S Chand Group is a prominent Indian education content company with a rich legacy spanning over 85 years. Founded in 1939 by Shyam Lal Gupta, the company has established itself as a leading provider of educational materials and services across various segments. Incorporated in 1970 and listed in 2016, S Chand & Company is principally engaged in publishing educational books with products ranging from school books, higher academic books, competition and reference books, technical and professional books, and children's books.
The company operates through a diversified portfolio that caters to multiple educational segments. S Chand and Company Limited is engaged in the publishing of educational books with products ranging from schoolbooks, higher academic books, competition and reference books, technical and professional books and children's books. Its segments include Early Learning, K-12 and Higher Education. The company provides its products and services in printed as well as digital forms.
S Chand's comprehensive approach to education content delivery spans across various age groups and educational levels. It provides Indian education content, which delivers content, solutions and services across the education lifecycle. Its K-12 content portfolio is offered to students from ages four through 18 years and includes numerous instructional resources across hundreds of programs, covers all subjects offered in the K-12 segment.
The company's product portfolio includes multiple well-established brands that have gained recognition in the Indian education sector. Its brands include S Chand, Madhubun, Saraswati, Chhaya and IPP. Its higher education segment comprises two components: test preparation and college and university/technical and professional. Its early learning business segment's brands include BPI, Smartivity and Risekids.
The company has also expanded into digital learning platforms and device-based solutions. It has presence in a classroom learning segment through Destination Success, and a presence in device-based learning through Mystudygear, Intellitab and Ignitor.
S Chand has demonstrated strong financial performance, particularly in recent quarters and for the full financial year.
Q4 FY2024-25 Performance:
- Revenue: ₹477.74 Crore, a 9.08% jump year-on-year.
- Net Profit: ₹141.91 Crore, a 9.81% jump year-on-year.
- Quarterly Revenue Growth: 369.75% jump since last 3-months.
- Quarterly Net Profit Growth: 676.17% jump since last 3-months.
Full Financial Year FY2025 Performance:
- Operating Revenue: INR 7,197 million, up 9% year-on-year.
- Gross Margin: 68%, up from 66% the previous year.
- EBITDA: INR 1,350 million, a growth of 23% year-on-year.
- Operating Income: INR 798 million, up 65% year-on-year.
- Net Profit (PAT): INR 602 million for FY25.
The company maintains a healthy balance sheet with strong cash reserves. Net Cash Balance stood at INR 1,036 million at year-end, making the company net debt-free.
• Market Capitalization: ₹803 Crore (as of recent trading data)
• 52-week High Share Price: ₹257.50
• 52-week Low Share Price: ₹157.60
• Stock P/E: 13.3
• Book Value: ₹281
• Dividend Yield: 1.77% (FY25 interim dividend of ₹4, translating to 2.97%)
• ROCE: 9.72%
• ROE: 6.24%
• Face Value: ₹5.00
S Chand has been actively expanding its digital content offerings and exploring new revenue streams. The AI content licensing business generated INR 20 crores in FY25, a significant increase from INR 1.6 crores the previous year. The target for FY26 is INR 25-30 crores, with ongoing discussions to expand partnerships.
The company has provided positive guidance for future growth. S Chand reports highest 5-year revenues, EBITDA Rs 1,350m, and has declared an interim dividend of ₹4. The FY26 revenue guidance is set at >Rs 800 crore.
Analysts maintain a positive outlook on the company's prospects. S Chand has a target price of ₹286, suggesting a slight upside of 21.15% compared to the current price of ₹233.4, according to one analyst rating. Prabhudas Lilladher maintains a 'BUY' rating for S Chand & Company, setting a target price of Rs 286. The company expects revenue growth driven by new syllabus books and content syndication, despite a slight miss in bottom-line performance due to a higher tax rate.
The company's strategic focus on quality over aggressive growth and its debt-free status position it well for sustainable expansion in the evolving education sector. S Chand is benefiting from increased textbook demand as academic activities revive post-COVID, highlighting its strong market position and growth potential in the Indian education content industry.
