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Last Updated on: 23 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 517015 | NSE: VINDHYATEL

Fundamental Analysis of Vindhya Telelinks Ltd

Basic Stock Data

Last Updated: June 22, 2024, 10:18 pm

Market Cap 2,791 Cr.
Current Price 2,355
High / Low2,899/1,819
Stock P/E9.87
Book Value 3,353
Dividend Yield0.64 %
ROCE10.9 %
ROE7.66 %
Face Value 10.0
PEG Ratio2.78

Competitors of Vindhya Telelinks Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Sterlite Technologies Ltd 6,878 Cr. 141179/110 50.70.71 %5.13 %2.78 % 2.00
Birla Cable Ltd 759 Cr. 253433/16433.7 84.00.99 %11.6 %9.33 % 10.0
Paramount Communications Ltd 2,194 Cr. 72.3117/34.225.6 20.60.00 %15.4 %19.6 % 2.00
Tamil Nadu Telecommunications Ltd 48.5 Cr. 10.617.3/5.80 35.80.00 %%% 10.0
Surana Telecom and Power Ltd 298 Cr. 22.024.3/8.6839.1 9.860.00 %7.19 %5.93 % 1.00
Industry Average2,035.50 Cr99.7819.6840.190.34%7.86%7.53%5.00

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales5573423223023583145736381,3758518621,0841,290
Expenses4712842892663252775395801,2477808021,0081,202
Operating Profit865833363337345812871607588
OPM %15%17%10%12%9%12%6%9%9%8%7%7%7%
Other Income965334306031914033284687
Interest20151514131318162620222324
Depreciation7755444555676
Profit before tax15589474775512138137796192145
Tax %25%26%22%27%25%25%16%25%26%25%23%25%25%
Net Profit11666373456381828101594769108
EPS in Rs97.9255.9730.8129.0047.3132.2314.8023.8685.4949.6539.4558.0291.43

Last Updated: June 10, 2024, 7:02 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 26, 2024, 5:43 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales3544596851,0169981,3432,0951,8831,5021,3242,9004,087
Expenses3314075828448691,1651,7561,6231,2931,1642,6193,792
Operating Profit2352102172128177339260209160281295
OPM %6%11%15%17%13%13%16%14%14%12%10%7%
Other Income221627261258112422224317757194
Interest182035544147769778577388
Depreciation5611141313202123221824
Profit before tax224184130200198367364350258247377
Tax %6%16%11%31%15%23%25%35%23%25%25%25%
Net Profit21357595170153276237270193185283
EPS in Rs17.8729.3862.9280.08143.48129.45232.56200.32227.90163.09156.37238.54
Dividend Payout %0%7%8%7%5%8%5%5%4%1%10%6%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)66.67%114.29%26.67%78.95%-10.00%80.39%-14.13%13.92%-28.52%-4.15%52.97%
Change in YoY Net Profit Growth (%)0.00%47.62%-87.62%52.28%-88.95%90.39%-94.52%28.05%-42.44%24.37%57.12%

Growth

Compounded Sales Growth
10 Years:24%
5 Years:14%
3 Years:40%
TTM:41%
Compounded Profit Growth
10 Years:24%
5 Years:1%
3 Years:2%
TTM:52%
Stock Price CAGR
10 Years:24%
5 Years:12%
3 Years:31%
1 Year:27%
Return on Equity
10 Years:9%
5 Years:8%
3 Years:7%
Last Year:8%

Last Updated: June 16, 2024, 4:47 pm

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital12121212121212121212121212
Reserves2692903223894791,6732,0842,3812,4002,8693,2253,4003,752
Borrowings98114163310326276471832892733571668771
Other Liabilities691021692222684606201,0491,4231,4081,2261,9891,726
Total Liabilities4495196669331,0852,4203,1874,2744,7265,0215,0346,0686,261
Fixed Assets49465974867285129117141111108141
CWIP01510165019012412
Investments1411551661652011,3491,6861,8052,1802,6453,0133,0603,440
Other Assets2583164356947989841,4112,3402,4102,2361,9102,8772,668
Total Assets4495196669331,0852,4203,1874,2744,7265,0215,0346,0686,261

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 1-5-1147183-122-2923024718334441
Cash from Investing Activity -0-32-5-36-11-25520338-30-41
Cash from Financing Activity 434118-32-72147287-48-249-22328-284
Net Cash Flow5-3-13-10-120-132116

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-91.00-111.00-208.00-154.00-148.00-294.00-493.00-632.00-524.00-411.00-387.00-198.00

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 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days252202219192142170196211214280195129
Inventory Days1107798921049158502,354559776907
Days Payable1741131731672341,4621,0591,417400357841
Cash Conversion Cycle18816614411712-377-142111,151439615196
Working Capital Days242193190199148157194198244311338174
ROCE %3%10%13%19%25%17%11%15%14%12%8%8%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters43.54%43.54%43.54%43.54%43.54%43.54%43.55%43.55%43.55%43.55%43.55%43.55%
FIIs0.72%0.69%0.80%0.91%0.95%1.01%1.08%1.25%1.23%1.52%1.56%1.60%
DIIs9.23%9.14%9.14%9.12%9.22%9.22%9.70%9.82%10.01%10.13%9.92%9.73%
Public46.51%46.63%46.51%46.43%46.29%46.23%45.68%45.37%45.21%44.80%44.98%45.12%
No. of Shareholders13,85315,71718,16816,75118,42417,94615,66713,58813,15713,97214,76114,708

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 Fund993,4010.53243.25993,4012024-06-200%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)238.54156.37163.09227.90200.33
Diluted EPS (Rs.)238.54156.37163.09227.90200.33
Cash EPS (Rs.)115.01135.0058.3889.4748.60
Book Value[Excl.RevalReserv]/Share (Rs.)3352.762694.352542.152430.972035.04
Book Value[Incl.RevalReserv]/Share (Rs.)3352.762878.672731.292430.972035.04
Revenue From Operations / Share (Rs.)3448.292447.161117.171267.461589.19
PBDIT / Share (Rs.)268.65248.38161.22223.17237.50
PBIT / Share (Rs.)248.25233.43142.49203.45220.01
PBT / Share (Rs.)173.96171.7494.51137.60138.14
Net Profit / Share (Rs.)94.62120.0539.6569.7531.11
NP After MI And SOA / Share (Rs.)238.54156.37163.09227.90200.34
PBDIT Margin (%)7.7910.1414.4317.6014.94
PBIT Margin (%)7.199.5312.7516.0513.84
PBT Margin (%)5.047.018.4510.858.69
Net Profit Margin (%)2.744.903.545.501.95
NP After MI And SOA Margin (%)6.916.3814.5917.9812.60
Return on Networth / Equity (%)7.115.806.419.379.84
Return on Capital Employeed (%)5.756.154.096.427.92
Return On Assets (%)4.163.053.835.375.02
Long Term Debt / Equity (X)0.070.110.050.080.15
Total Debt / Equity (X)0.110.200.180.190.34
Asset Turnover Ratio (%)0.630.710.370.420.54
Current Ratio (X)1.681.711.931.641.56
Quick Ratio (X)0.971.101.091.050.88
Inventory Turnover Ratio (X)3.470.680.470.310.36
Dividend Payout Ratio (NP) (%)0.006.396.134.385.99
Dividend Payout Ratio (CP) (%)0.005.835.494.035.50
Earning Retention Ratio (%)0.0093.6193.8795.6294.01
Cash Earning Retention Ratio (%)0.0094.1794.5195.9794.50
Interest Coverage Ratio (X)3.624.033.363.392.90
Interest Coverage Ratio (Post Tax) (X)2.272.951.832.061.38
Enterprise Value (Cr.)2941.542687.511768.021513.231325.36
EV / Net Operating Revenue (X)0.710.921.341.010.70
EV / EBITDA (X)9.249.139.255.724.71
MarketCap / Net Operating Revenue (X)0.640.710.910.640.27
Retention Ratios (%)0.0093.6093.8695.6194.00
Price / BV (X)0.660.640.400.330.21
Price / Net Operating Revenue (X)0.640.710.910.640.27
EarningsYield0.100.080.150.270.46

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 2,551.23

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: 8.33% compared to the current price 2355

Intrinsic Value: 2,641.91

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.

Undervalued: 12.18% compared to the current price ₹2355

Last 5 Year EPS CAGR: 3.55%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (1,956.08 cr) compared to borrowings (487.42 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (209.08 cr) and profit (219.83 cr) over the years.
  1. The stock has a low average ROCE of 12.92%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 215.67, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 141.50, 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 Vindhya Telelinks Ltd:
    1. Net Profit Margin: 2.74%
      • 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: 5.75% (Industry Average ROCE: %)
      • 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%: 7.11% (Industry Average ROE: %)
      • 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): 2.27
      • 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: 0.97
      • 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: 9.87 (Industry average Stock P/E: )
      • 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: 0.11
      • 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

Vindhya Telelinks Ltd. is a Public Limited Listed company incorporated on 27/01/1983 and has its registered office in the State of Madhya Pradesh, India. Company’s Corporate Identification Number(CIN) is L31300MP1983PLC002134 and registration number is 002134. Currently Company is involved in the business activities of Construction of utility projects. Company’s Total Operating Revenue is Rs. 1323.95 Cr. and Equity Capital is Rs. 11.85 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Cables - TelecomUdyog Vihar, Rewa Madhya Pradesh 486006headoffice@vtlrewa.com
http://www.vtlrewa.com
Management
NamePosition Held
Mr. Harsh V LodhaChairman
Mr. Y S LodhaManaging Director & CEO
Mr. Pracheta MajumdarDirector
Mr. Shiv Dayal KapoorDirector
Mrs. Kiran AggarwalDirector
Mr. Dilip Gansh KarnikDirector
Mr. P S DasguptaDirector
Ms. Rashmi DhariwalDirector
Mr. S K MisraDirector
Mr. D R BansalDirector

FAQ

What is the latest fair value of Vindhya Telelinks Ltd?

The latest fair value of Vindhya Telelinks Ltd is ₹2551.23.

What is the Market Cap of Vindhya Telelinks Ltd?

The Market Cap of Vindhya Telelinks Ltd is 2,791 Cr..

What is the current Stock Price of Vindhya Telelinks Ltd as on 23 June 2024?

The current stock price of Vindhya Telelinks Ltd as on 23 June 2024 is ₹2,355.

What is the High / Low of Vindhya Telelinks Ltd stocks in FY 2024?

In FY 2024, the High / Low of Vindhya Telelinks Ltd stocks is 2,899/1,819.

What is the Stock P/E of Vindhya Telelinks Ltd?

The Stock P/E of Vindhya Telelinks Ltd is 9.87.

What is the Book Value of Vindhya Telelinks Ltd?

The Book Value of Vindhya Telelinks Ltd is 3,353.

What is the Dividend Yield of Vindhya Telelinks Ltd?

The Dividend Yield of Vindhya Telelinks Ltd is 0.64 %.

What is the ROCE of Vindhya Telelinks Ltd?

The ROCE of Vindhya Telelinks Ltd is 10.9 %.

What is the ROE of Vindhya Telelinks Ltd?

The ROE of Vindhya Telelinks Ltd is 7.66 %.

What is the Face Value of Vindhya Telelinks Ltd?

The Face Value of Vindhya Telelinks Ltd is 10.0.

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 Vindhya Telelinks 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