Performance and execution going on well:+1:
Currently, profits look lower because of high capex done (higher depreciation and interest costs) in last 2 years… so as operating leverage kicks in, profits should go up.
One main thing of RPPL is that I can see the vision for the company after next 10-20 years …
The reasons are : 1) Steady and growing fmcg demand (food and beverage)
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High customer stickiness. Once customer is acquired, they tend to stay with the company unless the company screws up.
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So, the only thing company needs to do is keep adding capacities (newer machines) and keep executing as it has been doing.
There is no need of any drastic change in business model…
(Though one of the negatives is the high capex requirements for growth… it can result in temporary underperformance in short term profitability)
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