I think, The volume growth is there, on standalone level its 3%(as per management call), Realization declined due to the low RM prices benefits are passed on to the customer (as per management any variation more than 5%(+/-) will be passed on to customer.
2) Even i called the management, same reply
3) And if your friend can find out , how are the demand scenario's in US?
i understand this rule pretty well and have made money shorting stocks (a disclosure). So let's take an example of cupid and understand this:
Now obviously the price is not 393 but 397 and this 1% error comes in a lot of scripts that i have seen, not sure why but mostly the price is right. Hopefully the above examples helps.
Let's hope better sense prevails, and BSE rolls back this stupid rule, cannot see any logic in it.
Oh yes. You are correct Ateek. But what is your view on the sales shift? I called the IR team of Sarla - they told that they were IR people for sarla in past - they are no more now. Website of Salra not updated. Even i tried calling the mgmt - CFO of the company - they told that he is out of office and you need to call next tuesday. Meanwhile asked my textile friend to inquire on the company and its plants, products.
Introduction
o Promoters have good qualifications (Kellog/Wharton), serial entrepreneur
o Scaling company mostly through M&A
o So far walking the talk
o Target
- top line of 2000 Cr in 3 years
- FY17E expected top line 600cr
o Riding on I-SMAC wave (IoT, Social, Mobility, Analytics, Cloud) wave
o HQ @Hyderabad. Founded in 1993
o Growth accelerated when new management took over in 2009
·
Customers
o Well-funded ecom players like Flipkart, Jabong,Makemytrip, Indigo
o Mostly solution, no maintenance job
·
Misc
o 135 employee in Gurgaon, rest in US
o On an average good review at Glassdoor
Disc : Invested
Please refer attached doc for more details
Kellton Tech - Final Summary.docx (407.3 KB)
@abhishek90- as per the management call, First shipment of Nylon 66 was done in Q3- FY 2016, so Nylon 66 will come only in the H2,
2)The turnover split , (Us plant)It also includes subsidiary other than the Sarla flex(Subsidiary for the new plant) , so the comparison will never be correct.
Pratik, thanks for developing a great thread. Really liked the look of this company - traditional manufacturing company that is conservatively run while innovating with new products.
A quick Google search yielded this disturbing news though - http://articles.economictimes.indiatimes.com/2014-09-05/news/53601799_1_takeover-norms-entities-investor-protection
Any views on it?
When we see in the above table - Q-O-Q growth in sales at India level - its a 2% growth - this has to be because of growth in sales volume only. (Since price has already been decreased at the start of the year - due to crude price reduction).
This shows that the de-growth of 9% and 7% in first 2 quarters of FY 2016 can be because of -
1). Reduction in sales price by say 10-12%
2). Growth in sales volume of say 3-4% (this is in line with mgmt guidance)
Net net effect is a negative growth of 8-9%.
This story proves since there is a Q-O-Q growth in Indian sales (though just of 2%). I might be wrong on this. Since, a mere 2% growth can be because of slight price increase. Mgmt can be the final verdict on this !!
Request if anyone can throw some light on this..
S P Tulsian discusses effect of completion of railway siding at Vijayawada. He says that it will increase NCL's reach which shall increase it's sales subsequently.
Is Patanjali listed in stock market?
I think it could range between 10-15 PE if its showing good growth which it is currently doing.
It could go up to 20 PE if there is roaring bull market or if there is froth in the counter.