Asian Granito Ltd (Asian Tiles)

Overview: Asian Granito Ltd (AGL) is the 4th largest listed ceramic tile company in India. With the ongoing development in India and neighboring countries, the company’s market capitalization has strong growth potential.

Joint Venture in Nepal: AGL has recently entered into a joint venture with individuals in Nepal to incorporate Nepovit Ceramic Pvt Ltd for tile manufacturing, expanding its regional footprint.

Increased Foreign Investment: There has been a significant increase in FII stakes in AGL over a single quarter, reflecting growing confidence in the company.

Revenue Breakdown (FY24): AGL’s revenue is split between exports (15%) and domestic sales (85%).

Financial Concerns: Despite the positive growth indicators, the company’s Price-to-Earnings (P/E) ratio is not currently displayed, and its Operating Profit Margin (OPM) and Profit After Tax (PAT) have been negative since the June 2022 quarter.

Outlook: While there are risks given the company’s recent financial performance, AGL has potential for significant returns, especially if the market conditions favor its expansion efforts.