Smruthi Organics (BOM:540686) Asset Turnover: 0.28 (As of Mar. 2026)

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BOM:540686 Smruthi Organics Ltd BOM:540686
68 GF Score
Price ₹118.80
GF Value ₹107.46
Valuation Modestly Overvalued
! 4 Warning Signs
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What is Smruthi Organics Asset Turnover?

Smruthi Organics BOM:540686 -1.04% 68 Asset Turnover is 0.28 as of Mar. 2026. GuruFocus rates BOM:540686 with a GF Score™ of 68/100 and a GF Value™ of ₹107.46 (Modestly Overvalued). The stock has 4 warning signs investors should review.

Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Smruthi Organics's Revenue for the three months ended in Mar. 2026 was ₹291 Mil. Smruthi Organics's Total Assets for the quarter that ended in Mar. 2026 was ₹1,035 Mil. Therefore, Smruthi Organics's Asset Turnover for the quarter that ended in Mar. 2026 was 0.28.

Asset Turnover is linked to ROE % through Du Pont Formula. Smruthi Organics's annualized ROE % for the quarter that ended in Mar. 2026 was 5.81%. It is also linked to ROA % through Du Pont Formula. Smruthi Organics's annualized ROA % for the quarter that ended in Mar. 2026 was 4.12%.


Smruthi Organics  (BOM:540686) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

Smruthi Organics's annulized ROE % for the quarter that ended in Mar. 2026 is

ROE %**(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=42.68/735.124
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(42.68 / 1163.548)*(1163.548 / 1035.4)*(1035.4/ 735.124)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.67 %*1.1238*1.4085
=ROA %*Equity Multiplier
=4.12 %*1.4085
=5.81 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.

* 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.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

Smruthi Organics's annulized ROA % for the quarter that ended in Mar. 2026 is

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=42.68/1035.4
=(Net Income / Revenue)*(Revenue / Total Assets)
=(42.68 / 1163.548)*(1163.548 / 1035.4)
=Net Margin %*Asset Turnover
=3.67 %*1.1238
=4.12 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.

* 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.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


Smruthi Organics Asset Turnover Related Terms


Smruthi Organics Asset Turnover Historical Data

* Premium members only.

The historical data trend for Smruthi Organics's Asset Turnover 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.

Smruthi Organics Asset Turnover Chart

Smruthi Organics Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Asset Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.48 1.46 1.13 1.10 0.95

Smruthi Organics Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Asset Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.34 0.17 0.32 0.22 0.28

BOM:540686 vs ZTS, UTHR: Asset Turnover Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Smruthi Organics's Asset Turnover, along with its competitors' market caps and Asset Turnover 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.


Smruthi Organics Asset Turnover vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Smruthi Organics's Asset Turnover distribution charts can be found below:

* The bar in red indicates where Smruthi Organics's Asset Turnover falls into.


BOM:540686
68GF Score
Smruthi Organics Ltd BOM:540686
Asset Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Smruthi Organics Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

Smruthi Organics's Asset Turnover for the fiscal year that ended in Mar. 2026 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Mar. 2026 )/( (Total Assets (A: Mar. 2025 )+Total Assets (A: Mar. 2026 ))/ count )
=1019.671/( (1117.429+1035.4)/ 2 )
=1019.671/1076.4145
=0.95

Smruthi Organics's Asset Turnover for the quarter that ended in Mar. 2026 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=290.887/( (0+1035.4)/ 1 )
=290.887/1035.4
=0.28

* 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.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.

Frequently Asked Questions Learn more about Asset Turnover →
What does a Asset Turnover of 0.28 mean?
Smruthi Organics (BOM:540686) has a Asset Turnover of 0.28 as of Mar. 2026. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Smruthi Organics and its competitors.
Is Smruthi Organics' Asset Turnover too high?
Smruthi Organics' current Asset Turnover is 0.28. Overall, Smruthi Organics has a GF Score™ of 68/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Smruthi Organics' Asset Turnover compare to ZTS and UTHR?
Smruthi Organics' Asset Turnover of 0.28 can be compared against companies in the Drug Manufacturers industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Asset Turnover for a Drug Manufacturers company?
A good Asset Turnover depends on the Drug Manufacturers industry context. However, Asset Turnover 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 Asset Turnover mean?
A high Asset Turnover can signal that a stock is expensive relative to its fundamentals. Asset turnover equals current-period sales over average total assets over the past two periods. View historical data on Smruthi Organics and its competitors. Smruthi Organics's current Asset Turnover is 0.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smruthi Organics stock overvalued right now?
Based on GuruFocus' analysis, Smruthi Organics (BOM:540686) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹107.46, compared to a current price of ₹118.80 — trading 10.6% above its estimated fair value. The current Asset Turnover is 0.28. Smruthi Organics' overall GF Score™ is 68/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Asset Turnover calculated?
Asset Turnover is calculated from a company's financial statements. For Smruthi Organics (BOM:540686), the current Asset Turnover is 0.28 as of Mar. 2026. 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.

Is Smruthi Organics (BOM:540686) Overvalued in 2026?

Based on GuruFocus' analysis, Smruthi Organics stock appears to be overvalued. The current stock price of ₹118.80 is trading 10.6% above its estimated GF Value™ of ₹107.46. GuruFocus considers Smruthi Organics to be Modestly Overvalued.

Key valuation signals for BOM:540686:

  • Asset Turnover: 0.28
  • GF Value™: ₹107.46 vs. price of ₹118.80 (10.6% above fair value)
  • GF Score™: 68/100 with 4 warning signs

No single metric tells the full story. See the BOM:540686 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Smruthi Organics Business Description

Address Railway Lines, 165-A, 1st Floor, Balaji Bhavan, Solapur, MH, IND, 413001
Smruthi Organics Ltd is engaged in the manufacture of bulk drugs and drug intermediates (API Products). The product portfolio includes Amlodipine Besilate, Amlodipine Base, S-Amlodipine Besilate, S-Amlodipine Base, Norfloxacin, Metformin HCI, Diloxanide Furoate, Phthaloyl Amlodipine, Pantoprazole Sodium, Pefloxacin Mesylate Dihydrate, Telmisartan, Losartan Potassium, and many more. It has two reportable business segments: Bulk Drugs and Drugs Intermediates (API), and Formulation. It generates the majority of its revenue from the Bulk Drugs and Drugs Intermediates (API) segment. Geographically, the company generates maximum revenue from outside India through exports, and the rest from its business within India.
68GF Score

Get the complete analysis for BOM:540686

Asset Turnover is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹118.80
Price
₹107.46
GF Value