They just now added 5% cash on the book value.
They are using the whole cash for extra provisions.
At the end of the day i suspect it will not be that big an impact on the balance sheet as it looks on P&L.
We need to wait for the Balance sheet in next quarter results to confirm because merger just happened.
the cost of equity is greater than cost of debt so I would like to believe this is not a simple rights issue, there may be something else happening in the background which we will come to know when management discloses it.
Hi,
SKP bearing situation looks intresting, promoter has bought nearly 1% in last 3 months, stock is available at 210, what’s your call, are you averaging up?
CMS Info Systems Limited Earnings Call Presentation for potential negative news:
Subdued Consumption Impact: The presentation notes that “subdued consumption in H1’FY25 affected realizations” in the Cash Logistics segment. This suggests that lower consumer spending negatively impacted revenue in that area.
Order Book Execution Delays: There were delays in executing the order book, particularly with PSU Banks, during the first half of the fiscal year. The delays were attributed to testing and integration issues. This could raise concerns about the company’s ability to convert its order book into revenue promptly.
EBITDA and PAT Margin Contraction: While both revenue and profit increased year-over-year, there was a contraction in both EBITDA and PAT margins. This could indicate increased costs or pricing pressure impacting profitability.
QC’s biggest dependency is cheap labour costs. As far as I am aware, this is why it has been successful in EMs but not in DMs.
As a country, we have two paths ahead: we will make productive use of our demographic dividend and get richer per capita or risk falling into the middle-income trap.
In the former, the labour force should flow into more lucrative manufacturing jobs and there might not be enough cheap labour for QC. The burgeoning middle class should expand consumption for all products and the terminal value factored in D2C business shall be realised.
In the latter case, where we stagnate, while cheap labour remains available for service, the consumption could stagnate and the terminal value of D2C businesses evaporate.
If drone delivery materializes based on regulations, and costs, this could help boost QCs and will be a further detriment to the physical retail model.
Lots of unknowns in the thesis on both paths.
Hey!
Yaa exited long time ago if you follow me on twitter you probably know the reason
Tarachand was interesting bet for me at 200 odd ruppees and was valued faar cheap in comparison to Crown,
No reason other than valuation run up actually to sell,
Value here was in sub 90s but not in 300s
I exited around 200-210 so it made me look fool there too but tarachand compensated enough for me
Disclaimer: Not a buy sell reco
I own neither of above atm
What’s gone wrong with VST Industries. Their profit has de-grown by 21% in past 12 months. It would need some meticulous planning and execution to mess up a business as simple and sticky as tobacco, that too without any adverse regulation.
Why doesn’t BAT do anything?
I just can’t understand why there is no accountability for the deteriorating results. Request to help me understand the dynamics of why bad results don’t seem to be causing any kind of shake up in the company.
Thanks
Mr. Market thinks it is not good enough and it should trade at 0.7 of book value and below the adjusted book!!
Mortgage loans, Home loans and Credit cards grew aggressively. Credit card is just 7% of AUM; Personal loan is 11%.
YoY growth in advances is 14%. The Bank wants to keep Credit – Deposit ratio at the current level as aggressive deposit growth and a decrease in C-D ratio can increase the cost of funds.
What is that the market is discounting?
Mr Market does not seem yet to be convinced by the change in underwriting practices in the Bank. Also, my guess is that the market is estimating that NIM can come down as RBI reduces the repo rates. But can it bring down the NIM to a scenario where the RoE is severally down? One cannot know but at the moment it looks unlikely. I think it is at a discount, but you never know!
Hi, Have you exited Crown Lifters? Any specific reason for doing so? Thanks.
Bank with ‘highest corporate governance standards’ leaked the result…which is evident from heavy short positions created on Thursday and Friday.