Varroc Engineering Ltd
Varroc Engineering Ltd was incorporated in 1988, is the flagship company of the Aurangabad-based Varroc Group. Varroc is a global tier-1 automotive component group. It is engaged in the business of manufacturing and supplying automobile components to a wide range of OEMs across the globe
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- Market Cap ₹ 3,709 Cr.
- Current Price ₹ 243
- High / Low ₹ 495 / 239
- Stock P/E
- Book Value ₹ 57.1
- Dividend Yield 0.00 %
- ROCE -18.2 %
- ROE -44.1 %
- Face Value ₹ 1.00
Pros
- Company has reduced debt.
- Debtor days have improved from 68.3 to 32.3 days.
Cons
- Stock is trading at 4.25 times its book value
- Company has low interest coverage ratio.
- The company has delivered a poor sales growth of -8.87% over past five years.
- Company has a low return on equity of -20.5% over last 3 years.
- Company might be capitalizing the interest cost
- Working capital days have increased from -3.94 days to 64.7 days
* 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: Auto Ancillaries Industry: Auto Ancillaries
Quarterly Results
Consolidated Figures in Rs. Crores / View Standalone
Profit & Loss
Consolidated Figures in Rs. Crores / View Standalone
Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | TTM | |
---|---|---|---|---|---|---|---|---|---|
6,770 | 7,909 | 9,299 | 10,279 | 12,036 | 11,122 | 4,374 | 5,844 | 6,825 | |
6,206 | 7,341 | 8,716 | 9,398 | 10,978 | 10,306 | 4,743 | 6,512 | 6,586 | |
Operating Profit | 564 | 568 | 582 | 881 | 1,059 | 816 | -369 | -668 | 239 |
OPM % | 8% | 7% | 6% | 9% | 9% | 7% | -8% | -11% | 4% |
229 | 73 | 172 | 108 | 122 | 94 | 151 | 33 | -808 | |
Interest | 475 | -43 | 90 | 86 | 97 | 139 | 89 | 118 | 175 |
Depreciation | 254 | 292 | 337 | 386 | 566 | 732 | 274 | 305 | 328 |
Profit before tax | 63 | 392 | 327 | 516 | 519 | 39 | -581 | -1,059 | -1,073 |
Tax % | 73% | 6% | 4% | 13% | 17% | 94% | -8% | -5% | |
Net Profit | 17 | 370 | 313 | 451 | 429 | 3 | -629 | -1,107 | -1,142 |
EPS in Rs | 16.06 | 353.36 | 254.29 | 36.57 | 31.54 | 0.01 | -41.36 | -72.64 | -74.91 |
Dividend Payout % | 16% | 1% | 13% | 1% | 14% | 21,284% | 0% | 0% |
Compounded Sales Growth | |
---|---|
10 Years: | % |
5 Years: | -9% |
3 Years: | -21% |
TTM: | 20% |
Compounded Profit Growth | |
---|---|
10 Years: | % |
5 Years: | % |
3 Years: | % |
TTM: | 29% |
Stock Price CAGR | |
---|---|
10 Years: | % |
5 Years: | % |
3 Years: | 20% |
1 Year: | -28% |
Return on Equity | |
---|---|
10 Years: | % |
5 Years: | -6% |
3 Years: | -21% |
Last Year: | -44% |
Balance Sheet
Consolidated Figures in Rs. Crores / View Standalone
Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Sep 2022 | |
---|---|---|---|---|---|---|---|---|---|
10 | 26 | 13 | 13 | 13 | 13 | 15 | 15 | 15 | |
Reserves | 1,073 | 1,737 | 2,172 | 2,815 | 3,053 | 2,991 | 3,013 | 1,973 | 858 |
1,651 | 1,600 | 1,508 | 1,193 | 2,432 | 4,255 | 3,695 | 1,625 | 1,825 | |
1,695 | 1,886 | 2,156 | 2,782 | 3,142 | 3,644 | 4,369 | 7,375 | 8,558 | |
Total Liabilities | 4,428 | 5,233 | 5,847 | 6,802 | 8,641 | 10,904 | 11,092 | 10,989 | 11,256 |
2,054 | 2,390 | 2,396 | 2,804 | 3,560 | 5,283 | 5,231 | 2,046 | 1,980 | |
CWIP | 178 | 315 | 293 | 344 | 999 | 790 | 856 | 140 | 84 |
Investments | 22 | 12 | 293 | 360 | 362 | 330 | 376 | 388 | 365 |
2,174 | 2,515 | 2,867 | 3,294 | 3,720 | 4,500 | 4,629 | 8,416 | 8,827 | |
Total Assets | 4,428 | 5,233 | 5,847 | 6,802 | 8,641 | 10,904 | 11,092 | 10,989 | 11,256 |
Cash Flows
Consolidated Figures in Rs. Crores / View Standalone
Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | |
---|---|---|---|---|---|---|---|---|
128 | 290 | 676 | 1,075 | 474 | 1,414 | 474 | 636 | |
-286 | -575 | -577 | -545 | -1,769 | -1,259 | -613 | -762 | |
70 | 386 | 94 | -523 | 1,129 | 733 | -152 | -335 | |
Net Cash Flow | -87 | 101 | 193 | 6 | -166 | 888 | -292 | -461 |
Ratios
Consolidated Figures in Rs. Crores / View Standalone
Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | |
---|---|---|---|---|---|---|---|---|
Debtor Days | 58 | 55 | 45 | 50 | 41 | 36 | 137 | 32 |
Inventory Days | 51 | 49 | 46 | 49 | 43 | 56 | 164 | 58 |
Days Payable | 90 | 92 | 94 | 114 | 99 | 124 | 396 | 127 |
Cash Conversion Cycle | 19 | 12 | -3 | -15 | -15 | -32 | -95 | -36 |
Working Capital Days | 22 | 21 | 7 | -4 | -13 | -38 | -38 | 65 |
ROCE % | 11% | 12% | 16% | 13% | 3% | -7% | -18% |
Documents
Announcements
- Closure of Trading Window 2d
- Compliance-57 (4) : Prior intimation to the beginning of the quarter 17 Mar
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Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation
17 Mar - VARROC : Varroc Engineering Limited has informed the Exchange about Schedule of Investor meetings to be held on 17.03.2023 & 20.03.2023
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Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation
9 Mar - Varroc Engineering Limited has informed the Exchange about Schedule of Investor meet - March 13, 2023
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Announcement under Regulation 30 (LODR)-Earnings Call Transcript
10 Feb - Varroc Engineering Limited has informed the Exchange about Transcript of Investor Call held on February 7, 2023 - UFR Q-3-2023
Annual reports
Concalls
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Brand Reputation
It is the second-largest Indian auto component group and a leading tier-1 manufacturer and supplier to Indian two-wheeler and three-wheeler OEMs
It is the sixth-largest global exterior automotive lighting manufacturer and one of the top three independent exterior lighting players.[1]
It has a strong client base with some big names like Ford, Jaguar, Bajaj, Honda, and many more. [2]