https://nsearchives.nseindia.com/corporate/RBMINFRA_26082024172744_Callinvite_signed.pdf

@vikrantp I use the earliest available date for calculations. This will ensure that the calculations are fine.

In the recent Q1 call, there are certain red flags. Please see below from the recent transcript. There are serious mistakes pointed out by analysts in the presentation. There is lot of confusion on order book and Bid book. I think this business seems risky as 80% of the order book is from Saudi Arabia and looking at current political situation in middle east, I find this business quite risky.
Transcript portions
Dhavan Shah: Sir, this is Dhavan Shah from Alfacurate Advisors. So, my question is on the projected capacity
by FY26. So, in this presentation, I think we have shown that by FY26, we will be having
2,25,000 capacity of ERW versus the last quarter presentation it was showing roughly 2,75,000
tons, so why there is a reduction of roughly 50,000 tons in ERW?
Nikhil Mansukhani: 5,000 tons in ERW?
Dhavan Shah: This quarter presentation is showing 2,25,000 tons of ERW capacity by FY26 and in the last
quarter presentation, it was showing roughly 2,75,000 tons?
Nikhil Mansukhani: So, Dhavan, there might be some clerical error. We will get back to you on that

Pradeep Rawat: Sir, my first question is regarding our ERW CAPEX, so we are planning to expand 100,000 tons
per annum capacity for ERW. So, what would be the CAPEX for this expansion and when could
we assume this plant to be commissioned?
Nikhil Mansukhani: The ERW CAPEX, Pradeep has already been completed and it is under operation.
Pradeep Rawat: So, I am talking about the expansion that we have shown in our presentation. So, currently, we
have a capacity of 1,75,000 tons per annum and we are expecting this capacity to be 2,75,000.
So, I was just asking for that additional capacity?
Nikhil Mansukhani: Pradeep, we will get back to you that. I think there has been some clerical error on that. So, we
will get back to you on that like we said in the first thing, we will get back on that particular
thing.
Dhavan Shah: And when this Saudi Arabia plant would commission?
Nikhil Mansukhani: 12 months.
Dhavan Shah: So, it would be in FY26 only?
Nikhil Mansukhani: Yes.
Dhavan Shah: And so I think in the presentation, we have to update that thing also, right?
Nikhil Mansukhani: Correct. We will send the updated one.
Darshil Pandya: So, just one question from my end, regarding the 10% EBITDA margin guidance that you have
given. So, if we could know that is it because of the order book that we have right now has a
higher margin or how will we achieve that margin in this full year?
Nikhil Mansukhani: The order book which we have now is on the exports are more on the higher margins. So, we
are confident to achieve the yearly guidance which we are giving.
After reading the Q1 Transcript, My confidence level is low and I am thinking of booking profits to be on safer side. Views of more knowledgeable members are requested on my assessment.
Disclosure- I bought at 138-140 level, I am not a SEBI registered advisor and my views are biased and are based on my little understanding of the business. Please make your own assessment for any decision you take.

Hi Kunal, This question no one can answer for you except yourself. Buying decision is relatively easy then a sell decision. It will depend on what is your time horizon and goal for investing in Trent. Yes valuation are high for almost every business this time, if you do not have a better idea with good valuation then you can consider Trent after studying last 2-3 years annual report and presentations. Please also study ABFRL, Shopper Stop, V Mart retail, V2 retail(looks good) and retail industry overall.
Please consider a significant move by the National Stock Exchange (NSE),Trent will be added to the prestigious Nifty 50 index, effective from September 30. This reshuffle highlights the growing importance of Trent, known for its strong retail presence. Trent and BEL are expected to see net inflows of approximately $470 million and $335 million, respectively, after adjusting for Next 50 exclusions as per yesterdays ET. Addition to NIFTY 50 should results in buying of Trent by all NIFTY 50 Mutual funds and ETFs as per their mandates. These funds will sell Divy’s Lab and LTI mind tree (which will exit the Index) and replace them by Trent and BEL. I think Trent stock will be more stable and less volatile now, being a part of NIFTY 50.It will be bought regularly by NIFTY 50 index funds and ETFs for retail SIP investors according to its weightage.
Caution-You need to track it every Quarter for earning growth, because if it gets removed from the Index then there will be sudden selling by all Index funds, also after the initial surge, there might be a temporary pullback as some investors may take profits. Please also consider the following

Factors Affecting Price Movement

Trent Ltd’s financial performance, growth prospects, and market share will continue to be crucial determinants of its stock price. The performance of the retail sector as a whole will also influence Trent Ltd’s stock. Broader market trends, economic indicators, and interest rate changes can impact the stock’s price. The weight of Trent Ltd in the Nifty 50 will also play a role. A higher weight could lead to more significant price movements. Overall, Trent Ltd’s inclusion in the Nifty 50 is expected to have a positive impact on its stock price. The company’s strong fundamentals and the prestige associated with being a part of the Nifty 50 are likely to support upward price movement. However, it’s important to note that market conditions and company-specific factors can influence the actual price trajectory.

Disclosure: This analysis should not be considered as buy or sell recommendation. I am invested in Trent for last 20 years at very low levels. My views are biased and my knowledge is limited. I am not an Expert and nor a SEBI registered advisor.