Sales 17.5852 Crore Vs 13.02 crore year ago quarter (33.5% Higher)
Profit (after including extra ordinary items) 14.2 Lakhs Vs 81.44 Lakhs (82% drop)
OPM Less than 1%. So as I expected they are clearing the produced items without much profit margins and this likely to continue for Q2.
Positives - Sales increase and if company cuts expenses or able to sell better pricing, profits can increase very well. More than 10% margin from exports (though not consistent across quarters).
To watch out: The Company has paid Environmental! compensation penalty of Rs.36 Lakhs levied by Central Pollution Control Board & Rs.25 Lakhs by Gujarat Pollution Control Board on the Company’s factory units at Tarapur & Vapi respectively for operating the factory in violation of the pollution control board guidelines.
Very low OPM (3.x % last quarter) for this cyclical company dealing in commodity space. The reply to exchanges on recent price action was very lack lustre. The company looks cleared the stock at very low margin last quarter indicating no pricing power. Promoter not yet bought from market even when it went to rs 12-14 probably means things not yet turned around for them.
Disc: Highest loss in my PF, I may selloff to buy quality companies if overall market corrects. I do not think will not go below rs 10/- (another 50% from cmp.).
Hi after getting access to companies founder I realised the Vivid intermediate is doing very well and they are earning well and growing internationally.
Also Vivid intermediate holds 8% in Vivid global . Why are they using this route of private company to drive the bussiness
