any thought on this stock? Posting my notes below of the recent concall where management has given a 4x revenue guidance by 2027. I know its their words vs reality but just thought of digging given such a bullish estimate . if management is able to achieve even 50% of what they saying, their forward P/E will be 7-8 at current price based . One concern is last year they missed their estimate and this year they have revised down their guidance.

Concall text (Nov 23) : https://nsearchives.nseindia.com/corporate/FROG_22112023135626_Intimation_Transcript_.pdf

Financial Performance:

• Revenue increased by 5.24% from Q1 FY24 to Q2 FY24, surpassing expectations and leading to a revised FY24 guidance of 20-25% growth.

• EBITDA increased by 26.57% from Q1 FY24 to Q2 FY24, with the guidance remaining at 16-18%.

• Order book stands at a substantial ₹80 crore, including the ₹17 crore order from BSNL

Key Developments:

• New product launches, including 5G antennas, DC power distribution units, fixed wireless access terminals, interference mitigation solutions, unlicensed band radios, and 5G DAS systems, are contributing significantly to growth.

• Trials for the interference mitigation system and the air fiber solution are ongoing

• The company consolidated its Noida units and closed the Dehradun facility, transferring equipment to the new unit and selling the Dehradun land parcel

• The company expects to benefit from the PLI scheme in H2 FY24 which is ~5cr INR

Future Outlook:

• The company is aiming to achieve a revenue of ₹500 crores within the next 4 years, despite some project delays due to customer trials and low margins.

• This ambitious goal will be achieved through adding new products to the portfolio, expanding markets, entering the export market aggressively in the next year, and potentially setting up a small UK facility for repackaging, assembly, or sourcing technologies.

• The company remains confident about its growth in the telecom sector, followed by defense and then space.

• Despite the recent delays, the company maintains its focus on profitable projects and may shy away from high-volume, low-margin deals.

Q&A Highlights:

• The revised revenue guidance of 20-25% is based on existing deals and recent signings, with potential for additional growth exceeding expectations.

• The company’s UK subsidiary GORF UK Limited aims to improve customer acceptability in European and African markets and potentially provide better margins

• The Dehradun land parcel is 500 square meters and was purchased around 2010. The company expects to receive bids and determine its value after advertising the sale in newspapers

• The company expects to receive around ₹5 crores in PLI incentives for FY24

• The company’s decision not to exhibit at the Indian Mobile Congress was due to existing customer relationships and the focus on maximizing return on investment

• While the company acknowledges the potential impact of Reliance Jio’s air fiber technology, it believes it is a complementing technology to optical fiber, particularly for last-mile delivery

Hi harsh,

Whats your view on Par drugs?
did you happen to check this stock?

Thanks in advance

NCLT had directed the shareholders of both entities to vote on the merger. Now that the shareholders have approved the merger, NCLT should give its final approval. But we have to wait till the hearing. Hopefully it should end in one hearing.

Antara has senior living and care homes if I am not wrong. By Antara, which part of business you meant?

By Too many items, you are referring to which all businesses? Why I ask this is because of various things that happened with this group last few years, it is not clear to many what the listed Max India holds…so would be good if you elaborate more here…

A big investor in Indian ethanol producers is not worried about the new curbs. Has strong conviction in Praj

CNBC interview with Ravi Dharamshi well known as Rakesh Jhunjhunwala’s protege.
You can read the article interview and watch in CNBC Video too at top.