Investment Shastra

Company Shastra: Pratibha Industries Ltd.

Pratibha Industries has established a strong presence in the niche water management(infrastructure) segment, undertaking design, construction, operation and maintenance of large-scale water supply projects. The company has also diversified into other infrastructure segments like bridges, airports, roads etc.

This strong presence has helped the company clock robust growth rates over the last 10 years.  But, the company’s high debt position, high interest outflow and large working capital requirement is a cause for concern. The company’s debt has almost doubled over the last one and a half year from Rs. 235 Cr. in FY 09 to Rs. 509 Cr.(unaudited) as of September 2010.

So, with the debt running high, will the company flow steadily in future?





  • @sanjaysoni_k9 Hi. You're right. It can be in Fixed Income products. For simplicity sake assumed just 12% return and booked annually.
  • @hemanthd1981 Hi. Thanks. I thought of simplifying. Hence avoided brokerage/tax/asset class.