5th AGM link and summary notes (conducted on 31st Aug 2022)
https://inflameindia.com/downloads/announce2022/INFLAME_AGM.mp4
Currently, main focus of the company is to grow chimney volumes; Household chimneys are expected to grow in excess of 15% per annum. Chinese imports continue as market is large and growing. Indian market size for Chimney is 2.2 mn per annum. Market opportunity is large - targets to capture over 30% market share in the next 5 years. Current company’ market share is 5%
Currently 2 clients account for 60 to 80% of topline ie Hindware and Sunflame. Company intends to diversify its client profile with growing volumes.
Sharp growth in volumes expected in FY23: Immediate goal is to achieve over 2 lakh units of chimneys (ie 18 to 20k per month) from both plants ie Panchkula and Hyderabad (current output was less than 1 lakh units). Post achieving 2 lakh units, then will consider introducing other products.
Plan to set up plants in other locations in the country, given that chimneys are bulky products and logistic costs are high
Company believes that as scale increases, and RM cost will reduce and EBITDA margins can improve
Cash flow has improved due to bill discounting of receivables, but reflected in Rs 1.3 cr of finance cost of Rs 1.3 cr
Subscribe To Our Free Newsletter |