Maharashtra seamless-a value plus cyclical play

I just checked sceener, and looks like the net income / net profit they have is a little wrong. What screener is doing is simply taking the profit before tax and then directly taking consolidated net profit. While this is good enough in most cases, MAHSEAMLES has a Non-Controlling/Minority Interest, we add this in a consolidated statement, but for net profit attributable to shareholders, we need to subtract it.

I just went through the annual reports, and there is almost ~200Cr of minority interest over these years that does not reflect on Screener. The remaining ~90Cr can be explained due to tax rate and a few other line items it seems, what Screener seems to be doing is that they are taking profit before tax and then taking consolidated profit after tax without subtracting minority interest and using the above two created a plug for tax rate, which is why it is negative during some years. The number I have arrived with are in line with the annual reports on BSE.

I just redid the calculation, this time without rounding decimals, Cumulative earnings were 2,965.3Cr, their investments were 2,017.2Cr with which they increased earnings by 833.6Cr, so redeployed 68% @ 41.3% returns, multiply that and again, compounding value at 28.1%, hope this adds context.

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Much appreciated, thank you.

Hi All

Will the increase in exploration and production of crude oil improve the demand prospects for seamless and ERW pipe industry, and Maharashtra Seamless in the given case?

Thanks in advance :slight_smile: