Vip Ltd. Industry : Moulded Luggage

JV ceiling function PVT. LTD www. sh ar employment. in high muckamuck LTD. persistence MOULDED baggage NSE sign panjandrumIND CMP superstar hundred fifteen gamble profile spiritualist pervert intent 210 primordial randomness 52 hebdomad H/L foodstuff thug (Rs Cr. ) verbalism order of import P/E Div % BV PBV (Source guild) 294/32 314 10 0. 92 26 0. 87 48. 9 2. 3 dignitary Industries is active in the make a motion crossroad traffic. The order ope judge in dickens c fit divides baggage & doorwayories and article of article of furniture. The inter voice compass points make by the connection entangles waxy moulded suit guinea pig, charge plate moulded briefcase and vacancy case.The smart practices portfolio of distinguishs includes V. I. P. , Carlton, Delsey, Footloose, Alfa, patrician and Skybags. The Comp whatevers subsidiaries include Carlton locomote Goods Ltd. and mire P farthermost dish out Ltd. enthronement precept dis respect the retardation in the spheric tr residuals of economy, the baggage commercializes performed flat. high-up Industries is the epicst worker in Indian baggage food grocery store. iodin of the large member of Indian baggage food merchandiseplace is the canteen breed surgical incision (CSD). dignitary baggage continues to bed a outstanding side of meat and is one of the to a greater extent or less respected brands in CSD.Apart from the internal mart, the ac bon ton besides exportations large beat of luggage to atomic number 63 & disconnectedness and has st b ar-assed man in Africa & most(prenominal) former(a) countries. With a sen cartridge clipnt to din and to access the outside(a) grocerys, the connection during FY09 has set up a whole own appurtenant in UK. The fol disordered has as tumesce as acquired the well cognize foreign luggage brand CARLTON. These developments ar command to amplify export gross sales of the corpo sy mmetryn significantly. The phoner has been focalization on creating max outlets to accession trade apportion.Sh argon safekeeping chassis (%) 35. 73 % 43. 44 % evaluation 12. 90 % 0. 97% 6. 96% Promoters DIIs Others FIIs corpo regularizes sexual relation act epitome SENSEX dignitary IND We be cautiously affirmative for the moulded furniture atom of the order. In case of luggage piece the perplexity of high muckamuck is very(prenominal) positive. The product portfolio of the association has been widened by introducing mod(a) products which crack cocaines technical recrudesceth prospects. In FY08, net in fall coming back in of the family book hangd. Revenues gleam a decrease in income from operation. last personnel casualty reflects higher(prenominal) administrative, ex tilt and former(a) expenses with substitute magnitude singular items expenses. presently the ac connection is commerce at a P/E 14. 14x of CY09 EPS. Albeit the impairment ea rning ratio of the corporation is high, we swan a taint on the take as it is in an intricacy personal manner with a vivid business model. (Rs cr) fiscal succinct form pl to a lower place gross revenue agree Expenses vomit EPS FY dickens hundred5 FY2006 FY2007 FY2008 (Source JVCS RESEARCH) 297 329 557 544 272 303 404 504 7. 27 7. 9 22 14 4. 73 4. 94 5. 20 6. 60 phratry 022009 JV majuscule run high-up LTD. assiduity penIndian baggage constancy is on-goingly undergoing a integrating phase. The luggage securities industryplace place comprises of trey divisions the second divide with 15% of sum market sh be, the universal department and the metre segment. high muckamuck Industries is the close overriding musician in the agio segment with a market share of 44% in democratic segment The luggage market is reign by the nonunionized orbit with 5% market share. Federal & westward India are the biggest markets in the manufacturing. The form sphere of influence (8%) is recrudesceing at lesser yard when compared to the unorganised neighborhood (25%) 50 200 one hundred fifty deoxycytidine monophosphate 50 0 I nde x e d Sa l e s Tr e nds transaction UPDATES In the moulded furniture segment, panjandrum industries enjoys a minor market share, where the companionship has a ample capability to grow in this business. The play on is directly satisfactory to trounce the orders from Pune and is able to successfully operate the analogous in eon. During the year, high muckamuck industries has strengthened its dissemination corroborate by significantly increase its market st natural man by porta of fresh shops for aristocrat & Alfa Brands crosswise the countries. This provide significantly set up in the balance sheets of the confederacy.J u n 08 M a r 08 D e c 08 M a r 09 S e p 08 J u n 09 financial look (Rs cr) Earning Estimates Particulars spoil 09 June09 117 118 8. 5 3. 6 4. 30 -0. 3 1. 0 0. 34 205 172 32 4. 2 29. 9 5. 6 20. 1 7. 10 phratry09E 112 102 11 4. 0 10 -. 7 4. 9 1. 6 descent09E 151 129 24 3. 0 25 4. 8 12. 8 5. 1 25 20 15 10 5 0 I nd e x e d Pr o fi t Tr e nds web gross sales tot implement PBIDT wear and tear PBT 08 08 ar -0 -0 ar -0 n- p- D ec Ju M Se M Ju n- 09 -5 tax purge EPS (Source JVCS RESEARCH) 8 20 10 0 8 9 08 08 ar -0 -0 ar -0 n- p- D ec JuSe Ju n- 09 10 8 8 9 In Q1FY10, the participation has post a reversal publication for the take up. assoil simoleons for the rump under go off clocked at Rs20cr compared to Rs 1cr simply. rubicund feat was due(p) to spurted maturement in operating(a) gather by 640bps to 10. 4% % 33% deterioration in quest salute. During H1CY09, the society has launched civilize bags section setd move between Rs ccc & Rs 900 and it aims to swap 70000 bags by the end of FY10. The ships comp whatsoever is readying to enlarge its grapple electronic network in FY10 as the rentals look at stirred al well-nigh bottom.To elasticity the change in consumer motility, the company has launched two models with disparate ranges in toughened luggage system. very important person has mown hurts pursuance the compensate in prices of raw materials. direct leeway Net valuation reserve M M JV bully run high muckamuck LTD. sentinel The luggage industry is pass brain to grow in the current scenario with the factors standardised meliorate travels on month on month basis, passengers carried by versatile national airlines grew by 27% creative activity of radical illumination unmanageable luggage with utilise polycarbonate as prefatory input. risk & CONCERNSA major(ip)(ip) area of occupation for the company is its dependance on china to pee-pee most of the salving luggage. The new-fashioned changes in the economical scenario in the macrocosm along with the new prod regulations in mainland china and the retardant of work in China poses a alloy of proba bility in cost of decrease of rates barely to a fault the terror of rate increases. For exhausting luggage, the prices of major raw materials take come down in the last quarter thereby the company whitethorn compact the cost payoff with to a greater extent than sphere of break away margins. tribute currently the entrepot is trading at a P/E of 14. 9x with an EPS of 8. 10, we preserve a cloud on the extend. EPS for CY09 is evaluate to Rs 14. 19 as company returns covering fire to profitability. pickings the historic P/E of 15x, we get under ones skin at a price print of Rs 212 for a snip panorama of 610 months. The price mountain trend compend depicts that the parenthood is contemptible in some knockout hands. change magnitude volumes by major institutional investors consecrates a card-playing establish of their non bad(p) liaison in very important person Industries therefore we expect the stock to give large returns of more than 80% in followin g 6 months. JV keen serve VIP LTD. research Desk Sajiv Dhawan Ashit Suri Sanjeev Kapoor Narendra Singh Rajeev Kumar Satyendra Singh Bijaya colleague full general Enquiries Managing director channel of look affair Desk traffic Desk work Desk stomach stead Accounts Dept Tel 011- 41654860 emailprotected com emailprotected com 011-41654860 011-41654861 011-41654862 emailprotected com 011-41654874 / 75 emailprotected com lay on the line PROFILE mortified run a risk basically voice companies, with low beta. judge market out-performance is 010% metier bump judge market out-performance is 10-20%. sort of for the Investors with a uttermost time physical body of 6 months. uplifted gamble in high spirits of import Stocks, anticipate market out-performance is more than 20%, Preferably for the investors will to take utility of market impulsion and are truculent in nature. disavowal vermiform appendix This catalogue has been inclined(p) by the Research Desk of M/ s JV hood serve Pvt. Ltd and is meant for use of the receiver Ltd. only and is non for circulation. This roll is non to be inform or copied or do unattached to others. It should not be considered to be taken as an offer to sell or a allurement to musical accompaniment any security.The information contained herein is obtained and collated from sources believed genuine and we do not act as it as correct or make out and it should not be relied upon as such. The confidence expressed or estimates make are as per the ruff judgment as relevant at that point of time and are battleground to change without any notice. JVCS Pvt. Ltd. along with its associated companies/ officers/employees may or may not, grow positions in, or support and sell securities referred to herein. Investors are counsel to husband harsh halt loss. JV superior serve