What struck me most from their concall is Mr. Rupesh Mehta comes across as a no nonsense-no frills-straight to the point type of a personality. None of the fancy English jargons/PPT’s, just your regular next door ‘dhandhawala’.
He repeatedly emphasized, that order book is never a concern for the machine tool industry but the major challenges were skilled manpower, supply chain (component sub-vendors) and evolving technology (R&D).
The company does seem like they’ve been walking the talk, delivering good no’s and as the previous poster says Q4 is going to be a good quarter (Rupesh ji says typically the split is Q1-20%, Q2 & Q3 - 25% each, Q4 - 30%)
One thing I’m a bit cautious about is on the PSU orders. Macpower’s win rate has seen an increase ever since the introduction of the Reverse Auction mandate. Rupeshji brushed aside any margin pressures citing lowest direct costs in the industry. He also briefly touched upon how PSU clients have a stringent quality/inspection requirements (more cost) unlike private ones.
All that said, there’s every reason to feel bullish on the company. Still trying to figure out if all the Q4 numbers is already baked in the price. Would appreciate any inputs on how one would gauge it.
D : Not invested but tracking
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