Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 22 February, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 519126 | NSE: HNDFDS

Fundamental Analysis of Hindustan Foods Ltd

About the Company - Hindustan Foods Ltd

Hindustan Foods Ltd. is a Public Limited Listed company incorporated on 31/12/1984 and has its registered office in the State of Goa, India. Company’s Corporate Identification Number(CIN) is L15139MH1984PLC316003 and registration number is 000601. Currently Company is involved in the business activities of Processing and blending of tea including manufacture of instant tea. Company’s Total Operating Revenue is Rs. 2020.70 Cr. and Equity Capital is Rs. 22.55 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Food Processing - Bakery/Dairy/Fruits/OthersOffice No. 3, Level 2, Centrium, Phoenix Market City, Mumbai Maharashtra 400070investorrelations@thevanitycase.com
http://www.hindustanfoodslimited.com
Management
NamePosition Held
Mr. Shrinivas V DempoNon Executive Director
Mr. Sameer R KothariManaging Director
Mr. Ganesh T ArgekarExecutive Director
Mr. Nikhil K VoraNon Executive Director
Mr. Sarvjit Singh BediNon Executive Director
Mr. Neeraj ChandraIndependent Director
Mr. Shashi K KalathilChairperson & Independent Director
Ms. Honey VaziraniIndependent Woman Director
Mr. Sandeep MehtaIndependent Director
Ms. Amruta AdukiaNon Executive Director

Hindustan Foods Ltd. Share Price Update

Share PriceValue
Today₹542.00
Previous Day₹554.55

Basic Stock Data of Hindustan Foods Ltd

Market Cap 5,964 Cr.
Current Price 529
High / Low669/491
Stock P/E66.0
Book Value 37.5
Dividend Yield0.00 %
ROCE18.2 %
ROE21.0 %
Face Value 2.00

Data Source: screener.in

Competitors of Hindustan Foods Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Nestle India Ltd 2,42,818 Cr. 2,5182,771/1,78880.8 32.10.67 %135 %108 % 1.00
LT Foods Ltd 6,577 Cr. 189235/90.011.5 88.00.53 %17.1 %16.8 % 1.00
SKM Egg Products Export (India) Ltd 695 Cr. 264560/1226.57 95.60.98 %46.4 %48.2 % 10.0
Parag Milk Foods Ltd 3,017 Cr. 257290/68.029.3 72.80.00 %8.72 %7.88 % 10.0
Vadilal Industries Ltd 2,661 Cr. 3,7013,930/1,79918.0 7040.04 %25.6 %28.4 % 10.0
Industry Average141.6 Cr14329.23198.50.44%46.56%41.86%6.4

Hindustan Foods Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales318384491457471527581598662679660619675
Expenses298363462432443498551560620635611569621
Operating Profit21212925282930384244495054
OPM %7%5%6%6%6%6%5%6%6%6%7%8%8%
Other Income1111111121112
Interest55555557910101113
Depreciation44556679101091112
Profit before tax12122016181820232525312931
Tax %36%5%36%37%38%37%38%35%25%33%35%21%21%
Net Profit8121310111212151917202325
EPS in Rs0.751.111.220.961.031.101.091.321.681.511.792.072.19

Hindustan Foods Ltd Quarterly Chart

Hindustan Foods Ltd Profit & Loss

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales4927721,4072,0402,5982,633
Expenses4597171,3191,9272,4252,436
Operating Profit335588113173197
OPM %7%7%6%6%7%8%
Other Income113455
Interest81119203643
Depreciation71119253742
Profit before tax18345271104117
Tax %35%35%29%38%32%
Net Profit122237457185
EPS in Rs1.762.073.523.966.317.56
Dividend Payout %0%0%0%0%0%

Hindustan Foods Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth
Year2019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)83.33%68.18%21.62%57.78%
Change in YoY Net Profit Growth (%)0.00%-15.15%-46.56%36.16%

Hindustan Foods Ltd Growth

Compounded Sales Growth
10 Years:%
5 Years:%
3 Years:50%
TTM:11%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:48%
TTM:48%
Stock Price CAGR
10 Years:61%
5 Years:51%
3 Years:20%
1 Year:-4%
Return on Equity
10 Years:%
5 Years:%
3 Years:18%
Last Year:21%

Hindustan Foods Ltd Balance Sheet

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital132121232323
Reserves51165232281352401
Preference Capital11222
Borrowings98164216349512580
Other Liabilities104189267332449491
Total Liabilities2665397379841,3351,494
Fixed Assets133250308427554699
CWIP026538712533
Investments-020-0-0-0
Other Assets133261375470656763
Total Assets2665397379841,3351,494

Hindustan Foods Ltd Reserves and Borrowings Chart

Hindustan Foods Ltd Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -517723699
Cash from Investing Activity -40-145-90-139-220
Cash from Financing Activity 431533491128
Net Cash Flow-22416-127

Hindustan Foods Ltd Financial Efficiency Indicators

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days3218131315
Inventory Days5474585668
Days Payable8494746469
Cash Conversion Cycle2-2-3514
Working Capital Days611131721
ROCE %17%17%16%18%

Hindustan Foods Ltd Financial Efficiency Indicators Chart

Hindustan Foods Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters62.62%62.62%62.62%62.62%62.62%64.85%64.85%64.85%64.85%64.85%64.85%64.85%
FIIs6.63%6.59%6.58%6.57%6.50%6.13%6.04%6.04%6.57%6.56%6.59%6.58%
DIIs7.56%7.34%6.96%6.94%6.92%6.53%6.53%6.55%6.55%6.64%6.58%6.03%
Public23.18%23.44%23.84%23.86%23.95%22.50%22.59%22.56%22.04%21.94%22.00%22.54%
No. of Shareholders14,67625,29535,03638,04838,44637,07838,45950,57653,71160,48969,98880,587

Hindustan Foods Ltd Shareholding Pattern Chart

No. of Hindustan Foods Ltd Shareholders

Hindustan Foods Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
Union Small Cap Fund1012020.495.42
Motilal Oswal Nifty Microcap 250 Index Fund215260.31.15

Hindustan Foods Ltd ROCE Trend

Hindustan Foods Ltd EPS Trend

Hindustan Foods Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue2.0010.0010.0010.0010.00
Basic EPS (Rs.)6.3119.8116.2311.536.52
Diluted EPS (Rs.)6.3119.8116.2311.536.52
Cash EPS (Rs.)9.6331.7125.2616.0514.36
Book Value[Excl.RevalReserv]/Share (Rs.)33.18134.88104.1087.8347.70
Book Value[Incl.RevalReserv]/Share (Rs.)33.18134.88104.1087.8347.70
Revenue From Operations / Share (Rs.)230.45904.76654.00364.13364.58
PBDIT / Share (Rs.)15.7652.5840.5226.8424.49
PBIT / Share (Rs.)12.4541.7132.4121.5218.96
PBT / Share (Rs.)9.2732.7323.6016.3413.51
Net Profit / Share (Rs.)6.3120.8417.1510.728.83
NP After MI And SOA / Share (Rs.)6.3119.8116.2310.348.83
PBDIT Margin (%)6.845.816.197.376.71
PBIT Margin (%)5.404.604.955.905.19
PBT Margin (%)4.023.613.604.483.70
Net Profit Margin (%)2.732.302.622.942.42
NP After MI And SOA Margin (%)2.732.182.482.832.42
Return on Networth / Equity (%)19.0114.6815.5811.7618.51
Return on Capital Employeed (%)16.8915.4016.0213.3518.17
Return On Assets (%)5.324.524.954.064.47
Long Term Debt / Equity (X)1.020.830.840.731.01
Total Debt / Equity (X)1.311.070.840.781.32
Asset Turnover Ratio (%)2.312.552.241.910.00
Current Ratio (X)1.181.171.301.280.94
Quick Ratio (X)0.520.530.660.720.55
Inventory Turnover Ratio (X)8.029.248.618.170.00
Interest Coverage Ratio (X)4.965.864.605.184.49
Interest Coverage Ratio (Post Tax) (X)2.993.322.953.072.62
Enterprise Value (Cr.)6130.984405.094600.721298.89620.10
EV / Net Operating Revenue (X)2.362.163.321.681.26
EV / EBITDA (X)34.5037.1653.5622.8318.77
MarketCap / Net Operating Revenue (X)2.192.023.231.541.10
Price / BV (X)15.2113.5520.276.408.38
Price / Net Operating Revenue (X)2.192.023.231.541.10
EarningsYield0.010.010.010.010.02

Hindustan Foods Ltd Profitability Ratios (%)

Hindustan Foods Ltd Liquidity Ratios

Hindustan Foods Ltd Liquidity Ratios (%)

Hindustan Foods Ltd Interest Coverage Ratios (X)

Hindustan Foods Ltd Valuation Ratios

Fair Value / Intrinsic Value of Hindustan Foods Ltd

Fair Value: ₹530.15

The stock is undervalued by 0.22% compared to the current price ₹529

*Investments are subject to market risks

Strength and Weakness of Hindustan Foods Ltd

StrengthWeakness
  1. The stock has a low average Working Capital Days of 13.60, which is a positive sign.
  2. The company has higher reserves (247.00 cr) compared to borrowings (1.33 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (211.83 cr) and profit (66.67 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 25.41 and average Dividend Yield of 5.21%.
  2. The stock has a low average ROCE of 13.60%, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 3.20, which may not be favorable.

Should I Buy Hindustan Foods Ltd Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in Hindustan Foods Ltd:
    1. Net Profit Margin: 2.73%
      • 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: 16.89% (Industry Average ROCE: 37.36%)
      • 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. Interest Coverage Ratio (Post Tax): 2.99
      • 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.
    4. Quick Ratio: 0.52
      • 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.
    5. ✗ Stock P/E of 65.7 (Industry average Stock P/E: 28.22)
      • 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.
    6. ✗ Total Debt / Equity: 1.31
      • 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 suggests exercising caution. It's advisable to conduct further research or consult with financial experts before considering any investment.

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 Hindustan Foods 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