Shri Lakshmi Cotsyn an ISO 9001-2000 accredited, 18 year young company, was on an expansion spree last year.Having commissioned its expanded capacities recently,now its all set to to bring in hefty profts for its sahreholders. The company is a market leader in Denim, Bottom weight wrinkle free wear fabrics,wider width sheeting, terry towels, cotton fabric interlinking embrodiery, polyfiber filled quilted fabric (branded as Star Track), quilted bed covers ( branded as DREAM FLOWER )and surprise of surprises Bullet Proof jackets, High altitude fabric ( Glacier Tents ), Infrared protective fabrics, Fire Retardant fabrics and Nuclear and Bio Chemical Fabrics.With India taking to Nuclear Energy in a big way , company will have big orders from Nuclear Energy Sector.
Company’s latest Quarter results ending 30th June have been very impressive:
Scrip Code : 526049 Company Name : Shri Lakshmi Cotsyn Ltd
Results reproduced from BSEINDIA
Turnover has increased from Rs.95 crores in June 2006 Quarter to Rs.225 crores in June 2007 Quarter an increase of 135% and Net Profit has gone up from Rs.3.5 crores to Rs.14 crores a rise of 300% for the corresponding period..For FY08 turnover is expected to increase to Rs. 1000 crores and PAT to Rs. 70 crores thus giving an EPS of Rs. 50.Company has strong position with Ministry of Defence and Home for its quality supplies.
Company’s equity capital stands at Rs. 14.1 crores and Investment company’s like RELIANCE CAPITAL owns 9% of the equity and well known FII’s like Goldman Sach ( 7% ) , HSBC ( 5.3 % ) etc. Promoters hold only 34 % and have alloted to themselves 3% additional equity at Rs. 129 per share at 15 % premium to the market price (CMP Rs. 112 ).ts possible that Reliance Capital may increase its equity stake in the co. to 15 % by buying another 6 % from the market and then come out with a buy back offer from the public.
Investment is recommended at CMP for a period of atleast 1 year. Short term target is RS. 150 and long term Rs. 300
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