Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Investment Arguments
~ Conservative Guidance
~ India's T&D infrastructure, a huge potential
~ Most of the negative priced in
~ Strong Performance over 10 Years…
~ Valuation
Company Description
Mumbai-based CRG, a part of the B. M. Thapar Group, is a
pioneer in the management and application of electrical
energy. It is primarily engaged in designing, manufacturing,
and marketing high-technology electrical products and
services related to power generation, transmission,
distribution, and executing turnkey projects. The company’s
business comprises three segments viz. power systems,
industrial systems, and consumer products. Nearly, two-thirds
of its turnover comes from power segment, in which, it enjoys
leadership. CRGs diversified revenue base across power
systems, industrial systems & consumer product exposes it to
three different markets, where consumer & industrial systems
provide strong cash flow support to the company. Increased
T&D spend in India in the hi end T&D space leaves open huge
opportunities for the company, with PGCIL targeting to spend
INR 1000 bn in the 12th five year plan.
Also, CRG targets to enter substation business graduation
from a pure product company to complete T&D EPC entity,
and has planned expansion (both organic and inorganic)
strategy for the same. The company is also targeting to
acquire industrial automation entities to bridge its product gaps
in the existing industrial systems business through leveraging
its strong balance sheet.
Management given conservative guidance
Management has reduced its sales guidance from 12-15%
earlier to 8-10%, while significantly revising the margin
guidance from 13-14% earlier to 8-10% on correction in
realizations, increased commodity prices and competition.
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Investment Arguments
~ Conservative Guidance
~ India's T&D infrastructure, a huge potential
~ Most of the negative priced in
~ Strong Performance over 10 Years…
~ Valuation
Company Description
Mumbai-based CRG, a part of the B. M. Thapar Group, is a
pioneer in the management and application of electrical
energy. It is primarily engaged in designing, manufacturing,
and marketing high-technology electrical products and
services related to power generation, transmission,
distribution, and executing turnkey projects. The company’s
business comprises three segments viz. power systems,
industrial systems, and consumer products. Nearly, two-thirds
of its turnover comes from power segment, in which, it enjoys
leadership. CRGs diversified revenue base across power
systems, industrial systems & consumer product exposes it to
three different markets, where consumer & industrial systems
provide strong cash flow support to the company. Increased
T&D spend in India in the hi end T&D space leaves open huge
opportunities for the company, with PGCIL targeting to spend
INR 1000 bn in the 12th five year plan.
Also, CRG targets to enter substation business graduation
from a pure product company to complete T&D EPC entity,
and has planned expansion (both organic and inorganic)
strategy for the same. The company is also targeting to
acquire industrial automation entities to bridge its product gaps
in the existing industrial systems business through leveraging
its strong balance sheet.
Management given conservative guidance
Management has reduced its sales guidance from 12-15%
earlier to 8-10%, while significantly revising the margin
guidance from 13-14% earlier to 8-10% on correction in
realizations, increased commodity prices and competition.
No comments:
Post a Comment