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Key Financials Snapshot

TTM · Consolidated · ₹ in Cr
Market Cap
₹1480 Cr.
Stock P/E
8.5
P/B
0.5
Current Price
₹95.3
Book Value
₹ 186.4
Face Value
10
52W High
₹192.7
52W Low
₹ 80
Dividend Yield
0%

Ugro Capital Overview

Business

Ugro Capital Ltd. is an Indian Non-Banking Financial Company (NBFC) specializing in lending to Micro, Small, and Medium Enterprises (MSMEs). Its core business model revolves around providing financing solutions to underserved MSMEs across various sectors. The company leverages a data-science-driven underwriting approach, including its proprietary 'GRO Score' model, to assess creditworthiness efficiently. Ugro Capital generates revenue primarily through interest income earned on the loans it disburses and through processing fees. Its strategy involves a blend of physical presence (branches) and digital channels to reach its target customer base.

Revenue Mix

Ugro Capital focuses exclusively on the MSME lending segment. Its product offerings include:

Secured Loans: Loans against property (LAP), machinery loans.

Unsecured Loans: Working capital loans, supply chain finance, invoice discounting, medical equipment finance.

The company has a sector-specific lending approach, targeting industries such as Healthcare, Education, Light Manufacturing, Chemicals, Food Processing, Hospitality, and Electricals. Revenue is overwhelmingly derived from interest income on its loan book. Specific percentage contributions from different loan products or sectors are not publicly detailed in a granular revenue mix.

Industry

Ugro Capital operates within the highly competitive and fragmented Indian NBFC sector, specifically targeting the MSME credit market. This market is characterized by a significant credit gap, with many MSMEs lacking access to formal credit. Ugro Capital positions itself as a tech-enabled, data-analytics-led lender, differentiating itself through its proprietary credit underwriting model (GRO Score) and deep sector-specific knowledge. It competes with a wide array of public and private sector banks, other NBFCs, and emerging fintech lenders, by aiming to offer faster and more tailored credit solutions to MSMEs often overlooked by traditional lenders.

MOAT

Ugro Capital's primary attempt at a competitive advantage lies in its data-driven underwriting model (GRO Score), which uses a combination of traditional and alternative data points to assess credit risk more efficiently and accurately than traditional methods. This allows for faster loan processing and a potentially better quality loan book. Its sectoral expertise helps in building a nuanced understanding of specific MSME value chains, reducing information asymmetry. While these provide operational efficiencies and differentiation, for a relatively new player, these advantages are still developing and may not yet constitute a wide, durable moat in a highly competitive market.

Growth Drivers

Large Underserved MSME Market: The significant credit gap for MSMEs in India presents a substantial growth opportunity.

Government Initiatives: Policy support and focus on formalization and financing for the MSME sector.

Digital Adoption & Data Availability: Increasing digital footprint of MSMEs and availability of data for credit assessment.

Expansion & Partnerships: Geographic expansion, diversification into new MSME sub-sectors, and strategic co-lending or fintech partnerships to enhance reach and capital efficiency.

Asset Under Management (AUM) Growth: Continued ability to grow its loan book while maintaining asset quality.

Risks

Credit Risk: Potential for defaults and non-performing assets (NPAs) given the inherent risk profile of MSME borrowers and economic downturns.

Asset Quality Deterioration: Inability to maintain robust underwriting standards as the loan book scales.

Funding Risk: Dependence on external capital for growth; challenges in securing timely and cost-effective funding.

Interest Rate Fluctuations: Impact on net interest margins due to changes in borrowing costs or lending rates.

Competition: Intense competition from banks and other NBFCs, potentially leading to margin compression.

Regulatory Changes: Evolving regulatory landscape for NBFCs in India (e.g., capital adequacy, asset classification norms) could impact operations.

Economic Slowdown: The MSME sector is highly susceptible to broader economic cycles and shocks.

Management & Ownership

Ugro Capital was founded by seasoned professionals with extensive experience in the financial services sector, often with a background in traditional banking and alternative finance. The management team emphasizes leveraging technology, data science, and strong risk management practices. The ownership structure typically includes a mix of institutional investors (private equity, venture capital, domestic and foreign institutional investors), retail investors, and potentially a significant stake held by promoters or founder groups. The company often highlights its professional governance and institutional backing.

Outlook

Ugro Capital operates in a high-growth, underserved market (MSME lending in India), which presents significant tailwinds. Its data-driven and sector-specific approach provides a differentiated strategy to tap into this opportunity. The bull case hinges on the successful scaling of its technology-led underwriting model, disciplined asset quality management, effective capital raising, and expanding its market share through strategic partnerships and product diversification. However, the bear case involves risks such as potential deterioration in asset quality amid rapid growth, intense competition leading to pressure on lending margins, and challenges in maintaining consistent funding at competitive rates, especially during economic downturns or shifts in regulatory policy. Its ability to balance aggressive growth with robust risk management will be critical for long-term success.

Ugro Capital Share Price

Live · BSE / NSE · Inception: 1993
| |
Volume
Price

Key Financials — Profit & Loss

₹ in Cr · Consolidated · annual

Ugro Capital Quarterly Results

#(Fig in Cr.) Mar 2026
Operating Revenue 607
Other Income 25
Total Income 632
Total Expenditure 248
Operating Profit 384
Interest Expense 284
Depreciation 29
Profit Before Tax 71
Provision for Tax 20
Profit After Tax 51
Adjustments 0
Profit After Adjustments 51
Adjusted Earnings Per Share 3.3

Ugro Capital Profit & Loss

#(Fig in Cr.) Mar 2026 TTM
Operating Revenue 1937 607
Other Income 84 25
Total Income 2021 632
Total Expenditure 753 248
Operating Profit 1268 384
Interest Expense 954 284
Depreciation 70 29
Profit Before Tax 244 71
Provision for Tax 69 20
Profit After Tax 175 51
Adjustments 0 0
Profit After Adjustments 175 51
Adjusted Earnings Per Share 11.4 3.3

Ugro Capital Balance Sheet

#(Fig in Cr.) Mar 2026
Shareholder's Funds 2906
Minority's Interest 0
Borrowings 6482
Current Liability 4633
Other Liabilities & Provisions 150
Total Liabilities 14171
Loans 10293
Investments 108
Fixed Assets 512
Other Loans 0
Other Non Current Assets 244
Current Assets 2759
Total Assets 14171

Ugro Capital Cash Flow

#(Fig in Cr.) Mar 2026
Opening Cash & Cash Equivalents 377
Cash Flow from Operating Activities 214
Cash Flow from Investing Activities -1964
Cash Flow from Financing Activities 2751
Net Cash Inflow / Outflow 1000
Closing Cash & Cash Equivalent 1378

Ugro Capital Ratios

# Mar 2026
Earnings Per Share (Rs) 11.44
CEPS(Rs) 16.04
DPS(Rs) 0
Book NAV/Share(Rs) 189.28
Net Profit Margin 9.02
Operating Margin 61.84
PBT Margin 12.57
ROA(%) 1.23
ROE(%) 6.04
ROCE(%) 8.75
Price/Earnings(x) 7.1
Price/Book(x) 0.43
Dividend Yield(%) 0
EV/Net Sales(x) 5.28
EV/Core EBITDA(x) 8.07
Interest Earned Growth(%) 0
Net Profit Growth 0
EPS Growth(%) 0
Interest Coverage(x) % 1.26

Growth Rates

Compounded annual
# 1 Year 3 Year 5 Year 10 Year
Sales CAGR
Operating Profit CAGR
PAT CAGR
Share Price CAGR -45% -24% -6% +17%
ROE Average +6% +6% +6% +6%
ROCE Average +9% +9% +9% +9%

Ugro Capital Shareholding Pattern

Latest · Mar 2026
100% held
Promoters 1.99 %
FII 22.33 %
DII (MF + Insurance) 1.23 %
Public (retail) 98.01 %
# Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
Promoter 2.242.232.232.232.232.232.252.241.71.99
FII 19.7719.7620.2820.4424.727.2529.3228.9922.8422.33
DII 4.463.762.552.752.41.851.621.591.381.23
Public 97.7697.7797.7797.7797.7797.7797.7597.7698.398.01
Others 0000000000
Total 100100100100100100100100100100

Ugro Capital Peer Comparison

Finance - NBFC Edit Columns

Ugro Capital Quarterly Price

10-year quarterly close · BSE
Show Value Show %

News & Updates

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Ugro Capital Pros & Cons

Pros

  • Stock is trading at 0.5 times its book value
  • Company has reduced debt.

Cons

  • Promoter holding is low: 1.99%.
  • Company has a low return on equity of 6% over the last 3 years.
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