FSL to sell part of it’s India business
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Audited Standalone and Consolidated Financial Results for the quarter ended 30th June 2017.Audited Financial Results Q1 FY 2018.pdf (410.4 KB)
FSL management said to grow at Industry growth rate excluding sale of some portion of domestic business - is it 6-8%? would it be possible for them to generate higher revenue from ISGN considering higher interest rate?
Are they indicating ISGN would be profitable in Q2 based on the reduction in employees (last couple of quarters they were negative on mortgage business)?
Next quarter we could see around 800-1000 headcount reduction owing to sale of domestic business - the improvement in margin would be sustainable considering the utilisation improvement and stability in ISGN business (I doubt on this part of commentary, any thoughts)?
can anybody highlight what kind of transformation led growth they are talking about? Do they have such kind of capabilities?
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What is going on in this scrip (up 20%+ in last three trading sessions) ? any details of corporate restructuring (mentioned on last con-call) ?
If someone wouldnt mind, when is the Q4 results and How much more of the longterm debt is pending ?
Looks scrip is gaining traction and making new 52 high everyday.
They are now I think long term debt free. Read a filing to that effect sometime back. Not sure when the results are due.
Yea … i have read it somewhere too … just wanted to double check …
If they are long term debt free … it should add ~50-60 cr every qtr to bottomline ?
and any idea what management said of Sky deal adding to qtrly numbers ?
No no. It wont be that substantial. Their quarterly run rate is around 70-80 Crores. If they add 50-60 Crores to that then it will be a mania. Their interest costs which is around 10 Cr a quarter will reduce. They still have some WC loans so finance costs wont go to zero.but should reduce drastically
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ok … any idea of the Sky deal translating to quarterly numbers ?
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They were paying out 10 mil USD every quarter. So it should be around 40 mil for year ( ~ 260 cr). Correct me if am wrong. I was calculating, once debt free their EPS will jump to 8 rs from 4 rs (without any growth)
according to above snap from BSE, they were paying ~11m dollars every quarter.
now that they have paid the final installment, this should add ~65 cr every qtr to BS.
Hi Rohit,
Do you have details of the other pending loans ?
yes…thanks for the info…this shud increase the eps to 8 and at 10 pe
fair value shud be 80 …would that be correct ??
yes correct. so with 66 cr outstanding shares, adding bottomline of around 260-300cr should jump the EPS by 4-5 rs
although not related to above discussion i just found an news where hdfc bought 96 lacks of its share
seems like some bullish trent ahead
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Anyone can chip in about the management commentry on Sky deal translating to actual numbers ? it will start contributing from which qtr ?
Sure and starting this FY with no debt to repay the company will start generating over 300 Cr cash every year and may start looking for acquisition target.
According to a feb 2018 presentation made to analysts and uploaded on bse, net long term debt as on dec 31 2017 was 50.5 million USD.
The link posted by @Vishwa_VK mentioned about the loan pertaining to FG USA subsidiary and wont apply to the whole consolidated entity. I guess the above 50 million USD figure is net outstanding long term debt. Working capital and short term debt would be besides the above number.
In same presentation, reduction in US tax rates from 31 to 24% is mentioned as a positive a couple of times.
Overall the company seems to be on track to be debt free totally by ?FY 19 (I think that was mentioned all along in their concalls for past 2-3 quarters )
The real exciting thing for the company would be the amount of free cash flow it can generate once it becomes debt free and capex intensity reduces.
disc: invested recently based on technical picture fitting in nicely with improving fundamentals.
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CoverLetterandAuditedFinancialResultsandDividendQ4FY2018pdf.pdf (2.7 MB)
FSL declares a maiden dividend of 1.5 rs,
If i look at the shareholding pattern from june / sept, looks like RJ has increased his stake (from 2.7 to 3.3)
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