UCAL Fuel

Ucal Fuels posted excellent Q2FY15 numbers and it kept up the same momentum into current Q3 also. On a 17% (YoY) rise in net sales at Rs.142 crore, the company posted a 2.5 times rise in net profit at Rs.5 crore. Operating costs were up 17% but what truly helped was the almost 5 times rise in other income. EBITDA for the quarter is at Rs.18 crore while margins are at 12.68%, up from 10.74 though, sequentially, the margins were much better in Q2 at 16.6%.

The company manufactures Fuel Management Systems for Automotive sector and also pumps, emission control parts and various components for both ferrous and non ferrous material. It is a preferred supplier for some of the top OEMs such as Maruti Udyog, Hyundai, Cummins, Bosch, Mikuni, General Motors, TVS Motor Company, Bajaj Auto, Suzuki, Yamaha, Hero Honda Motors, etc. The best news here is that its 9MFY15 net profit of  Rs.17 crore has already surpassed its entire FY14 net profit of Rs.8.22 crore and with one more quarter to go, FY15 promises to be a bumper year. Equity of pretty high at Rs.22.11 crore and reserves is at Rs.278 crore.