Altman Z″
Needs current assets and current liabilities.
MILLWORKS · Engineering · INE1SRC01010
Analyst mean 0.00 · 0 analysts · 0% bullishThis 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.
Millworks Technologies Limited is a precision engineering company that manufactures machined components, sheet metal parts, and integrated assemblies for mission-critical applications. The company caters to Original Equipment Manufacturers (OEMs) in the railways, aerospace, defence, and semiconductor sectors. Operations are executed through Build-to-Print (BTP) and Build-to-Spec (BTS) engagement models, accommodating both full-scope manufacturing and job-work arrangements. The company operates four manufacturing facilities in Bengaluru, Karnataka, equipped with CNC machining centres, turning and turn-mill centres, wire EDM machines, and fibre laser cutting systems. The installed capacity across these units for Fiscal 2026 was 3,83,019 hours, achieving capacity utilization rates ranging from 72.90% to 77.16%. Delivery reaches customers either directly or, in the case of certain defence drones, via a 'bill-to-ship-to' model utilizing business partners for integration and final delivery.
A precision engineering company manufacturing machined components, sheet metal parts, and integrated assemblies for mission-critical applications across the railways, aerospace, defence, and semiconductor sectors.
Source: p.120
The comparable set the company chose, which is itself a disclosure.
| Name | Margin | Pb | Pe | Roe | Source |
|---|---|---|---|---|---|
| Unimech Aerospace and Manufacturing Ltd | 87.87 | 8.58 | p.94 | ||
| Azad Engineering Ltd | 96.45 | 8.74 | p.94 | ||
| Our Company | 44.83 | p.94 |
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 |
|---|---|---|---|---|---|---|---|
| standalone | FY26 | 37.0639 | 56.3043 | 24.91% | 148.767 | yes | |
| standalone | FY25 | 2.042 | 5.249 | 7.8861 | 23.75% | 22.1001 | yes |
| standalone | FY24 | 1.9541 | 2.7764 | 20.82% | 9.386 | yes |
Written before listing, answered from the document itself.
How are the IPO funds being deployed?
Rs 81.50 Cr to working capital (the largest single use), Rs 61.03 Cr to plant and machinery, and the balance to general corporate purposes. It is a 100% fresh issue; promoters are not selling.
p.82
What did insiders pay, and when?
Promoters subscribed at Rs 10 per share in November 2021. A bonus issue in the ratio of 200:1 on 15 December 2025 substantially reduced their effective per-share cost. Outside investors were allotted at Rs 470 per share on 23 January 2026, about five weeks before the offer opened.
p.70-72
What flows to promoter-owned entities?
Materially. V3 Technologies — a promoter-group entity and a shareholder — leases the office and manufacturing unit to the Company, supplies labour and job-work, buys from the Company, and runs two-way unsecured loans with it. Directors also have unsecured loans to and from the Company in both directions.
p.647
Did the profit become cash?
No. Against FY26 PAT of Rs 37.06 Cr, operating cash flow was Rs -10.76 Cr, because trade receivables rose to Rs 138.69 Cr — roughly 340 days of sales, nearly a full year's revenue uncollected.
p. 495-516, 636, 647
What does listing on the SME platform mean for me as an investor?
Standing context for every SME issue: a lot size of roughly Rs 1-1.5 lakh means retail cannot diversify across issues; post-listing price moves are bounded by circuit filters; liquidity depends substantially on the designated market maker (Pace Stock Broking Services Private Limited); and the free float is thin.
p.2, p.11, p.30, p.68, p.80
What the issue priced at, on the figures in the document.
| Date | Name | Shares | Price per share | Category | Issue type | Source |
|---|---|---|---|---|---|---|
| 2021-11-01 | Sridhar Acharya | 12500 | 10 | promoter | initial | p.70 |
| 2021-11-01 | H K Madhu | 12500 | 10 | promoter | initial | p.70 |
| 2021-11-01 | Sowmya Madhu | 12500 | 10 | promoter | initial | p.70 |
| 2021-11-01 | Rashmi Sridhar Acharya | 12500 | 10 | promoter | initial | p.70 |
| 2024-10-22 | Amandeep Singh Dhanjal | 50 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Vipula Shailesh Bhansali | 20 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Jitendra Mohan Katramal | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Nirmala Jitendra Katramal | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Jhanvi Jitendra Katramal | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Nidhi Sagar Bhanushali | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Mahesh Purushottam Bhanushali | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Jyotsna Mahesh Bhanushali | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Sagar Purushottam Bhanushali | 23 | 19010 | other | preferential | p.70 |
| 2024-10-22 | Premal Aarikh M (Karta Representing Premal Aarikh HUF) | 100 | 19010 | other | preferential | p.70 |
Numbered markers are corporate actions and, once the filings are read, capital and governance events. Prices are split-adjusted so the series is continuous.
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 ₹-11 cr against trailing net profit ₹37 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 ₹-19 cr, negative in 4 of 4 years. Check whether the burn funds expansion (dark stores, plants, ports) or merely sustains operations.
Borrowings rose 240% over two years while the company also carries ₹6 cr in investments. Why borrow at interest while parking money elsewhere is a fair question.
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.
Borrowings moved to ₹17 cr from ₹5 cr. Simultaneous large investments can be legitimate treasury management, or a sign that reported cash is not freely available.
Debt rose over 3 years, and most of it (180%) has turned into fixed assets and projects under construction — the borrowing is building the business.
Why this reading: A positive signal: leverage taken on is visibly becoming productive capacity, not disappearing.
New borrowing ₹15 cr largely matched by an asset build of ₹27 cr. Debt that funds capacity is a different thing from debt that funds nothing.
ROE of 53% breaks into a 24.2% net margin, 0.92x asset turnover, and 2.39x leverage.
Why this reading: Surfaced for context, not as a concern — it only becomes meaningful if it persists or pairs with other signals.
ROE 53% = net margin 24.2% × asset turnover 0.92x × equity multiplier 2.39x. Reading ROE through its three drivers shows whether returns are built on pricing power (margin), capital efficiency (turnover), or borrowing (leverage).
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 40.3% of assets. Free cash flow negative in 4 of 4 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.
cumulative operating cash flow ÷ cumulative net profit
₹-15 cr ÷ ₹44 cr, over 4 years
-0.34×
Below 1.0 and persistent means profit is being recognised before the cash arrives.(net profit − operating cash flow) ÷ average total assets
(₹37 − ₹-11) cr ÷ average assets
40.3%
The share of profit that is accounting entries rather than cash. Above ~10% is where accruals start to dominate.net margin × asset turnover × leverage
24.8% × 0.75 × 2.39
44.6%
Splits ROE into whether returns come from operations or from borrowing.EBIT ÷ finance cost
₹53 cr ÷ ₹3 cr
17.67×
How many times operating profit covers the interest bill.borrowings ÷ net worth
₹17 cr ÷ ₹83 cr
0.20×
Read against the sector — infrastructure carries more than software.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.
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.
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 47.18% to 47.18% across these quarters.
FII held steady from 2.55% to 2.55% across these quarters.
MF held steady from 0.35% to 0.35% across these quarters.
Other held steady from 49.92% to 49.92% 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 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|
| Debtor days
How long customers take to pay | 142 | 73 | 112 | 340 |
| Inventory days
How long stock sits before it sells | 2,205 | 813 | 491 | 55 |
| Payable days
How long the company takes to pay suppliers | 1,278 | 448 | 286 | 349 |
| Cash conversion cycle
Debtor + inventory − payable days | 1,070 | 438 | 318 | 47 |
| Working capital days | -16 | -14 | 132 | 111 |
| ROCE %
Return on capital employed | — | 56.0% | 39.0% | 81.0% |
The shape of the business over time (annual) — read the direction, not the single print.
| Line | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
| Revenue from operations | 0 | 2 | 9 | 22 | 149 |
| Other income | 0 | 0 | 0 | 0 | 5 |
| Depreciation | 0 | 0 | 0 | 0 | 3 |
| Finance cost | 0 | 0 | 0 | 1 | 3 |
| Profit before tax | 0 | 0 | 2 | 7 | 50 |
| Net profit (owners) | 0 | 0 | 2 | 5 | 37 |
| EPS (₹) | 0.00 | 66.00 | 390.00 | 898.97 | 29.02 |
Exceptional items, total income and EBITDA are read from the filed statements.
| Item | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|
| Equity Capital | 0 | 0 | 0 | 13 |
| Reserves | 0 | 2 | 23 | 70 |
| Borrowings | 2 | 5 | 10 | 17 |
| Net block | 0 | 2 | 13 | 25 |
| CWIP | 0 | 1 | 2 | 2 |
| Investments | 0 | 0 | 0 | 6 |
| Total Assets | 4 | 11 | 40 | 198 |
| Line | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|
| Cash from operations | -2 | 1 | -3 | -11 |
| Cash from investing | 0 | -3 | -10 | -16 |
| Cash from financing | 2 | 2 | 13 | 27 |
| Free cash flow | -2 | -2 | -12 | -19 |
| Net change in cash | 0 | 0 | 1 | 0 |
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.