Tuesday, 6 June 2017

KATWA UDYOG LTD. CMP: 186.25

Katwa Udyog is in the Cement - Mini sector. The current market capitalisation stands at Rs 95.44 crore.

The company management includes H D Katwa - Chairman Emeritus, Venkatesh H Katwa - Chairman, Vilas H Katwa - Managing Director & CEO, Deepak Katwa - Executive Director & CFO, Narmada H Katwa - Non Executive Director, Nisha Maganur - Ind. Non-Executive Director, Satish Kalpavriksha - Ind. Non-Executive Director, Prajakta K Kulkarni - Ind. Non-Executive Director. 



It is listed on the BSE with a BSE Code of 530977.

Its Registered office is at 215/2, Jyothi Towers, 6th Cross,,Nazar Camp, Karbhar Galli, Belagavi,Karnataka - 590005.

Their Registrars are Canbank Computer Services Ltd.

1) Company has a sales growth of 23.24% for last 10 years and profit growth of 30.29% for last years, promoters hold a good 67.8% and dividend paying

2) Debt to equity has been continuously reducing for last 10 years

3) Company has completed expansion which will be adding to the top line

4) Below is the screenshot of its Q4 result (previous quarter), we can see that without the exceptional item (5.2 crore) and other expenses (4.7 crore) which are one off, if we don't consider them as these are one time cases, the profit would be around 9-10 crores. If we believe the company delivers similar performance in coming quarters then the profit would be around 40 crores for FY18, even if we take the profit as 30 crores in the worst case it would command a market cap of 15 times profit = 450 crores. 


5) Considering the increased demand in south for cement, recent expansion of the company and also increased prices of cement. Katwa udyog should be kept in one's watch list

NOTE : THE ABOVE IS NOT A RESEARCH REPORT NOR A RECOMMENDATION  BUT INFORMATION AS AVAILABLE ON PUBLIC DOMAIN. 



Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”

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