You can cross verify taxes shown in income statement with taxes paid in the cash flow statement. If there is large variance between taxes paid in the income statement versus taxes actually paid which is shown in the cash flow statement it will give you a hint on how much as a percentage of income is a company paying its taxes
Posts tagged Value Pickr
How to find if Tax is paid by company properly or not (14-09-2015)
Hello friends,
As we all know if a company is not paying TAX properly,then it should be looked with suspicion.
Now how can we understand if a company is paying its tax properly or not ???
Relaxo Footwear: a wannabe brand play (14-09-2015)
Good to know that u r attending the AGM. Can u pls inquire abt their debt reduction plans? A further decline in the debt, I think, would boost the bottom-line further as a third of EBIT is going into finance costs.
Thanks in advance
Vivek Gautam Portfolio (14-09-2015)
Hi Ritul
I just wanted to reduce my leverage a bit.Hence the steps.Both Ambika & GRUH are excellent stocks to own otherwise.Your reasoning on Repco & Gruh is correct.
Syngene International IPO – Views invited (14-09-2015)
@Mahesh
I haven't gone through the numbers as of now. This is a new sector for me so trying to understand the sector and other factors influencing the company. Thanks for pointing it out though.
How to derive ROE using Dupont analysis (14-09-2015)
correct link
Syngene International IPO – Views invited (14-09-2015)
I was listing the possible things that can go wrong and it includes hedging risk also and in case of sharp depreciation of rupee against $ it might not go away in few quarters as hedges taken are more than double the size of current operation and must be spread over years....if you check forex losses trend over last few years then you will find over last 3 years company suffered cumulative losses of more than 100 cr. due to forex fluctuations......however, as you have rightly put, even I don't assign much importance to forex issues since its a pure business hedge but since we are here searching what factors can go wrong then it could include forex also.
Rgds.
How to derive ROE using Dupont analysis (14-09-2015)
Refer following link for better understanding
[ROE using Dupont analysis[1]http://articles.eomictimes.indiatimes.com/2014-08-04/news/52428487_1_profit-margin-dupont-company
Syngene International IPO – Views invited (14-09-2015)
@Mahesh Foreign currency risk even though always present shouldn't be a big factor. All exporters face such risks and their effect lasts at most for a couple of quarters and it evens out over the longer term so i don't assign a lot of importance to it. If the management doesn't have motives of making money from forex i would not feel rupee dollar rate to be a major risk going forward. A better idea would be understanding business risks playing out in the normal business operations
Syngene International IPO – Views invited (14-09-2015)
True Karan....apart from that if there is any GVK-type issue because of which there is disregard for a particular country like India could also affect business so is sharp depreciation of rupee, say it going to 75-78 could make it suffer hedging losses because of huge hedge contracts entered recently.....
As far as dedicated centre business goes, atpresent it contributes ~36 % to the revenues but there might be more dedicated centres on the way once CMS business approaches stabilisation and that is the most stable business for the company since contracts are long term and provide for enough compensation. Company might be inclined to encourage more clients towards dedicated centres.
Rgds.