Store One Retail Ltd

While going through V-mart retail at screener, I reached Store One Retail India Ltd.

Store One is a chain of multi brand stores that recently came alive in the bustling metropolises of Pune and Nagpur. Presenting leading designer brands and design infused products. It creates a very creditable retail mix of Indian designer prt by leading names like Monisha bajaj, Hemant Lecoanet, Ritu Kumar, leading global brands like s.Oliver, Alcott, Boggi, Disney, & beauty & lifestyle brands & many more. It allows its patrons the luxury of space, offering an uncluttered array of hand-picked merchandize that are intelligent in price points. A friendly environment, calming music, stylish displays and lots to browse around, It gives you enough reason to get lost for hours within its premises.

Positives-

  • Very good growth for last 2 years. From 3 crs turnover in FY11 it has now clocked more than 90 crs in FY13.
  • Last year ROCE & ROE were really good. Above 30% ROCE, ROE is even better.
  • Debt has come down from 237 crs to 7 crs in 3 yrs (though a lot of it is because of equity raising)
  • Promoter holding is high with No pledging.
  • Promoters have issues Warrants to themselves at current market prices… (This is bad news if you assume company to be undervalued, but this gives confidence of undervaluation)
  • Zero Tax… Most probably this is because of accumulated losses which are getting carried forward & should continue for some more time.
  • Dirt cheap valuation… **Less than 2PE. **Can give multibagger returns if growth stays.

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Negatives-

  • **Where are the Annual Reports? **BSE & NSE has only 2010 AR. Company website is also useless. Anyone has last 2-3 ARs? :frowning:
  • Indiabulls company.
  • Not paying any dividend. Are profits real?

Request others to pitch in with more information & analysis as available information is too less to make any educated guess.

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See if this helps…there is some stuff in preview in case you don’t have a subscription.

http://www.reportjunction.com/Reports/Store-One-Retail-India-Limited-I0519.htm Link: http://www.reportjunction.com/Reports/Store-One-Retail-India-Limited-I0519.htm

Where BSE :)(

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http://www.reportjunction.com/Reports/Store-One-Retail-India-Limited-I0519.htm Link: http://www.reportjunction.com/Reports/Store-One-Retail-India-Limited-I0519.htm

  • **Where are the Annual Reports? **BSE & NSE has only 2010 AR. Company website is also useless. Anyone has last 2-3 ARs? :)(

On BSE I see ARs from 2010 to 2013.

http://www.bseindia.com/stock-share-price/stone-india-ltd/stone-india/522085/

NPM is 40% in MAR 13 year for this company. How retailer can have this high NPM? Can anyone explain?

Out of curiosity went through the FY13 Annual Report of this co…the same is available in the document section of screener -http://www.screener.in/company…

The co doesn’t has any retail stores :slight_smile: The co is into a no of businesses like - Facility Management, Construction material hiring and renting and recently started travel agency too :slight_smile:

The bulk of the revenues are from facility management which is a very profitable business and can be worthwhile…however there seems to be lot of issues in the balance sheet and lots of past losses.

Ayush

1 Like

Anyone has further inputs on this co? June results were again good, great PE of 4, healthy profits. And it does have reported income from selling products.

But co doesnt seem very transparent (no AR) + retail business seems very small - while website just talks of that and not the other businesses.

Q4 results have come very good. QoQ sales 3x and profit 5x increased. Whole year EPS 19, this quarter EPS 14. Sectoral PE is 52. Figures seem to be indigestible. Can someone dissect the analysis and enlighten please.

Mind boggling numbers.

PBIT from construction, advisory and other related activities - Qtr Mar '16 - 28 cr, full year Mar '15 - 21 cr

YoY PBIT growth - 100%+

Even the market is responding. The stock has grown 5x in the last 1 year.

What is going on?

1 Like

Checkout the numbers of its parent company, IBWSL, equally good…
Amit

1 Like

Interested in IBWSL. Can you please throw light on the moats, long term viewpoint, future aspects, promoter integrity, etc.

Disc: Not invested in either Store One or IBWSL, but interested in IBWSL as it is from Indiabulls.

@ayushmit ayush
There are lot of red flags
if the company is not into retails sector why its official website says so
arent they misleading the investors.

the indiabull group have bad corporate governance track record
India bull whole sale is the promoter company of store one holding 73% stake
and surprisingly indiabulls wholesale is also in the same business of facility management and machinery rental.

why india bull guys doing same business in two different companies .

debt is increasing in both the companies in the last 2-3 years .

i feel the these companies are there only to generate capital in the form of debt which could be later transfered to other businesses of india bulls group .

These are my person views please check the facts in AR and Balance sheet .

Also request seniors to share their views regarding store one.

@jk321, @aashish2137
Do u guys still track it ? The stocks is on a roll, the numbers off late were also good
Is it a re rating or something else ?
Any thoughts ?
I had 2 % allocation earlier for tracking only which is now 6 %

Anybody any comments , cheers

It is Indiabulls group company and when stocks like these start running hard, we might have to become cautious about the whole market.

Disc: No holding nor planning

3 Likes

Sorry not tracking anymore.

1 Like

Holding it since 55 levels. Numbers seems to be good but there are differences in the website and as well as the annual reports

Was going through last years annual report - suddenly shows asset of 668.5 Cr of security deposit showing in " Short Term Loans and Advances" and liability of “deposit payable” as well of 526.9Cr… Any idea of what this about ?

Is there anyone who is still tracking this company?