Flair Writing Industries Ltd - Stock Valuation and Financial Performance

BSE: 544030 | NSE: FLAIR | Printing & Stationery | Small Cap

Flair Writing Indu. Share Price

289.25 -5.40 -1.83%
as on 12-Apr'24 10:20

DeciZen - make an informed investing decision on Flair Writing Indu.

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Semi Strong

Flair Writing Industries stock performance -

mw4me loader
P/E Ratio (SA):
27.39
Market Cap:
3,057 Cr.
52-wk low:
247
52-wk high:
514

Is Flair Writing Industries Ltd an attractive stock to invest in?

1. Is Flair Writing Industries Ltd a good quality company?

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

2. Is Flair Writing Industries Ltd undervalued or overvalued?

The key valuation ratios of Flair Writing Industries Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Flair Writing Industries Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Flair Writing Industries 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 Flair Writing Indu.:

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.
Flair Writing Industries 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'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 22.6%27.3%27.4%15.3%26.5%20.8%11.5%2%14.7%24.8%-
Value Creation
Index
0.61.01.00.10.90.5-0.2-0.90.10.8-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 268338383148505613581289554904904
Sales YoY Gr.-26.2%13.3%-61.3%240.7%21.5%-5.2%-50.2%91.5%63.2%-
Adj EPS 12.317.722.7154.4285.627.916.30.223.11210.6
YoY Gr.-43.9%28%580%84.9%-90.3%-41.4%-98.7%10890.5%-47.9%-
BVPS (₹) 13.530.152.8124.3866.195110.9111.2134.445.6111.2
Adj Net
Profit
27.941.252.724.749.96538.10.553.9112112
Cash Flow from Ops. 29.334.245.617.845.335.777.170.42378.8-
Debt/CF from Ops. 4.23.92.66.73.95.72.21.75.11.2-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 14.5%12.4%15.9%63.2%
Adj EPS -0.3%-46.9%-9.7%-47.9%
BVPS14.5%-44.5%-25.6%-66.1%
Share Price - - - -

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
918254.834.757.534.615.90.218.830.413.5
Op. Profit
Mgn %
17.420.522.417.218.819.316.17.816.81919.7
Net Profit
Mgn %
10.412.213.816.79.910.66.60.29.712.412.4
Debt to
Equity
41.9161.20.90.70.50.40.2-
Working Cap
Days
014616335013218021338620815958
Cash Conv.
Cycle
072811596110414528215111036

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 15.86%

Return on Equity has declined versus last 3 years average to 13.50%

Net Profit has been subdued in last 3 years -9.71%

Sales growth is not so good in last 4 quarters at -1.34%

Latest Financials - Flair Writing Industries Ltd.

Standalone Consolidated
TTM EPS (₹) 10.6 11.2
TTM Sales (₹ Cr.) 904 943
BVPS (₹.) 111.2 111.9
Reserves (₹ Cr.) 1,119 1,127
P/BV 2.61 2.59
PE 27.39 25.86
From the Market
52 Week Low / High (₹) 247.00 / 514.00
All Time Low / High (₹) 247.00 / 514.00
Market Cap (₹ Cr.) 3,057
Equity (₹ Cr.) 52.7
Face Value (₹) 5
Industry PE 55.9

Management X-Ray of Flair Writing Indu.:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Flair Writing Indu.

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales268338383148505613581289554904
Operating Expenses 221268297123410495487267461733
Manufacturing Costs19253310394346254363
Material Costs15418720075261320303163296495
Employee Cost 293440257487955785112
Other Costs 20222412354444223662
Operating Profit 4669862595118942393171
Operating Profit Margin (%) 17.4%20.5%22.4%17.2%18.8%19.3%16.1%7.8%16.8%18.9%
Other Income 14623755121114
Interest 10111161719161199
Depreciation 68105151823222324
Exceptional Items 0000000000
Profit Before Tax 32547038698660272151
Tax 413171319212211840
Profit After Tax 28415325506538054112
PAT Margin (%) 10.4%12.2%13.8%16.7%9.9%10.6%6.6%0.2%9.7%12.3%
Adjusted EPS (₹)12.317.722.7154.4286.127.916.30.223.112.0
Dividend Payout Ratio (%)0%0%0%0%0%0%0%0%0%0%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 317012220151222259260314426
Share Capital 333002323232347
Reserves 286712020151199236236290379
Minority Interest0000000000
Debt12313311611817319615911511193
Long Term Debt0054981221141047035
Short Term Debt123133111114757445114159
Trade Payables29363628556359384753
Others Liabilities 14222629404562556762
Total Liabilities 197261301194419525539467539634

Fixed Assets

Gross Block9212515491166226264266288329
Accumulated Depreciation233344523446988107129
Net Fixed Assets699211186144182195178181200
CWIP 101202830002
Investments 10000001604
Inventories3552633888129149128179186
Trade Receivables57697930115161164110141162
Cash Equivalents 1026123101
Others Assets24354732634828343880
Total Assets 197261301194419525539467539634

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 29344618453677702379
PBT 32547038698660272151
Adjustment 151921-12323639273032
Changes in Working Capital -11-25-25-2-31-69-842-69-62
Tax Paid -7-14-20-6-24-17-130-10-42
Cash Flow From Investing Activity -22-34-17-21-51-52-22-16-8-46
Capex -23-36-17-21-51-52-22-3-26-45
Net Investments 0100000-16170
Others 111000031-1
Cash Flow From Financing Activity -7-1-288017-54-57-15-32
Net Proceeds from Shares 00004000000
Net Proceeds from Borrowing 0051-1400000
Interest Paid -10-11-11-6-17-18-14-10-8-9
Dividend Paid 0000000000
Others 310-2214-835-40-47-7-24
Net Cash Flow 1-115-611-300
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)91.0381.9954.8134.7158.3934.8615.860.1918.830.18
ROCE (%)27.1136.4336.5723.2136.8727.917.753.1619.7733.55
Asset Turnover Ratio1.371.491.370.611.651.31.090.571.11.54
PAT to CFO Conversion(x)1.040.830.870.720.90.552.03N/A0.430.71
Working Capital Days
Receivable Days78687013352821021738361
Inventory Days47465412245658717510174
Payable Days6864661555867731085337

Flair Writing Industries Ltd Stock News

Flair Writing Industries Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Flair Writing Indu. on 12-Apr-2024 10:20 is ₹289.2.
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 12-Apr-2024 10:20 the market cap of Flair Writing Indu. stood at ₹3,057.
The latest P/E ratio of Flair Writing Indu. as of 12-Apr-2024 10:20 is 27.39.
The latest P/B ratio of Flair Writing Indu. as of 12-Apr-2024 10:20 is 2.61.
The 52-week high of Flair Writing Indu. is ₹514.0 and the 52-week low is ₹247.0.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Flair Writing Indu. is ₹903.9 ( Cr.) .

About Flair Writing Industries Ltd

Flair Writing Industries is among the top three players in the overall writing instruments industry and occupy a decent market share in the overall writing and creative instruments industry in India. The company is also among the top two organized players which have seen faster growth in revenue as compared to overall writing and creative instrument industry growth rate. The company’s flagship brand “Flair” has enjoyed a market presence of many years. It has an extensive range of products across various price points and cater to a broad range of consumers, including students, professionals and offices. It manufactures and distributes writing instruments including pens, stationery products and calculators. Leveraging on its manufacturing capabilities, and its existing customer base in the writing and creative instruments business, it has also diversified into manufacturing houseware products and steel bottles.

Business area of the company

The company manufactures and distributes several brands in India and due to its ability to manufacture quality products and its distribution and retail capabilities, it is able to partner with various international brands in the writing instruments industry. The company’s products are sold under its “Flair” brand, its principal brands “Hauser” and “Pierre Cardin” and it has also introduced “ZOOX” in India. Its brands “Flair” and “Hauser” offer mass-market and premium pen and stationery products, its brand “ZOOX” focusses on mid-premium and premium writing instruments, and its “Pierre Cardin” brand offers premium pen and stationery products. It also contracts manufacture writing instruments as an OEM for export and for sale in India. It also provides customized corporate gifting products to its corporate customers.

The company’s product range includes a variety of pens (ball pens, fountain pens, gel pens, roller pens and metal pens), which is its largest category in terms of number of products offered, stationery products (mechanical pencils, highlighters, correction pens, markers, gel crayons and kids’ stationery kits) and calculators. It has also forayed into manufacturing a wide range of houseware products including casseroles, bottles, storage containers, serving solutions, cleaning solutions and basket and paper bins, through one of its Subsidiaries, FWEPL (Flair Writing Equipments Private Limited). It intends to utilize a portion of the proceeds from the Offer for funding capital expenditure of FWEPL for purchase of machinery and moulds to expand its manufacturing capacity for writing instruments.

Key Awards, Accreditations and Recognitions

  • 1985-1986: Export Award to NPPI in the category for fountain pens, ball point pens, sign pens, fibre tip pens etc. from the PLEX Council
  • 1986-1987: Export Award to NPPI in the category for fountain pens, ball point pens, sign pens, fibre tip pens etc. from the PLEX Council
  • 1987-1988: Export Award to NPPI in the category for fountain pens, ball point pens and refills from the PLEX Council
  • 1988-1989: Export Award to NPPI in the category for fountain pens, ball point pens and refills from the PLEX Council
  • 1989-1990: Export Award to NPPI in the category for fountain pens, ball point pens and refills from the PLEX Council
  • 1990-1991: Export Award to NPPI in the category for fountain pens, ball point pens and refills from the Plastics and Linoleum Export Promotion Council (“PLEX Council”)
  • 1997-1998: Best Exporter Award to NPPI from the WIMO
  • 1998-1999: Award for the No. 3 Exporter to NPPI from the WIMO
  • 2000-2001: Award for the Best Export Performance to NPPI in the category for plastic and linoleum products (SSI) from the Industries, Energy and Labour Department, Government of Maharashtra
  • 2001-2002: Award for the Third Top Exporter to NPPI from the WIMO
  • 2002-2003: Award for No. 2 Exporter to NPPI from the WIMO
  • 2004-2005: Award for Second Best Exporter to NPPI in the category for all kinds of parts/components for writing instruments from the PEPC 
  • 2004-2005: Award for Second Best Exporter to NPPI in the category for writing instruments from the PEPC 
  • 2004-2005: Award for No. 2 Exporter to NPPI from the BFPMTA
  • 2005-2006: Award for Second Best Exporter to NPPI in the category for writing instruments from the PEPC
  • 2005-2006: Award for No. 2 Exporter to NPPI from the BFPMTA
  • 2005-2006: Award for No. 3 Exporter to NPPI from the WIMO
  • 2006-2007: First Award for the Best Export Performance to NPPI in the category for plastic and linoleum products (SSI) from the Industries Department, Directorate of Industries, Government of Maharashtra
  • 2006-2007: Award for No. 2 Exporter to NPPI from the BFPMTA
  • 2007-2008: Award for No. 3 Exporter to NPPI from the BFPMTA
  • 2007-2008: Appreciation Memento for Admirable Export to Flair Impex Corporation from the BFPMTA 
  • 2007-2008: Award for No. 1 Exporter to the Flair Group of Companies from the WIMO
  • 2008-2009 Award for No. 1 Exporter to the Flair Group of Companies from the BFPMTA
  • 2009-2010 Award for No. 1 Exporter to the Flair Group of Companies from the BFPMTA
  • 2010-2011 Award for No. 1 Exporter to the Flair Group of Companies from the BFPMTA
  • 2011-2012 Award for No. 2 Exporter to the Flair Group of Companies from the BFPMTA
  • 2012-2013 Award for No. 2 Exporter to the Flair Group of Companies from the BFPMTA
  • 2013-2014: Award for No. 1 Exporter to the Flair Group of Companies from the WIMO
  • 2013-2014: Award for No. 2 Exporter to the Flair Group of Companies from the BFPMTA
  • 2014-2015: Award for No. 1 Exporter to the Flair Group of Companies from the WIMO
  • 2014-2015: Export Excellence Award for No. 1 Exporter to the Flair Group of Companies from the BFPMTA
  • 2014-2015: Most Valuable Brand 2014 award in the category of Gems, Jewellery and accessories from WCRC
  • 2015-2016: Export Excellence Award for No. 1 Exporter to FPPIPL from the BFPMTA
  • 2015-2016: Export Award (First) to FPPIPL from the PEPC in the category for writing instruments
  • 2015-2016: Award for No. 1 Exporter to the Flair Group of Companies from the WIMO
  • 2016-2017: Export Award (First) to FPPIPL from the PEPC in the category for writing instruments
  • 2016-2017: Award for No. 1 Exporter to the Flair Group of Companies from WIMO
  • 2016-2017: Export Excellence Award to the Flair Group of Companies for being No. 1 Exporter from the PSAI
  • 2017-2018: Award for participation at the 25th India Big7 International Trade Fair
  • 2017-2018: Award for Second Best Exporter to the Company from the PEPC in the category for writing instruments (excluding parts)
  • 2017-2018: Export Excellence Award to the Company for being No. 1 Exporter from the PSAI
  • 2018-2019: Export Award to the Company from the PEPC in the category for writing instruments (excluding parts)
  • 2018-2019: Top Exporters Award to the Company for Outstanding Export from the PSAI
  • 2019-20: Top Exporters Award to the Company for being No. 2 Exporter from the PSAI
  • 2019-20: Award for Top Exporter to the Company from the PEPC in the category for writing instruments (excluding parts)
  • 2020-21: Award for Top Exporter to the Company from the PEPC in the category for writing instruments (excluding parts) 
  • 2021-22: Top Exporters Award to the Company for being No. 3 Exporter from the PSAI
Major Events

  • 1976: “Flair” brand was registered as a trademark (word)
  • 1998: The company commenced production at one of its manufacturing units in Daman
  • 2005: The company’s manufacturing unit, Daman Unit-II, was set up in Daman
  • 2008: Introduced “Flair Calculators”
  • 2009: The company’s manufacturing plant, Dehradun Unit-I, was set up in Dehradun, Uttarakhand
  • 2011: The company’s manufacturing plant, Dehradun Unit-II, was set up in Dehradun, Uttarakhand
  • 2012: The company started offering “Pierre Cardin” writing products
  • 2014: NPPI acquired certain trademarks of the “Hauser” brand
  • 2015: The company’s manufacturing unit, Naigaon Unit-I, was set up in Naigaon, Maharashtra
  • 2016: The company was incorporated upon conversion of M/s. Flair Writing Instruments 
  • 2016: The company’s manufacturing unit, Daman Unit-IV, was set up in Daman
  • 2018: A scheme of arrangement under Section 230 to 232 of the Companies Act, 2013 was approved by the NCLT, Mumbai Bench, pursuant to which the Transferor Companies merged with and into the company
  • 2018: The company was converted into a public limited company
  • 2018: The company entered into a deed of assignment with Flair Pens Limited (a member of the Promoter Group and a Group Company) for the assignment of certain trademarks relating to the “Pierre Cardin” brand
  • 2018: The company’s manufacturing plant, Valsad Building-II, was set up in Valsad, Gujara
  • 2019: “FLAIR CREATIVE” brand was registered as a trademark (word)
  • 2019: “Flair Writing Equipments Private Limited” was incorporated as a subsidiary of the company
  • 2019: The company’s manufacturing plant, Valsad Building-III, was set up in Valsad, Gujarat
  • 2020: “HAUSER ARTZ” brand was registered as a trademark (word)
  • 2021: “Flair Creative” range of products was launched
  • 2022: “ZOOX” brand was registered as a trademark (word)
  • 2022: Acquired shares of “Flair Cyrosil Industries Private Limited” and it became one of its subsidiaries
  • 2022: The company’s manufacturing plant, Valsad Building-IV, was set up in Valsad, Gujarat
  • 2023: The overall installed capacity of writing instruments reached 2.02 billion pieces per annum which increased from 1.29 billion pieces in 2018
  • 2023: The company’s manufacturing plant, Daman Agarwal Unit, was set up in Daman, Dadra and Nagar Haveli and Daman and Diu
  • 2023: A scheme of arrangement under Section 230 to 232 of the Companies Act, 2013 was approved by the NCLT, Mumbai Bench, pursuant to which FDPL merged with the company 

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