Fundamental Analysis of Finolex Industries Ltd

About the Company - Finolex Industries Ltd

Finolex Industries Ltd. is a Public Limited Listed company incorporated on 28/03/1981 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L40108PN1981PLC024153 and registration number is 024153. Currently Company is involved in the business activities of Manufacture of plastic in primary forms (includes amino-resins, polyurethanes etc.). Company’s Total Operating Revenue is Rs. 4647.32 Cr. and Equity Capital is Rs. 124.10 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Plastics - Pipes & Fittings	Gat No. 399, Village Urse, Pune District Maharashtra 410506	investors@finolexind.com www.finolexpipes.com

Management
Name	Position Held
Mr. Prakash P Chhabria	Executive Chairman
Mr. Saumya Chakrabarti	Director - Technical
Mrs. Ritu P Chhabria	Non Exe.Non Ind.Director
Mr. Saurabh S Dhanorkar	Non Exe.Non Ind.Director
Ms. Bhumika L Batra	Independent Director
Mrs. Kanchan U Chitale	Independent Director
Dr. Deepak R Parikh	Independent Director
Mr. Pradeep R Rathi	Independent Director
Mr. Anami N Roy	Independent Director
Mr. Ajit Venkataraman	Managing Director

Basic Stock Data of Finolex Industries Ltd

Last Updated: July 26, 2024, 10:47 pm

Market Cap	19,734 Cr.
Current Price	318
High / Low	356/186
Stock P/E	43.3
Book Value	89.2
Dividend Yield	0.47 %
ROCE	11.5 %
ROE	8.79 %
Face Value	2.00
PEG Ratio	7.13

Data Source: screener.in

Finolex Industries Ltd Quarterly Results

Month	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Sales	1,066	1,249	966	1,083	1,005	1,595	1,190	941	1,125	1,141	1,179	883	1,020
Expenses	720	839	756	783	763	1,330	1,064	1,084	1,033	924	1,027	780	900
Operating Profit	346	410	210	300	242	265	126	-143	92	217	152	103	120
OPM %	32%	33%	22%	28%	24%	17%	11%	-15%	8%	19%	13%	12%	12%
Other Income	18	14	15	32	19	401	25	39	28	29	40	63	35
Interest	1	2	5	0	1	8	11	4	5	6	9	12	8
Depreciation	20	20	20	21	21	22	21	22	22	24	34	27	28
Profit before tax	343	402	200	310	239	636	118	-129	92	216	149	126	120
Tax %	25%	26%	27%	24%	26%	22%	15%	27%	22%	27%	26%	25%	26%
Net Profit	256	297	147	235	178	494	100	-94	72	158	111	94	89
EPS in Rs	4.12	4.79	2.37	3.79	2.87	7.96	1.61	-1.51	1.16	2.55	1.79	1.51	1.44

Last Updated: July 11, 2024, 10:32 am

Finolex Industries Ltd Quarterly Chart

Finolex Industries Ltd Profit & Loss

Last Updated: July 10, 2024, 5:04 pm

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	2,100	2,145	2,453	2,476	2,482	2,602	2,738	3,091	2,985	3,462	4,647	4,397	4,328
Expenses	1,882	1,785	2,056	2,264	2,075	2,039	2,253	2,487	2,536	2,472	3,623	4,105	3,763
Operating Profit	218	359	397	212	407	563	484	604	448	990	1,025	293	565
OPM %	10%	17%	16%	9%	16%	22%	18%	20%	15%	29%	22%	7%	13%
Other Income	29	-63	-27	-2	62	24	25	14	30	72	458	121	160
Interest	75	51	66	70	45	15	10	12	11	7	14	27	33
Depreciation	76	54	62	59	51	55	61	70	74	78	83	89	108
Profit before tax	97	190	242	81	373	517	439	536	393	977	1,385	297	583
Tax %	22%	28%	30%	41%	32%	32%	32%	35%	18%	25%	24%	20%
Net Profit	75	136	170	48	254	352	299	350	324	728	1,053	237	435
EPS in Rs	1.21	2.19	2.74	0.77	4.10	5.68	4.81	5.64	5.22	11.73	16.98	3.81	7.01
Dividend Payout %	50%	50%	51%	52%	49%	41%	42%	35%	38%	34%	24%	39%

Finolex Industries Ltd Profit & Loss Yearly Chart

Finolex Industries Ltd Growth

Compounded Sales Growth
10 Years:	6%
5 Years:	7%
3 Years:	8%
TTM:	-2%

Compounded Profit Growth
10 Years:	9%
5 Years:	5%
3 Years:	-14%
TTM:	115%

Stock Price CAGR
10 Years:	19%
5 Years:	25%
3 Years:	22%
1 Year:	59%

Return on Equity
10 Years:	14%
5 Years:	14%
3 Years:	11%
Last Year:	9%

Last Updated: July 26, 2024, 5:17 pm

Finolex Industries Ltd Balance Sheet

Last Updated: July 10, 2024, 5:04 pm

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	124	124	124	124	124	124	124	124	124	124	124	124	124
Reserves	538	597	666	663	1,446	2,167	2,640	2,404	1,806	2,949	3,740	4,701	5,399
Borrowings	1,042	839	713	637	212	94	101	90	283	204	278	541	605
Other Liabilities	379	440	433	435	567	570	589	655	603	930	1,119	817	875
Total Liabilities	2,083	2,001	1,936	1,859	2,349	2,955	3,455	3,273	2,815	4,207	5,261	6,182	7,003
Fixed Assets	784	880	905	868	850	855	884	951	1,017	1,002	993	1,055	1,045
CWIP	85	51	32	10	7	22	90	90	7	8	9	44	60
Investments	493	360	221	180	817	1,222	1,555	1,303	580	1,592	2,633	3,844	4,582
Other Assets	721	711	777	801	675	856	925	929	1,211	1,604	1,625	1,239	1,315
Total Assets	2,083	2,001	1,936	1,859	2,349	2,955	3,455	3,273	2,815	4,207	5,261	6,182	7,003

Finolex Industries Ltd Reserves and Borrowings Chart

Finolex Industries Ltd 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	274	245	212	569	252	338	391	106	941	622	302	353
Cash from Investing Activity	62	110	18	-77	35	-162	-228	49	-877	-440	-288	-83
Cash from Financing Activity	-356	-344	-239	-494	-282	-175	-163	-105	-90	-190	-29	-277
Net Cash Flow	-20	12	-9	-2	4	1	-0	51	-26	-8	-15	-6

Finolex Industries Ltd Financial Efficiency Indicators

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Debtor Days	8	7	6	7	3	7	6	9	9	16	26	25
Inventory Days	78	124	112	113	100	128	128	120	164	176	132	81
Days Payable	31	47	25	40	55	52	52	55	44	84	60	35
Cash Conversion Cycle	55	84	93	80	48	83	81	74	129	108	98	71
Working Capital Days	49	38	49	54	17	41	45	44	73	44	39	38
ROCE %	10%	19%	23%	11%	24%	25%	17%	21%	16%	36%	27%	6%

Finolex Industries Ltd Financial Efficiency Indicators Chart

Finolex Industries Ltd Share Holding Pattern

Month	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Promoters	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%	52.47%
FIIs	2.73%	2.87%	4.31%	5.74%	5.81%	5.69%	5.59%	5.40%	5.51%	5.81%	6.66%	6.45%
DIIs	11.84%	11.56%	10.67%	9.84%	9.49%	9.82%	9.80%	11.61%	12.25%	11.87%	12.14%	11.95%
Government	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%
Public	32.61%	32.76%	32.20%	31.61%	31.88%	31.68%	31.76%	30.15%	29.39%	29.48%	28.37%	28.76%
Others	0.35%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%	0.34%
No. of Shareholders	1,25,069	1,69,648	1,90,417	2,25,044	2,72,282	2,75,060	2,84,347	2,48,095	2,38,404	2,31,913	2,18,094	2,26,844

Finolex Industries Ltd Shareholding Pattern Chart

No. of Finolex Industries Ltd Shareholders

Finolex Industries Ltd Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
SBI Small Cap Fund	23,395,569	2.13	449.31	1,395,107	2024-07-26	1576.97%
HDFC Small Cap Fund - Regular Plan	12,191,817	1.01	234.14	1,395,107	2024-07-26	773.9%
HSBC Small Cap Fund - Regular Plan	9,320,700	1.55	179	1,395,107	2024-07-26	568.1%
DSP Small Cap Fund	5,057,263	0.82	97.12	1,395,107	2024-07-26	262.5%
Franklin India Smaller Companies Fund	4,618,864	0.92	88.71	1,395,107	2024-07-26	231.08%
SBI Conservative Hybrid Fund	2,476,176	0.53	47.56	1,395,107	2024-07-26	77.49%
SBI Conservative Hybrid Fund - Div (Annual)	2,476,176	0.53	47.56	1,395,107	2024-07-26	77.49%
SBI Conservative Hybrid Fund - Div (Monthly)	2,476,176	0.53	47.56	1,395,107	2024-07-26	77.49%
SBI Equity Savings Fund	1,395,107	0.87	26.79	1,395,107	2024-07-26	0%
SBI Large & Midcap Fund	1,388,764	0.17	26.67	1,395,107	2024-07-26	-0.45%

Finolex Industries Ltd ROCE Trend

Finolex Industries Ltd EPS Trend

Finolex Industries Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	2.00	2.00	2.00	10.00	10.00
Basic EPS (Rs.)	7.66	4.04	16.94	11.89	26.81
Diluted EPS (Rs.)	7.66	4.04	16.94	11.89	26.81
Cash EPS (Rs.)	8.92	5.10	18.31	64.41	30.69
Book Value[Excl.RevalReserv]/Share (Rs.)	91.12	79.29	63.30	252.94	160.03
Book Value[Incl.RevalReserv]/Share (Rs.)	91.12	79.29	63.30	252.94	160.03
Revenue From Operations / Share (Rs.)	69.82	71.11	74.90	279.03	240.49
PBDIT / Share (Rs.)	12.37	6.69	17.82	85.48	38.46
PBIT / Share (Rs.)	10.49	5.24	16.48	79.22	32.52
PBT / Share (Rs.)	9.90	4.80	22.31	78.64	31.61
Net Profit / Share (Rs.)	7.04	3.66	16.97	58.15	24.75
NP After MI And SOA / Share (Rs.)	7.66	4.05	16.94	59.45	26.80
PBDIT Margin (%)	17.71	9.40	23.79	30.63	15.99
PBIT Margin (%)	15.02	7.37	22.00	28.39	13.52
PBT Margin (%)	14.18	6.75	29.79	28.18	13.14
Net Profit Margin (%)	10.08	5.14	22.65	20.83	10.28
NP After MI And SOA Margin (%)	10.96	5.70	22.62	21.30	11.14
Return on Networth / Equity (%)	8.40	5.11	26.76	23.50	16.74
Return on Capital Employeed (%)	10.89	6.29	24.66	29.27	18.34
Return On Assets (%)	6.71	3.98	19.66	17.18	11.50
Total Debt / Equity (X)	0.06	0.10	0.07	0.06	0.14
Asset Turnover Ratio (%)	0.64	0.76	0.97	0.97	0.97
Current Ratio (X)	2.90	2.55	2.54	2.12	1.77
Quick Ratio (X)	2.24	1.95	1.69	1.14	0.53
Inventory Turnover Ratio (X)	3.92	3.44	2.90	2.18	2.76
Dividend Payout Ratio (NP) (%)	0.00	98.99	23.60	0.00	74.61
Dividend Payout Ratio (CP) (%)	0.00	73.01	21.87	0.00	61.06
Earning Retention Ratio (%)	0.00	1.01	76.40	0.00	25.39
Cash Earning Retention Ratio (%)	0.00	26.99	78.13	0.00	38.94
Interest Coverage Ratio (X)	20.98	15.18	78.49	145.92	42.32
Interest Coverage Ratio (Post Tax) (X)	12.94	9.32	49.03	100.26	28.22
Enterprise Value (Cr.)	15601.90	11024.14	9802.33	7772.76	5038.05
EV / Net Operating Revenue (X)	3.61	2.51	2.11	2.24	1.69
EV / EBITDA (X)	20.40	26.66	8.86	7.33	10.55
MarketCap / Net Operating Revenue (X)	3.53	2.40	2.07	2.28	1.62
Retention Ratios (%)	0.00	1.00	76.39	0.00	25.38
Price / BV (X)	2.71	2.15	2.45	2.52	2.44
Price / Net Operating Revenue (X)	3.53	2.40	2.07	2.28	1.62
EarningsYield	0.03	0.02	0.10	0.09	0.06

Finolex Industries Ltd Profitability Ratios (%)

Finolex Industries Ltd Liquidity Ratios

Finolex Industries Ltd Liquidity Ratios (%)

Finolex Industries Ltd Interest Coverage Ratios (%)

Finolex Industries Ltd Valuation Ratios

Fair Value

Fair Value: 341.10

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.

Undervalued: 7.26% compared to the current price 318

Intrinsic Value: 361.82

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: 13.78% compared to the current price 318

Last 5 Year EPS CAGR: 6.07%

*Investments are subject to market risks

Strength and Weakness of Finolex Industries Ltd Stock

Strength	Weakness
The stock has a high average ROCE of 19.58%, which is a positive sign. The company has higher reserves (2,432.75 cr) compared to borrowings (365.50 cr), indicating strong financial stability. The company has shown consistent growth in sales (2.62 cr) and profit (363.54 cr) over the years.	The stock has a high average Working Capital Days of 44.25, which may not be favorable. The stock has a high average Cash Conversion Cycle of 83.67, which may not be favorable.

FAQ

What is the latest fair value of Finolex Industries Ltd?

The latest fair value of Finolex Industries Ltd is ₹341.10.

What is the Market Cap of Finolex Industries Ltd?

The Market Cap of Finolex Industries Ltd is 19,734 Cr..

What is the current Stock Price of Finolex Industries Ltd as on 27 July 2024?

The current stock price of Finolex Industries Ltd as on 27 July 2024 is 318.

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

In FY 2024, the High / Low of Finolex Industries Ltd stocks is 356/186.

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

The Stock P/E of Finolex Industries Ltd is 43.3.

What is the Book Value of Finolex Industries Ltd?

The Book Value of Finolex Industries Ltd is 89.2.

What is the Dividend Yield of Finolex Industries Ltd?

The Dividend Yield of Finolex Industries Ltd is 0.47 %.

What is the ROCE of Finolex Industries Ltd?

The ROCE of Finolex Industries Ltd is 11.5 %.

What is the ROE of Finolex Industries Ltd?

The ROE of Finolex Industries Ltd is 8.79 %.

What is the Face Value of Finolex Industries Ltd?

The Face Value of Finolex Industries Ltd is 2.00.