Ador Welding Ltd - Stock Valuation and Financial Performance

BSE: 517041 | NSE: ADORWELD | Electrodes & Welding Equipment | Small Cap

Ador Welding Share Price

1,400 37.15 2.73%
as on 28-Mar'24 16:01

DeciZen - make an informed investing decision on Ador Welding

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Semi Strong

Ador Welding stock performance -

mw4me loader
P/E Ratio (SA):
27.78
Market Cap:
1,863.5 Cr.
52-wk low:
897
52-wk high:
1,770

Is Ador Welding Ltd an attractive stock to invest in?

1. Is Ador Welding Ltd a good quality company?

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

2. Is Ador Welding Ltd undervalued or overvalued?

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

3. Is Ador Welding Ltd a good buy now?

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

10 Year X-Ray of Ador Welding:

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.
Ador Welding 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 % 7.2%6.1%11.2%7.4%7%8.5%9.4%3.7%14.6%19.5%-
Value Creation
Index
-0.5-0.6-0.2-0.5-0.5-0.4-0.3-0.70.10.4-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 368387407441458512526447661777873
Sales YoY Gr.-5%5.2%8.5%3.7%11.9%2.6%-14.9%47.9%17.4%-
Adj EPS 9816.712.312.315.117.53.926.542.749.3
YoY Gr.--11%107.4%-26.3%-0.2%23.1%16%-77.7%580%61.2%-
BVPS (₹) 133150160.7174.6182.1193.7183174.6207.3237.9252.6
Adj Net
Profit
12.310.922.616.716.720.523.85.336.158.167
Cash Flow from Ops. 30.40.822.40.1-36.963137926.413.7-
Debt/CF from Ops. 0.10.60253.4-2.216.30.401.2-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 8.6%11.2%13.9%17.4%
Adj EPS 18.9%28.4%34.7%61.2%
BVPS6.7%5.5%9.1%14.8%
Share Price 26% 32.2% 66.6% 51.4%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
6.75.710.77.36.989.32.213.919.220.1
Op. Profit
Mgn %
107.310.37.17.88.78.15.19.211.411
Net Profit
Mgn %
3.32.85.63.83.644.51.25.57.57.7
Debt to
Equity
0000.20.30.30.30.100.1-
Working Cap
Days
15815715418524223422224115315258
Cash Conv.
Cycle
5760564040435981495932

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 20.10%

Sales growth is growing at healthy rate in last 3 years 13.91%

Net Profit is growing at healthy rate in last 3 years 34.67%

Sales growth is good in last 4 quarters at 17.95%

No data to display

Latest Financials - Ador Welding Ltd.

Standalone Consolidated
TTM EPS (₹) 49.3 36.7
TTM Sales (₹ Cr.) 873 741
BVPS (₹.) 252.6 221.5
Reserves (₹ Cr.) 330 288
P/BV 5.42 6.19
PE 27.78 37.32
From the Market
52 Week Low / High (₹) 896.95 / 1770.00
All Time Low / High (₹) 11.60 / 1770.00
Market Cap (₹ Cr.) 1,864
Equity (₹ Cr.) 13.6
Face Value (₹) 10
Industry PE 20.7

Management X-Ray of Ador Welding:

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 Ador Welding

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
Sales368387407441458512526447661777
Operating Expenses 331359365410423468484426601688
Manufacturing Costs22232425252830273745
Material Costs245265268311327362368324470523
Employee Cost 34373839384142384957
Other Costs 31343534323644374564
Operating Profit 37284131354542226089
Operating Profit Margin (%) 10.0%7.3%10.2%7.0%7.6%8.7%7.9%4.8%9.1%11.4%
Other Income 566910109757
Interest 112261110864
Depreciation 12121211101011111112
Exceptional Items -1528-20000-259-1
Profit Before Tax 14483227283530-165879
Tax 9169910114-41320
Profit After Tax 4322318192426-124559
PAT Margin (%) 1.1%8.4%5.6%4.1%4.1%4.7%4.9%-2.7%6.8%7.6%
Adjusted EPS (₹)3.123.816.713.313.717.518.8-8.833.143.6
Dividend Payout Ratio (%)161%21%30%38%37%37%35%0%38%40%

Balance Sheet

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

Equity and Liabilities

Shareholders Fund 181204218237248263249237282324
Share Capital 14141414141414141414
Reserves 167190205224234250235224268310
Minority Interest0000000000
Debt1003581658228116
Long Term Debt1000000011
Short Term Debt0003581658228015
Trade Payables52417873756773777873
Others Liabilities 744840716273557679102
Total Liabilities 308293337417466468459419439514

Fixed Assets

Gross Block226230241238248267287284282286
Accumulated Depreciation151134142146155162171168172173
Net Fixed Assets7596999293106116116110113
CWIP 2214110372
Investments 1471224151614122020
Inventories504343485452626290116
Trade Receivables788312076928513010593125
Cash Equivalents 21201422172861887
Others Assets684348152194182129102111131
Total Assets 308293337417466468459419439514

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 301220-376313792614
PBT 29203427283530-165879
Adjustment 121211914172451418
Changes in Working Capital -2-26-11-26-6921-3042-22-65
Tax Paid -9-5-11-10-10-10-112-14-18
Cash Flow From Investing Activity -1-8-4-110-19-21-7-5-10
Capex -12-6-15-16-9-19-22-21-14
Net Investments 1581037-3-2-6-92
Others -4-1012222222
Cash Flow From Financing Activity -11-9-91933-33-13-61-31-5
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 0000000000
Interest Paid -10-1-1-5-9-9-6-4-2
Dividend Paid -8-7-7-7-7-7-1800-17
Others -2-2-22644-1813-54-2715
Net Cash Flow 18-17107-411-2212-10-1
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)2.3116.8210.727.957.659.3310-4.9317.3419.59
ROCE (%)8.2125.5515.7911.9111.4513.812.17-2.5223.3626.66
Asset Turnover Ratio1.41.411.431.281.051.11.131.021.541.63
PAT to CFO Conversion(x)7.50.030.960-1.952.630.5N/A0.580.24
Working Capital Days
Receivable Days68698274666374965551
Inventory Days42403534403840514248
Payable Days69648188827169856053

Ador Welding Ltd Stock News

Ador Welding Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Ador Welding on 28-Mar-2024 16:01 is ₹1,400.
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 28-Mar-2024 16:01 the market cap of Ador Welding stood at ₹1,863.5.
The latest P/E ratio of Ador Welding as of 28-Mar-2024 16:01 is 27.78.
The latest P/B ratio of Ador Welding as of 28-Mar-2024 16:01 is 5.42.
The 52-week high of Ador Welding is ₹1,770 and the 52-week low is ₹897.0.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Ador Welding is ₹872.6 ( Cr.) .

About Ador Welding Ltd

Ador Welding (AWL) was incorporated in 1951 with an objective to offer finest range of welding consumables and equipment. AWL has also made large investments in project engineering and manufacturing of power generators and alternators.

AWL is a total solutions provider offering an up-to-date suite of welding and cutting consumables, power sources and accessories besides a full package of soft skills and knowledge development for welding and fabrication excellence.

The company operates three divisions through which it channelises solution based engineering experience are as follows:

  • Metal Joining Processes And Solutions – This division covers the entire spectrum of metal joining processes. This includes welding, cutting and allied applications for all kinds of metals and every single industry and application.
  • Project Engineering Division - The Project Engineering Division offers customized solutions to multi-disciplinary projects and contracts in the area of combustion engineering, thermal engineering and fabrication engineering.  
  • Energy Solutions – The Electrical or Energy Management Solutions Division offers high-end configuration of hardware and software solutions to end-users and GOEMs in power, infrastructure, telecom and other sectors.

AWL has with four manufacturing plants for the production and supply of welding consumables, power sources, welding automation systems, cutting products and accessories.

The company’s three welding consumables plants are ISO 9001:2000 standard certified for quality management systems and ISO 14001:2004 standard (for environment management systems) while its equipment plant at Chinchwad is certified to ISO 9001:2000 standards.

Further, the company operates 26 area and territory offices and nine field offices. It also has strong market presence in region like the Gulf/Middle East, South East Asia and Africa.

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