1. At a Glance
Dhani started as a broking app, morphed into a pharmacy, pivoted to groceries, and now throws in fintech, insurance, and some old-school trading on the side. A jack of all trades, master of… let’s say, pivoting. Q1 FY26 shows a surprising ₹6.56 Cr profit — but blink, and you’ll miss it.
2. Introduction with Hook
Imagine if Paytm, 1mg, Grofers, and ICICI Direct had a baby… and then that baby tripped over its own app and landed in a pile of debt. That’s Dhani Services. Once backed by Indiabulls’ star power, it’s now the classic turnaround pitch. FY25 ended with a loss, but Q1 FY26 flashes a profit. What is this — redemption arc or temporary illusion?
Let’s talk numbers:
- Q1 FY26 Net Profit: ₹6.56 Cr (vs ₹-83 Cr YoY)
- Q1 FY26 Sales: ₹85.9 Cr (vs ₹107 Cr YoY)
The circus is in town, folks. Tickets are cheap. Popcorn is optional.
3. Business Model (WTF Do They Even Do?)
Dhani’s business model is like a Bollywood masala movie — no single genre.
- Dhani App: Healthcare + Transaction finance + Daily Needs = All-in-one confusion.
- e-Wallet: Load money, pay bills, book bus rides. Not quite Paytm, but it’s trying.
- Brokerage: Discount trading. Competing with Zerodha but with more medical baggage.
- Dhani Store: Was a pharmacy, now sells groceries, gadgets, and probably life advice.
- Other Ventures: Asset reconstruction (because why not?), stock broking, and someday maybe selling samosas on Mars.
Basically, they do five things halfway instead of one thing properly.
4. Financials Overview
| Metric | FY25 | FY24 | FY23 |
|---|---|---|---|
| Revenue | ₹395 Cr | ₹448 Cr | ₹612 Cr |
| Net Profit | ₹-68 Cr | ₹-374 Cr | ₹-481 Cr |
| EBITDA | ₹-12 Cr | ₹-202 Cr | ₹-356 Cr |
| OPM | -3% | -45% | -58% |
FY25’s net loss of ₹68 Cr actually counts as an “improvement” here. The Q1 FY26 surprise ₹6.56 Cr profit feels more like finding a coin under your couch than winning the lottery.
Margins? Tighter than your jeans after Diwali.
5. Valuation
Let’s try to price this shapeshifting unicorn:
- P/E: 176x (on TTM basis. Translation: Madness.)
- Book Value: ₹47, CMP ₹62 = 1.32x P/BV
Method 1: EV/EBITDA (TTM EBITDA = ₹69 Cr)
Let’s be charitable and use 15x EV/EBITDA →
FV = ₹1,035 Cr EV = ₹8.5–10 per share (lol)
Method 2: P/BV Valuation
Assume fair P/BV multiple of 1.5x → ₹47 x 1.5 = ₹70.5 FV
Fair Value Range: ₹10 to ₹70
If you think buying this at 176x earnings is smart, you probably also invest in astrology-backed IPOs.
6. What’s Cooking – News, Triggers, Drama
- Q1 FY26 PROFIT: Mic drop moment? Or just accounting stage lighting?
- Ongoing Amalgamation Scheme: Merger with Indiabulls arm — because what’s better than one struggling entity? Two merged into one.
- Director Reappointment: Because stability matters… even when the ship is leaking.
- Subscriber Base Update? Nope: Nothing on customer traction. Keeping investors in suspense, Bollywood-style.
The quarterly earnings had more plot twists than a K-dramedy.
7. Balance Sheet
| Metric | FY25 |
|---|---|
| Equity Capital | ₹122 Cr |
| Reserves | ₹2,714 Cr |
| Borrowings | ₹507 Cr |
| Total Assets | ₹3,732 Cr |
Key takeaway: Borrowings have dropped from ₹8,648 Cr in FY19 to ₹507 Cr now. Debt reduction is real, and so is the shrinkage in ambition.
Still, the balance sheet isn’t Titanic-level anymore. Just moderately seasick.
8. Cash Flow – Sab Number Game Hai
| FY | CFO | CFI | CFF | Net Cash |
|---|---|---|---|---|
| FY23 | ₹848 Cr | ₹77 Cr | ₹-1,168 Cr | ₹-244 Cr |
| FY24 | ₹-231 Cr | ₹491 Cr | ₹-318 Cr | ₹-58 Cr |
| FY25 | ₹98 Cr | ₹52 Cr | ₹-89 Cr | ₹62 Cr |
Cash flow resembles a struggling freelancer — always moving, barely saving. FY25 finally sees net cash +₹62 Cr, possibly from intense belt-tightening or divine intervention.
9. Ratios – Sexy or Stressy?
| Metric | FY25 |
|---|---|
| ROE | -2% |
| ROCE | 1% |
| D/E | 0.18 |
| PAT Margin | -17% |
| P/E | 176x |
ROCE at 1% = fixed deposit > Dhani
P/E = 🤯
D/E looks healthy though — they’ve detoxed from debt like it’s Dry January.
10. P&L Breakdown – Show Me the Money
| Year | Revenue | EBITDA | Net Profit |
|---|---|---|---|
| FY23 | ₹612 Cr | ₹-356 Cr | ₹-481 Cr |
| FY24 | ₹448 Cr | ₹-202 Cr | ₹-374 Cr |
| FY25 | ₹395 Cr | ₹-12 Cr | ₹-68 Cr |
Three-year summary: Every year, losses shrink but revenue does too. It’s like they’re on a cost-cutting diet while fasting from growth.
PAT grew 100%, technically. From minus a mountain to minus a hill.
11. Peer Comparison
| Company | Revenue (₹ Cr) | PAT (₹ Cr) | P/E | ROE (%) |
|---|---|---|---|---|
| CRISIL | 3,380 | 728 | 55.6 | 27.8 |
| Dhani | 373 | 22 | 176 | -1.75 |
| Algoquant | 235 | 32 | 59.6 | 37.5 |
| Centrum | 3,503 | -168 | – | -46.8 |
Dhani looks like the confused guy at a finance bro wedding — in flip-flops, holding a grocery bag.
12. Miscellaneous – Shareholding, Promoters
| Stakeholder | Mar 2023 | Jun 2025 |
|---|---|---|
| Promoters | 32.89% | 29.14% |
| FIIs | 14.14% | 20.77% |
| DIIs | 1.38% | 1.87% |
| Public | 46.74% | 43.37% |
Promoter holding has dropped nearly 4% in two years. Meanwhile, FIIs smell something brewing — rising from 14% to 21%.
Bonus: 1.78 lakh shareholders still have faith. Or hope. Or both.
13. EduInvesting Verdict™
Dhani is like your overenthusiastic friend who joins a new gym, starts keto, learns Spanish, and opens a Shopify store — all in one week.
The company has shown serious discipline in cleaning up debt and stabilizing losses. But let’s not throw a party just yet — growth, margins, and consistency are still missing.
A decent comeback cameo. But this isn’t the lead actor yet.
Written by EduInvesting Team | 25 July 2025
Tags: Dhani Services Ltd, Fintech, Q1 FY26 Results, Edu Style Article, EduInvesting Premium
