Kalyani Steels Ltd

Kalyani Steels Ltd
Iron & steel
FV – Rs 5; 52wks H/L –205/107.4; TTQ – 12 K; CMP – Rs 183.5(As On July 8th 2016; 12:00) ;                           

 Market Cap – Rs 801.03 Crs

Consolidated Financials and Valuations for FY16 (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
21.86 589 110 1179 113.46 134 25.95 7.1 23.86 1.37 60.6 2.17

 

Standalone Financials and Valuations for Q4 FY16


Equity Capital
Net worth		 Long Term Debt
Total
Sales		 PAT
BV
(Rs)
TTM EPS (Rs)
TTM P/E
Industry P/E
P/BV
21.86 589 110 301 29.1 134 6.67 27.5 23.86 1.37

 

Valuation Parameters:

  1. Long Term Debt to Equity – 0.19
  2. ROE % – 19.26
  3. Market Cap/Sales – 0.68

Overview:

  • Kalyani Steels Ltd is a supplier of forging quality steel for a range of automotive applications, such as crankshaft, camshaft, connecting rods, gears, transmission shafts, axle beams and steering knuckles.
  • The Company’s steel is used in commercial vehicles, passenger cars, as well as construction equipment.
  • The Company also manufactures rounds for seamless tubes and supplies steel to all seamless tube producers.
  • The Company offers a range of carbon alloy steel and low electricity resistivity (LER) steel.
  • The Company also supplies high quality medium carbon, high carbon, medium alloy and micro-alloyed steels for a range of applications in energy, railways, defense, fasteners and material handling, among others.
  • The Company manages and operates the composite Steel manufacturing facility at Ginigera.

HOSPET STEELS is a World Class Steel plant set up by way of strategic alliance between M/s Mukand limited of Mumbai and M/s Kalyani Steels Limited of Pune.

The Company has increased its Equity stake in Lord Ganesha Minerals Private Limited (LGMPL) from existing 50% to 77.50% and as a result LGMPL has become a ‘Subsidiary’ of the Company.

Kalyani Steels look at price cuts after China’s yuan devaluation

(http://in.reuters.com/article/india-steel-idINKCN0QI0XQ20150813?type=companyNew)

Raw material cost to be higher in Q1 FY17

http://www.moneycontrol.com/news/business/raw-materials-cost-to-be-higherq1fy17-kalyani-steel_6876301.html

China dumping is hurting domestic industry badly, said RK Goyal, MD, Kalyani Steel, adding that cutting prices further would lead to additional losses.

http://www.moneycontrol.com/news/business/domestic-inddilemma-%E2%80%93-to-cut-prices-or-prod-kalyani-steel_5017321.html

Management:

  • Mr. R. K. Goyal – CMD
  • Mr. B.M. Maheshwari – CFO

Major Non-Promoter Holdings:

Sr.No Non – Promoters No. of Shares held % of shares held
1 Sadguru Investment & Trading Company 1601428 3.67
2 Gloxinia Investment & Finance Pvt Ltd 500000 1.15
3 Reliance Capital Trustee Co. Ltd 545000 1.25
  Total 2646428 6.06

 

 

Consolidated Financial Trends (In Rs.Crs) :

Particulars  

FY16

 FY15 FY14 FY13 FY12 FY11
Equity Paid Up 21.86 21.86 21.86 21.86 21.86 21.86
Networth 589 476 398 355 338 321
Total Debt 262 182 185 200 193 205
Net Sales 1179 1229 1128 816 1012 1253
Other Income 1.3 2.7 11.7 7 22 16
PAT 113.46 83.3 58.6 23.9 22 52
Book Value (Rs) 134 109 91 81 77 73
EPS (Rs) 25.95 19.1 13.4 5.5 5.0 11.9