E2E

Free ka maal enjoy

Sarla Poly

Another 5% Down

88

Support @ 80/76.50

Stock in ASM

That’s the Reason for down

Utilise this as dip to add more

Textile # Good Numbers #Opportunity

Everest Kanto Cylinder Limited (EKC) Q1 FY25 Earnings Call Key Takeaways

Financial Performance:

- Consolidated Revenue: Rs. 343 crore, up 28% YoY
- Standalone Revenue: Rs. 196 crore, up 18% YoY
- Consolidated EBITDA Margin: 12%
- Standalone EBITDA Margin: 9.4%
- Consolidated PAT: Rs. 28 crore, margin of 8%
- Standalone PAT: Rs. 11.7 crore, margin of 6%
- EPS (Diluted): Rs. 2.50 (Consolidated), Rs. 1.04 (Standalone)
- Gross Debt: Rs. 0 (Standalone), Working Capital Debt of $5 Million (Standalone)
- Cash Position: Rs. 50 Crore (Standalone), similar level in Dubai

Operational Performance:

- Strong start to the year driven by rising demand in domestic and international markets
- CNG segment volume increased both YoY and QoQ
- India and USA businesses witnessed strong growth of 18% and 63% YoY, respectively
- UAE business revenue increased by 6% YoY

Future Outlook:

- Management remains confident in the long-term growth potential of seamless gas cylinders in India
- Strong government commitment to eco-friendly natural gas, fiscal incentives, and ongoing CNG infrastructure development support a favorable environment for CNG vehicles
- Expanding green hydrogen applications present a significant long-term opportunity
- Two new manufacturing facilities in Egypt and Mundra (India) are expected to begin operations by the end of the fiscal year, focusing on high-pressure gas cylinders for CNG and industrial applications
- Revenue growth guidance of 15-20% for the full year
- EBITDA margins are expected to improve from current levels

Concerns:

- Margin compression in Q1 compared to the previous year, attributed to product mix and challenges in the commercial segment
- Uncertainty regarding the adoption rate and potential impact of electric vehicles on the CNG market
- Execution of large projects in the USA remains a key variable for revenue and profitability, as it is a project-based business with potential for delays

Other Important Points:

- Launch of the world's first CNG motorcycle in India by Bajaj, for which EKC is supplying cylinders, presents a potential new growth avenue. However, it's too early to assess the impact
- EKC is actively monitoring utilization rates before deciding on further capacity expansion
- The company expects to remain debt-free despite the announced capex plans
- CNG station additions in India are progressing well, with 300-500 new stations added annually
- The company is closely watching the global situation, particularly the Russia-Ukraine war, for its potential impact on CNG prices

Nifty close above 24550 needed for next Upmove

Any close below 23875 would make up think 🤔

Till time Trading zone

23875 - 24550

Nifty Closed

@

24541

On Radar again

ADSL
cmp - 212.85
Support @ 197/181

POCL
CMP -1475
Support@1400/1315

Looking good for 10%~20%~30%~40% + Upmove in coming few months/Qtrs

RBI meeting banks today To discuss

SIP GROWTH CONTINUES

Kore Digital

Fresh ATH

1985 💚

CDSL

FRESH ATH

2955

Soon wld trade 1:1 cum bonus

After long consolidation

Shriram piston

Moving 🆙

2040

Days High - 2060

Watch out for close above 2110/2222

FIEM

FRESH ATH

1435

POCL
15% blast 💥
1688

ADSL
DAYS high - 230
Now 5% 💚- 223

E2E

Another 5% UC

2163

949 To 2163 Done ✔️ Till Now

EKC

GETTING READY FOR

52wk High 🔜/ & 190/200/224/250/300/333+
(1 To 6 Qtrs )

Longterm - 450/600/750+

POCL

20% 💥 UC

1769 💚

Kellton Tech 💪

5% 💚

162

Recent Lows @ 139- 140

Taking good support around 140 zone

Again getting Ready for fresh ATH 🔜 🔜

E2E Network preferential allotment done for 24,81,592 shares at Rs.1694.50 each raising a total of 420.51 cr

Ace investor Ashish Kacholia (Ashish R. C. Kacholia, RBA Finance) and looks like some bollywood stars also entered

E2E

Full preferential Allotment List