So it means that out of say 15-20% savings due to crude prices reduction, some 10% was transferred to clients leading to reduction in top line by 10%..but volume growth of 3% came to help reduce topline by net 7%…the rest of the savings in crude prices ie 10% is reflected in gross margins expansions. .
Posts tagged Value Pickr
Kellton Tech – Fast growing IT guy in ISMAC space (30-11-2015)
Hello Subash. I am invested in the company from 70 levels. I added this looking at the owners and the area it works in but now a days all the companies are entering there. There are small companies like Cambridge Tech in this domain apart from Kelltech. Also their margins are far lesser than 8Kmiles. 8Kmiles PAT margins are more than 20% but here they are partly 10%. Would like to see your inputs. Thanks
Disc. Invested from 70 levels and forms just 2% of my portfolio
Tree house education and accessories ltd. – Potential candidate for improvement in RoE (30-11-2015)
I am glad that management came out and clarified everything w.r.t. the net debt situation apart from the points you have mentioned. They said that they are trying to become 100-125 cr cash positive which looks far fetched but achievable within 2-3 years. That selling by institutional players is understandable as they do have those requirements (learnt from “One up the Wall Street”). If tomorrow still it opens at lower circuit I will add more.
Disc. It forms 20% of my portfolio and my avg is closer to 300Rs.
My Portfolio – Dhina (30-11-2015)
I too used to think that Sun can rejig things quick but today, I ran out of patience and booked a loss
Torrent Pharma Ltd (30-11-2015)
Its a lot of sentimental value and supposed to provide an instant access to the FIIs but I guess any sensible FII will not merely look at this list alone before investing…..my 2 cents – like many things – this too will pass..
Torrent Pharma Ltd (30-11-2015)
thanks.
In the list i see a name called risa intl. no idea about company but its price crashed from around 350-400 in nov 2014 to currently around 5-6..
So much for the msci list. 
Torrent Pharma Ltd (30-11-2015)
cadila was not in the list of deletion but still got a downtick today…and several in the inclusion list, like Can Fin and TVS Srichakra did not have an uptick either……..the fall in Torrent was heady indeed and it sank to 1403 briefly
Torrent Pharma Ltd (30-11-2015)
here is the link for Nov additions and deletions
https://www.msci.com/eqb/gimi/smallcapdom/MSCI_Nov15_SC_IndiaDom_PublicList.pdf
Kellton Tech – Fast growing IT guy in ISMAC space (30-11-2015)
a. 30 lac warrants (6.9% of equity) will be converted @90/- per unit as per the promoter –
http://www.moneycontrol.com/stocks/stock_market/corp_notices.php?autono=1221661
b. Plans to raise $15 million via QIP soon (in October-November 2015 timeframe as per following interview) –
http://www.moneycontrol.com/news/resultsboardroom/fy16-profit-growth-seen-10-11-weak-rupee-helping-kellton_2828981.html
$5 million for debt reduction and $10 mn for new acquisition.
TAKE SOLUTIONS LTD- will you take it? (30-11-2015)
The business of LS ( not SCM) definitely is attractive but the key here how the Company is going to be successful in extracting the outsourcing from the top pharma majors. Some more points
- On the strength of the considerable intelligence gathered, TAKE made the strategic decision of limiting its SCM activities to profitable segments while capitalizing on the growth potential of the LS industry and its USD 1.23 trillion Pharma & USD 289 billion Biotech markets.
- SCM from Rs 166 cr in 2009 to Rs 212 cr in 212 ( CAGR 5%) and LS from Rs 156 cr to Rs 475 cr in 2015 ( CAGR 20%). 20% is a very god sign.
- Life Sciences R&D spending is projected to grow 2.4 % per year from 2013 to 2020, reaching $162 billion.
- TAKE Solutions’ Clinical Accelerators to reduce the time taken to standardize clinical trial data by over 50% (when compared to standardization without the accelerators), thus reducing time to market.
- Experts joining LS vertical.
Source : Company AR
1. Depreciation is 30 yrs as Schedule II but I dont know the logic behind for 60 years. This is first time I am seeing a dep rate exceeding a rate as per Schedule II.
2. Ashish Dawan ( > 5% shareholder)has take an exit . he is from Chrysalis capital.
3. Working Capital requirement is huge and is consuming most of the operating CF. Further, CF is negative if you consider FA, Product Development and Goodwill.
4. They have intangible assets of Rs 100 cr and Rs 187 cr as Goodwill. Anyway, this can be ignored as it is accounting only. But on cashflow basis point no 3 is important.
Future potential is good provided we get improvement on 1) Cross Holdings 2) DSO 3) how they are going to tackle unattractive SCM 4) CF improvement from WC and Product development. FA and Goodwill, I am ignoring for the time being. 5)More details on how they are doing on acquisitions.
Rgds,