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Indian Hume Pipe Company Limited Key Financial Ratios

NSE:INDIANHUME | CEMENT AND CEMENT PRODUCTS

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Profitability Margins

2-year trend showing gross, operating, and net profit margins

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's net profit margin of 37.4% in FY2025 reflects excellent profitability, with operating margin at 11.5% and gross margin at 22.9%.

Understanding Profitability Margins

In FY 2025, Indian Hume Pipe Company Limited posted a gross margin of 22.9%, an operating margin of 11.5%, a net margin of 37.4%. Gross Margin = (Revenue - COGS) / Revenue; Operating Margin = EBIT / Revenue; Net Margin = Net Income / Revenue. Typical healthy ranges: Gross 20-40%, Operating 10-20%, Net 5-10%+. Consistent or improving margins indicate strong competitive positioning.

Company Performance

2-year trend showing revenue, gross profit, and net profit

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's revenue grew 7.4% to 14.91B and net profit grew 618.9% to 5.58B YoY in FY2025, indicating moderate business momentum.

Understanding Company Performance

In FY 2025, Indian Hume Pipe Company Limited's revenue grew by 7.4% year-over-year. Revenue is total income from operations. Gross Profit is revenue minus cost of goods. Net Profit is the bottom line after all expenses. Consistent growth across all three signals a healthy, expanding business.

Return on Equity (ROE)

2-year trend showing shareholder returns

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's ROE of 40.5% in FY2025 indicates excellent capital efficiency.

Understanding Return on Equity (ROE)

In FY 2025, Indian Hume Pipe Company Limited reported an ROE of 40.5%. ROE = (Net Income / Shareholders' Equity) x 100. Measures how efficiently the company turns equity into profit. Above 15% is generally strong; above 25% is excellent. Very high ROE may signal high leverage — check alongside debt levels.

Net Income vs Free Cash Flow

2-year trend comparing profitability with cash generation

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's FCF/NI ratio of 0.27x in FY2025 indicates weak cash generation raising concerns about earnings quality.

Understanding Net Income vs Free Cash Flow

In FY 2025, Indian Hume Pipe Company Limited's free cash flow trailed net income. Free Cash Flow = Operating Cash Flow - Capital Expenditure. When FCF exceeds net income, it suggests high-quality, cash-backed earnings. Persistent gaps may indicate aggressive accounting or heavy capex needs.

Net Income vs Operating Cash Flow

2-year trend comparing profitability with cash from operations

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's OCF/NI ratio of 0.37x in FY2025 indicates weak cash conversion raising concerns about earnings quality.

Understanding Net Income vs Operating Cash Flow

In FY 2025, Indian Hume Pipe Company Limited's operating cash flow trailed net income. Operating Cash Flow is the actual cash from core operations. OCF exceeding net income signals strong cash collection. OCF trailing net income may indicate aggressive revenue recognition or working capital issues.

Leverage Ratios

Measure a company's financial leverage, liquidity, and ability to meet financial obligations.

Current Ratio Analysis

2-year trend showing short-term liquidity position

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's current ratio of 1.92x in FY2025 indicates healthy short-term liquidity.

Understanding Current Ratio

In FY 2025, Indian Hume Pipe Company Limited reported a current ratio of 1.92. Current Ratio = Current Assets / Current Liabilities. Measures short-term liquidity. A ratio of 1.5-3.0 is generally healthy; below 1.0 signals liquidity risk; above 3.0 may indicate underutilized assets.

Interest Coverage Ratio Analysis

2-year trend showing ability to service debt

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's interest coverage ratio of 2.8x in FY2025 indicates acceptable but limited debt servicing headroom.

Understanding Interest Coverage Ratio

In FY 2025, Indian Hume Pipe Company Limited reported an interest coverage ratio of 2.8x. Interest Coverage = EBIT / Interest Expense. Shows how many times operating profit covers interest payments. Above 5x is comfortable; below 1.5x signals potential difficulty servicing debt.

Debt-to-Equity Ratio Analysis

2-year trend showing financial leverage and capital structure

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's debt-to-equity ratio of 0.33x in FY2025 reflects a conservative, low-leverage capital structure.

Understanding Debt-to-Equity Ratio

In FY 2025, Indian Hume Pipe Company Limited reported a debt-to-equity ratio of 0.33. Debt-to-Equity = Total Debt / Total Equity. Below 1.0 is conservative; 1.0-2.0 is moderate; above 2.0 indicates higher financial risk. Capital-intensive industries naturally carry higher ratios.

Total Debt Analysis

2-year trend showing total debt with year-over-year changes

FY 2024 - FY 2025

Indian Hume Pipe Company Limited's debt decreased 10.3% YoY in FY2025 — positive deleveraging improves financial flexibility.

Understanding Total Debt

In FY 2025, Indian Hume Pipe Company Limited's total debt decreased by 10.3% year-over-year. Total Debt includes short-term debt, long-term loans, debentures, and capital leases. YoY changes (shown as percentages) reveal whether the company is leveraging up or deleveraging.

Shares Outstanding

Year-over-year change in diluted shares outstanding

Indian Hume Pipe Company Limited's diluted shares increased 1.8% YoY in FY2025 — share dilution.

Over 2 years (FY2024–FY2025), diluted shares increased 1.8% from 51.77M to 52.68M, indicating cumulative dilution.

Understanding Shares Outstanding

In FY 2025, Indian Hume Pipe Company Limited's diluted shares increased by 1.8% year-over-year. Diluted Shares accounts for stock options, warrants, and convertibles. Positive YoY change means dilution (red); negative means buybacks (green). Consistent dilution above 5% annually is a red flag.

Data from audited consolidated filings. For educational purposes only — not investment advice. Last update: FY 2025