1HFY25 sales and profits at Rs153crs and Rs14crs. Extrapolating the same to 2H we are looking at sales and profits of Rs356 crs and Rs28crs. So stock trades at 29.8x FY25E P/E at current market cap of Rs837crs.
The company operated at capacity utilzation of 94% in H1. They have increased capacity from 11,700 to 18,000 MTPA in Oct/Nov 2024 so H2 > H1 and hence guiding for revenues of Rs400crs for FY25. Extrapolating H1 PAT margins of 9.2%, FY25 PAT should be Rs37crs. So stock is cheaper at 22.6x FY25E.
Targetting Rs600crs in FY26 and 30% revenues CAGR over next 3 years. At the same PAT margins that is PAT of Rs55crs. But PAT margins could increase as new factory will make higher end 400kV and 765kV class. So stock is cheaper than 15x FY26E (perhaps 12x FY26E)
The other stock in the same industry is Vilas Transcore at 43.4x FY25E. But here capacity is going up 3x from 12000 MTPA to 36,000 MTPA in March/ April 2025. So growth could be far higher here in FY26E.
Both stocks look like fantastic bets on the power transformer opportunity
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There was a thread on Vilas Transcore a few days back on Valuepickr. But it looks like its been deleted. Atleast I cannot find it.
Vilas is west based while Jay Bee is north based. Vilas is less liquid than Jay Bee and trades on ST category in SME exchange. Both have lot sizes of 1000.
Disclosure: Invested in both Jay Bee Laminations and Vilas Transcore.