HB Portfolio Ltd H1 FY26 Results – The ₹67 Stock That Trades at 0.26x Book But Still Manages to Confuse Its Auditors

1. At a Glance

HB Portfolio Ltd – a company that calls itself an “investment and financial services” firm, but mostly invests in itself, its group companies, and whatever random security the Bhasin family fancies that season. The stock currently trades at ₹67.3 (as of 3 Dec 2025), down 13.6% in the last 3 months and 35.6% in the past year, proving yet again that not every “portfolio” brings happiness.

With a market cap of ₹72.5 crore and a book value of ₹260/share, it’s trading at just 0.26 times book value — a classic “looks cheap but stays cheap” setup. The ROE sits at -0.02%, ROCE at 0.8%, and PAT margin at a hilarious -0.14%. Debt? Almost none — ₹0.68 crore, which is the corporate equivalent of finding ₹20 in your old jeans.

In H1 FY26, the company managed to post Sales of ₹3.93 crore with a net profit of ₹0.08 crore, an 80% QoQ drop, but hey — at least it’s still positive! The management even announced an interim dividend of ₹1/share, because who needs profits when you have “optimism”?

2. Introduction

There are two kinds of financial companies in India — the ones that lend, and the ones that pretend. HB Portfolio falls squarely in the second camp. It’s been around since 1994, primarily doing “investments and financial services,” which in plain English means buy shares, sell shares, and occasionally remember to file results.

The firm’s balance sheet is cleaner than a monk’s conscience — no meaningful debt, and plenty of investments sitting around. Yet, despite all that, it manages to pull off the trick of making losses from investing — a skill even the markets respect.

Over the years, HB Portfolio has diversified from plain equity investments to dabbling in mutual funds, trading in commodities (because why not?), and even acquiring stakes in Infinix9 Hotels & Resorts — proving that diversification sometimes just means “confusion on steroids.”

And to add some HR drama, FY23 saw the resignation of its company secretary and a change of auditors — from G.C. Agarwal & Associates to N.C. Aggarwal & Co. That’s not a typo; it’s a coincidence with extra letters.

3. Business Model – WTF Do They Even Do?

HB Portfolio Ltd’s business model can be summarized as:
Buy, Hold, Hope, Repeat.

They primarily:

• Invest in equity shares, preference shares, and mutual funds
• Earn interest on loans, dividends, and management fees from mutual funds
• Occasionally trade commodities, because diversification feels fancy

Revenue breakup shows the company’s true personality:

• Interest income on loans & ICDs: 21%
• Interest on bank deposits: 2%
• Dividends: 6%
• Management fees from MF: 45%
• Brokerage & commissions: 2%
• Net gain on financial instruments: 23%

In other words, less “portfolio management” and more “self-management.” They tried registering as an NBFC, but even RBI said, “Bro, maybe not.” Despite repeated attempts, they never got the NBFC license, leaving them somewhere between a finance company and a finance fan club.

4. Financials Overview

Let’s dissect the September 2025 quarter (Q2 FY26), the latest reported numbers.

Commentary:
If numbers could sigh, HB’s financials would sound exhausted. Revenue fell ~49% QoQ, and profit crashed ~96%, making it one of the most