Equity Watch

Indian Toners and Developers doubling capacity and EPS

Indian Toners and Developers Limited (ITDL), is an ISO 9001:2000 Certified 17 years young company.ITDL is a leading manufacturer of compatible black toners for Photocopiers, Laser Printers, Digital Machines and Multi Function Printers. ITDL is an entrepreneurial venture founded by Technocrats with an highly automated Swiss/German plant with a capcity of 1200 tonnes per year

ITDL has recently formed a subsidiary by the name of ITDL Imagetec Limited which will have a production capacity of 1200 mt for the manufacturing of Toners & Developers. The new manufacturing unit is located at Sitarganj in the state of Uttrakhand and will be operational from the first Quarter of 2008,thus enhancing the total capacity of ITDL to 2400 mt.

Research and Development has been the cornerstone of ITDL success. Backed by a pilot plant and know-how assistance from Japan, ITDL is well equipped to develop a wide range of toner products to meet the emerging needs of the market. Raw materials are sourced from world-renowned manufacturers in Japan, Germany and The United States of America.

Being the First Company of its kind, ITDL thus came onto the Indian business scenario as a pioneer in this highly technical field and since then has established itself firmly as the leader in the domestic market with the single largest market share. ITDL has the most widespread network of dealers numbering 500, which is constantly growing,With its Head Office based in New Delhi, ITDL has 13 C&F Agents catering to the needs of various States in the country.

Having established itself as a pioneer in the domestic market, ITDL exports Toners and Developers of best quality standards for use in various international brands and models of Photocopiers, Laser Printers and Digital Machines to more than 32 countries in the world. The Government of India has awarded ITDL for its “Excellence in Export Performance” for 3 consecutive years after which it again received the same award in 2006. ITDL has also opened its representative office in Zhuhai, ChinaITDL USA was incorporated in the year 2004 as a wholly owned subsidiary of ITDL India. The company also has a representative office in Singapore as well as sole distributors in U.A.E and Singapore.


Company’s Financial performance has been improving over the years:

Scrip Code : 523586    Company Name : Indian Toners & Developers Ltd

 

Type Audited Audited Audited Audited
Date Begin 01 Apr 06 01 Apr 05 01 Apr 04 01 Apr 03
Date End 31 Mar 07 31 Mar 06 31 Mar 05 31 Mar 04
Description Value(Rs. million)
Gross Sales 471 408.04 338.61 339.23
Excise Duty -44.53 -43.35 -34.52 -37.12
Net Sales 426.47 364.7 304.09 302.11
Other Income 3 3.53 13.89 27.35
Total Income 429.46 368.23 317.98 329.47
Expenditure -336.73 -286.33 -253.93 -243.7
Operating Profit 92.73 81.9 64.04 85.76
Interest -5.06 -4.38 -5.54 -7.5
Gross Profit 87.67 77.52 58.51 78.26
Depreciation -17.6 -16.86 -15.79 -13.3
Profit before Tax 70.08 60.66 42.71 64.96
Tax -26.14 -21.48 -13.77 -14.62
Profit after Tax 43.94 39.18 28.94 50.33
Net Profit 43.94 39.18 28.94 50.33
Equity Capital 80.59 80.59 80.59 80.58
Reserves 211.62 167.68 128.5 99.56
EPS 5.45 4.86 3.59 6.25
Nos. of Shares – Non Promoters 4084846 4434290 4445120 4445120
Percent of Shares – Non Promoters 50.68 55.02 55.15 55.15
Result Type A A A A
  Notes Notes Notes Notes

Financials reproduced from BSEINDIA

 

With market capitalization of just Rs. 20 crores at CMP of Rs. 24, the scrip appears highly underpriced, especially when one considers the highly technical nature of its operations, highest quality of its products and the leader status in the domestic market.

With capacity getting doubled from next year, EPS will take a quantum jump to RS. 10+ and share price should touch RS. 75 level in a year time .

Buy is recommended with atleast one year HOLD  to see a price of Rs. 75

This report has been prepared solely for information purposes and the information contained herein may not be deemed to be an investment advice. Such information is impersonal and not tailored to the investment needs of any specific person. The information contained herein is not a complete analysis of every material fact representing any company, industry or security. The views expressed may change. While the information contained herein has been obtained from sources believed to be reliable, no responsibility (or liability) is accepted for the accuracy of its contents. Investors are advised to satisfy themselves before making any investments and should consult with and rely upon their own advisors whether and how to use such information in making any investment decision. Neither the author nor his firm accepts any liability arising out of use of the above information

Standard

4 thoughts on “Indian Toners and Developers doubling capacity and EPS

  1. durga says:

    thanks for the info..but, since this is an export oriented company, did u take into account the fall in earnings due to rupee appreciation while calculating the expected EPS?

    Like

  2. Hi Durga,
    Its exports are price elastic,so do not worry on Rupee appreciation front.In US even the price of milk,paper and many consumables is rising. So Just Relax.
    Cheers
    Ashok

    Like

  3. NSri says:

    Dear Sir,

    Indian Toners has moved up recently and again came back below 30. I have a feeling that the share price is all set to take off in a good market. What do you suggest now ? Their new plant in Uttranchal is also in full steam though I didn’t see that adding significant revenue in the quarterly results published in June’09

    Regards
    NSri, Pune

    Like

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