Key Notes on Eureka Forbes

August 9, 2023 Established well respected brand with pan India distribution and service network. Advent acquired it from Shapoorji and currently owns 72.56% stake. It has set up a solid management team headed by Pratik Pota The categories in which Company has dominant presence include water purifiers and vacuum cleaners. Though these two categories are … Read more

Key Notes on Sumitomo Chemical

July 31, 2023 Company is known for domestic marketing of proprietary products of its Japanese parent -Sumitomo Chemical Company Limited in agrochemicals, animal nutrition, and environmental health business segments. product segments – insecticides, weedicides, fungicides, fumigants and rodenticides, plant growth nutrition products, bio-rationals, and plant growth regulators. 86% revenues are domestic In FY 2016, had … Read more

Key Notes on Vinati Organics

September 7, 2023 Well managed Company with proven track record Vinati Organics Limited (VOL) is market leader in its two key products, viz, in 2- Acrylamido 2 Methylpropane Sulfonic Acid (ATBS) and Isobutyl Benzene (IBB) in the global market. commands 65%+ market share for both these products. Difficult manufacturing process for both products act as … Read more

Key Notes on Satia Industries

September 4, 2023 Past performance track record Sales CAGR over last 10 yrs of 21%. PAT CAGR of 30% and average ROE of 24%. However, a significant reason for these high CAGR is recent doubling of capacity in FY22. Without that growth would have been much lower. Cash from operations in the past have trended … Read more

Key Notes on Godrej Consumer Products

August 8, 2023 Last 10 years sales CAGR is 8% and profits CAGR 10%. Last 5 years, these numbers are 6% and 3% respectively. Large size of the Company and competition is a deterrent to achieve significant topline growth. Operating margins are also currently normalised at 19-20% Company is net cash. This along with strong … Read more

Key Notes on Britannia Industries

August 8, 2023 Varun Berry is a rockstar. Despite Rajneet Singh Kohli being appointed CEO, it continues to be a Mr Berry show. His disassociation from the Company (whenever that happens) can impact the sentiment significantly. Company continues to perform strongly on all parameters. However, given it’s size and increasing competition, revenues are not expected … Read more

Key Notes on Havells

July 12, 2023 About 25-30% business comes from B2B. Rest is B2C Lloyd’s contribution to overall revenues is increasing. In Q4 FY23 it was 26%. However, this is also the biggest drag on the profits. It’s still loss making. However, this shall gradually change given the recent inflationary pressures that should normalise. Management is very … Read more

Key Notes on Kokuyo Camlin

July 7, 2023 Established brand 74.44% owned by the Japanese parent Kokuyo Company (mcap of USD 1.8 bn) 10 yr sales cagr of 6% and net profit cagr of 14% 6-7% normalised operating margin business Low debt company and Japanese parent’s presence further mitigates the liquidity risk Current normalised P/E is around 40x. It’s a … Read more

Key Notes on Advanced Enzyme

June 28, 2023 One of those companies that held huge promise at the time of IPO in 2016. Consequently investors overpaid. Revenues since 2016, i.e., 7 yrs have grown at a CAGR of 9%, EBITDA at 2% and PAT at 4.4%. Share price consequently since then until today is flat. A part of underperformance can … Read more