Is there any update from AGM ? Is it good price to enter after becoming 7 beggar in last 1 year.
Posts tagged Value Pickr
Indian terrain—play on consumption (28-09-2015)
As far as i know, QIP money is utilized only to extent of Rs. 16 crores and that too for repayment of debt. Rest all QIP money is parked in liquid funds. I had been to AGM and had personal discussion with CEO, QIP funds would be used for
1. launch of new products like "Indian Terrain Boy", they are planning to also start selling of other men's accessories like "Shoes". So funds will be used for design, product development etc.
2. Advertisement campaigns, they soon are coming up with TV ads.
3. Repayment of long term debt which they have already done and now long term debt is NIL.
On business front, they are confident of increasing their top line by 12-15% and EBIDTA margin by 150-200 bps. That should give decent growth of 25-30% in EBIDTA and added with reduction in long term interest cost of nearly 1.5-2 crores should help achieve PAT increase of 35-40%.
Control Print – Deservers attention? (28-09-2015)
CP touches 350.Seems post AGM it has caught the attention of investors and analysts.Also the warrant issuance overhang gone.Stock is getting rerated.
How big is the opp size?only 600 crore as mentioned in BT or could it grow to more?
Hitesh portfolio (28-09-2015)
What are your thoughts on KSCL at this price? We had two bad monsoons in a row, and next one is predicted to be bad, which adds to the market's dis-illusionment on KSCL. Adding to it, the uncertainty around how the monsanto relationship is going to play out, has kept the stock cheap, at 10x earnings now. (Though some level of aggressiveness in E of the PE).
I know you used to own the stock, and sold at a 20x. How do you feel now?
P. I. Industries Ltd. – A Unique Business Model can make it a Great Play on Agri & CSM Space (28-09-2015)
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HIL – Eco (onomic) friendly way to play rural prosperity in India (28-09-2015)
HIL has been quite an enigma for me - company delivers decent results but no one seems to care because of the asbestos overhang. I cut my exposure at about 680 and hold a smaller quantity not because I do not believe in the business but because of my conviction that the valuation gap will never get corrected as institutions stay away from this stock because of the asbestos overhang.
on PVC, at theri scale, I see no reason - infact, CFO told me last year they did about Rs. 35 Cr. and this year they will do Rs. 70 Cr. or so without too much effort.
discl : invested but trimming.
Garware Wallropes (28-09-2015)
Few questions from AR
I am tracking the company for a while now... A consistent performer in a niche area of product with huge possibility in the expansion of Synthetic Cordage market.
However, while going through the Annual report in detail, I came across few issues, which unless clearly understood, is difficult to build a conviction in spite of perceived quality of management being good.
Enclosed is an excel file (with 4 years' numbers) which I prepared after finding few numbers which need better clarity.... Here are crux of my observations...
1) There is a Revenue booking of Rs. 12 Cr. to 15 Cr. (appx) each year during last four years under “Efforts made for construction contracts” ---- Unable to understand what it actually means?
2) Garware change accounting figures of previous years on subsequent years in many instances…… Some instances are mentioned in the worksheet. What may be the reason for such frequent changes?
3) Other Provisions / Other Payables figure are increasing at much higher rate than sales or profit….. Check excel…. Any specific reason for the change? Like, some change in business practises etc? If so, need to understand.
4) Forex exposure Liability has increased substantially over the years (check excel) …. We need to understand the nature and reason for this. Garware blended (domestic + exports) receivable days are less than 90 days and net forex exposure is about Rs. 268 cr. It is to be noted that, Rupee also didn’t show much volatility during the accounting period of 2014 – 2015. We are unclear about the reason for having such large and increasing forex hedge liability.How will Garware liquidate the liability. If the receivable days are less than 90 then there should be constant circulation of forex exposure .... How can it increase so much? Also, they didn't have any large Capital Goods import pending.
5) Non-elucidated (No narration given in AR) Short Term loan and Advances has gone up at 38% CAGR between 2012 – 2015 ---- What may be the reason?
I tried to seek clarification from management through few mail / phone but unable to elicit any response.
GARWARE 040915.xlsx (13.2 KB)
Granules India Ltd (28-09-2015)
So here's the potential business impact of the recent Ibuprofen FDA approval
Indian terrain—play on consumption (28-09-2015)
Definitely, it does. Thank you so much.
Ambika Cotton Mills (28-09-2015)
thanks for sharing your meeting notes.