Virat Crane Industries Limited (VCIL)
Virat Crane Industries Limited involved in manufacturing the dairy products and Famous CRANE masala products in India. The company offers its products under the brand name of CRANE. In addition, the company through its subsidiary, Durga Dairy Limited, produces and sells ghee. Virat Crane Industries Limited is based in Guntur, India.
VCIL listed in 1992 and is promoted by Subbarao, who started career as selling betel nut sachets and built ‘CRANE’ group of companies(Agriculture,Real Estate,Infrastructure,Finance and IT products)ore organization under ‘CRANE’.The company manufacturing plant is located at Guntur.
Brief History of promoter:
Who started his career with 100 rupees note as a beedi worker now created a CRANE empire worth more than 100 crores.
Promoters are very much ethical and investor friendly.He asked his son to work as a office boy in career starting unDer him to know the value of work.I had a lengthy chat with key management today they replied for all my questions patiently.
Please read more about the promoters @ below link.
FYear Mar’13 Mar’14 H1’15
Sales 34.29 45.96 29.06
Interest 0.51 0.33 0.34
NetProfit 1.40 1.41 1.94
EPS 0.69 0.69 0.95
*Latest H1 results are surpassed by last year full results.Company expects the next few quarters will be in similar with more growth.
Company is a proud owner of established brands CRANE and DURGA.
Company’s CRANE betel(fruit masala) commands 85% market share in United Andhra,60% in karnataka and 40% in tamil nadu.
Company DURGA brand is most common one across andhrapradesh with out any competition.
The company’s subsidary Durga Dairy Products(DDL) has production capacity to manufacture 1500 tons of ghee per Anum.
Durga Dairy has entered into similar alliances with major retail players like Walmart,Reliance Retail, Trinetra, Gaint, Spencers, Foodworld, Subhiksha and Metro.
Company is DEBT free.
Company is regular dividend(5%) paying company for the last 4 years.
Promoters hold 74.9% with out any pledge.
Company products are recession proof.
The newly formed state AndhraPradesh capital is declared as Guntur, where the company holds 30 acres of land.
Financially company is very strong since there is no DEBT, 4 cr investment.
Power of their brands:
"Actually their brand DURGA is faked by local manufactures. Current year company started ads with celebrities and making buyers LOGO aware.Which is going to further add the top line and bottom line. Their expenses for this is 1.7 crore "
Virat Crane Agri Tech Ltd:a world class fruit processing facility at Berhampur, Orissa, for exclusive manufacture of premium fruit concentrates/fruit pulps of Mango, Papaya, Tomato and Guava in aesthetic tetra packs. A full-fledged 100% Export Oriented Unit with technical association M/S Sasib Foods, Italy in 800 acres collaboration with Orissa GOVT.
Company currently trades at 15 with an estimated EPS of 2 , this one has all the credits to become a multibagger.
Invested and continue to hold …