Do You Know: Rana Sugar
RSL is one of the most diversified sugar facility in the country. RSL is market leader in Punjab Medium Liquor (PML) sector.
RSL also has portfolio of well established Liquor brands.
Rana Sugar also a preferred bottler for several leading liquor brands
Its cattle feed biz has promising prospects
120 MW power plant too, apart from Sugar and distillery activities
TP ₹ 35 seems achievable although if markets maintain buoyancy, even Rs 50 possible
RSL is one of the most diversified sugar facility in the country. RSL is market leader in Punjab Medium Liquor (PML) sector.
RSL also has portfolio of well established Liquor brands.
Rana Sugar also a preferred bottler for several leading liquor brands
Its cattle feed biz has promising prospects
120 MW power plant too, apart from Sugar and distillery activities
TP ₹ 35 seems achievable although if markets maintain buoyancy, even Rs 50 possible
RDB Rasayan~Technical Update
HOT Buy RDB Rasayan cmp 91 Breaking out with Huge volumes. Clean Chart pattern for Immediate tgt 109.Add more above 110 closing for Blue open sky(Stock can double like SAGARSOFT in short time) Stop Loss~81 closing basis
HOT Buy RDB Rasayan cmp 91 Breaking out with Huge volumes. Clean Chart pattern for Immediate tgt 109.Add more above 110 closing for Blue open sky(Stock can double like SAGARSOFT in short time) Stop Loss~81 closing basis
Samkrg pistons: CMP 163
TP: ₹ 250
✅Q2+Q3 EPS: ₹13.85
✅FY22EEPS: ₹28😮 (Tdg @5.5 forward PE only)
✅BV: ₹155
✅Market cap 150cr vs FY20 sales of 230cr
TP: ₹ 250
✅Q2+Q3 EPS: ₹13.85
✅FY22EEPS: ₹28😮 (Tdg @5.5 forward PE only)
✅BV: ₹155
✅Market cap 150cr vs FY20 sales of 230cr
*Deepak Spinners Ltd: TP 200*
*Can spurt like suryalata (120 to 200 in 2 weeks)*
BV: ₹215🔥
Q3EPS: ₹13
Decent size company: Sales of ₹461 Cr for FY20 (even though bad year for textiles)
Average volumes of 40,000 per day in last 1 week (earlier average volumes were 3-5k per day). This suggests magnificent numbers coming
*Q4EEPS: ₹15-16*💯💯 (conservative estimate)
*FY22 EEPS: ₹48* 😱😱(Cheapest stock in synthetic yarn)
Read our detailed report sent earlier
*Can spurt like suryalata (120 to 200 in 2 weeks)*
BV: ₹215🔥
Q3EPS: ₹13
Decent size company: Sales of ₹461 Cr for FY20 (even though bad year for textiles)
Average volumes of 40,000 per day in last 1 week (earlier average volumes were 3-5k per day). This suggests magnificent numbers coming
*Q4EEPS: ₹15-16*💯💯 (conservative estimate)
*FY22 EEPS: ₹48* 😱😱(Cheapest stock in synthetic yarn)
Read our detailed report sent earlier
🎯 CHEAPEST ENGINEERING TWINS
*Miles ahead series #5 & #6*
Both stocks at BSE Don’t select, but go for both! (Snapshots below, detailed report soon)
________________________________
*1. KPT Industries:*
CMP: 138
BSE 505299
Target: ₹220
Company is engaged in the business of manufacturing of Electrical Power Tools and Roots (Positive Displacement) Blowers/Exhausters for a wide variety of applications, Electric Commercial Vehicles.
🎯Company has recently completed our major *expansion* project, to increase the production to *1 millions motors*.
•Market cap: 41cr vs 9m sales 80cr
•Equity just 1.70 Cr !! (Stock will fly like a rocket)
•FY22EEPS: ₹19 (stock trading at just 7 PE)
• International presence
________________________________
*2. Hindustan Hardy: CMP 165*
BSE 505893
Target: ₹312
Sector: *High precision* components/ Speciality engineering
✅Stock can zoom like Pix Transmission which has rallied from 100 to 450+ levels
•Market cap: 25cr vs FY20 sales of 39cr
•Q2+Q3 EPS: ₹11.5
•FY22EEPS: ₹29
•Stocks trading at just 5.5 forward PE!🌟
*Miles ahead series #5 & #6*
Both stocks at BSE Don’t select, but go for both! (Snapshots below, detailed report soon)
________________________________
*1. KPT Industries:*
CMP: 138
BSE 505299
Target: ₹220
Company is engaged in the business of manufacturing of Electrical Power Tools and Roots (Positive Displacement) Blowers/Exhausters for a wide variety of applications, Electric Commercial Vehicles.
🎯Company has recently completed our major *expansion* project, to increase the production to *1 millions motors*.
•Market cap: 41cr vs 9m sales 80cr
•Equity just 1.70 Cr !! (Stock will fly like a rocket)
•FY22EEPS: ₹19 (stock trading at just 7 PE)
• International presence
________________________________
*2. Hindustan Hardy: CMP 165*
BSE 505893
Target: ₹312
Sector: *High precision* components/ Speciality engineering
✅Stock can zoom like Pix Transmission which has rallied from 100 to 450+ levels
•Market cap: 25cr vs FY20 sales of 39cr
•Q2+Q3 EPS: ₹11.5
•FY22EEPS: ₹29
•Stocks trading at just 5.5 forward PE!🌟
Rain industries CY21 estimate by DenofWealth
No one understands Rain better than DoW
TP Rs 450
Q1CY21EPS Rs 6.31(actual)
Q2CY21E EPS Rs 7.50
Q3CY21,E EPS Rs 8
Q4CY21E EPS Rs 9
_*CY21EEPS Rs 30-31*_
Q2: onwards EPS should be HIGHER:
🎯 Better realisation in CPC/CTP as prices rose further in March
🎯 Commercial production and despatches started from German plant
🎯SEZ new plant of CPC can commence operations in H2
BE SHAREHOLDER OF BIGGEST MFR OF CARBON PRODUCTS IN THE WORLD
No one understands Rain better than DoW
TP Rs 450
Q1CY21EPS Rs 6.31(actual)
Q2CY21E EPS Rs 7.50
Q3CY21,E EPS Rs 8
Q4CY21E EPS Rs 9
_*CY21EEPS Rs 30-31*_
Q2: onwards EPS should be HIGHER:
🎯 Better realisation in CPC/CTP as prices rose further in March
🎯 Commercial production and despatches started from German plant
🎯SEZ new plant of CPC can commence operations in H2
BE SHAREHOLDER OF BIGGEST MFR OF CARBON PRODUCTS IN THE WORLD
*BUY Panchmahal Steel* for mid to long term
Dont miss. Can cross 100 soon
SL 65
Co makes special steel and wires used in engg and power plants
Expecting Q4 to be lifetime best
Expecting atleast 100% Growth in PAT QoQ
Dont miss. Can cross 100 soon
SL 65
Co makes special steel and wires used in engg and power plants
Expecting Q4 to be lifetime best
Expecting atleast 100% Growth in PAT QoQ
_Real wealth is created by Investing ahead of the Street_
Q4FY21 result of JK Paper indicate that SAPPL will give AWESOME Q4 and stock can be 500 soon
*Shree Ajit Pulp & Paper Ltd (SAPPL)* TP 600
Tdg @ 3.5xFY22EEPS
✅Will flare up like SAGARSOFT
A smallcap stock with a very tiny market cap in the booming Kraft paper industry with excellent track record
*Huge 16500 tonne production capacity* .
Stock is bound to get Investors fancy once Q4 results are declared.
_*Manufacturing only Kraft Paper (prices up 50% in Q4)*_
Consistently good track record. Available at less than 1xP/B
FY20 EPS was 38
Q3FY21 EPS alone was Rs. 20. Q4 to be even better. (Can it get any cheaper?)
Possible to report 80-85 EPS for FY22
Low floating stock. Stock will be back-to-back UC once Q4 declared. Trading volume will increase as stock price goes up
Possible 600 in 6 months, subject to mkt conditions
Wont find paper stock trading so cheap.
Buy now to stay ahead of street as stock price is bound to flare up very quickly.
Q4FY21 result of JK Paper indicate that SAPPL will give AWESOME Q4 and stock can be 500 soon
*Shree Ajit Pulp & Paper Ltd (SAPPL)* TP 600
Tdg @ 3.5xFY22EEPS
✅Will flare up like SAGARSOFT
A smallcap stock with a very tiny market cap in the booming Kraft paper industry with excellent track record
*Huge 16500 tonne production capacity* .
Stock is bound to get Investors fancy once Q4 results are declared.
_*Manufacturing only Kraft Paper (prices up 50% in Q4)*_
Consistently good track record. Available at less than 1xP/B
FY20 EPS was 38
Q3FY21 EPS alone was Rs. 20. Q4 to be even better. (Can it get any cheaper?)
Possible to report 80-85 EPS for FY22
Low floating stock. Stock will be back-to-back UC once Q4 declared. Trading volume will increase as stock price goes up
Possible 600 in 6 months, subject to mkt conditions
Wont find paper stock trading so cheap.
Buy now to stay ahead of street as stock price is bound to flare up very quickly.
*Correction* *Somany Home Innovation Ltd.* | *CMP* Rs. 340 | *M Cap* Rs. 2458 Cr | *52 W H/L* 342/63
(Nirmal Bang Retail Research)
*Result improved*
Revenue from Operations came at Rs. 613.3 Cr (11.2% QoQ, 68.2% YoY) vs QoQ Rs. 551.4 Cr, YoY Rs. 364.6 Cr
EBIDTA came at Rs. 64.6 Cr (16.2% QoQ, 396.5% YoY) vs QoQ Rs. 55.6 Cr, YoY Rs. 13 Cr
EBITDA Margin came at 10.5% vs QoQ 10.1%, YoY 3.6%
Adj. PAT came at Rs. 22.3 Cr vs QoQ Rs. 37.7 Cr, YoY Rs. 2.3 Cr Lower PT QoQ is on account of higher tax
Quarter EPS is Rs. 3.1
Share is trading at P/E of 44.8x TTM EPS
(Nirmal Bang Retail Research)
*Result improved*
Revenue from Operations came at Rs. 613.3 Cr (11.2% QoQ, 68.2% YoY) vs QoQ Rs. 551.4 Cr, YoY Rs. 364.6 Cr
EBIDTA came at Rs. 64.6 Cr (16.2% QoQ, 396.5% YoY) vs QoQ Rs. 55.6 Cr, YoY Rs. 13 Cr
EBITDA Margin came at 10.5% vs QoQ 10.1%, YoY 3.6%
Adj. PAT came at Rs. 22.3 Cr vs QoQ Rs. 37.7 Cr, YoY Rs. 2.3 Cr Lower PT QoQ is on account of higher tax
Quarter EPS is Rs. 3.1
Share is trading at P/E of 44.8x TTM EPS
*MPS LTD.* | *CMP* Rs. 653 | *M Cap* Rs. 1182 Cr | *52 W H/L* 680/216
(Nirmal Bang Retail Research)
*Result ok*
Revenue from Operations came at Rs. 114.3 Cr (-1.7% QoQ, 50% YoY) vs QoQ Rs. 116.2 Cr, YoY Rs. 76.2 Cr
EBIDTA came at Rs. 28.6 Cr (-12.7% QoQ, 112.3% YoY) vs QoQ Rs. 32.7 Cr, YoY Rs. 13.5 Cr
EBITDA Margin came at 25% vs QoQ 28.2%, YoY 17.7%
Adj. PAT came at Rs. 12.9 Cr vs QoQ Rs. 17.9 Cr, YoY Rs. 9.4 Cr
Quarter EPS is Rs. 7.1
Share is trading at P/E of 20.2x TTM EPS
(Nirmal Bang Retail Research)
*Result ok*
Revenue from Operations came at Rs. 114.3 Cr (-1.7% QoQ, 50% YoY) vs QoQ Rs. 116.2 Cr, YoY Rs. 76.2 Cr
EBIDTA came at Rs. 28.6 Cr (-12.7% QoQ, 112.3% YoY) vs QoQ Rs. 32.7 Cr, YoY Rs. 13.5 Cr
EBITDA Margin came at 25% vs QoQ 28.2%, YoY 17.7%
Adj. PAT came at Rs. 12.9 Cr vs QoQ Rs. 17.9 Cr, YoY Rs. 9.4 Cr
Quarter EPS is Rs. 7.1
Share is trading at P/E of 20.2x TTM EPS
*Cummins India Ltd.* | *CMP* Rs. 803 | *M Cap* Rs. 22259 Cr | *52 W H/L* 934/324
(Nirmal Bang Retail Research)
*Result below expectation*
Revenue from Operations came at Rs. 1256.3 Cr (-12.2% QoQ, 18.2% YoY) vs QoQ Rs. 1431 Cr, YoY Rs. 1062.5 Cr
EBIDTA came at Rs. 169.4 Cr (-30% QoQ, 151.1% YoY) vs QoQ Rs. 242.1 Cr, YoY Rs. 67.5 Cr
EBITDA Margin came at 13.5% vs QoQ 16.9%, YoY 6.3%
Adj. PAT came at Rs. 168.6 Cr vs QoQ Rs. 240.3 Cr, YoY Rs. 174 Cr
Quarter EPS is Rs. 6.1
Share is trading at P/E of 29.3x FY22E EPS
(Nirmal Bang Retail Research)
*Result below expectation*
Revenue from Operations came at Rs. 1256.3 Cr (-12.2% QoQ, 18.2% YoY) vs QoQ Rs. 1431 Cr, YoY Rs. 1062.5 Cr
EBIDTA came at Rs. 169.4 Cr (-30% QoQ, 151.1% YoY) vs QoQ Rs. 242.1 Cr, YoY Rs. 67.5 Cr
EBITDA Margin came at 13.5% vs QoQ 16.9%, YoY 6.3%
Adj. PAT came at Rs. 168.6 Cr vs QoQ Rs. 240.3 Cr, YoY Rs. 174 Cr
Quarter EPS is Rs. 6.1
Share is trading at P/E of 29.3x FY22E EPS
*Balaji Amines – Q4FY21 Concall Update – Nirmal Bang Sec.*
*Outlook – Positive*
The management sounded confident about the demand outlook and clarified that the raw material disruption is temporary. The company has increased the sustainable margin guidance from earlier 22% to 24-25% now (28.8% in FY21) The volume growth guidance for FY22 is of around 10-12%.
The stock is trading at 31.6xFY22E consensus earnings
• Sales volumes were up by 12.34% from 22,146 MT in Q4FY20 to 24,878 MT in Q4FY21.
• The company witnessed improved demand and price realizations across most of the product portfolio, leading to improved operating leverage and better margins.
• However, pandemic related disruptions of both inbound and outbound logistics as well as lack of adequate supply of industrial oxygen resulted in lower than optimal production
• At standalone level, Balaji has become debt free
• Balaji’s new plant of Ethylamines, having installed capacity of 50 tons per day (16,500 tons per annum), which is part of the Phase 1 of Greenfield Project (Unit IV) has commenced operations from last week. Now, along with the pre-existing capacity of 6,000 tons of Ethylamines, the company has the largest installed capacity of Ethylamines in India at 22,500 tons per annum. The new plant of Ethylamines at Unit IV will lead to lower cost of production due to new technology
• Capacity utilization of *Dimethylformamide (DMF)* plant has improved to 48% in Q4FY21. However, from mid-April onwards, due to diversion of oxygen supply, the DMF production was briefly disrupted. From 26th May onwards, the production of DMF has restarted, as supply of industrial oxygen has been restored
o Demand for DMF in India is witnessing a growth in the range of 7% to 10% per annum
o Looking at the strong demand, the company has planned to set up a separate plant for DMF with a capacity of 30,000 TPA under Phase-2 expansion of Greenfield Project (Unit IV)
o Demand-supply mismatch (due to consistent demand and reduced imports) is also resulting in healthy price realizations
• Balaji Specialty witnessed substantial ramp up in capacity utilization due to increase in demand for Ethylenediamine (EDA). *The management expects the healthy growth to continue in FY22E as well*
• Capex Rs 156 cr in Phase 1
• *Methylamines* capacity expansion is expected to be commence production from Q1FY23
• *Acetonitrile* -
o Raw material prices have gone up (from Rs50-60 earlier to Rs 100-110/kg) which has impacted profitability
o The debottlenecking has been delayed due to lack of skilled manpower on account of pandemic related restrictions
o The demand for Acetonitrile is expected to be elevated, as it has emerged as user-friendly solvent and is being preferred by many endusers over other solvents
• *Di-Methyl Carbonate (DMC)* - Construction is going on as planned to install capacity of 9,900 TPA of DMC. Manufacturing is expected to commence by end of FY22
• All 3 vaccines contain small amount of ETDA produced from EDA – which is a product of subsidiary
• Exports is expected to reach ~30% in next couple of years (from ~15-16% in FY21)
*Outlook – Positive*
The management sounded confident about the demand outlook and clarified that the raw material disruption is temporary. The company has increased the sustainable margin guidance from earlier 22% to 24-25% now (28.8% in FY21) The volume growth guidance for FY22 is of around 10-12%.
The stock is trading at 31.6xFY22E consensus earnings
• Sales volumes were up by 12.34% from 22,146 MT in Q4FY20 to 24,878 MT in Q4FY21.
• The company witnessed improved demand and price realizations across most of the product portfolio, leading to improved operating leverage and better margins.
• However, pandemic related disruptions of both inbound and outbound logistics as well as lack of adequate supply of industrial oxygen resulted in lower than optimal production
• At standalone level, Balaji has become debt free
• Balaji’s new plant of Ethylamines, having installed capacity of 50 tons per day (16,500 tons per annum), which is part of the Phase 1 of Greenfield Project (Unit IV) has commenced operations from last week. Now, along with the pre-existing capacity of 6,000 tons of Ethylamines, the company has the largest installed capacity of Ethylamines in India at 22,500 tons per annum. The new plant of Ethylamines at Unit IV will lead to lower cost of production due to new technology
• Capacity utilization of *Dimethylformamide (DMF)* plant has improved to 48% in Q4FY21. However, from mid-April onwards, due to diversion of oxygen supply, the DMF production was briefly disrupted. From 26th May onwards, the production of DMF has restarted, as supply of industrial oxygen has been restored
o Demand for DMF in India is witnessing a growth in the range of 7% to 10% per annum
o Looking at the strong demand, the company has planned to set up a separate plant for DMF with a capacity of 30,000 TPA under Phase-2 expansion of Greenfield Project (Unit IV)
o Demand-supply mismatch (due to consistent demand and reduced imports) is also resulting in healthy price realizations
• Balaji Specialty witnessed substantial ramp up in capacity utilization due to increase in demand for Ethylenediamine (EDA). *The management expects the healthy growth to continue in FY22E as well*
• Capex Rs 156 cr in Phase 1
• *Methylamines* capacity expansion is expected to be commence production from Q1FY23
• *Acetonitrile* -
o Raw material prices have gone up (from Rs50-60 earlier to Rs 100-110/kg) which has impacted profitability
o The debottlenecking has been delayed due to lack of skilled manpower on account of pandemic related restrictions
o The demand for Acetonitrile is expected to be elevated, as it has emerged as user-friendly solvent and is being preferred by many endusers over other solvents
• *Di-Methyl Carbonate (DMC)* - Construction is going on as planned to install capacity of 9,900 TPA of DMC. Manufacturing is expected to commence by end of FY22
• All 3 vaccines contain small amount of ETDA produced from EDA – which is a product of subsidiary
• Exports is expected to reach ~30% in next couple of years (from ~15-16% in FY21)
*Laxmi Organics – Q4FY21 Concall Update – Nirmal Bang Sec.*
*Outlook – Positive for long term*
_Fluorospecialty facility is on track and likely to get commissioned by end of FY22, which holds the key for further margin expansion as well_
The stock is trading at 40.7x Q4FY21 annualised earnings
• Capex FY21 – Rs 88 cr
• Expect strong recovery in macro activity
• Capex FY22 – 300 cr
• 250-270cr capex for Fluorochemicals facility – would be commercialised by end of FY22
• Employee exps looks higher due to higher variable payments and esops exps – going forward the management said this cost would be spread over all quarters instead of booking it in one quarter like done in Q4FY21
• Employee cost if likely to increase going forward
• Adjusted for trading margins, the overall margins would have been higher
• Acetyl Intermediate (AI) business is commodity in nature however it is cash generating business. Due to higher prices of Ethyl Acetate, the company enjoyed higher margins however the management has guided for correction in margins going forward however company level margins are likely to remain stable aided by Specialty Intermediate
• Specialty Intermediates (SI)’s performance was driven by volume growth, product mix and better pricing
o One product is likely to be commercialised in current year and one next year
• YCPL acquisition to consolidate in 2HFY22
*Outlook – Positive for long term*
_Fluorospecialty facility is on track and likely to get commissioned by end of FY22, which holds the key for further margin expansion as well_
The stock is trading at 40.7x Q4FY21 annualised earnings
• Capex FY21 – Rs 88 cr
• Expect strong recovery in macro activity
• Capex FY22 – 300 cr
• 250-270cr capex for Fluorochemicals facility – would be commercialised by end of FY22
• Employee exps looks higher due to higher variable payments and esops exps – going forward the management said this cost would be spread over all quarters instead of booking it in one quarter like done in Q4FY21
• Employee cost if likely to increase going forward
• Adjusted for trading margins, the overall margins would have been higher
• Acetyl Intermediate (AI) business is commodity in nature however it is cash generating business. Due to higher prices of Ethyl Acetate, the company enjoyed higher margins however the management has guided for correction in margins going forward however company level margins are likely to remain stable aided by Specialty Intermediate
• Specialty Intermediates (SI)’s performance was driven by volume growth, product mix and better pricing
o One product is likely to be commercialised in current year and one next year
• YCPL acquisition to consolidate in 2HFY22
*Gabriel India Ltd.* | *CMP* Rs. 124 | *M Cap* Rs. 1775 Cr | *52 W H/L* 135/69
(Nirmal Bang Retail Research)
*Result has improved*
Revenue from Operations came at Rs. 580.7 Cr (8.2% QoQ, 36.8% YoY) vs QoQ Rs. 536.5 Cr, YoY Rs. 424.6 Cr
EBIDTA came at Rs. 49.3 Cr (25.8% QoQ, 49% YoY) vs QoQ Rs. 39.2 Cr, YoY Rs. 33.1 Cr
EBITDA Margin came at 8.5% vs QoQ 7.3%, YoY 7.8%
Adj. PAT came at Rs. 27.7 Cr vs QoQ Rs. 24.6 Cr, YoY Rs. 26.6 Cr
Quarter EPS is Rs. 1.9
Share is trading at P/E of 30x TTM EPS
(Nirmal Bang Retail Research)
*Result has improved*
Revenue from Operations came at Rs. 580.7 Cr (8.2% QoQ, 36.8% YoY) vs QoQ Rs. 536.5 Cr, YoY Rs. 424.6 Cr
EBIDTA came at Rs. 49.3 Cr (25.8% QoQ, 49% YoY) vs QoQ Rs. 39.2 Cr, YoY Rs. 33.1 Cr
EBITDA Margin came at 8.5% vs QoQ 7.3%, YoY 7.8%
Adj. PAT came at Rs. 27.7 Cr vs QoQ Rs. 24.6 Cr, YoY Rs. 26.6 Cr
Quarter EPS is Rs. 1.9
Share is trading at P/E of 30x TTM EPS
*FDC Ltd.* | *CMP* Rs. 347 | *M Cap* Rs. 5857 Cr | *52 W H/L* 379/230
(Nirmal Bang Retail Research)
*Result has declined QoQ*
Revenue from Operations came at Rs. 313.4 Cr (-7.9% QoQ, -6% YoY) vs QoQ Rs. 340.2 Cr, YoY Rs. 333.3 Cr
EBIDTA came at Rs. 51.6 Cr (-30% QoQ, 76.2% YoY) vs QoQ Rs. 73.7 Cr, YoY Rs. 29.3 Cr
EBITDA Margin came at 16.5% vs QoQ 21.7%, YoY 8.8%
Adj. PAT came at Rs. 49 Cr vs QoQ Rs. 75.2 Cr, YoY Rs. 55.5 Cr
Quarter EPS is Rs. 2.9
Share is trading at P/E of 19.3x TTM EPS
(Nirmal Bang Retail Research)
*Result has declined QoQ*
Revenue from Operations came at Rs. 313.4 Cr (-7.9% QoQ, -6% YoY) vs QoQ Rs. 340.2 Cr, YoY Rs. 333.3 Cr
EBIDTA came at Rs. 51.6 Cr (-30% QoQ, 76.2% YoY) vs QoQ Rs. 73.7 Cr, YoY Rs. 29.3 Cr
EBITDA Margin came at 16.5% vs QoQ 21.7%, YoY 8.8%
Adj. PAT came at Rs. 49 Cr vs QoQ Rs. 75.2 Cr, YoY Rs. 55.5 Cr
Quarter EPS is Rs. 2.9
Share is trading at P/E of 19.3x TTM EPS
*Bharat Petroleum Corporation Ltd.* | *CMP* Rs. 471 | *M Cap* Rs. 102174 Cr | *52 W H/L* 482/292
(Nirmal Bang Retail Research)
*Result is above expectations*
*The company announced dividend of Rs58/share*
Revenue from Operations came at Rs. 76882.3 Cr (15.2% QoQ, 11.4% YoY) vs expectation of Rs. 80475.8 Cr, QoQ Rs. 66731.4 Cr, YoY Rs. 68991.4 Cr
EBIDTA came at Rs. 5058.3 Cr (17.5% QoQ, -917.4% YoY) vs expectation of Rs. 3332.6 Cr, QoQ Rs. 4305.8 Cr, YoY Rs. -618.8 Cr
EBITDA Margin came at 6.6% vs expectation of 4.1%, QoQ 6.5%, YoY -0.9%
Adj. PAT came at Rs. 4947.2 Cr vs expectation of Rs. 1965 Cr, QoQ Rs. 3197.1 Cr, YoY Rs. -280.2 Cr
Quarter EPS is Rs. 22.8
Share is trading at P/E of 11.3x FY22E EPS
(Nirmal Bang Retail Research)
*Result is above expectations*
*The company announced dividend of Rs58/share*
Revenue from Operations came at Rs. 76882.3 Cr (15.2% QoQ, 11.4% YoY) vs expectation of Rs. 80475.8 Cr, QoQ Rs. 66731.4 Cr, YoY Rs. 68991.4 Cr
EBIDTA came at Rs. 5058.3 Cr (17.5% QoQ, -917.4% YoY) vs expectation of Rs. 3332.6 Cr, QoQ Rs. 4305.8 Cr, YoY Rs. -618.8 Cr
EBITDA Margin came at 6.6% vs expectation of 4.1%, QoQ 6.5%, YoY -0.9%
Adj. PAT came at Rs. 4947.2 Cr vs expectation of Rs. 1965 Cr, QoQ Rs. 3197.1 Cr, YoY Rs. -280.2 Cr
Quarter EPS is Rs. 22.8
Share is trading at P/E of 11.3x FY22E EPS
*Manappuram Finance Q4FY21 Concall Update*
(Nirmal Bang Securities)
*> Gold (70% mix) continues to support stable consolidated performance*
*> MFI portfolio (20% mix) remains vulnerable*
*Outlook: Neutral in near term, Positive in long term*
• Standalone (Gold, Vehicle, Home, Others) GNPA increased to 1.9% vs QoQ 1.3%. Standalone NNPA increased to 1.5% vs QoQ 0.8%. (Increase was led by gold due to technicality of reporting and gold remains the most liquid and fully secured product)
• *Gold* auctions during the quarter were Rs. 404 Cr as compared to Rs. 8 Cr during 9MFY21.
• Gold tenure remains at 3-6 months which safeguards the asset quality.
• *CV* GNPA has declined to 5.0% vs QoQ 8.5%. Restructured book for CVs is 8%.
• *MFI* GNPA increased to 2.5% flattish QoQ. MFI NNPA remains at 0%. 0+ PAR remains elevated although it declined to 15.8% vs QoQ 17.5%. 30+ PAR was at 10.1% vs QoQ 9.9%. Collection efficiency has dipped in April to 93% from 101% in March. MFI writeoffs were of Rs. 120 Cr during FY21. Co is expecting short-term pain in MFI asset quality due to the second wave of covid. Restructured book for MFI is 4%.
• Consolidated AUM stood at Rs. 27,224 Cr (+8% YoY, -2% QoQ).
• *Gold AUM* declined 6% QoQ and increased 12% YoY to Rs. 19,077 Cr. (Exactly in line with the behavior of gold prices)
• Gold tonnage declined 4% QoQ and by 10% YoY to 65.3 tons.
• Avg ticket size for gold loan increased from 39k in FY20 to 45k in FY21. Yield was at 25% vs 26% YoY.
• Gold AUM per branch in FY21 increased to Rs. 5.4 Cr vs Rs. 4.8 Cr YoY.
• Competition from banks has reduced post March when LTV was reduced from 90% to 75%.
• 75% of gold loan market is still dominated by unorganized players.
• *Non-gold AUM* increased by 10% QoQ and declined by 1% YoY to Rs. 81 Bn.
• YoY growth: MFI +9%, Home +6%, CV -22%, others -43%.
Share is trading at P/E of 6.7x FY22E EPS & 1.9x trailing P/BV
(Nirmal Bang Securities)
*> Gold (70% mix) continues to support stable consolidated performance*
*> MFI portfolio (20% mix) remains vulnerable*
*Outlook: Neutral in near term, Positive in long term*
• Standalone (Gold, Vehicle, Home, Others) GNPA increased to 1.9% vs QoQ 1.3%. Standalone NNPA increased to 1.5% vs QoQ 0.8%. (Increase was led by gold due to technicality of reporting and gold remains the most liquid and fully secured product)
• *Gold* auctions during the quarter were Rs. 404 Cr as compared to Rs. 8 Cr during 9MFY21.
• Gold tenure remains at 3-6 months which safeguards the asset quality.
• *CV* GNPA has declined to 5.0% vs QoQ 8.5%. Restructured book for CVs is 8%.
• *MFI* GNPA increased to 2.5% flattish QoQ. MFI NNPA remains at 0%. 0+ PAR remains elevated although it declined to 15.8% vs QoQ 17.5%. 30+ PAR was at 10.1% vs QoQ 9.9%. Collection efficiency has dipped in April to 93% from 101% in March. MFI writeoffs were of Rs. 120 Cr during FY21. Co is expecting short-term pain in MFI asset quality due to the second wave of covid. Restructured book for MFI is 4%.
• Consolidated AUM stood at Rs. 27,224 Cr (+8% YoY, -2% QoQ).
• *Gold AUM* declined 6% QoQ and increased 12% YoY to Rs. 19,077 Cr. (Exactly in line with the behavior of gold prices)
• Gold tonnage declined 4% QoQ and by 10% YoY to 65.3 tons.
• Avg ticket size for gold loan increased from 39k in FY20 to 45k in FY21. Yield was at 25% vs 26% YoY.
• Gold AUM per branch in FY21 increased to Rs. 5.4 Cr vs Rs. 4.8 Cr YoY.
• Competition from banks has reduced post March when LTV was reduced from 90% to 75%.
• 75% of gold loan market is still dominated by unorganized players.
• *Non-gold AUM* increased by 10% QoQ and declined by 1% YoY to Rs. 81 Bn.
• YoY growth: MFI +9%, Home +6%, CV -22%, others -43%.
Share is trading at P/E of 6.7x FY22E EPS & 1.9x trailing P/BV
*Karnataka Bank Ltd.* | *CMP* Rs. 72 | *M Cap* Rs. 2238 Cr | *52 W H/L* 74/34
(Nirmal Bang Retail Research)
*Result has declined* on all fronts
Net Interest Income came at Rs. 459 Cr vs YoY Rs. 529 Cr, QoQ Rs. 614 Cr
Non Interest Income came at Rs. 373 Cr vs YoY Rs. 440 Cr, QoQ Rs. 273 Cr
PBP came at Rs. 384 Cr vs YoY Rs. 392 Cr, QoQ Rs. 438 Cr
Provisions came at Rs. 342 Cr vs YoY Rs. 357 Cr, QoQ Rs. 214 Cr
Adj. PAT came at Rs. 31 Cr vs YoY Rs. 27 Cr, QoQ Rs. 135 Cr
Gross NPA came at Rs. 2588 Cr vs QoQ (proforma) Rs. 2101 Cr at 4.91% vs QoQ 3.95%
Net NPA came at Rs. 1642 Cr vs QoQ (proforma) Rs. 1287 Cr at 3.18% vs QoQ 2.42%
Advances declined by 9% YoY & 3% QoQ to Rs. 51,694 Cr
Quarter EPS is Rs. 1
Share is trading at P/E of 4.3x FY22E EPS & 0.4x trailing P/Adj. BV
(Nirmal Bang Retail Research)
*Result has declined* on all fronts
Net Interest Income came at Rs. 459 Cr vs YoY Rs. 529 Cr, QoQ Rs. 614 Cr
Non Interest Income came at Rs. 373 Cr vs YoY Rs. 440 Cr, QoQ Rs. 273 Cr
PBP came at Rs. 384 Cr vs YoY Rs. 392 Cr, QoQ Rs. 438 Cr
Provisions came at Rs. 342 Cr vs YoY Rs. 357 Cr, QoQ Rs. 214 Cr
Adj. PAT came at Rs. 31 Cr vs YoY Rs. 27 Cr, QoQ Rs. 135 Cr
Gross NPA came at Rs. 2588 Cr vs QoQ (proforma) Rs. 2101 Cr at 4.91% vs QoQ 3.95%
Net NPA came at Rs. 1642 Cr vs QoQ (proforma) Rs. 1287 Cr at 3.18% vs QoQ 2.42%
Advances declined by 9% YoY & 3% QoQ to Rs. 51,694 Cr
Quarter EPS is Rs. 1
Share is trading at P/E of 4.3x FY22E EPS & 0.4x trailing P/Adj. BV