Everest Kanto Cylinders Ltd. - A long runway ahead!

Am I missing some thing ?
Article 1 maruti suzuki cng car sales: Maruti Suzuki logs record sales of 2.3 lakh CNG cars in FY22; has backlog of 1.2 lakh bookings, Auto News, ET Auto

This article was written in March end when CNG was cheap

Article 2

This article was written in June mid when CNG got costly.

But when one read the articles will find that there is still a gap bw running cost of CNG and Diesel.

Second article Maruti was still bullish on CNG.
Is there something else or Cost of Material plays the bad sport?

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If you are invested in a company, at least do the basic requirement of following the concalls. EKC has clearly said that the demand collapse has been on the commercial vehicle side and not on passenger vehicle side, yet everyday somebody or the other posts Maruti CNG numbers here.

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I guess it’s intuitive to extrapolate. More so when management doesn’t breakup on segments and subsegments.

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Article 1

Interesting read on CNG and Commercial Vehicle companies take on CNG. One can derive both positives and negatives from the above article. There is assumption that increases are in the offing in the second half of this fiscal year. “CNG prices may rise above petrol and diesel prices,” the report said.

Article 2

Where numbers of TATA Motors were shared. In CVs the details of CNG were not there however their Passenger vehicle CNG sales were at the highest to date.
However as per concall Everest Kanto was not a client of Tata Motors in PV( Q by Viraj Mahadevia pg 11 of 17). Now it’s upon the management how well the grasp the opportunity in PV segment when CV is down.

Latest Article

https://www.autocarpro.in/news-national/cng-price-cut-by-rs-6-for-second-time-this-year--demand-revs-up-for-cng-pvs- cvs-92549

Where after the decrease in CNG price Auto Sector is bullish again.

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Are we aware of the contribution from City Gas Distribution for EKC? As this demand will continue to be there (albeit with its own ups & downs due to delays in project etc) and steadily grow in the next 10 years.

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Did anyone attend the AGM today? Any update shared on the current business situation? Does the management see a revival in Q3 (or already in Q2 maybe)?

people have given up on promoters of this company. nevertheless sales should revive in 1 or 2 quarters and company will be back on track. sales can be revived earlier but given poor track record of the promoters it will surely take 2 quarters !!

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