Punjab
Chemicals & Crop Protection Ltd
BSE Code: 506618
CMP Rs. 150
Financials
For FY06, PCPL reported a turnover of Rs 267 crore and net profit of
Rs 16.7 crore, which works out to an EPS of Rs 25.34.
Price to Book Value Ratio of the company is 3.13.
Price to Sales Ratio is 0.41
(For a Value investor low P/B & P/S ratio is a potential candidate
for growth)
Rate of Return at the current market rate is 16.89%
EPS Growth for the last five years is 55.69%
Sales Break-up
|
Product
|
Agrochemicals
|
Industrial
Chemicals & Intermediates
|
Pharmaceuticals
|
|
%
Sales
|
58%
|
31%
|
115
|
Amalgamation
The company has merged its group companies STS Chemicals and Alpha
Drugs with itself in order to broad base its product portfolio.
The amalgamation of ADIL and SCL with the company will provide the
benefit of economies of scale, lower operating cost, diversifying
business risks, technological development, integrating marketing strategies
and integrated R&D activities.
Future Outlook
The company has entered in a big way in the formulation business with
ambitious plans for entering into new herbicides and fungicides for
the Indian market.
During the year, SD Ag Chem, Europe N.V. has been co-promoted with
Excel Industries (Europe) N.V. with 51% equity stake in Belgium by
investing Rs. 16.87 lacs. This Company will provide the company's
products at the door steps of the foreign buyers and will facilitate
the registration of the products in the overseas market.
Dividend
The Directors have recommended a dividend of Rs. 41-per equity share.
What
our members say:
"I have been following Indiainfostock
Team recommendations and Punjab Chemicals & Crop Protection Ltd
is a wise investment for the right reason. This company is a phoenix
and the future outlook described by Indiainfostock Team clearly show
the managements vision. This is a gold mine." Sidharth Rao,
Nasik.
"Just
follow the well studied recommendation, for the Team has investigated
the Company thoroughly and presented it plainly. The style of the
Newsletter is simple at the same time pragmatic." Manohar
Lal, Hyderabad
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