1. At a Glance
Aeroflex Neu Ltd is that smallcap which exports bags across 30+ countries but struggles to pack profits at home. Market cap sits at ₹185 Cr, stock price ₹72.6, down 38% in six months, while ROE politely waves from 0.24% like a tired intern.
Q3 FY26 revenue came in at ₹30.9 Cr, down 4.48% QoQ, but PAT jumped to ₹0.74 Cr, mostly because last year’s base was basically a coma patient.
Exports dominate at ~78% of revenue, margins hover at 2–3%, debt is ₹28.6 Cr, and valuation? A confident 83× PE—because why not dream big when numbers are small?
If this stock were a movie, it would be titled:
“International Presence, Domestic Margins.”
2. Introduction
Aeroflex Neu Ltd (earlier Sah Polymers) was incorporated in 1992, long before “FIBC” became a buzzword and long before investors started romanticising export-oriented microcaps.
The company manufactures Flexible Intermediate Bulk Containers (FIBCs) and other woven packaging products used by everyone from fertiliser giants to chemical manufacturers.
It is a Recognised Star Export House, which sounds fancy until you realise profitability still struggles to clear customs.
The business has survived for three decades, raised ₹66.3 Cr via IPO in Jan 2023, expanded capacity, merged subsidiaries, rebranded itself as Aeroflex Neu—and yet ROCE remains stuck near 3%.
So the obvious question:
👉 Is this a cyclical margin story… or just cyclic disappointment?
3. Business Model – WTF Do They Even Do?
Aeroflex Neu makes industrial packaging, not Amazon delivery bags. These are one-tonne sacks used to move bulk materials like chemicals, fertilisers, cement, food grains, and pharma intermediates.
Core Products:
- FIBC Bags (Simple, C-panel, circular baffle)
- PP & HDPE woven bags
- BOPP laminated bags
- Specialised food-grade & pharma-grade bags
- Type-C conductive FIBCs (for hazardous materials)
They manufacture from two plants in Udaipur, total capacity 9,120 MTPA, including subsidiary Fibcorp Polyweave.
They also act as:
- Del Credere Associate of IOCL
- Dealer-operated polymer warehouse
Translation:
They sell bags and trade raw material. One business makes money. Guess which one.
4. Financials Overview (Quarterly – Q3 FY26)
Quarterly Comparison Table (₹ Cr)
| Metric | Latest Qtr (Q3 FY26) | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 30.88 | 32.33 | 34.52 | -4.5% | -10.5% |
| EBITDA | 2.00 | 1.40 | 0.71 | +42% | +182% |
| PAT | 0.74 | 0.00 | 1.07 | NA | -30% |
| EPS (₹) | 0.29 | 0.00 | 0.40 | NA | -27% |
Annualised EPS (Q3 rule):
Average of Q1–Q3 EPS ×
