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Vikas Ecotech Ltd

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Vikas Ecotech Ltd

Vikas Ecotech Ltd

Speciality Chemicals
FV – Rs 1; 52wks H/L – 10.55/0.96; TTQ – 13.47 Lacs; CMP – Rs 10.5 (As On August 13, 2020);                     

            Market Cap – Rs 295 Crs

Standalone Financials and Valuations (Amt in Rs Crs unless specified)

 
Equity Capital

Net worth
Debt
Total
Sales
PAT
BV
(Rs)

EPS (Rs)

P/E

Industry P/E

P/BV

Promoter’s
Stake
FY20 28 143 144 199 1 5 0.04 262 19.4 2 32.51
Q1 FY21 28 140 144 8 -5 5 -0.2 19.4 2 32.51

 

  • The demerger of ‘Recycled and Trading Compounds Division’ of the Company was successfully completed during the year under review and the Shareholders of the Company were allotted shares in ratio of 1:1 of Vikas Multicorp Ltd.
  • The Company completed commercial scale production trials and the added capacity of Specialty Chemicals plant at Rajasthan is ready for utilization in anticipation of enhanced production and sales for the next fiscal year as well.
  • The Company successfully designed & tried the new range of Eco-friendly Calcium Zinc Heat Stabilizer for PVC across various application areas like the PVC Rigid & Soft PVC Applications which have been included in the list with this new addition to the product mix offered by VEL. VEL is ready to start commercial scale production in anticipation of the huge demand that will be created with the implementation of the ban on Toxic Stabilizers.
  • As anticipated, targeted & projected for the FDA approved – Food Contact Safe Organotin Stabilizers, for which Vikas Ecotech is the only producer in India and one of the very few across the globe, the Company has successfully initiated the process for tapping the potential embedded in the largest market place for the Organotin Stabilizers the U.S.A. & has been received well by the market due to its consistent quality of the materials.

Overview:

  • Vikas Ecotech is an emerging player in the global arena of the high end specialty chemicals players.
  • They cater to products ranging from agriculture to automotives, cables to electricals, hygiene to healthcare, polymers to packaging, textiles to footwear as per industry needs.
  • The Company operates under single segment which is manufacturing and trading of speciality additives including agrochemicals and rubber-plastic and polymer compounds. Product wise performance of the Company is discussed here under :
  1. Speciality Additives – The Company is a leading manufacturer of specialty additives as we derive our competitive edge from our innovative products with real-world applications. There are 5 products in this range.

Organotin or Methyl Tin Mercaptide (MTM) continues to be the focus of the company’s  specialty additives segment and they  are India’s only indigenous manufacturer of organotin among the eight global manufacturers of the additive. USA is the world’s largest consumer of this product.

  1. Polymer Compounds – The Company is also a leading manufacturer of specialty rubber-plastic and polymer compounds. They have 3 products in this category.

Management:

  • Gyan Prakash Govil – Chairman
  • Vikas Garg – MD
  • Amit Dhuria – CFO

Shareholding Pattern:

Major Holdings:

Non – Promoters No. of shares held % shares held
Elara India Opportunities Fund 9502125 1.43
Nomura Singapore Ltd 19328292 2.91
Parvesh Sahib Singh 11000000 1.66
Ram Niwas Mangla 9000000 1.36
Siddhayu Ayurvedic Research Foundation Pvt. Ltd 7294990 1.1
Jayant S Ciahheda HUF 19822000 2.99
Jainet rading LLP 10345255 1.56

 

Share Price Trend:

Share Price Snapshot :

Year Open (Rs.) High (Rs.) Low (Rs.) Close (Rs.)
2016 20.35 22.9 10.85 16.5
2017 16.55 38.15 15.85 35.7
2018 35.5 48.5 10.42 11.93
2019 11.83 16.17 2.54 2.99
2020 2.99 10.05 0.96 10.05

 

Standalone Financials: (Rs. Crs unless specified)

Particulars 2020 2019 2018 2017 2016
Sales  199 270 240 373 312
Net Profit 1 16 27 23 26
EPS (Rs.) 0.04 0.57 0.96 0.82 1.04
Share Capital  28 28 28 28 25
Networth 143 143 128 131 66
Book Value (Rs.) 5 5 5 5 3
Debt 144 155 138 108 91

 

 

 

 

 

 

 

 

 

 

 

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