More than the qtrly results I am betting on Lokesh Harjani the ED who took over charge in 2011.
As founder Ashok who founded the co way back in 60s doesnt has any children the future it seems is secure in hand of Lokesh.
In small cos the bet is on Jockey more then anything else.Lokesh is born in US and trained as a lawyer.He is also several patent holders implying original thinking and intelligence.He being a US citizen NRI who speaks the same accented language follows the same norms and culture as that of his customers like Hanes,Fruit,Gap and so many other who are mostly US cos thus increasing their comfort level.This is obvious from the improvements in performance ever since Lokesh came in.Inci
dentally world over Sindhi community has an great edge due to their experience n networking in field of textiles.
Otherwise opp size is massive for textiles and related cos as world is now appreciating the prowess of Indian cos in this sector namely skilled yet low cost manpower,lowering power costs,lowering RM cost,increasing indigenization of RM and processes,upgrading of machines,depreciated assets,consistent quality,scale,long term relations with abovementioned OEMs running over few decades.
Now judicious move of moving to Vietnam the textile capital of the world marks the co moving to next orbit implying increasing of opp size.Vietnam opens Premco to new makt due to DTA agreement Vietnam has with US,Europe,ASEAN.
This is still an undiscovered gem with zero instl holding operatimg with 200 cr mktcap, zero debt,ROCE of 44%,good growth rate,massive opp size,good promoters with execution waiting for rerated.Imagine where the co can go when instt investors move in.
Discl - invested since last year…