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Last Updated on: 30 May, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Airo Lam Ltd

About the Company - Airo Lam Ltd

Airo Lam Ltd. is a Public Limited Listed company incorporated on 22/10/2007 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L20211GJ2007PLC052019 and registration number is 052019. Currently company belongs to the Industry of Laminates. Company’s Total Operating Revenue is Rs. 168.90 Cr. and Equity Capital is Rs. 15.00 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
LaminatesSurvey No.355, Prantij Gujarat 383120info@airolam.com
http://www.airolam.com
Management
NamePosition Held
Mr. Pravinkumar Nathalal PatelChairman & Managing Director
Mr. Sureshkumar H PatelWhole Time Director
Mr. Hardikkumar P PatelNon Executive Director
Mrs. Mamta P PatelIndependent Director
Mr. Mehulkumar J PatelIndependent Director
Mr. Manibhai K PatelIndependent Director

Basic Stock Data of Airo Lam Ltd

Last Updated: May 28, 2024, 8:54 pm

Market Cap 251 Cr.
Current Price 168
High / Low197/66.5
Stock P/E28.2
Book Value 45.9
Dividend Yield0.00 %
ROCE12.6 %
ROE12.3 %
Face Value 10.0
PEG Ratio2.29

Competitors of Airo Lam Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Alfa Ica (India) Ltd 24.6 Cr. 61.075.7/37.716.6 51.50.00 %10.1 %7.55 % 10.0
Greenlam Industries Ltd 7,823 Cr. 615637/30554.9 80.30.24 %13.8 %15.3 % 1.00
Ambition Mica Ltd 4.54 Cr. 3.045.20/3.04 8.380.00 %7.00 %% 10.0
Rushil Decor Ltd 835 Cr. 314407/24219.4 2040.16 %11.6 %9.51 % 10.0
Archidply Decor Ltd 46.2 Cr. 83.0106/68.0 90.60.00 %4.11 %1.45 % 10.0
Industry Average1,746.67 Cr215.2118.1886.960.08%9.32%6.76%8.20

Airo Lam Ltd Quarterly Results

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales38.8748.7653.9145.8147.9551.9848.8150.19
Expenses35.8844.4449.4142.9943.8246.6743.2245.44
Operating Profit2.994.324.502.824.135.315.594.75
OPM %7.69%8.86%8.35%6.16%8.61%10.22%11.45%9.46%
Other Income1.180.000.000.510.000.000.000.00
Interest0.811.150.651.091.041.411.121.22
Depreciation0.770.790.820.830.840.840.840.85
Profit before tax2.592.383.031.412.253.063.632.68
Tax %27.03%21.43%27.06%26.95%25.33%20.26%27.55%33.96%
Net Profit1.891.882.211.041.692.452.641.77
EPS in Rs1.261.251.470.691.131.631.761.18

Last Updated: May 15, 2024, 7:33 am

Airo Lam Ltd Quarterly Chart

Airo Lam Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales50556367637093111105133168198199
Expenses4549586158648410197121153181179
Operating Profit56666799912151720
OPM %10%11%9%9%9%9%10%8%8%9%9%8%10%
Other Income0000010111110
Interest3223233222345
Depreciation1221122222333
Profit before tax122223566891012
Tax %38%32%32%32%33%33%34%29%25%29%28%24%
Net Profit1112223455779
EPS in Rs1.422.602.692.913.043.442.172.823.193.644.494.935.70
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Airo Lam Ltd Profit & Loss Yearly Chart

Airo Lam Ltd Growth

Compounded Sales Growth
10 Years:14%
5 Years:16%
3 Years:23%
TTM:5%
Compounded Profit Growth
10 Years:18%
5 Years:18%
3 Years:16%
TTM:31%
Stock Price CAGR
10 Years:%
5 Years:38%
3 Years:79%
1 Year:87%
Return on Equity
10 Years:12%
5 Years:12%
3 Years:12%
Last Year:12%

Last Updated: May 25, 2024, 10:50 am

Airo Lam Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital66666615151515151515
Reserves4568101220242935414954
Borrowings20151823212620233438515153
Other Liabilities9151820262732302942534857
Total Liabilities3840495663708792107130160162178
Fixed Assets11111212111111111138373636
CWIP-0-0-0-0-000115-0-0-0-0
Investments-0-0-0-0-0-0-0000011
Other Assets27293644516076808292122126141
Total Assets3840495663708792107130160162178

Airo Lam Ltd Reserves and Borrowings Chart

Airo Lam Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 562032-41420-69
Cash from Investing Activity -2-1-3-1-0-1-4-2-14-14-4-5
Cash from Financing Activity -3-512-4-1829-29-4
Net Cash Flow-0-0-02-1-011-14-1-0

Airo Lam Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days74929712717619117012314611411391
Inventory Days136127138129154168168172181165194175
Days Payable010112212318117514911511513212984
Cash Conversion Cycle210117112133148183189180212146178182
Working Capital Days19198104126146155168161178130149143
ROCE %13%17%16%15%13%13%15%14%11%12%13%13%

Airo Lam Ltd Financial Efficiency Indicators Chart

Airo Lam Ltd Share Holding Pattern

MonthMar 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters52.23%52.23%52.25%52.25%52.45%52.48%52.48%52.49%52.73%53.01%53.01%53.02%
Public47.78%47.78%47.75%47.75%47.55%47.51%47.52%47.51%47.27%46.99%46.99%46.98%
No. of Shareholders5374811,6072,4282,5073,5054,4024,1254,1613,8213,5504,613

Airo Lam Ltd Shareholding Pattern Chart

No. of Airo Lam Ltd Shareholders

This stock is not held by any mutual fund

Airo Lam Ltd ROCE Trend

Airo Lam Ltd EPS Trend

Airo Lam Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.00
Basic EPS (Rs.)4.934.373.643.18
Diluted EPS (Rs.)4.934.373.643.18
Cash EPS (Rs.)7.146.405.204.28
Book Value[Excl.RevalReserv]/Share (Rs.)42.6737.4933.1229.48
Book Value[Incl.RevalReserv]/Share (Rs.)42.6737.4933.1229.48
Revenue From Operations / Share (Rs.)132.96112.5888.8470.91
PBDIT / Share (Rs.)11.5210.188.276.46
PBIT / Share (Rs.)9.318.156.705.37
PBT / Share (Rs.)6.516.115.144.24
Net Profit / Share (Rs.)4.934.373.643.18
NP After MI And SOA / Share (Rs.)4.934.373.643.18
PBDIT Margin (%)8.669.049.309.11
PBIT Margin (%)7.007.247.547.56
PBT Margin (%)4.895.425.795.97
Net Profit Margin (%)3.703.884.094.49
NP After MI And SOA Margin (%)3.703.884.094.49
Return on Networth / Equity (%)11.5511.6510.9710.80
Return on Capital Employeed (%)16.9014.8714.0413.44
Return On Assets (%)4.564.114.184.44
Long Term Debt / Equity (X)0.210.390.380.32
Total Debt / Equity (X)0.790.890.700.75
Asset Turnover Ratio (%)1.241.171.120.00
Current Ratio (X)1.571.571.561.71
Quick Ratio (X)0.780.800.870.97
Inventory Turnover Ratio (X)2.202.312.310.00
Interest Coverage Ratio (X)4.124.985.305.72
Interest Coverage Ratio (Post Tax) (X)2.763.143.333.82
Enterprise Value (Cr.)144.00148.7870.6056.01
EV / Net Operating Revenue (X)0.720.880.520.52
EV / EBITDA (X)8.339.745.695.78
MarketCap / Net Operating Revenue (X)0.490.600.300.22
Price / BV (X)1.531.830.810.53
Price / Net Operating Revenue (X)0.490.600.300.22
EarningsYield0.070.060.130.20

Airo Lam Ltd Profitability Ratios (%)

Airo Lam Ltd Liquidity Ratios

Airo Lam Ltd Liquidity Ratios (%)

Airo Lam Ltd Interest Coverage Ratios (%)

Airo Lam Ltd Valuation Ratios

Fair Value

Fair Value: ₹162.39

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

Overvalued: 3.34% compared to the current price ₹168

Intrinsic Value: ₹182.38

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Undervalued: 8.56% compared to the current price ₹168

Last 5 Year EPS CAGR: 12.31%

*Investments are subject to market risks

Strength and Weakness of Airo Lam Ltd

StrengthWeakness
  1. The company has shown consistent growth in sales (105.77 cr) and profit (5.23 cr) over the years.
  1. The stock has a low average ROCE of 13.75%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 145.75, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 165.83, which may not be favorable.
  4. The company has higher borrowings (30.23) compared to reserves (22.85), which may suggest financial risk.

Should I Buy Airo Lam Ltd Share Now?

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Airo Lam Ltd:
    1. Net Profit Margin: 3.70%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 16.90% (Industry Average ROCE: 9.32%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ✓ ROE%: 11.55% (Industry Average ROE: 6.76%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 2.76
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.78
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. ✗ Stock P/E: 28.2 (Industry average Stock P/E: 18.18)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. ✓ Total Debt / Equity: 0.79
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

FAQ

What is the latest fair value of Airo Lam Ltd?

The latest fair value of Airo Lam Ltd is ₹162.39.

What is the Market Cap of Airo Lam Ltd?

The Market Cap of Airo Lam Ltd is 251 Cr..

What is the current Stock Price of Airo Lam Ltd as on 30 May 2024?

The current stock price of Airo Lam Ltd as on 30 May 2024 is ₹168.

What is the High / Low of Airo Lam Ltd stocks in FY 2024?

In FY 2024, the High / Low of Airo Lam Ltd stocks is 197/66.5.

What is the Stock P/E of Airo Lam Ltd?

The Stock P/E of Airo Lam Ltd is 28.2.

What is the Book Value of Airo Lam Ltd?

The Book Value of Airo Lam Ltd is 45.9.

What is the Dividend Yield of Airo Lam Ltd?

The Dividend Yield of Airo Lam Ltd is 0.00 %.

What is the ROCE of Airo Lam Ltd?

The ROCE of Airo Lam Ltd is 12.6 %.

What is the ROE of Airo Lam Ltd?

The ROE of Airo Lam Ltd is 12.3 %.

What is the Face Value of Airo Lam Ltd?

The Face Value of Airo Lam Ltd is 10.0.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Airo Lam Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE