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7/27/2019 Jyothy Laboratories, 1Q FY 2014
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Please refer to important disclosures at the end of this report 1
JLLs 1QFY2014 highlights (Standalone)
Y/E March (` cr) 1QFY14 1QFY13 % chg. (yoy) 4QFY13 % chg. (qoq)Net Sales 319 281 13.4 273 17.1Operating profit 49 33 49.6 34 44.0
OPM (%) 15.2 11.5 369bp 12.4 284bp
Adj. PAT 29 14 103.5 12 142.8
Source: Company, Angel Research, Note:Merged numbers of JLL and JCPL
Jyothy Laboratories (JLL) reported a strong set of numbers for 1QFY2014. The
top-line grew by 13.4% yoy to `319cr, mainly led by the soaps and detergent
segment. The gross margin improved by 689bp on account of better realization
and sales mix, leading to an expansion of 369bp in operating margin on a yoy
basis to 15.2%. The depreciation for the quarter stood at `15cr which included
amortization of goodwill. Further, there was no tax reported in 1QFY2014 as the
company got a tax shield due to the carry forward losses of the acquired
company - JCPL. Consequently, JLL reported a profit of `29cr, registering a
robust growth of 103.5% on a yoy basis.
After amalgamation, strong performance to follow
The successful amalgamation of JLL and JCPL has put all the synergies in place.
The company now has 10 brands in its kitty. The company has successfullyconsolidated the manufacturing units, merged distribution channel, reduced
distributors margins and revamped supply chain and management. Also, the
strategies for its 7 power brands - Ujala,Maxo, Exo, Henko, Fa, Pril, andMargo
are in place. Further the company plans to spend ~10-12% of net sales towards
advertisement. We expect all these cost cutting strategies, coupled with strong
brand building strategies, to result in a strong performance for the company.
Outlook and valuation: Post the successful amalgamation of JLL and JCPL, theoutlook for the company is positive. We expect the companys revenue to grow at
a CAGR of 22.4% over FY2013-15E to `1,523cr with an EBITDA margin of
14.2% and PAT of`
65cr in FY2015E. We maintain our Buy recommendation onthe stock with a target price of `199 based on a target PE of 20.0x for FY2015E.Key financials (Standalone)
Y/E March (` cr) FY2011 FY2012 FY2013* FY2014E* FY2015E*Net sales 600 663 1,017 1,244 1,523% chg 4.7 10.5 53.5 22.3 22.4
Adj. net profit 80 84 42 98 165% chg 0.2 4.9 (49.7) 132.3 68.1
OPM (%) 13.2 12.5 11.9 14.1 14.2EPS (`) 5.0 5.2 2.6 5.9 10.0
P/E (x) 34.8 33.2 66.0 28.4 16.9
P/BV (x) 4.3 4.1 3.9 3.4 3.0
RoE (%) 15.2 12.7 6.1 12.7 18.8
RoCE (%) 0.1 0.1 0.0 0.1 0.1
EV/Sales (x) 4.2 4.4 3.2 2.6 2.0
EV/EBITDA (x) 31.5 35.1 27.1 18.5 14.4
Source: Company, Angel Research; Note: * Merged numbers of JLL and JCPL; CMP as of August 12, 2013
BUYCMP `168
Target Price `199
Investment Period 12 Months
Stock Info
Sector
Net debt (`cr) 474
Bloomberg Code
Shareholding Pattern (%)
Promoters 63.7
MF / Banks / Indian Fls 12.6
FII / NRIs / OCBs 17.3
Indian Public / Others 6.5
Abs.(%) 3m 1yr 3yr
Sensex (6.0) 6.8 2.7
JLL (3.9) 23.6 21.8
52 Week High / Low 211 / 128
FMCG
Market Cap (`cr) 2,793
Beta 0.3
JLY IN
Avg. Daily Volume 40,794
Face Value (`) 1
BSE Sensex 18,947
Nifty 5,612
Reuters Code JYOI.BO
Tejashwini Kumari022-39357800 Ext: 6856
Jyothy LaboratoriesStrong performance on all fronts
1QFY2014 Result Update | FMCG
August 13, 2013
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Jyothy Laboratories | 1QFY2014 Result Update
August 13, 2013 2
Exhibit 1:1QFY2014 JLLs Performance highlights (Standalone)
Y/E March (` cr) 1QFY14 1QFY13 % chg. (yoy) 4QFY13 % chg. (qoq) FY2013* FY2012 % chgNet Sales 319 281 13.4 273 17.1 1,017 663 53.5Net raw material 168 168 0.3 155 8.2 568 373 52.3(% of Sales) 52.7 59.6 57.0 55.8 56.2
Employee Cost 30 28 10.5 23 32.6 111 78 42.4
(% of Sales) 9.6 9.8 8.4 10.9 11.7
Other Expenses 72 54 33.9 60 19.1 219 130 68.6
(% of Sales) 22.5 19.1 22.2 21.5 19.6
Total Expenditure 271 249 8.7 239 13.3 897 580 54.6Operating Profit 49 33 49.6 34 44.0 121 83 45OPM (%) 15.2 11.5 369bp 12.4 284bp 11.9 12.5 (67)bp
Interest 17 15 11.8 18 (4.8) 66 19 240.1
Depreciation 15 15 (1.1) 16 (3.7) 62 17 262.0
Other Income 13 12 8.5 13 (2.1) 51 57 (10.5)
PBT 30 14 110.1 14 117.3 44 104 (57.5)(% of Sales) 9.3 5.0 5.0 4.3 15.7
Tax - - - - - - 20 (100.0)
(% of PBT) - - - - 19.0
Reported PAT 30 14 110.1 14 117.3 44 84 (47.5)Extraordinary Expense/(Inc.) 1 - 2 2 -
Adjusted PAT 29 14 103.5 12 142.8 42 84 (49.7)PATM 9.0 5.0 4.3 4.2 8.3
Source: Company, Angel Research, Note: * Merged numbers of JLL and JCPL
Robust performance on all fronts
JLL reported a strong set of numbers for 1QFY2014 on all fronts. The revenue
from soaps and detergents segment witnessed a strong growth of 16.5% on a yoy
basis and came in at `253cr, mainly because of rebound in Ujala sales. After the
relaunch of Ujala in new packaging, its sales shot up by 37% in 1QFY2014 (25%
value growth and 10% volume growth). Also, the successful brand communication
of five out of the seven power brands (except Maxo and Henko) resulted in healthy
volume growth. The revenue from home care segment remained flat on a yoy
basis at `58cr, mainly due slowdown inMaxo.
The gross margin improved by 689bp on account of better realization and sales
mix leading to an expansion of 369bp in operating margin on a yoy basis to
15.2%. The companys ad spend for 1QFY2014 stood at `39cr (12.1% of net
sales), which included a one-time investment of `5cr in developing new
advertisements.
The depreciation for the quarter stood at `15cr, which included amortization of
goodwill. Further, there is no tax reported for the quarter because after the
amalgamation, the company has got a tax shield due to carry forward losses of
JCPL. Other income for the quarter stood at `13cr. Consequently, the company
reported a profit of `29cr, a whopping 103.5% growth on a yoy basis.
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Jyothy Laboratories | 1QFY2014 Result Update
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Way forward
Going forward the company is optimistic about delivering strong performance
from its slow moving brands Maxo and Henko, through breakthrough
innovations. The Management expects Maxo to clock ~20% growth in FY2014E.
Investments towards establishing a pan India presence for the entire brand
portfolio are to continue. Also, Ujala detergent, which was a laggard in the soaps
and detergents category due to inventory clearance, is expected to rebound from
next quarter with the introduction of new packaging and rolling over in South
(earlier it was present only in Kerala).
Moreover, the revenue from non-South region in the quarter has improved, which
is good news for the company, as it shows the acceptance and success of brand
launches on a pan India basis.
Exhibit 2:Thrust on Regional Brands becoming NationalRevenue share (in %) 1QFY2014 1QFY2013South 42 49
Non South 58 51
Source: Company, Angel Research
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Jyothy Laboratories | 1QFY2014 Result Update
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Investment arguments
Successful amalgamation has built a strong foundation for growth
With the successful amalgamation of JLL and JCPL, JLL now owns 10 brands underfour segments, namely 1) Fabric care (Ujala, Henko, Mr. White and Chek), 2)
Utensils care (Exo and Pril), 3)Personal Care (Margo, Fa and Neem) and 4)
Household insecticides (Maxo).
Secondly, it also strengthens JLLs urban market presence. The consolidated entity
now has 1,700 distributors in urban areas and 200 super stockists & 2,000 sub
stockists in rural areas of the country. With the completion of consolidation along
with rationalization of channel margin, JLL has now started drawing synergistic
benefits since 1QFY2014E.
Thirdly, JLL is in process of consolidating its manufacturing units. In order to avail
to benefits of scale, the company has shut down three manufacturing units and
intends to run the others at ~70% capacity utilization, which will eventually bring
down the cost of production. In 1QFY2014, the company has closed factories at
Bhubaneswar and Chennai and shifted production to Uttaranchal and
Pondicherry.
Fourthly, JLL will enjoy tax shields on account of accumulated losses of the
acquired company - JCPL which will help the company in improving the net profit
picture.
We believe that with successful amalgamation of JCPL and various cost saving
strategies employed by the company, coupled with supply chain and managerialrevamp, the company will be able to post a strong performance going ahead.
Advertisement spend to result in strong brand building
The company plans to spend ~10-12% of net sales towards advertisement
activities in order to reposition its brands. The new ad campaigns of Ujala (with
new packaging), Pril, Margo and Fa are already on air since June 1, 2013. These
have resulted in robust top-line growth in 1QFY2014. The company spent `39cr
on advertisement and sales promotion (12.1% of net sales) in 1QFY2014, which
included `30cr on advertisement and rest on sales promotion. We expect this to
further help the company in strong brand building, which in turn will drive volume
growth.
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Jyothy Laboratories | 1QFY2014 Result Update
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Branding Strategy
The company is focusing mainly on seven of its brands which they have named as
7 Power brands. The brand-wise key strategies are:
Ujala: The company launched Ujala in new packaging (changed for the first
time in the last 30 years) with a new tag line of Safedi ke age Ujala.
Moreover, the company is planning to grow its market shares across India.
Also, it has launched Ujala Detergent, a brand extension of the Ujala brand
from liquid blues to detergents (catering to the middle class), in Southern India
(detergents are currently present only in Kerela).
Exo: The company has come up with new communication to focus more on
anti-bacterial quality of Exo.
Maxo: The company currently has 11% market share in the household
insecticide segment (coil 16.2% and vaporizer/liquid 4.8%) and is planning
to take it up to 13% in FY2014E (coil - 25% and vaporizer/liquid 10%).
Maxos sales and profitability were affected in the past few quarters due to
price hike and reduction in trade margin. The company will start investing in
the brand in 2HY2014E with a new ad campaign and packaging, which will
strengthen it and boost its sales.
Fa: Thecompany has positioned Fa with the punch-line of Feel Fantastic in
the womens deodorant segment and the new TV commercials (TVC) for it are
already on air since June 2013. Also, the company has changed the SKU of
the deo bottle from 150ml to 125ml so that it is easy to carry. Fa is currently a
`15cr brand while the company aims to make it a `100cr brand in the next
three years.
Margo: With the new TVC already on air, the company is planning to make
Margo available pan India and increase its market share from 10% in FY2013
to 12% in FY2014E. It is also planning to revamp Margo Glycerin in FY2014E,
which is currently available mostly in eastern India. It also plans to do brand
extension by entering the face wash segment.
Pril: New TVCs for Pril are already on air since June 2013, leading to Prils
strong growth. The dish wash liquid category is growing at a rate of ~35%
with top 10 cities contributing 75% of sales. JLL is focusing on these cities toimprove brand visibility.
Henko:Henko currently has 3% market share in the premium detergent. The
company is planning for a re-launch of the brand in new package and price
point in 2HY2014E.
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Jyothy Laboratories | 1QFY2014 Result Update
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Financials
JLL (Standalone) Healthy growth going ahead
Exhibit 3:Sales growth for JLL (Standalone)Y/E March FY2014E* FY2015E*
Home care 294 361
(% Growth) 20.2 22.5
Soaps and Detergents 932 1,142
(% Growth) 23.3 22.5
Others 18 20
Total Sales 1,244 1,522
Source: Company, Angel Research, Note: * Merged numbers of JLL and JCPL
The Management has guided for ~25% sales growth; however, we have
incorporated a revenue growth of 22.3% and 22.4 to `1,244cr and `1,523cr for
FY2014E and FY2015E, respectively. We expect the homecare segment to register
a CAGR of 21.3% to `361cr and soaps and detergents segment to grow at a
CAGR of 22.9% to `1,142cr over FY2013-15E.
Exhibit 4:Healthy sales growth going forward
Source: Company, Angel Research; Note: * Merged numbers of JLL and JCPL
Exhibit 5:Segmental sales contribution
Source: Company, Angel Research, Note: * Merged numbers of JLL and JCPL
The company has employed several cost saving strategies and is aiming at an
~15% EBITDA margin. However, we remain conservative on the same with a
14.1% and 14.2% operating margin for FY2014E and FY2015E respectively.
Further, with the recognition of goodwill of `143cr and `303cr of intangible assets,
which the company plans to amortize over a period of 10 years with an equal
amortization value of `45cr every year, we expect the depreciation cost to be `65cr
and `66cr for FY2014E and FY2015E. We expect interest cost to reduce in the
coming years with declining debt level and expected cut in interest rates. We expect
the debt on the book to be `477cr and `357cr resulting in an interest outgo of
`57cr and `41cr for FY2014E and FY2015E respectively. Moreover, JLL will enjoy
tax shields on accumulated losses of JCPL which will help JLL in improving its net
profit. We expect JLLs net profit to grow at a CAGR of 96.9% over FY2013E-15E
to`
165cr in FY2015E.
573
600
663
1017
1244
1523
63.7
4.710.5
53.5
22.3 22.4
0
20
40
60
80
0
200
400
600
800
1000
1200
1400
1600
FY2010 FY2011 FY2012 FY2013* FY2014E* FY2015E*
(%)
(`
cr)
Revenue (LHS) Revenue growth (RHS)
213 218 245294
361
387 446 756 932 11420
200
400
600
800
1000
1200
FY2011 FY2012 FY2013E* FY2014E* FY2015E*
(`cr)
Home care Soaps and Detergents
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Jyothy Laboratories | 1QFY2014 Result Update
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Exhibit 6:Cost saving strategies to boost margin
Source: Company, Angel Research; Note: * Merged numbers of JLL and JCPL
Exhibit 7:Tax shield to aid PAT growth
Source: Company, Angel Research; Note: * Merged numbers of JLL and JCPL
94 79 83 121 175 216
16.4
13.212.5 11.9
14.1
14.2
8
10
12
14
16
18
0
40
80
120
160
200
240
FY2010 FY2011 FY2012 FY2013* FY2014E* FY2015E*
(%)
(`c
r)
EBITDA (LHS) EBITDA Margin (RHS)
80 80 84 42 98 165
99.6
0.2 4.9
(49.7)
132.3
68.1
(75)
(50)
(25)
0
25
50
75100
125
150
0
20
40
60
80
100
120140
160
180
FY2010 FY2011 FY2012 FY2013* FY2014E* FY2015E*
(%)
(`c
r)
PAT (LHS) PAT growth (RHS)
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Jyothy Laboratories | 1QFY2014 Result Update
August 13, 2013 8
Outlook and valuation
With the successful amalgamation of JLL and JCPL, we believe that the company is
on track and has started yielding results. We expect the companys revenue to
grow at a CAGR of 22.4% over FY2013-15E to `1,523cr with an EBITDA margin
of 14.2% in FY2015E. Further, with lower interest outgo and tax shield, we expect
the companys profit to grow at a CAGR of 96.9% over the same period to `164cr
in FY2015E. At the CMP of `168, the stock is trading at a PE 16.9x for FY2015E.
We maintain our Buy recommendation on the stock with a target price of `199based on a target PE of 20.0x for FY2015E earnings.Exhibit 8:One-year forward PE band
Source: Company, Angel Research
Exhibit 9:Comparative analysis
Company Year end Mcap(` cr) Sales(` cr) OPM(%) PAT(` cr) EPS(`) RoE(%) P/E(x) P/BV(x) EV/EBITDA(x) EV/Sales(x)JLL (Standalone) FY2014E* 2,793 1244 14.1 98 5.9 12.7 28.4 3.4 18.5 2.6 FY2015E* 2,793 1523 14.2 165 10.0 18.8 16.9 3.0 14.3 2.0Emami# FY2014E 10,355 1,990 21.9 387 17.6 43.7 26.0 10.1 22.8 5.0
FY2015E 10,355 2,340 22.3 457 20.7 42.0 22.0 8.2 19.1 4.3
Marico FY2014E 13,031 5,273 14.8 0 7.3 21.4 27.9 5.4 17.0 2.5
FY2015E 13,031 6,044 14.9 0 8.7 21.0 23.3 4.5 14.5 2.2
Dabur FY2014E 29,031 7,183 16.8 0 5.3 39.2 31.1 10.9 24.3 4.1 FY2015E 29,031 8,297 16.9 0 6.3 36.7 26.5 8.7 20.6 3.5
Source: Company, Angel Research, Note: * Merged numbers of JLL and JCPL, # Bloomberg estimates
Risk factors
Raw-material cost
The companys raw material costs are linked to the price of crude and rupee
depreciation. Any further rupee depreciation and rise in crude oil prices may pose
risk to the companys business.
Slowdown in the economy
The prevailing slowdown in the economy is a concern for the company. If it
continues, it may pose a risk to the companys prospects.
0
50
100
150
200
250
Aug-09
Feb-10
Aug-10
Feb-11
Aug-11
Feb-12
Aug-12
Feb-13
Aug-13
(`)
Price (`) 15x 20x 25x 30x
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Jyothy Laboratories | 1QFY2014 Result Update
August 13, 2013 9
Company background
With the successful amalgamation of the JLL and JCPL, JLL now owns 10 brands
under four segments, namely 1) Fabric care (Ujala, Henko,Mr. White and Chek),
2) Utensils care (Exo and Pril), 3)Personal Care (Margo, Fa and Neem) and
4) Household insecticide (Maxo). It has now 1700 distributors in urban area and
200 super stockists & 2,000 sub stockists in rural area. JLLs products are available
in ~2.9mn outlets in India (as of March 31, 2013).
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Profit and Loss (Standalone)
Y/E March (` cr) FY2011 FY2012 FY2013* FY2014E* FY2015E*Total operating income 600 663 1,017 1,244 1,523% chg 4.7 10.5 53.5 22.3 22.4Net Raw Materials 311 373 568 671 823
% chg 0.1 19.6 52.3 18.3 22.5
Personnel 75 78 111 124 149
% chg 11.1 3.7 42.4 12.5 20.0
Other 134 130 219 274 335
% chg 33.5 (3.6) 68.6 25.3 22.4
Total Expenditure 521 580 897 1070 1307
EBITDA 79 83 121 175 216% chg (15.8) 5.1 45.3 44.9 23.7
(% of Net Sales) 13.2 12.5 11.9 14.1 14.2
Depreciation & Amortisation 11 17 62 65 66
EBIT 68 66 59 110 150% chg (18.2) (3.3) (10.6) 85.6 37.2
(% of Net Sales) 11.4 10.0 5.8 8.8 9.9
Interest & other Charges 0 19 66 56 40Other Income 28 57 51 45 55
(% of Net Sales) 4.6 8.6 5.0 3.6 3.6
Recurring PBT 68 47 -7 54 110% chg (18.1) (31.3) (115.1) (860.4) 106.3
PBT (reported) 95 104 44 98 165Tax 15 20 0 0 0
(% of PBT) 16.0 19.0 0.0 0.0 0.0
PAT (reported) 80 84 44 98 165Extraordinary Expense/(Inc.) 0 - 1.83 - -
ADJ. PAT 80 84 42 98 165% chg 0.2 4.9 (49.7) 132.3 68.1
(% of Net Sales) 13.4 12.7 4.2 7.9 10.8
Basic EPS (`) 5.0 5.2 2.6 5.9 10.0Fully Diluted EPS (`) 5.0 5.2 2.6 5.9 10.0% chg (9.9) 4.9 (49.7) 125.6 68.1
Note: * Merged numbers of JLL and JCPL
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Balance Sheet (Standalone)
Y/E March (` cr) FY2011 FY2012 FY2013* FY2014E* FY2015E*SOURCES OF FUNDSEquity Share Capital 8 8 16 17 17Share capital suspense a/c 55 55 55
Reserves& Surplus 645 665 653 751 867
Shareholders Funds 653 674 724 822 939Total Loans 58 553 537 467 347
Other Long Term Liabilities 4 3 2 2 2
Long Term Provisions 5 6 9 10 11
Deferred Tax (Net) 16 15 - - -
Total Liabilities 736 1,251 1,272 1,302 1,299APPLICATION OF FUNDSGross Block 272 282 654 686 707
Less: Acc. Depreciation 62 73 90 111 132
Less: Impairment 3 5 35 66 96
Net Block 206 203 528 510 479Capital Work-in-Progress 10 3 3 3 3
Lease adjustment - - - - -
Goodwill - - 143 129 115
Investments 80 378 25 25 25
Long Term Loans and advances 67 549 496 496 496
Other Non-current asset 0 0 0 - -
Current Assets 475 224 364 396 497Cash 278 51 38 2 16
Loans & Advances 23 49 44 37 46
Inventory 68 79 167 234 297
Debtors 103 43 110 119 134
Other current assets 2 2 4 4 4
Current liabilities 103 106 287 258 315
Net Current Assets 372 118 76 138 181Misc. Exp. not written off - - - - -
Total Assets 736 1,251 1,272 1,302 1,299
Note: * Merged numbers of JLL and JCPL
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Cash Flow (Standalone)
Y/E March (` cr) FY2011 FY2012 FY2013E* FY2014E* FY2015E*Profit before tax 95 104 44 98 165
Depreciation 11 17 62 21 21Change in Working Capital (21) 26 29 (98) (29)
Direct taxes paid (15) (20) - - -
Others (76) (11) (75) 21 (17)
Cash Flow from Operations (5) 116 60 41 141(Inc.)/Dec. in Fixed Assets (30) (2) (372) (33) (21)
(Inc.)/Dec. in Investments (62) (298) 353 - -
(Inc.)/Dec. in LT loans & adv. (67) (481) 52 0 -
Others 76 50 84 73 63
Cash Flow from Investing (83) (732) 117 41 42Issue of Equity 1 - 8 0 -
Inc./(Dec.) in loans 58 494 (16) (70) (120)
Dividend Paid (Incl. Tax) (47) (23) (49) (49) (49)
Others 233 (82) (134) - -
Cash Flow from Financing 246 389 (190) (118) (169)Inc./(Dec.) in Cash 157 (227) (13) (36) 14
Opening Cash balances 121 278 51 38 2Closing Cash balances 278 51 38 2 16
Note: * Merged numbers of JLL and JCPL
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Key Ratios (Standalone)
Y/E March FY2011 FY2012 FY2013* FY2014E* FY2015E*Valuation Ratio (x)P/E (on FDEPS) 34.8 33.2 66.0 28.4 16.9P/CEPS 30.7 27.6 26.9 23.5 15.0
P/BV 4.3 4.1 3.9 3.4 3.0
EV/Net sales 4.2 4.4 3.2 2.6 2.0
EV/EBITDA 31.5 35.1 27.1 18.5 14.3
EV / Total Assets 3.5 2.4 2.6 2.5 2.4
Per Share Data (`)EPS (Basic) 5.0 5.2 2.6 5.9 10.0
EPS (fully diluted) 5.0 5.2 2.6 5.9 10.0
Cash EPS 5.6 6.3 6.4 7.2 11.2
DPS 2.5 2.5 2.5 2.5 2.5
Book Value 40.5 41.8 44.9 49.5 56.6
DuPont AnalysisEBIT margin 11.4 10.0 5.8 8.8 9.9
Tax retention ratio 0.8 0.8 1.0 1.0 1.0
Asset turnover (x) 1.7 0.8 1.0 1.1 1.3
ROIC (Post-tax) 16.4 6.7 5.6 9.6 13.2
Cost of Debt (Post Tax) 1.2 5.1 12.1 11.2 9.8
Leverage (x) (0.5) 0.2 0.7 0.5 0.3
Operating ROE 9.4 6.9 1.3 8.7 14.3
Returns (%)ROCE (Pre-tax) 0.1 0.1 0.0 0.1 0.1
Angel ROIC (Pre-tax) 19.5 8.2 5.6 - -
ROE 15.2 12.7 6.1 12.7 18.8
Turnover ratios (x)Asset TO (Gross Block) 2.3 2.4 2.2 1.9 2.2
Inventory / Net sales (days) 40 40 44 59 64
Receivables (days) 53 40 27 35 32
Payables (days) 77 66 80 88 88
WC cycle (ex-cash) (days) 56 37 14 40 40
Solvency ratios (x)Net debt to equity (0.5) 0.2 0.7 0.5 0.3Net debt to EBITDA (3.8) 1.5 3.9 2.5 1.4
Int. Coverage (EBIT/ Int.) 166.5 3.4 0.9 2.0 3.8
Note: * Merged numbers of JLL and JCPL
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Jyothy Laboratories | 1QFY2014 Result Update
Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com
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investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this
document are those of the analyst, and the company may or may not subscribe to all the views expressed within.
Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and
trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's
fundamentals.
The information in this document has been printed on the basis of publicly available information, internal data and other reliable
sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this
document is for general guidance only. Angel Broking Pvt. Limited or any of its affiliates/ group companies shall not be in any way
responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report.
Angel Broking Pvt. Limited has not independently verified all the information contained within this document. Accordingly, we cannot
testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document.
While Angel Broking Pvt. Limited endeavours to update on a reasonable basis the information discussed in this material, there may be
regulatory, compliance, or other reasons that prevent us from doing so.
This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced,
redistributed or passed on, directly or indirectly.
Angel Broking Pvt. Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking
or other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or
in the past.
Neither Angel Broking Pvt. Limited, nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from
or in connection with the use of this information.
Note: Please refer to the important `Stock Holding Disclosure' report on the Angel website (Research Section). Also, please refer to thelatest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Pvt. Limited and its affiliates mayhave investment positions in the stocks recommended in this report.
Disclosure of Interest Statement Jyothy Laboratories
1. Analyst ownership of the stock No
2. Angel and its Group companies ownership of the stock No
3. Angel and its Group companies' Directors ownership of the stock No
4. Broking relationship with company covered No
Note: We have not considered any Exposure below `1 lakh for Angel, its Group companies and Directors.
Ratings (Returns): Buy (> 15%) Accumulate (5% to 15%) Neutral (-5 to 5%)Reduce (-5% to 15%) Sell (< -15%)