Altman Z″
Needs current assets and current liabilities.
SUNSHINE · Film Production · INE1B3O01011
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.
Incorporated in 2007, Sunshine Pictures Limited is a well-established Indian entertainment production house led by seasoned filmmaker Vipul Amrutlal Shah and Whole-Time Director Shefali Vipul Shah. The company specializes in multi-format commercial and socially relevant media content, having produced thirteen commercial films, two web series, three television serials, and one short commercial film since its inception. Notable standalone blockbuster productions include 'The Kerala Story' and its debut hit 'Force', alongside prominent co-productions such as 'Holiday: A soldier is never off duty' and 'Commando: A One-Man Army'. Headquartered in Mumbai, Maharashtra, the company implements a digitized workflow spanning script development, pre-production planning, and in-house editing, while outsourcing specialized post-production services like VFX and sound. Sunshine Pictures utilizes a de-risked business model by maintaining a balanced portfolio of co-produced content with reputable studios (ensuring contractually guaranteed fees) and sole productions (enabling full IP ownership and high-upside theatrical/OTT revenues). It has expanded its reach into digital music and original web shows via 'Sunshine Music' and 'Sunshine Digital (Originals)' channels, with a strong social media presence of over 196,000 YouTube subscribers and millions of views.
Sunshine Pictures' competitive edge is grounded in its de-risked dual production strategy, which balances co-productions (reducing financial risk through studio partnerships and fixed-fee structures) with standalone productions (maximizing upside and ensuring total intellectual property ownership). This model is supported by a robust creative ecosystem and deep industry relationships led by Vipul Amrutlal Shah, enabling partnerships with top-tier movie stars under profit-sharing contracts rather than high upfront cash fees. Additionally, its established track record and expansion into digital verticals (such as Sunshine Music and Sunshine Digital Originals) provide steady incremental monetization of existing and newly generated IP.
Sunshine Pictures Limited is an Indian media and entertainment production house engaged in the business of originating, developing, producing, marketing, and distributing feature films, television programmes, web shows, and other audio-visual content. The company generates revenues primarily through theatrical releases, OTT platform streaming deals, and downstream monetization of associated rights.
Source: p. 180, 196-198
Where the revenue came from, as the document splits it.
| Name | Pct | Source |
|---|---|---|
| Production and distribution of Films and associated rights | 89.68 | p. 32, 184 |
| Production and distribution of web series/TV serials and associated rights | 1.32 | p. 32, 184 |
| Others (music rights, talent management, social media) | 8.99 | p. 32, 184 |
According to the D&B Report, the Indian Media and Entertainment (M&E) sector recorded substantial growth of 9.1% y-o-y to reach ₹2.78 trillion in CY2025 (up from ₹2.55 trillion in CY2024), driven primarily by digital media transformation, rising smartphone penetration, and vernacular content demand. Within this sector, the Indian film entertainment segment reached a market size of ₹205 billion in CY2025, expanding at a CAGR of approximately 6% since CY2022. Domestic theatrical revenues continue to dominate the film industry with a 64% market share (valued at ₹130 billion in CY2025), while digital and OTT rights have emerged as a significant secondary stream, capturing 14% of the market share (valued at ₹29 billion).
Growth rate: 9.1% YoY (CY2024 to CY2025) and projected 6% CAGR (CY2025 to CY2028P) for the M&E sector
Market size: ₹2.78 trillion (Indian Media & Entertainment Industry Market Size, CY2025)
Sector slug: media-and-entertainment
Source: p. 143, 144, 152
The comparable set the company chose, which is itself a disclosure.
| Name | Margin | Pb | Pe | Roe | Source |
|---|---|---|---|---|---|
| Panorama Studios International Ltd | 81 | p. 120 | |||
| Baweja Studios Limited | 8.68 | p. 120 | |||
| Balaji Telefilms Limited | p. 120 |
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 | 40.0224 | 58.5481 | 53.77% | 74.4367 | yes | |
| consolidated | FY25 | 34.4646 | 50.7578 | 33.35% | 103.3301 | yes | |
| consolidated | FY24 | 53.349 | 73.9729 | 39.87% | 133.798 | yes |
Written before listing, answered from the document itself.
Where is the money going?
The net proceeds from the public offer are entirely directed toward funding the working capital requirements of the Company (₹112.50 crore) and general corporate purposes.
p. 107
How concentrated is the customer base?
The customer base is highly concentrated, with the Company deriving a major portion of its operating revenues from its top 5 customers, which primarily comprise reputed film studios and independent distributors.
p. 14, 29, 35
Is it profitable and growing?
Yes. Standing as a standalone entity in FY26, the Company reported revenue from operations of ₹74.44 crore (compared to consolidated revenues of ₹103.33 crore in FY25 and ₹133.80 crore in FY24) and standalone PAT of ₹40.02 crore, representing an EBITDA margin of 78.65% and a net profit margin of 53.77% in FY26.
p. 32, 179
What sits in the footnotes / contingent liabilities?
Contingent liabilities as of March 31, 2026 total ₹31.73 crore, consisting of a ₹18.82 crore disputed income tax assessment under appeal u/s 147 for AY 2020-21, and a ₹12.90 crore disputed service tax demand under appeal before the CESTAT. Footnote disclosures also highlight: (i) an active criminal complaint filed by the Assistant ROC, Mumbai against the Company and its promoters; (ii) a pending High Court writ petition challenging the CBFC certification and OTT release of 'The Kerala Story 2'; and (iii) untraceable work experience records for independent director Paresh Ganatra, for which a police FIR was registered.
p. 44, 48, 49, 75, 234, 305, 359
What the issue priced at, on the figures in the document.
Ronw: 27.58%
The company has compared itself with listed industry peers namely Panorama Studios International Ltd, Baweja Studios Limited, and Balaji Telefilms Limited, which operate in the media and entertainment segment.
Source: p. 118, 120, 121
| Date | Name | Shares | Price per share | Category | Source |
|---|---|---|---|---|---|
| 2009-04-17 | Cinema Capital Venture Fund (Gopi Krishan Arora and Urmila Gupta, Trustees) | 18750 | 21333.34 | financial investor | p. 90 |
| 2011-02-10 | Cinema Capital Venture Fund (Maj. Gen (Retd) Urmila Gupta, Trustee) | 33750 | 10 | financial investor | p. 90 |
| 2018-10-26 | Vipul Amrutlal Shah (Transfer from Cinema Capital Contributory Company Private Limited) | 33750 | 10 | promoter | p. 90 |
| 2018-10-26 | Vipul Amrutlal Shah (Transfer from Cinema Capital Contributory Company Private Limited) | 6550 | 1496.67 | promoter | p. 94 |
| 2018-10-26 | Vipul Amrutlal Shah (Transfer from Cinema Capital Contributory Company Private Limited) | 10300 | 1496.67 | promoter | p. 94 |
| 2018-10-26 | Shefali Vipul Shah (Transfer from Cinema Capital Contributory Company Private Limited) | 1900 | 1496.67 | promoter | p. 94 |
| 2024-12-24 | Vipul Amrutlal Shah (Transfer from Aryaman Vipul Shah) | 2500 | 400 | promoter | p. 101 |
| 2024-12-24 | Vipul Amrutlal Shah (Transfer from Maurya Vipul Shah) | 2500 | 400 | promoter | p. 101 |
Ceo: Vipul Amrutlal Shah (Chairman and Managing Director)
Outstanding tax proceedings against the Company consist of 6 direct tax cases involving ₹18.83 crore and 2 indirect tax cases involving ₹12.92 crore, totaling ₹31.74 crore. Direct tax proceedings against directors total 9 cases involving ₹0.61 crore, and direct tax proceedings against promoters total 4 cases involving ₹0.73 crore. Additionally, 1 criminal proceeding against the Company and its promoters (Vipul Amrutlal Shah, Shefali Vipul Shah) is outstanding, initiated by the Assistant ROC, Mumbai.
Auditor name: M/s Satyanarayan Goyal & Co. LLP
Promoters collectively hold 99.99% (2,63,45,968 Equity Shares) of the pre-Offer paid-up Equity Share capital, with nil promoter shares pledged or encumbered.
Statutory auditors issued an unmodified opinion on the Restated Financial Information but drew attention via an Emphasis of Matter to a holdback period non-compliance on March 27, 2026, where the Company signed a digital rights assignment agreement with Zee Entertainment during an active 8-week theatrical holdback period for 'The Kerala Story 2 Goes Beyond'.
Yes. Sunil Karda resigned as statutory auditor on August 14, 2024, due to pre-occupation, and was subsequently appointed as Chief Financial Officer of the Company on September 20, 2024. M/s Satyanarayan Goyal & Co. LLP was appointed as statutory auditor on September 30, 2024.
Source: p. 8, 32, 41-42, 75, 78, 83, 99, 100, 230, 242-243, 245, 255-256, 359, 362-364
A change between the two filings is a disclosure in itself.
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 ₹-33 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.
Borrowings rose 50% over 3 years, but only about -167% of the new debt shows up as productive assets — worth understanding what the rest funded.
Why this reading: Kept at caution rather than flagged: the disproportion is real but not extreme, and part of the borrowing may fund working capital or intangibles that this view doesn't capture.
New borrowing ₹3 cr against an asset build of ₹-5 cr. Some gap is normal (working capital, dividends); a persistent or widening gap is where it becomes a concern.
Net margin has narrowed from 34% to 3.9% year-on-year — profitability per rupee of sales is shrinking.
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.
Quarter net margin 3.9% vs 34% four quarters earlier. Sustained compression signals pricing pressure, cost inflation, or mix deterioration.
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 ₹-34 cr, negative in 3 of 6 years. Check whether the burn funds expansion (dark stores, plants, ports) or merely sustains operations.
Borrowings have fallen 47% over two years — the balance sheet is getting lighter.
Why this reading: A positive signal in the numbers, shown for balance alongside the concerns.
Borrowings down to ₹9 cr from ₹17 cr. Falling debt reduces finance cost and financial risk.
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 46.9% of assets. Free cash flow negative in 3 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.
Revenue grew faster than the capital behind it, which is what operating leverage looks like: the existing asset base is working harder.
cumulative operating cash flow ÷ cumulative net profit
₹57 cr ÷ ₹138 cr, over 6 years
0.41×
Below 1.0 and persistent means profit is being recognised before the cash arrives.(net profit − operating cash flow) ÷ average total assets
(₹40 − ₹-33) cr ÷ average assets
46.9%
The share of profit that is accounting entries rather than cash. Above ~10% is where accruals start to dominate.net margin × asset turnover × leverage
54.1% × 0.41 × 1.24
27.6%
Splits ROE into whether returns come from operations or from borrowing.EBIT ÷ finance cost
₹56 cr ÷ ₹2 cr
28.00×
How many times operating profit covers the interest bill.borrowings ÷ net worth
₹9 cr ÷ ₹145 cr
0.06×
Read against the sector — infrastructure carries more than software.growth in fixed assets + CWIP, against growth in revenue
capital +-31% vs revenue +174%, FY2023 to FY2026
-205pp 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.
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 74.84% to 74.84% across these quarters.
FII held steady from 2.93% to 2.93% across these quarters.
MF held steady from 0.26% to 0.26% across these quarters.
Other held steady from 21.97% to 21.97% 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 | 143 | 3 | 0 | 22 | 100 | 326 |
| Inventory days
How long stock sits before it sells | — | 52 | 317 | 143 | 172 | — |
| Payable days
How long the company takes to pay suppliers | — | 17 | 84 | 43 | 35 | — |
| Cash conversion cycle
Debtor + inventory − payable days | 143 | 38 | 233 | 122 | 238 | 326 |
| Working capital days | -819 | 27 | 107 | 35 | 133 | 584 |
| ROCE %
Return on capital employed | — | 77.0% | 10.0% | 118.0% | 48.0% | 41.0% |
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 | 5 | 87 | 27 | 134 | 103 | 74 |
| Other income | 1 | 0 | 0 | 6 | 2 | 2 |
| Depreciation | 0 | 0 | 1 | 2 | 3 | 3 |
| Finance cost | 0 | 0 | 0 | 1 | 2 | 2 |
| Profit before tax | -1 | 15 | 3 | 70 | 47 | 54 |
| Net profit (owners) | -2 | 11 | 2 | 52 | 35 | 40 |
| EPS (₹) | -169.27 | 790.18 | 164.30 | 4,260.76 | 13.31 | 15.19 |
Exceptional items, total income and EBITDA are read from the filed statements.
| Metric | Jun 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|
| Revenue | 0 | 69 | 6 |
| Other Income | 1 | 0 | 0 |
| Expenses | 1 | 15 | 6 |
| Depreciation | 1 | 1 | 1 |
| Finance cost | 0 | 1 | 0 |
| Profit before tax | -1 | 53 | 0 |
| Net Profit | -1 | 40 | 0 |
| EPS | -0.41 | 15.07 | 0.09 |
| Item | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Equity Capital | 0 | 0 | 0 | 0 | 26 | 26 |
| Reserves | 14 | 25 | 27 | 70 | 78 | 119 |
| Borrowings | 0 | 0 | 6 | 17 | 11 | 9 |
| Net block | 0 | 10 | 10 | 12 | 13 | 11 |
| CWIP | 0 | 2 | 6 | 13 | 0 | 0 |
| Investments | 6 | 2 | 2 | 20 | 26 | 0 |
| Total Assets | 70 | 27 | 39 | 96 | 131 | 180 |
| Line | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Cash from operations | 27 | -5 | -5 | 32 | 41 | -33 |
| Cash from investing | -6 | -8 | -4 | -30 | -24 | 26 |
| Cash from financing | -6 | 0 | 6 | -1 | -7 | -4 |
| Free cash flow | 26 | -17 | -10 | 20 | 23 | -34 |
| Net change in cash | 15 | -13 | -3 | 1 | 10 | -11 |
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.