1. At a Glance
Once upon a time, this wasShalimar Agencies, a sleepy securities dealer. Then it tried its hand at IT outsourcing. Now, in 2025, it’s suddenly rebranded asSpice Lounge Food Works Ltd—a name that screams biryani franchise but hides a balance sheet full of call center services, eroded net worth, and debt. Market cap? ₹2,806 Cr. Stock return? +775% in one year. P/E? A Michelin-star-worthy 628x. Promoter holding? 0%. Welcome to India’s newest meme-stock buffet.
2. Introduction
Imagine going to a restaurant namedSpice Lounge Food Worksand being served… PowerPoint slides and BPO outsourcing contracts. That’s the story here. Incorporated in 1981 as a financial dealer, this company shape-shifted multiple times—shares, IT services, and now “Food Works” in name only.
Its journey is wild:
- In FY22, raised authorised capital.
- Quebec Tech Solutions LLP once owned 60% before IT Trailblazers swooped in.
- Net worth eroded, revenues missing in action.
- Promoters gradually exited; by June 2025, holding is0%.
Yet, stock went from ₹4.6 to ₹40 in a year—multiplying 9x. Why? Because speculative retail investors love “food-tech looking tickers,” and this one delivered masala without actual masala.
3. Business Model (WTF Do They Even Do?)
Despite the food-themed rebrand, thereal businessremains IT outsourcing + call centre services:
- Data, voice, video collection.
- Call centre operations.
- Back-office BPO work.
Revenues do exist now—₹138 Cr in FY25—but it’s unclear how sustainable. The “Food Works” tag looks more like a marketing garnish for stock market optics than a real pivot.
Verdict: The business is less “Spice Lounge” and more “Excel Lounge.”
4. Financials Overview
| Metric | Jun 2025 (Latest Qtr) | Mar 2025 (Prev Qtr) | YoY (Jun 2024) | QoQ % | YoY % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 32.3 | 34.8 | 18.0 | -7% | +79% |
| EBITDA (₹ Cr) | 1.3 | 0.5 | 2.5 | +137% | -48% |
| PAT (₹ Cr) | -1.18 | -3.64 | 0.84 | +68% | NA |
| EPS (₹) | -0.02 | -0.05 | 0.01 | +60% | NA |
Commentary:Revenues are up YoY, but profits vanished into thin air. P&L looks like a revolving door
between micro profits and micro losses.
5. Valuation (Fair Value RANGE Only)
- P/E Method: EPS (TTM) = ₹0.06. CMP = ₹40 → P/E = 628x. Apply industry avg ~36x → FV ≈ ₹2/share.
- EV/EBITDA: EV = ₹2,874 Cr, EBITDA = ₹14 Cr → EV/EBITDA ≈ 183x. Peer avg ~15x → FV ≈ ₹2–₹3/share.
- DCF: Assuming ₹140 Cr sales, 10% OPM, 10% growth → FV ≈ ₹3–₹5/share.
👉Final FV Range: ₹2 – ₹5/share (Educational Only). CMP ₹40 is masala-markup.
6. What’s Cooking – News, Triggers, Drama
- Name Change: From Shalimar Agencies → Spice Lounge Food Works Ltd (Aug 2025). Pure branding masala.
- Website Update: New domain launched to look more FMCG/restaurant-like.
- Q1 FY26: Standalone profit ₹16.8L, consolidated loss ₹118L. Yet stock holds ₹2,800 Cr market cap.
- Promoters: Fully exited. Public now owns 100%. The stock is essentially an orphan—floating freely in retail mania.
- Returns: 775% in 1 year. Attracting traders like bees to jalebi.
7. Balance Sheet
| Metric (Mar 2025) | ₹ Cr |
|---|---|
| Assets | 203 |
| Liabilities | 94 |
| Net Worth | 109 |
| Borrowings | 71 |
Auditor’s Roast:Assets barely ₹200
