Normalized KPI’s for FY23:
- OPM: 22% (basis past data)
- Sales: 2700 Cr. FY23 sales grew by 61% compared to FY22. From basic Math, it seems that raw material inflation contributed 12%. This will be passed to the customers in next year sales.
- Hence: EBITDA: 594 Cr. and PAT: 448 Cr.
One can use these numbers alongside next year’s expectations to judge the current valuation. On technical front, my sense is that the price is yet to form a base.
FYR:
| Mar-19 | Mar-20 | Mar-21 | Mar-22 | Mar-23 | FY23 (Normalized) |
|
|---|---|---|---|---|---|---|
| Sales + | 1,060 | 1,038 | 1,133 | 1,876 | 3,023 | 2,699 |
| Expenses – | 827 | 803 | 935 | 1,513 | 2,194 | |
| Material Cost % | 62% | 59% | 64% | 63% | 59% | 60% |
| Operating Profit | 234 | 235 | 198 | 363 | 829 | 594 |
| OPM % | 22% | 23% | 17% | 19% | 27% | 22% |
| Other Income + | 20 | 20 | 17 | 33 | 64 | 64 |
| Interest | 2 | 5 | 6 | 5 | 5 | 5 |
| Depreciation | 17 | 35 | 47 | 40 | 48 | 48 |
| Profit before tax | 234 | 216 | 162 | 352 | 841 | 605 |
| Tax % | 40% | 24% | 26% | 26% | 26% | 26% |
| Net Profit + | 136 | 165 | 120 | 260 | 618 | 448 |
| Data Source: Screener.in |
Disc: No Position. Yet to study the business.
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