CEAT Ltd

₹ 1,372 -0.44%
18 Aug - close price
About

CEAT, established in 1958, is one of the largest tyre manufacturers and is one of the fastest growing tyre companies in India. For the year 2020, CEAT ranked 35th amongst India’s 100 best companies to work for by the Great Place to Work Institute and was recognised as one of the best companies amongst the auto and auto component industry category.

Key Points

Diversified Revenue Profile
Presently, trucks & buses category contributes majority of revenues at 33%, followed by 2/3 wheelers (30%), Passenger cars (13%), Farm (9%), LCV (8%) & specialty category contributes the rest 7% of revenues. [1]

  • Market Cap 5,548 Cr.
  • Current Price 1,372
  • High / Low 1,421 / 890
  • Stock P/E 132
  • Book Value 779
  • Dividend Yield 0.22 %
  • ROCE 6.13 %
  • ROE 2.07 %
  • Face Value 10.0

Pros

  • Company has been maintaining a healthy dividend payout of 20.5%

Cons

  • Company has low interest coverage ratio.
  • The company has delivered a poor sales growth of 10.3% over past five years.
  • Company has a low return on equity of 8.57% for last 3 years.
  • Promoter holding has decreased over last 3 years: -3.87%

* The pros and cons are machine generated. Pros / cons are based on a checklist to highlight important points. Please exercise caution and do your own analysis.

Peer comparison

Sector: Tyres Industry: Tyres

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Quarterly Results

Standalone Figures in Rs. Crores / View Consolidated

Jun 2019 Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021 Dec 2021 Mar 2022 Jun 2022
1,703.60 1,687.26 1,750.39 1,564.53 1,116.15 1,965.13 2,212.48 2,279.03 1,897.76 2,432.32 2,406.12 2,576.43 2,803.08
1,542.93 1,517.69 1,567.81 1,365.55 1,014.42 1,674.60 1,886.65 2,023.71 1,732.23 2,216.05 2,273.88 2,391.11 2,638.86
Operating Profit 160.67 169.57 182.58 198.98 101.73 290.53 325.83 255.32 165.53 216.27 132.24 185.32 164.22
OPM % 9.43% 10.05% 10.43% 12.72% 9.11% 14.78% 14.73% 11.20% 8.72% 8.89% 5.50% 7.19% 5.86%
14.23 13.67 2.89 -24.34 -6.91 4.22 -2.31 3.12 3.85 2.10 12.35 -1.31 2.05
Interest 29.58 36.96 37.48 40.12 48.28 44.40 41.16 39.21 45.26 48.69 54.05 55.97 51.40
Depreciation 59.45 67.10 70.51 75.02 78.53 83.91 87.27 89.87 96.45 120.60 108.55 109.54 111.38
Profit before tax 85.87 79.18 77.48 59.50 -31.99 166.44 195.09 129.36 27.67 49.08 -18.01 18.50 3.49
Tax % -1.30% 37.62% 38.33% 15.76% 19.04% -2.23% 34.62% -9.65% 27.90% 26.73% 17.43% 28.16% 26.93%
Net Profit 86.99 49.39 47.78 50.12 -25.90 170.15 127.55 141.84 19.95 35.96 -14.87 13.29 2.55
EPS in Rs 21.51 12.21 11.81 12.39 -6.40 42.06 31.53 35.07 4.93 8.89 -3.68 3.29 0.63

Profit & Loss

Standalone Figures in Rs. Crores / View Consolidated

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 TTM
3,459 4,424 4,827 5,276 5,504 5,451 5,702 6,213 6,831 6,748 7,573 9,313 10,218
3,311 4,177 4,404 4,643 4,855 4,651 5,029 5,571 6,186 6,027 6,588 8,598 9,520
Operating Profit 147 247 423 633 649 799 673 642 646 720 985 715 698
OPM % 4% 6% 9% 12% 12% 15% 12% 10% 9% 11% 13% 8% 7%
21 25 -6 10 22 35 23 21 6 1 -11 5 15
Interest 100 192 193 184 141 99 87 92 68 152 176 207 210
Depreciation 34 70 78 83 88 107 142 162 174 277 340 435 450
Profit before tax 33 10 146 377 443 628 467 410 410 292 459 77 53
Tax % 33% 22% 27% 33% 32% 29% 22% 32% 29% 23% 10% 30%
Net Profit 22 8 106 254 299 445 363 279 289 225 414 54 37
EPS in Rs 6.51 2.20 31.06 70.58 73.91 110.06 89.67 68.90 71.42 55.53 102.26 13.43 9.13
Dividend Payout % 31% 45% 13% 14% 14% 10% 13% 17% 17% 22% 18% 22%
Compounded Sales Growth
10 Years: 8%
5 Years: 10%
3 Years: 11%
TTM: 22%
Compounded Profit Growth
10 Years: 22%
5 Years: -29%
3 Years: -41%
TTM: -91%
Stock Price CAGR
10 Years: 28%
5 Years: -4%
3 Years: 16%
1 Year: 3%
Return on Equity
10 Years: 14%
5 Years: 10%
3 Years: 9%
Last Year: 2%

Balance Sheet

Standalone Figures in Rs. Crores / View Consolidated

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022
34 34 34 36 40 40 40 40 40 40 40 40
Reserves 609 618 709 931 1,558 1,909 2,266 2,506 2,711 2,720 3,124 3,110
986 1,280 1,012 1,149 759 651 775 641 1,261 2,014 1,512 2,203
1,170 1,090 1,308 1,256 1,278 1,292 1,462 1,581 2,050 2,371 3,231 3,607
Total Liabilities 2,799 3,023 3,062 3,372 3,636 3,893 4,543 4,769 6,062 7,146 7,907 8,961
1,361 1,524 1,503 1,474 1,481 1,975 2,409 2,465 2,846 4,160 4,763 5,329
CWIP 107 13 10 30 164 213 49 162 749 1,002 728 808
Investments 87 74 45 124 437 224 259 320 313 111 118 126
1,244 1,411 1,505 1,743 1,554 1,480 1,827 1,823 2,153 1,874 2,298 2,698
Total Assets 2,799 3,023 3,062 3,372 3,636 3,893 4,543 4,769 6,062 7,146 7,907 8,961

Cash Flows

Standalone Figures in Rs. Crores / View Consolidated

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022
244 7 557 155 705 718 344 744 533 968 1,351 632
-484 -128 -64 -98 -259 -412 -419 -420 -1,052 -1,128 -626 -950
147 106 -454 -32 -177 -340 78 -269 504 126 -728 311
Net Cash Flow -92 -16 39 26 269 -33 3 55 -15 -34 -3 -7

Ratios

Standalone Figures in Rs. Crores / View Consolidated

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022
Debtor Days 51 51 48 50 44 39 38 42 39 36 44 45
Inventory Days 80 63 58 76 68 73 100 72 85 86 96 78
Days Payable 48 44 49 70 67 74 81 81 91 111 158 131
Cash Conversion Cycle 83 70 57 55 45 37 57 33 33 11 -17 -8
Working Capital Days -4 6 -9 19 9 16 30 3 3 -14 -36 -26
ROCE % 10% 12% 20% 29% 26% 30% 20% 17% 15% 11% 14% 6%

Shareholding Pattern

Numbers in percentages

5 recently
Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021 Dec 2021 Mar 2022 Jun 2022
50.52 46.68 46.69 46.69 46.82 46.82 46.82 46.82 46.82 47.11 47.11 47.21
24.98 28.36 28.21 27.64 23.69 24.50 26.97 24.01 23.42 22.71 22.66 22.45
7.01 8.04 8.88 9.60 16.17 14.79 13.65 13.66 13.24 12.72 11.68 11.15
0.02 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
17.47 16.92 16.22 16.07 13.31 13.88 12.56 15.51 16.52 17.46 18.55 19.20

Documents

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