GSM Foils Ltd. (GSMFOILS)
SME CapIndustrials stocks · SME cap · NSE
GSM Foils Ltd., established in 2019, manufactures Blister Foils and Aluminium Pharma Foils for the pharmaceutical industry. An ISO 9001:2015 certified company, it focuses on quality, technical expertise, and modern manufacturing. It serves 110+ clients across 14+ states, with a production capacity of 17,000+ MT/Annum.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Strong fundamentals, management trust is acceptable, but price trend argues for patience. Suitable for staggered entry or watchlist confirmation rather than aggressive buying.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Excellent · 100/100Rev +86% YoY · PAT +99% YoY · margin expansion · +19% QoQ · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹96.9 Cr | +86.3% | +18.6% |
| EBITDA | ₹11.5 Cr | +97.8% | +22.1% |
| Operating margin | 11.9% | +69 bps | +34 bps |
| PAT | ₹7.6 Cr | +99.0% | +21.3% |
| PAT margin | 7.9% | +49 bps | +17 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Q1 FY27 saw robust financial growth with revenue up 86.3% YoY to INR 96.89 Cr and PAT up 98.8% YoY to INR 7.62 Cr. EBITDA margin expanded by 70 bps YoY to 11.9%, while PAT margin improved by 50 bps YoY to 7.9%.
The company delivered strong Q1 FY27 results, driven by significant revenue growth and margin expansion. Strategic capacity additions in Ahmedabad and diversification into ROPP Caps are expected to support future growth and profitability. The focus on pharmaceutical packaging aligns with strong industry tailwinds, suggesting continued positive momentum.
Geographic Expansion
The company plans to strengthen its footprint across India by entering new and underpenetrated regions to unlock fresh growth opportunities.
Technological Advancements
Focus on upgrading production capabilities by investing in state-of-the-art machinery and innovative technologies to enhance operational efficiency and product quality.
Product Portfolio Diversification
Committed to expanding product range within the aluminum foil segment and diversifying into Aluminium ROPP Caps, which has a higher margin profile.
Manufacturing Capacity Expansion
Planning to establish a new manufacturing facility, targeted to be operational in the first half of FY27, to enhance production capacity and support long-term growth.
Ahmedabad Manufacturing Facility (Unit 2)
Operationalized a new manufacturing facility in Ahmedabad in 2025 with an approximate leased area of 17,000 Sq Ft and 10k+ MT annual capacity, targeting 80%+ utilization by March 2027.
ROPP Caps Manufacturing Facility (Unit 3)
Diversified into Aluminium ROPP Caps through a third manufacturing facility in Mumbai, with commercial production commencing in June 2026, having a potential to generate ₹50 Cr annual revenue at peak capacity.
New Manufacturing Facility
Management is planning to establish a new manufacturing facility, targeted to be operational in the first half of FY27.
Rising Pharmaceutical Exports from India
India's pharmaceutical exports reached USD 30.47 billion in FY25, registering 9.4% YoY growth, driving demand for export-quality aluminium foil packaging.
Growth in Generic Drugs & OTC Market
Rising demand for affordable healthcare and OTC medicines continues to support growth in blister and strip packaging.
Regulatory Push for Tamper-Proof, Barrier Grade Packaging
USFDA, WHO-GMP, and EU regulations mandate light/moisture/oxygen barrier packs, increasing demand for premium pharmaceutical aluminium foils.
Innovation in Drug Delivery – Rise in Blister Packaging
Global shift from bottle packaging to unit-dose formats (blisters/strips) for better compliance and hygiene, enabling precise dosing and longer shelf life.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Both YoY and QoQ comparisons are relevant. YoY highlights the significant growth trajectory and market expansion, while QoQ shows sequential momentum and the immediate impact of new capacities and operational efficiencies.
Revenue from Operations
Q1 FY27 Revenue from Operations was INR 9,688.6 Lacs, an 86.3% YoY increase from INR 5,200.0 Lacs in Q1 FY26 and an 18.6% QoQ increase from INR 8,168.9 Lacs in Q4 FY26.
EBITDA
Q1 FY27 EBITDA was INR 1,151.2 Lacs, up 97.7% YoY from INR 582.3 Lacs in Q1 FY26 and up 22.1% QoQ from INR 943.0 Lacs in Q4 FY26.
EBITDA Margin
EBITDA Margin for Q1 FY27 was 11.9%, an increase of 70 bps YoY from 11.2% in Q1 FY26 and 40 bps QoQ from 11.5% in Q4 FY26.
Profit After Tax (PAT)
Q1 FY27 PAT was INR 761.8 Lacs, a 98.8% YoY increase from INR 383.2 Lacs in Q1 FY26 and a 21.3% QoQ increase from INR 627.9 Lacs in Q4 FY26.
Strategic MoU for ROPP Caps
GSM Foils has entered the ROPP Caps segment through a strategic MoU with AAPL Solutions Private Limited, establishing its third manufacturing facility.
Ahmedabad Unit's Operational Efficiencies
The Ahmedabad facility is expected to deliver operational efficiencies primarily through better cost optimization and operate with a slightly improved margin profile as utilization scales up.
ROPP Caps Unit Profitability
The ROPP Caps unit is expected to deliver strong growth with attractive margins, higher than the existing business, supporting long-term profitable growth.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Ahmedabad Facility Utilization | Targeting 80%+ utilization by March 2027. | Progress towards achieving the 80%+ utilization target for the Ahmedabad unit and its impact on overall margins. |
| ROPP Caps Annual Revenue Potential | Potential to generate approximately ₹50 crore in annual revenue at peak capacity. | Ramp-up of revenue contribution from the ROPP Caps unit and its impact on overall profitability, given its higher margin profile. |
| New Manufacturing Facility Commissioning | Targeted to be operational in the first half of FY27. | Timely commissioning of the new manufacturing facility and its contribution to enhanced production capacity and efficiency. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
40NeutralSMA20 -54.4% / mo · MACD + · near 52W low
Technical chart
GSMFOILSdaily · 1Y · AUTO-44.6%Daily technical trend read
Bearish setupTrend is weak — long-term trend down. RSI 37.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- Recent death cross (SMA50 crossed below SMA200).
- SMA20 falling (~119.4% over last month) — short-term momentum negative.
- RSI(14) at 37 — sideways, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 62% off 52W high · 39% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation & score drivers
U-Score 76 · DEEP VALUE · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 76 · DEEP VALUE · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
DEEP VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 83.3%.
- Valuation contributes 30/30 to the score.
- Quality contributes 20/20 to the score.
Main drags
- Penalty bucket subtracts 7 points.
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
- Balance sheet is weaker at 8/15; verify the latest quarterly trend.
Cyclical valuation: normalized earnings, not just trailing PE
Cyclical companies can look cheapest near peak profits, so IndiaPulse flags value-trap risk separately.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 52nd percentile of the scored universe and 49th percentile within Industrials. Main check: cash conversion is weak at 28/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: Promoter holding fell 11.6%.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Industrials: 49th pctile, median 68 · SME: 66th pctile, median 64
14 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸ROCE is 35.4%.
- ▸4/4 latest quarters had positive YoY revenue growth.
- ▸4/4 latest quarters had positive YoY PAT growth.
Trust risks
- ▸Promoter holding fell 11.6%.
- ▸Operating cash flow is negative at ₹-37 Cr.
- ▸Only 0 years of positive FCF.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 5.50
- P/B
- 1.75
- EV/EBITDA
- 4.83
- Market Cap
- 130.00Cr
Profitability
- ROE
- 37.50%
- ROCE
- 35.40%
- ROA
- 14.55%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 83.03%
- EPS 5Y
- 121.34%
- Revenue 3Y
- 36.00%
- EPS 3Y
- 36.00%
Balance Sheet
- Debt/Equity
- 0.59
- Interest Coverage
- 8.75×
- Altman Z
- 4.06
- Book Value
- 52.80
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 0/5
- OCF
- -37.00 Cr
- EPS TTM
- 16.77
Shareholding
- Promoter Hold
- 54.38%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 6%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Industrials, ranked by similarity
Peers
Business-comparable names in Industrials, ranked by similarity
Peers
Business-comparable peers in Industrials — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.