Salient points from today's concall
)- Line 5 was running with 1 shift till last qtr now running with 2 shifts n will run with 3 shifts from Dec 14.
)- Line 6 will start from November 1 2014
)- may go for line 7 also if there is a delay in approval proces for PU plant.
)- Realisation improves to Rs 222/ m from 204/ m 1 year back.
)- supply started to MNC auto producers like GM India,Ford India , XUV from mahindra for expensive model at realisation of 300-350 / m as its stil cheaper then importing from China n local availability
)- min 20% growth assured in qtrs to come
)- only Asian co other than LG chemical to supply to OEMS in USA
)- Talks in advance stage with GM USA expect to clOse the deal by Dec approaching thru Magna the supplier to GM
)- this qtr profit impacted to the tune of Rs 2 Cr due to commission costs in raising PE
)- exports shown a fabulous growth of 40-50 % y on Y
)- Subsidairy being opened in US to give further fillip to exports as local distributor was constrained. Own warehouse will boost the exports
)- furnishing focus being give in India as margins are much better then OEMs n Footwear n huge response of 700 visitors per day at exclusive showroom in Delhi
)- For Footwear industry Q 1 is a traditionally weak qtr n sales are v brisk
)- PU realisation 20% more then PVC
)- exports now 27% of turnover n growing v fast
Good response from Reputed research houses like Ambit,HSBC,CIMB,Equirus, Sundaram MF, Valuequest