Wednesday, May 11, 2011

Venky's (India) Limited = FY 2011 RESULTS = GOOD PROGRESS


Venky's (India) Limited

NSE Symbol             VENKEYS


Venkey’s India Limited has declared very good results for the FY 2011 year. 

These are compared with the FY 2010, which is compared here with FY 2009; which itself is again compared with FY 2008 – to assess the YoY progress under various critical growth parameters.

Net Sales has risen to Rs.852.01 cr in  FY 11 – a growth of 20.77% over previous year of FY 2010; which itself had grown by 23.93% from FY 2009; which itself had grown over FY 2008 by 8.81%.

Total Expenditure has grown to Rs.748.44 cr  - a growth of 20.07 over previous year of FY 2010; which itself had grown by 16.22% from FY 2009;  which itself had grown by 12.24% over FY 2008. Most of the increased expenditure is under “Raw material” costs, and to some extent, Under “Other expenditure”.

Profit from Operations  has grown to Rs.103.57 cr – a growth of  26.09% over FY 2010; which itself had shown a growth of 149.6% over FY 2009.
Profit before tax has grown to Rs.107.76 cr – a growth of 30.95% over FY 2010; which is a growth of 165.2% over its own previous year of FY 2009; which was lower by 25.8% from FY 2008.

Net Profit  for FY 2011 is Rs.73.03 cr – a growth of 34.44% from FY 2010; which itself had a growth of 164.2% from FY 2009; which was down by 22.7% from FY 2008.

Dividend (%) is hiked to 50% in FY 2011; from 40% in FY 2010; 35% in FY 2009; and 35% in FY 2008.

Basic EPS  has grown well to Rs.77.76 on a FV of Rs.10/- a growth of 34.46% over FY 2010; which itself was a growth of 164.3% from FY 2009; which was down by 22.8% from FY 2008.

Thus, Venky’s has been growing very well in all segments in the last 3 years.
Current Market price level is Rs.690. On a FY 11 EPS of Rs.78, this works out to a PE Ratio of 8.846. Based on its consistent upward performances, Venkey’s could be re-rated by the Market to a GOOD, higher price.

Its Paid-up Equity is Rs.9.39 cr in last 3 tears. 

But, its reserves has swelled in FY 2012 to Rs.264.79 cr;  The same was Just Rs.197.21 cr in FY 2010; which itself was Rs.147.68 cr in FY 2009; which itself was  just Rs.130.97 cr in FY 2008.It is built up over a long period of time.

VENKEY’S INDIA is a good scrip for investment  - for medium to long term investors.

RESULTS TABLE :

VENKY'S INDIA            FY 11   FY 10   FY 09  ::  FY 08
Net Sales             85201    70547    56926    52316
Raw Materials   49212    43213    36567    31468
Employees Cost                5659       4374       4099       3774
Depreciation      965         898         862         827
Other Expen      13599    10714    9570       8944
Total Expen        74844    62333    53635    47784
Profit from Operations  10357    8214       3291  -  
Other Income    874         519         600         -
Interest                455         504         788         872       -
Profit before tax:10776 8229       3103       4182
Tax Expense       3473       2797       1047       1521
Net Profit            7303       5432       2056       2661
Dividend (%)      50           40           35           35
Face Value (in Rs.)10      10           10           10
Paid-up Equity   939         939         939         939
Reserves             26479    19721    14768    13097
Basic EPS              77.76     57.83     21.88     28.34
Public holding (%)            43.88     43.88     43.83     46.14

ANNOUNCEMENTS TO NSE

11-05-2011        the Board of Directors of the Company at its meeting held on May 11, 2011 has recommended a dividend of Rs.5/- per equity share (50%) for the year ended March 31, 2011 (previous year Rs.4.00 per equity share), subject to the approval of shareholders at ensuing general meeting.

27-04-2011        Spurt in Volume : Substantial increase in trading volumes has been observed in Venky's (India) Limited. The Exchange, in order to ensure that investors have latest relevant information about the company and to inform the market place so that the interest of the investors is safeguarded, had written to the company. Venky's (India) Limited has vide its letter inter-alia stated, "The Company does not have any information/announcement (including pending announcement), which may have bearing on the price behavior in the scrip."

03-09-2010        Venky'S (India) has undertaken expansion programme, of estimated cost of Rs. 50 Crores in Poultry Products Segment.

25-05-2010        Venky'S (India) has recommended a dividend of Rs.4 per equity share (40%) for the year ended March 31, 2010 (previous year Rs.3.50 per equity share ), subject to the approval of shareholders at the ensuing Annual General Meeting.

08-10-2009        "Venky'S (India) Limited has become Subsidiary Company of Venkateshwara Hatcheries Private Limited, subsequent to purchase of shares by Venkateshwara Hatcheries Private Limited through the open market"

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