1. At a Glance
₹160 crore market cap.
₹105 share price.
Trading at 0.38x book value.
Q3 FY26 sales: ₹4 crore.
Q3 FY26 PAT: ₹-15 crore.
Return in last 3 months: -22.8%.
ROCE: -3.19%.
ROE: -5.43%.
Ladies and gentlemen, welcome to SAB Industries — a company that claims to build townships, aviation structures, healthcare facilities and probably dreams too… but currently seems better at building losses than buildings.
On paper, this is a 1978-born construction and real estate company with Steel Strips Group DNA. In reality, Q3 FY26 numbers show negative operating margins of -388% and a quarterly loss of ₹15 crore.
But wait — market value of investments stands at ₹245 crore while market cap is ₹160 crore. That’s like buying a cupboard for ₹160 and discovering ₹245 hidden inside.
So what is this company really? A construction business? A land bank? An investment vehicle? Or a financial sudoku puzzle?
Let’s investigate.
2. Introduction – The Plot Thickens
SAB Industries Ltd was incorporated in 1978. That’s older than many of its investors. Over decades, it has positioned itself in construction and real estate — civil infrastructure, industrial structures, housing, aviation, healthcare, hospitality — basically everything except building investor confidence.
It is part of the Steel Strips Group. So yes, pedigree exists.
But when you look at FY23 revenue breakup, something odd appears.
The company was unable to generate operational revenue except other income. That other income comprised:
- Profit on sale of land ~64%
- Share in JV ~18%
- Dividend ~7%
- Interest ~7%
- Agriculture receipts ~3%
Construction company? Or agricultural dividend-collecting land trader?
And now Q3 FY26 shows:
- Sales: ₹4 crore
- Net loss: ₹15 crore
So the core business is inconsistent. The profits historically seem linked to land sale gains and investment income.
Is this cyclical? Is this strategic? Or is this accidental capitalism?
Let’s decode.
3. Business Model – WTF Do They Even Do?
Officially, SAB Industries undertakes:
- Civil infrastructure & engineering
- Mass housing & township development
- Industrial structures
- Aviation & institutional facilities
