Sharescart Research Club logo

Palco Metals Overview

1. Business Overview

Palco Metals Ltd. operates in the Aluminium & Aluminium Products sector in India. The company is primarily involved in the manufacturing, processing, or trading of various aluminium products. Its core business model likely revolves around supplying these aluminium products (which could include ingots, sheets, coils, extrusions, or other semi-finished/finished goods) to industrial customers across diverse sectors such as construction, automotive, electrical, packaging, and consumer durables. The company generates revenue by selling these processed or raw aluminium materials and products to its B2B clientele.

2. Key Segments / Revenue Mix

Without specific financial disclosures or company reports, the exact breakdown of key business segments or their revenue contribution is not publicly available. Given its industry, the company's primary and potentially sole segment is likely "Aluminium & Aluminium Products," encompassing its entire range of offerings within this domain.

3. Industry & Positioning

The Indian Aluminium & Aluminium Products industry is a capital-intensive and cyclical sector, heavily influenced by global commodity prices and demand from end-user industries. It comprises a mix of large integrated players (from mining to finished products) and numerous smaller re-rollers, fabricators, and traders. Palco Metals Ltd., without scale or market share data, is likely positioned as a smaller to mid-sized player within this competitive landscape. Such companies often focus on specific product types, regional markets, or niche applications where they can effectively compete on factors like cost, quality, or service.

4. Competitive Advantage (Moat)

Based on the general nature of the "Aluminium & Aluminium Products" industry and typical characteristics of smaller players, Palco Metals Ltd. is unlikely to possess a strong, durable competitive advantage (moat) in the form of brand equity, significant economies of scale, proprietary technology, or high switching costs. The market for many aluminium products is largely commoditized, leading to intense price competition. Any advantages would likely stem from operational efficiency, strong customer relationships in specific regions, or specialized product offerings, which are generally harder to sustain as strong moats.

5. Growth Drivers

Key factors that can drive growth for Palco Metals Ltd. over the next 3-5 years include:

Infrastructure Development: Continued government spending on infrastructure, construction, and smart city projects in India.

Automotive Sector Growth: Increasing demand from the automotive industry for lightweight aluminium components to improve fuel efficiency and meet emission norms.

Electrical & Power Sector: Expansion of electricity generation, transmission, and distribution networks.

Urbanization & Industrialization: Rising demand for consumer durables, packaging, and industrial machinery driven by urbanization and overall economic growth in India.

"Make in India" Initiative: Government focus on boosting domestic manufacturing across various sectors, indirectly benefiting aluminium product suppliers.

6. Risks

Commodity Price Volatility: Aluminium prices are subject to global supply-demand dynamics and geopolitical factors, impacting revenue and profitability.

Input Cost Fluctuations: Volatility in the cost of raw materials (e.g., bauxite, alumina, scrap aluminium) and energy (power, fuel) can compress margins.

Cyclicality of End-User Industries: Dependence on sectors like construction and automotive makes the company susceptible to their cyclical downturns.

Intense Competition: The presence of larger, integrated players and numerous smaller firms creates a highly competitive environment, potentially limiting pricing power.

Regulatory & Environmental Compliance: Evolving environmental regulations can lead to increased compliance costs and operational restrictions.

Economic Slowdown: A general economic slowdown in India could dampen demand across all end-user sectors.

7. Management & Ownership

For many smaller Indian companies, ownership and control typically reside with promoter families, who often also hold key management positions. While specifics about Palco Metals Ltd.'s management quality or detailed ownership structure are not available without public filings, the company would likely be overseen by its founding or controlling family members. Assessment of management quality would require evaluating their strategic decisions, financial performance track record, and corporate governance practices, which are not detailed here.

8. Outlook

Palco Metals Ltd. operates within an industry poised to benefit from India's long-term economic growth, urbanization, and ambitious infrastructure development plans, which should drive sustained demand for aluminium products. The ongoing trend of lightweighting in sectors like automotive also presents a structural tailwind. However, the company faces inherent challenges common to the aluminium sector, including significant exposure to global commodity price fluctuations for both raw materials and finished goods, intense competition from larger and more diversified players, and the cyclical nature of its primary end-user markets. Its ability to achieve sustainable growth and profitability will depend on effective cost management, strategic positioning within niche segments, and adept navigation of volatile market conditions.

Want to Start Investing in Top Unlisted Stocks?

Our experts help you choose the right stocks based on performance, risk, and growth potential.

Palco Metals Key Financials

Market Cap ₹60 Cr.

Stock P/E 9.5

P/B 5.9

Current Price ₹150

Book Value ₹ 25.5

Face Value 10

52W High ₹239.9

Dividend Yield 0%

52W Low ₹ 88.9

Palco Metals Share Price

| |

Volume
Price

Palco Metals Quarterly Price

Show Value Show %

Palco Metals Peer Comparison

Palco Metals 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 42 53 61 60 53 62 72 55 75 82
Other Income 0 0 0 0 0 -0 0 0 0 0
Total Income 42 53 61 60 53 62 72 56 76 83
Total Expenditure 41 52 57 55 50 60 69 54 74 77
Operating Profit 2 1 4 5 3 2 3 1 2 5
Interest 0 0 1 1 1 0 1 1 1 1
Depreciation 0 0 0 0 1 0 1 0 0 0
Exceptional Income / Expenses 0 3 -0 0 0 0 0 0 0 0
Profit Before Tax 1 4 2 4 2 2 1 0 0 4
Provision for Tax 0 0 2 1 -0 1 0 0 0 1
Profit After Tax 1 4 1 3 2 1 1 0 0 3
Adjustments 0 0 0 0 0 -0 -0 0 -0 0
Profit After Adjustments 1 4 1 3 2 1 1 0 0 3
Adjusted Earnings Per Share 2.9 9.3 1.4 7.1 3.9 3.2 2.5 0.7 0.8 6.9

Palco Metals 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 0 0 0 96 112 62 95 174 160 194 246 284
Other Income 0 0 0 1 0 1 0 1 1 0 1 0
Total Income 0 0 0 97 112 62 96 174 160 194 247 287
Total Expenditure 0 0 0 94 110 60 93 166 156 187 234 274
Operating Profit 0 -0 0 3 2 2 3 9 4 8 13 11
Interest 0 0 0 2 2 1 1 1 2 2 3 4
Depreciation 0 0 0 1 1 0 0 0 0 1 2 1
Exceptional Income / Expenses 0 1 0 0 0 0 0 0 0 2 0 0
Profit Before Tax 0 1 0 1 -1 0 1 7 2 6 9 5
Provision for Tax 0 0 0 0 0 0 0 2 1 1 2 1
Profit After Tax 0 1 -0 1 -1 0 1 5 1 5 6 4
Adjustments 0 0 0 0 0 -0 0 0 0 -0 0 0
Profit After Adjustments 0 1 -0 1 -1 0 1 5 1 5 6 4
Adjusted Earnings Per Share 0 1.5 -0.3 1.6 -1.4 0.9 2.3 12 3.6 12.6 15.8 10.9

Growth Rates

# 1 Year 3 Year 5 Year 10 Year
Sales CAGR 27% 12% 32% 0%
Operating Profit CAGR 63% 13% 45% 0%
PAT CAGR 20% 6% 0% 0%
# 1 Year 3 Year 5 Year 10 Year
Share Price CAGR -29% 32% 50% 20%
ROE Average 41% 27% 25% 12%
ROCE Average 22% 16% 16% 10%

Palco Metals 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 23 14 11 12 11 11 12 15 16 19 12
Minority's Interest 0 0 0 6 6 6 7 8 9 11 0
Borrowings 0 0 3 5 6 7 7 6 5 21 18
Other Non-Current Liabilities 0 0 0 1 1 0 0 0 0 0 1
Total Current Liabilities 0 1 1 18 17 5 13 18 25 18 47
Total Liabilities 23 15 15 42 41 30 39 47 55 69 77
Fixed Assets 10 0 0 9 7 7 7 7 10 17 17
Other Non-Current Assets 11 11 12 3 2 2 3 3 10 3 5
Total Current Assets 2 3 3 30 32 21 29 37 35 49 55
Total Assets 23 15 15 42 41 30 39 47 55 69 77

Palco Metals 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 0 3 0 0 6
Cash Flow from Operating Activities -0 -10 -0 0 -2 9 -2 -2 5 10 31
Cash Flow from Investing Activities 0 10 0 0 0 0 -0 0 -5 -5 -8
Cash Flow from Financing Activities -0 -0 0 0 4 -11 6 -1 7 1 -28
Net Cash Inflow / Outflow 0 -0 0 0 2 -2 3 -3 6 5 -5
Closing Cash & Cash Equivalent 0 0 0 0 2 0 3 0 7 6 1

Palco Metals 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 1.47 -0.25 1.65 -1.36 0.88 2.29 11.97 3.56 12.57 15.79
CEPS(Rs) 0.18 1.47 -0.25 3.05 -0.1 2.05 3.34 12.88 4.6 15.3 19.75
DPS(Rs) 0 0 0 0 0 0 0 0 0 0 0
Book NAV/Share(Rs) 0 26.38 26.95 30.45 26.84 27.38 28.87 36.62 38.95 47.11 29.05
Core EBITDA Margin(%) 0 0 0 1.83 1.11 2.06 2.47 4.39 2.14 3.69 4.79
EBIT Margin(%) 0 0 0 2.32 0.93 2.49 2.32 4.67 2.34 4.12 4.71
Pre Tax Margin(%) 0 0 0 0.94 -0.46 0.67 1.28 3.91 1.35 2.96 3.5
PAT Margin (%) 0 0 0 0.59 -0.49 0.57 0.96 2.74 0.88 2.59 2.57
Cash Profit Margin (%) 0 0 0 1.09 -0.04 1.33 1.4 2.97 1.15 3.15 3.21
ROA(%) 0.32 3.13 -0.69 2.3 -1.3 0.99 2.65 11.07 2.74 8.15 8.64
ROE(%) 0.72 5.64 -0.95 5.73 -4.74 3.25 8.13 36.3 9.25 29.25 41.43
ROCE(%) 0.73 5.62 0.85 12.32 3.41 5.59 8.55 25.18 9.59 16.33 22.34
Receivable days 0 0 0 54.11 40.48 41.96 21.8 20.07 29.37 18.05 12.43
Inventory Days 0 0 0 24.39 35.98 69.37 36.65 23.1 26.34 27.13 29.41
Payable days 0 0 0 17.25 15.26 6.22 4.07 2.79 2.8 2.52 2.87
PER(x) 0 14.72 0 0 0 0 0 3.72 15.59 7.32 14.21
Price/Book(x) 0 0.82 1.05 0 0 0 0 1.22 1.43 1.95 7.73
Dividend Yield(%) 0 0 0 0 0 0 0 0 0 0 0
EV/Net Sales(x) 0 0 0 0.21 0.21 0.24 0.2 0.22 0.27 0.35 0.51
EV/Core EBITDA(x) 69.97 -249.93 122.33 6.34 15.22 7.47 7.12 4.42 10.35 8.9 9.6
Net Sales Growth(%) 0 0 0 0 16.54 -44.81 54.84 82.06 -8 21.54 26.73
EBIT Growth(%) 0 682.45 -84.58 2144.11 -60.01 47.01 44.57 265.73 -53.86 113.92 44.78
PAT Growth(%) 0 700.55 -117.25 750.32 -182.53 164.97 159.07 420.11 -70.6 260.1 25.37
EPS Growth(%) 0 0 -117.25 750.32 -182.53 164.97 159.07 423.56 -70.24 253.04 25.63
Debt/Equity(x) 0 0 0.28 1.34 2.04 1.03 1.56 1.37 1.78 1.9 3.22
Current Ratio(x) 32.58 3.11 3.06 1.63 1.84 4.09 2.19 2.13 1.42 2.76 1.16
Quick Ratio(x) 32.58 3.11 3.06 1.22 1.01 2.36 1.41 1.46 0.96 1.78 0.7
Interest Cover(x) 96.3 77.68 1.26 1.68 0.67 1.37 2.23 6.14 2.37 3.56 3.88
Total Debt/Mcap(x) 0 0 0.27 0 0 0 0 1.13 1.25 0.98 0.42

Palco Metals Shareholding Pattern

# Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Promoter 68.18 68.18 68.18 68.18 68.18 68.18 68.18 68.18 68.18 68.18
FII 0 0 0 0 0 0 0 0 0 0
DII 0 0 0 0 0 0 0 0 0 0
Public 31.82 31.82 31.82 31.82 31.82 31.82 31.82 31.82 31.82 31.82
Others 0 0 0 0 0 0 0 0 0 0
Total 100 100 100 100 100 100 100 100 100 100

Palco Metals News

Palco Metals Pros & Cons

Pros

  • Company has a good return on equity (ROE) track record: 3 Years ROE 27%
  • Company has reduced debt.

Cons

  • Debtor days have increased from 2.52 to 2.87days.
  • Stock is trading at 5.9 times its book value.
whatsapp