BSE: 507794 | NSE: KHAICHEM | Fertilizers | Small Cap
1. Is Khaitan Chemicals & Fertilizers Ltd a good quality company?
Past 10 year's financial track record analysis by Moneyworks4me indicates that Khaitan Chemicals & Fertilizers Ltd is a average quality company.
2. Is Khaitan Chemicals & Fertilizers Ltd undervalued or overvalued?
The key valuation ratios of Khaitan Chemicals & Fertilizers Ltd's currently when compared to its past seem to suggest it is in the Fair zone.
3. Is Khaitan Chemicals & Fertilizers Ltd a good buy now?
The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Khaitan Chemicals & Fertilizers Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.
Value Creation ⓘ
Value Creation Index Colour Code Guide ⓘ
|ROCE % ⓘ||5.9%||6.1%||6.9%||6.4%||6.6%||6.1%||7.8%||10.3%||13.6%||29%||-|
|Value Creation Index ⓘ||-0.6||-0.6||-0.5||-0.6||-0.5||-0.6||-0.5||-0.3||-0.0||1.1||-|
Growth Parameters ⓘ
Growth Parameters Colour Code Guide ⓘ
|YoY Gr. Rt. %||-||-15.3%||-15.2%||19.2%||-8.6%||-1.5%||5.5%||17.3%||10%||71.3%||-|
|Adj EPS ⓘ||0.6||0.7||0.3||0.2||0.2||0.3||0.8||1.7||2.8||8.7||3.4|
|YoY Gr. Rt. %||-||20%||-56.1%||-37.9%||33.3%||20.8%||186.2%||101.2%||70.1%||204.9%||-|
|BVPS (₹) ⓘ||13.1||12.9||13||13.1||13.3||13.4||14.2||15.8||18||26||29|
|Adj Net Profit ⓘ||5.3||6.4||2.8||1.8||2.3||2.8||8||16.2||27.5||84||33|
|Cash Flow from Ops. ⓘ||-43.8||175||21.1||25.6||31.7||64.1||92.5||16.1||84.4||27||-|
|Debt/CF from Ops. ⓘ||-7.3||1.2||10.7||9||7.6||3.2||1.5||8.6||0.9||5||-|
CAGR Colour Code Guide ⓘ
|9 Years||5 Years||3 Years||1 Years|
|Adj EPS ⓘ||35.8%||104.9%||118.5%||204.9%|
Key Financial Parameters ⓘ
Performance Ratio Colour Code Guide ⓘ
|Return on Equity % ⓘ||4.2||5.1||2.2||1.4||1.8||2.2||6||11.1||16.8||39.4||12.4|
|Op. Profit Mgn % ⓘ||7.8||9.2||10.5||10.2||10.9||10.7||11.6||10.9||12.9||15.4||7.5|
|Net Profit Mgn % ⓘ||1.2||1.7||0.9||0.5||0.6||0.8||2.2||3.7||5.7||10.2||3.7|
|Debt to Equity ⓘ||2.5||1.7||1.8||1.8||1.9||1.6||1||0.9||0.5||0.5||-|
|Working Cap Days ⓘ||274||281||280||246||291||297||248||216||200||143||0|
|Cash Conv. Cycle ⓘ||123||169||168||128||142||141||108||87||77||52||0|
Sales growth is growing at healthy rate in last 3 years 30.27%
Net Profit is growing at healthy rate in last 3 years 118.51%
Debt to equity has declined versus last 3 years average to 0.54
Sales growth is good in last 4 quarters at 36.27%
Return on Equity has declined versus last 3 years average to 12.40%
|TTM EPS (₹)||3.4||-|
|TTM Sales (₹ Cr.)||899||-|
|BVPS (₹.) ⓘ||29||-|
|Reserves (₹ Cr.) ⓘ||271||-|
|From the Market|
|52 Week Low / High (₹)||55.00 / 156.95|
|All Time Low / High (₹)||0.17 / 156.95|
|Market Cap (₹ Cr.)||634|
|Equity (₹ Cr.)||9.7|
|Face Value (₹)||1|
|Industry PE ⓘ||8.4|
Khaitan Chemicals & Fertilizers Ltd. (KCFL) began its operation in 1987 at Nimrani near Indore, West Madhya Pradesh and has earned cash profits each and every year, since its inception, even though SSP Industry has gone through tumultuous times. Today KCFL has earned the distinction of being the largest manufacturer of SSP in India. The company is producing top quality fertilizer, sold under the brand name of 'Khaitan Khad', and is the brand leader in Western Madhya Pradesh.
The Khaitan Chemicals & Fertilizers ( KCFL Group) was formulated in 1995 under the leadership of Shailesh Khaitan. The group at that time consisted of:
However since 1995, KCFL has seen a dynamic growth and expansion under the new leadership. It is today the largest manufacturer of SSP in India. The group has today an installed capacity of 847500 TPA of Single Super Phosphate & 221,100 TPA of Sulphuric Acid and 3325 KW of captive power generation and 1400 TPA Solvent Extraction Plant, 100 TPA Refinery. .During the year 1998-1999 the Agro Division of Radico Khaitan Ltd. was transferred to Khaitan Soya Ltd., which has since been amalgamated with Khaitan Chemicals & Fertilizers Limited, w.e.f. 01.04.2001.
During the year 2000-2001 the Shriniwas Fertilizers Limited a sick unit was taken over by the management of Khaitan Chemicals & Fertilizers Limited,and was amalgamated with Khaitan Chemicals & Fertilizers Limited, w.e.f. 01.04.2001.
During 2004 New SSP Plant at Nimbahera (Rajasthan) commenced production.
In 2005-06 a 1000 TPD capacity for Soya Bean Processing at existing location at Ratlam, was commissioned. In the same year KCFL also acquired Mahadeo Fertilizer Ltd.at Fatehpur,near Kanpur,U.P. and amalgamated with itself in May 2006 w.e.f. 1.04.05..
KCFL further acquired in 2006 in its sister company a 800 TPD plant of Solvent Extraction adding the following products : -Solvent Extraction 2,40,000 TPA -Refund Oil 18,000 TPA -Other value added products like lecithin,Soya Flour, Soya Nuggets, Vanaspathi etc.
The company has also installed a 1250 KW Wind Turbine Generator, in Dhulia, Maharashtra. The wind mill was commissioned in September 2006.
Product range of the company includes:
Different divisions of the company:
Fertilizer Division- It has units at four locations:
(1) Nimrani- Since, 1995 the capacity has expanded more than 6 times to 4,00,000 TPA of SSP and 1,15,500 TPA of Sulphuric Acid, 2800 KW Power. Besides, the Nimrani plant has value added products like Oleum 65%, Oleum 23% and Liquid So3.
(2) Jhansi- As a part of an overall strategy to utilize the core competence developed by the group in the field of SSP and Sulphuric Acid and diversify its manufacturing and marketing bases, the group had acquired strategic stake in Shriniwas Fertilizers Ltd. located at Jhansi (U.P.) and subsequently merged it with the company. The capacity at the time of acquisition was 66000 TPA SSP and 33000 TPA Sulphuric Acid, which has since been increased to 132000 TPA SSP and 56100 Sulphuric Acid, 525 KW Power.
(3) Nimbahera - New plant to produce 2,00,000 M.T. SSP has been put up in Rajasthan. Production commenced from July 2004.
(4) Fatehpur, near Kanpur-KCFL has recently taken over Mahadeo Fertilizers Ltd .fatehpur, near Kanpur, U.P. a BIFR unit having 115,500 TPA capacity of SSP and 49,500 TPA capacity of Sulphuric Acid .The company has now also been merged with KCFL w.e.f. 1.04.05.
Soya Division - Soya Seed Processing: Capacity expanded from 300 TPD TO 1400 TPD for solvent oil extraction. Expansion at Rat Lam: Plant for 1000 TDP Soyseed processing has been put up and commissioned last year.This has increased the soyseed processing capacity to 1400 TPD. Refinery: KA while looking at the good response to the quality of its crude oil decided to go directly to the consumer and has launched 'Khaitan Vegetable Oil' i.e. refined Soya Oil manufactured in the new 100 TPD Refinery commissioned in June, 2000.
New Acquisition in Madhya Pradesh: KCFL has futher acquired in 2006 in its sister company a 800 TPD plant of Solvent Extraction adding the following products.Value added products like Lecithin, Soya Flour, Soya Nuggets, Vanaspathi etc.
Power Division- The company already has two captive power generating units in its existing Fertilizer Division. These units of total capacity of 3325 KW generate power using the waste heat generated during the acid manufacturing process. The company has now also put up a 1250 KW, WTG (Wind Turbine Generator) in Dhulia, Maharashtra for generation of power to be sold to the Maharashtra Government.