India Abound

Analyzing Indian Equities in the growing sectors. Long India. No Buy/Sell recommendations, please do your own research.

[India Abound @IndiaAbound]

Follow @IndiaAbound for more such insights

[India Abound @IndiaAbound]

8/
Risks to weigh ⚠️

⚠️ Margins: EBITDA margin fell to 23% in FY26 from ~28%; blended margin guided broadly flat until pharma and polymer ramp (INR)
⚠️ Execution: two acquisitions and a large order book to integrate and convert; management guides synergies over 6-18 months
⚠️ Balance sheet: elevated working capital and rising debt for M&A
⚠️ Concentration: agro is still 55% of revenue; the BASQUEVOLT deal is a non-binding LOI, not an order
⚠️ Valuation: the stock trades at a rich premium to peers, leaving little room for slippage

Which lands first: the margin recovery, or the next acquisition? 🔍

#AnupamRasayan

[India Abound @IndiaAbound]

1/
From farm chemicals to EV batteries, US semiconductors and branded pharma: one specialty chemicals maker just signed a $300 million battery-chemicals LOI, on top of two acquisitions. The real test is when the bottom line follows. 📈 Thread 🧵 👇

#AnupamRasayan

[India Abound @IndiaAbound]

7/
The edge others miss: when does profit catch up? 📈

The scale is arriving before the earnings. On a pro forma basis the four-company platform is already over ₹4,000 cr revenue (INR). The bottom-line unlock rests on:

🔋 Bliss running at ~30% capacity today, targeted at 60-70%
🧫 Pharma and polymer (higher-margin) rising in the mix
♻️ Working capital normalising from ~240-250 days

These are FY27-plus stories, not FY26.

#AnupamRasayan

[India Abound @IndiaAbound]

@WeekendInvestng Most foreign investors have this view that Indian policies can change any time, and so they want to stay away. This needs to be looked at seriously by the policy makers and politicians otherwise foreign investors will never be able to completely trust the system here

[India Abound @IndiaAbound]

Groww business update and results were great. The company is gaining market share in almost every segment it operates in. Using AI to gain operating leverage as well. Nothing looks bad in the business at all. Must track. No Buy/Sell recommendation. I have investment in Groww.

[India Abound @IndiaAbound]

Follow @IndiaAbound for more such insights

[India Abound @IndiaAbound]

1/
An NBFC that finances 1.65 lakh invoices a year with under 100 employees just reported a 119% PAT jump.

Loan book: ₹4,552 Cr. Gross NPAs: zero. Cost-to-income: under 15%.

But one number here is doing quiet work 🔍

Thread 🧵 👇

#SGFinserveResults #SGFinserve

[India Abound @IndiaAbound]

8/
The honest risk list:

⚠️ Unseasoned book - zero credit cost will not persist through a full cycle, and current profitability is flattered by it
⚠️ Related-party depth: the promoter's APL Apollo ecosystem made up ~30% of the book in FY25 (guided down to ~18% by FY27), and ₹350 Cr of fresh factoring arrangements with group entities were proposed at the June AGM
⚠️ The entire C-suite (CEO, CFO/COO, CS) changed in one quarter (Oct 2025), and the guidance-cut rationale shifted between calls
⚠️ Capital allocation sprawl: insurance broking, GIFT City, a fintech stake - while management messaging stays supply-chain-focus
⚠️ Share count grew about 17% a year for 3 years - dilution is a silent tax on per-share compounding

Which of these would you weight most? 👇

#SGFinserveResults #SGFinserve