Great work guys…very interesting research on the company. On the concerns raised on the financial statements, I have two cents to add:
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Auditor: Suresh R Shah & Associates, the company auditors do not have a website and cannot find the name of any other listed company, this firm audits. I was able to get the list of partners from ICAI website, and looking at their membership no. it can be said that the four partners and good years of experience…20+ years. So it cannot be concluded that the auditor is shady and they are more experienced than Adani Enterprises auditors for sure.
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Cash Flow Statement: It is baffling that the company has not generated any cash flow in the past 10 years. A closer review of the Cash Flow Statement reveals that the company has been investing all its earnings into working capital, which is possible as the company has not raised any capital, does not have any debt or even short-term loans and has been growing revenues for the past three years at 50% plus. Everything put together, it is possible for such a company to not generate any free cash flows.
Disc: No investments
Best Regards
Shobhit
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