1. At a Glance – The ₹0 Revenue Billionaire
Corporate Merchant Bankers Ltd is currently trading at ₹61.7, with a market cap of ₹391 Cr.
In the last 3 months, the stock has crashed 83.7%. Six months? Down 49%.
Yet here’s the comedy special:
- Quarterly Sales: ₹0.00 Cr
- Quarterly PAT (Dec 2025): ₹0.51 Cr
- TTM PAT: ₹4.22 Cr
- Stock P/E: 92.7
- Book Value: ₹1.09
- Price to Book: 56.8
- Debt: ₹91.23 Cr
- Debt-to-Equity: 13.2
- ROE (Last Year): 51.2%
A finance company with zero sales, 92 P/E, and debt 13 times equity.
If that doesn’t make you sit up, sip chai slowly, and whisper “yeh kya chal raha hai?”, nothing will.
Let’s investigate.
2. Introduction – The Merchant of Mystery
Incorporated in 1994, Corporate Merchant Bankers Ltd (CMBL) is classified as a Non-Deposit Taking, Non-Systemically Important NBFC.
Translation:
It lends money. It gives consultancy. It deals in securities and foreign exchange.
At least, that’s what the brochure says.
But when you look at numbers, you don’t see lending revenue.
You see consultancy fee receipts in FY22.
You see zero sales in recent quarters.
You see “Other Income” dominating profits.
This is not your usual NBFC.
Most NBFCs shout about AUM growth, NIM expansion, credit costs, retail focus.
Here? Silence.
Instead, what we do see:
- ₹81.64 Cr loan converted into equity
- ₹15 Cr preferential issue
- Promoter holding falling from 74.7% to 3.12%
This is less “steady finance company” and more “corporate restructuring season 4”.
Are we looking at a revival story?
Or a capital-structure gymnastic performance?
Let’s dissect calmly.
3. Business Model – WTF Do They Even Do?
Officially:
- Financial consultancy services
- Loans to corporates and industrial enterprises
- Act as agent/dealer/broker in securities and forex
In FY22, all revenue came from consultancy fees.
But recently?
Quarterly sales are ₹0.00 Cr.
So how is profit happening?
Answer: Other Income.
In Mar 2025 year, PBT was ₹2.89 Cr.
In TTM, Other Income is ₹7.85 Cr.
So the core business is not generating operating income consistently.
Let’s simplify:
Imagine someone says:
“I run a lending business.”
You ask:
“How much interest income?”
They reply:
“Well… technically zero this quarter. But other income saved us.”
That’s the current vibe.
Now, they did disburse ₹2.28 Cr long-term loans in FY22.
But today, borrowings are ₹91.23 Cr.
Question for you:
Where is this capital deployed?
What is generating
