Prolife Industries Ltd is engaged in the business of manufacturing special/ exclusive range of intermediates for dyes, pigments, agrochemicals and others. In 2016, company came to IPO and listed in NSE Emerge.
Product Portfolio: Company’s product portfolio:
- Dyes Intermediate:
a. Dihydro Thio Para Toluidine Sulfonic Acid (DTPTSA): Used as paper dyes intermediate.
b. Amino Phenoxy Propane Sulfonic Acid (SPA)
c. Amino Methyl Phenoxy Sulfonic Acid (SPMT)
- PYBIZS: 4-Nitrile-1-Hydroxy-8-Metoxy-3-Methyl Benzo [4,5] Imidazo [1,2 A] Pyridine-7 & Sulphonic Acid & its sodium salt
- Basic Dyes: Basic Red51/Red 76/Brown16/Brown17/Brown99/yellow-1/Yellow57/Orange31
- Organic Intermediates:
a. 2-Chloro Methyl -3,4- Dimethoxy Pyridine
b. Octahydro-4B-Methyl-9 (Methylamino)
c. Di Amino Bisphenoxy Ethane
d. 5-Methoxy 6- Amino Benz Imidazole
Geographical Presence: The company exports to various countries like USA, Spain Switzerland, Germany, France, Japan, Germany, Brazil
In FY20, the company earned 33% of revenues from domestic sales and the rest 67% of its revenues from its overseas business.
Manufacturing Facility: The company’s only manufacturing facility and its registered office is located in Ankleshwar, Gujarat.
Future Plans: In 2018-19, the company formulated a sound business plan for long-term growth in domestic and global markets. As per the plan, company already manufacturing new products increased its manufacturing and production by adding additional manufacturing capacities. It also started to reconstruct the additional building, plant and machinery and other allied facilities for enhancement of production facilities. It also plans to go for backward integration of these products.
Pros: Company is growing at a steady speed with increasing RoCE. Along with that at a PE of 8 it is trading cheap.
- Low liquidity in the stock.
- Management not planning to move in to NSE.
- Q2FY22 Numbers of Prolife were disappointing. Company had suffered with margin pressure in this quarter.
- Content repetition in past Annual Reports.
Disclaimer: Tracking this company. No positions in it yet.