Aris International Ltd Q2 FY25 – ₹0.04 Cr Sales, ₹87 Cr Market Cap: The Software Exporter That Exported Its Profits Too
1. At a Glance
Some companies build rockets. Some build empires. And then there’s Aris International Ltd, proudly floating on BSE since 1995 — a company that claims to “develop software, build real estate, and sell auto parts.” Basically, everything except actually making money.
At ₹584 per share, this ₹87.6 crore microcap has managed the rare feat of achieving a P/E ratio of 1,095 — not because its growth is astronomical, but because the E in P/E is barely there. Sales in the latest quarter? A generous ₹0.04 crore. Profit? -₹0.01 crore. Yet, the price trades at 137 times its book value, defying not just logic but perhaps gravity itself.
In the last 6 months, it’s up 93.5%, which makes sense — India loves a good mystery stock. With ROE at 6.61%, ROCE 5.16%, and Debt/Equity at 0.33, the company is financially… existent.
In FY22, it earned more from “financial assets at FVTPL” than from actual operations. Meanwhile, its net worth is technically eroded — but who cares when the stock price is rocketing like Dogecoin?
Grab your magnifying glass. The case of The Vanishing Profits of Aris International begins.
2. Introduction
Picture this: a 30-year-old listed entity with barely ₹30 lakh in quarterly sales and zero meaningful operations, but a market cap close to ₹90 crore.
In the Indian markets, such stories are as common as “chai pe discussions” about multibaggers. But Aris International is not your average microcap — it’s the poster child of “how to reinvent yourself every decade and still confuse everyone.”
Born in 1995 during the IT boom, Aris once claimed to export software. Later, it dabbled in real estate. Then, it apparently manufactured auto parts. Today, it’s unclear what it actually does — but its press releases are entertaining enough to fill an anthology.
The company’s leadership has also been through musical chairs — resignation of CFO and MD in May 2025, auditors walking out, and address changes within Mumbai. A few directors come and go every quarter like guests in a Bigg Boss house.
And amidst all that drama, the share price tripled over three years. Coincidence? Or a carefully choreographed illusion?
Let’s dig deeper.
3. Business Model – WTF Do They Even Do?
If one had to summarize Aris International’s business model, it would read like an MBA student’s group project gone rogue.
Software Development (Contract Work) — That’s right. The company still claims to be in IT services. Except, their annual sales are less than the cost of a mid-level engineer’s CTC at Infosys.
Real Estate Development — Because why stick to one sector when you can confuse analysts? No project details, no landbank disclosed, just a bold claim.
Manufacturing and Marketing of Auto Parts and Equipment — At this point, Sherlock Holmes would sigh and close his notebook.
In FY22, 52% of revenue came from “services,” 35% from “goods,” and 13% from “financial assets marked to FVTPL.” Translation: They traded something on paper and booked profit while operations took a nap.
Essentially, Aris is a company with three verticals, zero focus, and one brave director — Mr. Ramesh Mishra, who is both promoter and financier.
If diversification were an Olympic sport, Aris would win gold — mostly because it’s running in all directions at once.
4. Financials Overview
Source table
Metric
Latest Qtr (Jun 2025)
YoY Qtr (Jun 2024)
Prev Qtr (Mar 2025)
YoY %
QoQ %
Revenue
₹0.04 Cr
₹0.01 Cr
₹0.12 Cr
300%
-67%
EBITDA
₹-0.01 Cr
₹0.02 Cr
₹0.02 Cr
-150%
-150%
PAT
₹-0.01 Cr
₹0.01 Cr
₹0.02 Cr
-200%
-150%
EPS (₹)
-0.07
0.13
0.27
-154%
-126%
If you’re wondering how a company can have P/E of 1,095 on EPS of ₹0.53, congratulations — you’ve spotted the absurdity too.
The total annualised EPS (₹0.53 × 4 = ₹2.12) versus current price ₹584 gives a trailing “dreamer’s” P/E of ~275, still fantasy-level.
Basically, if Infosys runs on data, Aris runs on hope.
5. Valuation Discussion – Fair Value Range
Let’s pretend we’re serious analysts for a minute.
a) P/E Method: Industry P/E ~30. Company EPS ₹0.53 → Theoretical Value = ₹0.53 × 30 = ₹15.9
b) EV/EBITDA: EV ₹87.7 Cr, EBITDA ₹0.08 Cr → EV/EBITDA ~1,097 (LOL). Reverse-engineering fair range: if normalised EV/EBITDA = 15, fair value ≈ ₹1.2 Cr market cap → ₹8 per share.
c) DCF: Free cash flow negative (CMP/FCF = –263). If we assume optimistic ₹0.10 Cr annual FCF growing at 10% for 5 years, discount at 12%, we get ~₹1.5 Cr intrinsic →
