@Ashar_Mann thankyou for sharing your knowledge. And i finished my analysis on galaxy bearing and in next 3 yrs im seeing the double market cap from today. What your view

@rcinvestor999 which tool is the screenshot from ?

Hey Kuldeep,
My 2 cents dont restrict yourself towards Just Midcap there will be some microcaps with Great oppostunity giving more than 30% eps CAGR
And there’ll be some deep Value large caps at some point that’ll be banger see Larsen
So dont restrict yourself by criteria of Size
Just make sure you invest in what you understand rather than what you should be buying just on the basis of numbers of ROE And PE, Etc.

Hey Sandeep.
Actually i havent updated my new position here
I sold out Brand concepts recently except for few 100 share in family account
I know Ashish Sir has entered and i know it is a big story itll be probably a 5x from here too but im not comfortable holding it now at 65 pe (Pe at which i sold)
Instead i was feeling much more confident in Creative newtech which in my calculations is at 10x 2Y forward PE with the business model same as that of Brand concepts with the differenct that they are into electronics meaning even better margin and possibly better valuations since Electronics is more niche than fashion and Galaxy Bearings which is undergoing humangous capex almost 3x of Og net block in CWIP And another 23 crores in Mutual fund that will be deployed for capex
As a part of scuttle but i recently met their logistic partner in Rajkot who’s office resides just kutside Galaxy’s office
In his words – Their Foot print in export is very strong, they dont even catter to domestic demands on enquiry they Catter to only Exports at large
Majority of his assignments from Galaxy are also directed towards Mundra port as a Supply chain for export orders
The normal Asset turnover is 8x-10x on the Net block see SKF, Timken, Scahffler
Post total completion of Capex the total capacity should be more than 65 crores (After depreciation)
Meaning more than 500 crores of sales taking view of 4-5 years (From current 130 crores)
And EBITDA After 4-5 years will be todays sales pr even more that that
I have made more strong position in Creative and have started with relatively small amount in Galaxy
Will put more of it into galaxy each month THROUGH SIP
Galaxy’s CAPEX should go live by start of next year
Where as for SKP It should go live by 2025- or 2026 middle

Disclaimer- all of the above business mentioned are part of my portfolio not a buy or sell advice
Views are welcomed

Nov24 : Concall summary

Financial Performance:

H1 FY24:

• Revenue breakdown:
  • BFSI: 21% growth
  • Organized retail: Healthy growth
  • Petroleum: 80% of past peak revenue
  • E-commerce and Others: Churn in touchpoints and competitive pressure
• Profit margin breakdown:
  • Lower profitability in e-commerce and logistics
  • Investments in DBJ and direct sales
  • Churn in some touchpoints

FY24 (Full year target) :

• Revenue:
  • Expected to grow by 20% yoy
  • Driven by consolidation of operations
  • Focus on core business segments
  • Investments in Acemoney and DBJ may contribute to growth in later quarters
• EBIT:
  • Expected to remain stable or grow slightly
  • Investment in new ventures may impact EBIT in the short term
• Profit:
  • Expected to grow in line with revenue
  • Margin pressure from investments may be offset by cost savings in other areas

FY25 and beyond:

• Revenue:
  • Long-term growth target of 20% per annum
  • Expected to be driven by:
    • Strong performance in core business segments
    • Significant contribution from DBJ (20% of total revenue)
    • Potential for further growth in new ventures (Acemoney and fintech solutions)
• EBIT:
  • Expected to expand as a percentage of revenue
  • Cost savings and operational efficiencies will contribute to margin improvement
• Profit:
  • Expected to grow at a faster rate than revenue
  • Margin expansion will lead to higher profitability

Individual Business Lines:

• Retail Cash Management:
  • Expected to remain the largest contributor to revenue
  • Growth driven by increasing demand for cash management services
  • Focus on expanding service offerings and geographic reach
• Cash Van Operations:
  • Expected to see strong growth due to increasing demand for secure cash transportation
  • Expansion of fleet size and service offerings will contribute to growth
• DBJ:
  • Expected to be a key driver of future growth
  • Targeting a 20% share of total revenue by FY25
  • Focus on expanding service offerings and geographic reach
• Fintech Solutions:
  • Expected to be a significant contributor to growth in the long term
  • Acemoney acquisition provides a strong platform for growth
  • Focus on developing new and innovative fintech solutions

Key Positive Points from Management Call:

• Strong financial performance:
  • Double-digit revenue growth despite challenging market conditions
  • Demonstrated resilience and adaptability
• Clear vision and strategy:
  • Well-defined roadmap for future growth
  • Diversification across multiple growth areas
• Commitment to profitability and shareholder returns:
  • Focus on cost efficiency and margin improvement
  • Track record of delivering value to shareholders
• Experienced and capable management team:
  • Proven leadership in cash management industry
  • Strong track record of success
• Significant growth potential:
  • Large and untapped market opportunities
  • Strong brand name and reputation
  • Innovative approach to new business ventures