Fundamental Analysis of Bonlon Industries Ltd

Share Price and Basic Stock Data

Last Updated: September 6, 2024, 10:31 pm

Market Cap	46.4 Cr.
Current Price	32.7
High / Low	56.0/28.7
Stock P/E	18.1
Book Value	55.7
Dividend Yield	0.00 %
ROCE	4.43 %
ROE	2.99 %
Face Value	10.0
PEG Ratio	3.25

Data Source: screener.in

Stock P/E, Current Price, and Intrinsic Value Over Time

Stock P/E Current Price Intrinsic Value

Competitors of Bonlon Industries Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Eastcoast Steel Ltd	12.3 Cr.	22.8	35.1/17.7	24.2	35.9	0.00 %	0.09 %	0.15 %	10.0
Beekay Steel Industries Ltd	1,255 Cr.	658	845/549	10.1	494	0.15 %	14.6 %	15.2 %	10.0
Ecofinity Atomix Ltd	14.0 Cr.	36.4	43.0/29.1	25.0	8.54	0.00 %	8.85 %	8.56 %	10.0
Aerpace Industries Ltd	569 Cr.	41.6	44.9/2.56		0.94	0.00 %	12.7 %	15.8 %	1.00
Adishakti Loha & Ispat ltd	5.65 Cr.	12.4	16.0/8.56	188	11.2	0.00 %	1.57 %	0.59 %	10.0
Industry Average	42,351.00 Cr	427.23		73.18	163.57	0.31%	9.40%	8.43%	7.00

Quarterly Result

Month	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Sales	104.49	121.78	136.00	89.23	94.92	163.16	163.05	89.48	130.73	92.63	118.64
Expenses	103.07	121.88	135.33	88.15	94.24	162.58	163.18	88.14	129.67	90.73	116.82
Operating Profit	1.42	-0.10	0.67	1.08	0.68	0.58	-0.13	1.34	1.06	1.90	1.82
OPM %	1.36%	-0.08%	0.49%	1.21%	0.72%	0.36%	-0.08%	1.50%	0.81%	2.05%	1.53%
Other Income	0.33	0.61	0.33	0.34	1.27	0.24	0.31	0.17	0.06	-0.19	0.04
Interest	0.46	0.13	0.14	0.08	0.15	0.20	0.25	0.33	0.40	0.30	0.29
Depreciation	0.06	0.15	0.29	0.28	0.36	0.41	0.43	0.36	0.45	0.49	0.48
Profit before tax	1.23	0.23	0.57	1.06	1.44	0.21	-0.50	0.82	0.27	0.92	1.09
Tax %	23.58%	47.83%	8.77%	24.53%	20.14%	19.05%	-14.00%	25.61%	25.93%	26.09%	24.77%
Net Profit	0.93	0.13	0.52	0.80	1.16	0.17	-0.44	0.61	0.20	0.69	0.82
EPS in Rs	0.66	0.09	0.37	0.56	0.82	0.12	-0.31	0.43	0.14	0.49	0.58

Last Updated: August 9, 2024, 5:37 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: August 24, 2024, 10:13 am

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	77	143	185	133	238	242	215	244	135	388	511	431	476
Expenses	76	142	183	133	238	245	222	248	135	385	508	425	469
Operating Profit	0	0	1	1	0	-3	-8	-4	0	3	3	6	7
OPM %	1%	0%	1%	0%	0%	-1%	-4%	-2%	0%	1%	1%	1%	1%
Other Income	0	0	1	1	1	3	12	17	3	1	1	0	-0
Interest	0	0	1	0	0	0	1	0	0	1	1	1	1
Depreciation	0	0	1	1	0	0	0	0	0	1	1	2	2
Profit before tax	0	0	0	0	0	0	3	12	3	3	2	3	3
Tax %	31%	41%	54%	31%	36%	15%	21%	3%	26%	23%	24%	25%
Net Profit	0	0	0	0	0	0	3	12	2	2	2	2	3
EPS in Rs	0.90	0.53	0.40	0.67	0.53	0.93	2.59	11.52	1.38	1.49	1.18	1.64	1.81
Dividend Payout %	0%	0%	0%	0%	0%	0%	0%	0%	0%	0%	0%	0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	300.00%	-83.33%	0.00%	0.00%	0.00%
Change in YoY Net Profit Growth (%)	0.00%	-383.33%	83.33%	0.00%	0.00%

Growth

Compounded Sales Growth
10 Years:	12%
5 Years:	15%
3 Years:	47%
TTM:	-16%

Compounded Profit Growth
10 Years:	31%
5 Years:	-3%
3 Years:	6%
TTM:	124%

Stock Price CAGR
10 Years:	%
5 Years:	%
3 Years:	11%
1 Year:	15%

Return on Equity
10 Years:	2%
5 Years:	2%
3 Years:	2%
Last Year:	3%

Last Updated: August 2, 2024, 4:44 pm

Balance Sheet

Last Updated: July 11, 2024, 11:40 am

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Equity Capital	3	3	3	3	3	3	10	14	14	14	14
Reserves	9	9	9	10	10	10	50	59	61	62	65
Borrowings	10	12	12	10	7	0	1	4	16	15	30
Other Liabilities	17	29	35	47	30	28	82	33	12	26	24
Total Liabilities	40	53	59	69	49	41	143	109	103	117	133
Fixed Assets	4	4	4	3	3	2	3	2	9	11	10
CWIP	0	0	0	0	0	0	0	0	0	0	0
Investments	0	0	0	0	0	0	6	12	9	9	9
Other Assets	36	49	55	66	46	38	134	95	84	98	113
Total Assets	40	53	59	69	49	41	143	109	103	117	133

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity	3	13	-4	21	-18	13	-3	59	-43	-45	-9	-11
Cash from Investing Activity	2	-1	0	1	-0	1	-7	3	-4	0	-2	-3
Cash from Financing Activity	-5	-12	6	-23	17	-13	7	-54	43	45	10	14
Net Cash Flow	0	0	2	-2	-1	1	-2	7	-4	0	-0	0

Free Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	-10.00	-12.00	-11.00	-9.00	-7.00	-3.00	-8.00	-5.00	-4.00	-13.00	-12.00	-24.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	114	49	75	50	40	5	38	47	36	46	47
Inventory Days			6	17	13	21	5	21	12	9	26
Days Payable			72	114	46	38	79	21	5	18	20
Cash Conversion Cycle	114	49	9	-47	7	-12	-36	47	42	37	53
Working Capital Days	68	42	28	42	20	10	-9	117	61	50	74
ROCE %	1%	1%	4%	2%	3%	-4%		4%	5%	2%	4%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Mar 2021	Sep 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024
Promoters	67.34%	67.34%	67.37%	67.37%	64.37%	64.37%	64.37%	64.37%	64.37%	64.37%	63.91%	63.91%
Public	32.66%	32.66%	32.63%	32.63%	35.63%	35.62%	35.62%	35.62%	35.63%	35.62%	36.08%	36.08%
No. of Shareholders	137	136	134	134	252	454	533	705	792	1,083	1,661	1,880

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 21	Mar 20	Mar 19	Mar 18	Mar 17
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	1.39	11.51	3.79	0.93	-4.09
Diluted EPS (Rs.)	1.39	11.51	3.79	0.93	-4.09
Cash EPS (Rs.)	1.60	11.80	3.05	2.19	-2.52
Book Value[Excl.RevalReserv]/Share (Rs.)	51.37	57.90	45.05	38.69	37.76
Book Value[Incl.RevalReserv]/Share (Rs.)	51.37	57.90	45.05	38.69	37.76
Revenue From Operations / Share (Rs.)	111.52	233.07	206.03	807.09	793.02
PBDIT / Share (Rs.)	2.22	12.27	0.67	-0.92	-0.77
PBIT / Share (Rs.)	2.01	11.98	0.33	-2.19	-2.35
PBT / Share (Rs.)	1.87	11.81	3.38	1.10	-3.80
Net Profit / Share (Rs.)	1.39	11.51	2.71	0.92	-4.09
NP After MI And SOA / Share (Rs.)	1.39	11.51	2.71	0.92	-4.09
PBDIT Margin (%)	1.99	5.26	0.32	-0.11	-0.09
PBIT Margin (%)	1.80	5.13	0.16	-0.27	-0.29
PBT Margin (%)	1.68	5.06	1.63	0.13	-0.47
Net Profit Margin (%)	1.24	4.93	1.31	0.11	-0.51
NP After MI And SOA Margin (%)	1.24	4.93	1.31	0.11	-0.51
Return on Networth / Equity (%)	2.69	19.87	6.00	2.39	-10.82
Return on Capital Employeed (%)	3.90	20.68	0.68	-5.65	-6.03
Return On Assets (%)	1.72	8.40	4.47	0.70	-2.56
Long Term Debt / Equity (X)	0.00	0.00	0.06	0.00	0.02
Total Debt / Equity (X)	0.04	0.01	0.06	0.00	0.58
Asset Turnover Ratio (%)	1.07	2.36	4.15	618.58	497.40
Current Ratio (X)	2.15	1.04	2.40	1.29	1.20
Quick Ratio (X)	1.90	1.00	2.36	0.78	0.97
Inventory Turnover Ratio (X)	0.00	4.41	4.56	17.37	28.66
Interest Coverage Ratio (X)	16.35	75.53	1.00	-2.10	-0.53
Interest Coverage Ratio (Post Tax) (X)	11.19	71.87	-0.50	-5.38	-1.81
Enterprise Value (Cr.)	23.56	0.00	0.00	0.00	0.00
EV / Net Operating Revenue (X)	0.14	0.00	0.00	0.00	0.00
EV / EBITDA (X)	7.47	0.00	0.00	0.00	0.00
MarketCap / Net Operating Revenue (X)	0.16	0.00	0.00	0.00	0.00
Price / BV (X)	0.35	0.00	0.00	0.00	0.00
Price / Net Operating Revenue (X)	0.16	0.00	0.00	0.00	0.00
EarningsYield	0.07	0.00	0.00	0.00	0.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: ₹30.75

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: 5.96% compared to the current price ₹32.70

Intrinsic Value: 32.46

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 intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

Overvalued: 0.73% compared to the current price ₹32.70

Last 5 Year EPS CAGR: 5.57%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The company has higher reserves (29.50 cr) compared to borrowings (9.75 cr), indicating strong financial stability. The company has shown consistent growth in sales (262.92 cr) and profit (2.23 cr) over the years.	The stock has a low average ROCE of 1.83%, which may not be favorable. The stock has a high average Working Capital Days of 41.92, which may not be favorable. The stock has a high average Cash Conversion Cycle of 21.92, which may not be favorable.

Stock Analysis

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 Bonlon Industries Ltd:
1. Net Profit Margin: 1.24%
  - 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: 3.9% (Industry Average ROCE: 9.09%)
  - 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%: 2.69% (Industry Average ROE: 7.57%)
  - 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): 11.19
  - 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: 1.9
  - 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: 18.1 (Industry average Stock P/E: 60.59)
  - 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: 0.04
  - 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:

About the Company - Qualitative Analysis

Bonlon Industries Ltd. is a Public Limited Listed company incorporated on 21/01/1997 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L27108DL1998PLC097397 and registration number is 097397. Currently company belongs to the Industry of Steel. Company’s Total Operating Revenue is Rs. 387.79 Cr. and Equity Capital is Rs. 14.18 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Steel	7A/39 (12- First Floor), WEA Channa Market, New Delhi Delhi 110005	cs@bonlonindustries.com http://www.bonlonindustries.com

Management
Name	Position Held
Mr. Raj Jain	Chairman & Managing Director
Mr. Arun Kumar Jain	Whole Time Director
Mrs. Smita Jain	Non Executive Director
Mrs. Bela Khattar Chauhan	Independent Director
Mr. Anil Kumar Jain	Independent Director
Mr. Vineet Garg	Independent Director
Ms. Siya Seth	Independent Director

FAQ

What is the latest fair value of Bonlon Industries Ltd?

The latest fair value of Bonlon Industries Ltd is ₹30.75.

What is the Market Cap of Bonlon Industries Ltd?

The Market Cap of Bonlon Industries Ltd is 46.4 Cr..

What is the current Stock Price of Bonlon Industries Ltd as on 07 September 2024?

The current stock price of Bonlon Industries Ltd as on 07 September 2024 is 32.7.

What is the High / Low of Bonlon Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of Bonlon Industries Ltd stocks is 56.0/28.7.

What is the Stock P/E of Bonlon Industries Ltd?

The Stock P/E of Bonlon Industries Ltd is 18.1.

What is the Book Value of Bonlon Industries Ltd?

The Book Value of Bonlon Industries Ltd is 55.7.

What is the Dividend Yield of Bonlon Industries Ltd?

The Dividend Yield of Bonlon Industries Ltd is 0.00 %.

What is the ROCE of Bonlon Industries Ltd?

The ROCE of Bonlon Industries Ltd is 4.43 %.

What is the ROE of Bonlon Industries Ltd?

The ROE of Bonlon Industries Ltd is 2.99 %.

What is the Face Value of Bonlon Industries Ltd?

The Face Value of Bonlon Industries Ltd is 10.0.