Varmora Granito 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). The phase helps read everything below.

Varmora Granito Ltd's share price was ₹128 at the close on 16 October 2026. That is 14.8% below its average price over the last 200 trading days. In the last 52 weeks it traded between ₹128 and ₹152, and today it sits 0% of the way up from that low.

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

Over the last 0 months the share price moved −16% while the NIFTY 500 moved +2%, so it is behind 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.

Varmora Granito Ltd's P/E is 49.6×, with too little history to compare. Its usual P/E (the middle reading) is 51.9×, over 0.0 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.

Varmora Granito 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.

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

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

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

Varmora Granito Ltd's latest quarterly revenue is not on file. Over 5 years it has grown 14.0% a year on average. The last full year, FY26, came in at ₹1,362 Cr.

FY26 revenue was ₹1,362 Cr, +3.7% on the year before.

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.

We do not have a clean operating margin for Varmora Granito Ltd. Its accounts do not report the operating-profit line this section uses, which is common for lenders and holding companies. The other sections show what its filings do report.

Why: the operating margin move is clear, but the cost details behind it are not in our data, so we show the move without guessing the reason.

As noted under valuation: when margins are at a record, every ratio built on profit looks better than usual, so a low multiple can mislead.

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.

Varmora Granito Ltd's latest quarterly profit is not on file. Full-year FY26 profit was ₹58.0 Cr. Over 5 years profit has grown 20.3% a year on average.

For the full year, FY26 profit was ₹58.0 Cr (+100.0% on the year before).

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.

Over the last 3 years, 246% of Varmora Granito Ltd's reported profit came in as cash from its operations, so the profit is backed by cash. In FY26 it brought in ₹206 Cr of operating cash against ₹58.0 Cr of profit. After ₹33.0 Cr of spending on assets, ₹173 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.

Why 246% of profit came in as cash: the cash cycle got 105 days longer between FY21 and FY26, so more of each rupee of profit waits in the business before it arrives.

What to look at next: the bigger use of cash is spending on new assets, at 2.3× depreciation over three years. The next section checks what that spending is building.

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.

Varmora Granito Ltd's cash cycle, the days between paying suppliers and getting paid by customers, was 102 days in FY26, up from −3 days in FY21. It spent ₹528 Cr on assets over the last 3 years. Customers take 88 days to pay, and stock sits for 129 days on average.

At FY26 sales of ₹1,362 Cr, each day of that cycle ties up about ₹3.7 Cr, so roughly ₹381 Cr is tied up in the business at any time.

FY26: customers took 88 days to pay and stock sat for 129 days, about 4.2 months of sales sitting as stock, for a full cycle of 102 days, longer than FY21's −3.

The full loop: cash goes out to suppliers and production on day 0. Stock sits for 129 days. Customers pay about 88 days after that. Suppliers are paid at 116 days. Together that makes the 102-day cycle.

Spending on assets: ₹528 Cr over the last 3 years, against ₹232 Cr of depreciation (the yearly wear and tear on existing assets). So it is building well beyond replacing what wears out. Work still in progress is ₹26.0 Cr (FY26): assets paid for that are not earning yet.

In short: the cash is going into new capacity, not getting stuck in the daily cycle. The question is whether the new capacity earns.

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.

Varmora Granito Ltd earned a ROCE of 10% in FY26. That is up from a low of 7% in FY25. Its return on capital used (ROIC) is 6.3 percentage points below its cost of capital, so growth here does not yet pay for the capital it uses.

It comes from a 4.3% net margin and 0.99× asset turnover (sales divided by assets).

🚨 Why the return is what it is (FY26): a 4.3% net margin × 0.99× asset turnover × 1.71× leverage (assets divided by equity) ≈ 7.3% on equity. The margin does its share; borrowing is a big part of it.

The key test, return on capital used minus the cost of capital: 5.7% − 12.0% = −6.3 percentage points. The 12.0% is a standard assumption for the cost of capital in India, not an estimate for this company. Read the sign and size of the gap, not the decimals. Negative: growth at these returns loses value until returns improve.

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.

Varmora Granito Ltd had ₹297 Cr of borrowings against ₹799 Cr of equity in FY26, so its debt is 0.37× its equity. Its operating profit is 5 times its interest bill. Over 5 years borrowings went from ₹68.0 Cr to ₹297 Cr. Over the last 3 of those years it spent ₹528 Cr on assets.

Part of the spending on assets is being paid for with borrowed money.

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.

No group of Varmora Granito Ltd's owners changed its stake by a full percentage point over the last two years. This uses the four owner groups that companies report every quarter; nothing is guessed between filings.

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 Varmora Granito Ltd, the Z-score is 1.75. A Z-score above about 3 is safe and below about 1.8 signals danger, so this is in the danger zone. It estimates how far the balance sheet is from trouble; it is not a forecast of failure.

🚨 Why it matters: a Z-score of 1.75 is inside the danger zone, so the balance sheet is a real risk.

Frequently asked questions