VIKAS WSP - IS IT A POTENTIAL MULTIBAGGER -ANALYSIS OF COMPANY AND ITS Q4 RESULTS

VIKAS WSP

IS IT A POTENTIAL MULTIBAGGER

Vikas WSP Limited was established in 1988. “ Vikas” means "Development".WSP Stands for "Water Soluble Polymers"

Vikas WSP is India's foremost guar gum powder (GGP) manufacturer, & supplies to all sectors of food industry and for technical applications such as pet food, oil drilling, textile printing, mining, paper, etc. Annual production Capacity of all grades of guar gum powder is 39900 MT.

Thar Desert offers world's most propitious climatic conditions for guar crop. Guar gum is a natural product, without  any side effects.

Guar Gum is a fascinating product with unique thickening and binding properties and is readily adaptable to many applications.

Unmodified Guar gum powder is processed using "Good Manufacturing Practices " (GMP).It is approved for food use and is included in the Food Chemical Codex(FCC). It is approved as a direct food additive by the WHO/ FAO , and in the United States by FDA regulation 121.104 - generally recognized as safe (GRAS). In Europe , Guar Gum is approved as a food ingredient under 'E' number (E-412)

Guar Gum Products And Everyday Living

There are many uses of guar gum powder.

(i)           In textile industry - for printing and to keep the yarn smooth and strong during production.

(ii)         In paper industry , to increase paper strength at the wet end.

(iii)      In oil and natural gas industry, as a frac fluid to give the correct viscosity, oil stimulation and fluid-retention.

(iv)   In food industry, it enhances taste, texture, mouthfeel and stability . The added advantage is to make them fibre enriched. For Bakery products, Noodles, diabetic syrups and Jams ,Ice Creams, meat and Fish Products, Sausage coatings, Pet foods, kosher products, as Gelling agent for tooth pastes

Applications And Functions of Guar Gum

•     Improving Shelf-life of bakery products
•  
•     Gives body to edible ices and instant drinks
•     Makes the processed food fibre enriched
•     Suspends and stabilizes particles
•     Modifies& improves rheologicals
•     Maximizes the volume of baked articles

Hygel-150 Natural Gelling Agent For Toothpaste,whether clear Gel or Paste type, keeps consistency uniform till the last drop

VIKGEL-75 Fine Mesh Whiter colour Gum is recommended for food applications where colour is of paramount importance - used in fine and instant foods like jellies, cakes, noodles, soups, sauces, mayonnaise and tomato ketch-ups.

Easy Guar-150 Medium Coarse Mesh Gum, it is highly recommended for meat processing.

Super Coarse Mesh(SCM) Fast Hydrating Gum

Guar DP-50 Dietary Fibre is predominantly used for fibre enrichment of food. finds uses in baby foods, fruit juices, chocolate drinks, etc.

Vikgel U60-A 100% Dispersible Gum used in food grade gum powder 

VIKGEl SUPRA Odourless Guar Gum - helps in preventing undesirable smell in food articles and pharmaceutical applications. substantially improve the mouthfeel of food products.

Guar 810 LVC Slow Hydrating Gum

Guar GEL 75U Low Ph Compatible Gum :- In soft cheese products; also finds uses in acidified dairy products like yoghurts to prevent serum separation .

VHV Guar Fast Hydrating High Viascosity Gum :- recommended for food and industrial applications where fast hydration and high terminal viscosity in a shorter period is needed.

Cyamostab An Ice Cream Stabiliser :- put to good use in ice cream and related products. To improve storage stability &  body and texture:and to increase mix viscosity and so on.

YAMOSTAB:- makes ice cream and the related frozen confections both appealing to the consumer. 

Industrial Application Vikpol - 40 - Quick Hydrating GUm extensively being used for hydraulic fracturing of oil and gas wells bearing rock to create fractures. 

Notification dt February  22,2018

In future, Guar Gum Polymer business will be a focused business of Vikas WSP Limited

The other group company viz.. Vikas Granaries Ltd will completely exit from guar gum polymers business and will focus in the field of mining of granite and manufacturing of Proppants (Frac sand) for use in oil fracturing and drilling in the domestic as well as export markets.

Guar Gum Polymers business of Group's unlisted company Vegan Colloids Ltd has been abandoned and will not enter in this business in times ahead.

Notification dt 31st-May-2018: BSE

1. The management is doing all its endeavors to develop new guar gum products for catering into varied food applications. We believe, it may take some more time to bring the operations back on track.

2. Company has received orders from customers Globally, for Rs.117.52 Crore Thermogel-25 guar gum for ultra-fermented and sausage roll and dairy applications and oil and gas wells fracturing industries.

3. The product has been used and approved the pilot results. therefore, now company received commercial orders (domestic & export) for Rs.117.52 Crore. It is a potential business of several million pounds (LBS) quantity in the global markets including that of Indian market as per survey conducted by the company''s surveyors.

4. company is improving day by day and on regular basis. We will keep you updating all activities on Company''s Corporate Announcements regularly as it is working actively for developing innovative products.

19th-Apr-2018 12:27Source: BSE

1.To boost its export sales in America, company has received approval of organic certificate of guar gum polymers for USDA (NOP) for marketing of its organic guar gum products in the United States (USA) which has a huge organic market showing a CAGR rate of 11% per annum. Company is expecting a bigger share of this market .

2.French certification agency Ecocert SA has approved and issued its certificate No. ORG/SC/1203/000391 dated 28th March 2018 in accordance with requirements of the National Organic Program (NOP) technical standards (USA) and NPOP, India. 

Q4 RESULTS SUMMARY :- 

The Q4 FY 18 results summary is also given below. We can see that Vikas WSP has been registering steady increase in sales and profits with every quarter. From Management's confidence, we can see that future will be equally promising. After study of all these factors, readers can come to their own conclusions on whether Vikas WSP will be a Potential Multibagger of the future.

I have made a small YouTube Video also on this COMPANY, which you can see on My YouTube Channel " VIJAYAMOHAN STOCK MARKET STRATEGIST".

VIKAS WSP	Mar '18	Dec '17	Sep '17	Jun '17	Mar '17	YOY	QOQ
Net Sales	214.93	178.25	164.4	138.7	116.77	84.06	20.58
P B T	10.14	6.15	5.34	4.11	-7.41		64.88
Tax	1.55	-1.82	-1.73	-1.22	-10.06	-115.41	-185.16
Net Profit	8.59	7.97	7.07	5.33	2.65	224.15	7.78
Equity	19.44	19.44	19.44	19.44	13.74	41.48	0
Diluted EPS	0.44	0.41	0.37	0.35	0.17	158.82	7.32
MP	12.84
PE
VOLUME	158940
PRICE TREND
09.06.18	1 week	2 week	1 month	3 month	6 month	9 month	1 year
Price	12.89	12.45	14.1	13.95	12.97	11.74	10.77
Gain / Loss	-0.39%	3.13%	-8.94%	-7.96%	-1%	9.37%	19.22%