Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 31 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 500241 | NSE: KIRLOSBROS

Kirloskar Brothers Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 31, 2024, 9:04 am

Market Cap 16,072 Cr.
Current Price 2,024
High / Low 2,685/837
Stock P/E40.8
Book Value 233
Dividend Yield0.30 %
ROCE27.3 %
ROE21.7 %
Face Value 2.00
PEG Ratio2.43

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

View Share Price Target for Kirloskar Brothers Ltd

Competitors of Kirloskar Brothers Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hawa Engineers Ltd 80.3 Cr. 228 338/11728.6 55.90.00 %14.7 %10.4 % 10.0
Shakti Pumps (India) Ltd 12,564 Cr. 1,045 1,155/16538.2 78.40.06 %31.4 %24.2 % 10.0
Latteys Industries Ltd 182 Cr. 31.6 48.6/13.0117 3.400.00 %11.8 %9.00 % 2.00
Bright Solar Ltd 10.2 Cr. 4.10 12.5/3.90 11.80.00 %10.9 %11.5 % 10.0
Kirloskar Brothers Ltd 16,072 Cr. 2,024 2,685/83740.8 2330.30 %27.3 %21.7 % 2.00
Industry Average10,376.50 Cr676.9555.9876.680.14%19.90%15.65%6.00

All Competitor Stocks of Kirloskar Brothers Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales6277517259547848649581,1259009139651,2241,031
Expenses6017156828607438018089807908188411,033919
Operating Profit26364395416314914511095124191112
OPM %4%5%6%10%5%7%16%13%12%10%13%16%11%
Other Income17316474-013102163615
Interest871087812886586
Depreciation16152017161718181819212121
Profit before tax1816297324421191329572114199100
Tax %40%76%31%35%38%29%25%31%30%34%27%28%29%
Net Profit126225516318910164518215366
EPS in Rs1.520.762.736.861.943.8711.1712.628.026.3510.3119.178.20

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales2,5942,6752,7132,6422,5262,7753,3493,1352,7173,0583,7304,0014,133
Expenses2,3842,4672,5202,5672,4312,6253,2212,9282,4752,8523,3303,4813,611
Operating Profit2102081937595151128207241206400520521
OPM %8%8%7%3%4%5%4%7%9%7%11%13%13%
Other Income631527312123375332226570
Interest55515051454047524433352624
Depreciation49559566655964716870697882
Profit before tax11210563-15167341121182135318481486
Tax %41%38%28%-25%111%37%113%44%15%40%29%29%
Net Profit666545-2345037216194236350352
EPS in Rs8.318.075.18-3.040.486.220.449.0520.2911.8829.5943.8444.03
Dividend Payout %24%31%10%-16%207%40%570%28%15%25%15%14%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)-1.52%-30.77%-151.11%117.39%1150.00%-94.00%2300.00%123.61%-41.61%151.06%48.31%
Change in YoY Net Profit Growth (%)0.00%-29.25%-120.34%268.50%1032.61%-1244.00%2394.00%-2176.39%-165.23%192.68%-102.76%

Kirloskar Brothers Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:4%
5 Years:4%
3 Years:14%
TTM:9%
Compounded Profit Growth
10 Years:17%
5 Years:155%
3 Years:29%
TTM:30%
Stock Price CAGR
10 Years:24%
5 Years:69%
3 Years:82%
1 Year:125%
Return on Equity
10 Years:9%
5 Years:15%
3 Years:17%
Last Year:22%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:49 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital16161616161616161616161616
Reserves9159809969078829278939271,0891,1621,3881,7031,837
Borrowings334297355362359346380578331396286192167
Other Liabilities1,1361,2831,2581,1661,1941,2661,3771,3271,2791,2891,3261,4131,290
Total Liabilities2,4012,5762,6252,4502,4512,5552,6662,8482,7152,8623,0163,3253,311
Fixed Assets533543571501480461457501481532532634644
CWIP171012641325517327823226
Investments412043464957104195333317410441
Other Assets1,8472,0112,0421,9011,9212,0312,1272,1911,9661,9702,0852,2492,200
Total Assets2,4012,5762,6252,4502,4512,5552,6662,8482,7152,8623,0163,3253,311

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +1901891279710011062305317114329376
Cash from Investing Activity +-64-74-134-47-35-44-57-172-145-183-73-184
Cash from Financing Activity +-93-112-2-50-58-52-23125-31530-169-147
Net Cash Flow333-9-0814-19259-143-398745

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-124.00-89.00-162.00-287.00-264.00-195.00-252.00-371.00-90.00-190.00114.00328.00

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

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days7993106787771665762624848
Inventory Days86668699122130123137152140133157
Days Payable140140158147155144135119138128112122
Cash Conversion Cycle261933304358557576736983
Working Capital Days696876676569594646514446
ROCE %14%13%9%3%5%9%7%12%15%11%22%27%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters65.95%65.95%65.95%65.95%65.95%65.95%65.95%65.95%65.95%65.95%65.95%65.95%
FIIs1.48%1.67%1.67%1.53%1.56%1.59%1.78%3.50%3.88%4.11%5.03%5.12%
DIIs9.05%9.05%9.02%9.01%8.95%9.27%8.98%9.31%9.40%9.77%9.88%10.11%
Public23.52%23.33%23.36%23.52%23.55%23.18%23.29%21.23%20.77%20.18%19.13%18.81%
No. of Shareholders22,35622,52522,52122,99525,39725,30134,53241,23840,36343,05850,10970,037

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund4,384,0761.771068.447,0282024-12-309222.27%
Bandhan Infrastructure Fund434,4525.47105.8847,0282024-12-30823.82%
Franklin India Smaller Companies Fund361,0350.6187.9847,0282024-12-30667.7%
Franklin India Opportunities Fund318,9611.5577.7347,0282024-12-30578.24%
Mahindra Manulife Small Cap Fund230,0871.1156.0747,0282024-12-30389.26%
DSP Tiger Fund228,2181.0455.6247,0282024-12-30385.28%
Mahindra Manulife Business Cycle Fund75,2641.6818.3447,0282024-12-3060.04%
Mahindra Manulife Manufacturing Fund51,8201.4112.6347,0282024-12-3010.19%
Motilal Oswal Nifty Microcap 250 Index Fund47,0280.8511.4647,0282024-12-300%
Bandhan Small Cap Fund45,4970.1711.0947,0282024-12-30-3.26%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)43.8429.5911.8820.299.05
Diluted EPS (Rs.)43.8429.5911.8820.299.05
Cash EPS (Rs.)52.6336.9819.0227.9417.56
Book Value[Excl.RevalReserv]/Share (Rs.)217.11177.22148.60139.43119.12
Book Value[Incl.RevalReserv]/Share (Rs.)217.11177.22148.60139.43119.12
Revenue From Operations / Share (Rs.)503.87469.74385.04342.09394.84
PBDIT / Share (Rs.)72.8253.6830.0337.0530.80
PBIT / Share (Rs.)62.9445.0421.2828.4921.83
PBT / Share (Rs.)60.5240.0517.0622.9315.28
Net Profit / Share (Rs.)42.7628.3410.2719.388.60
NP After MI And SOA / Share (Rs.)43.8429.5911.8820.299.05
PBDIT Margin (%)14.4511.427.7910.837.80
PBIT Margin (%)12.499.585.528.325.52
PBT Margin (%)12.018.524.436.703.86
Net Profit Margin (%)8.486.032.665.662.17
NP After MI And SOA Margin (%)8.706.293.085.932.29
Return on Networth / Equity (%)20.2516.738.0114.587.62
Return on Capital Employeed (%)26.0321.8011.7818.0115.14
Return On Assets (%)10.477.793.275.932.52
Long Term Debt / Equity (X)0.030.070.110.070.12
Total Debt / Equity (X)0.090.180.310.240.58
Asset Turnover Ratio (%)1.260.960.850.700.83
Current Ratio (X)1.701.551.411.281.19
Quick Ratio (X)1.091.030.950.860.82
Inventory Turnover Ratio (X)2.462.452.361.761.99
Dividend Payout Ratio (NP) (%)10.2610.1425.252.4660.23
Dividend Payout Ratio (CP) (%)8.377.8414.531.7330.26
Earning Retention Ratio (%)89.7489.8674.7597.5439.77
Cash Earning Retention Ratio (%)91.6392.1685.4798.2769.74
Interest Coverage Ratio (X)22.3912.057.136.664.70
Interest Coverage Ratio (Post Tax) (X)13.897.483.444.492.31
Enterprise Value (Cr.)8640.063244.052365.632003.65937.98
EV / Net Operating Revenue (X)2.160.860.770.730.29
EV / EBITDA (X)14.947.619.926.813.84
MarketCap / Net Operating Revenue (X)2.190.860.730.700.22
Retention Ratios (%)89.7389.8574.7497.5339.76
Price / BV (X)5.102.311.911.720.74
Price / Net Operating Revenue (X)2.190.860.730.700.22
EarningsYield0.030.070.040.080.10

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Kirloskar Brothers Ltd as of December 31, 2024 is: 2,069.08

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.

As of December 31, 2024, Kirloskar Brothers Ltd is Undervalued by 2.23% compared to the current share price 2,024.00

Intrinsic Value of Kirloskar Brothers Ltd as of December 31, 2024 is: 2,415.85

Calculation basis:

  • Intrinsic 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.

As of December 31, 2024, Kirloskar Brothers Ltd is Undervalued by 19.36% compared to the current share price 2,024.00

Last 5 Year EPS CAGR: 16.76%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (1,123.54 cr) compared to borrowings (337.15 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (2.62 cr) and profit (162.92 cr) over the years.
  1. The stock has a low average ROCE of 12.25%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 58.83, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 53.33, 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 Kirloskar Brothers Ltd:
    1. Net Profit Margin: 8.48%
      • 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: 26.03% (Industry Average ROCE: 19.9%)
      • 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%: 20.25% (Industry Average ROE: 15.65%)
      • 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): 13.89
      • 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: 1.09
      • 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: 40.8 (Industry average Stock P/E: 46.65)
      • 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: 0.09
      • 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

Kirloskar Brothers Ltd. is a Public Limited Listed company incorporated on 15/01/1920 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L29113PN1920PLC000670 and registration number is 000670. Currently Company is involved in the business activities of Manufacture of fluid power equipment. Company’s Total Operating Revenue is Rs. 2165.94 Cr. and Equity Capital is Rs. 15.88 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
PumpsYamuna, Survey No. 98 (3-7), Pune Maharashtra 411045grievance.redressal@kbl.co.in
http://www.kirloskarpumps.com
Management
NamePosition Held
Mr. Sanjay KirloskarChairman & Managing Director
Ms. Rama KirloskarJoint Managing Director
Mr. Alok KirloskarNon Executive Director
Mr. Rajeev KherIndependent Director
Mr. Vivek PendharkarIndependent Director
Ms. Rekha SethiIndependent Director
Mr. Vinayak DeshpandeIndependent Director
Mr. Shrinivas V DempoIndependent Director
Mr. Shobinder S DuggalIndependent Director
Ms. Ramni D NirulaIndependent Director
Mr. M S UnnikrishnanIndependent Director

FAQ

What is the latest intrinsic value of Kirloskar Brothers Ltd?

The latest intrinsic value of Kirloskar Brothers Ltd as on 31 December 2024 is ₹2069.08, which is 2.23% higher than the current market price of ₹2,024.00. The stock has a market capitalization of 16,072 Cr. and recorded a high/low of 2,685/837 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹1,837 Cr and total liabilities of ₹3,311 Cr.

What is the Market Cap of Kirloskar Brothers Ltd?

The Market Cap of Kirloskar Brothers Ltd is 16,072 Cr..

What is the current Stock Price of Kirloskar Brothers Ltd as on 31 December 2024?

The current stock price of Kirloskar Brothers Ltd as on 31 December 2024 is 2,024.

What is the High / Low of Kirloskar Brothers Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Kirloskar Brothers Ltd stocks is 2,685/837.

What is the Stock P/E of Kirloskar Brothers Ltd?

The Stock P/E of Kirloskar Brothers Ltd is 40.8.

What is the Book Value of Kirloskar Brothers Ltd?

The Book Value of Kirloskar Brothers Ltd is 233.

What is the Dividend Yield of Kirloskar Brothers Ltd?

The Dividend Yield of Kirloskar Brothers Ltd is 0.30 %.

What is the ROCE of Kirloskar Brothers Ltd?

The ROCE of Kirloskar Brothers Ltd is 27.3 %.

What is the ROE of Kirloskar Brothers Ltd?

The ROE of Kirloskar Brothers Ltd is 21.7 %.

What is the Face Value of Kirloskar Brothers Ltd?

The Face Value of Kirloskar Brothers Ltd is 2.00.

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 Kirloskar Brothers 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