yes you are right. they have India(world ?) biggest unit to process rice . And now they have plan to generate power from rice bran. An article from another website
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Visualising the tremendous future for staple food (Rice) in India, Mr. Balbir Singh Uppal, Chairman and Managing Director founded Lakshmi Energy and Foods Ltd. (LEAF), which is today one of the largest food grain processing companies in India and in the world.
The Lakshmi Group is more than a name synonymous with quality foods. It is among Indias largest rice producing houses with a turnover of over 690 crores. Company is in various fields through the same channel of green fields like Electrical Energy, Rice, Edible Oil through Rice Bran and Deoiled cake for Cattle.
Lakshmi group tried its best for the past 30 years, now the company is not able to extract business at a consistent rate. The company is not able to increase its revenue, margins have also declined but valuation of the company is fairly attractive.
Looking at the financial numbers we can easily extract that the companys revenue for FY09 has been declined by 27% though Margins improved from 10.5% to 13.5%. EPS of the company has decreased because of two major reasons: 1. Due to decline in revenue and 2. Due to increase in Equity.
Company is increasing its equity every year which leads to division of share holder value. Companys management is into various businesses but the raw material is same that is through the rice farms and husk and barn. This gives the company a very cheap raw material source and the company is expected to be much better in FY10 despite the margins of the company has shrunk. Company has already posted revenue of around 780 crore (9 months) in comparison to 692 crore (FY 09). Company has been under review by SEBI for not submitting shareholding pattern for Sept 08. MD of the company have been penalised due to some irregularities. Margins of the company are declining which is a matter of concern. Company is expected to post revenue of more than 1000 crore for FY10 with a margin of 7% around which gives a discounted P/E of around 6 which is rally attractive at current level.
This is just a conservative prediction I think we should wait for the result of sept10 quarter then one can easily forecast the future of the stock. I think before investing in the stock one should analyse the September quarter result.
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Visualising the tremendous future for staple food (Rice) in India, Mr. Balbir Singh Uppal, Chairman and Managing Director founded Lakshmi Energy and Foods Ltd. (LEAF), which is today one of the largest food grain processing companies in India and in the world.
The Lakshmi Group is more than a name synonymous with quality foods. It is among Indias largest rice producing houses with a turnover of over 690 crores. Company is in various fields through the same channel of green fields like Electrical Energy, Rice, Edible Oil through Rice Bran and Deoiled cake for Cattle.
Lakshmi group tried its best for the past 30 years, now the company is not able to extract business at a consistent rate. The company is not able to increase its revenue, margins have also declined but valuation of the company is fairly attractive.
Looking at the financial numbers we can easily extract that the companys revenue for FY09 has been declined by 27% though Margins improved from 10.5% to 13.5%. EPS of the company has decreased because of two major reasons: 1. Due to decline in revenue and 2. Due to increase in Equity.
Company is increasing its equity every year which leads to division of share holder value. Companys management is into various businesses but the raw material is same that is through the rice farms and husk and barn. This gives the company a very cheap raw material source and the company is expected to be much better in FY10 despite the margins of the company has shrunk. Company has already posted revenue of around 780 crore (9 months) in comparison to 692 crore (FY 09). Company has been under review by SEBI for not submitting shareholding pattern for Sept 08. MD of the company have been penalised due to some irregularities. Margins of the company are declining which is a matter of concern. Company is expected to post revenue of more than 1000 crore for FY10 with a margin of 7% around which gives a discounted P/E of around 6 which is rally attractive at current level.
This is just a conservative prediction I think we should wait for the result of sept10 quarter then one can easily forecast the future of the stock. I think before investing in the stock one should analyse the September quarter result.
we should meet together buy and enjoy !!! :clap:
