Jayabharat Credit,Maruti Suzuki

The fortune of this JBM group company, Jay Bharat Maruti is indelibly linked with that of Maruti Suzuki. The company posted a decent set of numbers for Q3FY17. On a 23% (YoY) rise in total income, its net profit came in at Rs.13 crore, up 30% though QoQ, it was down 5%. EBITDA for the quarter was at Rs.33 crore, up 18% while margins showed a small dip from 7.93% to 7.57%.

This auto part and equipment making company is a JV between the JBM Group and Maruti Suzuki, which holds 29.28% stake. JBM Industries holds 2.84%. Total promoter holding is at 58.56%. Around 90% of its business comes from Maruti while the rest is sold to Eicher Motors and M&M. A small cap and low volume company, returns are capped and fortunes are interminably linked with that of Maruti. The Rs.5 FV stock, on an equity of Rs.10.82 crore, posted an annualized EPS of Rs.20.

Its 9MFY17 net profit at Rs.33 crore vis-à-vis the FY16 net profit of Rs.40 crore clearly indicates that it will close FY17 on a much higher note.