Didn’t understand what the report meant ? Why only 1% or something else.
Thanks for clarifying the rest of doubts.
Hi Mridul, Do we have a like to like international peer with whom we can compare Parag in the listed space?
Yesterday Heritage Foods came out with good numbers with the improvement in margin which is every encouraging. Today expecting similar result from Parag. Low milk price will act as a positive tailwind for the company.
Robust performance for the H1 FY19
Our Strategy to focus on distribution, execution and value-added products
continues to deliver results
PAT growth of 66% YoY to Rs. 587 million, with a PAT Margin of 5.2%
EBITDA growth of 49% YoY to Rs. 1,177 million with an EBITDA Margin of 10.5%
Revenue growth of 22% YoY to Rs. 11,229 million
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Edelweiss in its report has compared Parag Milks to global giant Glanbia PLC
Can you pls share the report
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Conference call pdf anyone ?
Hi Deepak,
Thanks but I was looking for Q2 conference call
You can find it in the shared locations specified in below thread:
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Just a sharing my experience with Parag milk customer care team which is not directly linked with Investment analysis but indirectly it helps to understand management and top management’s approach towards the brand & consumers.
I have found that, in fresh milk they are using milk solids, may be because of huge milk solids inventory or international price of milk solids are down so utilizing old stock. Powdered milk is, of course, less expensive than fresh milk and it’s relatively non-perishable. As compared to the fresh or packaged milk, it comes in half the price.
But if you research this question on the Internet, you’ll quickly come across a lot of sources who claim that powdered milk is extremely bad for you because it contains oxidized cholesterol, which is supposedly the most dangerous type of cholesterol. What’s worse, oxidized cholesterol molecules can in turn oxidize other cholesterol molecules, setting off a sort of chain reaction.
in one of the [Experiment] conducted by scientist (https://www.jaad.org/article/S0190-9622(07)02402-4/abstract)
“We found a positive association between intake of skim milk and acne. This finding suggests that skim milk contains hormonal constituents, or factors that influence endogenous hormones, in sufficient quantities to have biological effects in consumers.”
So basically based on this information, I raised a concern with Parag management using different medium around 8 months ago.
Unfortunately it has been more than 8 months and their management don’t have answer for that, this shows management approach towards their consumer.
Being in Dairy industry TRUST is most important factor for growing business. (Which they yet to establish with consumers.) best example is Amul which is synonyms for trust in dairy segment.
Despite management knows the concern is raised and regular follow-ups are being taken, they are unable to act/answer simple queries related to health risk, in future similar incident may leads towards the "Nestle Maggi" like situation because health concerns.
Disc: Tracking from last several quarters, no position in any dairy stocks, may be a signal for me to stay away from the counter.
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What do you mean by raised the concern with the management, is it possible that your concern might have got lost in the many emails they get everyday (in case you sent an email) or did you speak to someone who assured that the concern will be submitted to the concerned department or to the top level? Did you contact them again?
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Hello,
I am in touch with one of the Customer Responsible and I have email conversation as a record.
As per the officer who is handling my concern wrote more than twice saying
“I raised a concern with Product manager as well as raised issue to the management.”
He also said that
“concern also raised with Quality Check team and plant Manager for faster resolution.”
All this communications are from their official representative using official email id.
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Any kind of processed food is not suitable for humane consumption but in today times it is a big industry. Wether you talk about sugar coca cola biscuits Maggi edible oil bottled water ice cream or any other items and it is proved through various scientific study and empirical proof. Same is case with any food items produced by chemicals like fertilizers and pesticides however again this is a big industry. Actually effect on human health of these food items is so slow that it is difficult to establish a cause and effect relatiobship directly. Even curd or flavoured milk or tonned milk sold by any milk company is not fully suitable and healthy for human consumption wether it is Amul or any compnay
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This is normal Practice in Dairy industry and along with Powder they also mix little sugar.
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Just for your information, Amul & Mother Dairy also use skimmed milk powder (SMP) for making milk. In winters, proportion of SMP is less as compared to summers (In summers, sometimes it is as high as 60 to 80 percent). Normal practice in Industry…
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Milk Solid is defined by the United States Code of Federal Regulations (CFR21, Sect 131.125) as the product made from the concentration and drying of skim milk whereas Skimmed Milk Powder (SMP) is defined by the Codex Alimentarius (Codex Stan 207-1999).
Both produced by water removal processes (evaporation, followed by spray drying) to produce dry, free flowing, shelf stable powders and both have different effects on human.
Hope i clarified, I am not against SMP, but against Milk solid use which is harmful.
Nonfat dry milk and skimmed milk powder are very similar but are defined by two different sets of regulations and authorities. NDM is defined by the U.S. Food and Drug Administration, while SMP is defined by CODEX Alimentarius. Both are obtained by removing water from pasteurized skim milk. Both contain 5% or less moisture (by weight) and 1.5% or less milkfat (by weight). The difference is that skimmed milk powder has a minimum milk protein content of 34%, whereas nonfat dry milk has no standardized protein level.
They both are similar except minimum milk protein (Certain SMP/Milk solid contain 36 protein also). In India, SMP & Milk solids are used interchangeably…
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Strange why would they not co-operate to the rating agency?
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