131 | 81 | 141 | 222 | 186 | 180 | 192 |
| Other Income | 0 | 0 | 0 | 0 | 1 | 2 | 2 | 2 | 4 | 6 | 7 | 1 |
| Total Income | 91 | 97 | 88 | 101 | 157 | 134 | 83 | 143 | 226 | 192 | 187 | 194 |
| Total Expenditure | 83 | 89 | 80 | 94 | 148 | 122 | 79 | 133 | 210 | 173 | 162 | 171 |
| Operating Profit | 8 | 7 | 8 | 8 | 10 | 12 | 4 | 10 | 16 | 19 | 25 | 23 |
| Interest | 3 | 3 | 3 | 3 | 2 | 3 | 3 | 3 | 3 | 4 | 7 | 6 |
| Depreciation | 4 | 3 | 4 | 4 | 4 | 5 | 5 | 5 | 6 | 6 | 9 | 9 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | -0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit Before Tax | 1 | 1 | 1 | 1 | 3 | 4 | -4 | 1 | 7 | 9 | 9 | 8 |
| Provision for Tax | 0 | 0 | 0 | 0 | 1 | 1 | -1 | -1 | 2 | 3 | 3 | 2 |
| Profit After Tax | 1 | 1 | 1 | 1 | 2 | 3 | -3 | 2 | 5 | 6 | 7 | 6 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | 1 | 1 | 1 | 1 | 2 | 3 | -3 | 2 | 5 | 6 | 7 | 6 |
| Adjusted Earnings Per Share | 0.8 | 0.6 | 0.7 | 0.8 | 1.5 | 2.3 | -2.5 | 1.4 | 3.5 | 4.6 | 4.6 | 4.7 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | -3% | 8% | 7% | 7% |
| Operating Profit CAGR | 32% | 36% | 16% | 12% |
| PAT CAGR | 17% | 52% | 18% | 21% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | -7% | 18% | 40% | 18% |
| ROE Average | 14% | 14% | 8% | 6% |
| ROCE Average | 12% | 13% | 9% | 9% |
| #(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 | 25 | 26 | 27 | 28 | 30 | 33 | 31 | 33 | 38 | 45 | 51 |
| Minority's Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Borrowings | 2 | 4 | 2 | 8 | 11 | 10 | 12 | 8 | 23 | 38 | 32 |
| Other Non-Current Liabilities | 13 | 13 | 9 | 11 | 11 | 11 | 8 | 23 | 26 | 28 | 27 |
| Total Current Liabilities | 35 | 36 | 43 | 40 | 43 | 49 | 58 | 48 | 54 | 66 | 88 |
| Total Liabilities | 74 | 79 | 80 | 87 | 95 | 104 | 108 | 112 | 142 | 177 | 198 |
| Fixed Assets | 31 | 34 | 39 | 48 | 47 | 53 | 50 | 59 | 56 | 69 | 92 |
| Other Non-Current Assets | 2 | 2 | 5 | 4 | 15 | 11 | 15 | 4 | 24 | 34 | 8 |
| Total Current Assets | 41 | 43 | 36 | 35 | 34 | 40 | 44 | 49 | 62 | 75 | 98 |
| Total Assets | 74 | 79 | 80 | 87 | 95 | 104 | 108 | 112 | 142 | 177 | 198 |
| #(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 | 1 | 2 | 0 | 1 | 1 | 2 | 0 | 1 | 1 | 1 | 2 |
| Cash Flow from Operating Activities | 0 | 5 | 15 | 10 | 14 | 8 | 9 | -13 | 9 | 8 | 13 |
| Cash Flow from Investing Activities | -5 | -6 | -9 | -13 | -14 | -7 | -6 | -3 | -14 | -35 | -7 |
| Cash Flow from Financing Activities | 6 | -0 | -5 | 3 | 2 | -3 | -3 | 16 | 4 | 28 | -4 |
| Net Cash Inflow / Outflow | 1 | -2 | 0 | 0 | 1 | -1 | 0 | 0 | -1 | 1 | 3 |
| Closing Cash & Cash Equivalent | 2 | 0 | 1 | 1 | 2 | 0 | 1 | 1 | 0 | 2 | 5 |
| # | 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) | 0.76 | 0.63 | 0.74 | 0.76 | 1.47 | 2.28 | -2.45 | 1.4 | 3.51 | 4.61 | 4.65 |
| CEPS(Rs) | 3.41 | 2.91 | 3.74 | 3.36 | 4.6 | 5.55 | 1.14 | 5.32 | 7.49 | 8.83 | 10.74 |
| DPS(Rs) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Book NAV/Share(Rs) | 17.86 | 18.48 | 19.22 | 19.98 | 21.45 | 23.73 | 22.26 | 23.68 | 27.19 | 31.8 | 36.45 |
| Core EBITDA Margin(%) | 8.02 | 7.06 | 8.92 | 7.56 | 5.2 | 7.28 | 2.37 | 5.8 | 5.4 | 6.66 | 10.04 |
| EBIT Margin(%) | 4.31 | 4.09 | 4.51 | 4.09 | 3.35 | 5.35 | -1.26 | 3.22 | 4.74 | 6.93 | 8.94 |
| Pre Tax Margin(%) | 1.3 | 1.25 | 1.42 | 1.35 | 1.89 | 3.32 | -4.88 | 0.91 | 3.18 | 4.9 | 5.13 |
| PAT Margin (%) | 1.12 | 0.86 | 1.1 | 1.04 | 1.32 | 2.42 | -4.22 | 1.39 | 2.21 | 3.48 | 3.61 |
| Cash Profit Margin (%) | 5 | 3.99 | 5.59 | 4.59 | 4.13 | 5.89 | 1.95 | 5.29 | 4.72 | 6.66 | 8.34 |
| ROA(%) | 1.51 | 1.15 | 1.3 | 1.28 | 2.25 | 3.21 | -3.24 | 1.78 | 3.87 | 4.05 | 3.47 |
| ROE(%) | 4.35 | 3.46 | 3.91 | 3.87 | 7.08 | 10.11 | -10.67 | 6.1 | 13.8 | 15.63 | 13.61 |
| ROCE(%) | 8.02 | 7.78 | 7.84 | 7.72 | 8.69 | 10.91 | -1.5 | 6.32 | 13.24 | 12.19 | 12.36 |
| Receivable days | 63.71 | 64.89 | 60.06 | 54.69 | 32.81 | 28.56 | 52.23 | 29.38 | 23.11 | 41.2 | 47.33 |
| Inventory Days | 59.78 | 66.61 | 80.9 | 61.76 | 36.23 | 48.53 | 79.59 | 54.67 | 42.56 | 64.42 | 101.34 |
| Payable days | 61.82 | 64.7 | 61.36 | 55.34 | 30.46 | 44.41 | 98.35 | 47.44 | 58.84 | 81.25 | 71.92 |
| PER(x) | 4.37 | 8.09 | 18.41 | 14.5 | 6.14 | 2.3 | 0 | 10.64 | 4.78 | 6.54 | 6.29 |
| Price/Book(x) | 0.19 | 0.27 | 0.71 | 0.55 | 0.42 | 0.22 | 0.21 | 0.63 | 0.62 | 0.95 | 0.8 |
| Dividend Yield(%) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EV/Net Sales(x) | 0.33 | 0.38 | 0.49 | 0.43 | 0.28 | 0.29 | 0.53 | 0.42 | 0.31 | 0.65 | 0.67 |
| EV/Core EBITDA(x) | 3.76 | 4.94 | 5.18 | 5.53 | 4.62 | 3.16 | 10.84 | 5.89 | 4.33 | 6.42 | 4.87 |
| Net Sales Growth(%) | 2.5 | 6.77 | -8.55 | 14.86 | 53.9 | -15.74 | -38.07 | 72.98 | 57.79 | -16.45 | -2.92 |
| EBIT Growth(%) | 3.81 | 1.6 | 0.9 | -0.5 | 24.61 | 35.06 | -114.47 | 543.39 | 132.25 | 22.02 | 25.35 |
| PAT Growth(%) | 0.42 | -17.5 | 17.36 | 2.93 | 93.39 | 55.7 | -207.43 | 157.08 | 150.63 | 31.29 | 0.79 |
| EPS Growth(%) | 0.41 | -17.5 | 17.36 | 2.93 | 93.39 | 55.69 | -207.43 | 157.08 | 150.63 | 31.29 | 0.79 |
| Debt/Equity(x) | 1.08 | 1.15 | 0.94 | 1.03 | 1.12 | 0.98 | 1.25 | 1.22 | 1.25 | 1.81 | 1.66 |
| Current Ratio(x) | 1.18 | 1.21 | 0.84 | 0.87 | 0.78 | 0.82 | 0.75 | 1.02 | 1.14 | 1.13 | 1.12 |
| Quick Ratio(x) | 0.66 | 0.66 | 0.32 | 0.56 | 0.35 | 0.47 | 0.43 | 0.54 | 0.62 | 0.57 | 0.4 |
| Interest Cover(x) | 1.43 | 1.44 | 1.46 | 1.49 | 2.29 | 2.64 | -0.35 | 1.39 | 3.03 | 3.42 | 2.35 |
| Total Debt/Mcap(x) | 5.79 | 4.17 | 1.33 | 1.86 | 2.67 | 4.43 | 5.95 | 1.93 | 2.03 | 1.91 | 2.07 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 | 64.08 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 | 35.92 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 | 0.9 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 | 1.4 |
* The pros and cons are machine generated.
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