1. Is Reliance Naval and Engineering Ltd a good quality company?
Past 10 year’s financial track record analysis by Moneyworks4me indicates that Reliance Naval and Engineering Ltd is a below average quality company.
2. Is Reliance Naval and Engineering Ltd undervalued or overvalued?
The key valuation ratios of Reliance Naval and Engineering Ltd's currently when compared to its past seem to suggest it is in the Undervalued zone.
3. Is Reliance Naval and Engineering Ltd a good buy now?
The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Reliance Naval and Engineering 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.
Value Creation ⓘ
Value Creation Index Colour Code Guide ⓘ
|ROCE % ⓘ||3.3%||4.5%||5.2%||6.2%||0.1%||-2%||-1.4%||-3.5%||-64.2%||-144.6%||-|
|Value Creation Index ⓘ||-0.8||-0.7||-0.6||-0.6||-1.0||-1.1||-1.1||-1.3||NA||NA||-|
Growth Parameters ⓘ
Growth Parameters Colour Code Guide ⓘ
|YoY Gr. Rt. %||-||117.1%||38.5%||-11.9%||-63.5%||-63.2%||69.4%||-35.4%||-46.3%||-58.1%||-|
|Adj EPS ⓘ||0.4||0.2||0.4||1.6||-4.3||-6.9||-7.3||-11.4||-58.9||-21.2||-28.3|
|YoY Gr. Rt. %||-||-45.5%||75%||273.8%||-370.7%||NA||NA||NA||NA||NA||-|
|BVPS (₹) ⓘ||25.2||28.1||29.2||31.7||30.2||23||15.9||3||-139.1||-161.1||-221.6|
|Adj Net Profit ⓘ||29.1||16.6||29.3||115||-313||-510||-533||-839||-4,346||-1,563||-2,087|
|Cash Flow from Ops. ⓘ||-500||-623||610||942||448||-610||-335||-245||-258||-1,253||-|
|Debt/CF from Ops. ⓘ||-4||-4.8||7.9||5.5||14.1||-12.6||-26.1||-40.3||-42.2||-9.7||-|
CAGR Colour Code Guide ⓘ
|9 Years||5 Years||3 Years||1 Years|
|Adj EPS ⓘ||-253.8%||NA||NA||NA|
Key Financial Parameters ⓘ
Performance Ratio Colour Code Guide ⓘ
|Return on Equity % ⓘ||1.7||0.9||1.5||5.2||-13.7||-26.1||-37.2||-120.4||86.6||14.1||14.8|
|Op. Profit Mgn % ⓘ||14.3||22.1||20.7||32.8||12.8||-56.8||-2.4||-141.8||-67.3||-232.2||-431.1|
|Net Profit Mgn % ⓘ||3.4||0.9||1.1||5.1||-37.7||-166.7||-102.8||-250.4||-2414.4||-2070.6||-33016.5|
|Debt to Equity ⓘ||1.2||1.6||2.3||2.2||2.9||4.5||7.5||44.3||-1.1||-1||-|
|Working Cap Days ⓘ||455||414||379||480||1,016||1,717||1,204||1,982||3,567||10,215||2,61,310|
|Cash Conv. Cycle ⓘ||46||93||91||141||285||415||349||683||1,033||2,103||0|
Return on Equity has increased versus last 3 years average to 14.80%
Sales growth has been subdued in last 3 years -47.40%
Sales growth is not so good in last 4 quarters at -55.98%
|TTM EPS (₹)||-28.3||-26.8|
|TTM Sales (₹ Cr.)||6.3||51.1|
|BVPS (₹.) ⓘ||-221.6||0|
|Reserves (₹ Cr.) ⓘ||-17,085||-13,501|
|From the Market|
|52 Week Low / High (₹)||1.65 / 4.13|
|All Time Low / High (₹)||0.70 / 119.95|
|Market Cap (₹ Cr.)||122|
|Equity (₹ Cr.)||737.6|
|Face Value (₹)||10|
|Industry PE ⓘ||3.8|
Pipavav Shipyard, now known as Pipavav Defence and Offshore Engineering company was originally incorporated as Pipavav Ship Dismantling and Engineering Limited on October 17, 1997 under the Companies Act, 1956, as amended. Pursuant to a special resolution of the shareholders of the Company at an extraordinary general meeting held on April 19, 2005, the name of the Company was changed to Pipavav Shipyard Limited. The fresh certificate of incorporation to reflect the new name was issued on April 29, 2005 by the Registrar of Companies, Gujarat, Dadra and Nagar Haveli, located at Ahmedabad.
The Pipavav Shipyard was originally promoted by SKIL and Grevek Investments, which hold in the aggregate shareholding interests of approximately 23.09%, these original promoters have been joined by Punj Lloyd through its acquisition of 129,361,538 Equity Shares of the Company, representing an equity interest of approximately 22.29%.
The Pipavav Shipyard enjoys strategic locational advantages and favourable marine conditions and is located adjacent to the Pipavav Port, a modern seaport which was promoted and constructed by GPPL, which originally was a subsidiary of SKIL that was jointly promoted by SKIL and GMB. The Pipavav Port is now owned, operated and managed by the A.P. Moller Group of Denmark following its acquisition of GPPL. The Pipavav Port has connecting rail and road links, including a 273 km railway completed in 2003 (the â€˜Pipavav Railwayâ€™) and a link road completed in 2001 (the â€˜Pipavav Link Roadâ€™).
Business area of the company:
The Pipavav Shipyard Company was originally planned and developed as a ship-dismantling facility, in order to meet anticipated demand arising from International Maritime Organization (IMO) regulations that were expected to be implemented in 2002 and which would have resulted in an increased rate of retirement of older tankers by shipowners. When implementation of the IMO regulations was deferred, it decided to convert the ship-dismantling facility then under construction into a shipyard in order to meet expected increase in demand for new vessels. Most of the existing infrastructure from the ship-dismantling facility, including two wet docks of approximately 680 meters in length and 60-65 meters in width, is being incorporated into the construction of the Pipavav Shipyard.
The company is currently completing the construction of the Pipavav Shipyard, located on the west coast of India adjacent to major sea lanes between the Persian Gulf and Asia. Upon completion of construction, the Pipavav Shipyard will be capable of ship construction and repairs for a range of vessels of different sizes and types, including naval vessels and coast guard vessels, as well as the fabrication and construction of products such as offshore platforms, rigs, jackets and vessels (but excluding sub-sea pipelines) for oil and gas companies, which it intend to offer in its Offshore Business (â€œOffshore Business Productsâ€).
Commercial operations at the Pipavav Shipyard commenced on April 1, 2009. The company is currently constructing vessels while simultaneously completing construction of the offshore yard and installation of two Goliath cranes at the Pipavav Shipyard. The remaining construction of the Pipavav Shipyard (excluding the offshore yard) is expected to be completed in October 2009. The company has also commenced construction of four vessels, the first of which it expect to deliver in April 2010, with subsequent deliveries expected to occur at intervals ranging from one to three months thereafter.