Authorized Share Capital: 40,00,00,000 Rs. 40 Crores only
Equity Shares: 4,00,00,000 4
Crores of Rs. 10 each
Dividend: Rs.
4 per share interim dividend paid on 13th Feb 2013
The Authorized share capital of the company is Rs.
40,00,00,000/- (Rs. Forty Crores only) divided into 4,00,00,000 (Four crore
only) equity shares of Rs. 10/- each absolving a sum of Rs. 12,54,92,296/-
(Rupees Twelve Crores Fifty Four Lakhs Ninety Two Thousand Two Hundred and
Ninety Six Only) be and is hereby approved as the Final Dividend for the year
ended 31st march, 2013.
Strong Points:
·
Has been in operation for 30 years
·
Has been paying dividends since 20005 annually
·
Strong and experienced Management
·
Has special focus on adhering to all legal and
regulatory requirements
·
Reserves and Surplus are healthy at 506 Cr
approximately and going up year on year.
·
Company pays dues and payments to banks and
third parties on time.
·
Reserves and Surplus are healthy.
·
Mr. V C. Nanapaneni holds 25.58% of the shares
in the company.
·
The company has also done a share buy back in
both 2012 and 2013.
·
Weak Points:
·
New Entrant into the International markets.
·
Entry in International market seems to have
spurred good sales and hence profits.
·
Company does not hedge or cover foreign exchange
exposure
·
Does not have its power backup, which raises
energy costs and affects the final product cost. Significant investment might
be needed to meet this challenge.
·
The son Mr. Rajiv who is heir apparent, is not
from a Medical background. So long term holding might not be the best idea.
·
Two small cases going on with Central Sales Tax
and Income Tax department.
·
Profit for the year is 78 Cr roughly after all
deductions. A few bad months could disturb the cash flow. Company would in such
case have to lean on Reserves and Surplus which are healthy.
