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Last Updated on: 24 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Ipca Laboratories Ltd

About the Company - Ipca Laboratories Ltd

Ipca Laboratories Ltd. is a Public Limited Listed company incorporated on 19/10/1949 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24239MH1949PLC007837 and registration number is 007837. Currently Company is involved in the business activities of Manufacture of allopathic pharmaceutical preparations. Company’s Total Operating Revenue is Rs. 5399.36 Cr. and Equity Capital is Rs. 25.37 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Pharmaceuticals48, Kandivli Industrial Estate, Kandivli (West), Mumbai Maharashtra 400067investors@ipca.com
http://www.ipca.com
Management
NamePosition Held
Mr. Premchand GodhaChairman & M.D & CEO
Mr. Ajit Kumar JainJoint Managing Director & CFO
Mr. Pranay GodhaExecutive Director
Mr. Prashant GodhaExecutive Director
Mr. Anand T KusreIndependent Director
Mr. Dev Parkash YadavaIndependent Director
Dr.(Mrs.) Manisha PremnathIndependent Director
Mr. Kamal Kishore SethIndependent Director

Ipca Laboratories Ltd. Share Price Update

Share PriceValue
Today₹1,191.00
Previous Day₹1,215.40

Basic Stock Data of Ipca Laboratories Ltd

Market Cap 31,061 Cr.
Current Price 1,224
High / Low1,264/670
Stock P/E60.6
Book Value 242
Dividend Yield0.33 %
ROCE11.2 %
ROE8.04 %
Face Value 1.00

Data Source: screener.in

Ipca Laboratories Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales1,3611,4101,1151,5661,5441,4301,2891,5861,6011,5461,5121,5852,034
Expenses1,0031,0458861,1521,1841,1231,0701,3171,3411,3301,3311,2781,713
Operating Profit358365229414360308219269260216181308321
OPM %26%26%21%26%23%22%17%17%16%14%12%19%16%
Other Income15152021181215223631364539
Interest22221137911183144
Depreciation52545256575961626467706990
Profit before tax319324195377320260170223223169129252225
Tax %16%17%16%19%21%22%17%33%35%32%37%34%39%
Net Profit26726816130725219813214514611078164136
EPS in Rs10.5310.466.3612.099.867.745.135.645.674.253.026.425.72

Ipca Laboratories Ltd Quarterly Chart

Ipca Laboratories Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2,3592,8133,2823,1442,8673,1563,2583,7464,6195,3955,7976,2046,677
Expenses1,8942,2482,5392,6042,5732,7052,8033,0513,7153,8434,4725,2725,651
Operating Profit4655657435412944514556959041,5521,3259321,026
OPM %20%20%23%17%10%14%14%19%20%29%23%15%15%
Other Income1113213221114156655954123151
Interest443630323527282220121148105
Depreciation6787103180163173178182210209232262296
Profit before tax3644546313611172622915467391,3891,136745776
Tax %24%29%24%28%18%26%18%19%18%17%20%34%
Net Profit277324479254931952394426041,141890479488
EPS in Rs11.0112.8218.9610.073.697.719.4917.6023.9944.9434.8518.5819.41
Dividend Payout %15%16%13%5%0%6%5%9%10%9%11%22%

Ipca Laboratories Ltd Profit & Loss Yearly Chart

Ipca Laboratories Ltd Growth

Compounded Sales Growth
10 Years:8%
5 Years:14%
3 Years:10%
TTM:19%
Compounded Profit Growth
10 Years:3%
5 Years:14%
3 Years:-9%
TTM:-2%
Stock Price CAGR
10 Years:11%
5 Years:25%
3 Years:10%
1 Year:49%
Return on Equity
10 Years:15%
5 Years:17%
3 Years:17%
Last Year:8%

Ipca Laboratories Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital25252525252525252525252525
Reserves1,2291,5291,9342,1832,2342,4302,6633,0973,5904,6765,4395,8176,123
Borrowings6016176039358677166284655012658071,4811,987
Other Liabilities4725266486697657887999611,1421,0991,3491,3003,248
Total Liabilities2,3272,6973,2113,8123,8923,9604,1164,5495,2586,0667,6228,62311,384
Fixed Assets9441,1041,3541,8002,0141,9831,9531,9402,0592,0722,4022,7514,588
CWIP95129165267129957366133235306140267
Investments3499162613687120310505989626760
Other Assets1,2551,4551,6831,7291,7231,7462,0032,4222,7563,2543,9245,1055,769
Total Assets2,3272,6973,2113,8123,8923,9604,1164,5495,2586,0667,6228,62311,384

Ipca Laboratories Ltd Reserves and Borrowings Chart

Ipca Laboratories Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 3543895224687092823415015701,090856806
Cash from Investing Activity -280-260-369-689-218-149-135-165-509-521-851-725
Cash from Financing Activity -72-83-136251-462-159-130-183-137-306427507
Net Cash Flow246182929-2675153-76264432588

Ipca Laboratories Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days545450415758676671555758
Inventory Days268247272293289290286316294337337276
Days Payable95891109714513013715413514010183
Cash Conversion Cycle227212213237200218216228229251293251
Working Capital Days117112981068494107109113119127119
ROCE %24%24%28%14%5%9%10%16%19%31%20%11%

Ipca Laboratories Ltd Financial Efficiency Indicators Chart

Ipca Laboratories Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters46.29%46.29%46.29%46.29%46.29%46.29%46.29%46.29%46.29%46.29%46.29%46.29%
FIIs18.22%17.47%17.81%18.46%12.34%11.02%10.61%10.57%10.46%10.58%10.05%9.86%
DIIs24.22%24.82%25.12%25.24%30.02%32.70%33.49%33.46%33.71%33.74%34.86%34.72%
Government0.28%0.28%0.22%0.22%0.24%0.24%0.24%0.32%0.32%0.32%0.32%0.32%
Public10.99%11.14%10.57%9.80%11.11%9.75%9.37%9.34%9.22%9.06%8.46%8.80%
No. of Shareholders1,01,4761,00,6261,05,42895,2391,06,7791,15,3351,10,8181,11,0431,08,1771,10,29699,88995,930

Ipca Laboratories Ltd Shareholding Pattern Chart

No. of Ipca Laboratories Ltd Shareholders

Ipca Laboratories Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
HDFC Mid-Cap Opportunities Fund - Regular Plan134865102.771326.74
Kotak Emerging Equity Fund - Regular Plan70130492.05689.91
DSP Mid Cap Fund57048083.88561.21
Parag Parikh Flexi Cap Fund35418310.79348.43
DSP Small Cap Fund32296232.68317.71
Nippon India Growth Fund28431981.47279.7
ICICI Prudential Multi Asset Fund25651691.01252.35
HDFC Balanced Advantage Fund - Regular Plan24470560.38240.73
UTI Flexi Cap Fund21671790.87213.2
HSBC Midcap Fund19463002.39191.47

Ipca Laboratories Ltd ROCE Trend

Ipca Laboratories Ltd EPS Trend

Ipca Laboratories Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.002.002.002.00
Basic EPS (Rs.)18.5834.8545.0147.7735.01
Diluted EPS (Rs.)18.5834.8545.0147.7335.01
Cash EPS (Rs.)29.7045.07107.0665.0549.58
Book Value[Excl.RevalReserv]/Share (Rs.)233.16219.51371.79288.18248.35
Book Value[Incl.RevalReserv]/Share (Rs.)233.16219.51371.79288.18248.35
Revenue From Operations / Share (Rs.)246.13229.79427.28367.92298.63
PBDIT / Share (Rs.)41.4854.23126.7077.0659.32
PBIT / Share (Rs.)31.1745.07110.2160.4044.89
PBT / Share (Rs.)29.3844.77109.5059.1043.39
Net Profit / Share (Rs.)19.3935.9190.5748.3935.14
NP After MI And SOA / Share (Rs.)18.5834.8589.8747.9935.21
PBDIT Margin (%)16.8523.5929.6520.9419.86
PBIT Margin (%)12.6619.6125.7916.4115.03
PBT Margin (%)11.9319.4825.6216.0614.53
Net Profit Margin (%)7.8715.6221.1913.1511.76
NP After MI And SOA Margin (%)7.5415.1621.0313.0411.78
Return on Networth / Equity (%)8.0616.0924.2416.7114.24
Return on Capital Employeed (%)11.5918.5228.4819.4016.42
Return On Assets (%)5.4611.5718.7811.529.77
Long Term Debt / Equity (X)0.110.070.000.020.04
Total Debt / Equity (X)0.240.140.050.110.11
Asset Turnover Ratio (%)0.770.790.910.890.84
Current Ratio (X)2.873.042.962.152.17
Quick Ratio (X)1.911.771.591.161.19
Inventory Turnover Ratio (X)0.970.951.101.221.13
Dividend Payout Ratio (NP) (%)0.0011.478.9016.672.84
Dividend Payout Ratio (CP) (%)0.009.087.5212.372.01
Earning Retention Ratio (%)0.0088.5391.1083.3397.16
Cash Earning Retention Ratio (%)0.0090.9292.4887.6397.99
Interest Coverage Ratio (X)23.11178.91177.7959.0139.72
Interest Coverage Ratio (Post Tax) (X)11.80119.46128.0838.0524.53
Enterprise Value (Cr.)20234.9027148.8824038.8217785.2712498.93
EV / Net Operating Revenue (X)3.244.664.443.833.31
EV / EBITDA (X)19.2319.7314.9618.2716.68
MarketCap / Net Operating Revenue (X)3.294.624.453.773.29
Retention Ratios (%)0.0088.5291.0983.3297.15
Price / BV (X)3.524.905.134.833.98
Price / Net Operating Revenue (X)3.294.624.453.773.29
EarningsYield0.020.030.040.030.03

Ipca Laboratories Ltd Profitability Ratios (%)

Ipca Laboratories Ltd Liquidity Ratios

Ipca Laboratories Ltd Liquidity Ratios (%)

Ipca Laboratories Ltd Interest Coverage Ratios (%)

Ipca Laboratories Ltd Valuation Ratios

Fair Value of Ipca Laboratories Ltd Stock

Fair Value: ₹1182.97

The stock is overvalued by 3.35% compared to the current price ₹1224

*Investments are subject to market risks

Strength and Weakness of Ipca Laboratories Ltd Stock

StrengthWeakness
  1. The stock has a high average ROCE of 17.58%, which is a positive sign.
  2. The company has higher reserves (3,303.38 cr) compared to borrowings (805.62 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (3.62 cr) and profit (406.77 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 58.35 and average Dividend Yield of 17.90%.
  2. The stock has a high average Working Capital Days of 108.75, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 231.25, which may not be favorable.

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 Ipca Laboratories 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