Fiem Industries Ltd is an automotive components manufacturer that reported financial results for Q4 FY2015. Net sales increased 16.73% to Rs. 2325.05 million with net profit growth of 11.94% to Rs. 134.21 million. EBITDA grew 17.75% to Rs. 302.30 million. For FY2015, net profit rose 13% to Rs. 422.64 million. The company is expected to grow net sales and profit at a CAGR of 14% and 18% through FY2017.
Gabriel India: Q4FY15 net profit up 55.52% y/y to INR129.55m; 'Buy'IndiaNotes.com
Gabriel India reported financial results for Q4 FY15. Net profit increased 55.52% to Rs. 129.55 million compared to the same quarter last year. Revenue grew 3.93% to Rs. 3483.62 million. Earnings per share was Rs. 0.90 for the quarter, up 55.52% from the prior year. The company recommended a final dividend of 60%, or Rs. 0.60 per share. The report provides an overview of the company and industry, with financial forecasts projecting sales and profit growth over the next few years. Gabriel India is recommended as a buy with a target price of Rs. 94.00 based on anticipated future performance.
Multibase India's FY15 net profit up 42% y/y, Firstcall recommend 'Buy'IndiaNotes.com
The document provides an analysis report on Multibase India Ltd for the quarter ending March 31, 2015. The key highlights are:
1) Multibase India Ltd reported a 19.59% rise in net profit to Rs. 19.29 million for the quarter compared to the same period last year as revenue grew 5.26% to Rs. 158.65 million.
2) Earnings per share stood at Rs. 1.53 for the quarter, a 19.59% rise from the previous year.
3) Operating profit increased 26.89% to Rs. 31.95 million for the quarter compared to Rs. 25.18 million in the same period last year.
Costing (Mini) Project on Automobile IndustryRoshan Shanbhag
This was a project prepared by my team and well executed presentation added a flair to the same. Though it was short in length but it was very effective.
Exide Ind: Net sales grows 17.51% to Rs19123.60 mn; Maintain buyIndiaNotes.com
Exide Industries' Net sales registered a growth of 17.51% to Rs.19123.60 million for the quarter ended June 30th 2014 as against Rs.15412.00 million for the corresponding quarter last year. Buy for a target of Rs.180.00.
The document discusses the Indian auto industry, including its key players such as Tata Motors, Mahindra & Mahindra, and suppliers. It analyzes factors driving the industry's growth like rising incomes, government policies, and increased consumer demand. The industry is focused on automotive, farm equipment, IT, and infrastructure development sectors. The document also includes financial analysis and ratios for Tata Motors and Mahindra & Mahindra from 2003 to 2007.
Indigo Airlines Stock Analysis in the Light of Recent Correction Aug 07 2018Atul Gulrajani
- Indigo Airlines stock recently declined 38% due to a significant drop in Q1 profit, raising questions about whether it presents a good buying opportunity.
- Indigo faces challenges from high fuel costs, currency fluctuations, and competition, but benefits from India's strong aviation growth.
- The company has effective cost management and consistent growth, but its profitability is highly dependent on stable fuel prices and resolving issues with new aircraft engines.
- Given current uncertainties around fuel prices and engine problems, it may be best to avoid buying Indigo stock now and monitor external factors and their impact on the price.
Gabriel India: Q4FY15 net profit up 55.52% y/y to INR129.55m; 'Buy'IndiaNotes.com
Gabriel India reported financial results for Q4 FY15. Net profit increased 55.52% to Rs. 129.55 million compared to the same quarter last year. Revenue grew 3.93% to Rs. 3483.62 million. Earnings per share was Rs. 0.90 for the quarter, up 55.52% from the prior year. The company recommended a final dividend of 60%, or Rs. 0.60 per share. The report provides an overview of the company and industry, with financial forecasts projecting sales and profit growth over the next few years. Gabriel India is recommended as a buy with a target price of Rs. 94.00 based on anticipated future performance.
Multibase India's FY15 net profit up 42% y/y, Firstcall recommend 'Buy'IndiaNotes.com
The document provides an analysis report on Multibase India Ltd for the quarter ending March 31, 2015. The key highlights are:
1) Multibase India Ltd reported a 19.59% rise in net profit to Rs. 19.29 million for the quarter compared to the same period last year as revenue grew 5.26% to Rs. 158.65 million.
2) Earnings per share stood at Rs. 1.53 for the quarter, a 19.59% rise from the previous year.
3) Operating profit increased 26.89% to Rs. 31.95 million for the quarter compared to Rs. 25.18 million in the same period last year.
Costing (Mini) Project on Automobile IndustryRoshan Shanbhag
This was a project prepared by my team and well executed presentation added a flair to the same. Though it was short in length but it was very effective.
Exide Ind: Net sales grows 17.51% to Rs19123.60 mn; Maintain buyIndiaNotes.com
Exide Industries' Net sales registered a growth of 17.51% to Rs.19123.60 million for the quarter ended June 30th 2014 as against Rs.15412.00 million for the corresponding quarter last year. Buy for a target of Rs.180.00.
The document discusses the Indian auto industry, including its key players such as Tata Motors, Mahindra & Mahindra, and suppliers. It analyzes factors driving the industry's growth like rising incomes, government policies, and increased consumer demand. The industry is focused on automotive, farm equipment, IT, and infrastructure development sectors. The document also includes financial analysis and ratios for Tata Motors and Mahindra & Mahindra from 2003 to 2007.
Indigo Airlines Stock Analysis in the Light of Recent Correction Aug 07 2018Atul Gulrajani
- Indigo Airlines stock recently declined 38% due to a significant drop in Q1 profit, raising questions about whether it presents a good buying opportunity.
- Indigo faces challenges from high fuel costs, currency fluctuations, and competition, but benefits from India's strong aviation growth.
- The company has effective cost management and consistent growth, but its profitability is highly dependent on stable fuel prices and resolving issues with new aircraft engines.
- Given current uncertainties around fuel prices and engine problems, it may be best to avoid buying Indigo stock now and monitor external factors and their impact on the price.
Experience Mazda Zoom Zoom Lifestyle and Culture by Visiting and joining the Official Mazda Community at http://www.MazdaCommunity.org for additional insight into the Zoom Zoom Lifestyle and special offers for Mazda Community Members. If you live in Arizona, check out CardinaleWay Mazda's eCommerce website at http://www.Cardinale-Way-Mazda.com
Bajaj Auto Annual Report 2013-14 AnalysisAnurag Gupta
Bajaj Auto is an Indian motorcycle and three-wheeler manufacturing company founded in the 1930s. The document provides an analysis of Bajaj Auto's annual report for 2013-14, including details of profitability, efficiency, and management discussions. It summarizes key financial metrics such as net sales, operating EBITDA, PAT, and EPS. The management achieved the highest ever EBITDA, EBT, and EAT despite an economic slowdown. The outlook expects growth in the three-wheeler sector and potential to enter new business segments.
Automobile Sector Information
Automobile Market Overview
Porter's Five Forces
Marketing and Promotional Strategy
Company Information
Market Share
product Portfolio
target market
Competitors Analysis
Financial analysis
Ratios
Organisational Structure
JD & JS of TVS
Training Program
organisational Culture
Finolex Ind: Q1 Net profit ramps up by 121.68%; Maintain buyIndiaNotes.com
Finolex's net profit for the quarter ramps up by 121.68% to Rs. 502.03 million from Rs. 226.47 million, when compared with the prior year period. Investors are recommended to buy the stock for a price target of Rs319 for medium to long term investment.
fundamental analysis of eicher motors
business model
products they provide
management quality
market share of company
analysis of financial statement
ratio analysis
peer to peer comparision
go through fundamental analysis and take your own decision to buy, hold, sell
Bajaj Auto: Margins disappoint as discover woes continueIndiaNotes.com
Net sales grew 6.9% YoY on 6% YoY (+0.8% QoQ) realization growth: Bajaj Auto’s (BJAUT) net sales grew by 6.9% YoY (+6.5%) to INR52.5b (est. INR52.6b), led by 6% YoY growth (+0.8% QoQ) in realizations, while volumes grew marginally by 0.9% YoY (+5.6% QoQ) to 9.88m units.
ARQ Ltd is an Indian packaging company that was acquired by a German MNC. The merged company BYR India Ltd is considering two options to provide transportation to its 22 senior executives to commute to work over 10 km outside Delhi. Option 1 involves BYR purchasing the vehicles and paying allowances, while Option 2 involves leasing the vehicles from a fleet management company. The case analyzes the financial viability of the two options to determine the recommended approach.
IndiGo has achieved market leadership in India's aviation industry through its strategy of reliable on-time performance, low fares with no-frills service on Airbus A320 aircraft. It focuses on operational efficiency through techniques like quick turnaround times and digital communication systems. IndiGo promotes its brand through aggressive advertising emphasizing on-time arrival and uses dynamic pricing that increases fares closer to the travel date. The company follows a low-cost strategy and maintains a competitive advantage through cost leadership. However, it faces threats from increasing fuel costs and competition from other airlines.
IndiGo has become the largest and most profitable airline in India within a decade of operations through effective marketing strategies. This document analyzes IndiGo's strategies, including how it successfully launched in a struggling industry by focusing on low costs and punctuality. It dominated market share by positioning as the low-cost leader and marketing its low prices and on-time performance. IndiGo gained customers through value-for-money experiences on its fuel-efficient fleet and consistent profits. The analysis seeks to understand IndiGo's strategies and provide recommendations to sustain its leadership position amid changing industry conditions.
Ashok Leyland is an Indian automobile manufacturing company and the second largest commercial vehicle manufacturer in India. It sells about 60,000 vehicles and 7,000 engines annually through its six manufacturing plants. Ashok Leyland is committed to quality assurance and received ISO 9001 certification in 1993 and ISO 14001 certification in 2001 for its manufacturing plants. These certifications help Ashok Leyland continually monitor and improve its operations, comply with environmental regulations, and increase customer satisfaction, making it the second largest commercial vehicle manufacturer in India.
Honda Motor Company achieved virtually all of the goals they set in their three-year mid-term business plan to "make 20 million customers happy" and grow in all business segments. Their annual report provides financial statements and notes for the fiscal year ending March 31, 2005, showing increases in gross profit, income from operations, and net income compared to the previous fiscal year. Key notes include accounting policies, translation of financial statements, receivables, inventories, debt, taxes, pensions, and investments in affiliates.
Container Corporation of India: Q4FY15 net profit up 18.97%; BuyIndiaNotes.com
Container Corporation of India reported financial results for the quarter ended March 31, 2015. Net sales increased 15.48% to Rs. 14974.50 million from the prior year. Net profit grew 18.97% to Rs. 2927.10 million. Earnings per share were Rs. 15.01. The company signed a memorandum with the Ministry of Railways setting targets for FY2015-16 and declared a final dividend of 54%. The report recommends buying the stock with a target price of Rs. 1760 due to CONCOR's dominant position in the logistics industry and expected sales and profit growth.
project report on volvo eicher commercial vehicle amit prasad
This document is a project report submitted by Amit Prasad in partial fulfillment of a Bachelor of Technology degree. It discusses an industrial training completed at VE Commercial Vehicles. The report includes an introduction to the Indian automobile industry, information about VE Commercial Vehicles and its joint venture with Volvo and Eicher Motors, and details about pre-delivery vehicle inspections and maintenance schedules. It also includes a case study on maintenance and inspection of buses.
CARE assigned short-term and long-term credit ratings to JK Tyre & Industries Ltd. The short-term ratings of PR1 were assigned to the company's commercial paper/short-term debt programme and short-term bank facilities, indicating strong capacity for timely repayment. A long-term rating of CARE A was also assigned to the company's long-term bank facilities, reflecting adequate safety for timely debt repayment. However, the ratings are constrained by JK Tyre's high gearing and susceptibility to raw material price fluctuations.
This case study analyzes the strategy and success of IndiGo, India's largest domestic airline by market share. Some key points:
1) IndiGo has grown rapidly since its founding in 2006 to become India's fastest growing and most profitable domestic airline, overtaking competitors through its low-cost business model.
2) IndiGo focuses on affordable fares, on-time performance, and hassle-free service to attract customers. This strategy has helped it gain a 21.9% domestic market share.
3) While facing challenges like high fuel costs and competition, IndiGo has opportunities to expand into new markets like freight and international routes. Its continued growth relies on maintaining its low
At its annual general meeting on July 19, 2011, Ashok Leyland reported record performance in the 2010-11 financial year. Key highlights included highest ever domestic and export turnover, record vehicle production of over 95,000, numerous new product introductions, and fastest ramp-up of its new Pantnagar plant. The company saw growth across multiple business segments and gained market share both domestically and internationally.
Firstcall solar industries_india_ltd_6_july15IndiaNotes.com
- Solar Industries India Ltd is one of India's largest manufacturers of industrial explosives and explosive initiating systems.
- In Q4 FY15, the company's net sales rose 14.61% year-over-year to Rs. 3896.36 million, while net profit grew 1.52% to Rs. 401.01 million.
- For the full year FY15, the company's net sales were Rs. 13518.95 million and net profit was Rs. 1474.08 million, up 24% from FY14. Net sales and profit are expected to continue growing over the next few years.
Experience Mazda Zoom Zoom Lifestyle and Culture by Visiting and joining the Official Mazda Community at http://www.MazdaCommunity.org for additional insight into the Zoom Zoom Lifestyle and special offers for Mazda Community Members. If you live in Arizona, check out CardinaleWay Mazda's eCommerce website at http://www.Cardinale-Way-Mazda.com
Bajaj Auto Annual Report 2013-14 AnalysisAnurag Gupta
Bajaj Auto is an Indian motorcycle and three-wheeler manufacturing company founded in the 1930s. The document provides an analysis of Bajaj Auto's annual report for 2013-14, including details of profitability, efficiency, and management discussions. It summarizes key financial metrics such as net sales, operating EBITDA, PAT, and EPS. The management achieved the highest ever EBITDA, EBT, and EAT despite an economic slowdown. The outlook expects growth in the three-wheeler sector and potential to enter new business segments.
Automobile Sector Information
Automobile Market Overview
Porter's Five Forces
Marketing and Promotional Strategy
Company Information
Market Share
product Portfolio
target market
Competitors Analysis
Financial analysis
Ratios
Organisational Structure
JD & JS of TVS
Training Program
organisational Culture
Finolex Ind: Q1 Net profit ramps up by 121.68%; Maintain buyIndiaNotes.com
Finolex's net profit for the quarter ramps up by 121.68% to Rs. 502.03 million from Rs. 226.47 million, when compared with the prior year period. Investors are recommended to buy the stock for a price target of Rs319 for medium to long term investment.
fundamental analysis of eicher motors
business model
products they provide
management quality
market share of company
analysis of financial statement
ratio analysis
peer to peer comparision
go through fundamental analysis and take your own decision to buy, hold, sell
Bajaj Auto: Margins disappoint as discover woes continueIndiaNotes.com
Net sales grew 6.9% YoY on 6% YoY (+0.8% QoQ) realization growth: Bajaj Auto’s (BJAUT) net sales grew by 6.9% YoY (+6.5%) to INR52.5b (est. INR52.6b), led by 6% YoY growth (+0.8% QoQ) in realizations, while volumes grew marginally by 0.9% YoY (+5.6% QoQ) to 9.88m units.
ARQ Ltd is an Indian packaging company that was acquired by a German MNC. The merged company BYR India Ltd is considering two options to provide transportation to its 22 senior executives to commute to work over 10 km outside Delhi. Option 1 involves BYR purchasing the vehicles and paying allowances, while Option 2 involves leasing the vehicles from a fleet management company. The case analyzes the financial viability of the two options to determine the recommended approach.
IndiGo has achieved market leadership in India's aviation industry through its strategy of reliable on-time performance, low fares with no-frills service on Airbus A320 aircraft. It focuses on operational efficiency through techniques like quick turnaround times and digital communication systems. IndiGo promotes its brand through aggressive advertising emphasizing on-time arrival and uses dynamic pricing that increases fares closer to the travel date. The company follows a low-cost strategy and maintains a competitive advantage through cost leadership. However, it faces threats from increasing fuel costs and competition from other airlines.
IndiGo has become the largest and most profitable airline in India within a decade of operations through effective marketing strategies. This document analyzes IndiGo's strategies, including how it successfully launched in a struggling industry by focusing on low costs and punctuality. It dominated market share by positioning as the low-cost leader and marketing its low prices and on-time performance. IndiGo gained customers through value-for-money experiences on its fuel-efficient fleet and consistent profits. The analysis seeks to understand IndiGo's strategies and provide recommendations to sustain its leadership position amid changing industry conditions.
Ashok Leyland is an Indian automobile manufacturing company and the second largest commercial vehicle manufacturer in India. It sells about 60,000 vehicles and 7,000 engines annually through its six manufacturing plants. Ashok Leyland is committed to quality assurance and received ISO 9001 certification in 1993 and ISO 14001 certification in 2001 for its manufacturing plants. These certifications help Ashok Leyland continually monitor and improve its operations, comply with environmental regulations, and increase customer satisfaction, making it the second largest commercial vehicle manufacturer in India.
Honda Motor Company achieved virtually all of the goals they set in their three-year mid-term business plan to "make 20 million customers happy" and grow in all business segments. Their annual report provides financial statements and notes for the fiscal year ending March 31, 2005, showing increases in gross profit, income from operations, and net income compared to the previous fiscal year. Key notes include accounting policies, translation of financial statements, receivables, inventories, debt, taxes, pensions, and investments in affiliates.
Container Corporation of India: Q4FY15 net profit up 18.97%; BuyIndiaNotes.com
Container Corporation of India reported financial results for the quarter ended March 31, 2015. Net sales increased 15.48% to Rs. 14974.50 million from the prior year. Net profit grew 18.97% to Rs. 2927.10 million. Earnings per share were Rs. 15.01. The company signed a memorandum with the Ministry of Railways setting targets for FY2015-16 and declared a final dividend of 54%. The report recommends buying the stock with a target price of Rs. 1760 due to CONCOR's dominant position in the logistics industry and expected sales and profit growth.
project report on volvo eicher commercial vehicle amit prasad
This document is a project report submitted by Amit Prasad in partial fulfillment of a Bachelor of Technology degree. It discusses an industrial training completed at VE Commercial Vehicles. The report includes an introduction to the Indian automobile industry, information about VE Commercial Vehicles and its joint venture with Volvo and Eicher Motors, and details about pre-delivery vehicle inspections and maintenance schedules. It also includes a case study on maintenance and inspection of buses.
CARE assigned short-term and long-term credit ratings to JK Tyre & Industries Ltd. The short-term ratings of PR1 were assigned to the company's commercial paper/short-term debt programme and short-term bank facilities, indicating strong capacity for timely repayment. A long-term rating of CARE A was also assigned to the company's long-term bank facilities, reflecting adequate safety for timely debt repayment. However, the ratings are constrained by JK Tyre's high gearing and susceptibility to raw material price fluctuations.
This case study analyzes the strategy and success of IndiGo, India's largest domestic airline by market share. Some key points:
1) IndiGo has grown rapidly since its founding in 2006 to become India's fastest growing and most profitable domestic airline, overtaking competitors through its low-cost business model.
2) IndiGo focuses on affordable fares, on-time performance, and hassle-free service to attract customers. This strategy has helped it gain a 21.9% domestic market share.
3) While facing challenges like high fuel costs and competition, IndiGo has opportunities to expand into new markets like freight and international routes. Its continued growth relies on maintaining its low
At its annual general meeting on July 19, 2011, Ashok Leyland reported record performance in the 2010-11 financial year. Key highlights included highest ever domestic and export turnover, record vehicle production of over 95,000, numerous new product introductions, and fastest ramp-up of its new Pantnagar plant. The company saw growth across multiple business segments and gained market share both domestically and internationally.
Firstcall solar industries_india_ltd_6_july15IndiaNotes.com
- Solar Industries India Ltd is one of India's largest manufacturers of industrial explosives and explosive initiating systems.
- In Q4 FY15, the company's net sales rose 14.61% year-over-year to Rs. 3896.36 million, while net profit grew 1.52% to Rs. 401.01 million.
- For the full year FY15, the company's net sales were Rs. 13518.95 million and net profit was Rs. 1474.08 million, up 24% from FY14. Net sales and profit are expected to continue growing over the next few years.
Menon Pistons' Q4FY15 net profit up 213.38% y/y, Firstcall recommends 'Buy'IndiaNotes.com
Menon Pistons Ltd reported a 155.35% increase in net profit to Rs. 11.21 million for Q4 FY15 compared to Rs. 4.39 million in the corresponding quarter of the previous year. Revenue increased 2.69% to Rs. 375.11 million. Operating profit grew 13.36% to Rs. 27.16 million. The company is recommended as a buy with a target price of Rs. 205 based on expected growth in revenue and profits over the next few years and valuation ratios below industry averages.
Go long on Simmonds Marshall for the mid- to long-termIndiaNotes.com
Simmonds Marshall Limited reported strong financial results for Q3 FY15. Net sales increased 46.39% to Rs. 342.69 million and net profit jumped 266.11% to Rs. 19.77 million compared to the same quarter of the previous year. For the first nine months of FY15, net sales grew 36.54% to Rs. 995.97 million and net profit increased 62.86% to Rs. 59.77 million. The company is expected to grow net sales and profit at a CAGR of 21% and 45% from FY13 to FY16 respectively based on estimates. The report recommends buying the stock with a target price of Rs. 105.00 for
This document provides a quarterly financial report for Simmonds Marshall Limited for Q4 FY2015. Some key highlights include:
- Net sales increased 13.95% to Rs. 344.09 million in Q4 FY2015 compared to the previous year.
- Net profit increased 60.98% to Rs. 11.51 million for Q4 FY2015 compared to the previous year.
- EPS increased 60.98% to Rs. 1.03 for Q4 FY2015 compared to the previous year.
- The company expects sales and profits to grow at a CAGR of 18% and 34% from 2014-2017 respectively.
The Indian auto components industry is one of India's rising industries with significant growth potential. Bosch is the largest auto component manufacturer in India and one of the largest Indo-German companies in India. Bosch has over 10,000 employees across manufacturing facilities in Bangalore, Naganathapura, Nasik, Jaipur, and Goa. Bosch's net sales have increased each year from Rs. 8,047 crores in 2011 to Rs. 8,820 crores in 2013.
M M Forgings: Q4FY15 net profit up 42.18% y/y to INR111.15m, BuyIndiaNotes.com
The document provides a stock analysis report for M.M. Forgings Ltd, an Indian steel forging manufacturer. It includes the company's financial highlights for Q4 FY2015, with net profit up 42% and revenue up 17.8%. Forecasts estimate a 15% CAGR in net sales and 28% CAGR in PAT from FY2014-FY2017. The report recommends buying the stock with a target price of Rs 740, citing its historical financial performance and growth prospects in the growing Indian engineering sector.
Greenply Ind: Net profit jumps to Rs302.29 mn, up 33.95%; BuyIndiaNotes.com
During the quarter, the company’s net profit jumps to Rs.302.29 mn against Rs.225.67 mn in the corresponding quarter ending of previous year, an increase of 33.95%. Investors are recommended to buy the stock for a price target of Rs.947 for medium to long term investment.
This document provides an overview of Asian Paints, the largest paint company in India. It discusses Asian Paints' market share and competitors in both the industrial and decorative paint markets. It also summarizes the company's financial performance over several years, including revenues, profits, costs and debt-equity ratio. The document then describes Asian Paints' recruitment process, training programs, and international presence across various countries.
Rajesh conducted a financial analysis of Amtek Auto to evaluate the automotive manufacturing company's financial health and risk profile. Rajesh analyzed Amtek Auto's balance sheets, income statements, key financial ratios, and compared these metrics to industry averages. Based on declining ratios, high debt levels, and underperformance versus competitors, Rajesh recommended clients reduce their holdings in Amtek Auto and proceed cautiously with future investments until the company demonstrates improved and sustained financial performance.
The document is a presentation outline for Interhides Public Company Limited. It discusses the company's history, products and services, clients, supply chain, financial highlights, and future business opportunities. The company aims to expand production capacity by 2006 to meet growing demand from the automotive industry in both domestic and foreign markets.
- Mahindra & Mahindra reported a 14.2% decline in net profit for Q3FY16 to Rs807.9 cr due to one-time costs, though operating income grew 16.8% to Rs11,008 cr, in line with estimates.
- Revenue growth was driven by a 23.9% rise in the automotive segment, while the farm equipment segment saw sluggish 4.4% growth.
- New model launches like KUV100 and TUV300 are performing well, with KUV100 receiving 350 orders per day and an 18,000-vehicle order backlog.
Rajratan Global Wire Ltd reported financial results for the quarter ending March 31, 2015. Net profit increased 62.31% to Rs. 24.46 million compared to the same quarter last year. Revenue rose 3.56% to Rs. 624.64 million. Earnings per share was Rs. 5.62, up from Rs. 3.46 last year. The company expects sales and profits to grow annually by 8% and 3% from 2014-2017. The document provides an analysis of the company's quarterly performance, financial estimates, industry overview and a recommendation to buy the stock.
The document discusses the automotive industry in India including automotive clusters, the presence of global OEMs, passenger and other vehicle production, the auto component industry profile and turnover. It also mentions the favorable policy regime for the industry. It provides information on IP Rings, a company that manufactures piston rings and precision forged transmissions. It includes details on the company's products, collaborations, shareholding pattern and competitors. It also contains SWOT analyses for the automotive industry and IP Rings.
Castrol India clocks Q1CY15 net profit of INR1,467m; Firstcall recommends 'Buy'IndiaNotes.com
Castrol India reported its financial results for the quarter ended March 31, 2015. Net sales were Rs. 7,992 million, down slightly from the prior year quarter. Net profit increased 46% to Rs. 1,467 million due to a 45% rise in profit before tax. EBITDA grew 45% to Rs. 2,342 million on higher other income. The company's EPS for the quarter was Rs. 2.97, up significantly from Rs. 1.01 in the same quarter of the previous year. Analysts expect net sales and PAT to grow at a CAGR of 6% and 8%, respectively, from 2013 to 2016.
The document provides an overview of the auto components industry in India. Some key points:
- The auto components industry in India has grown at a CAGR of 14% over the last decade to $39 billion in 2015-16. Exports have grown at a CAGR of 14% to $10.8 billion.
- The industry is expected to reach turnover of $100 billion by 2020 backed by strong exports of $80-100 billion by 2026. It accounts for 7% of India's GDP and employs 19 million people.
- India is emerging as a global sourcing hub for auto components. The auto components industry is projected to become the 3rd largest in the world by 2025.
Metroglobal Limited reported its financial results for the quarter ended 31st March 2015. Net sales rose 56.82% to Rs. 1592.45 million compared to the same quarter last year. Net profit was Rs. 24.92 million, an increase of 5.95% year-over-year. Earnings per share for the quarter was Rs. 1.53. The company operates in dyes and dye intermediates, realty and infrastructure, and trading and finance businesses. On an annual basis, net sales and profit after tax are expected to grow at a CAGR of 27-28% and 8% from 2014-2017, respectively. The report recommends buying the stock with a target price of Rs
The document summarizes financial information for GlaxoSmithKline Consumer Healthcare Ltd for quarters ending June 2015 and September 2015E. Key highlights include:
- For Q1 FY16 ending June 2015, net profit increased 19.13% YoY to Rs. 1550.10 million, net sales grew 8.18% YoY, and operating profit rose 20.64% YoY.
- Estimates for Q2 FY16 ending September 2015 show net sales growth to Rs. 11850.30 million and net profit increasing to Rs. 1775.02 million.
- At the current market price of Rs. 6270.20, the stock trades at a P/E ratio of 40.
Apollo Tyres approves further expansion of the Truck & Bus radial tyre capacityIndiaNotes.com
Apollo Tyres reported a 12.4% decrease in net sales but a 27.5% increase in net profit for Q1 FY16 compared to Q1 FY15. EBITDA rose 15.4% and profit margins increased 319 and 447 basis points respectively. Apollo Tyres approved expanding its Chennai truck and bus radial tire capacity and raising Rs. 20,000 million in debt for ongoing expansions. Analyst estimates see Apollo Tyres' operating profit and PAT growing at a CAGR of 13% and 23% from FY14 to FY17 respectively.
Grasim Industries reports improved performance in Q1FY16IndiaNotes.com
Grasim Industries reported improved performance for the quarter ended June 2015, with consolidated net sales up 7% to Rs. 8,599 crore. Operating margin improved 130 basis points to 16.5% due to lower raw material and power costs. However, operating profit grew only 16% to Rs. 1,417 crore due to higher interest and depreciation costs. Net profit declined 1% to Rs. 484.67 crore. Key segments like viscose staple fibre saw revenue increase 15% and EBITDA surge 72% on higher sales volumes and lower input costs. The cement subsidiary UltraTech reported 7% revenue growth but net profit fell 5% to Rs. 591 crore.
The document provides a technical analysis recommendation for buying Lupin stock. It recommends buying between price levels of 1790 and 1820 with a stop-loss of 1660. The analysis notes that shorter term moving averages have converged and the RSI oscillator is showing a positive signal in the mid-range, indicating buy signals on both technical indicators.
Indoco Remedies reported quarterly results slightly below expectations due to restructuring of its domestic business. Sales grew 9% to Rs 216 crore while margins improved. Exports grew 23% but was offset by weak 2% domestic growth. The company expects the domestic segment to recover in the second half of the year. For the full year, sales are expected to grow 19% overall. While the quarter saw short-term impacts of domestic restructuring, the analyst maintains a HOLD recommendation based on the company's business model and expectations for profitability and returns to further expand.
Thermax Limited is a leading energy and environment solutions provider operating globally. In Q1 FY2016, the company's net sales increased 19.27% to Rs. 10011.90 million and net profit increased 48.96% to Rs. 616.78 million compared to the same period last year. The order balance on June 30, 2015 stood at Rs. 42750 million, down 18% from the previous year. The company plans to set up new manufacturing facilities. Analysts recommend buying the stock with a target price of Rs. 1145, citing expected growth in earnings.
OJP data from firms like Vicinity Jobs have emerged as a complement to traditional sources of labour demand data, such as the Job Vacancy and Wages Survey (JVWS). Ibrahim Abuallail, PhD Candidate, University of Ottawa, presented research relating to bias in OJPs and a proposed approach to effectively adjust OJP data to complement existing official data (such as from the JVWS) and improve the measurement of labour demand.
Understanding how timely GST payments influence a lender's decision to approve loans, this topic explores the correlation between GST compliance and creditworthiness. It highlights how consistent GST payments can enhance a business's financial credibility, potentially leading to higher chances of loan approval.
Solution Manual For Financial Accounting, 8th Canadian Edition 2024, by Libby...Donc Test
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"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
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FIEM Industries Q4FY15: Firstcall recommend for a target of 620
1. CMP 560.25
Target Price 620.00
ISIN: INE737H01014
JUNE 9th
. 2015
FIEM INDUSTRIES LIMITED
Result Update (PARENT BASIS): Q4 FY15
BUYBUYBUYBUY
Index Details
Stock Data
Sector Auto Components
BSE Code 532768
Face Value 10.00
52wk. High / Low (Rs.) 945.30/452.00
Volume (2wk. Avg. Q.) 18000
Market Cap (Rs. in mn.) 6701.71
Annual Estimated Results (A*: Actual / E*: Estimated)
YEARS FY15A FY16E FY17E
Net Sales 8247.74 9171.49 9996.92
EBITDA 1033.35 1143.03 1261.31
Net Profit 422.64 471.55 522.20
EPS 35.33 39.42 43.65
P/E 15.86 14.21 12.83
Shareholding Pattern (%)
1 Year Comparative Graph
FIEM INDUSTRIES LIMITED BSE SENSEX
SYNOPSIS
Fiem Industries Ltd is one of the leading
manufacturers of automotive lighting & signaling
equipments & rear view mirrors.
In Q4 FY15, Net sales rose by 16.73% and stood
at Rs. 2325.05 million when compared to Rs.
1991.75 million in Q4 FY14.
During the quarter, Company’s net profit stood at
Rs. 134.21 million against Rs. 119.89 million in
the corresponding quarter of previous year.
Operating profit or EBITDA is Rs. 302.30 million
as against Rs. 256.73 million in the corresponding
period of the previous year, registered a growth
of 17.75%.
The company has reported an EPS of Rs. 11.22 for
the 4th quarter as against an EPS of Rs. 10.02 in
the corresponding quarter of the previous year.
Profit before tax (PBT) stood at Rs. 193.25 million
in Q4 FY15 compared to Rs. 164.88 million in Q4
FY14.
The company has recommended a dividend of @
70% i.e., Rs. 7.00/- Per share on Nominal Value of
Rs. 10 each for the financial year 2015.
Net profit rose by 13% to Rs 422.64 million for
the end of FY15 from Rs 374.01 million for the
end of FY14.
Net Sales and PAT of the company are expected to
grow at a CAGR of 14% and 18% over 2014 to
2017E respectively.
PEER GROUPS CMP MARKET CAP EPS P/E (X) P/BV(X) DIVIDEND
Company Name (Rs.) Rs. in mn. (Rs.) Ratio Ratio (%)
Fiem Industries Ltd. 560.25 6701.71 35.33 15.86 3.14 70.00
Automotive Axles Ltd. 719.00 10865.50 13.21 54.43 3.69 25.00
Rane Madras Ltd. 310.00 3258.30 11.84 26.18 2.13 45.00
Amara Raja Batteries Ltd. 884.65 151109.30 24.05 36.78 8.52 361.00
2. Recommendation & Analysis - ‘BUY’
For the 4th quarter of accounting year 2014-15, Fiem Industries Ltd posted a 16.73% growth in net sales to Rs.
2325.05 million from Rs. 1991.75 million in previous year period. Net profit stood at Rs. 134.21 million against
Rs. 119.89 million in the corresponding quarter ending of previous year. Operating profit is Rs. 302.30 million as
against Rs. 256.73 million in the corresponding period of the previous year, registered a growth of 17.75%. Profit
before tax (PBT) stood at Rs. 193.25 million, an increase of 17.21% in Q4 FY15 compared to Rs. 164.88 million in
Q4 FY14.
The major breakthrough in diversification of the product line as well as enhancing the presence of the Company
in the Key Sets will be for four-wheel as well as for two-wheel vehicles segment and being a new product line for
the Company, will add new dimensions to the growth of the Company. Based on the latest industry estimates, the
LED market in India is expected to reach to Rs. 104600.00 million by the year 2016. This estimate stand revised
upward vs. earlier forecast of Rs. 55000.00 million. It is believed that government intervention can drive the
much needed acceleration in the Indian LED lighting Industry. We expect that the company surplus scenario is
likely to continue for the next three years. We expect the company to post a CAGR of 14% and 18% in its top-line
and bottom-line respectively. Hence, we recommend ‘BUY’ for ‘FIEM INDUSTRIES LTD’ with a target price of
Rs. 620.00 on the stock.
COMPANY PROFILE
Fiem Industries Ltd. is one of the leading manufacturers of automotive lighting & signaling equipments and rear
view mirrors. The major business comes from the two-wheeler segment of the vehicle industry. It has a wide
range of lighting systems and rear view mirrors, sheet metals parts and plastic components for two and four
wheeler and its diversified products portfolio ranging form rear view mirrors, head lamps, tail lamps, roof lamps,
wheel covers, warning triangle, complete rear fender assembly, frame assembly, mudguards and various sheet
metal & plastic parts etc. is capable of catering to the needs of almost all segments of automobile industry viz.,
four-wheelers, LCVs, HTVs and tractors. The company has one foreign subsidiary i.e. 'Fiem Industries Japan Co.
Ltd.' incorporated in Japan.
FIEM has acquired certifications such as ISO 9002, QS 9002, QS 9000, ISO/ TS 16949:2002, & ISO 9001. It has
also acquired certification for conformity of production form RDW Netherlands. FIEM has also been accredited
with ISO14001-2004 Certification for Environment Management Systems. FIEM employees are constantly being
trained to meet the customer's specific requirements as per TQM. FIEM has become a Tier I Supplier not only in
India but also in Europe and USA.
FIEM is a known brand in Automotive Lighting and Rear View Mirrors in international OEMs and is considered as
synonymous of High Quality & Low Cost manufacturing Company. 'Business Sphere Magazine Group' has
conferred 2012-13 Award to the Company for ‘Bellwether in Auto lighting for 40 years."
3. Company has diversified into LED indoor and outdoor lighting business and manufacturing a large range of LED
products like LED Home Lighting, LED Bulbs and tubes, LED Solar Street Lighting, Multi-Functional Torches cum
Flasher Lights, LED Solar Lanterns, LED Display panels for buses and trucks and LED display signal systems for
Railways etc. which also forms part of above turnover.
Products
Fiem Industries Ltd is one of the leading manufacturers of automotive lighting & signaling equipments and rear
view mirrors for automobiles.
• Two Wheelers
Kinetic
Bajaj
Hero Honda
LML
Yamaha
TVS
Honda
Suzuki
Piaggio
Royal Enfield
• Four wheelers
Maruti Suzuki
Tata
Daewoo
Reva car
Pre, Automobiles H. Motors
DCM Toyota
Force Motors
Ashok Leyland
Peugeot
Hyundai/ General Motors
Trailer & Truck
Trailer & Car
Swaraj mazda
International Tractor
Ford
HMT
Tafe
Indo Form/ Preet Tractor
JCB Terex Vectr
M7M VST Tractor Trail
4. • Auxillary Lamps
Halogen Lamps
Work lamps
• Warning Tringles
• Reflex Reflector
• Led Lamps
• LED Display Panels
• LED Indoor & Outdoor Lighting
• LED Multifuntion Flashlight & Torches
• Solar P.V. Module/LED Street Light
Clients
• Two - Wheeler Segment (Domestic OEM Customers)
• Two - Wheeler Segment (Global OEM Customers)
5. • Four - Wheeler Segment (Domestic OEM Customers)
• Four - Wheeler Segment (Global OEM Customers)
6. QUARTERLY HIGHLIGHTS (PARENT BASIS)
Results updates- Q4 FY15,
Fiem Industries Ltd. supplies auto components parts
to all leading OEMs in India and also exports to other
countries. The company also supplies through
Honda Trading to Honda Vietnam and Honda
Thailand. The component for supplying to Honda
Motorcycle isdeveloped by FIEM’ s in-house design
and development center., has reported its financial
results for the quarter ended 31st March, 2015.
The company has achieved a turnover of Rs. 2325.05 million for the 4th quarter of the financial year 2015 as
against Rs. 1991.75 million in the corresponding quarter of the previous year. The company has reported an
EBITDA of Rs. 302.30 million and increase of 17.75% over the prior period of previous year. In Q4 FY15, net
profit stood at Rs. 134.21 million against Rs. 119.89 million in the corresponding quarter of the previous year.
The company has reported an EPS of Rs. 11.22 for the 4th quarter as against an EPS of Rs. 10.02 in the
corresponding quarter of the previous year.
Break up of Expenditure
During the quarter, total Expenditure rose by 17 per cent mainly on account of increased in Cost of Material
consumed by 17%, Employee benefit expenses 20%, other Expenses 25% and along with depreciation and
Amortization expenses by 33% are the main attribute for the increase of expenditure. Total expenditure in Q4
FY15 stood to Rs. 2100.25 million as against Rs. 1791.76 million in Q4 FY14.
Rs. In million Mar-15 Mar-14 % Change
Net Sales 2325.05 1991.75 16.73
PAT 134.21 119.89 11.94
EPS 11.22 10.02 11.94
EBITDA 302.30 256.73 17.75
Break up of Expenditure
Rs. In millions
Q4 FY15 Q4 FY14
Cost of Material Consumed 1228.17 1052.33
Purchase of Stock in Trade 86.35 93.55
Employee Benefit Expenses 259.25 215.52
Depreciation & Amortization
Expenses
77.36 57.95
Other Expenses 347.24 278.88
7. FINANCIAL STATEMESTS & ESTIMATIONS (PARENT BASIS) (A*- Actual, E* -Estimations & Rs. In Millions)
Balance Sheet as at March 31, 2014-2017E FY14A FY15A FY16E FY17E
I. EQUITY AND LIABILITIES:
A) Shareholders’ Funds:
a) Share Capital 119.62 119.62 119.62 119.62
b) Reserves and Surplus 1851.46 2153.72 2455.24 2749.87
Sub-Total Net worth 1971.08 2273.34 2574.86 2869.49
B) Non-Current Liabilities:
a) Long-term borrowings 579.57 514.67 463.20 426.15
b) Deferred Tax Liabilities [Net] 275.11 276.11 284.39 297.48
c) Long Term Provisions 11.36 20.07 26.49 31.79
Sub-Total Long term liabilities 866.04 810.85 774.09 755.41
C) Current Liabilities:
a) Short-term borrowings 292.52 343.41 381.19 417.78
b) Trade Payables 774.86 883.70 954.40 1011.66
c) Other Current Liabilities 545.22 579.62 602.80 620.89
d) Short Term Provisions 97.91 122.25 141.81 160.95
Sub-Total Current Liabilities 1710.51 1928.98 2080.20 2211.28
TOTAL EQUITY AND LIABILITIES (A+B+C) 4547.63 5013.17 5429.15 5836.18
II. ASSETS:
D) Non-Current Assets:
a) Fixed Assets 3130.06 3387.90 3614.89 3831.78
b) Other non-current assets 1.04 1.49 1.86 2.12
c) Non Current Investments 1.30 3.78 8.26 11.14
d) Long Term Loans and Advances 57.06 78.62 95.92 113.18
Sub-Total Non-Current Assets 3189.46 3471.79 3720.92 3958.23
E) Current Assets:
a) Current Investments 0.00 0.00 0.00 0.00
b) Inventories 423.49 513.88 596.10 679.55
c) Trade Receivables 763.70 866.68 953.35 1031.70
d) Cash and Bank Balances 18.14 33.18 46.16 63.70
e) Short Term Loans and Advances 145.22 123.16 107.15 96.43
f) Other Current Assets 7.62 4.48 5.47 6.56
Sub-Total Current Assets 1358.17 1541.38 1708.22 1877.95
TOTAL ASSETS (D+E) 4547.63 5013.17 5429.15 5836.18
8. Annual Profit & Loss Statement for the period of 2014A to 2017E
Value(Rs.in.mn) FY14A FY15A FY16E FY17E
Description 12m 12m 12m 12m
Net Sales 7184.16 8247.74 9171.49 9996.92
Other Income 6.66 9.00 10.35 11.70
Total Income 7190.82 8256.74 9181.84 10008.62
Expenditure -6299.40 -7223.39 -8038.81 -8747.31
Operating Profit 891.42 1033.35 1143.03 1261.31
Interest -144.39 -120.41 -123.54 -130.21
Gross profit 747.03 912.94 1019.49 1131.10
Depreciation -217.85 -306.33 -340.03 -375.39
Profit Before Tax 529.18 606.61 679.46 755.71
Tax -155.17 -183.97 -207.92 -233.51
Net Profit 374.01 422.64 471.55 522.20
Equity capital 119.62 119.62 119.62 119.62
Reserves 1713.11 2015.47 2317.79 2619.10
Face value 10.00 10.00 10.00 10.00
EPS 31.27 35.33 39.42 43.65
Quarterly Profit & Loss Statement for the period of 30 SEPT, 2014 to 30 JUNE, 2015E
Value(Rs.in.mn) 30-Sep-14 31-Dec-14 31-Mar-15 30-Jun-15E
Description 3m 3m 3m 3m
Net sales 2104.70 2028.75 2325.05 2194.85
Other income 0.48 6.43 0.14 0.46
Total Income 2105.18 2035.18 2325.19 2195.31
Expenditure -1846.16 -1784.04 -2022.89 -1916.10
Operating profit 259.02 251.14 302.30 279.20
Interest -28.13 -28.79 -31.69 -29.95
Gross profit 230.89 222.35 270.61 249.26
Depreciation -76.35 -76.62 -77.36 -91.28
Profit Before Tax 154.54 145.73 193.25 157.97
Tax -47.83 -44.81 -59.04 -47.87
Net Profit 106.71 100.92 134.21 110.11
Equity capital 119.62 119.62 119.62 119.62
Face value 10.00 10.00 10.00 10.00
EPS 8.92 8.44 11.22 9.20
10. OUTLOOK AND CONCLUSION
At the current market price of Rs. 560.25, the stock P/E ratio is at 14.21 x FY16E and 12.83 x FY17E
respectively.
Earning per share (EPS) of the company for the earnings for FY16E and FY17E is seen at Rs.39.42 and
Rs.43.65 respectively.
Net Sales and PAT of the company are expected to grow at a CAGR of 14% and 18% over 2014 to 2017E
respectively.
On the basis of EV/EBITDA, the stock trades at 6.54 x for FY16E and 5.93 x for FY17E.
Price to Book Value of the stock is expected to be at 2.75 x and 2.45 x respectively for FY16E and FY17E.
We recommend ‘BUY’ in this particular scrip with a target price of Rs.620.00 for Medium to Long term
investment.
11. INDUSTRY OVERVIEW
The Indian auto components industry has experienced healthy sequential growth over the last one-and-a-half
years. The growth can be attributed to factors such as strong buoyancy in the end-user industry, recovery of the
global economy, improved consumer sentiment and return of adequate liquidity in the financial system. The
revival of the auto industry was initially driven by the fiscal stimulus programme of the government.
The industry currently accounts for almost seven per cent of India’s gross domestic product (GDP) and employs
about 19 million people, both directly and indirectly. The ever-increasing development in infrastructure, big
domestic market, increasing purchasing power and stable government framework have made India a favourable
destination for investment, as per the vision of Automotive Mission Plan (AMP) 2006–2016.
Market Size
The Indian auto-components industry can be broadly classified into the organised and unorganised sectors. The
organised sector caters to the original equipment manufacturers (OEMs) and consists of high-value precision
instruments while the unorganised sector comprises low-valued products and caters mostly to the aftermarket
category.
The Indian auto component industry is expected to register a turnover of US$ 66 billion by FY 15–16 with the
likelihood to touch US$ 115 billion by FY 20–21 depending on favourable conditions, as per the estimates by
Automotive Component Manufacturers Association of India (ACMA). In addition, industry exports are projected
to reach US$ 12 billion by FY 15–16 and add up to US$ 30 billion by FY 20–21.
Revenues for the auto industry in 2014-15 are expected to grow by 11-12 per cent supported by healthy
recovery by major original equipment manufacturers (OEMs) in the medium and heavy commercial vehicles
(M&HCV) and passenger vehicle (PV) segment.
Investments
The cumulative foreign direct investment (FDI) inflows into the Indian automobile industry during the period
April 2000 – February 2015 were recorded at US$ 12,232.06 million, as per data published by the Department of
Industrial Policy and Promotion (DIPP).
Some of the major investments made into the Indian auto components sector are as follows:
• Amtek Auto Ltd has acquired Germany-based Scholz Edelstahl GmbH through its 100 per cent Singapore-
based subsidiary Amtek Precision Engineering Pte Ltd.
• MRF Ltd plans to invest Rs 45000.00 mn (US$ 711.16 million) in its two factories in Tamil Nadu as part of its
expansion plan.
12. • Uno Minda has formed a joint venture with Kosei Aluminum Co. Ltd, a Japanese alloy wheel maker, to
manufacture and sell alloy wheels in India. This new project will set up a total investment of Rs 2000.00 mn
(US$ 31.61 million), with Uno Minda holding a 70 per cent stake and Kosei Aluminum 30 per cent.
• German luxury car maker Bayerische Motoren Werke AG’s ( BMW ’s) will set up a local sourcing parts from at
least seven India-based auto parts makers in response to promote ‘Make in India’.
• Motherson Sumi Systems Ltd has acquired assets of German auto parts maker Scherer & Trier GmbH &
Company KG of US$ 44.8 million, which includes two factories, one each in Germany and Mexico. The
acquisition will be made through its Netherlands-based subsidiary Samvardhana Motherson Automotive
Systems Group BV.
• Hero MotoCorp is investing Rs 50000.00 mn (US$ 790.22 million) in five manufacturing facilities across
India, Colombia and Bangladesh, to increase its annual production capacity to 12 million units by 2020.
• Suzuki Motor Corp. plans to plant automobiles for India and Africa. It also aims to introduce 10 new models
in India and aims to control 50 per cent of the local passenger car market by 2020.
Government Initiatives
The Government of India’s Automotive Mission Plan (AMP) 2006–2016 has come a long way in ensuring the
growth of this sector in the global market. It is expected that this sector's contribution to the GDP will double
reaching a turnover of US$ 145 billion in 2016 due to the government’s special focus on exports of small cars,
multi-utility vehicles (MUVs), two and three-wheelers and auto components. Also, the deregulation of FDI in this
sector has helped foreign companies to invest huge amounts in India.
“The government has instilled confidence in the market with assurance of positive policy changes. We hope that
by the fiscal year 2014–15, capacity utilisation will go up to 90 per cent," as per, President, ACMA.
Road Ahead
The rapidly globalising world is opening new avenues for the transportation industry, generating the need for
more efficient, safe and reliable modes of transportation, which is subsequently adding to the auto component
industry’s growing opportunities. According to a report by the Confederation of Indian Industry (CII), the Indian
auto component industry is set to become the third largest in the world by 2025. Also, by that time, newer
verticals and opportunities for component manufacturers will open up as the automobile market will shift
towards electric, electronic and hybrid cars, and newer technologies will have to be adopted via systematic
research and development.
Indian auto component makers are well positioned to benefit from the globalisation of the sector as exports
potential could be increased by up to four times to US$ 40 billion by 2020.
13. Disclaimer:
This document is prepared by our research analysts and it does not constitute an offer or solicitation for the
purchase or sale of any financial instrument or as an official confirmation of any transaction. The information
contained herein is from publicly available data or other sources believed to be reliable but we do not represent that
it is accurate or complete and it should not be relied on as such. Firstcall Research or any of its affiliates shall not be
in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the
information contained in this report. Firstcall Research and/ or its affiliates and/or employees will not be liable for
the recipients’ investment decision based on this document.
14. Firstcall India Equity Research: Email – info@firstobjectindia.com
C.V.S.L.Kameswari Pharma & Diversified
U. Janaki Rao Capital Goods
B. Anil Kumar Auto, IT & FMCG
M. Vinayak Rao Diversified
G. Amarender Diversified
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