LISTING |
|
|
Rs 54 |
|
Rs 121/Rs29 |
|
Rs 1 |
Market Cap. |
1226 CRORE |
PE Ratio |
14 |
P/BV |
1.38 |
COMPANY OVERVIEW:
Balrampur Chini Mills Limited (“BCML”) was incorporated in 1975 under the Companies Act as a wholly-owned subsidiary company of Balrampur Sugar Company Limited (Name changed to Balrampur Commercial Enterprises Limited) (“ BCEL ”). By an indenture of conveyance dated 21ST February 1976, BCEL transferred to BCML the land, building and other assets and the entire staff of its Balrampur Sugar Factory with effect from 1 July 1975. BCML ceased to be a subsidiary of BCEL with effect from 25th June, 1979.
Balrampur Chini Mills Ltd is one of the largest integrated sugar manufacturing companies in India. Its allied business consists of manufacturing and marketing of ethyl alcohol and ethanol, generation and selling of power and manufacturing and marketing of organic manure.
FACTORIES LOCATION AND THEIR CAPACITIES:
Unit |
Address |
Plant |
Capacity |
Balrampur |
Balrampur Chini Mills Ltd.
Unit : Balrampur
P.O. : Balrampur, Dist. : Balrampur, U.P
Pin : 271 201 |
Sugar
Power
Distillery
Organic Manure |
12000 TCD
24.55 MW
160 KLPD
30000 MT |
Babhnan |
Balrampur Chini Mills Ltd.
Unit : Babhnan
P.O. : Babhnan, Dist : Gonda, U.P
Pin : 271 313 |
Sugar
Distillery
Organic Manure |
10000 TCD
60 KLPD
18000 MT |
Tulsipur |
Tulsipur Sugar Co.
A Unit of Balrampur Chini Mills Ltd.
P.O. : Tulsipur, Dist. : Balrampur, U.P
Pin : 271 206 |
Sugar |
7000 TCD |
Haidergarh |
|
Sugar
Power |
5000 TCD
23.25 MW |
Akbarpur |
Akbarpur Chini Mills
A Unit of Balrampur Chini Mills Ltd.
P.O. : Mijhaura, Tehsil : Akbarpur
Dist. : Ambedkarnagar, U.P Pin : 224 152 |
Sugar
Power |
7500 TCD
18.00 MW |
Rauzagaon |
Rauzagaon Chini Mills.
A Unit of Balrampur Chini Mills Ltd.
P.O. : Rauzagaon, Dist. Barabanki, U.P
Pin : 225 402 |
Sugar
Power |
8000 TCD
25.75 MW |
Mankapur |
Mankapur Chini Mills
A Unit of Balrampur Chini Mills Ltd.
P.O. : Datauli, Tehsil : Mankapur,
Dist. : Gonda, U.P
Pin : 271 306 |
Sugar
Power
Distillery
Organic Manure |
8000 TCD
34.00 MW
100 KLPD
10000 MT |
Kumbhi |
Kumbhi Chini Mills.
A Unit of Balrampur Chini Mills Ltd.
Vill: Kumbhi, Tehsil: Golagokarannath.
Dist. : Lakhimpur Kheri, U.P. |
Sugar
Power |
8000 TCD
20.00 MW |
Gularia |
Gularia Chini Mills
A Unit of Balrampur Chini Mills Ltd.
Vill : Gularia, Tehsil : Golagokarannath
Dist. : Lakhimpur Kheri, U.P |
Sugar
Power
Distillery |
8000 TCD
31.3 MW
100 KLPD |
Maizapur |
Indogulf Industries Ltd. Unit - Maizapur Sugar Vill - Maizapur
P.O - Haldharman
Tehsil - Colonelgunj
Dist - Gonda, U.P
Pin - 271 126 |
Sugar |
3000 TCD |
PRODUCT:
Sugar
Molasses –It is the feedstock for the manufacturing of alcohol and host of downstream chemical.
Alcohol-Molasses are treated to manufacture alcohol.
Ethanol.
Bagasse.
Power.
Organic manure.
SECTORAL OUTLOOK:
The prices of sugar have risen 5%, 8%and 7% in Kolkata, Mumbai and Delhi, respectively since the beginning of January this year. The prices of sugar in fact, been registering big jumps both for the wholesale and the retail consumer countrywide since January last year. The rise in wholesale price was as high as 50% in some parts of the country since January 2008.
The jump in wholesale sugar price in run-up period to January 1, 2009, and since then up to January 9, 2009, in Kolkata was about 120 per quintal. In Mumbai the hike is Rs156 per quintal. In Delhi, the hike is Rs40 per quintal.
Much of the price hike towards 2008-end and early-2009 was driven by lower output estimates-only 180 lakh tones in the 2008-09 sugar year-compared to earlier estimates of 220 lakh tones.
SHAREHOLDING PATTERN:
|
|
NO. OF SHARES |
% OF TOTAL |
PROMOTER |
94150890 |
|
36.84% |
|
INSTITUTION |
101408139 |
|
39.68% |
|
GENERAL PUBLIC |
59977281 |
|
23.48% |
|
GRAND TOTAL |
255536310 |
|
100.00% |
|
FINANCIAL:
|
|
31/03/05 |
31/03/06 |
31/03/07 |
31/03/08 |
TOTAL INCOME |
816.27 |
1905.24 |
1401.93 |
1477.67 |
EXPENDITURE |
-573.89 |
-1438.75 |
-1302.65 |
-1148.17 |
OPERATING INCOME |
242.38 |
466.49 |
99.28 |
329.5 |
DEPRECIATION |
-37.27 |
-67.09 |
-80.22 |
-117.21 |
PBIT |
|
205.11 |
399.4 |
19.06 |
212.29 |
INTEREST |
|
-18.93 |
-34.51 |
-54.42 |
-89.65 |
PBT |
|
186.18 |
364.89 |
-35.36 |
122.64 |
TAX |
|
-38.85 |
-73.3 |
-6.48 |
-25.61 |
PAT |
|
147.33 |
291.59 |
-41.84 |
97.03 |
CHANGE IN THE TOTAL INCOME:
CHANGE IN THE OPERATING INCOME:
CHANGE IN THE NET PROFIT:
The financial is looking better now on account of higher price of the sugar. The sugar stock is cyclical stock and sugar cycle is on upside.
RATIO:
|
|
31/03/05 |
31/03/06 |
31/03/07 |
31/03/08 |
|
EPS |
5.768598 |
11.41252 |
-1.63757 |
3.797652 |
|
OPM |
29.69361 |
24.48458 |
7.081666 |
22.29862 |
|
NPM |
18.04917 |
15.30463 |
-2.98446 |
6.566419 |
INTEREST COVERAGE |
10.82946 |
11.57346 |
0.350239 |
2.367987 |
The Interest coverage ,EPS,NPM,OPM and started improving in last year.
COMPARISON OF FYQ2 2009 WITH FYQ2 2008:
|
|
30/09/07 |
|
30/09/08 |
TOTAL INCOME |
296.16 |
|
417.06 |
EXPENDITURE |
-293.96 |
|
-344.47 |
OPERATING INCOME |
2.2 |
|
72.59 |
DEPRECIATION |
-23.21 |
|
-28.83 |
PBIT |
|
-21.01 |
|
43.76 |
INTEREST |
|
-13.16 |
|
-28.33 |
PBT |
|
-34.17 |
|
15.43 |
TAX |
|
0.07 |
|
-0.85 |
PAT |
|
-34.1 |
|
14.58 |
In this FYQ2 2009 company has earned Rs14.58 crore as compared to losses of Rs-34.1 crore in FYQ2 2008.
VALUATION AND OUTLOOK:
At Cmp Rs55 stock is trading at 14.4 x, we expect the EPS to increase to Rs 6 in the next financial year. At cmp it is trading at 10 x to FY2010 earning. We expect the price to be around Rs90. The company seems to be undervalued at this rate.
CONCLUSION:
In 2009 and 2010 we expect the counter to do better. Stock can be accumulated on every dip. Medium term and long term investor should take exposure on this counter on every dip before speculative activity starts deriving the counter.
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