Sharing my notes from the AGM:
Discussion:
* Facility: China, Brazil are the only other facilities of the parent company.
* India is the only rotary machine manufacturing plant outside Netherlands. Parent co. doesn't have much presence of selling rotary machines in export market hence, growth opportunity is there for the Indian co to tap.
* Manufacturing time 3-4 months.
* Semi-automatic- R&D is in progress would also be developing indigenous fully automatic machine. Once, done it will open further export market. most of the machines are mechanical in India. People will progress from mechanical to semi-auto and then to fully-auto.
Stovec AGM Q&A:
* screen market in India about 200 Cr.
* 75-80 machines sold in best year, 20-25 in a worst year. Hence tough to give the number on market size.
* Royalty increased by 50%-> new products are being added. Some of the existing products (screens) have matured and have been facing competition.
* CAPEX- yes, have constructed a new shed (pre-fab) for increasing the capacity seeing the good demand for next 2-3 years.
* The Indian team was appreciated for fantastic product development over past 3-4 years. Due to which Stovec was able to increase substantial market share in India.
* Order book position is comfortable.