- Home
- About
- Team
- Today's Market
- Premium
- Research it
- Outlook
- Portfolio
- Mobile
- Trust Equitymaster
- Help
- Free Reports
MEMBER'S LOGINX
| Login Failure | ||||||||
|
||||||||
| Sign Up | Forgot Password? | ||||||||
- Home
- Outlook Arena
- Jul 23, 2009 - Maharashtra Seamless: Operationally sound
Maharashtra Seamless: Operationally sound
Jul 23, 2009
Performance summary
- The topline of company grows by a robust 20.3%YoY during the quarter.
- Operating margins remain nearly stable at 23.5% as operating costs grow in line with the topline growth.
- Bottomline grows by 8.2%YoY, lower than topline and operating profits, mainly on account of fall in other income and higher taxes.
| (Rs m) | 1QFY09 | 1QFY10 | Change |
| Net sales | 3,517 | 4,231 | 20.3% |
| Expenditure | 2,687 | 3,237 | 20.5% |
| Operating profit (EBDITA) | 830 | 993 | 19.7% |
| EBDITA margin (%) | 23.6% | 23.5% | |
| Other income | 122 | 51 | -58.3% |
| Interest (net) | 12 | 12 | 2.6% |
| Depreciation | 45 | 46 | 2.9% |
| Profit before tax | 896 | 986 | 10.1% |
| Extraordinary items | |||
| Tax | 293 | 334 | 14.1% |
| Profit after tax/(loss) | 603 | 652 | 8.2% |
| Net profit margin (%) | 17.1% | 15.4% | |
| No. of shares (m) | 70.5 | 70.5 | |
| Diluted earnings per share (Rs)* | 36.6 | ||
| Price to earnings ratio (x)** | 7.0 |
What has driven performance in 1QFY10?
- The company managed to grow its topline by a robust 20.3% YoY as demand in the domestic markets remained upbeat with domestic oil companies continuing their ongoing projects and exploration and production activities. The revenues from steel pipes and tubes segment grew by around 20.3% YoY during the quarter. Currently the order book stands at around Rs 4 bn.
Cost break-up… (Rs m) 1QFY09 1QFY10 Change Raw materials 2,055 2,562 24.6% % sales 58.4% 60.5% Staff cost 50 57 14.1% % sales 1.4% 1.3% Manufacturing expenses 476 487 2.5% % sales 13.5% 11.5% Other expenditure 106 132 24.1% % sales 3.0% 3.1%
- On the operating front, operating costs grew nearly in line with the topline, thus EBITDA margins remained stable at 23.5% during the quarter. While raw materials costs (as % sales) grew, all other costs heads viz. staff cost, manufacturing expenses and other expenditure (as % sales) declined during the quarter.
- Bottomline growth at 8.2%YoY comes in lower as compared to topline mainly on account of significant fall in other income and higher taxes during the quarter. However, lower interest cost and depreciation had a positive impact on the bottomline.
What to expect?
At the current price of Rs 257, the stock is trading at a multiple of 5x the company’s expected FY12 earnings estimates. We continue to remain positive on the stock.|
| |
MAH. SEAMLESS SHARE PRICE
Jul 17, 2018 (Close)
TRACK MAH. SEAMLESS
- Track your investment in MAH. SEAMLESS with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
- Add To MyStocks
MORE ON MAH. SEAMLESS
MAH. SEAMLESS 8-QTR ANALYSIS
COMPARE MAH. SEAMLESS WITH
OTHER USEFUL LINKS
MARKET STATS
ABOUT EQUITYMASTER
Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.
FREE NEWSLETTERS
PREMIUM PRODUCTS
QUICK LINKS
APPS
FOLLOW
Copyright © Equitymaster Agora Research Private Limited.
Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap
Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.
LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.