Pellet prices continue to be at 11,000 in Raipur even now.
This is today’s interview of physical neighbor of GPIL- Sarda energy. It is a pretty similar business model and trades at almost double the valuations as I described here- Manas Portfolio - #39 by Kumar_manas
At 11700 Pellet price GPIL had reported an EBITDA of 470 cr in Q4, with 80% iron ore integration.
At current pellet price of 11,000, (assuming this as avg price for next 6 mths), with 100% captive iron ore, and additional profit from GGEL, Hira ferro alloys, plus additional billet capacity, quarterly EBITDA at this level comes to around 500+ cr, and annual EBITDA to 2000+ cr. And annual EPS around 440-450+
Please correct me if I am wrong in my calculations.
(haven’t added solar plant 170 cr EBITDA which will come online in next FY)