TRIDENT - World’s Largest Integrated Textile Manufacturer

(sjsandesh) #65

Financial results for FY 2017-18:

Corporate Presentation:

(sachinabhyankar) #66

I am holding Trident for past 3 years. Company has following going for it:

  • Reduction in high cost debt reducing interest cost

  • access to high quality cotton closer to factory, an edge over competitors, particularly foreign

  • Proven track record in towels

  • Deloitte is the auditor (hopefully books are not cooked)

Over last few months all textile stocks seem to have corrected including Trident. Its difficult to understand the reason for correction. Cotton prices may be one of the issue though it will affect all the players globally (India being one of the largest cotton producer) so company should be able to pass on the raw material price increase.

company has not been able to ramp up bed sheet capacity to the extent possible which may be biggest overhang. Though personally I do not see it as a major challenge as company has proven capability on towels and bed sheets is a related sector with similar customers.

Other may be trade war leading to reduced access to US market, which can have big impact as company is large exporter though its a business challenge and all Indian exporters will get time to adjust.

It will be good to understand other views on challenges faced by company and future prospects.

Disclosure - I am invested in company and considering adding at current levels.

(sjsandesh) #67

Production figures for July 2018:

Division Unit of Measurement Quantity
Home Textiles Division
• Bath Linen Metric Tons 3,606
• Bed Linen Million Metres 2.17
• Yarn Metric Tons 9,519
Paper & Chemicals Division
• Paper Metric Tons 13,015
• Chemicals Metric Tons 8,199

(Gaurav Agarwal) #68

It will great help if anyone tracking this company explain - How company doubled it’s profit this quarter 108 crore compared to 51 crore same quarter last year?

Sep-2018 quarter result


(navneet bhaiya) #69

Better utilization of textile capacities
reduced debt
better USD / INR realizations
continued tailwinds in the paper sector
cotton inventory at old prices

(phreak) #70

Terry Towels have shown impressive growth in Q2

Bed Linen as well

There seem to be some tailwind with the realisations as well with 8% increase even in USD terms in Q2. The rupee aided this and made it 17%. I think this is the reason for the good performance in Q2

(sjsandesh) #71

CARE reaffirmed the Credit Rating of Trident Limited:

Facilities Amount Rating (INR Cr.)
Long term Bank 1,564.63 CARE AA-; Stable
Long term /Short 1,500.00 CAREAA-; Stable I CAREA1+
term Bank Facilities
Short term Bank 200.00 CARE A1+
Total Facilities 3,264.63

(Raman Sharma) #72

Good Q3 results-
Revenue up by 18%,
EBIDTA up by 21.3% (EBIDTA Margin-19%),
PAT up by 53.4%, (PAT margin- 9%),
Textile rev grown by 18.6% ,
Paper & chm rev grown by 15.6%,
(Textile contribution in rev 80% and paper & chm-20%),
Textile PBT margin - 10%,
Paper & chm PBT margin- 38%

(S_Banerjee) #73

Can someone please help to understand what is this for. Nothing mentioned in note section. This added quite a good amount in overall profit.

(sjsandesh) #74

(Raj A A) #75

Investor presentation post Q3FY19 results. Better results, Debt reduction, Promoter stake increase.

Improving capacity utilisation in Bed and Bath linen is key for future growth.

Press release.

(Raj A A) #76

Management is running extra mile to provide forward looking info on Industry outlook and Trident perfromance.