X

Andhra Sugars Ltd. Stock Analysis

Small Cap
Evaluated by 508 users | BSE: 590062 | NSE: ANDHRSUGAR |
Diversified
Andhra Sugars is engaged in manufacturing and marketing of sugar. Incorporated in 1947, the company also has business interest in area of organic and inorganic chemicals, edible and non-edible vegetable oils and non-conventional power generation.The  Andhra Pradesh-based company has...

Analysis of Financial Track Record

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.
Value Creation
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 7.65%14.65%13.28%8.57%2.16%6.95%12.31%9.86%14.81%15.77%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 5057588327267798699079679741,041
Y-o-Y Gr. Rt.-50.1%9.8%-12.7%7.2%11.7%4.3%6.6%0.8%6.8%
Adjusted EPS (Rs.) 13.1534.5632.6420.20.9416.2942.4134.0758.5467.17
Y-o-Y Gr. Rt.-162.8%-5.6%-38.1%-95.4%1633%160.3%-19.7%71.8%14.7%
Book Value per Share (Rs.) 146.28172.73193.47207.93204.79255.8314.84325.17368.9372.56
Adjusted Net Profit 35.693.788.554.82.644.211592.4159182
Net Op. Cash Flow (Rs. Cr.) -8.652.915156.917.9166255163123177
Debt to Cash Flow from Ops -35.755.821.614.9518.281.61.341.532.41.43
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.
Andhra Sugars Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 8.4%6%4.7%6.8%
Adjusted EPS 19.9%134.9%16.6%14.7%
Book Value per Share 1112.75.81
Share Price 11.5% 16.8% -19.9% 0.8%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 9.2121.6717.8210.060.467.0814.8610.6516.8718.12
Operating Profit Margin (%) 18.724.5822.517.787.114.6522.7420.8330.425.06
Net Profit Margin (%) 7.0612.3610.637.540.335.0812.689.5516.2917.5
Debt to Equity 0.780.660.460.50.590.380.40.280.290.25
Working Capital Days 229206209256257217201203236250
Cash Conversion Cycle 122145150187186152120112146164
Entity Percentage Holding
Promoters 47.03%
Institutions 0.09%
Non-Institutions 52.88%
Pledged *0.000.000.000.000.000.000.000.000.002.25
* Pledged shares as % of Promoter's holding (%)
Data is not available for this company.

The 5-year analysis of Andhra Sugars Ltd.'s performance infers:

Andhra Sugars Ltd. earnings have grown by 134.9%, whereas share price has appreciated 16.8% 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.

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

Andhra Sugars Ltd. share price has appreciated 10.3% annually over the past ten years.

Andhra Sugars is engaged in manufacturing and marketing of sugar. Incorporated in 1947, the company also has business interest in area of organic and inorganic chemicals, edible and non-edible vegetable oils and non-conventional power generation.

The  Andhra Pradesh-based company has manufacturing facilities located at Tanuku, Kovvur, Guntur, Taduvai, Saggonda and Bhimadole.

Andhra Sugars is primarily focused on manufacturing of sugar and chemicals with power generation.

After

Andhra Sugars is engaged in manufacturing and marketing of sugar. Incorporated in 1947, the company also has business interest in area of organic and inorganic chemicals, edible and non-edible vegetable oils and non-conventional power generation.

The  Andhra Pradesh-based company has manufacturing facilities located at Tanuku, Kovvur, Guntur, Taduvai, Saggonda and Bhimadole.

Andhra Sugars is primarily focused on manufacturing of sugar and chemicals with power generation.

After acquiring Jawharlal Nehru Pharmacity, Visakhapatnam, the company has  forayed into the pharmaceutical sector and is engaged in manufacturing Aspirin. The company’s Aspirin plant has received USFDA approval and EDQM (European Directorate for Quality Medicines) certification. It exports to countries like USA, Mexico, Bangladesh, Romania, Bulgaria and Spain.

Andhra Sugars has associate companies namely Sree Akkamamba Textiles manufacturing various grades of cotton yarn, polyster cotton blended yarn and viscose cotton blended yarn; and Andhra Petrochemicals produces Oxo-Alcohols.

Products

Sugar-Andhra Sugars has sugar manufacturing capacity of 5000 TCD capacity plant at Sugar Unit-I, Tanuku, a 2500 TCD capacity plant at Sugar Unit-II, Taduvai and a 2000 TCD capacity plant at Sugar Unit-III, Bhimadole. The company produces 30 KL per day of industrial alcohol from molasses. industrial alcohol is raw material for the ethanol (absolute alcohol), acetic acid, acetic anhydride and ethyl acetate.

Chemicals- The company’s inorganic chemical plant located at Kovvur and Saggonda manufactures chlor-alkali products such as caustic soda, chlorine, sulphuric acid and other allied chemicals. These products have applications in area of paper, aluminium, soaps and detergents, paints and host of other industries. The company has production capacity 400 TPD of caustic soda.

While producing these chemicals, it generates by-products which are capable of producing chemicals like hydro chloric acid and sulphur trioxide. hydro chloric acid is used in producing chlorosulphonic acid.

Power- The company has forayed into power generation through investing in equity capital of Andhra Pradesh Gas Power Corporation (APGPCL). Currently it produces 7 MW co-gen power generated at Sugar Unit II, 70 Ton Boiler, 8.9 MW Turbine at Sugar Unit I and 2.025 MW Wind Power at Ramagiri.

Subsidiaries

Andhra Farm Chemicals Corporation manufactures Hydrazine Hydrate. This chemical has applications in drug intermediates and thermal power stations. Based at Kovvur, the company is largest manufacturer of Hydrazine Hydrate (300 TPA) in India.

JOCIL is engaged in producing fatty acids, glycerine and soaps with manufacturing capacity of 67,500 TPA, 1,800 TPA and 25,000 TPA respectively. Based at Dokiparru, the company also has captive power plant with 6 MV capacity.

Outlook

The company is planning to set up a 120 MW coal-based power plant at Saggonda.

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

Callback