1. At a Glance
Adroit Infotech posted ₹9.83 Cr revenue in Q1 FY26, with ₹0.84 Cr net profit. This SAP-focused IT small-cap keeps raising more questions than invoices. Stock trades at 0.78x book value, and promoter holding is barely holding at 37.3%.
2. Introduction with Hook
Imagine a tech company in 2025 still struggling to decide if it’s a software firm or an Excel freelancer on Upwork. That’s Adroit Infotech for you—a specialist SAP consulting firm that’s consulting its way into… quarterly swings and boardroom exits.
- Q1 Revenue: ₹9.83 Cr
- Q1 Net Profit: ₹0.84 Cr
- TTM Sales: ₹34.98 Cr
- TTM Net Profit: ₹1.04 Cr
- ROCE: -1.9%
3. Business Model (WTF Do They Even Do?)
Adroit offers SAP support and implementation—essentially helping other companies make sense of their own ERP chaos.
Their typical offerings:
- SAP S/4 HANA implementation
- ERP customizations
- Maintenance & AMS services
- Strategic consulting
Sounds legit. But wait till you see the revenue and margin volatility…
4. Financials Overview
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| Sales (₹ Cr) | 22.45 | 24.86 | 31.71 |
| Net Profit (₹ Cr) | 3.78 | 3.00 | 0.69 |
| Operating Margin | 24.6% | 19.1% | -5.2% |
| EPS (₹) | 0.75 | 0.55 | 0.13 |
TTM Sales: ₹34.98 Cr
TTM Profit: ₹1.04 Cr
Trend: The graph goes up, then down, then dives like it forgot how to breathe.
5. Valuation
| Metric | Value |
|---|---|
| CMP | ₹10.8 |
| Book Value | ₹13.8 |
| P/B Ratio | 0.78x |
| Market Cap | ₹59 Cr |
| EPS (TTM) | ₹0.41 |
| PE | NA (too volatile) |
EduInvesting Fair Value Range:
| Method | FV Range (₹) |
|---|---|
| P/B 1.2x | ₹16 – ₹18 |
| EV/EBITDA (3x) | ₹8 – ₹10 |
| DCF (flatline case) | ₹7 – ₹9 |
FV Range: ₹7 – ₹11
CMP = ₹10.8 → near upper bound, but don’t forget the volatility tax.
6. What’s Cooking – News, Triggers, Drama
- Q1 FY26: Revenue ₹9.83 Cr, Net Profit ₹0.84 Cr
- US subsidiary shut down in July 2025
- Two director resignations, two new ones appointed
- ₹45.72 Cr Rights Issue closed in FY25; no deviations in usage
- Auditor Reappointments + Committee Reshuffle – soap-opera-level boardroom churn
7. Balance Sheet
| Item | FY25 (₹ Cr) |
|---|---|
| Equity Capital | 54.18 |
| Reserves | 20.50 |
| Borrowings | 16.23 |
| Total Liabilities | 96.48 |
| Fixed Assets | 27.81 |
| Other Assets | 68.67 |
Key Takeaways:
- Huge jump in equity capital from ₹29.8 Cr to ₹54.2 Cr in FY25 (Rights Issue)
- High asset base, but poor return metrics
- Borrowings inching up—₹16 Cr in debt is not small at ₹59 Cr mcap
8. Cash Flow – Sab Number Game Hai
| Year | CFO | CFI | CFF | Net Cash |
|---|---|---|---|---|
| FY23 | ₹5.93 Cr | ₹-13.86 Cr | ₹9.04 Cr | ₹1.10 Cr |
| FY24 | ₹-0.60 Cr | ₹-10.59 Cr | ₹11.68 Cr | ₹0.50 Cr |
| FY25 | ₹-13.42 Cr | ₹-35.32 Cr | ₹48.98 Cr | ₹0.25 Cr |
Translation:
Operating cash = bad.
Investing cash = worse.
Only thing saving it = financing cash (Rights issue FTW).
Barely afloat.
9. Ratios – Sexy or Stressy?
| Ratio | FY25 |
|---|---|
| ROCE | -1.9% |
| ROE | -3.7% |
| Debtor Days | 151 |
| Working Capital Days | 290 |
| Interest Coverage | Poor (CFO negative) |
Stressy AF
Working capital days ballooned, returns turned red, and collections (debtor days) are borderline kya SAP lagaya hai bhai?
10. P&L Breakdown – Show Me the Money
| Q1 FY26 | ₹ Cr |
|---|---|
| Revenue | 9.83 |
| Expenses | 8.49 |
| Operating Profit | 1.34 |
| Other Income | 0.64 |
| Depreciation | 0.46 |
| Interest | 0.36 |
| Net Profit | 0.84 |
Decent quarter, on paper. But strip away other income, and you’re left with scraps.
11. Peer Comparison
| Company | CMP | Sales (Qtr) | PAT (Qtr) | ROCE | P/E |
|---|---|---|---|---|---|
| Adroit | ₹10.8 | ₹9.83 Cr | ₹0.84 Cr | -1.9% | NA |
| Sagility | ₹43.5 | ₹1,568 Cr | ₹182 Cr | 9.5% | 38x |
| Affle | ₹1,897 | ₹602 Cr | ₹103 Cr | 16.8% | 70x |
| Tata Tech | ₹715 | ₹1,244 Cr | ₹170 Cr | 25.8% | 42x |
Verdict: In size and margin, Adroit is a minnow in a shark tank.
12. Miscellaneous – Shareholding, Promoters
| Category | Jun 2025 |
|---|---|
| Promoter | 37.34% |
| Public | 62.66% |
| No. of Shareholders | 20,539 |
Promoter holding down from 52% to 37% in 2 years.
Retail stuck holding the bag? Possibly.
At least no pledges (for now).
13. EduInvesting Verdict™
Adroit Infotech is one of those companies that sounds like a tech enabler… until you peek under the hood and find a lot of “other income”, messy balance sheets, and a vanishing promoter stake.
- Rights issue done
- Board reshuffled
- Revenue slowly climbing
- But operations are inconsistent, and profit = a lottery
Verdict: This one’s a rollercoaster on a broken track. Watch it if you love volatility—or SAP-themed horror shows.
Metadata
– Written by Eduinvesting Team | 23 July 2025
– Tags: Adroit Infotech, Q1 FY26, SAP Consulting, Rights Issue, Tech Microcap, NSE:ADROITINFO
