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Elpro International
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Elpro International Ltd incorporated in 1962 is engaged in the business of manufacturing of Other Electrical Equipments like Lighting Arresters, Varistors, Surge Arrestor & also engaged in Real Estate development and Services. The Company has manufacturing plant located at Chinchwad, Pune, Maharashtra.
Elpro International, as an engineering company, was originally formed with 50% financial participation from the General Electric Company, US. Later on, to get the company out of FERA's clutches. GEC, US, reduced its shareholding by transferring a small percentage to an Indian company. Originally, Investment Corporation of India, a Tata affiliate, was the largest single Indian shareholder but at present its holding is just 4.5% of the total equity capital of Elpro.
Elpro's main operations are in lightning arresters, pellet and thyrite types and X-ray equipment for medical and industrial applications. They also manufacture alnico magnets for domestic and industrial applications, calrod heating elements for domestic, industrial and medical applications and other electrical apparatus. The company has entered into a technical collaboration with the GEC, US.
In 1983, it entered into a technical collaboration agreement with Matsushita Electric Industrial Company, Japan, to manufacture the most important basic component required to manufacture gapless lightning arresters. The company obtained an industrial license and manufactured and sold the first unit of electrostatic precipitators and control with DC power supply.
Elpro, commenced production of two new high-tech products in 1987 -- computerised numerical control (CNC) systems with servo drives and metal oxide variators (MOV). The CNC systems are manufactured in collaboration with GEC, US, while the MOV is developed by the R&D cell of Elpro itself.
Elpro's major clients for lightning arrestors are the state electricity boards, private contractors executing power projects, consultants, etc. As far as X-ray equipments are concerned, major end-users are private radiologists, clinics and large hospitals in the government and private sectors.
In the year 1994-95 the company has undertaken restructuring programme and promoted four new companies to takeover the divested operations or to carry on a new line of business.
The Jointventure with GE namely GE-Elpro Medical Systems Ltd., has started assembly and development operations relating to X-ray product during the year 1994-95.
The company has entered into an JV agreement with Control Technique Plc, a subsidiary of US based Emerson Electric, by which the entire CNC manufacturing operations including plant and equipment, raw material, work in progress, goodwill etc. relating thereto to a new company(Control Technique Elpro Automation). In the new JV company Elpro would subscribe for 49% share capital and the remaining 51% by the control Technique Plc.
The company has decided to form a JV with Sunpower Inc, a USA based R & D company to produce pumps running on biomass as part of diversification programme. In the proposed JV company Elpro will hols 85% equity and Sunpower will hold 15% of the equity.
The comapny has promoted Elpro Finance Ltd in the year 1995 with the object of undertaing financial transactions like lease, hire-purchase, investments, inter-corporate deposits etc. to avail then available tax and other benefits. With the changing conditions the company is engaged in review and restucture of operations during the year 2001-02.
Elpro has diversified into flexible packaging by acquiring erstwhile Mukund Flexpack Ltd.(presently Elpro Packaging) in 1998.
Elpro's software ventures promoted to undertake development of various dot com portals could not reap benefit from the shortlived dot com boom. These companies are now concentrating on developing software for insurance business and rendering services relating thereto.
The switchgear division received ISO-9001 Certification during the year 1990-2000.
On January 25, 2018, Elpro Estates Limited became the Wholly Owned Subsidiary of the Company as it acquired 13.80% i.e. 2,40,200 equity shares of Rs 10/- each in Elpro Estates Limited.
The Hon'ble National Company Law Tribunal (NCLT), Mumbai Bench vide its order dated July 11, 2019 approved the Scheme of Amalgamation for merger of wholly owned subsidiary of the Company M/s. Elpro Estates Limited with Elpro International Limited with effect from April 1, 2018 (appointed date).
During 2021-22, Elpro International Limited got into Share Purchase Agreement with Metlife International Holdings LLC. for sale of 21,34,02,479 equity shares held by Elpro International Limited in PNB Metlife India Insurance Company Limited for a total consideration of Rs 132309.54 Lakhs and resulting to completion of transaction, the shareholding of Elpro International Limited stood 0.8141% on February 28, 2022. Consequent upon sale of 21,34,02,479 Equity Shares held by the Company PNB Metlife India Insurance Company Limited on 28th February, 2022, PNB Metlife India Insurance Company Limited ceased to be an Associate Company.
Elpro International share price reflects investor sentiment toward the company and is impacted by various factors such as financial performance, market trends, and economic conditions. Share price is an indicator which shows the current value of the company's shares at which buyers or sellers can transact.
Market capitalization of Elpro International indicates the total value of its outstanding shares. Marketcap is calculated by multiplying share price and outstanding shares of the company. It is a helpful metric for assessing the company's size and market Valuation. It also helps investors understand how Elpro International is valued compared to its competitors.
Elpro International PE ratio helps investors understand what is the market value of each stock compared to Elpro International 's earnings. A PE ratio higher than the average industry PE could indicate an overvaluation of the stock, whereas a lower PE compared to the average industry PE could indicate an undervaluation.
The PEG ratio of Elpro International evaluates its PE ratio in relation to its growth rate. A PEG ratio of 1 indicates a fair value, a PEG ratio of less than 1 indicates undervaluation, and a PEG ratio of more than 1 indicates overvaluation.
Return on Equity (ROE) measures how effectively Elpro International generates profit from shareholders' equity. A higher ROE of more than 20% indicates better financial performance in terms of profitability.
Return on Capital Employed (ROCE) evaluates the profitability of Elpro International in relation to its capital employed. In simple terms, ROCE provides insight to investors as to how well the company is utilizing the capital deployed. A high ROCE of more than 20% shows that the business is making profitable use of its capital.
Total debt of Elpro International shows how much the company owes to either banks or individual creditors. In simple terms, this is the amount the company has to repay. Total debt can be a very useful metric to show the financial health of the company. Total debt more than equity is considered to be a bad sign.
The Debt-to-Equity (DE) ratio of Elpro International compares its total debt to shareholders' equity. A higher Debt to Equity ratio could indicate higher financial risk, while a lower ratio suggests that the company is managing its debt efficiently.
CAGR shows the consistent growth rate of Elpro International over a specific period, whether it is over a month, a year, or 10 years. It is a key metric to evaluate the company’s long-term growth potential. Main metrics for which CAGR is calculated are net sales, net profit, operating profit, and stock returns.
Technical analysis of Elpro International helps investors get an insight into when they can enter or exit the stock. Key components of Elpro International Technical Analysis include:
There are usually multiple support levels, but the main support levels for a stock are S1, S2, S3. Support levels indicate price points where stock might get support from buyers, helping the stock stop falling and rise.
There are usually multiple resistance levels, but the main resistance levels for a stock are R1, R2, R3. Resistance levels represent price points where Elpro International shares often struggle to rise above due to selling pressure.
Dividends refer to the portion of the company’s profits distributed to its shareholders. Dividends are typically paid out in cash and reflect Elpro International ’s financial health and profitability.
Bonus shares are usually given by companies to make the stock more affordable, increase liquidity, boost investor confidence, and more.
Stock split increases the number of its outstanding shares by dividing each existing share into multiple shares. When the company offers a stock split, the face value of the stock reduces in the same proportion as the split ratio.
The financials of Elpro International provide a complete view to investors about its net sales, net profit, operating profits, expenses, and overall financial health. Investors can analyze financial data to assess the company’s stability and also understand how the company has been growing financially.
The profit and loss statement of Elpro International highlights its net sales, net profit, total expenditure, and operating profits in the current financial year. This Profit and Loss statement is crucial for evaluating the profitability and financial stability of Elpro International .
The balance sheet presents a snapshot of Elpro International ’s assets, liabilities, and equity of shareholders, providing insights into the financials of the company.
Cashflow statements track the company's cash inflows and outflows over a period. It is an essential tool for understanding how well the company manages its liquidity and finances.
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