The Investor Sentiment - Equity and investments forum for Sri Lankans



Join the forum, it's quick and easy

The Investor Sentiment - Equity and investments forum for Sri Lankans

The Investor Sentiment - Equity and investments forum for Sri Lankans

Would you like to react to this message? Create an account in a few clicks or log in to continue.
The Investor Sentiment - Equity and investments forum for Sri Lankans

The Lankan Investor Forum - A more respectable and reasonable place for members to discuss matters regarding the CSEThe Lankan Investor Forum - A more respectable and reasonable place for members to discuss matters regarding the CSE

Please send an email to contact.lankaninvestor@gmail.com if you face any technical difficulties when posting

Search

 
 

Display results as :
 

 

Rechercher Advanced Search

Latest topics

» CIFC Dumps to Expand Your Possibilities to Pass Your Exam
Insight for Manufacturing Industry EmptyFri Jul 19, 2024 10:30 am by faithhharris

» CCS.N0000 ( Ceylon Cold Stores)
Insight for Manufacturing Industry EmptyWed Mar 20, 2024 11:31 am by Hawk Eye

» Sri Lanka plans to allow tourists from August, no mandatory quarantine
Insight for Manufacturing Industry EmptyWed Sep 13, 2023 12:16 pm by lauryfriese

» When Will It Be Safe To Invest In The Stock Market Again?
Insight for Manufacturing Industry EmptyWed Apr 19, 2023 6:41 am by කිත්සිරි ද සිල්වා

» Dividend Announcements
Insight for Manufacturing Industry EmptyWed Apr 12, 2023 5:41 pm by කිත්සිරි ද සිල්වා

» MAINTENANCE NOTICE / නඩත්තු දැනුම්දීම
Insight for Manufacturing Industry EmptyThu Apr 06, 2023 3:18 pm by කිත්සිරි ද සිල්වා

» ඩොලර් මිලියනයක මුදල් සම්මානයක් සහ “ෆීල්ඩ්ස් පදක්කම” පිළිගැනීම ප්‍රතික්ෂේප කළ ගණිතඥයා
Insight for Manufacturing Industry EmptySun Apr 02, 2023 7:28 am by කිත්සිරි ද සිල්වා

» SEYB.N0000 (Seylan Bank PLC)
Insight for Manufacturing Industry EmptyThu Mar 30, 2023 9:25 am by yellow knife

» Here's what blind prophet Baba Vanga predicted for 2016 and beyond: It's not good
Insight for Manufacturing Industry EmptyThu Mar 30, 2023 9:25 am by HaeroMaero

» The Korean Way !
Insight for Manufacturing Industry EmptyWed Mar 29, 2023 7:09 am by කිත්සිරි ද සිල්වා

» In the Meantime Within Our Shores!
Insight for Manufacturing Industry EmptyMon Mar 27, 2023 5:51 pm by කිත්සිරි ද සිල්වා

» What is Known as Dementia?
Insight for Manufacturing Industry EmptyFri Mar 24, 2023 10:09 am by කිත්සිරි ද සිල්වා

» SRI LANKA TELECOM PLC (SLTL.N0000)
Insight for Manufacturing Industry EmptyMon Mar 20, 2023 5:18 pm by කිත්සිරි ද සිල්වා

» THE LANKA HOSPITALS CORPORATION PLC (LHCL.N0000)
Insight for Manufacturing Industry EmptyMon Mar 20, 2023 5:10 pm by කිත්සිරි ද සිල්වා

» Equinox ( වසන්ත විෂුවය ) !
Insight for Manufacturing Industry EmptyMon Mar 20, 2023 4:28 pm by කිත්සිරි ද සිල්වා

» COMB.N0000 (Commercial Bank of Ceylon PLC)
Insight for Manufacturing Industry EmptySun Mar 19, 2023 4:11 pm by කිත්සිරි ද සිල්වා

» REXP.N0000 (Richard Pieris Exports PLC)
Insight for Manufacturing Industry EmptySun Mar 19, 2023 4:02 pm by කිත්සිරි ද සිල්වා

» RICH.N0000 (Richard Pieris and Company PLC)
Insight for Manufacturing Industry EmptySun Mar 19, 2023 3:53 pm by කිත්සිරි ද සිල්වා

» Do You Have Computer Vision Syndrome?
Insight for Manufacturing Industry EmptySat Mar 18, 2023 7:36 am by කිත්සිරි ද සිල්වා

» LAXAPANA BATTERIES PLC (LITE.N0000)
Insight for Manufacturing Industry EmptyThu Mar 16, 2023 11:23 am by කිත්සිරි ද සිල්වා

» What a Bank Run ?
Insight for Manufacturing Industry EmptyWed Mar 15, 2023 5:33 pm by කිත්සිරි ද සිල්වා

» 104 Technical trading experiments by HUNTER
Insight for Manufacturing Industry EmptyWed Mar 15, 2023 4:27 pm by katesmith1304

» GLAS.N0000 (Piramal Glass Ceylon PLC)
Insight for Manufacturing Industry EmptyWed Mar 15, 2023 7:45 am by කිත්සිරි ද සිල්වා

» Cboe Volatility Index
Insight for Manufacturing Industry EmptyTue Mar 14, 2023 5:32 pm by කිත්සිරි ද සිල්වා

» AHPL.N0000
Insight for Manufacturing Industry EmptySun Mar 12, 2023 4:46 pm by කිත්සිරි ද සිල්වා

» TJL.N0000 (Tee Jey Lanka PLC.)
Insight for Manufacturing Industry EmptySun Mar 12, 2023 4:43 pm by කිත්සිරි ද සිල්වා

» CTBL.N0000 ( CEYLON TEA BROKERS PLC)
Insight for Manufacturing Industry EmptySun Mar 12, 2023 4:41 pm by කිත්සිරි ද සිල්වා

» COMMERCIAL DEVELOPMENT COMPANY PLC (COMD. N.0000))
Insight for Manufacturing Industry EmptyFri Mar 10, 2023 4:43 pm by yellow knife

» Bitcoin and Cryptocurrency
Insight for Manufacturing Industry EmptyFri Mar 10, 2023 1:47 pm by කිත්සිරි ද සිල්වා

» CSD.N0000 (Seylan Developments PLC)
Insight for Manufacturing Industry EmptyFri Mar 10, 2023 10:38 am by yellow knife

» PLC.N0000 (People's Leasing and Finance PLC)
Insight for Manufacturing Industry EmptyThu Mar 09, 2023 8:02 am by කිත්සිරි ද සිල්වා

» Bakery Products ?
Insight for Manufacturing Industry EmptyWed Mar 08, 2023 5:30 pm by කිත්සිරි ද සිල්වා

» NTB.N0000 (Nations Trust Bank PLC)
Insight for Manufacturing Industry EmptySun Mar 05, 2023 7:24 am by කිත්සිරි ද සිල්වා

» Going South
Insight for Manufacturing Industry EmptySat Mar 04, 2023 10:47 am by කිත්සිරි ද සිල්වා

» When Seagulls Follow the Trawler
Insight for Manufacturing Industry EmptyThu Mar 02, 2023 10:22 am by කිත්සිරි ද සිල්වා

» Re-activating
Insight for Manufacturing Industry EmptySat Feb 25, 2023 5:12 pm by කිත්සිරි ද සිල්වා

» අපි තමයි හොඳටම කරේ !
Insight for Manufacturing Industry EmptyTue Feb 14, 2023 3:54 pm by ruwan326

» මේ අර් බුධය කිසිසේත්ම මා විසින් නිර්මාණය කල එකක් නොවේ
Insight for Manufacturing Industry EmptyTue Jan 03, 2023 6:43 pm by ruwan326

» SAMP.N0000 (Sampath Bank PLC)
Insight for Manufacturing Industry EmptyWed Nov 30, 2022 8:24 am by කිත්සිරි ද සිල්වා

» APLA.N0000 (ACL Plastics PLC)
Insight for Manufacturing Industry EmptyFri Nov 18, 2022 7:49 am by කිත්සිරි ද සිල්වා

» AVOID FALLING INTO ALLURING WEEKEND FAMILY PACKAGES.
Insight for Manufacturing Industry EmptyWed Nov 16, 2022 9:28 pm by කිත්සිරි ද සිල්වා

» Banks, Finance & Insurance Sector Chart
Insight for Manufacturing Industry EmptyTue Nov 15, 2022 5:26 pm by කිත්සිරි ද සිල්වා

» VPEL.N0000 (Vallibel Power Erathna PLC)
Insight for Manufacturing Industry EmptySun Nov 13, 2022 12:15 pm by කිත්සිරි ද සිල්වා

» DEADLY COCKTAIL OF ISLAND MENTALITY AND PARANOID PERSONALITY DISORDER MIX.
Insight for Manufacturing Industry EmptyMon Nov 07, 2022 6:36 pm by කිත්සිරි ද සිල්වා

» WATA - Watawala
Insight for Manufacturing Industry EmptySat Nov 05, 2022 8:44 am by කිත්සිරි ද සිල්වා

» KFP.N0000(Keels Food Products PLC)
Insight for Manufacturing Industry EmptySat Nov 05, 2022 8:42 am by කිත්සිරි ද සිල්වා

» Capital Trust Broker in difficulty?
Insight for Manufacturing Industry EmptyFri Oct 21, 2022 5:25 pm by කිත්සිරි ද සිල්වා

» IS PIRATING INTELLECTUAL PROPERTY A BOON OR BANE?
Insight for Manufacturing Industry EmptyThu Oct 20, 2022 10:13 am by කිත්සිරි ද සිල්වා

» What Industry Would You Choose to Focus?
Insight for Manufacturing Industry EmptyTue Oct 11, 2022 6:39 pm by කිත්සිරි ද සිල්වා

» Should I Stick Around, or Should I Follow Others' Lead?
Insight for Manufacturing Industry EmptyTue Oct 11, 2022 9:07 am by කිත්සිරි ද සිල්වා

Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

+7
chutiputha
HUNTER
pathfinder
Nuinth
කිත්සිරි ද සිල්වා
Backstage
xmart
11 posters

    Insight for Manufacturing Industry

    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°1

    Insight for Manufacturing Industry Empty Insight for Manufacturing Industry

    Post by xmart Thu May 28, 2015 9:56 pm

    Manufacturing sector is being subjected to heavy attraction of both traders and investors with respective prospective since mid of 2014. this triggered by world raw material price drops, world oil price drop, Sri Lanka electricity cost reduction and growth of middle class in Sri lanka.

    Since i believe that dangers are around the corner where big opportunity lay, thought of doing bit of detail analysis on manufacturing sector outlook and future prospective as my time permitted.

    well, if i took liberty to narrow down few manufacturing sector company and take one by one to the consideration in broad angle, it might be much useful.

    and guys, please do contribute as and when time permitted for the betterment of the forum and our investors (well, we have very little of them though)

    1. ACL/ APLA/ KCAB/ SIRA - cable industry
    2. RCL/ TILE/ LWL/ CERA - Tile Industry
    3. PARQ/ LALU/ ALUF/ ALUM- Aluminium Industry
    4. GLAS/ DPL- glass and porcelain industry
    5. REG/ ABAN/ SINI- Consumer equipment
    6. DIPD/ REXP/ TYRE- latex and rubber products
    7. TJL/ OGL/ MGT/ HEXP- Textile industry
    8. GRAN/ AGST- fertilizer and feeds
    9. HEXP- fiber products
    10 HAYC- active carbon/ chemical industry
    11. CIND- PVC products

    did i miss anything?

    we will discuss one group by one group.

    thanks


    Last edited by xmart on Tue Jun 02, 2015 8:29 pm; edited 2 times in total
    • Back to top
    Backstage
    Backstage
    Backstage
    Top contributor
    Top contributor


    Posts : 3803
    Join date : 2014-02-24
    • Post n°2

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Backstage Thu May 28, 2015 10:25 pm

    Ahh just what I wanted. Hope we can do one for FMCG also.

    What about: HAYC, HEXP, SWAD, MGT, TYRE,CIND.
    • Back to top
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    Top contributor
    Top contributor


    Posts : 9679
    Join date : 2014-02-23
    Age : 66
    Location : රජ්ගම
    • Post n°3

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by කිත්සිරි ද සිල්වා Thu May 28, 2015 10:33 pm

    Thanks Xmart for the initiation of this thread. Very Happy
    I am sure (here) we are ready to go places now.


    _________________
    I am the wisest man alive, for I know one thing, and that is that I know nothing.
    Socrates
    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°4

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Thu May 28, 2015 10:36 pm

    ACL/ APLA/ KCAB/ SIRA

    cable industry is heavily depend on world copper price, pvc price and local construction developments. if we look at world copper price at the moment,

    % Change of Copper price:
    Weekly: -2.33 %
    Monthly:-0.46 %
    Yearly:  -13.36 %

    even though Cu bounced back on Feb 2nd, 2015 the trend has no force behind it and most probably test the support level in coming months.


    source: [You must be registered and logged in to see this link.]

    the important fact is that our cable companies do lock copper price for a time period just like oil prices. cable industry profit margin will be decided by 2 factors.

    1. what is the lock price for each company.
    2. how much sale they can make in coming quarters, company with larger market cap will be benefited.

    the second question will lead us to local construction industry, which is essentially not mega projects like highways, harbors, air ports etc. if you take a tour around colombo and main cities we can see many development (hotels, apartments, office complex etc) in progress. since the competition is high, these people are giving 25%- 40% discount to get the projects like that. that lead us back to question no. 01, one who can give attractive discount is the one who lock the copper price at low.

    here i found discussion slstock started about this group. we can relate to the post as well.
    [You must be registered and logged in to see this link.]

    share performance so far
    [You must be registered and logged in to see this image.]

    Valuation based on DCF, EPS, Graham number and bengamin graham formula (which i took liberty to change according to our country)
    [You must be registered and logged in to see this image.]

    update: 29th May 2015

    Revenue growth wise both KCAB and ACL perform around 12% and gross profit margin growth is 1% higher in KCAB, which is around 9.5%. also KCAB is having less debt compared to ACL. even thought market share of ACL larger than KCAB, by considering the less shares and better performance it can be concluded that KCAB will outperform ACL in short to medium run. but ACL is the clear giant in cable industry. also it was observed that ACL hold 4% of KCAB and 2nd largest shareholder.

    based on 2015 march results valuation was updated.

    [You must be registered and logged in to see this image.]


    Last edited by xmart on Fri May 29, 2015 11:09 pm; edited 2 times in total
    • Back to top
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    Top contributor
    Top contributor


    Posts : 9679
    Join date : 2014-02-23
    Age : 66
    Location : රජ්ගම
    • Post n°5

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by කිත්සිරි ද සිල්වා Thu May 28, 2015 10:59 pm

    What are the likely threats pose to local manufacturers from cheap finished products import from other parts of the world ?


    _________________
    I am the wisest man alive, for I know one thing, and that is that I know nothing.
    Socrates
    • Back to top
    Nuinth
    avatar
    Nuinth
    Top contributor
    Top contributor


    Posts : 555
    Join date : 2014-02-28
    Location : Universe
    • Post n°6

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Nuinth Fri May 29, 2015 5:29 am

    Thx Xmart. Most awaiting analysis.

    As Back's mentioned MGT also will play considerable role with TJL. Heard from somewhere Germany is backing to give back GSP+ to SL. Hope these conters will benefited.

    How about the DPL...? Hope they also will benefit as low electricity price.

    From cable SIRA looks attractive.

    Guys, don't go away from market in next 3-4 qtrs... alien
    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°7

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Fri May 29, 2015 11:18 pm

    Thanks for the comments guys.

    @back & nuinth,

    HAYC, HEXP, SWAD, MGT, TYRE,CIND are worth to study. i will add them too.

    @kith,

    What are the likely threats pose to local manufacturers from cheap finished products import from other parts of the world ?

    well, they import basically everything; tile, bath ware, glass, canned fish, etc.
    but still there are some industries which are less affected by cheap imported products.

    cheer
    • Back to top
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    Top contributor
    Top contributor


    Posts : 9679
    Join date : 2014-02-23
    Age : 66
    Location : රජ්ගම
    • Post n°8

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by කිත්සිරි ද සිල්වා Fri May 29, 2015 11:22 pm

    Thanks and awaits more insightful exposures. Very Happy
    xmart wrote:Thanks for the comments guys.

    @back & nuinth,

    HAYC, HEXP, SWAD, MGT, TYRE,CIND are worth to study. i will add them too.

    @kith,

    What are the likely threats pose to local manufacturers from cheap finished products import from other parts of the world ?

    well, they import basically everything; tile, bath ware, glass, canned fish, etc.
    but still there are some industries which are less affected by cheap imported products.

    cheer


    _________________
    I am the wisest man alive, for I know one thing, and that is that I know nothing.
    Socrates
    • Back to top
    pathfinder
    pathfinder
    pathfinder
    Top contributor
    Top contributor


    Posts : 1450
    Join date : 2014-02-23
    • Post n°9

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by pathfinder Sat May 30, 2015 11:26 am

    Really a good one Xmart + keep going Very Happy
    • Back to top
    Backstage
    Backstage
    Backstage
    Top contributor
    Top contributor


    Posts : 3803
    Join date : 2014-02-24
    • Post n°10

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Backstage Sat May 30, 2015 8:13 pm

    About the cables......
    Thanks X,
    We are aware that SIRA management and administration was a bit weak(discovering fraud a bit late in the day.) Does anyone know about the management, governance and transparency of the ACL group which is a family concern. Also the investment in Rhesus needs to be acknowledged.
    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°11

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Sun May 31, 2015 11:51 pm

    well, it looks like SIRA has restructured. but the baby is still so young and couldn't diagnose his body tone. shall we give SIRA few more quarters and then decide!

    back, you nailed the problem (some may call the strength) of ACL. actually the ACL group is controlling the KCAB and APLA. there are few other competitors like Ruhunu cables, Kamal Cables and Orange, but they have very small market share. ACL/ Kelani dominate domestic and most industrial projects while SIRA survive using big contracts such as CEB.

    since the controlling body, ACL overhead is high and profit margin is little small than KCAB, KCAB can outperform ACL in short run. shares outstanding in public hand are 22 M (37.9%) in ACL and 4.4 M (20.2%) in KCAB.

    family governance has done no bad for ACL group but the management think little about small investors. their dividend policy witness that. since ACL has more liquidity and stability Institutional interest is focus to it. but these investors bit hesitate to invest in something which is managed by a family.

    thanks
    Backstage wrote:About the cables......
    Thanks X,
    We are aware that SIRA management and administration was a bit weak(discovering fraud a bit late in the day.) Does anyone know about the management, governance and transparency of the ACL group which is a family concern. Also the investment in Rhesus needs to be acknowledged.
    • Back to top
    pathfinder
    pathfinder
    pathfinder
    Top contributor
    Top contributor


    Posts : 1450
    Join date : 2014-02-23
    • Post n°12

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by pathfinder Mon Jun 01, 2015 12:01 am

    xmart wrote:well, it looks like SIRA has restructured. but the baby is still so young and couldn't diagnose his body tone. shall we give SIRA few more quarters and then decide!

    back, you nailed the problem (some may call the strength) of ACL. actually the ACL group is controlling the KCAB and APLA. there are few other competitors like Ruhunu cables, Kamal Cables and Orange, but they have very small market share. ACL/ Kelani dominate domestic and most industrial projects while SIRA survive using big contracts such as CEB.

    since the controlling body, ACL overhead is high and profit margin is little small than KCAB, KCAB can outperform ACL in short run. shares outstanding in public hand are 22 M (37.9%) in ACL and 4.4 M (20.2%) in KCAB.

    family governance has done no bad for ACL group but the management think little about small investors. their dividend policy witness that. since ACL has more liquidity and stability Institutional interest is focus to it. but these investors bit hesitate to invest in something which is managed by a family.

    thanks
    Backstage wrote:About the cables......
    Thanks X,
    We are aware that SIRA management and administration was a bit weak(discovering fraud a bit late in the day.) Does anyone know about the management, governance and transparency of the ACL group which is a family concern. Also the investment in Rhesus needs to be acknowledged.
    Yes you are right ACL is not a generous company.
    Impact of recent acquisition of Resus energy as a joint venture is interesting in coming quarters.
    • Back to top
    HUNTER
    HUNTER
    HUNTER
    Top contributor
    Top contributor


    Posts : 1935
    Join date : 2014-07-14
    • Post n°13

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by HUNTER Mon Jun 01, 2015 11:13 am

    Excellent thread xmart +
    Keep it up!

    This is like the other half of my way of analysis.

    I see certain signs of opportunities in following counters; it seems, we can analyse the reasons in this thread:

    1. CIND.N
    2. LWL.N
    3. RCL.N
    4. DIPD.N
    5. TILE.N
    6. CERA.N
    7. HAYL.N

    • Back to top
    chutiputha
    chutiputha
    chutiputha
    Top contributor
    Top contributor


    Posts : 1948
    Join date : 2014-11-09
    Age : 38
    Location : SL
    • Post n°14

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by chutiputha Mon Jun 01, 2015 11:26 am

    Thank U Xmart for ut Smart Initiation 2 Likes Smile

    And I love to see RCL,CIND are in Hot List Smile
    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°15

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Tue Jun 02, 2015 8:16 pm

    Hunter, Chuty,

    Thanks for the encouragement.

    well, ACL report far better result than expected.
    i was expecting Revenue of 15,500 M and 16.5% profit Margin from ACL.

    It was pretty impressive that though they have only 14,512 M revenue for year ending 2015, they were able to record 17.4% profit margin.

    ACL/ APLA/KCAB on hot plate now. enjoy the show. i think it is better not to talk about this group until the heat is over. otherwise there is a possible danger of labeling as a promoter. anyway, as a note this post was done before reports out and when no one was interested in this group.

    they have this family governance and dividend issue. plus points are Copper and PVC prices are healthy and cable industry still use their old price lists with 20- 25% discount. when the turnover is big they do not hesitate to go for 40% discount either.

    I think it is time to move on to another group.
    • Back to top
    Nuinth
    avatar
    Nuinth
    Top contributor
    Top contributor


    Posts : 555
    Join date : 2014-02-28
    Location : Universe
    • Post n°16

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Nuinth Wed Jun 03, 2015 2:16 pm

    Thx Xmart for update.

    Hope this sector turnover will go up with future construction growth (After political drama settle down). Further raw material price will be friendly with higher profit.

    Thx once again for pointing out this.

    Good luck all....!

    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°17

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Wed Jun 03, 2015 10:58 pm

    DPL/ GLAS/ LWL/ RCL/ CERA/ TILE

    Well.. Ceramic, Porcelain and Glass Industry is being favored in recent past and making huge turnovers.
    since glass and ceramic/ porcelain production processes are same it was decided to categorized in to one section.

    Production Process:

    1. Dry Milling
    2. Extrusion
    3. Dust Pressing
    4. Drying

    Since this industry is a heavy electricity/energy intensive category, electricity is representing 20-30% of production cost. 15% cost electricity tariff reduction was the main advantage of this group.

    Raw materials

    There are certain key materials that are either used directly by the ceramics industry or that represent the starting point for the production of added-value materials:

    silica
    clay
    alumina
    magnesia
    titania
    iron oxide
    zircon/zirconia.

    raw material cost has no major impact on production cost as my knowledge serves. its energy what matter to the industry production cost.

    since there are lot of hopes for DPL, lets take DPL separate

    DPL
    DPL is an export base company. therefore LKR/USD is important

    [You must be registered and logged in to see this image.]

    DPL share price movement in respective duration

    [You must be registered and logged in to see this image.]

    Quick look at financials

    [You must be registered and logged in to see this image.]

    the company has a great potential but poor management is holding DPL from growing. Rupee has being depreciation ever since. but DPL couldn't harvest the advantage, well, actually their gross profit and FCF is ok but the administrative expenses and the distribution expenses are too high, Net profit margin become negative due to those. since their revenue and gross profit margin is growing, group will perform well if management become smarter than this.

    they were very keen on production energy cost and has take several measures to maintain a good energy mix and balance load unlike previous, also they have identified their risks said they took measures. anyway, this is a company to watch.

    [You must be registered and logged in to see this image.]
    can anyone explain their admin cost and distribution cost?


    Last edited by xmart on Sat Jun 06, 2015 10:52 pm; edited 2 times in total
    • Back to top
    Backstage
    Backstage
    Backstage
    Top contributor
    Top contributor


    Posts : 3803
    Join date : 2014-02-24
    • Post n°18

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Backstage Wed Jun 03, 2015 11:25 pm

    Great thread X keep going.

    What about Dolomite/Calcite ?
    • Back to top
    Nuinth
    avatar
    Nuinth
    Top contributor
    Top contributor


    Posts : 555
    Join date : 2014-02-28
    Location : Universe
    • Post n°19

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Nuinth Thu Jun 04, 2015 12:28 am

    Superb Xmart... flower

    Then electricity cost benifit will appear in the financial statement of this group in the future (I like to follow low price shares like DPL, GLAS.. drunken )

    Good luck guys...

    • Back to top
    smallville
    smallville
    smallville
    Top contributor
    Top contributor


    Posts : 1872
    Join date : 2014-02-23
    Location : Trying to figure out..
    • Post n°20

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by smallville Thu Jun 04, 2015 8:19 am

    ACL - also is the main shareholder of Resus energy (HPWR), their entry into hydro power means they want to expand and diversify their interests in their portfolio of business too..
    HPWR have been reporting losses due to Thermal power involvement. Last year they completely sold it and recorded the loss in transaction this qtr. So still they reported losses.. But no Hydro from now on-wards means we can be optimistic on their turn-around too. That means added bottom line improvement for ACL group.


    _________________
    I take risks as a Trader and I select stocks based on Tech and daily Cash in/out. Therefore, my methods may not suit u.. so DYO analysis before making any decisions.
    • Back to top
    Backstage
    Backstage
    Backstage
    Top contributor
    Top contributor


    Posts : 3803
    Join date : 2014-02-24
    • Post n°21

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by Backstage Thu Jun 04, 2015 11:13 am

    Nuinth wrote:Superb Xmart... flower

    Then electricity cost benifit will appear in the financial statement of this group in the future (I like to follow low price shares like DPL, GLAS.. drunken )

    Good luck guys...



    Being totally export oriented with 100% local raw materials ,DPL will also benefit from devaluation.

    DIPD, Low rubber prices, lower energy costs and weaker rupee, lot of things seem to be coming together for DIPD.


    Last edited by Backstage on Thu Jun 04, 2015 11:15 am; edited 1 time in total (Reason for editing : mistake)
    • Back to top
    xmart
    xmart
    xmart
    Top contributor
    Top contributor


    Posts : 732
    Join date : 2015-01-17
    • Post n°22

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by xmart Sat Jun 06, 2015 11:16 pm

    Nuinth wrote:Superb Xmart... flower

    Then electricity cost benifit will appear in the financial statement of this group in the future (I like to follow low price shares like DPL, GLAS.. drunken )

    Good luck guys...


    I would say, GLAS will directly benefited from tariff reduction. Though the energy cost is important factor in DPL, their overhead and admin expenses can eat up the saving done by tariff reduction at the moment. but looking at future prospective (always has a risk) one can invest in DPL around its NAV. further DPL has been appreciated 50- 80% in short term with Rupee depreciation. it looks like LKR/USD will look down at 134. but if Rupee get pressured and break 134, DPL will have a run.

    smallville wrote:ACL - also is the main shareholder of Resus energy (HPWR), their entry into hydro power means they want to expand and diversify their interests in their portfolio of business too..
    HPWR have been reporting losses due to Thermal power involvement. Last year they completely sold it and recorded the loss in transaction this qtr. So still they reported losses.. But no Hydro from now on-wards means we can be optimistic on their turn-around too. That means added bottom line improvement for ACL group.

    i think you mean "No thermal" right pal?

    HPWR will turnaround but will take sometime as almost all the mini hydro sites are reserved or built. they have to move into solar, wind or waste as they plan to go green. those are not profitable like mini hydro. if they start a mini hydro project from the cash left, it will be a cash cow for ACL. still i would say HPWR is not a bold option by ACL.

    cheer!
    • Back to top
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    කිත්සිරි ද සිල්වා
    Top contributor
    Top contributor


    Posts : 9679
    Join date : 2014-02-23
    Age : 66
    Location : රජ්ගම
    • Post n°23

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by කිත්සිරි ද සිල්වා Sun Jun 07, 2015 8:37 am

    Good & honest burst of Sunshine.
    Thanks xmart. Very Happy


    _________________
    I am the wisest man alive, for I know one thing, and that is that I know nothing.
    Socrates
    • Back to top
    pathfinder
    pathfinder
    pathfinder
    Top contributor
    Top contributor


    Posts : 1450
    Join date : 2014-02-23
    • Post n°24

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by pathfinder Sun Jun 07, 2015 11:44 pm

    Good one Xmart
    • Back to top
    chutiputha
    chutiputha
    chutiputha
    Top contributor
    Top contributor


    Posts : 1948
    Join date : 2014-11-09
    Age : 38
    Location : SL
    • Post n°25

    Insight for Manufacturing Industry Empty Re: Insight for Manufacturing Industry

    Post by chutiputha Sun Jun 07, 2015 11:50 pm

    Ah Cool..U r not Xmart,but u are Smart Smile +
    • Back to top

      Current date/time is Sat Jul 27, 2024 2:39 pm