@harsh.beria93 @pranavpallod12 thank you for the notes. I felt mgmt’s response was weak and not convincing for these 3 questions:
- While they’ve been talking of 18-22% EBITDA for value-added products for the last 2-3 years, the highest has been 17%+ (lower than the low-end). This is supposed to be the driver for next 3-4 years atleast. Either they could have explained what’s stopping from attaining this EBITDA range or guide to more attainable range.
- There hasn’t been any revenue growth from FY19 Q1 to FY23 Q1.
- Supreme without current capacity (and from what Time Techno mgmt says without owning technology) has aggressively bid for and got a larger LPG contract vs Time Techno. What’s stopping Time Techno being a bit more aggressive. Are they being safe and waiting for orders to add more capacity by anticipating that more orders from IOCL may not come soon ? This is inspite of them talking about Type-IV LPG cylinders for last several years.
Overall ok quarter, I feel debt, restructuring and the land sales is taking a lot of mgmt attention, and they’re being very careful after mindless expansion and lack of fiscal prudence in the last several years. Invested since 2018 and adding.
Subscribe To Our Free Newsletter |