Past 10 year's financial track record analysis by Moneyworks4me indicates that Deepak Chemtex Ltd is a average quality company.
The key valuation ratios of Deepak Chemtex Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.
The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Deepak Chemtex Ltd is likely to Fall 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'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|
| ROCE % ⓘ | 55.7% | 62.7% | 57.6% | 29.4% | - |
| Value Creation Index ⓘ | 3.0 | 3.5 | 3.1 | 1.1 | - |
Growth Parameters ⓘGrowth Parameters Colour Code Guide ⓘ | |||||
| Sales ⓘ | 29.6 | 54.1 | 46.7 | 50.4 | 50 |
| Sales YoY Gr. | - | 83.1% | -13.7% | 7.9% | - |
| Adj EPS ⓘ | 3.2 | 5.2 | 7.4 | 6 | 6.1 |
| YoY Gr. | - | 60.5% | 41.5% | -18.5% | - |
| BVPS (₹) ⓘ | 6.5 | 12 | 19.7 | 39.3 | 39.3 |
| Adj Net Profit ⓘ | 2.6 | 4.2 | 5.9 | 6.5 | 7 |
| Cash Flow from Ops. ⓘ | 0.8 | 1.2 | 2.5 | -0.8 | - |
| Debt/CF from Ops. ⓘ | 2.1 | 1.8 | 0.6 | -2.1 | - |
CAGR Colour Code Guide ⓘ
| 9 Years | 5 Years | 3 Years | 1 Years | |||||
|---|---|---|---|---|---|---|---|---|
| Sales ⓘ | NA | NA | 19.5% | 7.9% | ||||
| Adj EPS ⓘ | NA | NA | 22.8% | -18.5% | ||||
| BVPSⓘ | NA | NA | 82.4% | 99.3% | ||||
| Share Price | - | - | - | 58.4% | ||||
Performance Ratio Colour Code Guide ⓘ
| Mar'21 | Mar'22 | Mar'23 | Mar'24 | TTM | |
|---|---|---|---|---|---|
| Return on Equity % ⓘ | 50.1 | 56.4 | 46.5 | 22.4 | 15.6 |
| Op. Profit Mgn % ⓘ | 14.1 | 11 | 16.7 | 17.1 | NAN |
| Net Profit Mgn % ⓘ | 8.8 | 7.7 | 12.6 | 12.9 | 13.2 |
| Debt to Equity ⓘ | 0.3 | 0.2 | 0.1 | 0 | - |
| Working Cap Days ⓘ | 0 | 74 | 129 | 167 | 0 |
| Cash Conv. Cycle ⓘ | 0 | 34 | 66 | 91 | 0 |
Sales growth is growing at healthy rate in last 3 years 19.47%
Net Profit is growing at healthy rate in last 3 years 22.80%
Return on Equity has declined versus last 3 years average to 15.60%
Sales growth is not so good in last 4 quarters at 0.00%
| Standalone | Consolidated | |
|---|---|---|
| TTM EPS (₹) | 6.1 | 5.5 |
| TTM Sales (₹ Cr.) | 50.4 | 49.4 |
| BVPS (₹.) ⓘ | 39.3 | 38.6 |
| Reserves (₹ Cr.) ⓘ | 32 | 31 |
| P/BV ⓘ | 4.17 | 4.24 |
| PE ⓘ | 26.80 | 29.77 |
| From the Market | |
|---|---|
| 52 Week Low / High (₹) | 65.00 / 175.00 |
| All Time Low / High (₹) | 65.00 / 175.00 |
| Market Cap (₹ Cr.) | 178 |
| Equity (₹ Cr.) | 10.9 |
| Face Value (₹) | 10 |
| Industry PE ⓘ | 57.2 |
| Pledged * | 0.00 | 0.00 |
| PARTICULARS | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|
| Sales | 30 | 54 | 47 | 50 |
| Operating Expenses ⓘ | 25 | 48 | 39 | 42 |
| Manufacturing Costs | 3 | 5 | 4 | 4 |
| Material Costs | 18 | 37 | 29 | 30 |
| Employee Cost | 1 | 2 | 2 | 3 |
| Other Costs ⓘ | 3 | 4 | 3 | 5 |
| Operating Profit ⓘ | 4 | 6 | 8 | 9 |
| Operating Profit Margin (%) | 14.1% | 11.0% | 16.7% | 17.1% |
| Other Income ⓘ | 0 | 0 | 1 | 1 |
| Interest ⓘ | 0 | 0 | 0 | 0 |
| Depreciation ⓘ | 1 | 1 | 1 | 1 |
| Exceptional Items ⓘ | 0 | 0 | 0 | 0 |
| Profit Before Tax ⓘ | 4 | 6 | 8 | 9 |
| Tax ⓘ | 1 | 1 | 2 | 2 |
| Profit After Tax | 3 | 4 | 6 | 7 |
| PAT Margin (%) | 8.9% | 7.8% | 13.2% | 13.2% |
| Adjusted EPS (₹) | 3.3 | 5.3 | 7.7 | 6.1 |
| Dividend Payout Ratio (%) | 0% | 0% | 0% | 0% |
| PARTICULARS | Mar'21 | Mar'22 | Mar'23 | Mar'24 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
Equity and Liabilities | ||||||||||
| Shareholders Fund | 5 | 10 | 16 | 43 | ||||||
| Share Capital ⓘ | 0 | 0 | 0 | 11 | ||||||
| Reserves ⓘ | 5 | 9 | 15 | 32 | ||||||
| Minority Interest | 0 | 0 | 0 | 0 | ||||||
| Debt | 2 | 2 | 1 | 2 | ||||||
| Long Term Debt | 0 | 0 | 0 | 0 | ||||||
| Short Term Debt | 1 | 1 | 1 | 2 | ||||||
| Trade Payables | 3 | 4 | 4 | 4 | ||||||
| Others Liabilities ⓘ | 1 | 2 | 2 | 3 | ||||||
| Total Liabilities ⓘ | 11 | 17 | 24 | 51 | ||||||
Fixed Assets | ||||||||||
| Gross Block | 6 | 7 | 8 | 10 | ||||||
| Accumulated Depreciation | 3 | 4 | 4 | 5 | ||||||
| Net Fixed Assetsⓘ | 3 | 3 | 4 | 5 | ||||||
| CWIP ⓘ | 0 | 0 | 0 | 0 | ||||||
| Investmentsⓘ | 0 | 0 | 0 | 0 | ||||||
| Inventories | 2 | 2 | 4 | 5 | ||||||
| Trade Receivables | 5 | 8 | 11 | 15 | ||||||
Cash Equivalents  ⓘ
| 0 | 0 | 1 | 19 | ||||||
| Others Assetsⓘ | 1 | 3 | 4 | 7 | ||||||
| Total Assets ⓘ | 11 | 17 | 24 | 51 | ||||||
| PARTICULARS | Mar'21 | Mar'22 | Mar'23 | Mar'24 |
|---|---|---|---|---|
| Cash Flow From Operating Activity ⓘ | 1 | 1 | 2 | -1 |
| PBT ⓘ | 4 | 6 | 8 | 9 |
| Adjustment ⓘ | 0 | 1 | 1 | 0 |
| Changes in Working Capital ⓘ | -2 | -4 | -4 | -8 |
| Tax Paid ⓘ | -1 | -1 | -2 | -2 |
| Cash Flow From Investing Activity ⓘ | -1 | -1 | -2 | -2 |
| Capex | -1 | -1 | -1 | -2 |
| Net Investments | 0 | 0 | 0 | 0 |
| Others ⓘ | 0 | 0 | -1 | 0 |
| Cash Flow From Financing Activityⓘ | 0 | 0 | -1 | 20 |
| Net Proceeds from Shares ⓘ | 0 | 0 | 0 | 20 |
| Net Proceeds from Borrowing ⓘ | 0 | 0 | 0 | 0 |
| Interest Paid ⓘ | 0 | 0 | 0 | 0 |
| Dividend Paid ⓘ | 0 | 0 | 0 | 0 |
| Others ⓘ | 0 | 0 | 0 | 0 |
| Net Cash Flow ⓘ | 0 | 0 | 0 | 18 |
| PARTICULARS | Mar'21 | Mar'22 | Mar'23 | Mar'24 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Ratios | ||||||||||
| ROE (%) | 51.01 | 57.33 | 48.62 | 22.73 | ||||||
| ROCE (%) | 55.72 | 62.69 | 57.64 | 29.43 | ||||||
| Asset Turnover Ratio | 2.67 | 3.83 | 2.28 | 1.35 | ||||||
| PAT to CFO Conversion(x) | 0.33 | 0.25 | 0.33 | -0.14 | Working Capital Days | |||||
| Receivable Days | 64 | 46 | 77 | 95 | ||||||
| Inventory Days | 27 | 15 | 25 | 33 | ||||||
| Payable Days | 65 | 34 | 51 | 49 | ||||||
Deepak Chemtex was originally incorporated as a private limited Company under the name of ‘Deepak Chemtex Private Limited’ on June 10, 1997 under the provisions of the Companies Act, 1956 with the Registrar of Companies, Maharashtra, Mumbai. Thereafter, the company has shifted its registered office from Mumbai to Pune effective from May 01, 2022. The company was converted from private limited to public limited and the name of the company was changed from ‘Deepak Chemtex Private Limited’ to ‘Deepak Chemtex Limited’ vide fresh certificate of incorporation dated September 04, 2023, issued by the Registrar of Companies, Pune, Maharashtra.
The company is primarily engaged in the business of manufacturing of colorants finding its application in Food, Drug, Cosmetics, Cleaning compounds, Agriculture and other industries. Colorants are formulations of chemical intermediates, pigments or dyes and additives used to add colour to various consumables. It commenced its business in 1997 and has over the years evolved into manufacturing of a complete range of FD&C (Food, Drug and Cosmetic) colours used in the confectionary, bakery, desserts, beverages, dairy products, seasonings, pet foods, pharmaceutical products, cosmetics & personal care products. it also manufacture salt free dyes used in inkjet industry, pond dyes used in in ponds, lakes, swimming pools etc and other colorants used in car wash products, portable sanitation cleaners, detergent & soap, fuel, oil & lubricants, smoke, seed treatment, crop protection, fertilizer indicators, floral dyes etc.
Its manufacturing facility is situated at Ratnagiri District in Maharashtra and is equipped with glass lined reactors, boilers and stainless steel equipments and gets audited on a regular basis by its clients. It uses various production processes like: Sulphonation, Condensation, Bromination, Oxidation, Reduction, High pressure reactions, Purification etc which enables it to cater to niche and advanced requirements of a wider range of end-products and applications. It manufactures colorants from unwanted salts and isomers. The quality framework at its organization comprises of quality checks focused on shade testing, heavy metals detection, microbiological contamination tests and particle size analysis done by its in-house team.
Its manufacturing facility is accredited with ISO 9001:2015 for quality management system for the manufacture and supply of chemical intermediates & dyes stuff. To ensure quality standards its manufacturing unit has also received HALAL certificate which guarantee that the food is prepared in accordance with Islamic law and is unadulterated and KOSHER certificate that a particular food item or product has been prepared in accordance with the Dietary Laws of Judaism.
Business area of the company
The company is primarily engaged in the business of manufacturing of colorants finding its application in Food, Drug, Cosmetics, Cleaning compounds, Agriculture and other industries.
Products of the company
History and milestones
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