#ROCE
In FY24, capital employed during the year was โน2,731 cr and PBIT โน615 cr and the ratio was ~26%. โน665 cr was employed in the electromechanical projects and commercial air conditioning systems and ~ โน1,251 cr in unitary products segment whereas remaining amount was in others.
In FY24, capital employed during the year was โน2,731 cr and PBIT โน615 cr and the ratio was ~26%. โน665 cr was employed in the electromechanical projects and commercial air conditioning systems and ~ โน1,251 cr in unitary products segment whereas remaining amount was in others.
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#COMPANY #POTENTIAL
โข Indian appliances and consumer electronics industry stood at US $9.84 billion in 2021 and is expected to more than double to reach โน1.48 lakh cr (US $21.18 billion) by FY25. (Source : IBEF) โข The Room Air Conditioner Market (RAC) grew 45% over FY22 in value terms. As a result, the overall market size grew to โน22,750 cr in FY23, of which the market for central air conditioning, including central plants, packaged and ducted systems, and VRF systems was around โน4,250 cr, while the market for room air conditioners comprised the balance โน18,500 cr. โข The overall AC industry (both residential and commercial), currently valued at around โน27,500 cr in FY24, is likely to double in the next four years. In FY24, of which the market for central air conditioning, including central plants, packaged and ducted systems, and VRF systems was around โน4,500 cr, while the market for room air conditioners comprised the balance โน23,000 cr. โข In FY23, the Indian RAC has grown to 8.4 million units and 10 million units in FY24. โข The demand growth in the segment is expected on the back of rising urbanization, increasing disposable income of the middleclass population, easy consumer credit, wide usability of online sales and decreasing replacement cycle. โข As a part of the Atmanirbhar Bharat Program, the Government has announced Production Linked Incentive (PLI) Schemes for many product categories, the ecosystem for air conditioning components is developing fast in the country. In pursuit to secure their supply chain, European and American players are looking at reliable and capable manufacturers outside China. โข E-commerce, as a distribution channel, has been witnessing phenomenal growth owing to the impetus provided by the Pandemic, thereby advancing its penetration in the country by 12-18 months. The Indian E-commerce market is expected to grow 21% to โน58,580 cr (US $75 Billion) in 2022 and is likely to reach โน1,01,547 cr (US $130 Billion) by 2025 growing at a CAGR of over 20%. The number of internet connections in 2021 increased significantly to 830 million, driven by the โDigital Indiaโ programme.
โข Indian appliances and consumer electronics industry stood at US $9.84 billion in 2021 and is expected to more than double to reach โน1.48 lakh cr (US $21.18 billion) by FY25. (Source : IBEF) โข The Room Air Conditioner Market (RAC) grew 45% over FY22 in value terms. As a result, the overall market size grew to โน22,750 cr in FY23, of which the market for central air conditioning, including central plants, packaged and ducted systems, and VRF systems was around โน4,250 cr, while the market for room air conditioners comprised the balance โน18,500 cr. โข The overall AC industry (both residential and commercial), currently valued at around โน27,500 cr in FY24, is likely to double in the next four years. In FY24, of which the market for central air conditioning, including central plants, packaged and ducted systems, and VRF systems was around โน4,500 cr, while the market for room air conditioners comprised the balance โน23,000 cr. โข In FY23, the Indian RAC has grown to 8.4 million units and 10 million units in FY24. โข The demand growth in the segment is expected on the back of rising urbanization, increasing disposable income of the middleclass population, easy consumer credit, wide usability of online sales and decreasing replacement cycle. โข As a part of the Atmanirbhar Bharat Program, the Government has announced Production Linked Incentive (PLI) Schemes for many product categories, the ecosystem for air conditioning components is developing fast in the country. In pursuit to secure their supply chain, European and American players are looking at reliable and capable manufacturers outside China. โข E-commerce, as a distribution channel, has been witnessing phenomenal growth owing to the impetus provided by the Pandemic, thereby advancing its penetration in the country by 12-18 months. The Indian E-commerce market is expected to grow 21% to โน58,580 cr (US $75 Billion) in 2022 and is likely to reach โน1,01,547 cr (US $130 Billion) by 2025 growing at a CAGR of over 20%. The number of internet connections in 2021 increased significantly to 830 million, driven by the โDigital Indiaโ programme.
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#COMPANY #OUTLOOK
โข The company aims to grow faster than the market in its core businesses of air conditioning and commercial refrigeration. The company is also planning to grow revenue from adjacencies such as Air Coolers, MEP services for Water Supply projects, and Railway Electrification. It will consolidate its position in the Middle East, Africa and South Asia regions with deeper market penetration and the introduction of innovative products and solutions. โข It aims to expand the global footprint by entering North America and Europe as Original design and manufacturing (ODM) solutions provider. โข It aims to strengthen its R&D and innovation capabilities and deploy total cost management programme across various businesses and functions. โข The company targets to achieve 15% market share in FY25 in the RAC segment. โข There is enhanced focus on increasing penetration in Tier 3/4/5 cities and developing more executive dealers there. โข They have guided for a margin of ~7%-7.5% for electro-mechanical projects & commercial air conditioning systems segment and ~8%-8.5% for unitary products and commercial refrigeration products segment. โข Capex for the upcoming 3 years will be in the range of ~โน750-โน800 crore per year. โข The Sri City Plant produced more than 300,000 air conditioners in FY24 and is on course to double that production in the current fiscal year. โข It plans to invest over โน50 cr in advertising during the upcoming summer season.
โข The company aims to grow faster than the market in its core businesses of air conditioning and commercial refrigeration. The company is also planning to grow revenue from adjacencies such as Air Coolers, MEP services for Water Supply projects, and Railway Electrification. It will consolidate its position in the Middle East, Africa and South Asia regions with deeper market penetration and the introduction of innovative products and solutions. โข It aims to expand the global footprint by entering North America and Europe as Original design and manufacturing (ODM) solutions provider. โข It aims to strengthen its R&D and innovation capabilities and deploy total cost management programme across various businesses and functions. โข The company targets to achieve 15% market share in FY25 in the RAC segment. โข There is enhanced focus on increasing penetration in Tier 3/4/5 cities and developing more executive dealers there. โข They have guided for a margin of ~7%-7.5% for electro-mechanical projects & commercial air conditioning systems segment and ~8%-8.5% for unitary products and commercial refrigeration products segment. โข Capex for the upcoming 3 years will be in the range of ~โน750-โน800 crore per year. โข The Sri City Plant produced more than 300,000 air conditioners in FY24 and is on course to double that production in the current fiscal year. โข It plans to invest over โน50 cr in advertising during the upcoming summer season.
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Blue Star Limited 1550-1650
Expected level 2000
Support 1450
Expected level 2000
Support 1450
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
HCL Technologies 1300-1430 Expected level 1700 Support 1200
1726โก๏ธโก๏ธโก๏ธLong term level hit๐ฏ Jackpot
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
CRISIL 4800-5240 Expected level 6000 Support 4400
6053๐ฅ๐ฅLong term level hit ๐ฏJackpot
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
Apollo Hospitals 5450-5750 Expected level 6700 Support 5000
5750 to 7200+โก๏ธLong term level hit๐ฅ
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
TVS Motor 2200-2400 Expected level 2800 Support1899
2900โก๏ธLong term level hit
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
CRISIL 4800-5240 Expected level 6000 Support 4400
6045๐ฅ๐ฅLong term level hit
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
Hdfcamc 3600-4030 Expected level 4700 Support 3450
5148๐Long term level hit
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
KIMS 2200-2460 Expected level 2770 Support 2000
Stock is split 2:10 ratio
712๐long term level hit
712๐long term level hit
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๐๐ญ๐จ๐๐ค๐ฌ ๐ฐ๐ก๐๐ซ๐ ๐๐ซ๐จ๐ฆ๐จ๐ญ๐๐ซ๐ฌ/๐๐๐ฒ ๐๐๐ซ๐ฌ๐จ๐ง ๐๐จ๐ฎ๐ ๐ก๐ญ ๐ข๐ง ๐๐ ๐๐๐๐!๐ฏ
1. Anup Engineering
2. Supreme Industries
3. Gala Precision Engineering
4. Mrs. Bectors Food
5. Man Infraconstruction
6. Maharashtra Seamless
7. Suprajit Engineering
8. KP Group
9. Orient Bell
10. GNA Axles
11. Enviro Infra
12. Zydus Wellness
13. Westlife Food
14. Som Distilleries
1. Anup Engineering
2. Supreme Industries
3. Gala Precision Engineering
4. Mrs. Bectors Food
5. Man Infraconstruction
6. Maharashtra Seamless
7. Suprajit Engineering
8. KP Group
9. Orient Bell
10. GNA Axles
11. Enviro Infra
12. Zydus Wellness
13. Westlife Food
14. Som Distilleries
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๐๐ผ๐ป๐ด ๐ง๐ฒ๐ฟ๐บ ยฎโข
Bharti Hexacom Limited 1050-1125 Expected level 1300 Support 900
1800๐ฅ๐ฅLong term level hit ๐
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Marico Limited company details report
Marico Limited is one of Indiaโs leading consumer products companies in the domestic hair and wellness market. It is present across varied categories of hair care, skin care, edible oils, health foods, and male grooming, with a vast portfolio of brands such as Parachute, Saffola, Hair & Care, Nihar, Livon, Kaya Youth, and Coco Soul. Currently, it has presence in 25 countries across emerging markets of Asia & Africa, including Middle East, Bangladesh, Vietnam, Egypt and South Africa, constituting ~25% of the total revenue. The company has a retail reach of ~5.8 million outlets and direct reach of ~1 million outlets in the domestic market. The company has 8 factories that are strategically located in India. Marico is a leading player in the domestic hair and wellness market with a leadership position in categories such as coconut oils, value-added hair oils, and Parachute Rigids within coconut oils. The company has a three-pronged strategy of driving growth through key categories, innovations/entrance into the niche category, and scaling up its presence in international geographies. In recent times, the company has entered niche categories such as male grooming, premium hair nourishment and healthy foods.
Marico Limited is one of Indiaโs leading consumer products companies in the domestic hair and wellness market. It is present across varied categories of hair care, skin care, edible oils, health foods, and male grooming, with a vast portfolio of brands such as Parachute, Saffola, Hair & Care, Nihar, Livon, Kaya Youth, and Coco Soul. Currently, it has presence in 25 countries across emerging markets of Asia & Africa, including Middle East, Bangladesh, Vietnam, Egypt and South Africa, constituting ~25% of the total revenue. The company has a retail reach of ~5.8 million outlets and direct reach of ~1 million outlets in the domestic market. The company has 8 factories that are strategically located in India. Marico is a leading player in the domestic hair and wellness market with a leadership position in categories such as coconut oils, value-added hair oils, and Parachute Rigids within coconut oils. The company has a three-pronged strategy of driving growth through key categories, innovations/entrance into the niche category, and scaling up its presence in international geographies. In recent times, the company has entered niche categories such as male grooming, premium hair nourishment and healthy foods.
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Coconut Oils - Parachute Coconut Oil continues to be the dominant market leader in the branded coconut oil market, while ~30% of the coconut oil market is still unbranded, presenting an attractive opportunity to capture a significant share of the transitioning market, sustaining/improving its growth trajectory. Saffola Franchise - The product range includes Saffola oils, Saffola Oats, Saffola Mayonnaise, Saffola Peanut Butter, Saffola Soya chunks and many more in the health & nutrition category. VAHO- Within the category, mid & premium segments continued to fare better than the mass segment, Nihar Shanti Amla had a sluggish year, Parachute Advanced Jasmine continued to gain market share, Hair & Care continued to drive penetration of the brand, Parachute Advansed Aloe Vera witnessed penetration gains in key markets. Premium Personal Care & Digital First Portfolio - Beardo sustained its impressive growth trajectory. Just herbs performed robustly in FY24, coupled with expansion in its wide-ranging portfolio through the launch of a range of natural make-up and pure fragrances, PureSense offers skincare, mood-lifting fragrances and bath products and Coco Soul has created 100% ayurvedic and vegan products, using natural towards skincare, hair care and health concerns.
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