Rama Vision And Hariom Pipe Industries Good to Excellent Results, EMS Good Results

Rama Vision Ltd.

Recent filing: (GOOD TO EXCELLENT RESULTS) For the quarter ending Jun-24 for Rama Vision, Sales up 33% YoY from INR 20.2 Cr in Jun-23 to INR 26.8 Cr in Jun-24. Similarly, Net Profit up 70% from INR 0.7 Cr to INR 1.2 Cr. On a QoQ basis, Sales up 17% and Net Profit up 34%.

SUMMARY: 6y Operating Profit uptrend | 5q Operating Profit uptrend | PE 27.8x (Sector PE range 30-100) | Excellent Jun-24 results | Capacity expansion | Fund raise | Promoter buying | Consumption

  • MCap of INR 108 Crore (share price = INR 103/share) (as on 12th Aug ‘24)
  • TTM PE 27.8x (as on 12th Aug ‘24) Retail float = 34.6% (Jun-24)

FOOD FOR THOUGHT: Single digit operating profit margins.

Q1. What are the Products and Services offered by Rama Vision?

Incorporated in 1989, Rama Vision Ltd. started with producing B/W television picture tubes in India. In the year 2022, the company expanded its activities by importing high quality Mother and Baby care products and started its trading division.

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Hariom Pipe Industries Ltd.

Recent filing: (GOOD TO EXCELLENT RESULTS) For the quarter ending Jun-24 for Hariom Pipe, Sales up 43% YoY from INR 240 Cr in Jun-23 to INR 343 Cr in Jun-24. Similarly, Net Profit up 20% from INR 15 Cr to INR 18 Cr. On a QoQ basis, Sales up 4% and Net Profit up 6%.

SUMMARY: 6y Operating Profit uptrend | 2q Operating Profit uptrend | PE 34.4x (Sector PE range 10-50) | Excellent Jun-24 results | Fund Raise | Institutional Entry | Steel Products

FUTURE OUTLOOK: As per Jun-24 Investor Presentation, Company’s goal is to reach INR 2,500 Cr in Revenue by FY26 without compromising on profitability.

  • MCap of INR 2,025 Crore (share price = INR 702 / share) (as on 12th Aug ‘24)
  • TTM PE 34.4x (as on 12th Aug ‘24) Retail float = 14.7% (Jun-24)

FOOD FOR THOUGHT: Highly competitive sector, Volatility in raw material price.

Q1. What are the Products and Services offered by Hariom Pipe Industries?

Hariom Pipe is a manufacturer of iron and steel products. It is an integrated steel manufacturer with a stronghold in the South Indian market. With a diverse product portfolio consisting of Mild Steel (MS) Billets Pipes and Tubes, Hot Rolled (HR) Coils and Scaffolding Systems, the products cater to a variety of industrial applications.

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EMS Ltd.

Recent filing: (GOOD RESULTS) For the quarter ending Jun-24 for EMS, Sales up 49% YoY from INR 138 Cr in Jun-23 to INR 206 Cr in Jun-24. Similarly, Net Profit up 61% from INR 23 Cr to INR 37 Cr. On a QoQ basis, Sales down 16% and Net Profit down 21%.

SUMMARY: 5y Operating Profit uptrend | PE 30.3x (Sector PE range 20-50) | Institutional entry | Large Order | Acquisition | EPC

FUTURE OUTLOOK: As per the Q3FY24 Concall, Company expects 35% growth in revenue for FY25 keeping the margins same | Current order book size is INR 2,572.7 Cr, and Unexecuted orders valued at INR 1,835 crores with bids worth INR 4,000 crores in the pipeline.

  • MCap of INR 5,053 Crore (share price = INR 910 / share) (as on 12th Aug ‘24)
  • TTM PE 30.3x (as on 12th Aug ‘24) Retail float = 16.8% (Jun-24)

FOOD FOR THOUGHT: Negative Operating cash flow for FY ’24.

Q1. What are the Products and Services offered by EMS?

EMS Limited is a multi-disciplinary EPC company, headquartered in Delhi that specializes in providing turnkey services in water and wastewater collection, treatment and disposal. EMS provides complete, single-source services from engineering and design to construction and installation of water, wastewater and domestic waste treatment facilities.

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