Ranvir's Portfolio

FEDERAL BANK Q2 - The overall business growth was very healthy with great asset Quality for Federal Bank ( one can have a look at the numbers on Screener.in )

Management expects business growth to accelerate in second half

NIMs in Q1, Q2 were 3.15, 3.16. Management believes, NIMs should be around 3.2 pc mark in H2

Increase in cost of deposits is tapering. Seeing nice / steady increase in yields on advances. Also, the higher margin business / loans are growing faster ( like personal loans, credit cards, CV/Auto loans )

Fresh slippages in Q2 at 373 cr - very healthy

MFI disbursements @ around 200 cr/ Qtr. Growth looks sustainable ( again very high margin business )

Gross NPAs @ 2.26 vs 2.39 pc in Q1
Net NPAs @ 0.64 vs 0.69 pc in Q1

Most of unsecured loan book growth is attributable to existing bank customers and not to the - ‘new to Bank customers’

Disc: holding, biased, not SEBI registered


ITC Q2 highlights -

Gross sales up 9 pc
PAT at 4927 cr, up 10 pc

FMCG sales ( excluding cigarettes ) - grew 8.3 pc on a high base @ 5292 cr. EBITDA margins in FMCG at 11 pc, up 150 bps YoY. Sales growth led by - Aatta, Agarbatti, Spices, Personal Wash, Classmate - notebooks+pens

Categories like biscuits, noodles, snacks, popular soaps witnessed heightened competition

Aashirvard brand augmented with Aashirvad branded - Organic Dals, Besan, Gluten Free Aatta, Vermicelli etc

Sunfeast brand’s - Dark fantasy, Mom’s Magic continue to gain mkt share

Spices - new launches under Sunrise brand - Swad Bihar ka, Chicken masala, Meat masala, Rajshahi garam masala

Aashirvad Svasti - dairy brand continues to gain Mkt share

Fiama, Nimyle - gained mkt share

Cigarettes - revenues grew 8 pc ( @ 7658 cr ), EBIT grew 8 pc

Hotels - sales up 21 pc ( @ 650 cr )
Hotels EBIT up 50 pc, margins at 31 pc, up 170 bps
Added 3 new properties at Kasauli, Amritsar, Hoshiarpur under Welcome and Fortune brands. To add managed properties in the next few months in a phased manner

Agri business - sales up 26 pc @ 3931 cr ( excluding rice and wheat exports )
Agri EBIT up 3.3 pc ( due various export restrictions imposed by GoI )
Got approval for export of Pharma grade Nicotine to US and EU Mkts

Paperboards and Packaging - revenues declined 10 pc ( @ 2070 cr ) due intense Chinese competition. EBIT down 49 pc. Down cycle likely to have bottomed out, likely to see improvements going forward

Disc : holding, biased, not SEBI registered


RPG Lifesciences Q2 highlights -

Sales - 154 vs 135 cr, up 14 pc
EBITDA - 39 vs 31 cr , up 26 pc (margins at 24 vs 22 pc)
PAT - 26 vs 20 cr (up 30 pc !!!)

Domestic formulation sales grew 16 pc (now at 66 pc of business). New product contribution now at 29 pc ( ie products launched after 2019 ). Volume growth @ 6 pc. Doing well wrt growth in Rheumatology , Monoclonal Anti-Bodies business

Sales force productivity crosses Rs 5 lakh mark

Intl Formulation sales grew 15 pc (now at 19 pc of sales)

APIs grew 7 pc (now at 15 pc of sales )

Debt/Equity - Zero

Management guidance -

Margins to slowly keep increasing as the business scales up

Chronic products sales is slowly increasing. Likely to continue

Have identified 45 new products ( completely new + line extensions ) for domestic and international formulation business - to be launched in next couple of yrs

Most of plant modernisation capex to be over by end of FY 24 ( spending 100 cr on the same )

Disc: holding, biased, not SEBI registered


RIL reports a Q2 EBITDA of 44800 cr, up 30 pc !!!

PAT @ 19900 cr, up 30 pc !!!

India’s biggest corporate growing so Strongly :dizzy_face:

This should be music to the ears of NIFTY, SENSEX

Disc: holding, biased


Reliance retail does a Qtly EBITDA of 5800 cr vs 1000 cr for Avenue Supermart ( D-Mart )

Reliance retail’s EBITDA margins @ 7.5 vs 8 pc for Avenue Supermart ( basically - hardly any difference )

D-Mart commands a Mkt cap of 2.4 lakh cr

What should be the Mkt cap of Reliance retail ???

IMO - Minimum - North of 11-12 Lakh cr

Jio Platforms Does an EBITDA of 13500 cr for Q2. Airtel’s Q2 EBITDA is expected to be around 20000 cr

EBITDA margins for both are in a similar band - ie - 50-52 pc

Airtel’s Mkt cap is 3.5 lakh cr. Jim Platforms should command a Mkt cap of > 2 lakh cr

That makes it a total Mkt cap of > 14 lakh cr for these two businesses alone

The cash cow of O2C ( refining business ), Oil and Gas business ( which produced an EBITDA of 21000 cr in Q2 ) are being valued at 1.5 lakh cr by the Mkt ( RIL’s total Mkt cap is 15.5 lakh cr ) - That’s peanuts !!!

This looks like a huge anomaly to me !!!

Disc: holding, biased


Reliance retail is comparable to Dmart? I think Reliance retail includes the revenue from Jio mobile payments too as well as electronics store also?

1 Like

Electronics stores - Yes

Jim Mobile Payments - Don’t think so. That should be under Jim Platforms - IMO

Senco Gold Q2 updates -

Sales up 28 pc !!!

In Q1, sales growth was 30 pc

Same store growth was 19 pc in Q1. Was lesser ( exact figures not mentioned ) in Q2

Same store growth in first 6 months @ 19 pc - commendable

Q2 volume growth -

Gold volumes up 11 pc
Diamond volumes up 33 pc :smiling_face:

Opened 2 new stores in Q2

Stud ratio ( Diamond : Gold jewellery sale ratio ) - up sharply in Q2 @ 13.7 pc vs 11.2 pc last year :kissing_heart:

All this despite festive season being firmly pushed to Q3 this FY

Is it the Next Titan ???

Who knows

Atleast, I hope so !!!

Disc - invested, biased


Hi Ranvir, Could it be the market perception of not so perfect Corp governance?
Historically Reliance has always traded at a EV/EBIDTA multiple of around 11; it had gone up post the liquidity boom post pandemic which seems to have corrected now.

Refining business seems to be taking a hit across entire industry maybe due to the ongoing geo political conflicts… Afterall India is dependent on outside oil to refine.

Check BPCL’s recent quarterly results… its now trading at 2.3 EV/EBITDA

your views on campus footwear
ikio lighting

How are they comparable/different from Titan?

1 Like

Hi, I saw a few months back you had started tracking Elin Electronics. Is it still in your watchlist if yes what’s your views?

Hi Guys, Whats your view on on-going cases against the Senco Gold company ?


1 Like

PIRAMAL PHARMA Q2 results highlights -

Revenues - 1911 vs 1720 cr, up 11 pc

Revenues breakup -

CDMO - 1068 vs 940 cr, up 14 pc
Complex Hospital Generics (CHG) - 589 vs 562 cr, up 5 pc
India Consumer health (ICH) - 256 vs 227 cr, up 13 pc

Gross Margins @ 66 pc

EBITDA - 315 vs 219 cr, up 44 pc !!!
EBITDA margins @ 16 vs 13 pc ( significant improvement ). Margins in Q1 were a paltry 10 pc

PAT - 5 vs (-) 37 cr

Completed rights issue in Q2 for 1050 cr. Debt reduced by 958 cr to 3823 cr - thank GOD !!! . Need to do a lot more here in future

H2 is always better than H1 for the company. Q4 is the best

CDMO Highlights -

Have recieved 40 pc higher orders in H1 this yr vs LY. Newer orders have a good proportion of contract manufacturing of on-patent molecules

Contract manufacturing of Generic APIs - also doing well

Five of company’s CDMO facilities have successfully closed USFDA inspections since Nov 22 - Digiwal, Pithampur, Sellersville, Riverview, Lexington ( these contribute to half of CDMO revenues )

Current proportion of CDMO business involved in on-patent / NCE manufacturing / development at 44 pc vs 35 pc 2 yrs ago

CHG highlights -

Expanding capacities to meet the increasing demand for Inhalation Anesthesia products

Maintained leadership positions in Sevoflurane ( 44 pc Mkt share ) and Baclofen ( 76 pc mkt share ) in US Mkt

Have a product pipeline of 28 injectable products in various stages of development

Concluded USFDA inspection at Bethlehem facility which makes CHGs ( received 02 minor observations )


Spent 14 pc of ICH revenues on promotions / Ads

Power brands include -

Littles - grew 19 pc in Q2
Lacto Calamine - grew 24 pc in Q2
I-Range ( I-Pill, I- Can etc )

Power brands grew 15 pc in H1 and contributed to 42 pc of ICH sales

E- Comm grew 34 pc in Q2 and formed 14 pc of ICH sales. Have presence across 20 E-commerce platforms including own channel ( http://Wellify.in )

Have launched over 100 new products in last 3 yrs. New products launched in last 2 yrs form 20 pc of ICH business

Management comments -

Expect high teens YoY revenue growth in H2 with material EBITDA margin expansion. LY H2 EBITDA margins were around 16 odd pc !!! ( Extrapolation - suppose the revenue grows by 15 pc, EBITDA expands by 200 BPS - H2 EBITDA can be around - 810 cr. Full FY EBITDA to be around 1200 cr vs 840 cr LY - that would be a big Jump )

As innovation component increases in CDMO business going fwd, margins in CDMO business likely to expand over next 1,2,3 yrs

As ICH business crosses 1000 cr / yr revenues, margins here should grow incrementally every year. Currently, margins in single digits

Currently, road to deleveraging mapped via internal accruals. No asset monetisation lined up

Asst turns to improve substantially as revenues keep growing

Capex retirements to be also met from internal accruals

Company operates a total of 17 sites across the three businesses - helps de-risk the business. Also helps serve customer preferences

Mid 20s EBITDA margins are feasible in the medium term - Nandini Piramal

Current interest outgo @ aprox $ 44- 48 million/yr

Macro trends on biotech funding still not back to pre-COVID levels. Big Pharma spending is back

Currently, employee cost @ 27 pc of revenues. Likely to come down only when operating leverage kicks in

Medium term ROCE potential is about high teens - should be achieved as EBITDA crosses 23-24 odd pc

Innovator CDMO to outgrow generic CMO - in all probability

Disc - holding, biased, not SEBI registered


Hi… I m still holding

Holding for a much better / improved Q2 performance

Fingers crossed


Piramal Pharma - Annual Report - 2022-23 summary -

Has 17 manufacturing locations

Distribution network spread over 100 countries

Works under 3 segments -

CDMO business
Complex Hospital Generics ( CHG )
India Consumer Healthcare ( ICH )

Has a JV with AbbVie in India ( holds 49 pc stake )- one of the Mkt leaders in Ophthalmology in India

Has a 33 pc stake in Yapan Bio - operates in biologics/ bio therapeutics and vaccines space

Revenue break up -

North America - 45 pc
Europe - 20 pc
Japan - 4 pc
India - 20 pc
Others - 11 pc

69 pc sales from regulated markets

Segment wise revenue break up -

CDMO - 56 pc
CHG - 32 pc
ICH - 12 pc


Offer CDMO services in High potent APIs, Antibody Drug conjugates, Peptides, sterile injectables and hormonal products

Manufacturing facilities located across India, UK, North America. Have a deep customer base across - Big Pharma, Bio-Techs and Generic Pharma majors

Have successfully cleared 36 regulatory inspections since 2022

Company also offers CRO services from its facility at Ahmedabad

Also makes 30 off patent APIs for global clients. Also makes Vitamin / Minerals ingredients and premixes for human and animal nutrition

Top 5 customers contribute 25 pc of CDMO revenues. Breakdown of revenues from Discovery:Development:Manufacturing currently at - 5:30:65 ( includes generic and on-patent manufacturing ). Currently, company is manufacturing 18 on Patent commercial molecules. Company also has 35+ molecules in Phase - 3 development phase right now

Within CDMO segment, revenue breakup is as follows -

US- 47 pc
Europe - 27 pc
Japan - 3 pc
India - 14 pc
Others - 9 pc

Among the 30 pc CDMO revenues that come from Development services, the breakdown is as follows -

Pre Clinical - 20 pc
Phase -1 - 25 pc
Phase -2 - 12 pc
Phase - 3 - 43 pc


Has a portfolio of 35 hospital focussed products in areas of Inhalation anaesthesia, Injectable anaesthesia, pain management, Intrathecal therapy (delivering pain killers directly at spinal cord) and other injectables - sold across 6000 hospitals

PPL is 4th largest company in global Mkts for inhalation anaesthesia - Sevoflurane, Desflurane, Isoflurane and Halothane

Biggest player in Sevoflurane (inhalation product - 40 pc Mkt share ) and Baclofen ( pre-filled syringes - 78 pc mkt share ) in US mkt

Both - inhalation and intrathecal therapies are complex and capital Intensive

Vertically integrated - in inhalation products. Company to continuously intensify efforts to increase the degree of vertical integration so as to sharpen its competitive edge

Has a direct sales for in US

Product pipeline of > 25 SKUs in the CHG segment

In process of expanding capacities at Dahej and Digwal facilities. Dahej makes KSMs for inhalation anaesthesia products while Digwal facility makes the APIs

Company’s Fentanyl brand ranks No-1 in Japan, RSA and Indonesia

Sales break up of CHG sales -

US- 56 pc
Europe - 17 pc
Japan - 4 pc
India - 6 pc
Others - 17 pc


Has over 30 different OTC products with multiple SKUs. Mainly present in categories like - analgesics, skincare, Vit/Minerals, women’s health, Digestives, Hygiene and protection. Also has manufacturing and distribution rights for Supradyn, Saridon, Becozym and Bensdon from Bayer Pharma

Own power brands include - I-Pill, I-Range, Lactocalamine, Littles, Tetmosol, Polycrol. Company has introduced Littles baby diapers. If they find traction in the Mkt, the company may end up having a huge winner at hand

Other brands include - NIXIT, Joint Flex etc

Now strengthening presence in E-Comm, Modern trade channels

Company spending / investing aggressively behind brands. Not averse to acquisitions in this space provided the financial conditions of the company allow for the same

Company Infra -

Manufacturing facilities -
US - 04
UK - 02
Canada - 01
India - 10 ( including R&D site )

Total employee count - 6200

Industry trends -

CDMO - industry snapshot - grew at 7 pc CAGR from 2016 - 21 from $100 billion to $135 billion. Did outgrow global Pharma Industry growth of 4 odd pc during this period. Likely to be a $ 180 billion + industry by 2026

The trend of outsourcing the development and manufacturing is gaining traction by the day. Its a win win for Innovators and their CDMO partners

Compex Generics ( difficult to make APIs, routes of administration, complex - drug + device combo ) Mkt snap shot -

Mkt currently valued at $ 70 billion, grew by 12 pc CAGR from 2017-22. Likely to be a & 120 billion plus industry by 2026. Complexity in manufacturing and capital intensity are key entry barriers here

Among complex generics, complex hospital generics form the bulk of the Mkt with share of 70-80 pc

Cumulative size of - Sevoflurane, Isoflurane, Desflurane and halothane is aprox $ 1.09 billion with sevoflurane constituting 84 pc of the Mkt

Due high capital intensity, requirements of backward integration, difficulty in making devices like vaporisers etc - competition is limited. AbbVie, Baxter, PPL and Lunan are the only players in the Mkt at present

Intrathecal therapy - gaining traction in recent years. Two popular products are - Morphine Sulphate, Baclofen. Baclofen’s Mkt size in US in 2022 was aprox $ 33 million

Indian OTC Industry -

Valued at $ 4 billion in FY 22, grew by 8 pc CAGR from 2017-22. Expected to be a $ 7 billion industry by 2026 due increased awareness and affordability

Company’s compliance track record -

04 USFDA inspections in FY 23. 02 inspections with zero observations. Other regulatory bodies also inspected PPL facilities ( like - MHRA, EMEA, Health Canada etc )with no major observations. Company successfully cleared 36 regulatory inspections in last FY

Disc - holding, biased, not SEBI registered


Carysil Q2 concall highlights -

Sales - 164 vs 140 cr, up 18 pc
EBITDA - 33 vs 22 cr (up 50 pc, Margins @ 20 vs 16 pc)
Net Profit - 16 vs 9 cr

Gross Debt @ 210 cr

Sales growth led by increased orders for Quartz sinks from developed markets. UK subsidiary doing well. Additional Stainless Steel sink capacity has been commercialised. Have started building an order book for the same

Expanding dealer networks in India. Domestic business likely to be a key growth driver going forward

Exports revenues @ 129 cr, up 21 pc
Domestic revenues @ 35 cr, up 6 pc

Product wise sales mix -

Quartz sinks - 49 pc
SS sinks - 13 pc
Appliances - 11 pc
Solid surfaces - 26 pc

Quartz sink capacity @ 10 lakh sinks / yr
SS sink capacity @ 1.8 lakh sinks / yr

Kitchen appliances that company is selling under Carysil brand - Chimneys, Wine Chillers, Dish Washers, Hoods, Cook Tops, Built-in Owens, Microwave Owens

Company has also entered bath segment - to sell washbasins, facets, premium sanitary ware

Company purchases Moulds ( imported ) to manufacture over 400 SKUs ( uses over 150 Moulds )
Moulds have an avg life of 15+ yrs

Current Pan India Dealer network @ 3200+, Distributor network @ 82

Expecting domestic business growth likely to see a sharp increase from Q3 onwards. Oct 23 saw good sales volumes in Domestic Mkts

H2 sales likely to be better than H1. EBITDA margins may see some expansion due operating leverage

Company is gaining mkt share from its competitors in the developed markets ( most competitors are from Europe ) due product quality and lower costs - this has been the key for company’s growth despite Developed mkts witnessing broad based slowdown

Inventory liquidation overhang in the developed Mkts is now over

Aim to cross 200 cr sales in domestic Mkts in FY 25

The Ikea business ( supply of SS Sinks ) will commence in Q4. Have a few more customers that are likely to buy good volumes of SS Sinks. This business is also likely to commence in Q4

Company has started its assembly operations of built in appliances in Q3. Expect to see good contribution from this segment as well in Q3

Company in advanced negotiations with big customers for bulk quantities of Quartz sinks. Things likely to materialise by Q4. This should sharply increase company’s Quartz sinks capacity utilisation

Management still maintaining its guidance of Rs 1000 cr topline by end of FY 25 with EBITDA margins of around 20 pc

Company acquired United Granite LLC in US Mkt in Q2. Currently running at 60 pc capacity. At full capacity, this can do a revenue of about 120-130 cr. Company is engaged in fabrication of Kitchen tops for retail, residential and commercial projects. Carysil is confident of turning it around

Domestic business margins should remain in the 17-18 pc kind of band

Looks like Russia-Ukraine has been a huge blessing for the company - making European competition uncompetitive

Overall - good results with bullish commentary

Disc: holding from lower levels (25 pc lower than CMP), biased, not SEBI registered


Akzo Nobel Q2 concall highlights -

Sales - 956 vs 926 cr

Gross Margins @ 44.7 vs 38.4 pc

EBITDA - 142 vs 106 cr ( margins @ 14.8 vs 11.5 pc )

PAT - 94 vs 65 cr

Double digit growth in automotive coatings business led by OEM demand. Marine coatings also grew strongly on the back of strong orders from Defence. Protective coatings also grew well driven by oil and gas and power segments

Paints business impacted by subdued demand, erratic rains. Tier -2,3 towns showing good sales pick up. Premium end of the Mkt doing better than mass mkt

Company’s paints business is now on negative working Capital !!!

Cash on Books - aprox 670 cr

Company’s good performance in smaller towns, rural areas led by distribution led gains and lower base vs larger competitors

Q3 likely to see festive tailwinds

Revenue contribution from new products launched in last 2-3 yrs currently at 10 odd pc

Company intends to jack up advertising and sales promotion expenses from 3.5 pc of revenues currently to 5 pc of revenues. Company - advertising heavily during Cricket World Cup

B2B - business has been surprising positively. B2C - remains challenging

Company’s current Mkt share in paints business is around 4.5 pc. Intend to take it beyond 6 pc in about 2 yrs by focussing more on the mass mkt where the company is still on a weaker footing

Velvet touch - premium brand continues to do well

Disc: hold a tracking position. Not SEBI registered. Biased


Steel Strip wheels Q2 highlights -

Total plants - 04

Current capacity -

Steel wheels - 20 million +, by end of FY 24 - another 7 million wheel capacity would be added
Alloy wheels - 3 million + , by end of FY 24 - another 1.8 million capacity would be added

Employees - 7000 +

Last 5 yr revenue, PAT CAGR @ 15, 19 pc

Tata Steel holds 6.9 pc stake in the company
Nippon Steel holds 5.5 pc stake in the company

Domestic Mkt share ( steel wheels ) -

45 pc in PVs
53 pc in MHCVs
44 pc in tractors, 70 pc in OTR
30 pc in 2-3 wheelers

Sale contribution from steel wheels - 72 pc

Sale contribution from alloy wheels - 28 pc ( it was 3 pc in FY 19 )

Q2 financial outcomes -

Sales - 1134 vs 1081 cr
EBITDA - 124 vs 117 cr
PAT - 52 vs 55 cr

Volumes - 5.1 million vs 4.7 million

Cash and cash equivalents @ 44 cr

Capex spend for H1 FY 24 @ 190 cr. For full FY 24, expect capex spends @ 320 cr

Out of this, 190 cr are being spent on Capex of Alloy wheels capacity

Intensity of capex to reduce going fwd into FY 25,26

H1 export performance -

H1 exports volume @ 2.1 vs 1.5 million
H1 export sales @ 331 vs 294 cr

Trade receivables have increased in H1 due greater growth in export sales. Export sales have higher receivable cycles

Export customers, dialling down their Chinese imports and ramping up their India imports - a huge positive for the company. Expect alloy wheel exports to further pick up by next FY

Hopeful of getting alloy wheel orders from Maruti Suzuki. That should come as a nice trigger for the company

Uptick in the CV cycle is another tail wind for the company

Company setting up capacity of steering aluminium knuckles. To have a revenue potential of Rs 220-250 odd cr by FY 25. It’s an import substitute, no other manufacturer in India. This business can grow 5-10 times in next 5-7 yrs as industry shifts from steel to aluminium knuckles. Here, the margin profile should be similar to alloy wheels. Total capex for this to be around 200 cr. Out of this 50 cr odd to be spent this yr and the rest in FY 25

Alloy wheels is a high growth Mkt as more customers opt for alloy vs steel wheels

Current Debt on books at around 800 cr

Company has acquired AMW auto components for about 140 cr. Expecting a revenue of aprox 150 cr for FY 25. Should pick up further in FY 26. AMW auto components is into manufacturing of large steel wheels

Avg EBITDA margin difference between domestic alloy vs domestic steel wheel supplies is around 400 bps ( ie 4 pc ). For exports business, this margin gap is lower

FY 24 revenue guidance @ 4500-4700 cr odd with slight margin improvement in H2

Disc: holding, biased, not SEBI registered


Prince Pipes Q2 highlights -

Revenues up 3 pc to 656 vs 636 cr ( despite drop in RM prices )

Sales volumes up 8 pc @ 41.5k MT vs 38.5k M, YoY

EBITDA at 94 vs (-) 11 cr ( margins @ 14.3 pc )

PAT at 71 vs (-) 24 cr ( includes an exceptional gain of Rs 17 cr )

A&P spends for Q2 @ 15 cr

H1 volume growth at 13 pc

H1 EBITDA at 139 vs 33 cr

Prince Bathware receiving good response from channel partners and customers ( launched in Jun 23 - in North, West )

Current facilities -

Athal - 9.3 k MT

Dadra - 65.6 k MT

Haridwar - 98.9 k MT

Chennai - 43.3 k MT

Kolhapur - 16.1 k MT

Jaipur - 38.9 k MT

Telangana - 56.9 k MT

New Capex in Bihar to come online by end of FY 25

Company maintaining long term Debt free status

Fall in RM prices in Sep-Oct led to some de-stocking in Q2. Prices have improved and is causing re-stocking in Q3

Plan to launch bathware in Eastern India by Q4

RE sector sales remain buoyant - specially in Mid and Premium categories. Unsold inventory @ decadal low. Augurs really well for building materials companies !!!

Company’s volume growth for last 2-3 Qtrs has been lagging wrt peers. Company aims to reverse this trend in next 2-3 Qtrs through a mix of pricing actions and HDPE capacity expansion. HDPE is one segment where company has been a laggard

Q2 did bear branding and employee cost. Revenues from this segment will get reflected from Q3 onwards. Aim to hit Qtly sales of 8cr to begin with

PPR pipes are slowly gaining momentum ( an advanced material even vs CPVC ). Prince is a mkt leader here. PPR manufacturing requires completely separate infra vs CPVC manufacturing

Currently CPVC pipes and fittings for 20-25 pc of company’s revenues

Currently there is an anti-dumping duty on CPVC polymer. Its extension or otherwise is a key monitorable

Piping Industry is growing volumes at around 14-15 pc YoY. Company aims to be at that level of volume growth as soon as possible

HDPE pipes contribute to aprox 3 pc of company’s sales volumes. These are mostly used in Infra projects. This segment has lower margins and higher working capital cycle. HDPE business to pick up Mar 24 onwards

CPVC costs have come down because of fall in PVC prices - also led to some de-stocking in Q2

Company’s overall capacity utilisation currently at about 50 pc. Telangana facility operating @ 50 pc - Gives the company a huge Operating leverage possibility in future !!!

Capex guidance for this FY @ 150-160 cr. Out of this, 70 odd cr has been earmarked for Bihar facility

Lubrizol’s new CPVC plant coming up in FY 25 in India. Prince and Aashirvad likely to remain only 2 licences for Lubrizol in India. Local facility will make CPVC far more affordable and should be a great news for the Industry

Disc: holding, biased, not SEBI registered