In his 37 years at the network, he was a White House correspondent, weekend anchor and correspondent for “20/20.” He won 19 Emmy Awards.
Commodity and Cyclical Plays (27-10-2024)
Have always found Digant Haria insightful and original.
In maiden public speech, TVK leader Vijay targets DMK, speaks out against NEET (27-10-2024)
Tamil actor Vijay, founder of TVK, positions his new party against divisive forces and corruption, promoting secular social justice ideologies. He emphasizes equality, rational thinking, and women’s empowerment, drawing inspiration from leaders like Periyar and Kamaraj. Vijay aims for an inclusive society and rejects NEET, pledging to fight anti-people policies of both state and central governments.
Kumaraswamy’s son Nikhil eyes to emerge as Arjuna in ‘Kurukshetra’ bypoll battle at Channapatna (27-10-2024)
Nikhil Kumaraswamy faces a tough battle in the Channapatna bypolls on November 13 after previous defeats in Mandya and Ramanagara. Competing against Congress’ C P Yogeeshwara, he seeks to secure a win to follow in his family’s political legacy.
Global funds look towards India as financial market jitters pick up (27-10-2024)
A steady influx of foreign capital has positioned the nation’s bonds among top performers in developing markets this year, while the country’s stock market hit a record high last month
Cafe Coffee Day – Will you Date? (27-10-2024)
I am tempted to take a position again, all kinds of pessimism built in but she is clearing debts/ has full intentions and then there can be a resurgence of an offer like TATA Beverages of 1000 Cr or someone else
the core business is still strong; alive in B2B as well – coffee vending machines itself is a huge market
Cafe Coffee Day – Will you Date? (27-10-2024)
I am tempted to take a position again, all kinds of pessimism built in but she is clearing debts/ has full intentions and then there can be a resurgence of an offer like TATA Beverages of 1000 Cr or someone else
the core business is still strong; alive in B2B as well – coffee vending machines itself is a huge market
Ranvir’s Portfolio (27-10-2024)
Dodla Dairy –
Q2 FY 25 results and concall highlights –
Revenues – 997 vs 767 cr, up 30 pc
Gross Profit – 254 vs 205 cr, up 23 pc ( gross margins @ 25.5 vs 26.5 pc )
EBITDA – 96 vs 70 cr, up 37 pc ( margins @ 9.6 vs 9.1 pc )
PAT – 63 vs 43 cr, up 45 pc ( margins @ 6.4 vs 5.7 pc )
VAP sales @ 377 vs 195 cr, up 93 pc ( massive improvement )
Higher VAP sales are due to higher sales of Bulk Butter and SMP in Q2. Both Bulk Butter and SMP are low margin products. Bulk Butter + SMP sales at aprox 160 cr for Q2
Avg milk procurement @ 17.2 vs 17.0 Lakh Lit / Day
Avg milk sales @ 11.6 vs 10.9 Lakh Lit / Day
Curd sales @ 323 vs 309 Tones / Day
Company’s infrastructure –
Domestic –
14 processing plants
Processing capacity @ 20 lakh lit/Day
616 Dodla retail parlours
1750 + Milk and Milk product distributors
International ( operating in Kenya + Uganda ) –
2 processing plants
Processing capacity @ 4 lakh lit/Day
30 Dodla retail parlours
300 + Milk and Milk product distributors
International business now contributes to 10 pc of sales. Margins in Intl business are higher, dairy farming is easier due abundance of grazing lands
Orgafeed – Their animal feed business. Has 02 manufacturing facilities in AP. Selling directly to farmers through company’s procurement network against the value of milk supplied to them by the farmers
In Q2, Orgafeed reported 32 vs 20 cr of sales, EBITDA of 4.4 vs 1.4 cr
Have acquired 35 acres land in Maharashtra. Aim is to increase procurement from Maharashtra and set up an integrated plant on the acquired land
Normally liquid milk gives 7-8% EBITDA margin while value added products give 12-13% margin. In value added products, ghee and butter have less margin (around 5-6%) while butter milk, curd, lassi have 15% margins
Avg procurement price @ Rs 34.9 / Lit vs 39.1 / Lit in Q2 LY
Avg selling price @ Rs 68.2 / Lit vs 57.6 / Lit in Q2 LY ( avg of all products sold ). Increased selling price / lit is attributed to greater sales of Butter and SMP in Q2
In Africa, the procurement prices were higher in Q2 on a YoY basis – because of delayed rains. However, with the onset of rains, procurement prices have started to fall in Q3
Company may resort to some cuts in selling price and drive better volume growth – aim to to achieve better absolute profitability vs better margins
Milk procurement prices continue to remain stable
Increased cash build up on balance sheet to be used for acquisitions, expansion in Maharashtra, increase in dividend payouts
Most of the capex in Maharashtra will happen in FY 26
Drop in Gross Margins in Q2 is because of higher sales of SMP + Bulk Butter, higher procurement prices in Africa
Company intends to maintain VAP sales @ 38-39 pc of total sales. Also, see the steady margins to remain in the 8.5 -10.5 pc band
At present, the company procures 2 lakh lit of milk from Maharashtra per day. They intend to commence production from their Maharashtra facility wef Q1 FY 27 ( post completion of Greenfield capex )
Company aims to keep expanding its volume and sales value by 10 and 15 pc respectively for next 1-2 yrs
Company currently is carrying an inventory of aprox 240 cr of Bulk Butter + SMP put together ( this was aprox 380 cr on 31 Mar )
Company will continue with its strategy of building its inventory in the flush seasons ( like in Q3 ) and liquidating it ahead of festive seasons ( like in Q2 ). Basically there will be inventory build up in H2 every year and liquidation of the same in H1
Total project cost for the Greenfield capex in Maharashtra should be around 200-250 cr
Company is seeing descent uptick in the sales of Paneer, Curd and Ghee. There was a slowdown in IceCream sales in Q2 because of delayed rains in South India
If one removes the Bulk Butter + SMP sales from VAP sales, VAP sales stood at around 210 cr vs 190 cr in Q2 LY
Disc: holding from lower levels, biased, not SEBI registered, not a buy/sell recommendation
Ranvir’s Portfolio (27-10-2024)
Dodla Dairy –
Q2 FY 25 results and concall highlights –
Revenues – 997 vs 767 cr, up 30 pc
Gross Profit – 254 vs 205 cr, up 23 pc ( gross margins @ 25.5 vs 26.5 pc )
EBITDA – 96 vs 70 cr, up 37 pc ( margins @ 9.6 vs 9.1 pc )
PAT – 63 vs 43 cr, up 45 pc ( margins @ 6.4 vs 5.7 pc )
VAP sales @ 377 vs 195 cr, up 93 pc ( massive improvement )
Higher VAP sales are due to higher sales of Bulk Butter and SMP in Q2. Both Bulk Butter and SMP are low margin products. Bulk Butter + SMP sales at aprox 160 cr for Q2
Avg milk procurement @ 17.2 vs 17.0 Lakh Lit / Day
Avg milk sales @ 11.6 vs 10.9 Lakh Lit / Day
Curd sales @ 323 vs 309 Tones / Day
Company’s infrastructure –
Domestic –
14 processing plants
Processing capacity @ 20 lakh lit/Day
616 Dodla retail parlours
1750 + Milk and Milk product distributors
International ( operating in Kenya + Uganda ) –
2 processing plants
Processing capacity @ 4 lakh lit/Day
30 Dodla retail parlours
300 + Milk and Milk product distributors
International business now contributes to 10 pc of sales. Margins in Intl business are higher, dairy farming is easier due abundance of grazing lands
Orgafeed – Their animal feed business. Has 02 manufacturing facilities in AP. Selling directly to farmers through company’s procurement network against the value of milk supplied to them by the farmers
In Q2, Orgafeed reported 32 vs 20 cr of sales, EBITDA of 4.4 vs 1.4 cr
Have acquired 35 acres land in Maharashtra. Aim is to increase procurement from Maharashtra and set up an integrated plant on the acquired land
Normally liquid milk gives 7-8% EBITDA margin while value added products give 12-13% margin. In value added products, ghee and butter have less margin (around 5-6%) while butter milk, curd, lassi have 15% margins
Avg procurement price @ Rs 34.9 / Lit vs 39.1 / Lit in Q2 LY
Avg selling price @ Rs 68.2 / Lit vs 57.6 / Lit in Q2 LY ( avg of all products sold ). Increased selling price / lit is attributed to greater sales of Butter and SMP in Q2
In Africa, the procurement prices were higher in Q2 on a YoY basis – because of delayed rains. However, with the onset of rains, procurement prices have started to fall in Q3
Company may resort to some cuts in selling price and drive better volume growth – aim to to achieve better absolute profitability vs better margins
Milk procurement prices continue to remain stable
Increased cash build up on balance sheet to be used for acquisitions, expansion in Maharashtra, increase in dividend payouts
Most of the capex in Maharashtra will happen in FY 26
Drop in Gross Margins in Q2 is because of higher sales of SMP + Bulk Butter, higher procurement prices in Africa
Company intends to maintain VAP sales @ 38-39 pc of total sales. Also, see the steady margins to remain in the 8.5 -10.5 pc band
At present, the company procures 2 lakh lit of milk from Maharashtra per day. They intend to commence production from their Maharashtra facility wef Q1 FY 27 ( post completion of Greenfield capex )
Company aims to keep expanding its volume and sales value by 10 and 15 pc respectively for next 1-2 yrs
Company currently is carrying an inventory of aprox 240 cr of Bulk Butter + SMP put together ( this was aprox 380 cr on 31 Mar )
Company will continue with its strategy of building its inventory in the flush seasons ( like in Q3 ) and liquidating it ahead of festive seasons ( like in Q2 ). Basically there will be inventory build up in H2 every year and liquidation of the same in H1
Total project cost for the Greenfield capex in Maharashtra should be around 200-250 cr
Company is seeing descent uptick in the sales of Paneer, Curd and Ghee. There was a slowdown in IceCream sales in Q2 because of delayed rains in South India
If one removes the Bulk Butter + SMP sales from VAP sales, VAP sales stood at around 210 cr vs 190 cr in Q2 LY
Disc: holding from lower levels, biased, not SEBI registered, not a buy/sell recommendation