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

Fundamental Analysis of S H Kelkar & Company Ltd (SHK)

About the Company - S H Kelkar & Company Ltd (SHK)

S H Kelkar & Company Ltd. is a Public Limited Listed company incorporated on 01/07/1955 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L74999MH1955PLC009593 and registration number is 009593. Currently Company is involved in the business activities of Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms. Company’s Total Operating Revenue is Rs. 806.89 Cr. and Equity Capital is Rs. 138.42 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Personal CareDevkaran Mansion, 36, Mangaldas Road, Mumbai Maharashtra 400002investors@keva.co.in
https://www.keva.co.in
Management
NamePosition Held
Mr. Ramesh VazeChairman & Non-Exe.Director
Mr. Kedar VazeWholeTime Director & Group CEO
Mrs. Prabha VazeNon Executive Director
Mr. Deepak Raj BindraIndependent Director
Mr. Shrikant OkaIndependent Director
Mr. Vasant GujarathiIndependent Director
Mr. Mark ElliottIndependent Director
Ms. Neela BhattacherjeeIndependent Director

S H Kelkar & Company Ltd. Share Price Update

Share PriceValue
Today₹206.50
Previous Day₹203.60

Basic Stock Data of S H Kelkar & Company Ltd (SHK)

Market Cap 2,810 Cr.
Current Price 203
High / Low226/81.6
Stock P/E29.9
Book Value 82.5
Dividend Yield1.00 %
ROCE8.04 %
ROE6.66 %
Face Value 10.0

Data Source: screener.in

Competitors of S H Kelkar & Company Ltd (SHK)

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Navin Fluorine International Ltd 15,736 Cr. 3,1744,950/3,00153.4 4570.22 %20.4 %18.2 % 2.00
Tamil Nadu Petro Products Ltd 912 Cr. 101114/68.414.7 93.61.48 %15.1 %11.8 % 10.0
SRF Ltd 70,899 Cr. 2,3922,637/2,04048.0 3660.30 %22.4 %22.8 % 10.0
Andhra Sugars Ltd 1,532 Cr. 113129/100.018.6 1141.78 %16.0 %12.6 % 2.00
Shree Pushkar Chemicals & Fertilizers Ltd 603 Cr. 191242/14016.4 1440.78 %11.6 %8.91 % 10.0
Industry Average320.2 Cr8230.22234.920.91%17.1%14.86%6.8

S H Kelkar & Company Ltd (SHK) Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales378397356359399451415414385472445455496
Expenses311330314305340391360363341405375384419
Operating Profit67674154596055524367707277
OPM %18%17%12%15%15%13%13%12%11%14%16%16%15%
Other Income583-543192-20122
Interest4434455567101011
Depreciation17181717172020202021222223
Profit before tax51532427433731351919394146
Tax %31%25%-233%19%25%64%26%28%29%94%29%27%29%
Net Profit3540812232142325131283032
EPS in Rs2.502.845.761.572.290.901.561.750.940.171.972.122.32

S H Kelkar & Company Ltd (SHK) Quarterly Chart

S H Kelkar & Company Ltd (SHK) Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales5696667618349259811,0211,0481,1141,3221,5641,6871,758
Expenses4655466287167748148629089551,0831,3501,4691,506
Operating Profit104119132119151167159141160239215217253
OPM %18%18%17%14%16%17%16%13%14%18%14%13%14%
Other Income6-1122510121321-28366-8-17
Interest292318192265162620162434
Depreciation17171929301924315262728084
Profit before tax63791099411015314311554194132104118
Tax %33%31%27%26%34%31%35%24%34%26%-13%40%
Net Profit42627970731059488361441496372
EPS in Rs7,533.725,134.665,980.355.325.057.256.496.122.5310.2410.734.425.20
Dividend Payout %0%13%19%28%30%24%27%0%38%17%7%45%

S H Kelkar & Company Ltd (SHK) Profit & Loss Yearly Chart

S H Kelkar & Company Ltd (SHK) Growth

Compounded Sales Growth
10 Years:10%
5 Years:11%
3 Years:15%
TTM:12%
Compounded Profit Growth
10 Years:1%
5 Years:-7%
3 Years:6%
TTM:30%
Stock Price CAGR
10 Years:%
5 Years:6%
3 Years:20%
1 Year:81%
Return on Equity
10 Years:12%
5 Years:11%
3 Years:12%
Last Year:7%

S H Kelkar & Company Ltd (SHK) Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital51213132145145145145141141138138138
Reserves2644604673685716677127196838108759261,003
Preference Capital10201900000000
Borrowings2311522112438574172342365518698620657
Other Liabilities206147170196201187246222277405568518571
Total Liabilities7067708619391,0031,0731,2751,4271,4661,8742,2792,2022,369
Fixed Assets206210251274227296352462472741959914885
CWIP284350101876038182892628
Investments3341003550969797112365
Other Assets4384765596557227207678308791,1031,3091,2391,391
Total Assets7067708619391,0031,0731,2751,4271,4661,8742,2792,2022,369

S H Kelkar & Company Ltd (SHK) Reserves and Borrowings Chart

S H Kelkar & Company Ltd (SHK) Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 731033262861021037720519550197
Cash from Investing Activity -37-33-62-17-77-103-162-138-42-148-134-110
Cash from Financing Activity -57-6136-7-24-162849-1968812-175
Net Cash Flow-219637-14-17-31-12-33135-71-88

S H Kelkar & Company Ltd (SHK) Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days849486859081999910410310895
Inventory Days283234255252239247233239201216225228
Days Payable597780761167810486103125143138
Cash Conversion Cycle307252261261213250228252202195190185
Working Capital Days192156157146152148152178149143157145
ROCE %16%17%18%14%17%19%17%12%10%15%10%8%

S H Kelkar & Company Ltd (SHK) Financial Efficiency Indicators Chart

S H Kelkar & Company Ltd (SHK) Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters58.57%58.57%58.57%58.57%58.57%58.46%58.46%57.66%58.47%58.65%58.95%58.95%
FIIs8.43%7.09%7.08%7.38%7.60%9.33%9.77%9.54%9.27%9.30%9.68%8.33%
DIIs5.31%5.63%4.85%5.00%4.70%3.85%3.82%3.81%3.74%2.78%1.37%1.42%
Public25.35%26.38%27.17%26.71%26.80%26.01%25.61%26.65%26.19%26.92%27.66%31.28%
Others2.34%2.34%2.34%2.34%2.34%2.34%2.34%2.34%2.34%2.34%2.34%0.00%
No. of Shareholders35,54637,82144,81954,07854,93750,75948,41247,14445,60245,15544,88042,086

S H Kelkar & Company Ltd (SHK) Shareholding Pattern Chart

No. of S H Kelkar & Company Ltd (SHK) Shareholders

S H Kelkar & Company Ltd (SHK) Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
Tata Small Cap Fund16632480.4125.91

S H Kelkar & Company Ltd (SHK) ROCE Trend

S H Kelkar & Company Ltd (SHK) EPS Trend

S H Kelkar & Company Ltd (SHK) Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)4.5310.8110.482.566.20
Diluted EPS (Rs.)4.5310.8110.482.566.20
Cash EPS (Rs.)10.3715.9814.526.108.23
Book Value[Excl.RevalReserv]/Share (Rs.)79.6679.0167.5559.0560.45
Book Value[Incl.RevalReserv]/Share (Rs.)79.6679.0167.5559.0560.45
Revenue From Operations / Share (Rs.)121.84113.0093.5478.8472.47
PBDIT / Share (Rs.)16.5516.7718.3511.7411.06
PBIT / Share (Rs.)10.7411.5914.008.108.91
PBT / Share (Rs.)7.559.5513.683.777.94
Net Profit / Share (Rs.)4.5610.7910.172.466.07
NP After MI And SOA / Share (Rs.)4.4210.7310.242.526.12
PBDIT Margin (%)13.5814.8419.6114.8915.26
PBIT Margin (%)8.8110.2514.9610.2712.28
PBT Margin (%)6.198.4514.624.7810.95
Net Profit Margin (%)3.749.5510.873.118.38
NP After MI And SOA Margin (%)3.629.4910.943.208.44
Return on Networth / Equity (%)5.7414.6615.204.3310.24
Return on Capital Employeed (%)9.8210.2014.9312.5113.34
Return On Assets (%)2.756.467.622.396.12
Long Term Debt / Equity (X)0.290.350.340.060.08
Total Debt / Equity (X)0.530.620.510.410.38
Asset Turnover Ratio (%)0.520.550.600.590.63
Current Ratio (X)1.701.701.821.401.60
Quick Ratio (X)0.850.931.070.810.82
Inventory Turnover Ratio (X)1.281.581.821.591.69
Dividend Payout Ratio (NP) (%)16.967.139.7637.6228.61
Dividend Payout Ratio (CP) (%)7.324.816.8515.4021.16
Earning Retention Ratio (%)83.0492.8790.2462.3871.39
Cash Earning Retention Ratio (%)92.6895.1993.1584.6078.84
Interest Coverage Ratio (X)9.5914.3515.196.7211.47
Interest Coverage Ratio (Post Tax) (X)4.4910.978.693.887.30
Enterprise Value (Cr.)1912.252576.781935.941384.162523.08
EV / Net Operating Revenue (X)1.131.651.461.242.41
EV / EBITDA (X)8.3511.107.468.3415.77
MarketCap / Net Operating Revenue (X)0.811.271.190.982.12
Retention Ratios (%)83.0392.8690.2362.3771.38
Price / BV (X)1.291.961.661.332.57
Price / Net Operating Revenue (X)0.811.271.190.982.12
EarningsYield0.040.070.090.030.03

S H Kelkar & Company Ltd (SHK) Profitability Ratios (%)

S H Kelkar & Company Ltd (SHK) Liquidity Ratios

S H Kelkar & Company Ltd (SHK) Liquidity Ratios (%)

S H Kelkar & Company Ltd (SHK) Interest Coverage Ratios (X)

S H Kelkar & Company Ltd (SHK) Valuation Ratios

Fair Value / Intrinsic Value of S H Kelkar & Company Ltd (SHK)

Fair Value: ₹165.93

The stock is overvalued by 18.26% compared to the current price ₹203

*Investments are subject to market risks

Strength and Weakness of S H Kelkar & Company Ltd (SHK)

StrengthWeakness
  1. The company has higher reserves (655.77 cr) compared to borrowings (8.62 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (364.85 cr) and profit (112.92 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 10.67 and average Dividend Yield of 11.31%.
  2. The stock has a low average ROCE of 14.42%, which may not be favorable.
  3. The stock has a high average Working Capital Days of 156.25, which may not be favorable.
  4. The stock has a high average Cash Conversion Cycle of 233.00, which may not be favorable.

Should I Buy S H Kelkar & Company Ltd (SHK) Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in S H Kelkar & Company Ltd (SHK):
    1. Net Profit Margin: 3.74%
      • 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: 9.82% (Industry Average ROCE: 17.1%)
      • 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): 4.49
      • 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: 0.85
      • 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: 29.7 (Industry average Stock P/E: 29.84)
      • 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: 0.53
      • 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 S H Kelkar & Company Ltd (SHK). 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