Indian pharmaceutical industry is growing at the rate of 15% CAGR. The company has plans to introduce several new value added products to get a share in that growth. Sunil Healthcare is well placed to be part of the Indian Pharma growth story.
Sunil Healthcare to increase gelatine capsule production by 30% news published on leading news paper :-Sunil Healthcare Ltd is planning to increase the manufacturing capacity of empty hard gelatine capsules at its Alwar (Rajasthan) facility by 30 percent. The company at present has about 7.7 billion capsule manufacturing capacity, which it intends to raise to 10 billion capsule.
Sunil Healthcare has informed BSE that the company has planned to add three new fully automatic state-of-the-art capsule manufacturing machines as it is leveraging from the abundant infrastructure available with it in regard to land, and building.
“At present Sunil Healthcare has 19 capsules making machines with approximately 7.7 billion capsule manufacturing capacity. Upon successful commissioning of these three machines, the capsule manufacturing capacity will be increased by 30% and total production capacity will be approximately 10 billion capsules,” said the company in the BSE filing.
According to Sunil Healthcare officials, the expansion has been planned keeping in mind its healthy order books from the domestic and export customers. The board of directors of the company has already approved the expansion plan the board meeting held on November 10, 2014.
Sunil Healthcare claims to be the second largest manufacturer of empty hard gelatine capsules (EHGC) in India.
Promotor holding 73.65% of 10.26cr paid up equity capital. Company posted 20cr top line and 1.10cr bottom line in latest Sept 2014 quarter, expected 85cr top line with 5.50cr bottom line an EPS around 5.5 in full year of 2014-15, company having 12.50cr free reserves with 24 book value , shares trading 6 PE forward earning and around 80cr top line market capitalization only 30cr , if market cap cross top line then stock should trade three time more to current market price,so it is relatively under value stock compare to it's peers.
Stock trading only BSE @29.50, 73.6% promotor, 11.60% holding some groups stock trading low volume, so one can accumulate @ current market price and buy further @ every decline and hold for long term view this stock can pass 3digit mark in future.
Disclosure:- I am holding this company shares.