Pratibha Industries Ltd - 532718

Name of Company	Pratibha Industries Ltd.
BSE Code	532718
NSE Code	PRATIBHA
ICICI Code
Established	1982
My Take	Like
Headquarters	Mumbai
Promoters	Usha Bhagwan Kulkarni, Datta BHagwan Kukarni, Ajit Bhagwan Kulkarni(founder, MD and CEO) and family.
Story	PIL is the flagship company of the Pratibha group. It started manufacturing prefab – SFRC manhole covers and frames. Through a series of takeovers and JVs, company has grown into a specialist in water supply projects, esp in Maharastra. The company now has plans to expand to other segments like roads, building, etc.
Sector	Construction contracting civil
Sub-sector	Construction with special focus on water supply projects
Website	http://www.pratibhagroup.com/
Positives	52% promoter holding, none pledged (but has come down from 70% in 2006). Good growth in revenues and NP. NPMs are good at 6-7%. ROCE is between 16 and 19% for the last 5 years. Dividends are fairly regular and yield is around 1%.
Negatives	reviews and may such websites talk about Prathiba industries having some survey program, not sure if this has anything to do with the company or the promoters, but this seems like bad publicity. The company has a scroll on its website rejecting that this has anything to do with this company. Debt is heavy at 383 Cr.
Peers
News
Price @ blogged	54.95 (17-Jul-11)
Cost of company	546.2 Cr market cap for a 71.43 Cr NP in FY ending Mar ' 11 makes it 7.65 times. This is for a company with 383.15 Cr debt and 448.59 Cr reserves
Group
Growth	Growth is huge for a player in this segment. FY11 sales have reached 1175 Cr from 295 Cr in FY07. NP has grown from 20 to 71 Cr in the same period.

Saraswati Industrial Syndicate Ltd - 533033

Name of Company	Saraswati Industrial Syndicate Ltd.
BSE Code	533033
NSE Code	SARASWATI
ICICI Code
Established
My Take	So-So
Headquarters	Yamuna Nagar (Haryana), Noida
Promoters
Story	This company manufactures boilers and sugar machinery. Order book is from domestic front and from China, South east asia, Central America, etc. This company also has machine building division, process equipment, steel castings, etc.
Sector	Sugar
Sub-sector	Sugar machinery manufacturing and sugar subsidiary
Website	http://www.isgec.com/index.html
Positives	This is a cyclical industry and orders go good when the economy is good. Has been positive NPMs (though 2-3% only).
Negatives	I feel it is difficult to manage all these diverse manufacturing – so, need to drill more into the working of order management and managing slowdowns. Has been listed for 3-4 years, so cannot comment on dividend or how interested the promoters are.
Peers
News
Price @ blogged	870 (07-Jul-11)
Cost of company	643.8 Cr market cap for a 82.03 Cr NP in FY ending Sep ' 10 makes it 7.85 times. This is for a company with 179.42 Cr debt and 407.7 Cr reserves
Group
Growth

Electrosteel Castings Ltd - 500128

Name of Company	Electrosteel Castings Ltd.
BSE Code	500128
NSE Code	ELECTROST
ICICI Code
Established
My Take	Like
Headquarters	Rajgangpur/Kolkata
Promoters	Umang Kejriwal(MD), Uddhav Kejriwal  & Kejriwal family
Story	First manufacturing facility was setup in Khardah, near Kolkata. This manufactures DI(ductile iron) pipes, DI fittings and pig iron. CI spun pipes are manufactured in Elavur (TN) and Low ash metallurgical coke is manufactured in Haldia, WB. In addition to manufacturing, the company provides turnkey solutions for water supply and sewerage systems. Mining coal, steel and manganese. Has worldwide subsidiaries including UK, Spain, USA, Algeria, middle east, etc.
Sector	Castings forgings
Sub-sector	Pipes (DI), alloy steel castings
Website	http://www.electrosteel.com/
Positives	Regular dividend yield, can expect 3% dividend at current process. Umank, Uddhav and Mayank Keriwal seem to have buying from open market in 2011 (from BSE website) – though promoter shareholding has not increased – so it seems like shareholding is being streamlined. 7-10% average NPMs for last 5 years– 4% in FY08 was a difficult year. 48% promoter stake with no pledging.
Negatives	Growth has been moderate for the lat 5 years- revenue grew from 1123 Cr to 1772 Cr from FY07 to FY11. Debt is high at 1652 Cr, but with low interest payments (around 50 Cr for FY10 and FY11).
Peers
News
Price @ blogged	27.25 (17-Jul-11)
Cost of company	890.4 Cr market cap for a 154.64 Cr NP in FY ending Mar ' 11 makes it 5.75 times. This is for a company with 1471.63 Cr debt and 1652.15 Cr reserves
Group
Growth	Slow growth

Gujarat State Fertilizer & Chemicals Ltd - 500690

Name of Company	Gujarat State Fertilizer & Chemicals Ltd.
BSE Code	500690
NSE Code	GSFC
ICICI Code
Established	1962
My Take	So-So
Headquarters	Vadodara
Promoters	Gujarat State govt
Story	Manufactures Urea, DAP, APS, NPK, bio-fertilizers, and more.
Sector	Fertilizers
Sub-sector
Website	http://www.gsfclimited.com
Positives	Regular dividend payer. Yield > 1% can be expected at current prices. Can expect 15 to 20% ROCE based on previous year’s numbers. 38% promoter holding, 36% institutional holding. Profits and sales are averagely half that of the biggest player Coromandel’s, but market cap is one third. Market leaders do get a better valuation. As Coromandel seems cheap right now, this seems cheap as well.
Negatives	Gujarat state run undertaking, which can face political pressure at times – including pricing & labor issues.
Peers	Coromandel Int, National Fetilizer, Rashtriya Chem, FACT, GNFC, Zuari Inds
News
Price @ blogged	362.05 (07-Jul-11)
Cost of company	2885.54 Cr market cap for a 749.37 Cr NP in FY ending Mar ' 11 makes it 3.85 times. This is for a company with 687.58 Cr debt and 2064.43 Cr reserves. 750 Cr is not the kind of profits we can expect for this company, so the PE makes it look small.
Group
Growth	Not a huge growth oriented company. Was a 2000 Cr revenue company in FY01, it is now a 4000-6000 Cr revenue company (FY10 and FY11).  Even 3 times in 10 years is not so great.

Finolex Cables Ltd - 500144

Name of Company	Finolex Cables Ltd.
BSE Code	500144
NSE Code	FINCABLES
ICICI Code
Established	1958
My Take	So-So
Headquarters	Pune
Promoters	PP Chhabria(Chairman & founder), DK Chhabria (MD)
Story	The company has manufacturing capacities in Pune, Goa and Roorke - Uttarakhand.
Sector	Cables
Sub-sector
Website	http://www.finolex.com/index.aspx
Positives	Regular dividend payer, can expect a dividend of around 1%. Finolex has very good brand recall value. 35% promoter holding, None pledged. Finolex industries also owns 14%.
Negatives	Visionary founders are aged, not sure of the next generation of promoters. Around 3-5% NPMs except for a negative NPM in FY09. No growth
Peers
News
Price @ blogged	48.05 (07-Jul-11)
Cost of company	734.68 Cr market cap for a 86.78 Cr NP in FY ending Mar ' 11 makes it 8.47 times. This is for a company with 275.12 Cr debt and 612.52 Cr reserves
Group
Growth

Mukand Engineers Ltd - 532097

Name of Company	Mukand Engineers Ltd.
BSE Code	532097
NSE Code	MUKANDEN
ICICI Code
Established
My Take	So-So
Headquarters	Mumbai
Promoters	Bajaj group (Niraj Bajaj is director of the company). The brothers have different holding of bajaj companies. So, the management is not one and the same.
Story
Sector	civil contracting
Sub-sector	Civil contracting work for power plants, refineries, Steel plants, Al plants. Mainly Piping work, Structural works, electrical works.
Website	http://www.mukand.com/  (parent company)
Positives	Paid dividend for the last 2 years. Very good growth recently. Niche civil contractor.
Negatives	Company does not have a website. FY01 and FY 02 were over 60 Cr revenue years. After that the company fell into bad revenues of less than 20 Cr in FY 04 and FY 06. Loans of 17 Cr given to companies (unknown) needs to be recovered. These are no interest loans. Economy slowdown can be disasterous.
Peers
News
Price @ blogged	32.85 (04-Jul-11)
Cost of company	41 Cr market cap for a 6.52 Cr NP in FY ending Mar ' 11 makes it 6.2 times. This is for a company with 29 Cr debt and 36.88 Cr reserves in Fy10.
Group	Cyclicals
Growth	Sales have grown from 19 Cr to 129 Cr from FY06 to Fy11 (5 years). NP has grown from 1.5 Cr to 8 Cr in the same period.