Alphageo (India) Ltd

Alphageo (India) Ltd
Oil Equipment & Services
FV – Rs 10; 52wks H/L –268/647.05 ; TTQ – 14 K; CMP – Rs 530(As On October 8th 2015; 13:10) ;                            
Market Cap – Rs 44.5 Crs

Consolidated Financials and Valuations for FY15 (Amt in Rs Crs unless specified)


Equity Capital
Net worth		 Long Term Debt
Total  
Sales		 PAT
BV
(Rs)
EPS (Rs)
P/E
Industry P/E
P/BV
Promoter’s
Stake		 Beta
5.64 83 – 73 14.5 147 25.7 20.6 12.90 3.6 41.98 1.5

*Virtually Debt Free.

 

Standalone Financials and Valuations for Q1 FY16


Equity Capital
Net worth
Total  
Sales		 PAT
BV
(Rs)
TTM EPS (Rs)
TTM P/E
Industry P/E
P/BV
Promoter’s
Stake		 Beta
5.64 82.5 5 (0.5) 146 1.9 278 12.9 3.8 41.98 1.5

      

 Key Updates:

  • The company will decide and approve, issue of Shares or Warrants on preferential basis Promoters and Promoter Group and Persons other than Promoters in a meeting held on 13thOctober, 2015.
  • The Government is expected to invite bids for seismic survey activities in 26 sedimentary basins in India, covering about 48,000 line km (2D survey) to be conducted between 2015-16 and 2018-19.
  • Every USD10 per barrel fall in oil price can enhance India’s GDP growth by around 0.15%, lowers WPI by around 0.5% and CPI by about 0.2% and further improves India’s current account balance by around USD 9 billion – 0.5% of GDP.
  • The Prime Minister set a goal of reducing India’s dependence on imports from 77% of its ‘energy’ requirement by 10% by 2022, and by 50% by 2030 keeping India’s hunt for oil expected to accelerate.
  • NELP- X xpected in the current year wherein government will offer 42 oil blocks to successful bidders.
  • By 2035, the world’s population is projected to reach 8.7 billion, which means an additional 1.6 billion people will need energy.

Overwiew:

Alphageo (India) Limited is the largest onshore integrated seismic service provider in the private sector and enjoys a market leadership in seismic survey. Alphageo was incorporated in 1987 to offer seismic and other related services to the rapidly growing oil exploration and production sector. The Company’s globally-benchmarked competence comprises acquisition, processing and interpretation of seismic data for oil exploration. In the business of seismic services, Alphageo’s competitive strengths comprise deep insight into challenging terrains and diverse topographies environmental sensitivity, technology leadership, highly skilled manpower and state of the art equipment. The company possesses indepth expertise in operating with globally accepted technologies for seismic survey, namely 2D, 3D and Seis-loop technologies. Alphageo was the first seismic service provider in India to conduct night operations in urban Thiruvarur to minimise public inconvenience. 

       

No. of projects Delivered 49
Area covered under 2D survey 5000 sq.km
No. of 2D projects completed 28
No. of 3D projects completed 21

 

Bulk Deals:          

Deal Date Client Name Deal Type Quantity Price (Rs.)
28-Jan-13 Minal Bharat Patel P 242877 42.85
28-Jan-13 Gandiv Investment Pvt.Ltd S 244102 42.87
29-Feb-12 Sakkhi Barter Pavt.Ltd S 28712 63.25
18-Jul-11 AKG Securities & Consultancy Ltd S 25804 154.19
18-Jul-11 AKG Securities & Consultancy Ltd P 25804 154.6
11-Apr-11 Bharat Shah S 38191 124
11-Apr-11 Acira Consultancy Pvt.Ltd P 38191 124
21-Mar-11 Minal Bharat Patel S 50000 103.5
21-Mar-11 Hardik Bharat Patel P 50000 103.51
21-Mar-11 Sound Securities Pvt.Ltd S 40150 110
21-Mar-11 Hirak Leasing & Investment Pvt.Ltd P 40150 110

 

 Management:

  • Dinesh Alla – CMD
  • Venkatesa Pasumarthy – CFO

 

The Equity Capital is @ Rs 5.64  Crs consisting of 5634767 equity Shares of FV Rs 10 currently held as under

 

4.98% Of the Promoter’s Holding is Pledged.

Major Non-Promoter Holdings:

Sr.No Non- Promoters No. of Shares held % of shares held
1 Shivani T Trivedi 151528 2.69
2 Arcira Consultancy Pvt Ltd 136144 2.42
3 Surendra Kumar Jain 110943 1.97
4 Minal B Patel 75413 1.34
5 Vasr Consultants and Financial Advisers 72203 1.28
6 Tanvi Ruchit Patel 59301 1.05
7 JHP Securities Pvt Ltd 58162 1.03
Total 663694 11.78

 

 Consolidated Financial Trends (In Rs. Crs) :

Particulars FY15 FY14 FY13 FY12 FY11
Equity Paid Up 5.64 5.64 5.39 5.14 5.14
Networth 83 69 41 49 52
Total Debt 0.8 4.4 4.6 2.7 1.2
Net Sales 73 96 23 43 30
Other Income 0.7 1.2 0.2 2.1 0.6
PAT 14.5 26.5 -10.7 5.1 11.2
Book Value (Rs) 147 122 76 95 101
EPS (Rs) 25.7 47.0 -20 9.9 21.8

 

Risks:

  • Lack of orders could adversely impact business growth.
  • Competition in the seismic survey space is increasing as India is fast inviting global players.
  • Timely project completion against all odds is critical for business growth.
  • India, the second most populous nation is suffering from a shortage of skilled people.
  • Government Dependency and Interference.
  • Forex Fluctuations and largely dependent on the crude oil prices.