📌 At a Glance
Brightcom Group claims a net profit of ₹687 Cr in FY25. But cash flow from operations is just ₹134 Cr, and net cash flow is negative. Revenue is down 30% from FY23. EPS halved. If this is growth, we need to redefine accounting.
🧾 Financial Reality Check (FY22–FY25)
| FY | Revenue (₹ Cr) | Net Profit (₹ Cr) | EPS | Cash Flow from Ops (₹ Cr) | Net Cash Flow (₹ Cr) |
|---|---|---|---|---|---|
| FY22 | 5,017 | 483 | 4.5 | 460 | 7.5 |
| FY23 | 7,390 | 912 | 6.8 | 287 | 619 |
| FY24 | 4,662 | 1,371 | 10.2 | 702 | 667 |
| FY25 | 5,147 | 687 | 3.4 | 134 | -203 |
🚨 What’s Going On?
- Revenue collapsed 30% from FY23
- PAT crashed 50% from FY24
- EPS down from 10.2 to 3.4
- Operating cash flow down 81% YoY
- Negative net cash despite supposed “profits”
Basically, Brightcom made money on paper, but burned it in real life.
🧠 ROE & ROA – Falling Off a Cliff
| Year | Return on Equity (ROE) | Return on Assets (ROA) |
| FY22 | 19.6% | 13.7% |
| FY23 | 17.4% | 11.5% |
| FY24 | 22.6% | 14.2% |
| FY25 | 9.0% | 5.8% |
This company went from tech-cashflow-darling to a financially hollowed-out balloon.
🔍 The Screwy Screener Numbers
- “0% YoY Growth” labels next to large changes 🤡
- Book Value shows no movement
- Promoter holdings not clearly stated
- Massive jump in Receivables, no explanation
- Net Cash from Investing: ₹0 Cr. Every year.
Either the auditors were asleep, or the numbers are trying to tell us something. And it ain’t good.
💣 EduInvesting Roast
- Brightcom says they made nearly ₹700 Cr profit.
- But somehow cash in hand went down by ₹203 Cr?
- That’s not an earnings report. That’s a magic show.
- Real revenue from 2022 hasn’t been surpassed since.
- Promoter activity? Hidden. Transparency? Missing.
- Screener shows ‘Strong Buy’. Reality screams ‘RUN’.
🔮 The Road Ahead? Or Off a Cliff?
- 📉 FY25 is worse than FY24 in almost every metric.
- 💸 Debt-free doesn’t help when there’s no clarity on collections
- 🤐 Company disclosures are vague, no detail on customer breakdown
- 😐 Institutional investors? Almost none.
💀 Verdict
Brightcom is a case study in how to inflate numbers without inflating value.
- EPS halved
- Cashflow tanked
- No growth explanation
- Net cash negative
If this was a college project, it would get a C- for creativity and an F for credibility.
Unless Brightcom can explain this black magic, it’s not a tech company. It’s a powerpoint presentation with a PAN number.
Author: Prashant Marathe
Date: 6 June 2025
Tags: Brightcom Group, SME roast, cashflow fraud, EPS crash, screener delusion, EduInvesting special
