P. H. Capital - P. H. Capital

📊 BSE: 500143 🏢 Investment Company 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

Total revenue from operations grew 14.98% YoY, reaching INR 185.49 Cr in FY25 compared to INR 161.32 Cr in FY24, primarily driven by trading in shares and securities.

Profitability Margins

Net Profit Margin (NPM) fell sharply from 13% in FY24 to 4% in FY25. Operating Profit Margin (OPM) also declined from 18.6% to 7.93% due to a significant increase in purchase and inventory costs relative to sales growth.

EBITDA Margin

EBITDA margin was 5.98% in FY25 (INR 11.09 Cr) compared to 17.05% in FY24 (INR 27.52 Cr), reflecting a 59.68% decrease in core profitability.

Capital Expenditure

Property, Plant and Equipment (PPE) stood at INR 1.08 Cr in FY25, a decrease from INR 1.18 Cr in FY24. Intangible assets were INR 0.05 Cr.

Credit Rating & Borrowing

Credit rating not disclosed. Total borrowings were INR 0.58 Cr in FY25, with a minimal debt-equity ratio of 0.01, down from 0.02 in FY24.

⚙️ Operational Drivers

Raw Materials

Stock-in-trade of shares and securities represents 100% of the company's inventory and primary operational cost driver.

Import Sources

Not applicable.

Key Suppliers

Not applicable.

Capacity Expansion

Not applicable in units; however, the company altered its main objects in FY25 to enable business as a Stock Broker and Clearing Member.

Raw Material Costs

Purchase and inventory costs increased significantly in FY25, leading to a sharp decrease in EBIT and NPM (4% vs 13%) because the rate of increase in sales (15%) was lower than the increase in stock acquisition costs.

Manufacturing Efficiency

Not applicable.

Logistics & Distribution

Not applicable for financial services.

📈 Strategic Growth

Growth Strategy

The new acquirer, Mr. Aditya Himmat Bhansali, plans to facilitate growth capital, strengthen the balance sheet, and implement a technology-led treasury strategy. The company has also expanded its scope to act as a Stock Broker and Clearing Member.

Products & Services

Stock broking services, clearing member services, and trading in equity shares and securities.

Brand Portfolio

P H Capital Limited.

New Products/Services

Stock Broker and Clearing Member services, following the alteration of the company's main objects clause in FY25.

Market Expansion

Targeting high-quality, revenue-generating clients and enhancing value-added services to differentiate in a competitive brokerage market.

Strategic Alliances

A Share Purchase Agreement (SPA) was executed on December 20, 2025, for the acquisition of a 72.70% stake by Mr. Aditya Himmat Bhansali.

🌍 External Factors

Industry Trends

The industry is seeing a surge in IPO activity and increased market liquidity; brokerage operations are shifting towards advanced technology to improve cost efficiencies and digital underwriting.

Competitive Landscape

Competitive financial services market requiring technological innovation and high-quality client acquisition to sustain revenue growth.

Competitive Moat

The company's moat is its lean cost structure (5 employees) and its transition to a technology-led treasury strategy under new management, which is sustainable given the digitalization of financial services.

Macro Economic Sensitivity

Sensitive to India's GDP growth (projected at 6.4%) and inflationary pressures which impact investment outlook and corporate lending margins.

Consumer Behavior

Increased investor participation in capital markets and demand for innovative financial products driven by digital advancements.

Geopolitical Risks

Geopolitical tensions are identified as headwinds that could impact corporate profitability and lending margins within the financial sector.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Companies Act 2013 and general fiscal policies; the company must comply with Stock Broker and Clearing Member registration requirements.

Taxation Policy Impact

Effective tax rate of ~27% in FY25; domestic companies are taxed at 15-30% depending on the chosen tax regime under the IT Act.

Legal Contingencies

There are no contingent liabilities reported as of March 31, 2025, indicating a clean balance sheet regarding pending litigation or tax disputes.

⚠️ Risk Analysis

Key Uncertainties

Market volatility and the timing of stock purchases/sales are key risks, as evidenced by the 61% drop in PAT in FY25 due to unfavorable purchase-to-sale timing.