What is CAGR? What does CAGR table indicate for LG Balakrishnan & Bros Ltd?

Compounded average growth rate (CAGR) measures the average annual growth rate compounded year-on-year over a period of time.

LG Balakrishnan & Bros Ltd Stock Analysis

Small Cap

Evaluated by 1361 users | BSE: 500250 | NSE: LGBBROSLTD |
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10 Year X-Ray

Consolidated basis Standalone basis P Consolidated basis P

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

What is a Financial Track Record? How to read this chart in order to understand the data present here?

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.

LG Balakrishnan & Bros Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

	Mar'12	Mar'13	Mar'14	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	TTM
Return on Capital Employed	17.32%	11.77%	16.57%	15.53%	13.2%	12.94%	13.59%	12.63%	10.25%	14.74%	-

Growth Parameters	Growth Parameters Colour Code Guide

Net Sales (Rs. Cr.)	913	956	1,109	1,173	1,205	1,259	1,418	1,688	1,543	1,609	1,807
Y-o-Y Gr. Rt.	-	4.8%	15.9%	5.8%	2.8%	4.4%	12.7%	19%	-8.6%	4.3%	-
Adjusted EPS (Rs.)	14.98	9.92	19.74	21.34	20.5	22.9	27.23	29.5	24.57	39.36	54.95
Y-o-Y Gr. Rt.	-	-33.8%	99%	8.1%	-3.9%	11.7%	18.9%	8.3%	-16.7%	60.2%	-
Book Value per Share (Rs.)	73.27	81.53	97.23	115.36	131.82	165.84	186.46	212.12	224.92	280.13	290.67
Adjusted Net Profit	47	31.2	62	67	64.3	71.9	85.5	92.6	77.1	124	172
Net Op. Cash Flow (Rs. Cr.)	38.1	70.1	95.8	102	117	150	128	102	203	226	-
Debt to Cash Flow from Ops	3.62	2.39	1.57	1.74	1.52	0.9	0.85	2.14	0.58	0.31	-

Difference between Standalone Basis and Consolidated basis? Which method is preferred for LG Balakrishnan & Bros Ltd. ?

Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.

LG Balakrishnan & Bros Ltd. should be analysed on a Consolidated basis

CAGR CAGR Colour Code Guide

	9 yrs	5 yrs	3 yrs	1 yr
Net Sales	6.5%	6%	4.3%	4.3%
Adjusted EPS	11.3%	13.9%	13.1%	60.2%
Book Value per Share	16.1	16.3	14.5	24.6
Share Price	23.1%	7.8%	-4.1%	79.7%

Key Financial Parameter	Performance Ratio Colour Code Guide

	Mar'12	Mar'13	Mar'14	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	TTM
Return on Equity (%)	21.9	12.69	21.89	19.93	16.48	15.34	15.45	14.8	11.24	15.59	19.25
Operating Profit Margin (%)	11.79	9.35	11.57	12.19	11.54	13.08	13.81	12.49	12.07	15.69	16.59
Net Profit Margin (%)	5.15	3.25	5.8	5.9	5.45	5.96	6.2	5.31	4.9	7.64	9.55
Debt to Equity	0.6	0.66	0.49	0.49	0.43	0.26	0.19	0.33	0.17	0.08	-
Working Capital Days	123	137	132	136	128	116	119	118	130	125	-
Cash Conversion Cycle	53	60	52	46	42	37	37	44	52	38	-

Management X-Ray

Shareholding Pattern

Entity	Percentage Holding
Promoters	41.98%
Institutions	16.95%
Non-Institutions	41.07%

Promoter's Holding & Share Pledging

Pledged ^*

10.62

12.18

16.51

16.68

21.99

22.10

20.26

0.00

* Pledged shares as % of Promoter's holding (%)

FAQs

1. Is LG Balakrishnan & Bros a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that LG Balakrishnan & Bros Ltd is a good quality company.

2. Is current market price of LG Balakrishnan & Bros a good price to buy it?

LG Balakrishnan & Bros Ltd's earnings have grown by 13.9%, whereas share price has appreciated 7.8% CAGR over the past five years, indicating the company’s share price is likely undervalued. However, for specific investment actions please consult your investment advisor.

3. What is LG Balakrishnan & Bros share price return in the past 10 years ?

LG Balakrishnan & Bros Ltd share price has appreciated 19% annually (CAGR) over the past ten years.

4. Is LG Balakrishnan & Bros a good long term investment?

Past 10 years financial track record analysis and assessment of future prospects by Moneyworks4me indicates that LG Balakrishnan & Bros Ltd is a good long term investment. However, you need to ensure you buy at a right price to earn good returns.

About LG Balakrishnan & Bros

L G Balakrishnan & Bros. (LGB), one of the leading companies in South India, was established way back in 1937. Started as a transport operator, the company entered into manufacturing in 1966 when timing chain manufacturing operations were taken up. Since then the company has come a long way, keeping in pace with the technological advancements and has grown into India's leading roller chain manufacturer. The company today stands proud as the premier manufacturer of both automotive and industrial chains under the popular brand name â€˜ROLONâ€™. LGB is now surging ahead to become a metal forming company concentrating on hot, warm & cold forging, blanking, fine blanking & precision machined parts.

Milestones

1937: Fleet operator bus body building
1960: chain manufacturing plant
1970: Steel strips and wire rods
1980: Fine product division
1981: Tyre retreading
1982: Commercial tooling division
1985: Instrumentation division
1990: Manufacturer of cols Forge rollers
1993: Rubber belt division
1994: Aluminum bus bodies division
1995: Textile division
2000: Cold forging division
2003: Hot forging division
2006: LGB Bosh plant for CRDI components

Major Products:

Transmission Products: Chains, Sprockets, Tensioners, Belts

Metal Forming: Fine Blanking, Forging, Machined Components, Wire Drawing

Achievements

LGB has become the first Indian Company to supply timing chains to 4-wheeler OEMs in India and is the largest exporter to the US
During the late 1980s, LGB entered into a technical know-how agreement with Daido Kogyo, Japan to become the leading supplier of drive chains and cam chains to all 2-Wheeler OEMs in India.
LGB has become the No. 1 OEM supplier of drive chains with 70% market share, around 50% in the replacement market.
LGB also makes industrial chains. These chains are known for their Quality and used in various applications. LGB is the leading player in the Indian market and exports about $5 Million to US and Europe, annually.
LGB acquired fine blanking technology in mid 80s for manufacturing chain plates. It further extended its fine blanking division as a separate manufacturing during the late 90s, to cater to high OEM demands for Fine Blanked components.
In late 1990, a new chapter began in LGBâ€™s history of engineered manufacturing. It graduated to being a manufacturer of forged parts inculcating the sound technical stability it had in its chains. Today, LGB makes hot, warm & cold forgings for all 2-wheeler OEMs in the country and abroad.
LGB is a leading fine blanking manufacturer having about 15 presses in operation.
LGBâ€™s turnover has crossed the landmark of $100 million in 2005-2006 which is inclusive of exports to the US and Europe.
LGB has been accredited with ISO 9001 by UL, US and further has TS16949 , ISO 14001, API & Export House Certifications.

Certification

Vaiyampalayam Plant - ISO / TS 16949 Fine Products / Ganapathy - ISO / TS 16949
Gudalur Plant - API Two Star Export House
Annur Plant - ISO / TS 16949
Gudalur Plant - ISO 9001: 2000 Vaiyampalayam / Annur - ISO 9001: 2000
Fine Products / Ganapathy - ISO 9001: 2000 Cold Forgings Division - ISO 9001: 2000
Forging Division - ISO 9001: 2000 Forging Division - ISO 9001: 2000

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