The Grob Tea Co Ltd
Incorporated in 1895, TGTCL produces black tea of crush, tear and curl (CTC) variety, which it sells in the domestic market through a mix of auction and private sales. The company was taken over by the current management – the Rawalwasia Group in May 2009.
- Market Cap ₹ 89.2 Cr.
- Current Price ₹ 767
- High / Low ₹ 1,180 / 670
- Stock P/E 149
- Book Value ₹ 669
- Dividend Yield 0.26 %
- ROCE 4.85 %
- ROE 0.77 %
- Face Value ₹ 10.0
Pros
- Stock is trading at 1.15 times its book value
Cons
- The company has delivered a poor sales growth of 5.87% over past five years.
- Earnings include an other income of Rs.3.42 Cr.
* 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: Plantation & Plantation Products Industry: Tea
Quarterly Results
Figures in Rs. Crores
Profit & Loss
Figures in Rs. Crores
| Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 50 | 59 | 60 | 61 | 77 | 74 | 77 | 80 | 82 | 110 | 93 | 102 | |
| 42 | 51 | 54 | 57 | 67 | 68 | 71 | 75 | 76 | 81 | 87 | 98 | |
| Operating Profit | 8 | 7 | 6 | 4 | 10 | 6 | 5 | 4 | 6 | 30 | 6 | 4 |
| OPM % | 16% | 13% | 10% | 7% | 14% | 8% | 7% | 5% | 7% | 27% | 7% | 4% |
| 0 | 5 | 2 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 2 | 3 | |
| Interest | 1 | 1 | 1 | 1 | 1 | 1 | 0 | 1 | 1 | 1 | 0 | 0 |
| Depreciation | 1 | 2 | 2 | 3 | 4 | 4 | 3 | 3 | 2 | 2 | 3 | 3 |
| Profit before tax | 7 | 10 | 5 | 1 | 6 | 2 | 3 | 2 | 3 | 28 | 5 | 4 |
| Tax % | 24% | 12% | 16% | 34% | 24% | 10% | 29% | 23% | 42% | -0% | 17% | 84% |
| Net Profit | 5 | 8 | 4 | 1 | 5 | 2 | 2 | 1 | 2 | 28 | 4 | 1 |
| EPS in Rs | 45.94 | 73.13 | 32.87 | 8.26 | 40.35 | 14.54 | 15.92 | 12.05 | 14.20 | 241.07 | 35.71 | 5.16 |
| Dividend Payout % | 3% | 3% | 6% | 24% | 5% | 14% | 13% | 17% | 14% | 1% | 6% | 39% |
| Compounded Sales Growth | |
|---|---|
| 10 Years: | 6% |
| 5 Years: | 6% |
| 3 Years: | 7% |
| TTM: | 10% |
| Compounded Profit Growth | |
|---|---|
| 10 Years: | -19% |
| 5 Years: | -20% |
| 3 Years: | -29% |
| TTM: | -85% |
| Stock Price CAGR | |
|---|---|
| 10 Years: | % |
| 5 Years: | 0% |
| 3 Years: | 28% |
| 1 Year: | -12% |
| Return on Equity | |
|---|---|
| 10 Years: | 10% |
| 5 Years: | 12% |
| 3 Years: | 15% |
| Last Year: | 1% |
Balance Sheet
Figures in Rs. Crores
| Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | |
| Reserves | 15 | 24 | 27 | 30 | 36 | 38 | 40 | 43 | 46 | 74 | 77 | 77 |
| 4 | 7 | 2 | 14 | 8 | 3 | 4 | 6 | 10 | 3 | 3 | 12 | |
| 8 | 9 | 9 | 11 | 13 | 13 | 15 | 19 | 15 | 14 | 17 | 18 | |
| Total Liabilities | 28 | 41 | 40 | 57 | 58 | 55 | 61 | 69 | 72 | 93 | 99 | 108 |
| 18 | 34 | 33 | 45 | 42 | 40 | 37 | 35 | 33 | 34 | 34 | 38 | |
| CWIP | 2 | 0 | 0 | 0 | 0 | 2 | 3 | 3 | 4 | 5 | 6 | 7 |
| Investments | 0 | 0 | 0 | 0 | 2 | 1 | 7 | 7 | 2 | 2 | 5 | 4 |
| 8 | 7 | 7 | 12 | 14 | 12 | 13 | 24 | 33 | 52 | 53 | 59 | |
| Total Assets | 28 | 41 | 40 | 57 | 58 | 55 | 61 | 69 | 72 | 93 | 99 | 108 |
Cash Flows
Figures in Rs. Crores
| Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 6 | 11 | 6 | 5 | 6 | 5 | 9 | -2 | -7 | 25 | 12 | 4 | |
| -5 | -15 | -0 | -12 | -2 | 1 | -10 | 1 | 5 | -17 | -11 | -13 | |
| -1 | 3 | -6 | 11 | -8 | -6 | 1 | 1 | 2 | -8 | -1 | 8 | |
| Net Cash Flow | -0 | -1 | -0 | 4 | -3 | -0 | -0 | 1 | -0 | -0 | 0 | -0 |
Ratios
Figures in Rs. Crores
| Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debtor Days | 5 | 6 | 2 | 4 | 4 | 3 | 7 | 21 | 13 | 9 | 7 | 4 |
| Inventory Days | ||||||||||||
| Days Payable | ||||||||||||
| Cash Conversion Cycle | 5 | 6 | 2 | 4 | 4 | 3 | 7 | 21 | 13 | 9 | 7 | 4 |
| Working Capital Days | -20 | -10 | -11 | -8 | 0 | 1 | -5 | 24 | 75 | 75 | 84 | 129 |
| ROCE % | 43% | 24% | 17% | 6% | 15% | 6% | 7% | 5% | 8% | 42% | 7% | 5% |
Business Overview
The company has six tea gardens located in upper Assam and Cachar district. The gardens are spread over 5,676 hectares, of which around 46% is under tea cultivation. These gardens have the capacity to produce around 47 Lacs kg of premium Assam tea. Three of the company’s gardens are now Trustea certified by the Government/ Tea Board.
In FY2019, the company ventured into supply, installation and maintenance of LED lights to various Government entities/ departments.