Archive for April, 2009

Liberty Phosphate-a multibaggar in the making

21st April 2009

Liberty Phosphate ,an ISO 9001:2000 certified, biggest manufacturer of Single Superphosphate( SSP ) and other phosphatic fertilisers is on an expansion spree.Its soon to get the status of PAN India presence, with new plants in South of India.Presently the company has 6 plants with a combined capacity of 725,000 MT per annum.Co. markets its SSP under a very strong brand name “Double Horse”

Recently the Co’s management has decided to allote 5 million shares @ Rs. 13 per share to the promoters ( 3 million shares ) and its associates, mainly NRI’s ( 2 million shares).With the allotment of 5 million shares , the company’s equity capital will go up to Rs. 14.43 crores, with promoters and NRI’s holding about 70% of its equity.

On the Financial front,the Co. is doing exceedingly well, with revenue expected to increase to Rs. 300 crore for the year ended 31st March 2009, compared to Rs. 101 crore for the last year.PAT is expected to touch Rs.12 Crores from Rs. 1.6 crores for the last year.This will give an EPS of Rs. 12.7 vs. 1.7 for the last year. The share is available at P/E of about 1.2 .

Here are the Financials:

Scrip Code : 530273 Company : Liberty Phosphate Ltd

Type	Un-Audited	Un-Audited	Un-Audited	Un-Audited	Un-Audited	Audited
Period Ending	31-Dec-08	30-Sep-08	30-Jun-08	31-Mar-08	31-Dec-07	31-Mar-08
No. of Months	3	3	3	3	3	12
Description	Amount(Rs. million)
Net Sales / Interest Earned / Operating Income	787.55	561.71	669.57	147.16	274.01	1,019.28
Other Income	-	-	0.50	5.95	1.28	8.66
Total Income	787.55	561.71	670.07	153.11	275.29	1,027.94
Expenditure	-737.62	-505.02	-577.63	-139.52	-245.53	-927.31
Interest	-11.46	-13.54	-18.25	-10.99	-12.68	-53.35
Profit Before Depreciation and Tax	38.47	43.15	74.19	2.60	17.08	47.28
Depreciation	-5.43	-5.21	-4.97	-4.85	-5.73	-20.84
Profit before Tax	33.06	37.94	69.22	-2.25	11.36	26.44
Tax	-11.47	-13.45	-23.38	0.06	-4.08	-10.26
Net Profit	21.58	24.49	45.84	-2.20	7.28	16.17
Equity Capital	66.73	66.73	66.73	66.73	61.23	66.73
Reserves	-	-	159.44	-	-	109.29
Basic And Diluted EPS after Extraordinary item	3.23	3.67	6.87	-	1.19	2.42
Nos. of Shares - Public	3,782,907.00	3,793,307.00	3,675,573.00	3,677,573.00	3,645,404.00	3,677,573.00
Percent of Shares-Public	56.69	56.84	55.08	55.11	59.53	55.11
Operating Profit Margin	6.34	10.09	13.81	9.23	10.86	9.87
Net Profit Margin	2.74	4.36	6.85	-1.49	2.66	1.59
Cash EPS	-	-	7.61	0.40	2.12	5.55
	Notes	Notes	Notes	Notes	Notes	Notes
	Detailed	Detailed	Detailed	Detailed	Detailed	Detailed

Financials reproduced from bseindia

We believe that Liberty Phosphate at CMP of Rs. 14 is a multibaggar in the making.

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

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