Stock is bottoming out significantly and looks very attractive on the valuation front; on the other hand, manufacturing is about to kick off at least in the Panchla facility, but the real question is why Mr.Market is not looking at this as an attractive pick?? There is so much moat in using plastic labware, new facility launch, an increase in CDMO space, diagnostic tailwinds, etc., which definitely helps this business to improve revenues, and as most of us say, sometimes common sense is the key to winning in the stock market, and I see decent risk to reward coverage in this. Kindly share your views and any latest updates.

As Q1 of CY comes to end,
There is a little change in PF
Have added Mold Tek technology as implied growth rate is mere 11-12% for 17.5% Growth rate,

In this dip have also added SKP bearings,
The acquisition seems very interesting to me, ADD which EU has on Indian imported steel products there might be way around to the same by sending RM to france increasing cost advantage against local competitor

Let’s see how the same pans out

As on 31-3-24 PF stands as (in terms of highest to lowest weights)

1. SKP Bearings
2. Crown Lifters
3. Creative Newtech
4. Yasho Industries
5. Galaxy Bearings
6. Mold – Tek Technology
7. Misc. (< 4 %)

(Have not sold anything Changes in % highly due to MV changes)

No Buy/Sell Reco.
Baised on all of the above business

Concall Notes – Feb 2024 (Source:Screener Notes)

Financial Performance:

• Total sales for the 9 months at INR16,333 crores, up by 81%
• Collections up by 20%, totaling INR8,478 crores
• Average realization grown by 19% to INR10,143
• Debt equity remains at 0.6
• Unrecognized revenue of INR32,000 crores expected to have gross margins of 30-32%
• Debt outside books on JV projects around INR1,900-2,000 crores
• Other income includes REIT units, interest income, and dividends, with REIT contributing INR90-100 crores

Operational Highlights:

• Sold 16.13 million square foot of area and 8,402 units
• Launched over 30 million square foot of area in the fiscal year
• Completed 12 million square foot, crossing 300 projects totaling 180 million square foot
• Under construction and planning projects equal to 170 million square foot
• Sales already made close to INR32,000 crores of revenue
• Highest-ever launches during the fiscal year
• Prestige City format expanding to various cities

Strategic Initiatives:

• Looking to expand operations to new regions and add new projects
• Evaluating potential equity raise for hospitality portfolio monetization

Stakeholder Value:

• Strong focus on growth and creating value for stakeholders
• Continuing efforts to grow and create value for all stakeholders.

Disc:Invested

Thank you. What you mean by above ?

If protected by copyright somewhere else, how can you publish it here ? Is it your write-up?

Are you invested and what are the known risks and how ESAF compares to other listed peer SFBs like Ujjivan, Equitas,. Suryoday, Utkarsh, AU, Jana, Capital