McNally Bharat Engineering Company Ltd

Price story A share price tends to move through four phases: moving sideways (stage 1), rising (stage 2), stalling near a high (stage 3) and falling (stage 4). Today McNally Bharat Engineering Company Ltd is in stage 2. The phase helps read everything below.

McNally Bharat Engineering Company Ltd's share price was ₹420 at the close on 16 October 2026. It has been rising for 6 weeks. That is 270.4% above its average price over the last 200 trading days. In the last 52 weeks it traded between ₹3 and ₹494, and today it sits 85% of the way up from that low.

There is not enough history yet to compare it with the NIFTY 500.

Over the last 1.7 years the share price moved +12,446% while the NIFTY 500 moved +7%, so it is ahead of the index over that whole period. The chart below shows the 13-week comparison for every week.

This page treats a rise as over when the price closes below its 200-day average on two Fridays in a row.

Valuation P/E is the share price divided by a year's profit per share: how many rupees the market pays for each rupee of yearly profit.

McNally Bharat Engineering Company Ltd's P/E is 16.1×, with too little history to compare. Its usual P/E (the middle reading) is 23.5×, over 0.3 years of weekly prices. This compares the share price with the company’s own past. It does not say what the business is worth.

In short: the multiple is about average against its own past, so the earnings trend underneath matters more than the multiple.

Business trend Every business is somewhere on a path of getting better or worse, and this section names where. The last 12 quarters of growth in revenue, profit and earnings per share, plus the return the business earns on its capital, are read as lines. Getting worse: the lines are falling. Turning around: a low point has just formed and the last few quarters are rising from it. Getting better: the rise from the low has lasted. Growing steadily: steady growth with healthy returns. Slowing from a peak: still high, but slowing. When the lines disagree the result is mixed; too little history means no reading. CAGR (compound annual growth rate) is the steady yearly rate that would turn the starting value into the latest one. It is the fairest way to compare growth over different periods. If the 1-year figure is much bigger than the 10-year one, recent growth is running faster than the long-run trend. A dash means there is no figure for that period, or the starting year was a loss, where a growth rate means nothing.

McNally Bharat Engineering Company Ltd's business trend cannot be read yet. There are fewer than eight usable quarters of growth figures, so there is not enough history to read the trend. This is based on 9 quarters of 2 measures, with some gaps.

Why it matters: with too little history, we say so rather than guess a direction.

The latest quarter’s profit includes a one-off item bigger than the normal business, so the profit line is shown but does not count in this reading.

One or more growth lines have an extreme jump caused by comparing with a near-zero or loss-making quarter. Those jumps are capped before reading and drawn at the edge of the chart, so one odd quarter does not decide the result.

The return figures here are yearly, not quarterly. They show level and direction only; they can support the growth lines but never decide the reading alone.

There are fewer than eight usable quarters, so this page does not guess a direction from so little history.

4-Factor Sector Score

39.4 out of 100, rank 11 of 11 in Engineering - Turnkey Services, with 49% of the evidence available. It is provisional, so it is ranked below companies with full evidence.

McNally Bharat Engineering Company Ltd scores 39.4 out of 100 against the 11 companies it is compared with in Engineering - Turnkey Services, ranking 11. Some evidence is missing, so the score is pulled toward the middle on purpose.

The four parts add up to the total exactly: 12.7 + 4.2 + 10 + 12.5 = 39.4. This is the same number shown on the industry page; it is worked out once for the whole group and read here.

What would change it: The score would fall if profit growth turns negative or margins stop improving while the share price lags its sector.

Revenue Revenue is everything the company billed its customers in the period.

McNally Bharat Engineering Company Ltd reported ₹15.0 Cr of revenue in the Jun 26 quarter, +0.0% on the same quarter a year earlier. Over 10 years it has grown −30.2% a year on average. The last full year, FY26, came in at ₹74.0 Cr. The last four reported quarters add to ₹73.0 Cr.

FY26 revenue was ₹74.0 Cr, −29.5% on the year before.

Recent pace: the last four quarters grew −17.4% on average, against −30.2% a year over the longer run, so this year is growing faster than its own long-run rate.

Is growth speeding up? Revenue over the last 12 months grew −22.3%, against −30.9% a year over the last 8 quarters (accelerating).

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

McNally Bharat Engineering Company Ltd's operating margin was −44.0% in the Jun 26 quarter, 69.0 percentage points higher than the same quarter a year ago. Across 12 years it has been between −817.0% and 6.0%. The latest quarter is within that range.

Why the margin moved: operating margin changed +68.6 percentage points on the year while gross margin changed +17.0 points. So the gain came mostly from costs below the gross margin, such as staff and overheads, measured against sales.

Net profit Net profit is what is left after every cost, interest and tax. Earnings per share, dividends and book value all grow from it.

McNally Bharat Engineering Company Ltd posted a net loss of ₹25.0 Cr in the Jun 26 quarter. That quarter includes a one-off gain bigger than its revenue, so the comparison with last year does not reflect normal business. Full-year FY26 profit was ₹3,450 Cr. That loss is 166.7% of the quarter's revenue.

The same quarter a year earlier lost ₹230 Cr. 11 of the last 12 reported quarters were loss-making.

🚨 Read this profit with care: at ₹−25.0 Cr it is bigger than the quarter's whole revenue of ₹15.0 Cr. No business earns more than it takes in from sales, so this is a one-off item (for example a debt settlement, a tax write-back or an asset sale), not money the business earned. The underlying business is running at a −44.0% operating margin. The jump on last year, and any P/E built on this profit, come from the one-off, not from a real turn in earnings.

Cash flow The profit and loss account shows what was earned. The cash-flow statement shows the cash that actually came in. Comparing operating cash flow with profit is one of the best checks that a profit is real.

McNally Bharat Engineering Company Ltd's cash-flow history is too short to judge how much of its profit turns into cash. In FY26 it brought in ₹42.0 Cr of operating cash against ₹3,450 Cr of profit. After ₹−7.0 Cr of spending on assets, ₹49.0 Cr was left over as free cash.

Cash-flow figures here are yearly, because quarterly cash statements are not published, so this section changes once a year.

What to look at next: no single use of cash stands out. The next section checks both the cash tied up in daily operations and the spending on assets.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid. Debtor days: how long customers take to pay. Inventory days: how long stock sits. The cash cycle: the whole loop, in days of sales.

McNally Bharat Engineering Company Ltd's cash cycle, the days between paying suppliers and getting paid by customers, was 825 days in FY26, up from 239 days in FY21. It spent ₹−9.0 Cr on assets over the last 3 years. Customers take 825 days to pay, and stock sits for 0 days on average.

At FY26 sales of ₹74.0 Cr, each day of that cycle ties up about ₹0.2 Cr, so roughly ₹167 Cr is tied up in the business at any time.

FY26: customers took 825 days to pay and stock sat for 0 days, about 0.0 months of sales sitting as stock, for a full cycle of 825 days, longer than FY21's 239.

Spending on assets: ₹−9.0 Cr over the last 3 years, against ₹8.0 Cr of depreciation (the yearly wear and tear on existing assets). So it is spending about what it takes to replace what wears out, or less. Work still in progress is ₹0.0 Cr (FY26): assets paid for that are not earning yet.

In short: neither the daily cycle nor new spending is soaking up the cash, so the picture is fairly clean.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it, from shareholders and lenders together. It is the best single test of whether growth adds value or just size.

McNally Bharat Engineering Company Ltd earned a ROCE of −27% in FY23. We cannot compare its return on capital used with its cost of capital from the data we have. It comes from a 4,662.2% net margin and 0.09× asset turnover (sales divided by assets).

Why the return is what it is (FY26): a 4,662.2% net margin × 0.09× asset turnover × 1.45× leverage (assets divided by equity) ≈ 608.4% on equity. The margin does most of the work; borrowing plays a small part, so this return is earned, not borrowed.

Debt Debt-to-equity shows how much of the business is paid for with borrowed money. Interest cover shows how many times operating profit pays the interest bill. Low debt and high cover are the safe combination.

McNally Bharat Engineering Company Ltd had ₹98.0 Cr of borrowings against ₹570 Cr of equity in FY26, so its debt is 0.17× its equity. Its operating profit is −1 times its interest bill. Over 5 years borrowings went from ₹2,385 Cr to ₹98.0 Cr. Over the last 3 of those years it spent ₹−9.0 Cr on assets.

The spending on assets is being paid for from cash, not new debt.

Ownership Who owns the company each quarter: promoters (the founders or controlling owners), foreign institutions, domestic institutions such as mutual funds, and the public. When people close to the business steadily raise their stake, that is worth noticing; a quiet list is also an answer.

Promoters raised their stake in McNally Bharat Engineering Company Ltd by 57.2 percentage points over 8 quarters, the biggest change among its owners. Promoters now own 90.0% of the company. Domestic institutions moved +3.4 points over the same period, to 4.5%. This uses the four owner groups that companies report every quarter; nothing is guessed between filings.

Over the last two years: Promoters: +57.2 points over 8 quarters, to 90.0%; Domestic institutions: +3.4 points over 8 quarters, to 4.5%; Foreign institutions: +0.0 points over 8 quarters, to 0.0%.

Why the owners changed: promoters drove it (+57.2 points), together with domestic institutions (+3.4 points). They raised their stake step by step.

Balance-sheet safety The Z-score estimates how far a company is from balance-sheet trouble. Above about 3 is safe; below about 1.8 is the danger zone. It was built for manufacturers, so it is not used for banks and lenders.

For McNally Bharat Engineering Company Ltd, the Z-score is not available, so we say so rather than guess one. It estimates how far the balance sheet is from trouble; it is not a forecast of failure. The debt, cash-flow and return sections show the balance-sheet figures we do have, each with its own date.

Frequently asked questions