@Rafi_Syed @Vishal_Jajoo & Others. Thank you for details on this. I am wondering anyone has not mentioned or compared Satia Industries with comparable Kuantum Papers on this thread so far or I am missing something.
Kuantum Paper also operates from Hosiarpur, Punjab with almost same legacy since 1980. They have installed capacity of close to 2 Lakh tonnes with quarterly production of 35,000 + tonnes.
They had taken term loans for expansion started in 2019 and availed moratorium due to COVID. But they have repaid all loans ahead of schedule (details available in concall / investor presentation)
Very obvious and visible difference is in type of customers & hence may be operating margins. They boast of enjoying 500 bsp edge over peers in operating margins (which they have been able to maintain). They also reported record highest margins in Q1FY24.
Kuantum is trading at highest PE 7x compared to market leader JK Paper
4 Likes