Sangam (India) Ltd - Stock Valuation and Financial Performance

BSE: 514234 | NSE: SANGAMIND | Textile | Small Cap

Sangam India Share Price

437.65 -8.50 -1.91%
as on 04-Oct'24 16:01

DeciZen - make an informed investing decision on Sangam India

Overall Rating
Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Semi Strong

Sangam (India) stock performance -

mw4me loader
P/E Ratio (SA):
60.17
Market Cap:
2,205.3 Cr.
52-wk low:
274.5
52-wk high:
627.2

Is Sangam (India) Ltd an attractive stock to invest in?

1. Is Sangam (India) Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Sangam (India) Ltd is a average quality company.

2. Is Sangam (India) Ltd undervalued or overvalued?

The key valuation ratios of Sangam (India) Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Sangam (India) Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Sangam (India) 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 Sangam India:

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.
Sangam (India) 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'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
ROCE % 14.6%16.8%11.2%6%7.2%7.4%4.5%18.8%14.3%6.6%-
Value Creation
Index
0.00.2-0.2-0.6-0.5-0.5-0.70.30.0-0.5-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 1,4691,5041,5941,6381,8741,7831,3542,4382,7152,6482,668
Sales YoY Gr.-2.4%6%2.8%14.4%-4.8%-24.1%80.1%11.4%-2.5%-
Adj EPS 12.919.211.95.64.73.50.434.135.28.17.3
YoY Gr.-49.3%-38.1%-52.8%-17.3%-25.2%-87.6%7834.9%3.1%-76.9%-
BVPS (₹) 94.3111.4125.3130.8133.6135.3128.9159191.8196.2198.7
Adj Net
Profit
50.875.84722.218.313.71.914815840.837
Cash Flow from Ops. 13613914795.4174183132248193179-
Debt/CF from Ops. 4.64.74.88.34.13.54.52.44.25.6-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 6.8%7.2%25.1%-2.5%
Adj EPS -5%11.8%166.3%-76.9%
BVPS8.5%8%15%2.3%
Share Price 17.9% 64.3% 36.1% 22.2%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24TTM
Return on
Equity %
14.518.710.14.43.52.60.323.219.84.43.7
Op. Profit
Mgn %
14.215117.899.19.112.611.87.77.9
Net Profit
Mgn %
3.5531.410.80.16.15.81.51.4
Debt to
Equity
1.71.51.41.51.31.21.10.90.91-
Working Cap
Days
13815316117917017221714415217982
Cash Conv.
Cycle
951081111151041121479710412614

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 25.07%

Net Profit is growing at healthy rate in last 3 years 166.29%

Return on Equity has declined versus last 3 years average to 3.70%

Debt to equity has increased versus last 3 years average to 1.02

Sales growth is not so good in last 4 quarters at -0.17%

Latest Financials - Sangam (India) Ltd.

Standalone Consolidated
TTM EPS (₹) 7.3 8.4
TTM Sales (₹ Cr.) 2,668 2,644
BVPS (₹.) 198.7 198.7
Reserves (₹ Cr.) 948 948
P/BV 2.21 2.21
PE 60.17 52.10
From the Market
52 Week Low / High (₹) 274.45 / 627.20
All Time Low / High (₹) 3.44 / 627.20
Market Cap (₹ Cr.) 2,205
Equity (₹ Cr.) 50.3
Face Value (₹) 10
Industry PE 29.3

Management X-Ray of Sangam India:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Sangam India

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Sales1,4691,5041,5941,6381,8741,7831,3542,4382,7152,648
Operating Expenses 1,2601,2781,4181,5111,7111,6221,2302,1302,4142,445
Manufacturing Costs299320345393432425303479609562
Material Costs7897568478811,0179286911,2471,4101,494
Employee Cost 119140160174188190148201231247
Other Costs 53626663757988203164143
Operating Profit 209226176127162161123308302203
Operating Profit Margin (%) 14.2%15.0%11.0%7.8%8.7%9.0%9.1%12.6%11.1%7.7%
Other Income 11252425981071716
Interest 67646563676949485468
Depreciation 80767377808181707891
Exceptional Items 0000000-12-26-7
Profit Before Tax 7211063132420318416153
Tax 21338-1897-2432715
Profit After Tax 527755301613514113538
PAT Margin (%) 3.5%5.1%3.4%1.9%0.8%0.7%0.4%5.8%5.0%1.4%
Adjusted EPS (₹)13.119.513.97.74.03.41.232.529.97.6
Dividend Payout Ratio (%)15%10%14%13%25%30%81%6%7%26%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24

Equity and Liabilities

Shareholders Fund 372439494516527533560691864986
Share Capital 39393939393943434550
Reserves 332400454476487494516647819935
Minority Interest0000000000
Debt535583647717640601514545758952
Long Term Debt258281327344285242204181324561
Short Term Debt277302320372355359309364434391
Trade Payables7576102150164115116287224416
Others Liabilities 195194187201210198227299266302
Total Liabilities 1,1771,2921,4301,5831,5411,4471,4171,8222,1122,656

Fixed Assets

Gross Block1,2191,3167278498789279819971,1081,427
Accumulated Depreciation65673272149230311391395453507
Net Fixed Assets563585654699648616590602655919
CWIP 3141191210971217217
Investments 666666085750
Inventories265294360357354368372528510651
Trade Receivables252271258326364304294376352455
Cash Equivalents 445211410212828
Others Assets84118136184156130142215294335
Total Assets 1,1771,2921,4301,5831,5411,4471,4171,8222,1122,656

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Cash Flow From Operating Activity 13613914795174183132248193179
PBT 7211063132420318416153
Adjustment 139129121127141143132137145159
Changes in Working Capital -51-69-38-36-819-1-27-69-21
Tax Paid -24-321-7171-2-45-43-12
Cash Flow From Investing Activity -94-107-131-107-24-39-43-197-332-368
Capex -97-109-139-119-30-46-53-192-300-372
Net Investments 2000006-8-380
Others 12812684464
Cash Flow From Financing Activity -41-33-148-151-132-93-41146189
Net Proceeds from Shares 0000002004770
Net Proceeds from Borrowing -3074127-63-63-9-24143239
Interest Paid -67-63-64-62-66-67-51-48-53-68
Dividend Paid -7-9-9-10-5-4-4-4-9-10
Others 64331852-173-503618-42
Net Cash Flow 102-4-113-41170
PARTICULARSMar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24
Ratios
ROE (%)14.671911.756.0332.510.9822.5517.314.12
ROCE (%)14.5816.811.156.037.177.364.5218.7814.256.55
Asset Turnover Ratio1.321.251.21.091.21.190.951.511.381.11
PAT to CFO Conversion(x)2.621.812.673.1710.8814.0826.41.761.434.71
Working Capital Days
Receivable Days55625965676881504956
Inventory Days616673796974100677080
Payable Days34373852565561372616

Sangam (India) Ltd Stock News

Sangam (India) Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Sangam India on 04-Oct-2024 16:01 is ₹437.6.
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 04-Oct-2024 16:01 the market cap of Sangam India stood at ₹2,205.3.
The latest P/E ratio of Sangam India as of 04-Oct-2024 16:01 is 60.17.
The latest P/B ratio of Sangam India as of 04-Oct-2024 16:01 is 2.21.
The 52-week high of Sangam India is ₹627.2 and the 52-week low is ₹274.4.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Sangam India is ₹2,668 ( Cr.) .

About Sangam (India) Ltd

Established in 1984, Sangam India Ltd. is one of the foremost producers in PV dyed yarn, cotton and OE yarn and also ready to stitch fabric. The NSE & BSE listed company produces millions of meters of PV fabric and denim fabric annually. This magnitude of production is possible with a highly organized production base. The Group has also introduced a seamless garment manufacturing facility with many seamless knitting machines that have the capacity to produce multi million pieces per annum.

Sangam started with only eight weaving machines in 1984 and is now being recognized as a leading brand in the textile industry, with presence in many countries. Sangam Group celebrated many such milestones in its journey so far. Some of them include backward integration to spinning in 1995 with 17,280 spindles of PV Dyed Yarn and further increasing it to 11,520 spindles in 1998. In 2003, the company built a 10.0 MW coal based captive power plant by adding 35,232 spindles. In 2009, by installing 1.13 Lakh Spindles, 130 Weaving Machines, 12 Knitting Machines and Captive Thermal Power Plants of 6 & 15 MW.

The company's major expansion kick-started in 2014, as the group saw an increase in Denim capacity to 35 million meters p.a. Installation of state-of-the-art Seamless Garment Machines with a capacity of 3.6 lakhs pieces p.a. The next big step was venturing into the B2C market space with the launch of C9 Airwear, a casual wear & active wear apparel brand for women in 2015. C9 Airwear is available across 1000 multi brand outlets in India and all major digital retail portals such as Myntra, Amazon, Nykaa, Flipkart etc.

Presently, the company is well-positioned as one of the most vertically integrated textile players across the country. It is self-sufficient in all aspects owing to its presence across the national end-to-end textile value chain. With its rich experience, quality product offerings, and strong manufacturing expertise, the company has created a robust clientele. Its renowned client base include Banswara Syntex, Siyaram, BSL, Vimal, RSWM Limited, Arvind Limited, Trident Limited, Marks & Spencer, Reliance Trends, Zivame, Myntra, Lifestyle International, Benetton and Westside, among others.

Business area of the company

The company is engaged in manufacturing of cotton, synthetic blended yarns, open yarn, synthetic and denim fabric weaves, cotton knitted fabric seamless garment knitting, and fabric processing. It also offers a range of woven PV fabrics, for suiting and bottom wear. The Company’s flagship brands include Sangam Suiting and Sangam Denim.

Milestones

  • 1984: Sangam commenced operation with eight weaving machines.
  • 1995: The group commenced backward integration with 17,280 spindles of PV Dyed Yarn.
  • 1998: Further addition of 11,520 spindles was made to the spinning capacity.
  • 2003: The capacity was augmented by addition of 35,232 spindles & which led to adding a 10.0 MW coal based thermal power plant.
  • 2009: The company completed installation of 1.13 Lakh Spindles, 130 Weaving Machines, 12 Knitting Machines and Captive Thermal Power Plants of 6 & 15 MW.
  • 2014: The group saw an increase in Denim capacity to 32 million meters p.a. Installation of state of the art Seamless Garment Machines with capacity of 3.6 lakhs pieces p.a.
  • 2015: The company launched it's seamless wear brand- C9, One piece garments free of side seams, made of light, smooth and soft to touch fabrics.
  • 2021: Incorporated wholly owned Subsidiary Company namely ‘Sangarn Ventures’ (SVL) on December 03, 2021.
  • 2022: Granted approval under Production Linked Incentive (PLI) Scheme from Ministry of Textile, Government of India for manufacturing of textiles products in India.
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