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Nitin Castings Ltd Stock Analysis

Small Cap
Evaluated by 82 users | BSE: 508875 | NSE: |
Castings/Forgings
Kedia Group entered the arena of the foundry industry in the year 1964, with the formation of Nitin Castings a group company, with centralized facilities located at Thane, an eastern suburb barely 32 kms away from the industrial metro of India, Mumbai.Nitin Alloys Global made rapid strides to...

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
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 8.6%8%6.97%4.3%5.07%1.55%3.18%2.66%5.67%4.19%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 31.134.534.736.342.164.361.557.573.864.1
Y-o-Y Gr. Rt.-10.9%0.5%4.8%15.9%52.9%-4.4%-6.5%28.2%-13.1%
Adjusted EPS (Rs.) 5.265.045.193.524.01-0.1321.64.622.58
Y-o-Y Gr. Rt.--4.2%3%-32.2%13.9%-103.2%NA-20%188.8%-44.2%
Book Value per Share (Rs.) 66.3471.3976.4979.6479.1678.8184.4885.7989.291.3
Adjusted Net Profit 1.51.41.511.1010.82.41.3
Net Op. Cash Flow (Rs. Cr.) 1.31.92.22.511.12.75.89.99.7
Debt to Cash Flow from Ops 5.382.863.330.995.368.713.632.361.280.77
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.
Nitin Castings Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 8.4%8.8%1.4%-13.1%
Adjusted EPS -7.6%-8.4%8.9%-44.2%
Book Value per Share 3.62.92.62.4
Share Price 10.7% 11.4% -17.7% -23.2%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 8.257.327.024.515.04-0.112.41.895.282.86
Operating Profit Margin (%) 13.2811.0710.1466.297.039.278.519.810.14
Net Profit Margin (%) 4.754.114.212.722.67-0.061.671.433.222.07
Debt to Equity 0.390.270.340.110.230.420.230.310.280.16
Working Capital Days 155155161150130134196248197207
Cash Conversion Cycle 11710497998484118142109114
Entity Percentage Holding
Promoters 71.39%
Non-Institutions 28.61%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)
Data is not available for this company.

The 5-year analysis of Nitin Castings Ltd's performance infers:

Nitin Castings Ltd earnings have declined by -8.4%, whereas share price has appreciated 11.4% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of Nitin Castings Ltd share prices over the last 10 years. Here is what we found out:

Nitin Castings Ltd share price has appreciated 7% annually over the past ten years.

Kedia Group entered the arena of the foundry industry in the year 1964, with the formation of Nitin Castings a group company, with centralized facilities located at Thane, an eastern suburb barely 32 kms away from the industrial metro of India, Mumbai.

Nitin Alloys Global made rapid strides to achieve full recognition in manufacturing high quality alloy steel castings, comparable very favorably with those which were being imported from various developed countries and gained acknowledgement

Kedia Group entered the arena of the foundry industry in the year 1964, with the formation of Nitin Castings a group company, with centralized facilities located at Thane, an eastern suburb barely 32 kms away from the industrial metro of India, Mumbai.

Nitin Alloys Global made rapid strides to achieve full recognition in manufacturing high quality alloy steel castings, comparable very favorably with those which were being imported from various developed countries and gained acknowledgement and acceptance for import substitution in several core sector industries of national importance. 1974 was to be another landmark year in the brief history of Nitin.

The company entered into technical collaboration with Schmidt + Clemens of Germany, and imported advanced technology for the manufacturer of reformer tubes and other horizontal centrifugal castings. The technology absorption & update went on till 1989, when the technical collaboration ended making Nitin a fully independent company to expand its horizons. 

To meet the increased demand of static castings and to make those castings at competitive prices, a sister concern in the name of Nitin Alloy Steels was started in Februrary, 1998, near Silvassa, Union Territory of Dadra-Nagar Haveli about 150kms away from Mumbai. The Foundry manufactures all grades of steel, stainless steel and heat resistant steel castings and is certified as per ISO 9001:2000 by BVQI, London.

During the year 2006-07, Nitin further expanded its manufacturing activities. The Silvassa facility of Nitin Alloys Global Ltd. was expanded to accommodate to handle Manganese Steel, Low Alloy Steel etc. besides the existing grades of Heat Resistance, Corrosion Resistance, and Wear Resistance Alloys.  The manufacturing capacity, after this expansion, is to be 4,000 Tones Per Annum.

Products manufactured by the company include:

  • Decanter Centrifugs
  • Bowl Extensions
  • Front Hubs
  • Rear Hubs
  • Filtration Wheels
  • Hub Conveyors
  • Solid Head Walls
  • Liquid Head Walls

Vavles :

  • Balls For Ball Valves
  • Seat Rings
  • Cages
  • Valve Bodies, Bonnets, Yokes For Gate Valve, Globe Valve
  • Valve Bodies & Discs For Butterfly Valves

Pump Industry

  • Casings
  • Impellers
  • Sleeves
  • Bushes etc.

Cement Plants

  • Grate Plates
  • Nose Ring Segments
  • Immersion Tubes
  • Tip Castings

Steel Plants

  • Radiant Tubes
  • Hearth Rolls
  • Sink Rolls
  • Retort Tubes
  • Grate Bars
  • Normalizing Furnace Rolls
  • Air injection Tubes
  • Briquette Deflector Rolls

Others

  • Parts of Earth Moving Equipments in low alloy steels
  • Rings for Metallic Ring Joint Gaskets
  • Lift Cylinders for Tyre Machinery
  • Liners for Compressors
  • Suction Rolls for Paper Industry 

Services offered by the company includes:

  • Fabricatio
  • Centrifugal casting
  • Static casting

Clientele:

  • Zuari Agro Chemicals Ltd.
  • Southern Petro Chemical Industries Corporation Ltd.
  • Hindusthan Organic Chemicals Ltd.
  • Andhra Petrochemicals Ltd.
  • Indian Oil Corporation Ltd.
  • Steel Authority of India Ltd.
  • Tata Steel 
  • Jindal Iron & Steel
  • Bharat Earth Movers Ltd.
  • Vulcan Engrs.Ltd.
  • Orient Cement
  • Vasavadatta Cement
  • L & T Cement and  many more

Achievements/ recognition:

  • ISO 9001:2000 certification from BVQI, London.
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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