What is CAGR? What does CAGR table indicate for Elecon Engineering Company Ltd?

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

Elecon Engineering Company Ltd Stock Analysis

Q: Is Elecon Engineering Company Ltd a good quality company?

MoneyWorks4Me analysed the past 10-year performance of Elecon Engineering Company Ltd and arrived at the following conclusion.

Small Cap

Evaluated by 1310 users | BSE: 505700 | NSE: ELECON |
Engineering - Industrial Equipments

Elecon Engineering Company, founded in 1951, is engaged in delivering power transmission solutions and material handling equipment. The company caters to the needs of various sectors like steel, fertilisers, cement, coal, lignite and iron ore mines, sugar, power stations and port mechanization...

10 Year X-Ray

Standalone 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.

Value Creation

	Mar'11	Mar'12	Mar'13	Mar'14	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20
Return on Capital Employed	12.78%	11.9%	5.62%	6.75%	6.2%	7.16%	6.04%	4.38%	4.69%	10.36%

Growth Parameters	Growth Parameters Colour Code Guide

Net Sales (Rs. Cr.)	1,198	1,332	595	501	503	980	923	911	955	836
Y-o-Y Gr. Rt.	-	11.2%	-55.3%	-15.8%	0.4%	94.7%	-5.7%	-1.3%	4.9%	-12.5%
Adjusted EPS (Rs.)	7.92	7.54	2.8	2.45	2.37	2.2	2.11	0.5	1.06	6.46
Y-o-Y Gr. Rt.	-	-4.8%	-62.9%	-12.5%	-3.3%	-7.2%	-4.1%	-76.3%	112%	509.4%
Book Value per Share (Rs.)	42.49	47.9	50.93	45.14	46.85	66.41	65	65.13	65.95	69.72
Adjusted Net Profit	73.5	70	26	26.7	25.8	24	23.6	5.6	11.9	72.5
Net Op. Cash Flow (Rs. Cr.)	88.9	182	206	22.7	218	12.8	196	106	71	170
Debt to Cash Flow from Ops	5.96	2.96	1.24	11.38	1.14	44.25	2.35	4.69	6.68	2.07

Difference between Standalone Basis and Consolidated basis? Which method is preferred for Elecon Engineering Company 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.

Elecon Engineering Company Ltd. should be analysed on a Standalone basis

CAGR CAGR Colour Code Guide

	9 yrs	5 yrs	3 yrs	1 yr
Net Sales	-3.9%	10.7%	-3.3%	-12.5%
Adjusted EPS	-2.2%	22.2%	45.2%	509.4%
Book Value per Share	5.7	8.3	2.4	5.7
Share Price	-2.1%	-6.9%	-20.2%	10.7%

Key Financial Parameter	Performance Ratio Colour Code Guide

	Mar'11	Mar'12	Mar'13	Mar'14	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20
Return on Equity (%)	20.4	16.68	5.65	5.51	5.15	3.88	3.25	0.77	1.62	9.53
Operating Profit Margin (%)	15.79	15.6	17.52	19.96	21.17	16.04	18.4	12.1	8.61	9.66
Net Profit Margin (%)	6.14	5.26	4.37	5.32	5.13	2.45	2.56	0.61	1.24	8.68
Debt to Equity	1.34	1.21	0.54	0.53	0.49	0.79	0.63	0.68	0.64	0.45
Working Capital Days	275	285	499	417	389	268	368	399	408	466
Cash Conversion Cycle	137	110	133	-17	29	83	132	158	150	135

Management X-Ray

Shareholding Pattern

Entity	Percentage Holding
Promoters	59.20%
Institutions	2.84%
Non-Institutions	37.97%

Promoter's Holding & Share Pledging

Pledged ^*

46.21

46.17

45.98

40.35

32.90

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

FAQs

1. Is Elecon Engineering Company Ltd a good quality company?

Data is not available for this company.

2. Is current market price of Elecon Engineering Company Ltd a good price to buy it?

The 5-year analysis of Elecon Engineering Company Ltd's performance infers:

Elecon Engineering Company Ltd earnings have grown by 22.2%, whereas share price has depreciated -6.9% CAGR over the past five years, indicating the company's share price is likely undervalued. However, for specific investment actions please connect with your investment advisor.

3. What is Elecon Engineering Company Ltd share price return in the past 10 years ?

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

Elecon Engineering Company Ltd share price has depreciated -4.2% annually over the past ten years.

About Company

Headquartered in India, company has offices located in countries namely Singapore, South Africa and Dubai. Elecon has formed EMTICI Engineering -- a marketing and servicing company for Elecon products in India. The company has network of 90 dealers and 30 resident engineers. The companyâ€™s material handling equipment plant is spread over on an area of 1,17,000 sq.mt, and is located at Vallabh Vidyanagar.

Divisions

Power Transmission solutions- This division of company design and manufactures worm gears, parallel shaft and right angle shaft, helical and spiral bevel helical gears, fluid, geared and flexible couplings and planetary gear boxes. These products are supplied to sectors such as sugar, cement, chemical, fertilizer, steel, plastic extrusion and rubber. The company has received ISO 9001:2000 certification for its quality management.

Material handling equipments- Under this, the company manufactures products such as belt conveyors, stacker-cum-reclaimers, pusher cars, idlers and pulleys, barrel type blender reclaimers, ship loaders and unloaders, stacker, bridge type bucket wheel reclaimers, crawwler mounted bucket wheel excavators, wagon tipplers and side arm chargers, crushers and feeders. This division caters the need of various industries such as steel, fertilizer, cement, coal, lignite and iron are mines, power stations and port mechnisation in India and abroad.

Wind Power- Elecon manufactures wind turbines of 300 KW and 600 KW capacity at the unit located at Vallabh Vidynagar in Gujarat. The company has entered into technical collaboration with Turbowindof Belgium with an aim to manufacture quality wind turbines.

Milestones

1951- The company was incorporated.
1975-1985- The company collaborated with WGW (TGW) Thyssen Getribe Works for manufacturing of Sprial Bevel and Helical Gearboxes.
1985-1992- The company collaborated with Renk AG, Germany for high speed gearboxes, bucket wheel and slewing planetary gearboxes, marine gearboxes and vertical roller mill gearboxes.
1992- Elecon Emgineering formed a tie up with Renk AG, Germany on project to project basis. It also collaborated with SIME France for Hydrokinetic Fluid Couplings from for various sizes up to CDR / CDRP 870.
1999-2002- It collaborated with PIV, Germany for Posired-II-Sprial Bevel and Heli-Bevel drives gearboxes.
1998- It developed Lift Gear Box-TM 500 Model for Kinetic Transportation Products.
1999- Elecon produced Lift Gear Box-G140 Model for Bharat Bijlee.
2000- Elecon Engineering developed Lift Traction Machine-W140 Model for Schindler India.
2003- The company developed Elevator Traction Machine Model - L127.
2004- It developed Elevator Traction Machine Model - L163.
2005- The company developed Elevator Traction Machine Model - L115.
2007- The company collaborated with Renk AG, Germany for Vertical Roller Mill Gearboxes, KPAV type upto size 200 and output torque 1040 KNM.
2008- The company collaborated with Haisung Industrial System Co., South Korea