Hi Mahesh,
Have been reading your acutely detailed analysis & updates on PI Industries.Thanks for that.The company looks like a very good long term investment given the points you have mentioned right through.
Do you think this is the right time to buy the stock?
The compassion on ValuePickr always makes me smile :).Thanks again sir.
Board to consider Dividend
PI Industries Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on August 03, 2013 inter alia, to consider the following:
1). to approve the Un-audited Financial Results for the quarter ended June 30, 2013 and:
2). to consider interim dividend, if any.
PI Results on 3rd August 2013......Given below are my estimates...
|
( fig. in ` cr. ) |
Q1FY14e |
Q1FY13 |
|
|
|
|
|
Revenue Agri-Inputs CSM |
295 â 308 165-170 130-138 |
238 143 95 |
|
|
|
|
|
EBITDA |
56.5 â 59.8 |
49.31 |
|
|
|
|
|
PAT |
31.1 â 33.4 |
23.45 |
Q1FY14e
|
Q1FY13
|
295 â
|
|
|
EBITDA
|
56.5 â 59.8
|
49.31
|
|
PAT
|
31.1 â 33.4
|
23.45
Hi Mahesh,
Any idea when the AR will come out?
Sagar…AR2013 of PI should logically be out by next month…
Rgds.
Inspired by Science
PI Industries Q1 FY2014 Earnings Conference Call
Tuesday, August 06, 2013 at 11:00 am IST
The management team of PI Industries â one of Indiaâs leading Agri-input and Custom Synthesis companies, will participate in a conference call for analysts and investors on Tuesday, August 06, 2013 at 11:00 am IST.
The call will commence with a brief management discussion on the Q1 FY2014 results, to be declared on Saturday, August 03, 2013 followed by an interactive Question & Answer session.
Mr. Mayank Singhal, Managing Director & Group CEO and Mr. Rajnish Sarna, Executive Director, PI Industries Limited, will represent the management team on the conference call.
Details of the conference call are as follows:
|
Timing |
11:00 am IST on Tuesday, August 06, 2013 |
|
Conference dial-in Primary number |
+91 22 3065 0122/ +91 22 6629 0301 |
|
India Local access Number |
6000 1221 (Accessible from all major carriers except BSNL/MTNL) 3940 3977 (Accessible from all carriers) |
|
Hong Kong Local Access Number |
800 964 448 |
|
Singapore Local Access Number |
800 101 2045 |
|
UK Local Access Number |
0 808 101 1573 |
|
USA Local Access Number |
1 866 746 2133 |
|
Pre-Registration Facility (Special Facility where you can pre-register for the call, and then directly dial-in on the day of the call, without waiting for the operator. You will also get reminders to attend the investor call.) |
Step 1: Pre-registerhere; You will receive dial-in numbers, passcode and a pin for the call on the registered email address Step 2: Dial into the call on the Conference Call date, enter the passcode & pin as prompted Step 3: You are directly connected to the call |
Maheshji,
Do you have any document of their 2013 AR? I think they will come out with Q1 results today.Why is it still not availaible?
Wonderful results from PI. Revenues up 70% and net profit up 107%!
Mahesh
PAT Jun-2011 Rs.47.95cr
PAT Jun-2012 Rs.23.46cr
PAT Jun-2013 Rs.48.54cr
Is this a one timespike in profits due to some large CRAMS orders and superb monsoon, or do you think the co is permanently moving to a higher orbit? Any estimate for FY-2014 & FY-2015?
Co mentioned in its release that it was an exceptionally good quarter.
This implies this kind of quarter may not repeat in near term.
excellent nos. from PI…should settle close to 170 before q2 nos…will post my detailed analysis post concall…
Rgds
it should be available by 15th August…
Rgds.
timespike
ajit…have already provided my FY14 & FY15 estimate in earlier posts in this thread you can refer that…
things will be clear post concall…but, co. is surely moving into higher orbit and is set to cross 1000 cr. revenue mark from only CSM segment by next fiscal…this will be a great ahievement and make it command much higher valuations on the bourses…
Rgds.
may be you are right RsKm but only one more exceptional qrtr. like this in current fiscal can make the co. get rerated like 2011…i think the time is due and lets keep our fingers crossed…
Rgds.
Key takeaways from concall :
(1) Agri contributed 196 cr. while CSM contributed 208 cr. in Q1FY14.
(2) Quarterly Runrate for CSM expected to be 200 cr. + for all subsequent quarters.
(3) Upgraded yearly growth guidance for CSM segment from 25 % earlier to 33 %.
(4) Yearly growth guidance for Agri segment put at 20-25 % for FY14.
(6) Orger-book for CSM segment stands at USD 307 mn.
(5) Jambusar plant contributed 30 cr. to Q1FY14 revenues and is expected to contribute ~100-120 cr. for FY14.
(6) Inlicensed products contributed ~60 % to Agri segment revenues.
(7) Q2FY14is shaping up better and management expects a positive growth over the higher base of Q2FY13.
(8) Inventories stands at 220 cr. ; Receivables at 370 cr. and Payables at 240 cr. whereas Gross Debt stands at 151 cr. with Cash & Cash Equivalents standing at 150 cr…
View post concall :
CSM segment is set to touch ~830 cr. revenue mark for FY14 which necessitates a revisit to our FY14e numbers. Since Agri segment is dependent on spread of monsoons and occurence of pest incidence we will wait for Q2FY14 numbers to revisit our FY14e Agri segment numbers. To sum-up, we revise our FY14e revenues upwards from 1380 cr. to 1460 cr. and FY14e EBITDA from 232 cr. to 251 cr. which takes us to revision in PAT from 129 cr. to 138 cr…
These are most conservative estimates and it is most likely that company will be able to easily surpass the anticiapated numbers. This is because, this is the first time we are witnessing strongest undercurrent in CSM segment which is very healthy for financials of the company. Business model of CSM is such that once a strong undercurrent sets in, it sustains for long as majority of the orders are from patented assignments. It is most likely that by Q3FY14 we will hear from the company on second phase of Jambusar project.
Second and most important point to note now is that, management is now guiding for considerable reduction in already low debt going forward as it expects considerable free cash flow generation from the business. This will be great news for shareholders as it will mean higher dividend payout as also higher net profitability which will result in higher valuations on the bourses.
To sum up in short, the results of Q1FY14 are exceptional by any standards and they can’t remain ignored by the markets for too long. One more good quarter ( only good and not exceptional ) and we will see PI stock get rerated significantly on the bourses. On the Q1FY14 declared results, PI’s immediate trading range deserves to shift upwards to 158-170 from current 122-140 which should happen as soon as markets settle slightly.
Rgds.
Q2FY14is
Yes you are right.The results are exceptional on many counts.Especially the fact that Interest cost has reduced from 12cr. to 4cr. YoY.Also,going by the trend, they posted similar PAT in all quarters,so maybe 35-40 cr. average is possible in FY14(backed by the great monsoon this year) The management is certainly conservative in their guidance & the quality of earnings is very high.The current market conditions have throwed up many irrationalities,as prices have come down sharply.PI,even after such good nos is being overlooked.Hope sanity returns,will buy soon.
Thanks for your updates.Great days ahead.
Sagar,
Please do not copy the prev post entirely. If you are answering to a particular point in the discussion, copy only that part of the previous post. This is to avoid the length of the thread getting too long without adding value.
Admin please take note of this and issue a guideline accordingly.
Mahesh
What percentage of revenue is FOREX.? Also any major FOREX Expenditure. I wish to know the impact of INR fall on this company
Hi Rehan,
Entire CSM segment revenue is export revenue…major forex expenditure is for RM and some portion for ECBs outstanding…net impact of INR fall on this company will be positive…
Rgds.
Interview of Rajnish Sarna of PI to ETNOW…expect 1500 cr. revenue for FY14 with 10-10.5 % PAT margin and debt to get reduced to 100 cr.
__
In an interview with ET Now, Rajnish Sarna, ED & CFO, PI Industries, speaks on their quarterly performance and growth plans. Excerpts:
ET Now: What led to the strong growth in the top line and bottom line of your business in the quarter?
Rajnish Sarna: We are into _domestic agri input business_ and synthesis _manufacturing exports_. This year, on the back of timely onset of _monsoon_ and well _spread_ rainfall, the sentiment has been very good in the _agriculture community_, sowing has increased and the season has extended. All these have contributed in expansion of our domestic business, with a significant growth to the tune of 38-40%.
On the other side, there is a scale up in our contract manufacturing products. Some of these products were in line with their global demand. The scale up has happened, the demands have significantly gone up and all this has contributed to 70% growth.
ET Now: Your _PAT_ has expanded since the _finance_ cost has come down for you as a company. How much debt exists on the books, how much did you repay and is there a target to reduce debt by a certain number by the end of FY14?
**Rajnish Sarna: **The PAT has increased due to several reasons. With 70% growth in our revenues, the operating _leverage_ benefits are coming. Our overall _EBITDA_ growth is close to 60%. The finance cost has come down by close to 30% and besides this we had the currency benefit during this quarter. Together these factors contributed to more than 100% growth in our PAT. In terms of debts, as on date we have close to Rs 150 crore and this includes long term as well as short-term debts. We are expecting a good internal accrual going forward with reasonable growth and that would help us further bring down these debts. Our target is to bring it down close to Rs 100 crore by the end of this year.
**ET Now: An EPS as well as margin guidance that you can leave us with? **
**Rajnish Sarna: **We expect to improve our margins during the current fiscal with revenue growth, close to Rs 1500 crore revenue. We are expecting that we should be able to post close to 10-10.5% net profit by the end of this year.
