This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
KAVERI SEED COMPANY LTDResult Update (PARENT BASIS): Q1 FY18
CMP: 532.45 OCT 11th, 2017
Overweight ISIN:INE455I01029
Index DetailsSYNOPSIS
Kaveri Seed Company Ltd. is one of the fastest-growing and premier seed companies in the country.
Revenue for the quarter registered 19.55% growth atRs. 5905.59 mn as compared to Rs. 4939.74 mn,when compared with the prior year period.
During the quarter, EBIDTA is Rs. 2111.65 mn asagainst Rs. 1636.98 mn in the corresponding periodof the previous year.
During Q1 FY18, Profit before tax increased at Rs.2046.23 mn as compared to Rs. 1558.84 mn in Q1FY17.
During Q1 FY18, net profit stood at Rs. 2023.77 mnas against Rs. 1543.69 mn in the correspondingquarter of previous year, up by 31.10%.
EPS of the company stood at Rs. 29.31 during thequarter, as against Rs. 22.35 per share over previousyear period.
2 new cotton hybrids launched and 2 new cottonhybrids under demonstrations with farmers.
3 new hybrids launched in maize for kharif season.
2 new hybrids in maize to be launched in rabiseason.
Net Sales and PAT of the company are expected togrow at a CAGR of 5% and 13% over 2016 to2019E, respectively.
Stock DataSector Other Agriculture ProductsBSE Code 532899Face Value 2.0052wk. High / Low (Rs.) 708.10/358.40Volume (2wk. Avg.) 34000Market Cap (Rs. in mn.) 36768.33
a) Property, plant and equipment 1944.10 1936.55 2033.38 2175.72b) Capital Work in Progress 195.10 273.72 342.15 420.84c) Other Intangible Assets 3.82 4.03 4.19 4.31d) Intangible Assets under Development 0.00 12.94 16.18 19.73e) Financial Assets
i) Investments 227.20 321.78 402.22 498.75f) Deferred Tax Assets (net) 1.55 3.24 4.05 4.86g) Other Non-Current Assets 33.83 26.29 30.23 33.26Sub - Total Non- Current assets 2405.61 2616.05 2871.77 3198.43
iii) Cash and Cash equivalents 67.82 169.23 211.54 260.19iv) Other Bank balances 1.37 1.25 1.35 1.44v) Loans 74.00 0.00 0.00 0.00
d) Current Tax Assets 0.00 39.76 41.75 43.42e) Other Current Assets 166.07 145.69 157.34 168.35Sub - Total current assets 11139.29 12554.33 14286.60 16393.37
Total Assets (1+2) 13544.90 15170.37 17158.37 19591.79EQUITY AND LIABILITIES1) EQUITY
a) Equity Share Capital 138.11 138.11 138.11 138.11b) Other Equity 9224.34 10102.03 12366.98 14870.27
Total Equity 9362.45 10240.14 12505.09 15008.382) Non Current Liabilitiesa) Financial Liabilities
b) Provisions 61.07 195.12 224.39 246.83c) Other Current Liabilities 1920.97 1887.78 1812.27 1757.90Sub - Total current liabilities 4104.87 4856.91 4579.48 4509.16
Total Equity and Liabilities (1+2+3) 13544.90 15170.37 17158.37 19591.79
The information and opinions in Firstcall Research was prepared by our analysts and it does not constitute an offer orsolicitation for the purchase or sale of any financial instrument including any companies scrips or this is not an officialconfirmation of any transaction. The information contained herein is from publicly available secondary sources and dataor other secondary sources believed to be reliable but we do not represent that it is accurate or complete and it should notbe relied on as such. Firstcall Research or any of its affiliates shall not be in any way responsible for any loss or damagethat may arise to any person from any inadvertent error in the information contained in this report. Firstcall Research and/or its affiliates and/or employees will not be liable for the recipients’ investment decision based on this document.
Analyst Certification
The following analysts hereby state that their views about the companies and sectors are on best effort basis to the best oftheir knowledge. Unless otherwise stated, the individuals listed on the cover page of this report are research analysts. Theanalyst qualifications, sectors covered and their exposure if any are tabulated hereunder:
Name of the Analyst Qualifications SectorsCovered
Exposure/Interest tocompany/sector UnderCoverage in the CurrentReport
M. Vijay M.B.A Diversified No Interest/ ExposureCH. Shailaja M.B.A Diversified No Interest/ ExposureV. Harini Priya M.B.A Diversified No Interest/ ExposureMD. Naveed M.B.A Diversified No Interest/ ExposureA. Bhikshapatih M.B.A Diversified No Interest/ Exposure
Important Disclosures on Subject Companies
In the next 3 months, neither Firstcall Research nor the Entity expects to receive or intends to seek compensation for anyservices from the company under the current analytical research coverage. Within the last 12 months, Firstcall Researchhas not received any compensation for its products and services from the company under the current coverage. Within thelast 12 months, Firstcall Research has not provided or is providing any services to, or has any client relationship with, thecompany under current research coverage.
Within the last 12 months, Firstcall Research has neither provided or is providing any services to and/or in the past has notentered into an agreement to provide services or does not have a client relationship with the company under the researchcoverage.
Certain disclosures listed above are also for compliance with applicable regulations in various jurisdictions. FirstcallResearch does not assign ratings of Buy, Hold or Sell to the stocks we cover. Overweight, Equal-weight, No-Weight andUnderweight are not the equivalent of buy, hold and sell. Investors should carefully read the definitions of all weightsused in Firstcall Research. In addition, since Firstcall Research contains more complete information concerning the
analyst's views, investors should carefully read Firstcall Research, in its entirety, and not infer the contents from theweightages assigned alone. In any case, weightages (or research) should not be used or relied upon as investment advice.An investor's decision to buy or sell should depend on individual circumstances (such as the investor's own discretion, hisability of understanding the dynamics, existing holdings) and other considerations.
Analyst Stock Weights
Overweight (O): The stock's total return is expected to exceed the average total return of the analyst's industry (orindustry team's) coverage universe, on a risk-adjusted basis, over the next 12-18 months.
Equal-weight (E): The stock's total return is expected to be in line with the average total return of the analyst's industry(or industry team's) coverage universe, on a risk-adjusted basis, over the next 12-18 months.
No-weight (NR): Currently the analyst does not have adequate conviction about the stock's total return relative to theaverage total return of the analyst's industry (or industry team's) coverage universe, on a risk-adjusted basis, over the next12-18 months.
Underweight (U): The stock's total return is expected to be below the average total return of the analyst's industry (orindustry team's) coverage universe, on a risk-adjusted basis, over the next 12-18 months.
Unless otherwise specified, the weights included in Firstcall Research does not indicate any price targets. The statisticalsummaries of Firstcall Research will only indicate the direction of the industry perception of the analyst and theinterpretations of analysts should be seen as statistical summaries of financial data of the companies with perceivedindustry direction in terms of weights.
Firstcall Research may not be distributed to the public media or quoted or used by the public media without the expresswritten consent of Firstcall Research. The reports of Firstcall Research are for Information purposes only and is not to beconstrued as a recommendation or a solicitation to trade in any securities/instruments. Firstcall Research is not abrokerage and does not execute transactions for clients in the securities/instruments.
Firstcall Research - Overall StatementS. No Particulars Remarks1 Comments on general trends in the securities market Full Compliance in Place2 Discussion is broad based and also broad based indices Full Compliance in Place3 Commentaries on economic, political or market conditions Full Compliance in Place4
Periodic reports or other communications not for public appearanceFull Compliance in Place
5 The reports are statistical summaries of financial data of the companies as and whereapplicable
Full Compliance in Place
6 Analysis relating to the sector concerned Full Compliance in Place7 No material is for public appearance Full Compliance in Place8 We are no intermediaries for anyone and neither our entity nor our analysts have any
interests in the reportsFull Compliance in Place
9 Our reports are password protected and contain all the required applicabledisclosures
Full Compliance in Place
10 Analysts as per the policy of the company are not entitled to take positions either fortrading or long term in the analytical view that they form as a part of their work
Full Compliance in Place
11 No conflict of interest and analysts are expected to maintain strict adherence to thecompany rules and regulations.
12As a matter of policy no analyst will be allowed to do personal trading or deal andeven if they do so they have to disclose the same to the company and take priorapproval of the company
Full Compliance in Place
13Our entity or any analyst shall not provide any promise or assurance of any favorableoutcome based on their reports on industry, company or sector or group
Full Compliance in Place
14 Researchers maintain arms length/ Chinese wall distance from other employees ofthe entity
Full Compliance in Place
15No analyst will be allowed to cover or do any research where he has financial interest
Full Compliance in Place
16 Our entity does not do any reports upon receiving any compensation from anycompany
Full Compliance in Place
Firstcall Research Provides
Industry Research on all the Sectors and Equity Research on Major Companiesforming part of Listed and Unlisted Segments
For Further Details Contact:Mobile No: 09959010555