BSE: 505688 | NSE: BHARATGEAR | Auto Ancillary | Small Cap
Past 10 year's financial track record analysis by Moneyworks4me indicates that Bharat Gears Ltd is a average quality company.
The key valuation ratios of Bharat Gears Ltd's currently when compared to its past seem to suggest it is in the Undervalued zone.
The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Bharat Gears Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.
| Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROCE % ⓘ | 5.9% | 10.1% | 7.3% | 13.4% | 17.9% | -1.3% | 6.3% | 26.6% | 16% | 2.2% | - |
| Value Creation Index ⓘ | -0.6 | -0.3 | -0.5 | -0.1 | 0.3 | -1.1 | -0.6 | 0.9 | 0.2 | -0.9 | - |
Growth Parameters ⓘGrowth Parameters Colour Code Guide ⓘ | |||||||||||
| Sales ⓘ | 415 | 398 | 407 | 507 | 594 | 463 | 503 | 729 | 766 | 663 | 644 |
| Sales YoY Gr. | - | -4.2% | 2.3% | 24.6% | 17.3% | -22.1% | 8.6% | 45% | 5.1% | -13.5% | - |
| Adj EPS ⓘ | -3.9 | -0.7 | -1.1 | 4.4 | 7.5 | -14.9 | -5.7 | 13.9 | 5.2 | -7.5 | 2.9 |
| YoY Gr. | - | NA | NA | NA | 72% | -299.2% | NA | NA | -62.5% | -244.8% | - |
| BVPS (₹) ⓘ | 51.8 | 52 | 52 | 58.4 | 66.4 | 55 | 51 | 70.5 | 78.5 | 72 | 79.7 |
| Adj Net Profit ⓘ | -5 | -0.9 | -1.5 | 5.8 | 10 | -21.6 | -8.2 | 21.3 | 8 | -11.6 | 5 |
| Cash Flow from Ops. ⓘ | 19.7 | 23.3 | 20.3 | 6.1 | 50.1 | 53.6 | 59 | 30.3 | 42 | 46.6 | - |
| Debt/CF from Ops. ⓘ | 5.1 | 4.2 | 5.5 | 21.8 | 3.2 | 2.8 | 1.9 | 3.3 | 2.5 | 2 | - |
CAGR Colour Code Guide ⓘ
| 9 Years | 5 Years | 3 Years | 1 Years | |||||
|---|---|---|---|---|---|---|---|---|
| Sales ⓘ | 5.4% | 2.2% | 9.6% | -13.5% | ||||
| Adj EPS ⓘ | NA | -200.1% | NA | -244.8% | ||||
| BVPSⓘ | 3.7% | 1.6% | 12.2% | -8.3% | ||||
| Share Price | 10.1% | 19.6% | 2.6% | -14.2% | ||||
Performance Ratio Colour Code Guide ⓘ
| Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on Equity % ⓘ | -6.8 | -1.3 | -2.1 | 8 | 12 | -25.7 | -10.7 | 23.4 | 7 | -10 | 3.9 |
| Op. Profit Mgn % ⓘ | 5.3 | 7.7 | 6.9 | 8.5 | 9.9 | 4 | 7.1 | 9 | 6 | 3.6 | 3.6 |
| Net Profit Mgn % ⓘ | -1.2 | -0.2 | -0.4 | 1.1 | 1.7 | -4.7 | -1.6 | 2.9 | 1 | -1.7 | 0.7 |
| Debt to Equity ⓘ | 1.5 | 1.5 | 1.7 | 1.7 | 1.8 | 1.9 | 1.5 | 0.9 | 0.9 | 0.8 | 0.3 |
| Working Cap Days ⓘ | 135 | 140 | 148 | 160 | 162 | 219 | 190 | 128 | 128 | 135 | 65 |
| Cash Conv. Cycle ⓘ | 36 | 21 | 35 | 46 | 51 | 61 | 35 | 26 | 38 | 43 | 14 |
Debt to equity has declined versus last 3 years average to 0.84
Return on Equity has declined versus last 3 years average to 3.90%
Sales growth has been subdued in last 3 years 9.64%
Net Profit has been subdued in last 3 years 0.00%
Sales growth is not so good in last 4 quarters at -10.04%
| Standalone | Consolidated | |
|---|---|---|
| TTM EPS (₹) | 2.9 | - |
| TTM Sales (₹ Cr.) | 644 | - |
| BVPS (₹.) ⓘ | 79.7 | - |
| Reserves (₹ Cr.) ⓘ | 107 | - |
| P/BV ⓘ | 1.24 | - |
| PE ⓘ | 33.57 | - |
| From the Market | |
|---|---|
| 52 Week Low / High (₹) | 94.18 / 134.10 |
| All Time Low / High (₹) | 2.86 / 173.00 |
| Market Cap (₹ Cr.) | 152 |
| Equity (₹ Cr.) | 15.4 |
| Face Value (₹) | 10 |
| Industry PE ⓘ | 50.3 |
| Pledged * | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 415 | 398 | 407 | 507 | 594 | 463 | 503 | 729 | 766 | 663 |
| Operating Expenses ⓘ | 393 | 367 | 379 | 464 | 536 | 444 | 467 | 664 | 720 | 640 |
| Manufacturing Costs | 91 | 81 | 87 | 111 | 131 | 94 | 110 | 158 | 168 | 139 |
| Material Costs | 196 | 187 | 186 | 235 | 274 | 238 | 249 | 371 | 409 | 357 |
| Employee Cost | 78 | 75 | 77 | 87 | 98 | 90 | 82 | 107 | 116 | 114 |
| Other Costs ⓘ | 28 | 25 | 28 | 31 | 33 | 23 | 26 | 28 | 27 | 29 |
| Operating Profit ⓘ | 22 | 31 | 28 | 43 | 58 | 19 | 36 | 66 | 46 | 24 |
| Operating Profit Margin (%) | 5.3% | 7.7% | 6.9% | 8.4% | 9.8% | 4.0% | 7.1% | 9.0% | 6.0% | 3.5% |
| Other Income ⓘ | 2 | 2 | 1 | 2 | 5 | 5 | 1 | 4 | 9 | 4 |
| Interest ⓘ | 16 | 16 | 15 | 17 | 22 | 22 | 23 | 18 | 17 | 17 |
| Depreciation ⓘ | 14 | 16 | 17 | 18 | 22 | 27 | 24 | 20 | 20 | 23 |
| Exceptional Items ⓘ | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4 | 0 | 0 |
| Profit Before Tax ⓘ | -6 | 1 | -2 | 9 | 19 | -25 | -10 | 34 | 18 | -13 |
| Tax ⓘ | -2 | 0 | -1 | 3 | 7 | -6 | -2 | 8 | 4 | -3 |
| Profit After Tax | -4 | 0 | -1 | 6 | 13 | -19 | -8 | 26 | 13 | -10 |
| PAT Margin (%) | -1.0% | 0.1% | -0.4% | 1.2% | 2.1% | -4.1% | -1.5% | 3.5% | 1.8% | -1.5% |
| Adjusted EPS (₹) | -3.3 | 0.2 | -1.1 | 4.7 | 9.4 | -13.0 | -5.3 | 16.8 | 8.8 | -6.3 |
| Dividend Payout Ratio (%) | 0% | 0% | 0% | 0% | 7% | 0% | 0% | 0% | 0% | 0% |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
Equity and Liabilities | ||||||||||
| Shareholders Fund | 71 | 71 | 66 | 78 | 88 | 80 | 74 | 108 | 121 | 111 |
| Share Capital ⓘ | 8 | 8 | 8 | 8 | 8 | 9 | 9 | 10 | 15 | 15 |
| Reserves ⓘ | 63 | 63 | 59 | 70 | 80 | 70 | 65 | 98 | 105 | 95 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Debt | 82 | 77 | 90 | 129 | 141 | 125 | 89 | 94 | 87 | 73 |
| Long Term Debt | 49 | 51 | 37 | 79 | 81 | 82 | 67 | 61 | 71 | 51 |
| Short Term Debt | 33 | 26 | 52 | 50 | 59 | 42 | 22 | 32 | 16 | 23 |
| Trade Payables | 96 | 76 | 89 | 117 | 116 | 109 | 157 | 151 | 132 | 121 |
| Others Liabilities ⓘ | 58 | 60 | 57 | 55 | 89 | 129 | 61 | 50 | 65 | 69 |
| Total Liabilities ⓘ | 307 | 283 | 302 | 378 | 434 | 442 | 380 | 402 | 405 | 375 |
Fixed Assets | ||||||||||
| Gross Block | 311 | 311 | 119 | 148 | 202 | 233 | 240 | 244 | 274 | 293 |
| Accumulated Depreciation | 182 | 196 | 17 | 35 | 57 | 83 | 106 | 126 | 142 | 160 |
| Net Fixed Assetsⓘ | 129 | 115 | 103 | 113 | 145 | 150 | 134 | 118 | 132 | 133 |
| CWIP ⓘ | 2 | 3 | 2 | 2 | 10 | 2 | 1 | 1 | 2 | 5 |
| Investmentsⓘ | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1 | 1 |
| Inventories | 65 | 57 | 62 | 77 | 94 | 78 | 90 | 90 | 100 | 82 |
| Trade Receivables | 72 | 63 | 92 | 128 | 116 | 102 | 106 | 144 | 123 | 116 |
| Cash Equivalents | 6 | 6 | 6 | 5 | 7 | 7 | 6 | 9 | 7 | 9 |
| Others Assetsⓘ | 34 | 39 | 38 | 52 | 62 | 103 | 43 | 39 | 41 | 28 |
| Total Assets ⓘ | 307 | 283 | 302 | 378 | 434 | 442 | 380 | 402 | 405 | 375 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash Flow From Operating Activity ⓘ | 20 | 23 | 20 | 6 | 50 | 54 | 59 | 30 | 42 | 47 |
| PBT ⓘ | -6 | 1 | -2 | 9 | 19 | -25 | -10 | 34 | 18 | -13 |
| Adjustment ⓘ | 27 | 30 | 29 | 32 | 40 | 44 | 44 | 37 | 35 | 36 |
| Changes in Working Capital ⓘ | -1 | -7 | -8 | -35 | -1 | 34 | 25 | -37 | -5 | 25 |
| Tax Paid ⓘ | -1 | 0 | 2 | -1 | -9 | 0 | 0 | -4 | -5 | -1 |
| Cash Flow From Investing Activity ⓘ | -5 | -7 | -5 | -21 | -56 | -29 | -2 | -5 | -26 | -13 |
| Capex | -5 | -8 | -6 | -21 | -56 | -30 | -4 | -5 | -26 | -13 |
| Net Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1 | 0 |
| Others ⓘ | 0 | 0 | 1 | 1 | -1 | 1 | 1 | 0 | 0 | 0 |
| Cash Flow From Financing Activityⓘ | -15 | -16 | -18 | 27 | -5 | -20 | -57 | -32 | -3 | -37 |
| Net Proceeds from Shares ⓘ | 0 | 0 | 0 | 0 | 0 | 12 | 0 | 9 | 0 | 0 |
| Net Proceeds from Borrowing ⓘ | -3 | 8 | -18 | 30 | 18 | 4 | -18 | -19 | 16 | -16 |
| Interest Paid ⓘ | -14 | -14 | -13 | -13 | -21 | -19 | -19 | -18 | -16 | -15 |
| Dividend Paid ⓘ | -1 | 0 | 0 | 0 | 0 | -1 | 0 | 0 | 0 | 0 |
| Others ⓘ | 3 | -10 | 12 | 10 | -2 | -16 | -20 | -5 | -3 | -6 |
| Net Cash Flow ⓘ | 0 | 0 | -3 | 12 | -11 | 4 | 0 | -7 | 13 | -4 |
| PARTICULARS | Mar'15 | Mar'16 | Mar'17 | Mar'18 | Mar'19 | Mar'20 | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Ratios | ||||||||||
| ROE (%) | -6.11 | 0.36 | -2.2 | 8.74 | 15.07 | -22.35 | -10.04 | 28.39 | 11.79 | -8.43 |
| ROCE (%) | 5.88 | 10.08 | 7.3 | 13.37 | 17.94 | -1.33 | 6.31 | 26.63 | 16.03 | 2.16 |
| Asset Turnover Ratio | 1.47 | 1.46 | 1.48 | 1.51 | 1.46 | 1.06 | 1.22 | 1.87 | 1.9 | 1.7 |
| PAT to CFO Conversion(x) | N/A | N/A | N/A | 1 | 3.85 | N/A | N/A | 1.15 | 3.23 | N/A | Working Capital Days |
| Receivable Days | 57 | 57 | 65 | 78 | 75 | 86 | 76 | 63 | 64 | 66 |
| Inventory Days | 50 | 52 | 50 | 50 | 53 | 68 | 61 | 45 | 45 | 50 |
| Payable Days | 142 | 168 | 161 | 160 | 155 | 173 | 195 | 151 | 126 | 130 |
Bharat Gears was founded by the tireless Raunaq Singh, a man who aspired to take on the challenges of the liberalization of the Indian economy and the opportunities of the 21 st Century. With his dynamic leadership, Raunaq Singh was instrumental in strengthening Bharat Gears to leadership position it is in today.
Incorporated on 23rd December 1971, BGL is India's largest gear manufacturer. Since commencing business in 1974, BGL entered into the technical know-how with Holcroft, Michigan, U.S.A. for manufacturing Furnaces in May 1983 and with ZF Friedrichshafen, AG, Germany, in 1985 to Mid May,2007 technical and Financial collaboration for manufacturing Gear Boxes. BGL manufactures a wide range of gears for HCV, MCV, LCV, utility and off-highway vehicles. The products includes bevel, straight bevel and transmission gears.
BGL combines a modern line of machinery from all over the world. BGL manufactures a wide range of hypoid/spiral gears, differential gears and shafts, complete automotive transmissions, gearbox sub-assemblies and differential assemblies. World class parallel axis gear grinding and welding machines are deployed to enhance the capabilities to produce internals for heavy-duty power shift transmissions.
BGL's furnace division builds a variety of furnaces - sealed quench, continuous gas carburisers, rotary hearths etc. with technical know-how from AFC-Holcroft, USA. With niche markets in the OEM segment being serviced from the Mumbra plant, BGL felt the need to penetrate the untapped replacement market that comprises about 50% of the auto component industry. The fresh capacity needed to address the opportunity was achieved by the amalgamation of Universal Steel and Alloys Limited with BGL under a scheme of rehabilitation sanctioned by BIFR effective April 1, 1998. The facilities so acquired at Faridabad was upgraded and expanded in May 2000 at substantial investment. Apart from being the largest manufacturer of gears for OEM's in India, BGL is a major exporter to countries around the world.
Both plants are ISO/TS-16949:2002 & Faridabad Plant is ISO 14001:1996 also.
Milestones:
• 1972- Foundation Stone laid at Mumbra Factory.
• 1974- Inauguration of the Hypoid Plant and Commencement of Production with 'Gleason Machines'.
• 1980- First 'Oerlikon Spiromatic Generator' installed. BGL becomes the First Company in INDIA to have both Cutting Systems under one Roof.
• 1981- Memorandum of Association signed with AFC-Holcroft, U.S.A. for construction of furnaces in India to AFC-Holcroft design.
• 1985-2007- Collaboration Agreement with ZF AG Germany
• 1987- Delivery for ZF S6-36 Gears & Shafts to Ashok Leyland Ltd. and ZFAG, Germany.
• 1987- Start of Assembly of ZF S5-24 Gear Boxes for Ashok Leyland.
• 1988- Start of business with DANA CORPORATION, USA
• 1994- BGL receives ISO 9002
• 1996- BGL crosses turnover of Rs. 1 Billion.
• 1998- Foundation Stone for Faridabad Plant Laid
• 2000- Start of Commercial Production in Faridabad
• 2000- BGL receives SQ 9000 for Mumbra Plant
• 2001- BGL receives SQ 9000 for Faridabad Plant
• 2004- BGL Faridabad starts supply to Toyota Kirloskar Auto Parts
• 2004- BGL Faridabad receives ISO 14001 certification
• 2005- BGL Faridabad & Mumbra receives TS 16949 certification
• 2008- Introduction of Dry Cut Hobbing process
• 2009- Introduction of Klinglenberg Close Loop CNC Gear Measuring system
• 2010- Introduction of Bevel Gear dry cutting process with close loop technology
• 2011 - BGL Faridabad Receives OHSAS 18001 Certification
Divisions:
• Gears
• Furnaces
• Allied Auto Components
Group Company:
Raunaq International- Raunaq International is an Engineering Contracting Organization managed by dedicated team of professionals at various levels in different disciplines, is engaged in the service of core sector of industries in India. Raunaq International Limited has sufficient in-house resources in terms of Engineering Manpower, Tools and Plants, and Technical know-how besides separate departments for Design and Engineering, Quality Assurance and Inspection etc. to cater the needs for undertaking the Turnkey Contracts of Mechanical, Civil and associated Electrical and Instrumentation works and offer specialized.
Domestic Clients:
1. Carr ro-India Italy, China
2. JDEPL-India
3. JCB India, UK
4. Mahindra & Mahindra
5. Paharpur Cooling Towers Ltd.
6. Ashok Leyland
7. Spicer India
8. Axles India
9. Swaraj Mazda
10. CLAAS-India, France
11. TATA Motors
12. Escorts Ltd.
13. Toyota Kirloskar Auto Parts
Global Clients:
1. Dana Corporation, USA
2. EATON USA
3. JDCW, USA
4. JOHN DEERE Iberica, Spain
5. New Holland Fiat India
6. GE Aviation LLC, USA
7. Transaxle Manufacturing of America, (TMA) USA
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Funds ranking in screeners: Performance Consistency and Quality are two parameters used for ranking funds for SIP. The ranking as follows GG, GO, GR, OG, OO, OR, RG, RO and RR.
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The third tag Upside Potential is not relevant for SIP. It is relevant for lumpsum investments in Mutual Funds.
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