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Last Updated on: 23 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Rossari Biotech Ltd

About the Company - Rossari Biotech Ltd

Rossari Biotech Ltd. is a Public Limited Listed company incorporated on 10/08/2009 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24100MH2009PLC194818 and registration number is 194818. Currently Company is involved in the business activities of Manufacture of organic and inorganic chemical compounds. Company’s Total Operating Revenue is Rs. 1072.84 Cr. and Equity Capital is Rs. 11.01 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Chemicals - Speciality - Others201 A-B, 2nd Floor, Akruti Corporate Park, Mumbai Maharashtra 400078investors@rossari.com
http://www.rossari.com
Management
NamePosition Held
Mr. Edward MenezesExecutive Chairman
Mr. Sunil ChariManaging Director
Ms. Meher CastelinoIndependent Director
Mr. Goutam BhattacharyaIndependent Director
Mr. Aseem DhruIndependent Director
Mr. Robin BanerjeeIndependent Director
Maj.Gen.(Retd.) Sharabh PachoryIndependent Director

Rossari Biotech Ltd. Share Price Update

Share PriceValue
Today₹728.30
Previous Day₹731.50

Basic Stock Data of Rossari Biotech Ltd

Market Cap 4,222 Cr.
Current Price 764
High / Low904/536
Stock P/E33.6
Book Value 177
Dividend Yield0.06 %
ROCE18.4 %
ROE12.4 %
Face Value 2.00

Data Source: screener.in

Competitors of Rossari Biotech Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Chembond Chemicals Ltd 693 Cr. 515640/23014.5 2550.59 %10.9 %7.89 % 5.00
Thirumalai Chemicals Ltd 2,677 Cr. 261264/168 1180.57 %10.9 %7.88 % 1.00
Vadivarhe Speciality Chemicals Ltd 48.4 Cr. 37.955.0/27.6 2.090.00 %7.61 %13.5 % 10.0
Omkar Speciality Chemicals Ltd 17.2 Cr. 8.3512.4/6.80 83.00.00 %10.5 %% 10.0
Panama Petrochem Ltd 2,161 Cr. 357371/26811.6 1682.23 %34.9 %27.1 % 2.00
Industry Average152.52 Cr235.855.22125.220.68%14.96%11.27%5.6

Rossari Biotech Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales172210218231385428439435425389406411483
Expenses142176182194339381387377369335352353420
Operating Profit30343637464852585754555864
OPM %18%16%17%16%12%11%12%13%13%14%13%14%13%
Other Income4123263111321
Interest1011255585465
Depreciation6676101617151616161415
Profit before tax28283033363334393435373945
Tax %25%24%26%26%27%30%30%26%29%26%22%26%26%
Net Profit21222225262324292426292933
EPS in Rs3.994.164.324.464.764.144.375.214.344.665.255.305.97

Rossari Biotech Ltd Quarterly Chart

Rossari Biotech Ltd Profit & Loss

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales5166007091,4831,6561,690
Expenses4384955861,2991,4331,460
Operating Profit78105124184223230
OPM %15%17%17%12%13%14%
Other Income1491368
Interest343132220
Depreciation121723486361
Profit before tax6388107136144156
Tax %28%26%25%28%26%
Net Profit46658098107117
EPS in Rs103.8212.8615.4517.7419.4521.18
Dividend Payout %0%4%3%3%3%

Rossari Biotech Ltd Profit & Loss Yearly Chart

Rossari Biotech Ltd Growth

Compounded Sales Growth
10 Years:%
5 Years:%
3 Years:40%
TTM:5%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:18%
TTM:23%
Stock Price CAGR
10 Years:%
5 Years:%
3 Years:-7%
1 Year:16%
Return on Equity
10 Years:%
5 Years:%
3 Years:16%
Last Year:12%

Rossari Biotech Ltd Balance Sheet

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital41010111111
Reserves119277398794904967
Borrowings8670874132
Other Liabilities118118152442375424
Total Liabilities2504715611,2551,3641,534
Fixed Assets7494181607584600
CWIP322011624
Investments0180365124
Other Assets173338379611714885
Total Assets2504715611,2551,3641,534

Rossari Biotech Ltd Reserves and Borrowings Chart

Rossari Biotech Ltd Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 71574829152
Cash from Investing Activity -37-190-37-299-181
Cash from Financing Activity -29157-2529261
Net Cash Flow523-142232

Rossari Biotech Ltd Financial Efficiency Indicators

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days6157747578
Inventory Days5957756359
Days Payable114951046158
Cash Conversion Cycle619467679
Working Capital Days2539606458
ROCE %38%29%24%18%

Rossari Biotech Ltd Financial Efficiency Indicators Chart

Rossari Biotech Ltd Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters72.69%68.70%68.56%68.56%68.56%68.56%68.46%68.44%68.44%68.44%68.35%68.34%
FIIs7.04%7.82%8.46%9.13%9.03%8.51%8.84%8.63%7.46%6.12%5.74%4.14%
DIIs12.66%13.60%12.87%12.77%12.29%13.02%14.15%14.08%15.09%17.71%17.68%18.06%
Public7.61%9.88%10.10%9.54%10.12%9.91%8.55%8.85%9.01%7.73%8.23%9.45%
No. of Shareholders40,10549,32465,83176,49492,09998,56595,66497,08196,63495,37195,2001,00,423

Rossari Biotech Ltd Shareholding Pattern Chart

No. of Rossari Biotech Ltd Shareholders

Rossari Biotech Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
SBI Small Cap Fund20167980.64145.68
UTI Flexi Cap Fund19157520.54138.38
SBI Flexi Cap Fund16480080.64119.04
Canara Robeco Small Cap Fund10672930.9385.29
UTI Small Cap Fund4072150.8529.42
Bandhan Focused Equity Fund2289331.2318.3
UTI Unit Linked Insurance Plan (ULIP) - Fifteen Year Plan1435970.210.37
UTI Unit Linked Insurance Plan (ULIP) - Ten Year Plan1435970.210.37
Nippon India Nifty Smallcap 250 Index Fund120150.10.96
SBI Tax Advantage Fund - Series III70001.550.51

Rossari Biotech Ltd ROCE Trend

Rossari Biotech Ltd EPS Trend

Rossari Biotech Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)19.4617.8115.5613.429.44
Diluted EPS (Rs.)19.3817.7015.4713.239.44
Cash EPS (Rs.)30.6826.1919.7316.2226.34
Book Value[Excl.RevalReserv]/Share (Rs.)165.93146.2578.7256.3956.28
Book Value[Incl.RevalReserv]/Share (Rs.)165.93146.2578.7256.3956.28
Revenue From Operations / Share (Rs.)300.22269.36136.60118.23234.64
PBDIT / Share (Rs.)41.4335.5025.4721.3735.70
PBIT / Share (Rs.)30.0226.7721.0718.0530.12
PBT / Share (Rs.)25.9724.4720.4917.3528.81
Net Profit / Share (Rs.)19.2717.4615.3412.9020.77
NP After MI And SOA / Share (Rs.)19.4517.7415.4512.8620.77
PBDIT Margin (%)13.7913.1718.6418.0715.21
PBIT Margin (%)9.999.9315.4215.2612.83
PBT Margin (%)8.659.0815.0014.6712.28
Net Profit Margin (%)6.416.4811.2210.918.84
NP After MI And SOA Margin (%)6.476.5811.3010.878.84
Return on Networth / Equity (%)11.7112.1319.6222.8036.89
Return on Capital Employeed (%)16.2215.3126.6128.3851.75
Return On Assets (%)7.847.7714.2913.8318.28
Long Term Debt / Equity (X)0.030.000.000.110.01
Total Debt / Equity (X)0.080.010.000.210.03
Asset Turnover Ratio (%)0.811.441.361.672.48
Current Ratio (X)2.082.072.362.191.31
Quick Ratio (X)1.541.421.731.800.86
Inventory Turnover Ratio (X)3.666.985.926.537.87
Dividend Payout Ratio (NP) (%)2.562.813.164.0523.18
Dividend Payout Ratio (CP) (%)1.611.882.463.2218.27
Earning Retention Ratio (%)97.4497.1996.8495.9576.82
Cash Earning Retention Ratio (%)98.3998.1297.5496.7881.73
Interest Coverage Ratio (X)10.2415.4444.2030.4927.29
Interest Coverage Ratio (Post Tax) (X)5.768.6027.6219.4116.87
Enterprise Value (Cr.)3233.014985.625300.000.000.00
EV / Net Operating Revenue (X)1.953.367.470.000.00
EV / EBITDA (X)14.1525.5140.080.000.00
MarketCap / Net Operating Revenue (X)1.983.397.600.000.00
Retention Ratios (%)97.4397.1896.8395.9476.81
Price / BV (X)3.596.2513.180.000.00
Price / Net Operating Revenue (X)1.983.397.600.000.00
EarningsYield0.030.010.010.000.00

Rossari Biotech Ltd Profitability Ratios (%)

Rossari Biotech Ltd Liquidity Ratios

Rossari Biotech Ltd Liquidity Ratios (%)

Rossari Biotech Ltd Interest Coverage Ratios (X)

Rossari Biotech Ltd Valuation Ratios

Fair Value / Intrinsic Value of Rossari Biotech Ltd

Fair Value: ₹737.90

The stock is overvalued by 3.42% compared to the current price ₹764

*Investments are subject to market risks

Strength and Weakness of Rossari Biotech Ltd

StrengthWeakness
  1. The stock has a high average ROCE of 21.80%, which is a positive sign.
  2. The company has higher reserves (576.50 cr) compared to borrowings (48.17 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (304.67 cr) and profit (115.67 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 25.21 and average Dividend Yield of 12.69%.
  2. The stock has a high average Working Capital Days of 49.20, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 45.20, which may not be favorable.

Should I Buy Rossari Biotech Ltd Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in Rossari Biotech Ltd:
    1. Net Profit Margin: 6.41%
      • 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: 16.22% (Industry Average ROCE: 25.96%)
      • 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): 5.76
      • 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: 1.54
      • 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: 33.6 (Industry average Stock P/E: 42.64)
      • 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: 0.08
      • 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 Rossari Biotech 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