Vinati Organics Ltd - Stock Valuation and Financial Performance

BSE: 524200 | NSE: VINATIORGA | Chemicals | Small Cap

Vinati Organics Share Price

1,970.80 6.35 0.32%
as on 11-Oct'24 16:01

DeciZen - make an informed investing decision on Vinati Organics

Overall Rating
Bole Toh

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

Semi Strong

Vinati Organics stock performance -

mw4me loader
P/E Ratio (CD):
58.36
Market Cap:
20,391.6 Cr.
52-wk low:
1,462.7
52-wk high:
2,331.1

Is Vinati Organics Ltd an attractive stock to invest in?

1. Is Vinati Organics Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Vinati Organics Ltd is a average quality company.

2. Is Vinati Organics Ltd undervalued or overvalued?

The key valuation ratios of Vinati Organics Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Vinati Organics Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Vinati Organics 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 Vinati Organics:

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.
Vinati Organics Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Value Creation Index Colour Code Guide

Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
ROCE % 0%0%0%0%0%33.3%23.8%26.6%27.7%18.5%-
Value Creation
Index
NANANANANA1.50.81.01.10.4-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 000001,0299541,6162,0661,9001,971
Sales YoY Gr.-NANANANANA-7.3%69.3%27.9%-8.1%-
Adj EPS 000003125.431.437.929.433.7
YoY Gr.-NANANANANA-17.9%23.5%20.7%-22.5%-
BVPS (₹) 00000124.5150.2177.9199.7222230.1
Adj Net
Profit
00000318261323389304350
Cash Flow from Ops. 00000416219127515332-
Debt/CF from Ops. 00000000.20.10-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales NANA25.8%-8.1%
Adj EPS NANA5%-22.5%
BVPSNANA13.9%11.2%
Share Price 25.6% 12.8% -1.1% 7.5%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
Return on
Equity %
0000024.918.519.119.31314.9
Op. Profit
Mgn %
0000040.3372727.824.825.4
Net Profit
Mgn %
0000030.927.42018.81617.7
Debt to
Equity
0000000000-
Working Cap
Days
00000019219117718987
Cash Conv.
Cycle
00000099919111069

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 25.80%

Return on Equity has declined versus last 3 years average to 14.90%

Net Profit has been subdued in last 3 years 4.95%

Sales growth is not so good in last 4 quarters at -2.14%

Latest Financials - Vinati Organics Ltd.

Standalone Consolidated
TTM EPS (₹) 33.9 33.7
TTM Sales (₹ Cr.) 1,971 1,971
BVPS (₹.) 246 230.1
Reserves (₹ Cr.) 2,540 2,375
P/BV 8.00 8.55
PE 57.98 58.36
From the Market
52 Week Low / High (₹) 1462.70 / 2331.05
All Time Low / High (₹) 0.13 / 2372.95
Market Cap (₹ Cr.) 20,392
Equity (₹ Cr.) 10.4
Face Value (₹) 1
Industry PE 60.1

Management X-Ray of Vinati Organics:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.660.660.660.660.660.660.840.840.84
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Vinati Organics

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'20Mar'21Mar'22Mar'23Mar'24
Sales1,0299541,6162,0661,900
Operating Expenses 6146011,1801,4931,429
Manufacturing Costs103116206280244
Material Costs4293888611,0741,011
Employee Cost 647384100119
Other Costs 1825303955
Operating Profit 415353435573471
Operating Profit Margin (%) 40.3%37.0%27.0%27.7%24.8%
Other Income 4526615239
Interest 21235
Depreciation 3343455973
Exceptional Items 00000
Profit Before Tax 425335449563432
Tax 9166103144109
Profit After Tax 334269347419323
PAT Margin (%) 32.4%28.2%21.5%20.3%17.0%
Adjusted EPS (₹)32.526.233.740.831.2
Dividend Payout Ratio (%)17%23%19%17%22%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'20Mar'21Mar'22Mar'23Mar'24

Equity and Liabilities

Shareholders Fund 1,2791,5431,8282,0532,301
Share Capital 1010101010
Reserves 1,2691,5331,8182,0422,291
Minority Interest00000
Debt0218355
Long Term Debt000100
Short Term Debt0218255
Trade Payables5667109121101
Others Liabilities 108122134374433
Total Liabilities 1,4431,7342,0902,5842,840

Fixed Assets

Gross Block8569051,0671,4121,814
Accumulated Depreciation106148194253325
Net Fixed Assets7517578731,1591,489
CWIP 315651242249
Investments 2272899422764
Inventories93122176233199
Trade Receivables202277458464530
Cash Equivalents 54741313
Others Assets85227433245297
Total Assets 1,4431,7342,0902,5842,840

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'20Mar'21Mar'22Mar'23Mar'24
Cash Flow From Operating Activity 416219127515332
PBT 425335449563432
Adjustment 1130125961
Changes in Working Capital 81-85-22624-74
Tax Paid -101-61-108-131-87
Cash Flow From Investing Activity -197-198-255-329-348
Capex -309-49-162-343-403
Net Investments -671336-1740
Others 179-162-1293115
Cash Flow From Financing Activity -109-3-47-62-108
Net Proceeds from Shares 00000
Net Proceeds from Borrowing 0000-10
Interest Paid -100-1-4
Dividend Paid -105-6-62-67-72
Others -33166-22
Net Cash Flow 10918-175124-125
PARTICULARSMar'20Mar'21Mar'22Mar'23Mar'24
Ratios
ROE (%)26.0919.0820.5621.614.84
ROCE (%)33.3423.826.5927.6718.54
Asset Turnover Ratio0.710.60.840.890.7
PAT to CFO Conversion(x)1.250.810.371.231.03
Working Capital Days
Receivable Days7292838195
Inventory Days3341343641
Payable Days4756363839

Vinati Organics Ltd Stock News

Vinati Organics Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Vinati Organics on 11-Oct-2024 16:01 is ₹1,970.8.
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 11-Oct-2024 16:01 the market cap of Vinati Organics stood at ₹20,391.6.
The latest P/E ratio of Vinati Organics as of 11-Oct-2024 16:01 is 57.98.
The latest P/B ratio of Vinati Organics as of 11-Oct-2024 16:01 is 8.00.
The 52-week high of Vinati Organics is ₹2,331.1 and the 52-week low is ₹1,462.7.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Vinati Organics is ₹1,971 ( Cr.) .

About Vinati Organics Ltd

Vinati Organics Ltd. (VOL) was established in 1989. It is a specialty chemical company, focusing on manufacturing specialty chemicals and organic intermediaries. It combines innovation with chemistry to deliver value-added products to its customers. It follows the highest quality standards and its products meet diverse customer expectations.

Business area of the company

The company is a specialty chemical company, manufacturing specialty chemicals and organic intermediaries. With two state-of-the-art manufacturing units in Maharashtra, VOL is a leading producer of two major products - Isobutyl Benzene (IBB) and 2-Acrylamido 2 Methylpropane Sulfonic Acid (ATBS). The Company’s zeal to combine innovation with chemistry enables it to deliver superior quality products to its diverse client base. Vinati Organics has successfully established a strong foothold across the globe, with its products reaching out to customers in many countries.

Products of the company

  • Isobutyl Benzene (IBB)
  • 2-Acrylamido 2 Methylpropane Sulfonic Acid (ATBS)
  • Isobutylene (IB)
  • High Purity- Methyl Tertiary Butyl Ether (HPMTBE)
  • N-Tertiary Butyl Acrylamide (TBA)
  • N-Tertiary Octyl Acrylamide (TOA)

Awards/ recognition

  • Mahad Works ISO Certificate
  • Ote Works ISO Certificate
  • National Safety Award
  • Maharashtra State Export Award
  • Worlds’ largest producer and supplier of IBB with global product presence IBB is presently being used and appreciated by all manufactures of Ibuprofen in the world including the founder manufacturer of Ibuprofen i.e. M/s. Knoll Pharmaceuticals of UK and BASF Corporation of USA.
  • World’s third biggest and fastest growing supplier of ATBS and related products. Presently exporting ATBS to Europe, Americas and Asia.
  • Presently being used and appreciated by all manufactures of Ibuprofen in India. Its quality is also internationally acclaimed and appreciated by the founder manufacturer of Ibuprofen i.e. Knoll Pharmaceuticals of UK and BASF Corporation of USA.
  • The Company was awarded the ‘Supplier of the Year’ (FY 2014-15) by BASF
  • VOL was ranked among the ‘Fastest Growing Companies’ in India Outlook Business in May 2014.
  • In the FE CFO of the Year Awards 2019, VOL was adjudged winner in the Large Enterprises - Manufacturing Category.
  • VOL was declared STAR SME of the Year by the Business Standard Annual Awards 2019.
  • VOL adjudged Company of the Year in Chemicals by FICCI Chemicals and Petrochemicals Awards 2019.
  • VOL was named the Most Promising Company of the Year by CNBC-TV18 IBLA 2020.

Milestones

  • 1989: Vinati Organics Limited (VOL) established
  • 1992: Isobutylbenzene (IBB) plant comes onstream with 1200 MTA  production capacity 
  • 1996: IBB capacity expansion to 3000 MTA
  • 1997: IBB capacity expansion to 5000 MTA
  • 2002: ATBS plant onstream with 1000 MTA production capacity
  • 2006: IBB capacity expansion to 10,000 MTA. ATBS capacity expansion to 3600 MTA
  • 2007: Started n-tertiary Butylacrylamide (TBA) production
  • 2008: IBB capacity expansion to 14,000 MTA
  • 2009: ATBS capacity expansion to 12000 MTA. TBA capacity expansion to 500 MTA
  • 2010: VOL listed amongst Forbes Asia's 200 Best Under A Billion companies.VOL ranked amongst the Top 10 Fastest Growing Companies in India for 2009 by The Economic Times.2011: VOL listed amongst Forbes Asia's 200 Best Under A Billion companies.
  • 2011: Credit rating agency, ICRA has suspended LBBB+ rating assigned to Rs 61.3 crore term loans and Rs 30.0 crore cash credit facilities, and, A2 rating to Rs 11 crore bank guarantees' and Rs 10 crore letter of credit facilities of Vinati Organics.
  • 2013: Credit rating agency, CARE has reaffirmed 'A-' rating to Vinati Organics' long term bank facilities (Term loan) worth Rs 145.29 crore and 'A2+' rating to company's Short term Bank Facilities (Non-fund based facilities) worth Rs 32.13 crore.  
  • 2015: Vinati Organics entered into long term tripartite agreement with USA & Japan based chemical companies for supply of a customized product. 
  • 2017: Vinati Organics expand IsoButyl Benzene (IBB) capacity to 25000 MT at its Mahad facility in order to meet the strong demand outlook for the product.
  • 2020: Vinati Organics has subscribed to the Memorandum & Articles of Associations to the extent of 99% of the Share Capital of Veeral Organics, which has been incorporated under the Indian Companies Act, 2013 on October 5, 2020.
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