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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Kanani Industries Ltd

About the Company - Kanani Industries Ltd

Kanani Industries Ltd. is a Public Limited Listed company incorporated on 22/03/1983 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L51900MH1983PLC029598 and registration number is 029598. Currently Company is involved in the business activities of Manufacture of jewellery and related articles. Company’s Total Operating Revenue is Rs. 84.56 Cr. and Equity Capital is Rs. 9.89 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Gems, Jewellery & Precious MetailsGE 1080, Bharat Diamond Bourse, G Block,Bandra Kurla Complex, Mumbai Maharashtra 400051info@kananiindustries.com
http://www.kananiindustries.com
Management
NamePosition Held
Mr. Premjibhai D KananiChairman & Wholetime Director
Mr. Harshil P KananiManaging Director
Mrs. Ami D JariwalaIndependent Director
Mr. Tejas ChoksiIndependent Director
Mr. Rahul JaveriIndependent Director
Mr. Darsh Lavjibhai KananiNon Exe.Non Ind.Director

Basic Stock Data of Kanani Industries Ltd

Last Updated: June 20, 2024, 10:41 pm

Market Cap 59.6 Cr.
Current Price 3.01
High / Low7.55/2.99
Stock P/E96.1
Book Value 3.20
Dividend Yield0.00 %
ROCE1.75 %
ROE0.98 %
Face Value 1.00
PEG Ratio-5.52

Kanani Industries Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales84.2987.6473.50101.1173.5642.5595.0165.9747.6561.8681.7365.7922.00
Expenses84.2287.5773.17100.6473.2241.9793.6464.8647.1561.6681.4465.2122.13
Operating Profit0.070.070.330.470.340.581.371.110.500.200.290.58-0.13
OPM %0.08%0.08%0.45%0.46%0.46%1.36%1.44%1.68%1.05%0.32%0.35%0.88%-0.59%
Other Income0.240.420.320.180.070.600.13-0.270.150.110.37-0.080.18
Interest0.140.320.230.300.220.040.170.290.200.260.290.120.15
Depreciation0.020.020.020.020.040.020.020.020.020.020.010.010.00
Profit before tax0.150.150.400.330.151.121.310.530.430.030.360.37-0.10
Tax %13.33%13.33%7.50%12.12%0.00%11.61%4.58%1.89%6.98%166.67%13.89%5.41%20.00%
Net Profit0.120.130.370.290.150.991.250.530.41-0.010.320.34-0.08
EPS in Rs0.010.010.020.010.010.050.060.030.02-0.000.020.02-0.00

Last Updated: June 11, 2024, 2:53 am

Kanani Industries Ltd Quarterly Chart

Kanani Industries Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales166292338444496443386344377312291270257
Expenses162291333441493443385340373311289267255
Operating Profit41533-01431232
OPM %2%1%1%1%1%-0%0%1%1%0%1%1%1%
Other Income-11-00021011101
Interest2211111111111
Depreciation0000000000000
Profit before tax1132211231221
Tax %9%8%3%6%9%25%15%7%7%20%10%6%
Net Profit1132201230221
EPS in Rs0.070.100.300.170.190.050.080.220.260.040.180.220.10
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Kanani Industries Ltd Profit & Loss Yearly Chart

Kanani Industries Ltd Growth

Compounded Sales Growth
10 Years:-4%
5 Years:-8%
3 Years:-11%
TTM:-18%
Compounded Profit Growth
10 Years:-17%
5 Years:-22%
3 Years:54%
TTM:-71%
Stock Price CAGR
10 Years:-5%
5 Years:5%
3 Years:-10%
1 Year:-23%
Return on Equity
10 Years:2%
5 Years:2%
3 Years:2%
Last Year:1%

Last Updated: June 15, 2024, 4:35 pm

Kanani Industries Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital9101010101010101010101010
Reserves31323536393940434747495354
Borrowings48152635302935372522243120
Other Liabilities298712374917975617355583648
Total Liabilities117143193155169156160151155133141131131
Fixed Assets1111110100000
CWIP0000000000000
Investments0000000000000
Other Assets116142192155169156159150154133141130131
Total Assets117143193155169156160151155133141131131

Kanani Industries Ltd Reserves and Borrowings Chart

Kanani Industries Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -4929-7-36-4-7-163-2-3
Cash from Investing Activity -10000-0-0-000-00
Cash from Financing Activity 57-33119-5-162-12-327
Net Cash Flow7-4461-5-01-6-003

Kanani Industries Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days2111461541029999116115115128128128
Inventory Days262745131320253330224236
Days Payable65109135616765716572657350
Cash Conversion Cycle17365655446557083748597114
Working Capital Days17666675547567184758798116
ROCE %4%9%4%4%3%1%4%4%1%2%4%

Kanani Industries Ltd Financial Efficiency Indicators Chart

Kanani Industries Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters74.83%74.83%74.83%74.83%74.83%71.72%61.35%61.35%61.35%61.35%61.35%61.35%
Public25.17%25.17%25.17%25.17%25.17%28.28%38.65%38.65%38.65%38.64%38.64%38.65%
No. of Shareholders2,9073,1163,9464,1166,1265,65433,32228,51427,06125,87426,01827,429

Kanani Industries Ltd Shareholding Pattern Chart

No. of Kanani Industries Ltd Shareholders

This stock is not held by any mutual fund

Kanani Industries Ltd ROCE Trend

Kanani Industries Ltd EPS Trend

Kanani Industries Ltd Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)0.030.220.180.040.26
Diluted EPS (Rs.)0.030.220.180.040.26
Cash EPS (Rs.)0.030.220.190.050.27
Book Value[Excl.RevalReserv]/Share (Rs.)3.206.335.945.715.71
Book Value[Incl.RevalReserv]/Share (Rs.)3.206.335.945.715.71
Revenue From Operations / Share (Rs.)11.2627.3429.3931.4938.06
PBDIT / Share (Rs.)0.070.330.290.170.38
PBIT / Share (Rs.)0.070.320.280.170.36
PBT / Share (Rs.)0.030.230.200.050.27
Net Profit / Share (Rs.)0.030.210.180.040.25
NP After MI And SOA / Share (Rs.)0.030.210.180.040.25
PBDIT Margin (%)0.651.220.990.571.00
PBIT Margin (%)0.641.190.960.540.96
PBT Margin (%)0.300.850.690.170.72
Net Profit Margin (%)0.270.800.620.140.68
NP After MI And SOA Margin (%)0.270.800.620.140.68
Return on Networth / Equity (%)0.973.463.070.774.53
Return on Capital Employeed (%)2.064.444.702.875.95
Return On Assets (%)0.651.661.280.321.65
Long Term Debt / Equity (X)0.090.160.010.030.07
Total Debt / Equity (X)0.090.500.410.390.44
Asset Turnover Ratio (%)1.980.690.750.630.70
Current Ratio (X)3.682.251.721.781.64
Quick Ratio (X)3.011.801.321.531.32
Inventory Turnover Ratio (X)1.783.295.383.784.00
Interest Coverage Ratio (X)1.913.613.681.564.26
Interest Coverage Ratio (Post Tax) (X)1.813.383.301.393.90
Enterprise Value (Cr.)79.3882.65243.0058.4848.33
EV / Net Operating Revenue (X)0.350.300.830.180.12
EV / EBITDA (X)54.5525.0384.1832.9112.83
MarketCap / Net Operating Revenue (X)0.330.210.760.120.07
Price / BV (X)1.180.943.790.710.48
Price / Net Operating Revenue (X)0.330.210.760.120.07
EarningsYield0.010.030.010.010.09

Kanani Industries Ltd Profitability Ratios (%)

Kanani Industries Ltd Liquidity Ratios

Kanani Industries Ltd Liquidity Ratios (%)

Kanani Industries Ltd Interest Coverage Ratios (%)

Kanani Industries Ltd Valuation Ratios

Fair Value

Fair Value: 3.07

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: 2.13% compared to the current price 3.01

Intrinsic Value: 2.54

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.

Overvalued: 15.64% compared to the current price ₹3.01

Last 5 Year EPS CAGR: -17.40%

*Investments are subject to market risks

Strength and Weakness of Kanani Industries Ltd Stock

StrengthWeakness
  1. The company has higher reserves (41.92 cr) compared to borrowings (29.00 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (339.69 cr) and profit (1.69 cr) over the years.
  1. The stock has a low average ROCE of 3.33%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 83.17, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 81.75, which may not be favorable.

FAQ

What is the latest fair value of Kanani Industries Ltd?

The latest fair value of Kanani Industries Ltd is ₹3.07.

What is the Market Cap of Kanani Industries Ltd?

The Market Cap of Kanani Industries Ltd is 59.6 Cr..

What is the current Stock Price of Kanani Industries Ltd as on 21 June 2024?

The current stock price of Kanani Industries Ltd as on 21 June 2024 is ₹3.01.

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

In FY 2024, the High / Low of Kanani Industries Ltd stocks is 7.55/2.99.

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

The Stock P/E of Kanani Industries Ltd is 96.1.

What is the Book Value of Kanani Industries Ltd?

The Book Value of Kanani Industries Ltd is 3.20.

What is the Dividend Yield of Kanani Industries Ltd?

The Dividend Yield of Kanani Industries Ltd is 0.00 %.

What is the ROCE of Kanani Industries Ltd?

The ROCE of Kanani Industries Ltd is 1.75 %.

What is the ROE of Kanani Industries Ltd?

The ROE of Kanani Industries Ltd is 0.98 %.

What is the Face Value of Kanani Industries Ltd?

The Face Value of Kanani Industries Ltd is 1.00.

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 Kanani Industries 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