Greenply Inds
This seems to have become a trend – the stock hits a new 52-week high every time it announces or is about to announce its quarterly numbers. It happened post its Q3 numbers, even after Q4 and now after Q1FY14 also. But this time around the increase in the numbers was not as remarkable as in previous quarters. It posted a net profit at Rs.22 crore, up 22% (YoY) but sequentially, it dropped 37%. Net sales rose 12% (YoY) at rs.480 crore but QoQ, it was down 11%. Operating costs rose 11% (YoY) and QoQ, it was down 10% and this probably helped contain the fall in bottomline further. In Q4, performance was boosted on account of its Bamanbore unit at Gujarat which commenced commercial production and started adding on to the earnings from Q3. But this time around, in Q1, this did not help much. Seasonally, Q1 and Q2 are usually low for the company. These numbers probably explain why the stock ended the day in the red.
The company is planning to set up a new MDF unit at Andhra Pradesh and has completed acquisition of land for the same. And with respect to its new value added products at its existing MDF plant at Uttarakhand, by expanding the existing capacity and introduction of laminated flooring and UV coated panels, construction work has commenced and major machineries have been started arriving. The company has ended the fiscal with a consolidated net profit at Rs.120 crore. Its debt (long term borrowings + short term borrowings) as at 31st March 2013 stood at Rs.575 crore. Promoters hold 55% stake and it is all ‘free’ – no stake is pledged.