Anyone who attended today’s concall. Can you post notes.
Posts in category Value Pickr
TGV SRAAC erstwhile Sree Rayalseema Alkali (30-05-2024)
Is there any website where one can track caustic soda / other less popular commodity prices? Has anyone implemented it on Google Sheets or something?
Samhi Hotels – Turnaround with Tailwinds (30-05-2024)
Typically, finance cost across P&L and CFS is not the same. One is finance cost and the other one is how much cash was actually paid as interest in the year. This is usually different for most companies. In this case I’m making a guess but they may have paid upfront to reduce their debt liability as they had raised IPO money to reduce the debt. So some of the additional debt they may have paid would have also got some interest cost.
Samhi Hotels – Turnaround with Tailwinds (30-05-2024)
@Investment_Learner but my question is regarding “finance cost paid” mentioned in cash flow from financing activities.
In p&l its 345 cr ( the same number is added back in cash flow from operating activities) but in financing cash flows its 672 cr
Frontier Springs – has departed, whats the next destination? (30-05-2024)
FY 23-24 Earnings Call – My notes (Invested and biased)
Firstly…Key concern of initial speakers was the “missed 150 cr topline” to which the mgt clarified that they implied incl of taxes which they have delivered. Logical explanation.
Second…this was again a very confident session by the Mgt, all responses were full of conviction, and where needed, sufficient details were given, and repeated patiently again when asked for by some late entrants. There was two or three supplementary submissions by the second rung leadership also…on one instant not hesitating to call out the corrupt practices of the rating agency!
Guidance .
250Cr incl of taxes for CFY
350 Cr in NFY, 500Cr by 2026-27
Likely to do 60-62Cr per qtr going fwd
Last FY turnover was 150Cr approx incl of taxes
Segment Breakdown .
Coil springs…70-80cr
Forging…70cr
Air spgs…bal i.e 75-80Cr
Total…225Cr ( 250 cr incl of taxes)
Capacity .
Air spg only. 250 coaches/1000 spgs per month. (doubled from last call, as stated)
Total Cap. Max turnover potn of 350Cr with current capacity
Will need to do incremental capex to reach 500Cr capacity, have landbank for 500Cr turnover.
May require 15-20 Cr for the capex to incr capacity, expansion in each of the three segment to mov from 350Cr to 500cr
Have already Iden bottlenecks, addressing them, adding some machines, on progressive basis
Order book . 150Cr
2 years ago, starting order book for the year was 60-70 Cr, now 150Cr
3-4 Tenders Every day, will keep adding to order book
Air spg order . Did 18 Cr in last FY, Q4 was 7Cr. (monthly run rate 5Cr not met) Some Bellows are imported, red sea issue delayed shipments. Rubber portion is 40% (imported), rest is fully indigenised value add. All set to meet the timeline i.e in Q1?
Air Spg Type.
120KN,140KN,160KN,180KN
LHB coaches require 160KN spring, now FSL is the regular source and getting 100%orders.
180KN for EMU (metro coaches), currently FSL is a devp source, will qualify in 2 months to become a regular source.
Can Cater for 50% reqmt of railways reqmt of spgs (all type, IR will order 3.5k/7k coaches – in CFY as stated in Q2 call)
6T hammer capex . 2.5/4Cr done with rev potn 15-20Cr in CFY, Next FY can be 60-70Cr. To commence production by 15 Jul.( some delay, as this was to begin in Q1)
Margin . Maintain as in q4. Confident of improvement, 1 yr from now, if not earlier.
Misc Points
Competition. Not reasonable to take cognizance of (gave details of 03 companies in Air spgs and 7-8 small suppliers ex kolkota for others products). Still awaiting RDSO approval for regular supplier status which, takes 2 years to graduate from devp source to regular source… gives advantage to FSL. Enjoy confidence of RDSO due to quality and safety conscious approach.
Replacement cycles.
Coil spgs after 5yrs
Air spgs after 8yrs.
Equity Dilution. No major reqmt for addl funds to move ahead in existing segments. No plans nor reqmt to dilute equity in near future. Did not seem to be intrested to respond to a suggestion to consider increasing liquidity due to the low float and high share price.
Exec Time. 60 days from recpt of orders.
Looking to supply to Siemens, bombardier etc
No royalty to conti tech. Are suppliers to them
Defence . No new input.
Pl supplement for better understanding.
Ranvir’s Portfolio (30-05-2024)
Electronics Mart India –
Q4 and FY 24 concall and results highlights –
Q4 outcomes –
Revenues – 1524 cr, up 15 pc
EBITDA – 108 cr, up 18 pc
PAT – 41 cr, up 12 pc
FY 24 outcomes –
Revenues – 6285 cr, up 15 pc
EBITDA – 449 cr, up 34 pc ( margins @ 7.2 vs 6.2 pc )
PAT – 246 cr, up 51 cr
Number of stores added in Q4 – 12 ( all 12 are multi brand outlets )
Number of stores added in FY 24 – 33 ( all 33 are multi brand outlets ) – 13 each in AP, Telangana, 07 in Delhi NCR
Breakup of revenues ( product wise ) –
Mobiles – 42 pc
Large appliances – 45 pc
Small appliances, Laptops and IT peripherals – 13 pc
Yearly sales / Store @ 36 cr
Cash on books @ 85 cr
Total stores ( area wise ) –
Telangana – 97 { 87 MBOs ( multi brand outlets ) + 10 EBOs ( exclusive brand outlets ) }
AP – 41 ( 39 MBOs + 02 EBOs )
Kerala – 01 MBO
Delhi NCR – 21 ( 20 MBOs + 1 EBO )
Total – 147 MBOs + 13 EBOs
Operations in Delhi NCR started in Aug 22. Expect this region’s profitability to ramp up to South Cluster’s levels in 2-3 yrs
Region wise same store growth –
Telangana – 10 pc
AP – 22 pc
Delhi NCR – 94 pc
No plans to enter any new markets for the time being
Same Store growth for FY 24 @ 8.8 pc ( which is healthy )
Top 5 brands contribute to 60 pc of Company’s sales
Management believes that the strong growth in AC sales will get reflected in Q1 sales
To get to EBITDA margins of 5-6 pc in Delhi NCR, company needs these NCR stores to clock > 35 cr/yr per store sales
For FY 25, company is guiding for 15 plus + topline growth. Likely to maintain similar EBITDA margins as FY 24
Even for FY 25, a lot of store expansion focus shall be on the NCR mkts ( going to open another 14 stores in NCR in FY 25 … this includes adjacent mkts of Western UP, Haryana, Noida, Gaziabad etc ). That will take the total store count in this region to 35
Outside NCR, company intends to open 10 – 12 stores in South Mkts in FY 25
When a company opens a new store in Tier – 1 Mkts, it expects the store to ramp up up 60 cr + plus kind of annual sales by the end of 3rd year of operation. For Tier -2,3 stores, this expectation is 35 – 40 cr +
Capex + Inventory for a new store opening ( avg size – 10,000 sq ft ) is generally – 2.5 cr + 2.5 cr = 5 cr / store
Blended gross margins for the company are around 14-15 pc. For large appliances, GMs are around – 16-18 pc. For Mobiles, Laptops etc, they r lower
Disc: holding, biased, not SEBI registered. Also holding Aditya Vision Ltd. Basically bullish on electronics retail space
Samhi Hotels – Turnaround with Tailwinds (30-05-2024)
Thanks RJ! It is at a significant discount to peers and if you consider the Ex-ESOP EBITDAM which obv ESOP will finish in 2 years or so they are already doing close 38%+ EBITDAM which at a larger scale + debt repaid should result in significant EPS growth
Samhi Hotels – Turnaround with Tailwinds (30-05-2024)
Looks like a buying opportunity with the recent market-wide correction. EIH also had blockbuster results but no stock price increase.