- Currently they are selling 4000+ bpd which translates into 3.6 cr per month. As mr.khera said to Quint interview it will reach 16000+ bpd Q1FY19. which will translates into 15cr per month and 45cr a quarter. Profit margin they have not disclosed but if we assume 12% npm then 5.5 cr which translates into Rs.20 eps means 40 times FY19 Earnings.
After this period the real game will starts…
2)Now in us online books sales is 5lacs bpd which 50% of whole market. So if we can reach 10th of us market by 2020 then it will be 50000 bpd which translates into Rs.61 eps.
Imagine if they successfully delivered this number then what will be the price.
3) Dont forget they have 1.6 millions of titles which is entry bariar …
4)Can we assign 250 cr of mcap to old business?
Then we are paying 650 cr to BOD business with ingram.
5)Mr.Khera said they are going pretty faster than what they have projected thats why they have needed money.
6)Malabar india mr.nagar and vijay kedia another factor of confidence
7)If Amazon take over Ingram then Repro will only be printing company! ! And price will be Rs 100. Everything depends on ingram which is privetly held company.
Guys i have just started learning stock fundamentals and all ,so correct me whereever i am wrong.
Disc: Invested 25% of portfolio.