Prakash Industries Ltd
Iron & Steel/Interm.Products
FV – Rs 10; 52wks H/L –54.85/23.05; TTQ – 4.64 Lacs; CMP – Rs 53 (As On September 1st 2016; 11.00);
Market Cap – Rs 718.69 Crs
Standalone 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 |
| 134.49 | 2206 | 575 | 2055 | 20.58 | 164 | 1.53 | 34.64 | 23.93 | 0.32 | 46.29 | 2.13 |
Standalone Financials and Valuations for Q1 FY17
Equity Capital |
Net worth |
Total Sales |
PAT | BV (Rs) |
TTM EPS (Rs) |
TTM P/E |
Industry P/E |
P/BV |
Promoter’s Stake |
Beta |
| 135.07 | 2206 | 639 | 14.04 | 164 | 1.04 | 50.96 | 23.93 | 0.32 | 46.29 | 2.13 |
Valuation Parameters:
- Long Term Debt to Equity – 0.26
- ROE % – 0.93
- Market Cap/Sales – 0.35
Key Updates:
Prakash Industries Ltd. secured coal for its captive power plant in Chattisgarh, bringing to an end a two-year hunt for fuel and the company will get 53500 tonnes of coal every year over the next five years from Coal India Ltd. subsidiary, South Eastern Coalfields Ltd. The linkage will provide long-term stability, and cost savings for the its captive power plant, the company said in its press release. (http://www.bloombergquint.com/business/2016/08/05/prakash-industries-secures-partial-coal-linkage-for-its-captive-power-plant)
Overview:
- Prakash Industries Limited is engaged in mining, steel and power operations.
- The Company manufactures MS billet, ferroalloys, MS thermo mechanically treated (TMT) and MS coil, and allied and HB wire rod.
- The Company operates through segment, including Power, Steel and polyvinyl chloride (PVC) Pipes and Others.
- The Company’s manufacturing plants are located at Champa, Chotia and Raipur in Chhattisgarh; Kashipur, Uttarakhand; Koenjhar, Odisha, and Muppandal, Tamil Nadu.
- It has setup sponge iron kilns based on Stelco-Lurgi/Republic Steel-National Lead (SL/RN) technology.
- It has iron ore mines in the state of Chhattisgarh and Orissa. The Company produces steel billets and blooms in the steel melting shop.
- The Company has set up manufacturing facilities for production of ferroalloys in submerged arc furnaces.
- The Company has set up wind power generating farms at Muppandal in the state of Tamil Nadu.
Management:
- Mr. V. P. Agarwal – Chairman
- Mr. Vikram Agarwal – MD
- Mr.P. L. Gupta – CFO
Major Non-Promoter Holdings:
| Sr.No | Non – Promoters | No. of shares held | % of shares held |
| 1 | SMC Comtrade Ltd | 9000000 | 6.69 |
| 2 | Jhunjhunwala Rakesh Radheshyam | 4000000 | 2.97 |
| Total | 13000000 | 9.67 |
Standalone Financial Trends (In Rs. Crs) :
| Particulars | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
| Equity Paid Up | 134.49 | 134.49 | 134.49 | 134.49 | 134.49 | 134.49 |
| Networth | 2206 | 2205 | 2233 | 2094 | 1958 | 1719 |
| Total Debt | 656 | 760 | 725 | 821 | 873 | 621 |
| Net Sales | 2055 | 2844 | 2600 | 2513 | 2109 | 1673 |
| Other Income | 8 | 4 | 2 | 2 | 9 | |
| PAT | 20.58 | 9.34 | 173.16 | 164.89 | 268.16 | 267.08 |
| Book Value (Rs) | 164 | 164 | 166 | 156 | 146 | 128 |
| EPS (Rs) | 1.5 | 0.7 | 12.9 | 12.3 | 19.9 | 19.9 |
