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Narmada Agrobase Overview

1. Business Overview

Narmada Agrobase Ltd. is an Indian company primarily engaged in the processing and trading of agricultural commodities. Their core business involves the extraction of edible oils from oilseeds, particularly from cottonseed. They operate a solvent extraction plant and a refinery, processing raw materials to produce crude cottonseed oil, refined edible oil, and de-oiled cakes (DOC) which are used as animal feed. The company's business model revolves around sourcing oilseeds, processing them to add value, and selling the extracted oils and by-products to various industrial and consumer clients.

2. Key Segments / Revenue Mix

Based on available information, the primary revenue drivers for Narmada Agrobase Ltd. are:

Edible Oil Production: This includes the sale of crude cottonseed oil and refined edible oil.

De-Oiled Cakes (DOC): The sale of de-oiled cakes, a by-product of the oil extraction process, serves as a significant revenue stream, primarily catering to the animal feed industry.

While specific percentage breakdowns are often not explicitly detailed for smaller companies, the bulk of their revenue stems from the integrated processing and sale of these products derived from oilseeds.

3. Industry & Positioning

Narmada Agrobase operates within the competitive Indian agriculture and food processing sector, specifically in the oilseed processing segment. This industry is characterized by a large number of organized and unorganized players, commodity price volatility, and dependence on agricultural output. The company likely operates as a regional player, focusing on specific oilseeds like cottonseed and catering to local and regional markets for edible oils and animal feed. Its positioning would be against other regional oilseed processors and larger national players, competing on factors like sourcing efficiency, processing costs, and distribution reach within its operational area.

4. Competitive Advantage (Moat)

Narmamed Agrobase Ltd. appears to have limited durable competitive advantages that would constitute a strong 'moat' in the traditional sense. Potential advantages, often localized for such companies, could include:

Operational Efficiency: Efficient plant operations and sourcing capabilities in its specific region of operation.

Supplier Relationships: Established relationships with local farmers and raw material suppliers for consistent procurement.

Logistics & Distribution: A localized distribution network for its finished products.

However, these are often replicable and do not present significant barriers to entry for competitors. The company primarily operates in a commodity-driven market where differentiation is challenging.

5. Growth Drivers

Key factors that could drive growth for Narmada Agrobase over the next 3-5 years include:

Increasing Demand for Edible Oils: Rising population and per capita consumption of edible oils in India.

Growth in Animal Feed Industry: Expanding livestock and poultry sectors driving demand for de-oiled cakes.

Capacity Expansion: Any strategic investments in increasing processing capacity or modernizing existing plants.

Diversification: Introduction of processing other oilseeds or value-added products (e.g., specialty oils, processed foods).

Government Support for Agriculture: Favorable government policies and incentives for the agricultural and food processing sector.

6. Risks

Narmada Agrobase faces several risks inherent to its business and industry:

Commodity Price Volatility: Fluctuations in the prices of raw materials (cottonseed, other oilseeds) and finished products (edible oils, DOC) can significantly impact margins.

Monsoon Dependency: Agricultural output, and thus raw material availability and pricing, are highly dependent on favorable monsoon conditions in India.

Intense Competition: The presence of numerous players, both organized and unorganized, leads to pricing pressures.

Regulatory Changes: Changes in import/export policies, agricultural subsidies, or food safety standards can affect operations.

Supply Chain Disruptions: Issues in sourcing raw materials or distributing finished goods due to infrastructure, logistics, or unforeseen events.

Working Capital Management: The business is working capital intensive due to inventory holding and receivables, requiring efficient management.

7. Management & Ownership

Narmada Agrobase Ltd. is promoted by its founding family, who typically hold a significant stake in the company. Promoters play an active role in the management and strategic direction. Information on specific management quality or independence of the board would require deeper analysis of corporate governance reports and management track record, which is often less publicly detailed for smaller listed entities. The ownership structure generally features a high promoter holding, with the remainder held by the public and potentially a small portion by institutional investors.

8. Outlook

Narmada Agrobase operates in a stable yet competitive segment of the Indian agriculture sector. The underlying demand for edible oils and animal feed provides a foundational growth trajectory due to India's population and economic expansion. However, the company's prospects are heavily influenced by external factors such as agricultural yields, monsoon patterns, and global commodity price movements, which introduce significant volatility. While there's potential for growth driven by increasing domestic consumption, the absence of strong differentiating moats means that profitability will largely depend on efficient operations, prudent raw material sourcing, and effective risk management in a highly commoditized market. Future performance will likely be tied to its ability to scale operations efficiently and navigate volatile input and output prices.

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Narmada Agrobase Key Financials

Market Cap ₹133 Cr.

Stock P/E 32.5

P/B 2.3

Current Price ₹35.1

Book Value ₹ 15.5

Face Value 10

52W High ₹38.7

Dividend Yield 0%

52W Low ₹ 16.2

Narmada Agrobase Share Price

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Volume
Price

Narmada Agrobase Quarterly Price

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Narmada Agrobase Peer Comparison

Narmada Agrobase 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 11 12 19 12 10 14 29 11 12 21
Other Income 0 0 0 0 0 0 0 0 0 0
Total Income 11 12 19 12 10 14 30 11 12 22
Total Expenditure 11 12 18 11 8 12 29 10 11 20
Operating Profit 1 0 1 2 2 2 1 2 2 2
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 1 1 2 1 1 1 1 1
Provision for Tax 0 0 0 0 0 0 -0 0 0 0
Profit After Tax 0 0 1 1 1 1 1 1 1 1
Adjustments 0 0 0 -0 0 0 0 0 -0 0
Profit After Adjustments 0 0 1 1 1 1 1 1 1 1
Adjusted Earnings Per Share 0.1 0.1 0.3 0.6 1 0.3 0.2 0.3 0.3 0.3

Narmada Agrobase 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 22 31 34 37 48 62 58 35 50 50 66 73
Other Income 0 0 0 0 0 0 0 0 0 0 1 0
Total Income 22 31 34 37 48 62 58 35 50 50 66 75
Total Expenditure 21 30 33 35 46 59 56 33 48 48 60 70
Operating Profit 1 1 1 2 2 2 2 2 2 3 6 7
Interest 0 1 1 1 1 1 1 1 1 1 1 0
Depreciation 0 0 0 0 1 0 0 0 0 0 0 0
Exceptional Income / Expenses 0 0 0 0 0 0 0 0 0 0 0 0
Profit Before Tax 0 0 0 1 1 1 1 1 1 1 5 4
Provision for Tax 0 0 0 0 0 0 0 0 0 0 1 0
Profit After Tax 0 0 0 0 0 1 1 1 1 1 4 4
Adjustments 0 0 0 0 0 0 0 0 0 0 0 0
Profit After Adjustments 0 0 0 0 0 1 1 1 1 1 4 4
Adjusted Earnings Per Share 0.3 0.3 0.4 0.3 0.3 0.4 0.4 0.3 0.4 0.6 1.1 1.1

Growth Rates

# 1 Year 3 Year 5 Year 10 Year
Sales CAGR 32% 24% 1% 12%
Operating Profit CAGR 100% 44% 25% 20%
PAT CAGR 300% 59% 32% 0%
# 1 Year 3 Year 5 Year 10 Year
Share Price CAGR 98% 32% 37% NA%
ROE Average 11% 7% 6% 8%
ROCE Average 13% 10% 9% 9%

Narmada Agrobase 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 1 2 2 6 14 14 15 15 16 17 56
Minority's Interest 0 0 0 0 0 0 0 0 0 0 0
Borrowings 3 4 4 1 1 1 1 0 1 0 1
Other Non-Current Liabilities 0 0 0 0 0 0 0 0 0 0 0
Total Current Liabilities 5 4 7 7 9 9 11 11 11 11 9
Total Liabilities 9 11 14 14 24 24 27 26 27 28 66
Fixed Assets 2 3 3 3 5 4 4 4 3 3 3
Other Non-Current Assets 1 1 2 2 1 2 2 1 1 1 5
Total Current Assets 6 7 9 10 18 18 21 22 23 24 59
Total Assets 9 11 14 14 24 24 27 26 27 28 66

Narmada Agrobase 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 0 0 0 0 0 2 1 0 1 1 0
Cash Flow from Operating Activities -2 -1 -1 1 -5 0 0 -0 0 1 -16
Cash Flow from Investing Activities -1 -1 -0 -0 -2 0 0 0 0 0 -4
Cash Flow from Financing Activities 2 1 2 -1 9 -2 -0 0 -1 -1 34
Net Cash Inflow / Outflow -0 0 -0 0 1 -1 -0 0 -0 -0 14
Closing Cash & Cash Equivalent 0 0 0 0 1 1 0 1 1 0 15

Narmada Agrobase 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) 0.29 0.28 0.36 0.32 0.28 0.44 0.38 0.34 0.36 0.57 1.08
CEPS(Rs) 0.74 0.58 0.71 0.55 0.58 0.66 0.61 0.54 0.54 0.72 1.14
DPS(Rs) 0 0 0 0 0.04 0 0 0 0 0 0
Book NAV/Share(Rs) 2.45 2.6 2.9 4.52 7.55 7.8 8.22 8.47 8.83 9.4 14.73
Core EBITDA Margin(%) 3.82 3.82 4.13 4.22 3.44 3.98 3.79 5.7 4.03 5 8.49
EBIT Margin(%) 2.72 3.04 3.36 3.65 2.89 3.38 3.19 4.82 3.5 4.6 9.13
Pre Tax Margin(%) 0.77 0.77 1.18 1.44 1.41 1.71 1.73 2.49 1.78 2.69 7.85
PAT Margin (%) 0.77 0.77 0.89 1.07 1.04 1.28 1.17 1.74 1.3 2.03 6.22
Cash Profit Margin (%) 1.96 1.62 1.75 1.84 2.19 1.93 1.89 2.78 1.94 2.57 6.59
ROA(%) 2.38 2.42 2.5 2.83 2.61 3.3 2.67 2.27 2.42 3.69 8.66
ROE(%) 12.67 13.08 13.02 9.85 5.17 5.72 4.74 4.05 4.19 6.22 11.24
ROCE(%) 9.08 10.21 10.14 10.54 7.69 9.22 8.1 6.97 6.88 8.81 13.04
Receivable days 19.3 24.03 27.77 30.34 41.11 56.02 86.37 159.79 100.8 96.26 89.97
Inventory Days 40.91 45.66 51.98 61.65 57.03 41.15 30.85 54.16 55.75 68.96 92.93
Payable days 6.5 7.17 7.47 10 6.31 3.36 10.07 19.05 7.05 6.81 3.18
PER(x) 0 0 0 0 26.73 20.3 20.24 44.6 47.63 27.02 15.12
Price/Book(x) 0 0 0 0 0.98 1.14 0.94 1.78 1.96 1.63 1.11
Dividend Yield(%) 0 0 0 0 0.57 0 0 0 0 0 0
EV/Net Sales(x) 0.35 0.31 0.35 0.34 0.44 0.39 0.38 1.03 0.81 0.73 0.86
EV/Core EBITDA(x) 8.99 7.99 8.23 7.61 11 9.6 9.64 17.55 19.62 14.19 9.05
Net Sales Growth(%) 951.19 39.38 12.21 7.61 28.19 29.65 -5.4 -39.97 43.04 0.59 30.52
EBIT Growth(%) 564.94 56.08 24.02 16.97 1.4 51.67 -10.58 -9.34 3.86 31.98 159.19
PAT Growth(%) 653.46 40.43 28.2 30.54 24.5 59.14 -13.36 -11.04 7.34 56.3 301.01
EPS Growth(%) 653.46 -3.95 28.2 -10.31 -14.2 59.15 -13.36 -11.03 7.33 56.28 90.05
Debt/Equity(x) 4.71 3.59 4.13 1.32 0.67 0.6 0.59 0.64 0.63 0.57 0.17
Current Ratio(x) 1.33 1.53 1.38 1.37 2.01 2.02 1.96 1.94 2.14 2.21 6.21
Quick Ratio(x) 0.51 0.64 0.53 0.46 1.09 1.38 1.58 1.38 1.31 1.3 3.73
Interest Cover(x) 1.4 1.34 1.54 1.65 1.95 2.03 2.18 2.07 2.03 2.41 7.15
Total Debt/Mcap(x) 0 0 0 0 0.69 0.53 0.63 0.36 0.32 0.35 0.15

Narmada Agrobase Shareholding Pattern

# Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Promoter 63.94 63.57 57.66 57.66 49.11 49.11 50.3 50.3 50.3 50.3
FII 0 0 0 0 0 0 0 0 0.03 0.54
DII 0 0 0 0 7.91 8.96 8.96 8.96 8.96 8.96
Public 36.06 36.43 42.34 42.34 42.98 41.93 40.74 40.74 40.71 40.2
Others 0 0 0 0 0 0 0 0 0 0
Total 100 100 100 100 100 100 100 100 100 100

Narmada Agrobase News

Narmada Agrobase Pros & Cons

Pros

  • Company has delivered good profit growth of 31% CAGR over last 5 years
  • Debtor days have improved from 6.81 to 3.18days.
  • Company is almost debt free.

Cons

  • Company has a low return on equity of 7% over the last 3 years.
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