Create stable, long-term investment portfolio with strong, consistent stocks.
Start Research-backed Investing ...Now.
BSE: 0 | NSE: CMNL | Steel/Sponge Iron/Pig Iron | Small Cap
Past 10 year's financial track record analysis by Moneyworks4me indicates that Chaman Metallics Ltd is a average quality company.
The key valuation ratios of Chaman Metallics Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.
The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Chaman Metallics 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.
| Mar'20 | Mar'21 | Mar'22 | Mar'23 | TTM | |
|---|---|---|---|---|---|
| ROCE % ⓘ | 9.9% | 16.3% | 18% | 23.1% | - |
| Value Creation Index ⓘ | -0.3 | 0.2 | 0.3 | 0.7 | - |
Growth Parameters ⓘGrowth Parameters Colour Code Guide ⓘ | |||||
| Sales ⓘ | 58 | 141 | 185 | 228 | 228 |
| Sales YoY Gr. | - | 142.3% | 31.5% | 23.1% | - |
| Adj EPS ⓘ | 2.1 | 3.1 | 4.6 | 7.1 | 7.1 |
| YoY Gr. | - | 50.7% | 47.8% | 53.6% | - |
| BVPS (₹) ⓘ | 13.2 | 16.2 | 21.4 | 31.9 | 31.9 |
| Adj Net Profit ⓘ | 3.7 | 5.5 | 8.2 | 17.1 | 17 |
| Cash Flow from Ops. ⓘ | -6.5 | 8.1 | -5.9 | 12.4 | - |
| Debt/CF from Ops. ⓘ | -3.1 | 1.7 | -4.3 | 1.7 | - |
CAGR Colour Code Guide ⓘ
| 9 Years | 5 Years | 3 Years | 1 Years | |||||
|---|---|---|---|---|---|---|---|---|
| Sales ⓘ | NA | NA | 57.7% | 23.1% | ||||
| Adj EPS ⓘ | NA | NA | 50.7% | 53.6% | ||||
| BVPSⓘ | NA | NA | 34% | 48.6% | ||||
| Share Price | - | - | - | 99.6% | ||||
Performance Ratio Colour Code Guide ⓘ
| Mar'20 | Mar'21 | Mar'22 | Mar'23 | TTM | |
|---|---|---|---|---|---|
| Return on Equity % ⓘ | 15.7 | 21.2 | 24.5 | 29.7 | 22.2 |
| Op. Profit Mgn % ⓘ | 0 | 7.7 | 8.3 | 11.5 | NAN |
| Net Profit Mgn % ⓘ | 6.4 | 3.9 | 4.4 | 7.5 | 7.5 |
| Debt to Equity ⓘ | 0.8 | 0.5 | 0.7 | 0.3 | - |
| Working Cap Days ⓘ | 0 | 65 | 72 | 82 | 0 |
| Cash Conv. Cycle ⓘ | 0 | 23 | 32 | 31 | 0 |
Sales growth is growing at healthy rate in last 3 years 57.73%
Net Profit is growing at healthy rate in last 3 years 50.67%
Return on Equity has declined versus last 3 years average to 22.20%
Sales growth is not so good in last 4 quarters at 0.00%
| Standalone | Consolidated | |
|---|---|---|
| TTM EPS (₹) | 7.1 | - |
| TTM Sales (₹ Cr.) | 228 | - |
| BVPS (₹.) ⓘ | 31.9 | - |
| Reserves (₹ Cr.) ⓘ | 53 | - |
| P/BV ⓘ | 2.97 | - |
| PE ⓘ | 13.34 | - |
| From the Market | |
|---|---|
| 52 Week Low / High (₹) | 0.00 / 0.00 |
| All Time Low / High (₹) | - / - |
| Market Cap (₹ Cr.) | 228 |
| Equity (₹ Cr.) | 24.1 |
| Face Value (₹) | 10 |
| Industry PE ⓘ | 21.8 |
| Pledged * | 0.00 | 0.00 | 0.00 |
| PARTICULARS | Mar'20 | Mar'21 | Mar'22 | Mar'23 |
|---|---|---|---|---|
| Sales | 58 | 141 | 185 | 228 |
| Operating Expenses ⓘ | 58 | 130 | 170 | 202 |
| Manufacturing Costs | 6 | 7 | 9 | 11 |
| Material Costs | 49 | 119 | 154 | 176 |
| Employee Cost | 1 | 1 | 1 | 4 |
| Other Costs ⓘ | 2 | 3 | 5 | 11 |
| Operating Profit ⓘ | 0 | 11 | 15 | 26 |
| Operating Profit Margin (%) | 0.0% | 7.7% | 8.2% | 11.5% |
| Other Income ⓘ | 0 | 0 | 1 | 1 |
| Interest ⓘ | 1 | 2 | 2 | 2 |
| Depreciation ⓘ | 1 | 2 | 2 | 2 |
| Exceptional Items ⓘ | 0 | 0 | 0 | 0 |
| Profit Before Tax ⓘ | -2 | 7 | 12 | 23 |
| Tax ⓘ | -6 | 2 | 4 | 6 |
| Profit After Tax | 4 | 5 | 8 | 17 |
| PAT Margin (%) | 6.4% | 3.7% | 4.4% | 7.5% |
| Adjusted EPS (₹) | 2.1 | 2.9 | 4.6 | 7.1 |
| Dividend Payout Ratio (%) | 0% | 0% | 0% | 0% |
| PARTICULARS | Mar'20 | Mar'21 | Mar'22 | Mar'23 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
Equity and Liabilities | ||||||||||
| Shareholders Fund | 24 | 29 | 38 | 77 | ||||||
| Share Capital ⓘ | 8 | 8 | 8 | 24 | ||||||
| Reserves ⓘ | 16 | 21 | 30 | 53 | ||||||
| Minority Interest | 0 | 0 | 0 | 0 | ||||||
| Debt | 20 | 14 | 24 | 21 | ||||||
| Long Term Debt | 15 | 6 | 15 | 17 | ||||||
| Short Term Debt | 5 | 8 | 9 | 4 | ||||||
| Trade Payables | 9 | 12 | 5 | 11 | ||||||
| Others Liabilities ⓘ | 1 | 4 | 6 | 8 | ||||||
| Total Liabilities ⓘ | 52 | 59 | 74 | 116 | ||||||
Fixed Assets | ||||||||||
| Gross Block | 47 | 48 | 50 | 53 | ||||||
| Accumulated Depreciation | 21 | 22 | 24 | 26 | ||||||
| Net Fixed Assetsⓘ | 26 | 26 | 27 | 27 | ||||||
| CWIP ⓘ | 2 | 2 | 2 | 5 | ||||||
| Investmentsⓘ | 0 | 0 | 1 | 2 | ||||||
| Inventories | 16 | 16 | 18 | 15 | ||||||
| Trade Receivables | 3 | 5 | 12 | 11 | ||||||
| Cash Equivalents | 2 | 2 | 0 | 24 | ||||||
| Others Assetsⓘ | 2 | 8 | 13 | 33 | ||||||
| Total Assets ⓘ | 52 | 59 | 74 | 116 | ||||||
| PARTICULARS | Mar'20 | Mar'21 | Mar'22 | Mar'23 |
|---|---|---|---|---|
| Cash Flow From Operating Activity ⓘ | -6 | 8 | -6 | 12 |
| PBT ⓘ | -2 | 7 | 12 | 23 |
| Adjustment ⓘ | 2 | 3 | 3 | 5 |
| Changes in Working Capital ⓘ | -7 | -2 | -21 | -11 |
| Tax Paid ⓘ | 0 | 0 | -1 | -4 |
| Cash Flow From Investing Activity ⓘ | -6 | -1 | -3 | -6 |
| Capex | -5 | -1 | -3 | -6 |
| Net Investments | -1 | 0 | -1 | -1 |
| Others ⓘ | 0 | 0 | 0 | 1 |
| Cash Flow From Financing Activityⓘ | 13 | -8 | 9 | 16 |
| Net Proceeds from Shares ⓘ | 0 | 0 | 0 | 22 |
| Net Proceeds from Borrowing ⓘ | 9 | -9 | 9 | 3 |
| Interest Paid ⓘ | -1 | -2 | -2 | -2 |
| Dividend Paid ⓘ | 0 | 0 | 0 | 0 |
| Others ⓘ | 5 | 3 | 2 | -6 |
| Net Cash Flow ⓘ | 1 | -1 | 0 | 22 |
| PARTICULARS | Mar'20 | Mar'21 | Mar'22 | Mar'23 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Ratios | ||||||||||
| ROE (%) | 15.72 | 20.03 | 24.52 | 29.75 | ||||||
| ROCE (%) | -2.27 | 21.02 | 26.68 | 31.73 | ||||||
| Asset Turnover Ratio | 1.11 | 2.53 | 2.79 | 2.39 | ||||||
| PAT to CFO Conversion(x) | -1.5 | 1.6 | -0.75 | 0.71 | Working Capital Days | |||||
| Receivable Days | 17 | 9 | 16 | 18 | ||||||
| Inventory Days | 101 | 42 | 34 | 27 | ||||||
| Payable Days | 63 | 32 | 21 | 16 | ||||||
The company was originally incorporated as “Chaman Metallics Private Limited” on November 10, 2003 under the provisions of the Companies Act, 1956 with the Registrar of Companies, Maharashtra, Mumbai. Further with effect from March 12, 2007 the Registered office of the company has been changed from R-3, Yugdharam Complex,27, Central Bazar, Nagpur, Maharashtra to A-26, M.I.D.C, Tadali Growth Centre, Tadali, Chandpur, Maharashtra. Subsequently, pursuant to Special Resolution passed by the Shareholders at the Extra Ordinary General Meeting, held on February 22, 2008, the Company was converted into a Public Limited Company and the name of the Company was changed from “Chaman Metallics Private Limited” to “Chaman Metallics Limited” vide a fresh certificate of incorporation dated April 22, 2008, issued by the Registrar of Companies, Maharashtra, Mumbai.
Incorporated in 2003, the company is primarily engaged in the business of manufacturing and selling of Direct Reduced Iron (i.e. sponge iron). Sponge iron is mainly used as a raw material for making steel in electric arc furnaces and induction furnaces. Through its sponge iron business, the company caters to the metallic requirements of steel producers in selected geographies. The company was under the control of MSP Group from 2006 to 2019. In 2019, the company was acquired by Raipur-based GR Group which is in steel business since 1996. The company’s business operations are organized synergistically, and it derives benefits after its acquisition by GR Group, which operates in various segment of steel i.e. Ferro alloys, Sponge Iron, MS Ingots and re-rolled products. The company’s manufacturing unit is based at Chandrapur, Maharashtra and is spread across an area of around 63 acres of land. The strategic location of its sponge iron manufacturing facility aids its access to high-quality iron ore, iron ore pellets, coal and dolomite which are the major raw materials for sponge iron manufacturing. During the production of sponge iron, a solid waste is produced as a by-product called dolochar.
The company has been granted ISO 9001:2015 for quality management systems, ISO 14001:2015 for environmental management systems and ISO 45001:2018 for occupational health and safety management systems. The company’s manufacturing facility is equipped with requisite technology and infrastructure including machineries, testing laboratory other handling equipments to facilitate smooth manufacturing process. The key raw materials to produce sponge iron are iron ore/iron ore pellets, coal and dolomite. Sponge iron manufacturing is highly sensitive to raw material characteristics that would help obtain the rated capacity and the desired product quality. To ascertain the suitability of its raw materials in a rotary kiln, it has in-house testing laboratory that is responsible for conducting tests on raw materials i.e. coal, iron ore and dolomite to check their chemical and physical properties, so as to ensure that the product conform with the pre-determined standards.
Business area of the company
The company is primarily engaged in the business of manufacturing and selling of Direct Reduced Iron (i.e. sponge iron). Sponge iron is mainly used as a raw material for making steel in electric arc furnaces and induction furnaces.
Major events and milestones
2003: Incorporation of the Company as “Chaman Metallics Private Limited” under the Companies Act, 1956.
2005: Commencement of Commercial Production at Chandrapur factory unit.
2007: Change in Registered office of the Company from Nagpur, Maharashtra to Chandrapur, Maharashtra.
2008: Conversion of Company from Private Limited to Limited Company i.e. “Chaman Metallics Private Limited” to “Chaman Metallics Limited”.
2008: Purchase of land in Chandrapur District, within the limits of Grampanchayat, Yerur.
2019: Acquisition of “Chaman Metallics Limited” by current promoters and promoter group pursuant to Share Purchase Agreement dated March 14, 2019.
2019-20: Crossed Revenue of Rs 50 crore.
2020-21: Crossed Revenue of Rs 100 crore.
2021-22: Crossed Revenue of Rs 175 crore.
MoneyWorks4Me rating and ranking of funds for SIP is available to subscribers only. Moneyworks4Me is not a rating and ranking agency, however it is required that users have a way of selecting funds and building a Portfolio. The method used by it are described below to enable users to understand the logic behind the rating and ranking Subscriber will find more details on this in the various content made available from time to time. In case you need more please write to besafe@moneyworks4Me.com
MoneyWorks4Me rates and ranks mutual funds based on the following data-driven system:
Funds ranking in screeners: Performance Consistency and Quality are two parameters used for ranking funds for SIP. The ranking as follows GG, GO, GR, OG, OO, OR, RG, RO and RR.
With the same color-coded funds, the one with the higher Average 3-year rolling returns (over 5 to 10 years), the number that appears in the Performance tag, ranks higher.
Here is the summary:
The third tag Upside Potential is not relevant for SIP. It is relevant for lumpsum investments in Mutual Funds.
Buy quality Stocks when they are available at reasonable prices and supported by an upward price trend and Sell when they are Overvalued using the Decizen Rating System. Covers 3500+ stocks
Download APP
