Posts tagged All News
TATASky+ Transfer: Utility comes at a price (06-09-2015)
Uses your home Wi-Fi to transfer videos, but it takes time
Sony Xperia C4: A mixed package (06-09-2015)
Spending Rs 29,490 on just a decent performer is stretching it a bit
Daggers are out as Flipkart turns 8 (06-09-2015)
But rivals give it credit for dreaming big and developing Indian e-commerce space
Devangshu Datta: Get set for a protracted bear market (06-09-2015)
Market indices are down; the rupee could lose further against the dollar. Yet India's growth has been reasonable and its fundamentals appear okay
Fiscal time bomb (06-09-2015)
Govt must explore new options to limit OROP's impact
Collective challenges (06-09-2015)
Spillovers from Western monetary policy a problem
Omkar Speciality Chemcials Ltd — OSCL (06-09-2015)
- Omkar had borrowings of Rs 223 crore as at 31/03/2015 on consolidated basis. Finance cost on gross basis was Rs 22.65 crore for FY2015. After capitalising Rs 8.17 crore of interest, net charge towards finance cost Rs 14.48 crore.
- Net fixed assets deployed/under deployment of 271 crore include CWIP of Rs 121 crore as the company is expanding its capacity in Chiplun and Lasa unit. However, their present level of revenues at Rs 263 crore in relation to that is small; Not sure what level of revenues is targeted by the company when commercial production is achieved.
- Iodine derivative segment, which is among major portfolio of the Company, the prices of iodine based raw material continued to fall & consequently the Company suffered on topline growth as per own admission of the management. Even though the production volumes of iodine derivatives grew by 16-17%, it didn't result in topline growth.
- Company is working on Working capital cycle that has improved to 143 days compared to 203 in FY 2014 but remains to be seen if they can bring greater efficiency. Shorter debtor cycle in export segment might be of help.
- Though they are capitalizing interest and maintaining operating margins of 19% or so, I don't see the ROCE meaningfully expanding from here.
I don't closely track Omkar but as it appears from its financials & trend, a setback on business front or inability of the company to commensurately increase the revenues due to internal or external factors can adversely affect it's operational performance, given the finance cost and other fixed costs.
In present environment when iodine prices are soft and commodities highly uncertain to call, any setback can severely test company's resilience to financially withstand a downturn. Investors need to be cautious.
Discl - Not invested.
AMFI to tweak MF ranking process, cut expense ratio (06-09-2015)
Committee on mis-selling wants upfront fee scrapped
Living on $2 a day in America (06-09-2015)
$2.00 a Day is a remarkable book that could very well change the way we think about extreme poverty in the US
A new era begins for commodity exchanges (06-09-2015)
As SEBI and FMC merge and equity exchanges launch commodity trading, competition will increase, says PK Singhal, Joint MD of MCX