Prakash Steelage Ltd - Stock Valuation and Financial Performance

BSE: 533239 | NSE: PRAKASHSTL | Steel & Iron Products | Small Cap

Prakash Steelage Share Price

8.84 -0.18 -2.00%
as on 12-Jul'24 16:01

DeciZen - make an informed investing decision on Prakash Steelage

Overall Rating
M-Cap below 500cr. High Risk from low Liquidity Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Semi Strong

Prakash Steelage stock performance -

mw4me loader
P/E Ratio (SA):
2.67
Market Cap:
154.7 Cr.
52-wk low:
4.3
52-wk high:
16.6

Is Prakash Steelage Ltd an attractive stock to invest in?

1. Is Prakash Steelage Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Prakash Steelage Ltd is a below average quality company.

2. Is Prakash Steelage Ltd undervalued or overvalued?

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

3. Is Prakash Steelage Ltd a good buy now?

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

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.
Prakash Steelage 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'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 10.4%8.9%-12.9%-26.4%-79.9%-23.4%-12.9%-68.1%-936.1%-26.3%-
Value Creation
Index
-0.3-0.4-1.9NANA-2.7-1.9-5.9-67.9-2.9-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 9441,07255514545.64332.524.546.295106
Sales YoY Gr.-13.6%-48.2%-73.9%-68.6%-5.8%-24.4%-24.7%88.9%105.5%-
Adj EPS 10.8-3.9-4.4-3.80.40.2112.10.33.3
YoY Gr.--22.8%-600%NANANA-55.8%415.8%1132.7%-97.4%-
BVPS (₹) 10.3116.3-2.3-16.1-15.3-15.3-12.4-3.1-2.90.4
Adj Net
Profit
17.713.7-68.3-76.3-677.53.217.12115.458
Cash Flow from Ops. -8.851.425-54.40.6-20.50.10.537.96.1-
Debt/CF from Ops. -29.94.88.1-4.6439.5-11.91751.1403.60.94.8-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales -22.5%15.8%43%105.5%
Adj EPS -12.3%NA17.7%-97.4%
BVPS-186.8%NANANA
Share Price -3.1% 102.4% 90.9% 97.8%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
10.37.4-45.2-219.341.5-2.7-1.2-7.1-155.5-10.4-272.4
Op. Profit
Mgn %
76.5-6.3-31.52.59.216.8-9.114.84.53.4
Net Profit
Mgn %
1.91.3-12.3-52.6-146.817.41070457.55.754.8
Debt to
Equity
1.51.31.8-6.1-0.9-0.9-0.9-0.9-0.6-0.60
Working Cap
Days
1842083769511,37434833732219811549
Cash Conv.
Cycle
107104170370-180-662-555-475-330-111-31

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 42.97%

Sales growth is good in last 4 quarters at 19.71%

Return on Equity is Poor

Latest Financials - Prakash Steelage Ltd.

Standalone Consolidated
TTM EPS (₹) 3.3 -5
TTM Sales (₹ Cr.) 106 565
BVPS (₹.) 0.4 0
Reserves (₹ Cr.) -10 93
P/BV 20.00 0.00
PE 2.67 0.00
From the Market
52 Week Low / High (₹) 4.25 / 16.63
All Time Low / High (₹) 0.19 / 24.29
Market Cap (₹ Cr.) 155
Equity (₹ Cr.) 17.5
Face Value (₹) 1
Industry PE 30.4

Management X-Ray of Prakash Steelage:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *27.6332.910.100.100.100.100.100.100.100.10
* Pledged shares as % of Promoter's holding (%)

Event Update

Login/Register to view analysis.

Analyst's Notes

Key Ratios of Prakash Steelage

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
Sales9441,072555145464333244695
Operating Expenses 8811,005590191454029274392
Manufacturing Costs182194233357
Material Costs831951562179372720202878
Employee Cost 101063222223
Other Costs 2322135384375
Operating Profit 6367-35-46134-242
Operating Profit Margin (%) 6.7%6.3%-6.3%-31.6%2.4%6.4%11.2%-9.2%7.9%2.6%
Other Income 412131932211402
Interest 35362911000030
Depreciation 81183322211
Exceptional Items 2-10-22-110-249-9-3471240
Profit Before Tax 2521-81-151-24814-1441633
Tax 9710-80-1-60-1
Profit After Tax 1714-81-152-241140511644
PAT Margin (%) 1.8%1.3%-14.7%-104.0%-527.0%32.0%-0.7%207.5%353.7%4.4%
Adjusted EPS (₹)1.00.8-4.7-8.7-13.80.80.02.99.30.2
Dividend Payout Ratio (%)11%6%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 180192111-41-282-268-268-218-54-50
Share Capital 18181818181818181818
Reserves 16217493-58-299-286-286-235-72-68
Minority Interest0000000000
Debt2582382032472432432431923429
Long Term Debt3948270000000
Short Term Debt2191901762472432432431923429
Trade Payables159317120107946851495252
Others Liabilities 41506317111012665
Total Liabilities 637797497330665338303736

Fixed Assets

Gross Block1191284034383232322727
Accumulated Depreciation35472121221921222121
Net Fixed Assets84811914161311966
CWIP 1156000000
Investments 0033333000
Inventories20526646198711102016
Trade Receivables279366299137231496410
Cash Equivalents 18942000111
Others Assets497412115015163473
Total Assets 637797497330665338303736

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity -95125-541-2000386
PBT 2432-58-151-24814-1441633
Adjustment 463213-61-184-47-1171
Changes in Working Capital -73-672103248-16-53-82
Tax Paid -5-7-10002000
Cash Flow From Investing Activity -9-145214200510-1
Capex -15-1042322005000
Net Investments 0000000000
Others 610218200000
Cash Flow From Financing Activity 23-58-7133-400-51-38-5
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 0000000000
Interest Paid -35-36-29-110000-30
Dividend Paid -2-2-10000000
Others 60-20-4244-400-51-34-5
Net Cash Flow 5-7-20000000
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)9.617.57-53.86N/AN/AN/AN/AN/AN/AN/A
ROCE (%)14.913.08-13.82N/AN/AN/AN/AN/AN/AN/A
Asset Turnover Ratio1.641.520.880.360.240.730.720.721.372.57
PAT to CFO Conversion(x)-0.533.64N/AN/AN/A-1.43N/A00.231.5
Working Capital Days
Receivable Days911082135376241561281113927
Inventory Days7579100801056310315611768
Payable Days64911422309861,0931,097933644242

Prakash Steelage Ltd Stock News

Prakash Steelage Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Prakash Steelage on 12-Jul-2024 16:01 is ₹8.84.
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-Jul-2024 16:01 the market cap of Prakash Steelage stood at ₹154.7.
The latest P/E ratio of Prakash Steelage as of 12-Jul-2024 16:01 is 2.67.
The latest P/B ratio of Prakash Steelage as of 12-Jul-2024 16:01 is 20.00.
The 52-week high of Prakash Steelage is ₹16.63 and the 52-week low is ₹4.25.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Prakash Steelage is ₹105.8 ( Cr.) .

About Prakash Steelage Ltd

Prakash Steelage Limited, a Prakash Group company was incorporated on May 9, 1991 under the Companies Act, 1956 as ‘Prakash Steelage Private Limited’ vide Certificate of Incorporation issued by the Registrar of Companies, Maharashtra, Mumbai The Company was later converted into a public company and the name was changed to ‘Prakash Steelage Limited’, pursuant to a shareholders resolution dated July 7, 1997 and received a Certificate of Change of Name on August 12, 1997. The promoters of the company are Mr. Prakash C. Kanugo and Mr. Ashok M. Seth.

Prakash Group was started in the year 1976 and has 30 years of track record of stability, trust & growth. From trading to manufacturing value added steel products, PSL has pre-eminent position in importation, stocking and supplying Flat and Long Stainless Steel segment in India.

The company first started off with trading activity i.e; trading in the stainless steel sheets, coils and plates. Subsequently it started its own manufacturing activity in the year 1996 by setting its first plant in the Union Territory of Dadra and Nagar Haveli with a capacity of 4000 MT per annum of welded stainless steel and seamless pipes & tubes. Considering the huge demand and future business potential it subsequently started its second unit at Umbergaon, Gujarat by setting a state of art manufacturing plant with the capacity of 8200 MT of welded stainless steel and seamless pipes & tubes in the year 2007. The company is amongst the premier and an established manufacturer of a wide range of SS pipes and tubes.

The company is a “Govt. Recognized Star Export House” exporting to several MNC’s into more than 40 countries across the Globe. Its products are exported to Countries round the globe. It  export its products to Countries like North America, South East Asia, Africa, Middle-East and Europe. It enjoys credible relationship with Aminco China LLC (China), A. Hadi (Saudi Arabia), Bronswerk Heat Transfer BV Nijkerk, (Netherlands), CT Co. (Egypt), Cunado (Spain), Gea process engg. SPA., Ssna, LLC (USA), S.A.S, (Norway), Serck Service Ltd. (Dubai) and STI Ltd., (UK).

Products

Prakash Steelage Ltd. specializes in meeting specific requirements of customers and offers complete solution for stainless steel welded & seamless pipes and tubes. The different products manufactured by the Company includes the following. The product varies depending on its type, shape and size.

  • S.S. Welded Tubes
  • S.S. Welded Pipes
  • S.S. Efw Pipes
  • S.S. Seamless Tubes
  • S.S. Seamless Pipes
  • Square
  • U Bend Tubing
  • S.S. Grades

Clientele:

The company’s top ten client base based on the sales value of the products supplied to them for the year ended March 31, 2010 are as follows:

  • BGR Energy Systems Limited
  • Bharat Heavy Electrical Ltd. Hyderabad
  • KBK Chemie Ltd.
  • Chandan Steel Ltd.
  • Kudos Chemie Ltd.
  • Mojj Engineering Systems Ltd.
  • Praj Industries Ltd.
  • Steelage Overseas Private Ltd.
  • Unitech Machine Ltd.
  • Top Honest INC.

Milestones:

  • 1991 - Incorporation of the Company
  • 1996 -  Started our first manufacturing unit at Silvassa with a capacity of 4000 MTPA
  • 1997 -  Converted into a public limited company
  • 2002 -  Awarded with ISO 9001 : 2000 for our unit at Silvassa
  • 2005 -  Recognized as Export house by the Government.
  • 2007 - Awarded with ISO 9001 : 2000 for our unit at Umbergaon
  • 2007 - Started our second ‘state of the art’ manufacturing facility at Umbergaon with a capacity of 8200 MTPA.
  • 2007 - Winner of Good housekeeping competition by Directorate of Industries safety & health, Government of Gujarat
  • 2008 - Certified as PED (Pressure Equipment Directive), AD – 2000 – Merkbatt W O EIL, Llyods & IBR Approved Company
  • 2008 - Awarded with TUV Certificate for our unit at Umbergaon by TUV Rheinland Industrie Service GmbH, Cologne, Germany
  • 2009 - Awarded with TUV Certificate for our unit at Silvassa by TUV Rheinland Industrie Service GmbH, Cologne, Germany
  • 2009 - Awarded with BS OHSAS 18001-2007 by RINA SpA, Genova, Italy
  • 2009 - Awarded with ISO-14001-2004 by RINA SpA, Genova, Italy
  • 2010 - Recognised as Star Export House by Government of India
  • 2010 - Vendor Approval from Kuwait National Petroleum Company (Kuwait)

Awards/ recognition

  • It is an ISO 9001-2008 certified Company, with a legacy of over 19 years of presence in the industry.
Read More Read Less
You have 2 views remaining as a Guest User. To get DeciZen Rating of 3,500+ Stocks based on their Quality, Valuation and Price Trend Login Now
© 2024 The Alchemists Ark Pvt. Ltd. All rights reserved. MoneyWorks4Me ® is a registered trademark of The Alchemists Ark Pvt.Ltd.