ValuePickr Forum

Deep Industries (DIL)

(ASG) #228

Whats your source for this information?

(Raghu) #229

you can find the audio here. may need to register n login

(PS) #230

This is sizeable award from ONGC…It does end the speculation of so called rift between both (ONGC and Deep Industries)

(Millennial_Investor) #231

Any update on the NCLT meeting? It was supposed to take place yesterday (after 4-5 time delays). I have doubts that whether it actually happened or was delayed once more.

(yourraj) #232

Valuation and analysis
Numbers are TOO Good To believe .Data from Serener
image

Deep yourRAj 29-03-19.xlsx (109.3 KB)
Check the Customisation and Calculated Data Tab of the Excel file .One can use this as template in screener after modifying it
I wonder How if compare this company with Aban Offshore Ltd and Salen Exploration Where will It stands ANy Views ?

Very Old Thread from TED
http://theequitydesk.com/forum/printer_friendly_posts.asp?TID=411
disc : not invested however mouth watering valuations

(Millennial_Investor) #233

Valuations are attractive due to correction last year due to court case with ONGC. It is not yet clear whether the issue is not resolved or not but they are getting new orders.

(ferozk) #234

Deep Industries bagged another order worth 18 crores from ONGC and in March 2 orders worth 184 crores from ONGC. Total 202 crores orders with in 2 months. Looks good days are ahead.

1 Like
(Rahul) #235

Excellent analysis by @raj1968 and @VB1 so far.
Since ONGC issue is resolved, what are your views now? Especially at current valuations and also low probability of Deep getting re-banned by ONGC.

  1. @VB1 what is the source for promoters’ criminal cases in 2006? Are you sure that the Savla being referred to in your source is the same as Deep Industries’ Savla? Google mother says there are lots of Paras Savla(s) out there in the world.
  2. Regarding the insider trading article shared above, SEBI kicked off the case that social media likes can’t prove insider trading. Please find below article.
    https://economictimes.indiatimes.com/markets/stocks/news/sebi-order-kicks-off-storm-social-media-links-cant-prove-insider-trading/articleshow/63919102.cms
  3. Regarding the CBM blocks, since we own 26% of the business, does it mean we own 26% of the value of NG produced in that block? How do we come down to a value for this? Can some one please throw some light on the business model here?
  4. Any idea on why the revenue has fallen for Q2 and Q3 of FY19? The comments in Q2/Q3 results say that their Dubai subsidiary has booked significant revenues but no numbers yet. What is the definition of ‘significant’ according to management? If anyone is having access to conference call transcripts of FY19 quarters, please do share.
  5. What’s the status of demerger? No news post the scheme of arrangement. Q2/Q3 releases of FY19 just mention that it is approved by equity shareholders. When is the record date?
(Rahul) #236

Answering some of my own questions after listening to Q3FY19 call in StockAdda.

Revenues from Dubai subsidiary is 46 crores and PBT margin around 33% => Profit before tax is around 14 crores.

On the demerger, they are still waiting for some approvals. Once that is done, we should be through. Hopefully we get more information in Q4 announcements.

(PS) #237

4 - Consolidation numbers have not been published last quarter. So you can see them with this quarter results

5 - demerger is in pause state as creditors meeting is getting continuosly delayed since last few months as no one is attending it. It was supposed to be held on 10th May but no updates yet. Don’t be surprised if it’s delayed

(Rahul) #238

I’m not very comfortable with management’s integrity.

  1. Management continuously says in conference calls that new bids are coming but there is no revenue growth since two years.
  2. Similarly they keep promising on revenue from E&P since many years in the conference calls. Now they are saying we’ll see its revenues from Q3/Q4 FY20.
  3. Screenshots pasted from attached document.
    IDBICapital-DeepIndustriesLimitedProspectus.pdf (1.6 MB)

  4. Screenshots pasted from below document.
    http://cbi.gov.in/firs/2018/2018_pdf/2018_acb_visakhapatnam_firs/RC0362018A0007.pdf

    Their standalone revenues have fallen after this incident in dehydration business and below article also suggests that their standalone revenues from dehydration business are falling.
    https://energy.economictimes.indiatimes.com/news/oil-and-gas/integrated-project-management-will-be-a-major-growth-driver-for-us-paras-savla-cmd-deep-industries-/67379615

Some points which support management’s integrity are:

  1. Used to purchase shares from the market few years ago
  2. Regularly pays dividends to minority shareholders

Inviting views on management’s integrity from other boarders…