For the quarter ended December 2012, Bambino Agro reported a sales of Rs.56 Cr v/s Rs.54 Cr and a net profit of Rs.1.22 Cr v/s Rs.1.1 Cr compared with same period last year. This can be interpreted in either way .Critics may argue ,Company's Sales down in December quarter compared with just preceding September quarter .Even if there is some truth in it ,when we check the past sales trend of the company in detail ,sales figure is always higher in their September quarter for the past many years. From a loss of Rs.81 lakhs reported in December quarter company back to black in latest quarter with a profit of Rs.1.22 Cr. In my previous posting on this stock I clearly mentioned the attitude of promoters is the most important factor deciding the future of this stock.(Old posting HERE). If we read between lines ,I feel the two points which we get from today's BSE Submission is encouraging and pointing to the right direction.It is clear from the data that the promoters again hiked their stake in latest December quarter after hiking it in September.Now it is inching to the maximum permissible level of 75% .Another point is ,company today announced its plan to shift one of its manufacturing facility from Hyderabad to Indore.( Company operating more than one plant in HYD) .This will help the company to produce products from strategically located plants across India ( Hyderabad,Indore and Gurgaon ) .This will also help the company to save logistic costs especially at a time company started to pay much attention beyond southern markets.It also help to mitigate the power shortage related issues prevailing in AP.What I feel is, at last by now promoters started to show some interest to grow the business of this company and started to initiate some logical thinking for that purpose .If it is so ,there may be even some dramatic improvement is possible with a merger of other group companies with the listed one in future ..Recommending to HOLD the stock.
Disc:I have vested interest in BAIL
VIMAL OIL AND FOOD
Reported sharp improvement in latest quarter as follows:
For more details about this company check previous posting HERE
Disc:I have vested interest in VOF
0 comments:
Post a Comment