Mac Charles (India) Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Mac Charles (India) Ltd trades at ₹705, in a confirmed uptrend and 9 weeks into that stage. That is +7.0% against its own 200-day average. It sits at 95% of a 52-week range of ₹564 to ₹713. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 1 straight week.

Today the stock is in a confirmed uptrend — week 9 of stage 2, confirmed. At ₹705 it trades +7.0% versus its 200-day average and sits at 95% of its 52-week range (₹564–₹713).

Against the market, two honest reads. Cumulative: over the last 10.2 years the stock moved +108% while the NIFTY 500 moved +251% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 1 straight week — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 37th percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Mac Charles (India) Ltd trades at 13.8× P/E, mid-range by its own standards (37th percentile). Its long-run median P/E is 16.0×, measured across 7.3 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 13.8× is mid-range by its own standards (37th percentile), against a long-run median of 16.0× measured over 7.3 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

One caveat before moving on: margins are the best this company has ever printed — cheap against its own history on record margins is not the same thing as cheap. If profitability mean-reverts, today's multiple is higher than it looks.

The price move, decomposed: over 5y, of the +8.9%/yr price move, ~+16.0%/yr came from earnings growth and ~−7.1 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: No read Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Mac Charles (India) Ltd reads as no read on its fundamental arc. Under eight usable quarters on the growth trio — not enough history for an honest trajectory read. The read is built from 10 quarters across 1 curve, on partial evidence.

Why it matters: with too little history, an honest page says so instead of guessing a trajectory.

The return-on-capital curve is not shown — net worth is negative, so a return on capital is not a meaningful number in any basis. This is a distressed balance sheet, and the stage is read from the growth curves alone.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

Fewer than eight usable quarters on the growth curves — this page will not guess a trajectory from a stub of history.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

58.5/100 — rank 2 of 20 in Power - Generation/Distribution · 62% evidence confidence

Mac Charles (India) Ltd scores 58.5 out of 100 against the 20 companies it is compared with in Power - Generation/Distribution, ranking 2. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 25.8 + 5.7 + 10 + 17 = 58.5. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Mac Charles (India) Ltd reported ₹32.0 Cr of revenue in the Mar 26 quarter, +1,500.0% year on year. That is the 4th straight quarter of year-on-year growth. Over 10 years it has compounded at 6.4% a year. The last full year, FY26, came in at ₹110 Cr. The last four reported quarters add to ₹111 Cr.

Mac Charles (India) Ltd reported ₹32.0 Cr of revenue in the Mar 26 quarter, +1,500.0% year on year. That is the 4th straight quarter of year-on-year growth. Over 10 years it has compounded at 6.4% a year. The last full year, FY26, came in at ₹110 Cr. The last four reported quarters add to ₹111 Cr.

FY26 revenue came in at ₹110 Cr (+1,000.0% on the year), capping 10 years at 6.4% compound. The latest quarter (Mar 26) printed ₹32.0 Cr, +1,500.0% year on year — the 4th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +1,050.0% growth against the decade's 6.4% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +1,010.0% over the last 4 quarters against +233.2%/yr over the last 8 — accelerating.

→ Revenue grew — did margins hold as it scaled? Next: 76.0% this quarter (+547.0 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Mac Charles (India) Ltd's operating margin is 76.0% in the Mar 26 quarter, +547.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 13 fiscal years the operating margin has ranged −290.0% to 72.0%. The current quarter is running above every full year in that window.

Mac Charles (India) Ltd's operating margin is 76.0% in the Mar 26 quarter, +547.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 13 fiscal years the operating margin has ranged −290.0% to 72.0%. The current quarter is running above every full year in that window.

The latest quarter's operating margin is 76.0%, +547.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −290.0%–72.0%, and FY26's 72.0% is the top of that band — a record year.

Why the margin moved: operating margin went +547.0 pp year on year while gross margin went +0.0 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

→ Margins held — did that reach the bottom line? Next: profit null in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Mac Charles (India) Ltd posted a net loss of ₹15.0 Cr in the Mar 26 quarter. The full FY26 year was a loss of ₹116 Cr. That loss is 46.9% of the quarter's revenue. The same quarter a year earlier lost ₹37.0 Cr. 12 of the last 12 reported quarters were loss-making.

Mac Charles (India) Ltd posted a net loss of ₹15.0 Cr in the Mar 26 quarter. The full FY26 year was a loss of ₹116 Cr. That loss is 46.9% of the quarter's revenue. The same quarter a year earlier lost ₹37.0 Cr. 12 of the last 12 reported quarters were loss-making.

Mar 26 profit was ₹−15.0 Cr, null year on year. On the full year, FY26 printed ₹−116 Cr (null).

→ Profit rose — but did the cash follow? Next: −17% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years −17% of Mac Charles (India) Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹−65.0 Cr of operating cash against ₹−116 Cr of profit. After ₹157 Cr of capital spending, ₹−222 Cr was left as free cash.

FY26: operating cash of ₹−65.0 Cr against reported profit of ₹−116 Cr, leaving free cash of ₹−222 Cr after ₹157 Cr of capital spending. Across the last 3 fiscal years the conversion rate is −17% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at −17%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: the bigger cash user is investment — capital spending ran 29.9× depreciation over three years, so the next section's job is to check what that build-out is buying.

→ So follow the cash to where it goes. Next: ₹748 Cr of building over 3 years.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Mac Charles (India) Ltd's cash conversion cycle runs 7 days in FY26, down from 12 days in FY21. Capital spending ran ₹748 Cr over the last 3 years. At FY26 sales of ₹110 Cr each day of that cycle holds about ₹0.3 Cr, so roughly ₹2.0 Cr sits inside the business at any moment.

FY26: debtors at 7 days (an asset-light business — no inventory to speak of) — for a full cycle of 7 days, tighter than FY21's 12.

In money terms: at FY26 sales of ₹110 Cr, each day of the cycle holds about ₹0.3 Cr — so the 7-day loop keeps roughly ₹2.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹748 Cr over the last 3 fiscal years against ₹25.0 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹0.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 5%.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Mac Charles (India) Ltd earns a ROCE of 5% in FY26. That is up from a trough of −1% in FY20. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is −105.5% net margin on 0.07× asset turns.

FY26 ROCE is 5%, recovered from a FY20 trough of −1% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): −105.5% net margin × 0.07× asset turns × −143.73× balance-sheet leverage ≈ 1,061.4% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is −137.09.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

Mac Charles (India) Ltd's net worth is negative — it owes more than it owns — so a debt-to-equity ratio is not meaningful here. Operating profit covers the interest bill 1×. Over 5 years borrowings went from ₹120 Cr to ₹1,508 Cr. Capital spending ran ₹748 Cr across the last 3 of those years.

FY26: borrowings of ₹1,508 Cr against equity of ₹−11.0 Cr — net worth is NEGATIVE: the company owes more than it owns, so a debt-to-equity ratio is not meaningful (it just goes negative). This is a balance sheet under water. Operating profit covers the interest bill 1×. Over 5 years borrowings went from ₹120 Cr to ₹1,508 Cr while capital spending ran ₹748 Cr in just the last 3 — part of the build-out is riding on borrowed money.

→ Who owns this, and are they adding or leaving? Next: Promoters cut 1.2 points over 8 quarters.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Promoters cut 1.2 points of Mac Charles (India) Ltd over 8 quarters, the biggest move on the register. That takes promoters to 73.8% of the company. Domestic institutions moved +0.0 points over the same window, to 0.0%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Promoters: −1.2 points over 8 quarters to 73.8%; Domestic institutions: +0.0 points over 8 quarters to 0.0%.

🚨 Why the register moved: promoters drove it (−1.2 points) — distribution into the market’s bid.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Mac Charles (India) Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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