Rama Telecom (NSE:RTL) Net-Net Working Capital: ₹-0.22 (As of Mar. 2025)

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NSE:RTL Rama Telecom Ltd NSE:RTL
18 GF Score
Price ₹83.05
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What is Rama Telecom Net-Net Working Capital?

Rama Telecom NSE:RTL +1.28% 18 Net-Net Working Capital is ₹-0.22 as of Mar. 2025. GuruFocus rates NSE:RTL with a GF Score™ of 18/100.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Rama Telecom's Net-Net Working Capital for the quarter that ended in Mar. 2025 was ₹-0.22.

The industry rank for Rama Telecom's Net-Net Working Capital or its related term are showing as below:

NSE:RTL's Price-to-Net-Net-Working-Capital is not ranked *
in the Telecommunication Services industry.
Industry Median: 9.05
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Rama Telecom  (NSE:RTL) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Rama Telecom Net-Net Working Capital Related Terms


Rama Telecom Net-Net Working Capital Historical Data

* Premium members only.

The historical data trend for Rama Telecom's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rama Telecom Net-Net Working Capital Chart

Rama Telecom Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Net-Net Working Capital
-0.50 -1.88 -0.30 -0.22

Rama Telecom Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25
Net-Net Working Capital -0.50 -1.88 -0.30 1.00 -0.22

NSE:RTL vs TMUS, VZ, T: Net-Net Working Capital Comparison

For the Telecom Services subindustry, Rama Telecom's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Rama Telecom Price-to-Net-Net-Working-Capital vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Rama Telecom's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Rama Telecom's Price-to-Net-Net-Working-Capital falls into.


NSE:RTL
18GF Score
Rama Telecom Ltd NSE:RTL
Net-Net Working Capital is just one metric. See GF Score™, valuation, warning signs, and more.
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Rama Telecom Net-Net Working Capital Calculation

Rama Telecom's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2025 is calculated as

Net-Net Working Capital(A: Mar. 2025 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(14.271+0.75 * 103.058+0.5 * 54.591-121.828
-0-0)/13.199
=-0.22

Rama Telecom's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2025 is calculated as

Net-Net Working Capital(Q: Mar. 2025 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(14.271+0.75 * 103.058+0.5 * 54.591-121.828
-0-0)/13.199
=-0.22

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.

What does a Net-Net Working Capital of ₹-0.22 mean?
Rama Telecom (NSE:RTL) has a Net-Net Working Capital of ₹-0.22 as of Mar. 2025. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Rama Telecom
Is Rama Telecom's Net-Net Working Capital too high?
Rama Telecom's current Net-Net Working Capital is ₹-0.22. Overall, Rama Telecom has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Rama Telecom's Net-Net Working Capital compare to TMUS and VZ?
Rama Telecom's Net-Net Working Capital of ₹-0.22 can be compared against companies in the Telecommunication Services industry. The industry median Net-Net Working Capital is 9.05. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net-Net Working Capital for a Telecommunication Services company?
The median Net-Net Working Capital among Telecommunication Services companies is 9.05, based on 55 companies in the industry. Companies in the top quartile (top 25%) have a Net-Net Working Capital significantly above this median, while those in the bottom quartile fall well below. However, Net-Net Working Capital should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net-Net Working Capital mean?
A high Net-Net Working Capital can signal that a stock is expensive relative to its fundamentals. Ben Graham defined net-net working capital as the per-share sum of cash, 75% of receivables and 50% of inventory less total liabilities. View historical data on Rama Telecom For the Telecommunication Services industry, the median Net-Net Working Capital is 9.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rama Telecom's current Net-Net Working Capital is ₹-0.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rama Telecom stock overvalued right now?
Rama Telecom (NSE:RTL) has a current Net-Net Working Capital of ₹-0.22. The current Net-Net Working Capital is ₹-0.22. Rama Telecom's overall GF Score™ is 18/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net-Net Working Capital calculated?
Net-Net Working Capital is calculated from a company's financial statements. For Rama Telecom (NSE:RTL), the current Net-Net Working Capital is ₹-0.22 as of Mar. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Rama Telecom Business Description

Address Kamalalaya Centre 156A, Lenin Sarani, Room No-302, 3rd Floor, Kolkata, WB, IND, 700013
Rama Telecom Ltd is a technology-driven engineering company with expertise in optical fiber, providing end to end customized networking solutions in the telecom forefront. The company continuously supports its services to the Railways, Telecom, Petroleum and Airport sector. Its business services are provided to the Railway Sector and Telecom Sector. It operates in a single Business segment, which is the business of Trading & installation works of contractors. The company provides customized E2E networking solutions in the Telecom & Datacom forefront.
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Net-Net Working Capital is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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