Kewal Kiran

about 8 years ago

This less known stock, Kewal Kiran Clothing, which makes apparels and lifestyle accessories owns brands like Killer, LawmanPg3, Integriti and Easies. The Rs.10 face value stock has low floating stocks – promoters hold 74.21%, FIIs hold 13.22%, with total institutional/mutual fund holding at 21.48%, leaving very little floating stock. Its market cap stands at Rs.2180 crore.

The company’s Q4FY17 net profit surged mainly on account of the almost 8 times rise in other income at Rs.16 crore v/s Rs.2 crore (YoY). This other income was profit on redemption of fixed maturity plan. Total income was up just 3% at Rs.130 crore. But increased costs pulled down the operating profit, which was down 6% at Rs.32 crore and margin slipped from 26.9% to 24.5%.

The company ended FY17 with a consolidated net profit at Rs.85 crore, up 25%. Equity stands at Rs.12.33 crore and EPS is at Rs.69 (FV at Rs.10). Debt stands at Rs.43 crore, up 53%, yet remains pretty small.

596.45 (-5.10)

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