Altman Z″
Needs current assets and current liabilities.
This company listed within the last twelve months, so its prospectus is still the primary source. The figures below were extracted from the DRHP and RHP before listing and scored then, and they are shown here as they stand in the IPO record rather than restated.
Each flag is a fact read in the filing, shown with the context that makes it meaningful.
Stated objects, as worded in the offer document. Deployment against them is tracked separately.
Claims made in the offer document, to be read against what the company has reported since.
Gulf Lloyds (India) Limited provides third-party quality inspection, verification, audit, and certification services across various industries including oil and gas, retail, manufacturing, infrastructure, food, pharmaceutical, consumer products, energy, textile, construction, refinery, power plants, aerospace, and electrical & electronics. The company operates in the service industry and does not require conventional raw materials. Its operations depend on the technical expertise of its personnel, which includes 584 regular inspection engineers and 68 freelance inspection engineers out of a total 715 employees. The company operates from multiple leased premises situated at Gala Empire, Thaltej, Ahmedabad. To offer testing and training services in-house, the company incorporated a subsidiary and has entered into MOUs with NABL-accredited laboratories for testing activities. It acquires business from top domestic and export clients, with the top 10 customers contributing 73.93% of revenue from operations in Fiscal 2026.
Gulf Lloyds (India) Limited carries on the business of third-party quality inspection, audit and certification services to all type and size of industries and industrial sectors.
Source: p.280, p.281, p.282, p.283, p.290, p.296, p.387
As presented in the offer document. Post-listing figures are in the statements above.
| Basis | Period | Related party revenue cr | Pat cr | Ebitda cr | Pat margin | Revenue cr | Pat margin derived |
|---|---|---|---|---|---|---|---|
| consolidated FLAG: basis differs from previous years | FY26 | 4.3029 | 7.9039 | 12.06% | 35.6794 | yes | |
| standalone | FY25 | 4.668 | 7.6645 | 13.11% | 35.6082 | yes | |
| standalone | FY24 | 1.6775 | 2.9651 | 7.21% | 23.2599 | yes |
Written before listing, answered from the document itself.
How are the IPO funds being deployed?
The Rs 18.19 Cr fresh issue will primarily fund working capital (Rs 7.15 Cr), capital expenditure for office premises (Rs 3.71 Cr), and repayment of unsecured loans (Rs 3.00 Cr).
p.216
Who are the promoters and what is their holding?
The promoters are Jaykumar Bhagirathkumar Bhavsar, Bhagirath Punjalal Bhavsar, Anitaben Bhagirathkumar Bhavsar, and Shivaniben Jaykumar Bhavsar. They will hold 72.88% post-issue, and their average cost of acquisition is highly diluted and near zero due to a massive bonus issue in May 2025.
p.174, p.177, p.184, p.194
Are there material related party transactions extracting value?
Yes. The company engages in heavy unsecured borrowing and lending with its directors and has notably given capital advances to multiple directors specifically for property purchases. It also pays rent to its directors.
p. 130, p. 131, p. 132, p. 436, p. 437
Does the company's cash flow match its reported profits?
No. In FY26, the company reported a PAT of Rs 4.30 Cr but generated negative operating cash flows of Rs -1.37 Cr. This decay was exacerbated by trade receivables climbing to Rs 15.56 Cr.
p. 116-126, 212-213, 329-331, 335-337, 340-345, 411, 466-468, 474-475
What structural market risks apply to this issue?
As an SME IPO, it carries a standing context of a strict minimum investment lot size (1200 shares), mandatory 5% circuit filters, high dependence on the designated market maker (Prabhat Financial Services Limited) for liquidity, and an inherently thin free float.
p.2, p.8, p.11, p.43, p.124, p.148, p.154
What the issue priced at, on the figures in the document.
| Date | Name | Shares | Price per share | Category | Issue type | Source |
|---|---|---|---|---|---|---|
| 2014-09-26 | Jaykumar Bhagirathkumar Bhavsar | 3000 | 10 | promoter | initial | p.174 |
| 2014-09-26 | Bhagirath Punjalal Bhavsar | 4000 | 10 | promoter | initial | p.174 |
| 2014-09-26 | Anitaben Bhagirathkumar Bhavsar | 3000 | 10 | promoter | initial | p.174 |
| 2016-03-04 | Jaykumar Bhavsar | 300 | 10 | promoter | transfer | p.190 |
| 2016-03-04 | Anitaben Bhavsar | 300 | 10 | promoter | transfer | p.192 |
| 2024-12-03 | Shivaniben Bhavsar | 5 | 5000 | promoter | transfer | p.192, p.193 |
| 2024-12-03 | Ashokkumar Bhavsar | 3 | 5000 | promoter group | transfer | p.192 |
| 2024-12-03 | Nimisha Bhavsar | 3 | 5000 | promoter group | transfer | p.192 |
| 2024-12-03 | Akash Dhobi | 3 | 5000 | other | transfer | p.192 |
| 2024-12-03 | Shivam Shah | 3 | 5000 | other | transfer | p.193 |
| 2025-05-12 | Jaykumar Bhagirathkumar Bhavsar | 1617000 | promoter | bonus | p.177 | |
| 2025-05-12 | Bhagirath Punjalal Bhavsar | 1666000 | promoter | bonus | p.177 | |
| 2025-05-12 | Anitaben Bhagirathkumar Bhavsar | 1608670 | promoter | bonus | p.177 | |
| 2025-05-12 | Shivaniben Jaykumar Bhavsar | 2450 | promoter | bonus | p.177 |
How to read this: Price shows the closing price with its 50-day (amber) and 200-day (grey) averages; bars at the bottom are daily volume, green on up days and red on down days; dashed lines mark the 52-week high and low. vs Nifty 50 starts both at 100 so you can see which did better over the period. P/E shows what the market paid for each rupee of profit, inside the band it usually trades in. Drawdown shows how far below its best price the share has been. Hover anywhere for the numbers on that day.
What the numbers mean when read together — computed from the filings, not a score.
The business reported a profit, yet its operations drained cash rather than generating it. Profit that comes with negative operating cash is the single most important thing to understand here.
Why this reading: Flagged on a single year deliberately: negative operating cash alongside a reported profit is plain, material, and hard to explain benignly — exactly the kind of obvious signal that should never be smoothed over.
Operating cash flow ₹-41 cr against trailing net profit ₹40 cr. When operations consume cash while the P&L shows profit, ask whether receivables are ballooning, revenue is booked ahead of collection, or costs are being capitalised.
Free cash flow is negative — the business consumes more than it generates once capex is paid. Fine if it is deliberate growth investment; a problem if it is structural.
Why this reading: Noted with caution — worth watching, but not yet conclusive on its own. Business has ups and downs; one soft reading is not a verdict.
Latest free cash flow ₹-69 cr, negative in 4 of 6 years. Check whether the burn funds expansion (dark stores, plants, ports) or merely sustains operations.
Capital work-in-progress has stayed high (155% of fixed assets) without converting to productive assets — worth checking whether projects are genuinely progressing.
Why this reading: Noted with caution — worth watching, but not yet conclusive on its own. Business has ups and downs; one soft reading is not a verdict.
CWIP ₹76 cr vs ₹23 cr two years earlier, against fixed assets ₹49 cr. Perennial CWIP that never becomes a fixed asset can hide stalled projects or capitalised costs that should have been expensed.
Both revenue and profit grew over the last year (5.6% and 13.4%) — growth is translating to the bottom line.
Why this reading: A positive signal in the numbers, shown for balance alongside the concerns.
Trailing revenue ₹684 cr, trailing profit ₹39 cr. Profit growing at least as fast as revenue indicates operating leverage or pricing power.
Net margin improved from 3.3% to 5.7% year-on-year — the business is keeping more of each rupee.
Why this reading: A positive signal in the numbers, shown for balance alongside the concerns.
Quarter net margin 5.7% vs 3.3% four quarters earlier. Expansion from operating leverage is healthy; verify it is not a one-off gain.
Every score below is calculated here from the reported numbers — none of it is asserted. Open the notebook at the foot of the section to see each formula with this company's figures in it.
Needs current assets and current liabilities.
Piotroski F-Score — fundamental momentum — Joseph Piotroski, University of Chicago, 2000, in a study of whether accounting signals could improve returns among cheap stocks.
Nine yes-or-no tests across profitability, leverage and operating efficiency. Each pass scores one. It asks a narrow question: is this business getting better or worse on its own terms, year over year?
How to read it7 or more suggests improving fundamentals; 3 or fewer suggests deterioration. It measures direction, not quality — a weak company improving can score higher than a strong one holding steady.
Where it failsA single year of comparison, so one unusual year distorts it. Says nothing about valuation, competitive position or management. Piotroski designed it to rank already-cheap stocks, not to judge a company in isolation.
Needs trade receivables, current assets, other expenses.
Accruals are 10.7% of assets. Free cash flow negative in 4 of 6 years.
DuPont decomposition — Devised inside the DuPont Corporation in the 1920s and still the standard way to read a return on equity.
Splits return on equity into its three sources, so the same headline number can be traced to very different businesses.
How to read itA 20% ROE built on margin and turnover is a different proposition from a 20% ROE built on 3× leverage. The first survives a downturn; the second amplifies it.
Where it failsA single year. Negative equity makes it meaningless. Leverage is structural for lenders, so the third term carries no signal there.
Capital and revenue are growing at broadly similar rates — the asset base is being used, not just added to.
cumulative operating cash flow ÷ cumulative net profit
₹-47 cr ÷ ₹169 cr, over 6 years
-0.28×
Below 1.0 and persistent means profit is being recognised before the cash arrives.(net profit − operating cash flow) ÷ average total assets
(₹40 − ₹-41) cr ÷ average assets
10.7%
The share of profit that is accounting entries rather than cash. Above ~10% is where accruals start to dominate.net margin × asset turnover × leverage
5.7% × 0.86 × 1.79
8.7%
Splits ROE into whether returns come from operations or from borrowing.EBIT ÷ finance cost
₹70 cr ÷ ₹17 cr
4.12×
How many times operating profit covers the interest bill.borrowings ÷ net worth
₹183 cr ÷ ₹459 cr
0.40×
Read against the sector — infrastructure carries more than software.growth in fixed assets + CWIP, against growth in revenue
capital +60% vs revenue +28%, FY2023 to FY2026
32pp gap
Money going in far faster than revenue coming out. For an incubator this is expected — the test is whether it eventually converts.Needs more balance-sheet detail (only 3 of 6 flags testable).
NOPAT over equity plus debt less cash, at a notional 25% tax. Incremental ROIC is the return on money put in since then — the number that decides whether growth creates value or consumes it.
Return on invested capital, and incremental ROIC — Standard in corporate finance; the incremental form was popularised by Michael Mauboussin as the test of whether growth creates value.
ROIC measures what the business earns on all the capital it employs — equity plus debt, less cash. Incremental ROIC asks a sharper question: what has it earned on the money put in since a chosen year?
How to read itROIC comfortably above the cost of capital — call it 11–13% in India — means growth compounds. Below it, growth consumes. Incremental below headline means recent investment is earning less than the legacy business.
Where it failsDistorted in the year of a large acquisition. Understated for companies mid-build, where capital is deployed but capacity has not yet been commissioned — an incubator will look poor until it does not.
Read downward. Cash can cover EBITDA and still not survive capex — the third rung is where a capital-hungry business shows itself.
The earnings quality ladder — Not a named model — the standard sequence an analyst walks when testing whether reported profit is real.
Three ratios read in order, each stricter than the last.
How to read itRead downward. Each rung failing where the one above passed tells you exactly where the cash is going.
Where it failsA single year of heavy capex depresses the third rung legitimately. Judge it across a cycle.
Against a policy rate near 6%, most sound Indian corporates borrow between 7% and 10%.
Cost of debt — Interest expense over average borrowings — the effective rate the company actually pays.
What the lenders charge, which is a market verdict on credit quality that no rating agency delay affects.
How to read itAgainst a policy rate near 6%, most sound Indian corporates borrow between 7% and 10%. Read the direction over years as much as the level.
Where it failsUnderstated where a large share of interest is capitalised into projects under construction. Not meaningful for lenders, where interest is cost of goods.
Models that need these lines are withheld rather than estimated: net worth, current assets, current liabilities, trade receivables, inventory, net block. Nothing on this page is back-solved from a figure the company did not publish.
Each framework below is a set of stated, mechanical criteria from published work, run against this company's own filed numbers. Passing or failing a screen is not a verdict — different frameworks disagree by design, and that disagreement is itself informative.
Benjamin Graham's stated criteria for a defensive stock, applied to the filed numbers. A company failing several is not disqualified — Graham designed these to be deliberately strict.
Two ratios only: what the business earns on its capital, and what you pay for those earnings. Designed to be ranked across a universe rather than read in isolation.
The fundamental half of William O'Neil's framework. The market and leadership components are judgement calls and are not scored here.
The characteristics long-term holders commonly look for: cash-backed earnings, high returns on capital, and debt that never forces a decision.
Median of the companies we hold in the same sector (Not specified). Every figure on both sides is the live feed's trailing twelve months, so the two are measured the same way whatever depth of extraction this company has had. A number only means something next to something else — expensive against the market and cheap against peers are different facts.
Bars are revenue; the line is net margin. Revenue rising while the line falls is the shape worth noticing.
Operating cash first, then what the business spent and raised.
One year is a snapshot. These are the two lines that matter across a cycle.
Rising debtor or inventory days against flat sales is the earliest visible sign of stress.
Set your own assumptions and watch the numbers move. A scenario calculator — the outputs are the arithmetic of your inputs.
One canonical set of figures — the same numbers used everywhere else on this page and on the screener.
How the register has moved over recent quarters — the direction matters more than the level.
Promoter held steady from 69.05% to 69.05% across these quarters.
FII trimmed from 0.41% to 0.23% across these quarters.
Other rose from 30.54% to 30.72% across these quarters.
Where cash gets stuck. A rising inventory or debtor line against flat sales is the earliest sign of trouble in the numbers.
| Measure | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Debtor days
How long customers take to pay | 97 | 115 | 117 | 146 | 138 | 125 |
| Inventory days
How long stock sits before it sells | 205 | 167 | 201 | 195 | 260 | 258 |
| Payable days
How long the company takes to pay suppliers | 138 | 111 | 79 | 109 | 129 | 96 |
| Cash conversion cycle
Debtor + inventory − payable days | 164 | 171 | 239 | 232 | 268 | 286 |
| Working capital days | 62 | 86 | 91 | 111 | 114 | 158 |
| ROCE %
Return on capital employed | — | 16.0% | 12.0% | 13.0% | 13.0% | 12.0% |
The shape of the business over time (annual) — read the direction, not the single print.
| Line | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Revenue from operations | 443 | 486 | 550 | 552 | 590 | 705 |
| Other income | 2 | 4 | 3 | 0 | 5 | 8 |
| Depreciation | 6 | 8 | 10 | 10 | 11 | 11 |
| Finance cost | 5 | 6 | 12 | 13 | 15 | 17 |
| Profit before tax | 30 | 36 | 30 | 36 | 45 | 53 |
| Net profit (owners) | 22 | 26 | 22 | 28 | 31 | 40 |
| EPS (₹) | 9.48 | 11.25 | 9.53 | 12.00 | 6.45 | 6.33 |
Exceptional items, total income and EBITDA are read from the filed statements.
| Metric | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 139 | 132 | 233 | 99 | 126 | 189 | 248 | 116 | 151 | 169 |
| Other Income | 3 | 2 | 1 | 1 | 2 | 1 | 2 | 3 | 2 | 1 |
| Expenses | 119 | 126 | 205 | 89 | 105 | 179 | 216 | 104 | 130 | 159 |
| Depreciation | 3 | 2 | 3 | 2 | 3 | 2 | 3 | 3 | 4 | 3 |
| Finance cost | 3 | 3 | 3 | 4 | 4 | 4 | 5 | 4 | 4 | 5 |
| Profit before tax | 18 | 2 | 23 | 5 | 15 | 5 | 27 | 7 | 14 | 3 |
| Net Profit | 13 | 1 | 17 | 4 | 10 | 4 | 21 | 4 | 12 | 2 |
| EPS | 5.50 | 0.28 | 3.42 | 0.75 | 2.01 | 0.79 | 3.27 | 0.61 | 1.84 | 0.38 |
| Item | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Equity Capital | 24 | 24 | 24 | 24 | 49 | 63 |
| Reserves | 130 | 157 | 180 | 208 | 226 | 396 |
| Borrowings | 79 | 102 | 195 | 159 | 227 | 183 |
| Net block | 51 | 53 | 69 | 48 | 47 | 49 |
| CWIP | 6 | 9 | 9 | 23 | 58 | 76 |
| Investments | 3 | 0 | 0 | 0 | 0 | 12 |
| Total Assets | 411 | 421 | 519 | 544 | 690 | 823 |
| Line | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Cash from operations | 20 | -7 | -57 | 53 | -15 | -41 |
| Cash from investing | -10 | -10 | -19 | -5 | -40 | -37 |
| Cash from financing | -9 | 16 | 75 | -49 | 61 | 80 |
| Free cash flow | 10 | -19 | -77 | 47 | -55 | -69 |
| Net change in cash | 1 | -1 | -1 | -1 | 7 | 3 |
Cash from operations is the number profit has to answer to. Free cash flow is what remains after the business pays for its own growth.
These are coverage counts, not ratings. Each one asks a fixed set of questions of the filings and reports how many the company answered. A company that discloses nothing counts nothing here — that is a statement about the disclosure, not about the business.
The same read, applied to the companies this one competes with.
Gulf Lloyds (India) reported revenue of ₹169 cr for April to June 2026, −11.0% on the year and +11.8% on the quarter. Over the last four quarters revenue comes to ₹684 cr, +5.6% on the four before.
Operating profit (EBITDA) was ₹9.6 cr, a margin of 5.7%, +42 bps on the year and −784 bps on the quarter. Over the last 8 quarters the margin has ranged from 5.2% to 16.5%, averaging 10.7%. Operating costs grew −11.4% against revenue growth of −11.0%, so more of each rupee of sales reached operating profit.
Net profit was ₹2.4 cr, −37.7% on the year and −79.2% on the quarter, with earnings per share of ₹0.38. Profit before other income, one-offs and tax fell 39.1%, so the profit growth came from the business itself. The tax rate was 23% against an average of 28% over the previous 8 quarters, which lifted profit this quarter. Profit over the last four quarters totals ₹38.6 cr, +13.4% on the four before.
On earnings per share of ₹6.10 over the last four quarters, the stock at ₹60.73 trades at 10.0 times trailing earnings.
Written from the quarterly statements. The filing read adds the balance sheet and cash flow, the auditor's review, segment results, one-off items line by line and what management said on the call.
No check fired. That is a statement about the checks below, not a verdict on the company.
Could not run on this quarter: Exceptional items that recur, Cash behind the profit, Receivables against sales, Inventory against sales, Borrowing while holding cash, Auditor's review or audit report, IPO money used as stated, Related-party transactions, Exits, postponements, restatements, Promoter pledges and allotments, Earlier promises against delivery, When the results were filed. Most need the filing read (balance sheet, cash flow, auditor, disclosures).
Net profit a year ago, each driver's change, and net profit now. Blue added profit, red took it away.
FinMinutes scored the offer document 58/100 before listing. 0 quarters of numbers since. Promise against delivery
| Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹139 cr | ₹132 cr | ₹233 cr | ₹99.2 cr | ₹126 cr | ₹189 cr | ₹248 cr | ₹116 cr | ₹151 cr | ₹169 cr |
| YoY | — | — | — | — | −9% | +43% | +7% | +17% | +19% | −11% |
| EBITDA margin | 14.6% | 4.5% | 11.8% | 10.1% | 16.5% | 5.2% | 12.9% | 10.1% | 13.5% | 5.7% |
| Other income, % of PBT | 19% | 83% | 5% | 14% | 13% | 20% | 9% | 37% | 12% | 28% |
| Exceptional items | — | — | — | — | — | — | — | — | — | — |
| Tax rate | 28% | 34% | 27% | 21% | 35% | 17% | 24% | 48% | 17% | 23% |
| Net profit | ₹12.9 cr | ₹1.4 cr | ₹16.7 cr | ₹3.7 cr | ₹9.8 cr | ₹3.9 cr | ₹20.7 cr | ₹3.9 cr | ₹11.6 cr | ₹2.4 cr |
| YoY | — | — | — | — | −24% | +187% | +24% | +5% | +18% | −38% |
| Core profit YoY | — | — | — | — | −8% | +991% | +15% | +18% | −7% | −39% |
| EPS | ₹5.50 | ₹0.28 | ₹3.42 | ₹0.75 | ₹2.01 | ₹0.79 | ₹3.27 | ₹0.61 | ₹1.84 | ₹0.38 |
| Flags | · | 1 | · | · | ✓ | 1 | ✓ | 1 | 3 | ✓ |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.