Investment & Precision Castings Ltd Stock Analysis

BSE: 504786 | NSE: | Castings/Forgings | Small Cap

BSE Share Price Jan 17, 18:01
304.00 -3.25 (-1.06%)

DeciZen - Make an Informed Decision on Invts & Precisn Cast

Overall Rating
M-Cap below 500cr. High Risk from low Liquidity

1. Quality

2. Valuation

Fair
P/E P/S EV/EBITDA

3. Price Trend

Semi Strong

10 Year X-Ray:

Analysis of Financial Track Record

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

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.

Value Creation

Value Creation Index Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % 7.5%4.7%5.9%6.1%7%8%10.9%11.3%2.9%3.3%-
Value Creation Index -0.5-0.7-0.6-0.6-0.5-0.4-0.2-0.2-0.8-0.8-

Growth Parameters

Growth Parameters Colour Code Guide
Sales 79.266.169.476.784.99210811995.2105132
YoY Gr. Rt. %--16.6%5%10.6%10.7%8.4%16.9%10.3%-19.8%10%-
Adj EPS 60.83.23.65.78.515.619.7-1.50.712.6
YoY Gr. Rt. %--86.9%306.4%14.2%57.7%48.2%84.9%25.9%-107.4%NA-
BVPS (₹) 89.890.193.897.5102.4118.6133.1150146.1146.9148.1
Adj Net Profit 30.41.61.82.94.27.89.9-0.70.46
Cash Flow from Ops. 2.616.813.38.79.49.915.211.910.416.5-
Debt/CF from Ops. 14.62.22.33.53.43.12.64.85.64-

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Sales 3.2%4.3%-0.9%10%
Adj EPS -20.7%-33.6%-63.8%NA
BVPS 5.67.53.40.6
Share Price 17.2% 9.3% -1.3% 56.7%

Key Financial Parameters

Performance Ratio Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % 6.80.93.43.85.77.712.413.9-10.58.6
Op. Profit Mgn % 16.415.616.214.315.416.219.416.912.112.216
Net Profit Mgn % 3.70.62.32.43.44.67.38.3-0.80.44.8
Debt to Equity 0.90.80.70.60.60.50.60.80.80.90.3
Working Cap Days 221266225196184205205226297282244
Cash Conv. Cycle 12716011794869584921171130

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 8.50%

Debt to equity has declined versus last 3 years average to 0.91

Sales growth is good in last 4 quarters at 114.80%

Sales growth has been subdued in last 3 years -0.91%

Net Profit has been subdued in last 3 years -63.83%

Latest Financials - Investment & Precision Castings Ltd.

Standalone Consolidated
TTM EPS (₹) 12.6 12.5
TTM Sales (₹ Cr.) 132 132
BVPS (₹.) 148.1 147.9
Reserves (₹ Cr.) 69 69
P/BV 2.05 2.03
PE 24.11 23.93
From the Market
52 Week Low / High (₹) 172.30 / 358.70
All Time Low / High (₹) 0.69 / 525.00
Market Cap (₹ Cr.) 152
Equity (₹ Cr.) 5
Face Value (₹) 10
Industry PE 12.8

Management X-Ray:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

Analyst's Notes

News

About Investment & Precision Castings Ltd

Investment & Precision Castings Ltd.(IPCL) was the first investment casting foundry in Gujarat formed way back in 1975. There was then only one other small investment casting foundry in the entire country. As a pioneer, IPCL had to struggle a lot to impart customer awareness and create a market for investment castings in India. This process was then unknown to the Indian market. A lot of application engineering efforts were involved in educating industries in India to switch over to investment castings from the traditional forging, sand castings and shell moulded castings.

IPCL is a fully equipped investment casting foundry with conventional machining facilities and state-of-the-art CNC Machine Shop. It supplies fully machined ready to use parts to automotive and other customers.

The company entered into a technical collaboration with Arwood International, USA in June 1975. After its expiry in April 1983, It signed a technical collaboration agreement with Furstlich Hohenzollernsche Huttenverwaltung, (Zollern Group), Germany, who was well known in Europe for Investment Castings. It then signed a technical licence agreement with Associated Foundries Engineering Co Ltd, Japan in December 1987, relating to producing large piece weight investment castings.

With the knowledge and experience gained through the above collaborations, and reinforced by in-house research & development, IPCL is today a technology leader in the industry, handling the widest range of material specifications and piece weights.

Product range of the company includes:

  • Automobile- IPCL caters to top automotive manufacturers in India and abroad. It is the pioneers in manufacturing investment castings in India.
  • Industrial Pumps- IPCL supplies complex and difficult parts to the pumps industry. 
  • Electrical & Instrumentation - IPCL supplies ferrous & non-ferrous investment castings to the electrical and instrumentation industry segment.
  • General Engineering- IPCL also supplies fully finished, machined and treated parts for different segments.

Milestones

  • 2009: Acquired additional 13,038 sq. metres lands for plant expansion
  • 2008: certification under ISO-14001: 2004 & OHSAS - 18001: 2007 from TUV NORD
  • 2007: Re-Certification under ISO/TS 16949 and ISO-9000 from TUV NORD
  • 2006: Acquired additional 20,000 Sq. Mt. lands for plant expansion
  • 2005: Established wind power plant, at Lamba, Dist. Jamnagar
  •  Established state of the art CNC machine shop
  •  Participation in Automotive Engineering Exposition Japan
  • 2004: Re-Certification under ISO/TS 16949 and ISO-9000 from RWTUV
  •   Established Tamboli Castings Ltd. A fully owned subsidiary as a 100% Export Oriented Unit
  •   Strategic alliance with an european foundry
  • 2003: Strategic alliance with a US foundry
  • 2002: Produced first component for BEHR India  100 Kg Piece Weight Castings developed for the first time
  • 2001: 1st time participation in Midest Fair, Paris  
  • • Certification under ISO/TS 16949 
  • • Developed Injected Ceramic Core Technology  
  • • Developed Ceramic Block Mould Process  
  • • 50 Kg Piece Weight Castings developed for the first time  
  • • Export of over Rs  60 million
  • 2000: Strategic alliance with an European foundry
  • 1999: Export of over Rs 30 million
  • 1998: Recertificationfrom under ISO- 9000 RWTUV
  • 1995: Certification under ISO-9002 from RWTUV 
  • • 1st time participation in Hannover Fair, Germany

Achievements/ recognition:

  • The company has the following Quality Systems Certification from RWTUV, Germany: ISO/TS 16949 : 2002 & ISO 9001 : 2000
  • IPCL is a ‘Self-Certified Vendor’ to Maruti Udyog Ltd., a joint venture Company of Suzuki  Motors Co., Japan
  • The company is a recognised Export House by Foreign Trade department.
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