LUX INDUSTRIES - Can it Scale?

KPR MILL EMPLOYEE average salaries is 2.5L (they provide additional facilities too and education to employees too)
For page Industry it is around 2L

In both this company KP Rama Swami and brothers take 5.7 cr salaries
In Page they take
Sundar genomal 2.06 cr
Vs Ganesh 3.522 cr.

Don’t understand with lux promoter with very less and as highlights in above it is also managed profit they are taking very high salaries

1 Like

From FY22 AR:

“The result is that even as we were compelled to raise sticker prices to absorb the unprecedented increase in raw material costs, we were pleasantly surprised – not entirely unexpected – that this increase was accepted by consumers.”

1 Like

Compare with median salaries, not with average, extremes can cause huge skew.

1 Like

I have seen in many places unsecured loan has been given to a related party since from the bigning.
I have highlighted them since from 2016 Annual reports.
I cannot see whether they paid interest on this loan or not.
Same time.
Total Related Party Disclosure so many in this lux.

In 2021 29 Cr Worth Properties is purchased by promotors.
Do not understand the reason for this.

if someone can explain the reason for this type of loan ?

from 2016
from Annual reports screenshot is attached
![16 related Party transaction |690x442](upload://oI



fast forward to 2021 22


One More thing I have noticed is past 10 years’ profit is not matching with the operating cash flow from operations.

From many interviews and with the blogs I have read that it should not vary more than 20% but in the case of lux cumulative 10 Years PAT/CFOL is varying up to 47%.

The company is generating High ROCE. ROE and Profit but there is most of the time negative cash flow.

I do not have much accounting skill to go and catch the problem but company with insider trade case. Past records of many transaction with subsidiaries and with promoters. Have negative cash flow.

Cash flow is fact, profit is an opinion
topline is vanity and profit is sanity but cash is reality


DIIs have increased their shares quite a lot 6.23 → 11.1 in the month of September.
Trying to understand the rationale behind the same.


Just re-bucketing of LIC’s stake from Public to DII.


Is it the first time in many quarters that LUX didnt do a Concall ?