Rossell India Ltd - Stock Valuation and Financial Performance

BSE: 533168 | NSE: ROSSELLIND | Defence | Small Cap

Rossell India Share Price

587.65 -15.55 -2.58%
as on 12-Jul'24 16:01

DeciZen - make an informed investing decision on Rossell India

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Rossell India stock performance -

mw4me loader
P/E Ratio (SA):
167.68
Market Cap:
2,210 Cr.
52-wk low:
341.8
52-wk high:
665

Is Rossell India Ltd an attractive stock to invest in?

1. Is Rossell India Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Rossell India Ltd is a below average quality company.

2. Is Rossell India Ltd undervalued or overvalued?

The key valuation ratios of Rossell India Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Rossell India Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Rossell India Ltd is likely to Rise in the short term. However, please check the rating on Quality and Valuation before investing

10 Year X-Ray of Rossell India:

Analysis of Financial Track Record

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

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.
Rossell India Ltd has not performed well majority of the past ten years indicating its past ten year financial track record is not good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 9.1%3.2%4.5%1.2%2.2%2.9%8.4%11.5%7.6%8%-
Value Creation
Index
-0.4-0.8-0.7-0.9-0.9-0.8-0.4-0.2-0.5-0.4-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 141140161163198249316322299354359
Sales YoY Gr.--0.7%14.8%1.3%21.5%25.4%26.9%2.1%-7.2%18.2%-
Adj EPS 4.80.81.9-0.8-0.20.15.796.36.83.5
YoY Gr.--84.4%148%-143%NANA3971.4%58.3%-30.2%7.1%-
BVPS (₹) 44.244.246.246.24646.150.758.967.176.178.8
Adj Net
Profit
17.72.86.8-3-0.70.520.933.123.125.513
Cash Flow from Ops. 24.3-2.37.3-4.2-3.2-528.135.333.825.4-
Debt/CF from Ops. 2.4-23.89.8-19.4-31.1-26.26.954.56.4-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 10.7%12.3%3.9%18.2%
Adj EPS 3.8%NA5.8%7.1%
BVPS6.2%10.6%14.5%13.4%
Share Price 24.9% 69.5% 51.3% 37.8%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
8.71.33.2-1.5-0.40.311.816.5109.64.5
Op. Profit
Mgn %
26.514.314.82.36.88.31721.51514.910.6
Net Profit
Mgn %
12.524.2-1.8-0.30.26.610.37.77.23.7
Debt to
Equity
0.40.30.40.50.60.81.10.80.60.60
Working Cap
Days
6688109135138150155177212210162
Cash Conv.
Cycle
193862879210310612915615118

Recent Performance Summary

Debt to equity has declined versus last 3 years average to 0.56

Return on Equity has declined versus last 3 years average to 4.50%

Sales growth has been subdued in last 3 years 3.87%

Net Profit has been subdued in last 3 years 5.80%

Sales growth is not so good in last 4 quarters at 2.28%

Latest Financials - Rossell India Ltd.

Standalone Consolidated
TTM EPS (₹) 3.5 3.4
TTM Sales (₹ Cr.) 359 359
BVPS (₹.) 78.8 78.8
Reserves (₹ Cr.) 289 289
P/BV 7.44 7.44
PE 167.68 173.60
From the Market
52 Week Low / High (₹) 341.80 / 665.00
All Time Low / High (₹) 10.00 / 665.00
Market Cap (₹ Cr.) 2,210
Equity (₹ Cr.) 7.5
Face Value (₹) 2
Industry PE 54.5

Management X-Ray of Rossell India:

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

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Analyst's Notes

Key Ratios of Rossell India

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales141140161163198249316322299354
Operating Expenses 104121138160185228268254254301
Manufacturing Costs28303031323334353643
Material Costs36719345991837495
Employee Cost 5565798794109111116121132
Other Costs 18202223252632202431
Operating Profit 3720234132147684553
Operating Profit Margin (%) 26.3%14.1%14.4%2.2%6.7%8.3%15.0%21.2%15.0%14.9%
Other Income 5476413244
Interest 988991111161012
Depreciation 41010910109121214
Exceptional Items 0000000-170
Profit Before Tax 29612-8-2031413331
Tax 822-7-2012834
Profit After Tax 20410-10119333027
PAT Margin (%) 14.4%2.9%5.9%-0.8%0.1%0.2%5.9%10.2%10.0%7.7%
Adjusted EPS (₹)5.61.12.6-0.40.10.25.19.08.17.3
Dividend Payout Ratio (%)9%46%19%-56%0%0%4%3%4%6%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 212210218170169169186216246287
Share Capital 7777777778
Reserves 205203211162161162179209239279
Minority Interest0000000000
Debt4845627293127186167143152
Long Term Debt3222121591147352515
Short Term Debt1623505785116140132118137
Trade Payables4465101524102328
Others Liabilities 30323324161733433548
Total Liabilities 294292318270288328429436448514

Fixed Assets

Gross Block223239261222233238232318318346
Accumulated Depreciation26404848576667758395
Net Fixed Assets197199212174176172166242234250
CWIP 1126815921195
Investments 68494621181919191934
Inventories81019325284103111122152
Trade Receivables3182018151826293348
Cash Equivalents 1124233121
Others Assets15141515181721222924
Total Assets 294292318270288328429436448514

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 24-27-4-3-528353425
PBT 29612-8-2031413331
Adjustment 9141212162023271922
Changes in Working Capital -0-14-8-7-18-26-22-28-8-25
Tax Paid -8-2-3-100-3-5-4-3
Cash Flow From Investing Activity -247-185-8-13-82-40-40
Capex -21-16-25-21-12-13-82-90-26
Net Investments -42172530001-15
Others 01110005-10
Cash Flow From Financing Activity -3-512191953-33-3314
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing -5-1002-9-143-20-10-10
Interest Paid 000-6-7-10-14-16-10-10
Dividend Paid -2-2-40-100-1-1-1
Others 471652630254-1235
Net Cash Flow -3022-310-11-1
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)13.332.475.78-0.770.140.3410.4416.3812.8810.27
ROCE (%)17.86.348.850.32.834.0812.1614.8310.910.08
Asset Turnover Ratio0.50.480.530.550.710.810.830.750.680.73
PAT to CFO Conversion(x)1.2-0.50.7N/AN/A-51.471.061.130.93
Working Capital Days
Receivable Days13274343302426313842
Inventory Days172333587799108121142141
Payable Days416237240105847878758398

Rossell India Ltd Stock News

Rossell India Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Rossell India on 12-Jul-2024 16:01 is ₹587.6.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Jul-2024 16:01 the market cap of Rossell India stood at ₹2,210.
The latest P/E ratio of Rossell India as of 12-Jul-2024 16:01 is 167.7.
The latest P/B ratio of Rossell India as of 12-Jul-2024 16:01 is 7.44.
The 52-week high of Rossell India is ₹665.0 and the 52-week low is ₹341.8.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Rossell India is ₹358.6 ( Cr.) .

About Rossell India Ltd

Rossell India, earlier known as Rossell Tea was incorporated in 1975 and is based in Kolkata, India. The company operates as a subsidiary of BMG Enterprises. Rossell Tea manufactures black tea. The company owns tea estates in India. In 2011 the name of the Company was changed from Rossell Tea Ltd to Rossell India Ltd.

The Company immediately after taking over the management of Dikom, Nokhroy and Borahi T.Es., took effective steps for upgrading the quality further and at present all the Tea Estates are well established quality marks in overseas markets. The saleable production at the time of takeover was 2.7 Million Kgs of Black Tea, which after recent corporate restructuring and three successive acquisitions is around 5.0 Million Kgs of Black Tea. At present, the Company owns Dikom, Nokhroy, Nagrijuli, Bokakhat and Romai T.Es., all located in Assam. After corporate restructuring, Borahi T.E. was demerged and transferred to another Company viz. Jyoti Holdings Pvt. Ltd., which Company is no more under the management of Rossell Tea.

The Company diversified into Aviation Industry and created a new division viz. Aerotech Services which became fully operational on and from April 1, 2006. This division acquired 56.25% Share Capital of Sigma Microsystems Pvt. Ltd., Hyderabad, the Company engaged in the business of manufacturing, design and development of Avionics, Electronics and Aviation Equipment, thereby making that Company a Subsidiary of the Company on and from that date

Milestones:

1975 - The Company was incorporated on 10th October, and the certificate of commencement of business was obtained on 15th January, 1976. The objects and activities of the Company are cultivation of Tea, Coffee and Rubber plantations and manufacturing of these products. 1976 The company acquired by way of amalgamation the whole of the undertaking including all properties and liabilities in India of the Jokai (Assam) Tea Co. Ltd., U.K. which was a wholly owned subsidiary of Jokai Tea Holdings, Ltd. U.K. 

1991 - The Company added another 31.73 hectares to its area under tea and expended Rs 303 lakhs for modernization of its plant and equipments. The Company promoted two companies viz., Rossell Granite, a 100% EOU for slabs and tiles, in the State of Tamil Nadu, and another Rossell Telecommunication Pvt. Ltd., for manufacture of electronic and bio-medical equipments. The Company commenced export of shrimps to Japan under the brand name Mermaid.  A plant on lease was taken up for supervision, control of processing of shrimps. The company took all steps to ascertain the feasibility of two projects viz., one for setting up a cement plant in Assam and another for growing mushrooms in the Company's tea estates in Assam. The name of the company has been changed from Jokai Indian, to Rossell Industries Ltd., with effect from 7th March. 

1992 - The Company acquired a tea estate in Assam called `Borahi' comprising 603 hectares of land located in Sibsagar district of Assam. 

1993 - The company suffered a major setback in exports on account of deferment of the committed off takes by Iran government. 

1994 - The Company faced acute problems due to cancellation of Iranian government imports and downward price trends in overseas markets. The Company carried out extension planning in respect of 6.69 hectares besides adding 5.29 hectares to mature tea area. Pursuant to the Scheme of Arrangement effective 1st July Wilton Tea division comprising three tea estates viz., Dikom, Nokhroy & Borahi were transferred to Rossel Tea Ltd. (RTL).  As per the scheme the shareholders of erstwhile Wilton Tea would be allotted 3 equity shares of Rs 10 each of Rossel India for 10 shares held in RTL.

1995 - The Company suffered a setback on account of large crop loss. The situation was further aggravated due to poor market conditions leading to substantial fall in realization.

2011 -The Company's wholly owned subsidiary Company, Rossell Aviation Private Ltd. (Rossell Aviation) entered into an agreement with CAE International Holding Ltd., Canada (CAE) for jointly undertaking the business of providing training solution in projects primarily related to the offset obligations in India for aerospace industry.

2012 -The Company have entered into an agreement with Dhunseri Petrochem & Tea Limited for acquisition of their Namsang Tea Estate, Assam ‘as a going concern’ for an agreed consideration of Rs. 28.29 Crores.

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