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Ester Industries Ltd Stock Analysis

Small Cap
Evaluated by 558 users | BSE: 500136 | NSE: ESTER |
Plastic Products
Ester Industries Limited was incorporated in India in 1985. It is a widely held limited liability company. The main business activities are production and marketing of versatile ranges of polyester films and engineering plastics.The main business activities of the company are production and...

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 37.75%1.66%2.37%5.94%5.19%5.19%2%4.78%9.71%20.5%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 6727008869288967717038071,0281,039
Y-o-Y Gr. Rt.-4.2%26.7%4.8%-3.5%-14%-8.8%14.8%27.4%1%
Adjusted EPS (Rs.) 20.62-2.59-0.921.390.680.63-1.410.623.8411.79
Y-o-Y Gr. Rt.--112.6%NANA-51.1%-7.4%-323.8%NA519.4%207%
Book Value per Share (Rs.) 43.3241.1140.2741.1641.9334.5733.233.9737.748.94
Adjusted Net Profit 130-16.3-5.88.74.35.2-11.75.23298.4
Net Op. Cash Flow (Rs. Cr.) 8347.422.652.167.781.449.650.9117176
Debt to Cash Flow from Ops 2.75.5412.855.84.833.456.266.042.120.89
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.
Ester Industries Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 5%3%13.9%1%
Adjusted EPS -6%76.9%NA207%
Book Value per Share 1.43.113.829.8
Share Price 21.6% 16% 18.9% 312.5%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 56.82-6.02-2.213.341.61.85-4.111.8510.7127.23
Operating Profit Margin (%) 33.315.075.088.378.059.336.18.2310.6618.4
Net Profit Margin (%) 19.31-2.33-0.650.940.480.68-1.670.643.119.47
Debt to Equity 0.821.011.151.171.250.971.121.080.790.38
Working Capital Days 89117949710512012512210198
Cash Conversion Cycle 568272788394101967972
Entity Percentage Holding
Promoters 64.04%
Institutions 1.75%
Non-Institutions 34.20%
Pledged *10.1410.1410.1410.1410.1410.1410.149.769.369.36
* Pledged shares as % of Promoter's holding (%)
Data is not available for this company.

The 5-year analysis of Ester Industries Ltd's performance infers:

Ester Industries Ltd earnings have grown by 76.9%, whereas share price has appreciated 16% 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 Ester Industries Ltd share prices over the last 10 years. Here is what we found out:

Ester Industries Ltd share price has appreciated 9.5% annually over the past ten years.

Ester Industries Limited was incorporated in India in 1985. It is a widely held limited liability company. The main business activities are production and marketing of versatile ranges of polyester films and engineering plastics.

The main business activities of the company are production and marketing of versatile ranges of polyester films and engineering plastics. In its integrated manufacturing facilities Ester produces polyester resins of various types, having different physical and

Ester Industries Limited was incorporated in India in 1985. It is a widely held limited liability company. The main business activities are production and marketing of versatile ranges of polyester films and engineering plastics.

The main business activities of the company are production and marketing of versatile ranges of polyester films and engineering plastics. In its integrated manufacturing facilities Ester produces polyester resins of various types, having different physical and chemical properties. These resins are also captively used by Ester for manufacturing polyester films and engineering plastics.

Its premium quality products are backed by inbuilt statistical and analytical technique based processes and a strong research & development oriented system. Continuous upgradation of technology, customer focused marketing and technical services, are the company's other inherent strengths.

Ester produces a range of Bi-axially Oriented Polyester Films on two state-of-the-art production lines. UMAPet films have high tensile & dielectric strength, good chemical & thermal stability & excellent optical and electrical properties as well as processability at the users' end. The entire process of film production, including slitting & packing is performed in a dust free & clean environment. UMAPet is available in a wide variety suitable for a number of applications.

Estoplast engineering plastic is a range of high performance thermoplastic resins. This covers crystalline, amorphous and specialty polymers like polyesters, polyamides, polycarbonates. Estoplast is popular among our customers due to the suitable and consistent quality, wide and effective distribution reach & prompt technical assistance. Ester caters to specific applications and customer requirements. Estoplast is tailor made for this purpose. Estoplast range of products is supported by a dynamic team, which provides assistance in selection of the most suitable formulations for specific applications.

In 2010 the company announced setting up of a Polyester Film Line of 30,000 MTPA capacity at an estimated capital expenditure of Rs. 175 Crores.
Installation of Continuous Polymerization (CP) plant & Additional Metalizing unit.
In 2011 the Company has been listed in National Stock Exchange of India Ltd.

The product find its application in wide range of areas, that includes

  • Electrical, Electronics & Lighting- Coil formers, Relays, MCBs, ELCBs, Connectors, Contact Blocks, Bobbins, Fuse Holders, Carbon Brush Holders, Capacitor Boxes, Fans for Electronic Equipments, CFL Holders, Adaptors, Sockets, Lighting Fixtures, Modular Switches, Energy Meter Hosing & thermal blocks etc.
  • Consumer Durables- Housings for Electric Irons, Toasters, Electric Kettles, Infrared Lamps, Roti Makers, Hair Dryer Components, Oven Door Handles, Knobs, Panels, etc.
  • Telecommunication & Engineering- Optical Fibre Sheathing, Textile Machinery parts, Timer Pulleys. Industrial and Centrifugal pump parts. Cable termination box Modules, connectors, etc.
  • Automotive- Air Intake Grills, Windscreen Wiper Holders/Supports, Head Lamp Reflectors, Ignition Coil Tops, Air Filter Housings, Exterior Mirror Housings, Spoilers, Door Handles/Door Lock Surroundings, Carburettor Components, Ignition System Electronics' parts, Spark Plug Connectors, etc.

Product range of the company includes:

  • UmaPET Polyester Films-Plain films include- Packaging Films, Direct Emboss able Film, Golden Film, Anti Static Film, Clear & Ultra Clear Films, Heat Sealable Films, Industrial Film, High Performance Films (Retort / Hot Fill), Lidding Film, Matte Film, Function Film (High Friction), White Opaque Films, Yarn Grade Film.
  • Metallized films include- Packaging Films (Normal Barrier Metallized), Packaging Films (High Barrier Metallized), Emboss able Metallized Film, Golden Metallized Film, Isotropic Metallized Film, High Gloss Metallized Films, Industrial Film (Metallized), High Performance Metallized Film, Matte Metallized Film.
  • Estoplast–EP Thermoplastic Polyester, XU Polyamide -6/Polyamide-66ZK and Polycarbonate.

The products of the company are approved by :

  • Research Design & Standards Organization (The Indian Railways).
  • Deptt. Of Telecommunication, Govt. of India, for OFC.
  • Deptt. Of Telecommunication, Govt. of India, for Modules.
  • Underwriters Laboratrories, USA for VO rating as per UL 94.
  • Delphi Automotive Systems.
  • All OFC manufacturers, Countrywide- Sterlite, Birla Ericsson, AKSH Fiber Optics etc. and many more.
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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