Mangalore Chemicals & Fertilizers Ltd Stock Analysis

BSE: 530011 | NSE: MANGCHEFER | Fertilizers | Small Cap

BSE Share Price 09-Jun-2023 18:01
92.01 -1.90 (-2.02%)

DeciZen - Make an Informed Decision on Mangalore Chem &Fert

Overall Rating

1. Quality

2. Valuation

Undervalued

3. Price Trend

Mangalore Chem &Fert Price Chart

P/E Ratio ( SA) :
8.27
Market Cap :
1,113 Cr.
52-wk low :
72.5
52-wk high :
132
Bole Toh?

1. Is Mangalore Chemicals & Fertilizers Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Mangalore Chemicals & Fertilizers Ltd is a below average quality company.

2. Is Mangalore Chemicals & Fertilizers Ltd undervalued or overvalued?

The key valuation ratios of Mangalore Chemicals & Fertilizers Ltd's currently when compared to its past seem to suggest it is in the Undervalued zone.

3. Is Mangalore Chemicals & Fertilizers Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Mangalore Chemicals & Fertilizers Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Mangalore Chem &Fert:

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.
Mangalore Chemicals & Fertilizers 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'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
ROCE % 8.4%9.1%7.2%1.9%5%7.8%6.3%7.9%6.9%8.2%-
Value Creation Index -0.4-0.4-0.5-0.9-0.6-0.4-0.6-0.4-0.5-0.4-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 2,7803,3102,5772,9692,4792,6893,0742,7112,1442,8963,642
YoY Gr. Rt. %-19.1%-22.2%15.2%-16.5%8.5%14.3%-11.8%-20.9%35.1%-
Adj EPS 7.99.14.4-3.90.46.54.27.65.79.211.4
YoY Gr. Rt. %-15.5%-51.9%-189.3%NA1745.7%-35.5%83%-25.3%60.9%-
BVPS (₹) 42.345.247.82930.740.341.84651.257.667.8
Adj Net Profit 93.510852-46.34.176.649.490.467.5109135
Cash Flow from Ops. 324-22.3613-13633732.9-262629962-87.2-
Debt/CF from Ops. 3.8-68.31.8-10.23.641.5-6.52.40.9-15.4-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 0.5%3.2%-2%35.1%
Adj EPS 1.7%92.2%30%60.9%
BVPS 3.513.511.312.5
Share Price 9% 8.4% 35.7% -19%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
Return on Equity % 16.717.78-8.711710.217.411.716.918.1
Op. Profit Mgn % 7.78.37.15.76.17.96.98.99.48.38.7
Net Profit Mgn % 3.43.32-1.60.22.91.63.33.23.83.7
Debt to Equity 2.52.8243.32.93.52.81.420.4
Working Cap Days 214185235205243222235279241138120
Cash Conv. Cycle 18479871421551671166511

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 18.10%

Net Profit is growing at healthy rate in last 3 years 30.04%

Debt to equity has declined versus last 3 years average to 1.96

Sales growth is good in last 4 quarters at 25.87%

Sales growth has been subdued in last 3 years -1.97%

Latest Financials - Mangalore Chemicals & Fertilizers Ltd.

Standalone Consolidated
TTM EPS (₹) 11.4 4.5
TTM Sales (₹ Cr.) 3,642 2,088
BVPS (₹.) 67.8 0
Reserves (₹ Cr.) 685 219
P/BV 1.39 0.00
PE 8.27 20.78
From the Market
52 Week Low / High (₹) 72.45 / 132.00
All Time Low / High (₹) 1.15 / 132.00
Market Cap (₹ Cr.) 1,113
Equity (₹ Cr.) 118.5
Face Value (₹) 10
Industry PE 10.6

Management X-Ray of Mangalore Chem &Fert :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *89.1979.9181.1482.0781.9077.8075.4849.2163.0663.87
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Mangalore Chem &Fert

Adj EPS (Rs.)
Sales (Cr.)
ROE (%)
ROCE (%)

News

Mangalore Chemicals & Fertilizers Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Mangalore Chem &Fert on 09-Jun-2023 18:01 is : 92.01.
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 09-Jun-2023 18:01 the market cap of Mangalore Chem &Fert stood at ₹ 1,113.
The latest PE ratio of Mangalore Chem &Fert as of 09-Jun-2023 18:01 is 8.27.
The latest PB ratio of Mangalore Chem &Fert as of 09-Jun-2023 18:01 is 1.39
The 52-week high of Mangalore Chem &Fert is ₹ 132.0 and the 52-week low is ₹ 72.45.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue / sales of Mangalore Chem &Fert is ₹ 3,642 ( Cr.) .

About Mangalore Chemicals & Fertilizers Ltd

Mangalore Chemicals & Fertilizers (MCF) incorporated in 1966; is the only manufacturer of chemical fertiliser in state of Karnataka. This Karnataka based company is Rs 1625 crore enterprise that manufactures products such as urea, di-ammonium phosphate, muriate of potash, granulated fertilizers, micronutrients, soil conditioners and specialty fertilizers.

The company’s factory is strategically located at Panambur, 9 km north of Mangalore City, on the banks of the Gurpur River, in front of the New Mangalore Port. The plant is well connected, both by rail and road. The West Coast National Highway (NH-l7) from Kochi to Mumbai separates MCF from the New Mangalore Port.

Company’s wholly owned subsidiary MCF International (MCFIL) is engaged in consultancy and plant management services.

UB Group (Parent Company)

MCFL is part of the UB Group with Group shareholding of 30%. Dr. Vijay Mallya is Chairman of the Board of Directors.

UB Group business interests are in area of brewing, distilling, aviation, fertilizers, life sciences, engineering, research and development and information technology.

Manufacturing Facilities

MCFL’s ammonia/Urea plants was designed and developed by Humphreys & Glasgow Limited of London. Its phosphatic plant is designed and engineered by Toyo Engineering Corporation of Japan. PDIL constructed Ammonium Bi-Carbonate plant whereas Furnace Fabrica constructed Sulphuric Acid SAP.

MCFL’s manufacturing facilities  has received ISO 14001:2000, ISO 14001:2004, OHSAS 18001:1999 and OHSAS 18001:2007 certification for its quality management

The Company has capacity to manufacture 2,17,800 MT Ammonia (intermediate product), 3,80,000 MT Urea, 2,60,000 MT Phosphatic Fertilizers (DAP & NP 20:20:00:13), 13,860 MT Ammonium Bi-Carbonate (ABC) and 33,000 MT Sulphuric Acid (SAP) annually.

Awards

  • FAI Award for 'Improvement in overall performance of a Company’ for three consecutive years 1996-97, 1997-98 and 1998-99
  • Letter of recognition in 1997 from Directorate General of Factory advisory Services and Labour Institutes (DGFASLI) for maintaining good safety and occupational health standards
  • The company received the ‘Honest Tax paying businessmen’ award from Commercial Taxes Department, Mangalore Division, a unique initiative taken by Government of Karnataka to honour the prompt Tax payers. Mr. P. C. Jain, Senior Vice President (Works), MCF, Mangalore, received the award in a felicitation function held at Mangalore on March 18, 2005
  • The company has been awarded the prestigious certificates on 1. Environment Management System conforming to ISO 14001:2000 in 2003 which was updated to latest version ISO 14001:2004 in 2005 and 2. Occupational Health & Safety Management System conforming to OHSAS 18001:1999 standard in 2005 which was updated to latest version OHSAS 18001:2007 in 2008.
  • The certificates were awarded by DET NORSKE VERITAS (DNV), the Netherlands, a global certifying agency
  • FAI Environmental Protection Award in NP/NPK Fertilizer Plants for the year 2009-2010.
  • 2010 - SECOND BEST SAFE INDUSTRY IN LARGE SECTOR FOR THE YEAR 2010 award conferred by the Karnataka State Safety Institute (R) (Department of Factories & Boilers) and the National Safety Council, Karnataka Chapter, Bangalore.
    FAI Environmental Protection Award in NP/NPK Fertilizer Plants for the year and 2010-2011.
    FAI runner up award for best technical innovation in Fertilizer Industry for the year 2010-11.
    FAI joint runner up award for Production Performance in Nitrogenous Fertilizer Plant for the year 2010-11.

Milestones

  • 1976- The company started its ammonia and urea production.
  • 1982- Company installed 60 tons per hour auxiliary boiler. In the same year it also set up Ammonium Bi-carbonate plant.
  • 1984- MCFL set up a purge gas recovery unit.
  • 1985- Company set up a captive power plant.
  • 1986- MCFL established di-ammonium phosphate plant.
  • 1993- Company developed a 2.5 Million Gallons reservoir.
  • 1999- Company started selling granulated fertilizers.
  • 2002- Company installed Pipe Reactor. In the same year, MCFL started marketing of micro nutrient - Zinc Sulphate
  • 2003- Company implemented SAP R/3, integrated software system and OPERATION MITE. Company received ISO 14001 Certification.
  • 2005- Company received OHSAS certification.
  • 2006- MCFL has installed a 100 TPD Sulphuric Acid plant.
  • 2008- MCFL has installed an imported fertilizers handling unit.
  • 2011- The company received an approval from High Court of Karnataka, Bangalore to merge MCF International, the wholly-owned subsidiary of the company with the company.

 

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