CAMLIN FINE SCIENCES LTD.
Camlin Fine Sciences Ltd. was formed after getting demerged from the parent firm, Chemical Fine Chemicals Ltd, in 2006. Under the leadership of Mr. Ashish Dandekar (MD), it has established itself as the largest producer of food antioxidants like TBHQ (Tert-Butylhydroquinone) and BHA (Butylated hydroxyanisole). It is also one of the world's leading Vanillin producers. The Company has more than 30 years of experience in providing innovative solutions. With subsidiaries in Mexico, China, North America, Brazil, and Europe, it serves more than 1000 customers in over 80 countries.
The Company's revenue was not impacted much during the pandemic. Strategies like maintaining focus on R&D and application, vertical backward integration, and geographic integration have helped Company to improve its margin and increase the growth rate. The Company along with its effective management and diversified Board of Directors can continue its successful venture and become a global leader of a wide array of products within the chemical industry.
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CAMLIN FINE SCIENCES LIMITED
One of the Most
Underrated Player
s
in the Chemical Industry
Camlin Fine Sciences Limited (
“
the
Company
”
or
“
CFS”
) operates within the consumer durables
and
chemicals
sector
and has established a global foothold, with
operations
in several countries, such as India,
Brazil, China, Mexico, United States as well as Europe. Over three decades, since the
Company
's inception
to the present,
it
has been able to
cement its
position
a
s one of the
leading manufacturer
s
of traditional
antioxidants
such as
Tertiary butylhydroquinone (
TBHQ
)
&
Butylated hydroxyanisole
(
BHA
)
, and the world’s
3rd largest producer of
Vanillin
(a key aroma ingredient
)
.
Over the past few years, the
Company
has
seen
tremendous growth, from globalizing
its
operations
and reach
, to
significant developments in its
vertically
in
tegrated
supply chains.
The
Company
primarily indulges in four key business
verticals
:
•
Shelf
Life Solutions
•
Aroma Ingredients
•
Health and Wellness
•
Performance Chemicals
CFS products are used in a various array of sectors, some of which are listed below:
•
Food, feed, animal and pet
nutrition
•
Flavors & Fragrance
•
Pharmaceuticals
•
Agro Chemicals
•
Petrochemicals
•
Dyes and Pigments
•
Polymers
•
Bio Diesel
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Major Clients of
CFS
The Journey
D.P
. Dandekar
and G.P. Dandekar, proprietors of Dandekar & Co.
,
had
just started selling inks and ink powders in the early days of 1931.
Having left his government job
in search of a
start
-
up
, D.P. Dandekar
realize
d that
stationery product
s were mostly imported from co
untries
such as Germany and
the
UK
. T
he Dandekar brothers
, thus,
decided to
open up a business in the stationery line.
Desiring
to expand into the
fountain pens business, the two proprietors looked for an easy to
pronounce and familiar brand name, and thus,
the
Camel brand came
to be. The idea was that once you fill a pen with ink, it can run for
miles, somewhat like a camel.
The
Company
began its operations in
1931 in Mumbai, India, as a supplier of ink powders and tablets.
Combining the words in its previous name
,
'Camel Ink', the business
was soon renamed to 'Camlin'.
By 1947, Camlin was a household
name, offering a variety of a
rt material and stationery products,
including
chalks, rubber stamps, pencils, and geometry boxes
and
various other items
.
Capitalizing on their tremendous growth and
popularity,
in 1984
,
the
Company
entered the chemical sector
with an
ultramodern plant at Tarapur, India
,
to produce antioxidants for a
global market.
In 2006, the chemical and pharmaceutical division was
demerged from the parent
Company
, and an entirely new identity,
Camlin Fine Sciences Limited was formed
.
Within
a year, in 2007, the
stock was listed on the BSE, and the
Company
has
upheld its
dedication to technology and constant innovation under the guidance
of Mr
.
Dilip D. Dandekar,
who was appointed as the
Chairman and
Executive Director
of
Kokuyo Camlin Ltd. i
n 2006.
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Indian Chemical Industry
•
As per the statement published by
the Federation of Indian Chambers of Commerce & Industry (
FICCI
)
,
the
minister of
C
hemicals and
F
ertilisers D
.
V
.
Sadananda Gowda
claims that
t
he Indian chemical
s and
petrochemicals
industry is estimated to reach a total valuation of $304
bn by 2025
. This will mostly
be driven by the essential nature of the commodity,
as well as India’s constant developments and
investments
into holistic growth. The
Country
is an emerging economy and has a large potential for
sustainable growth in the coming years.
The Chemical Industry currently employs more than 2 million
people in
the
Country
, thus forming an integral part of the
Country
’s large workforce.
•
According to the Mckinsey & Company Report, f
or more than a decade, from 2006 to 2019
,
the CAGR
of TRS (Total Returns to S
hareholders
)
for
Indian
chemical industries was 15%. The figure is much higher
than the global chemical
-
industry returns
that has
a CAGR of 8%.
During 2016
-
2019,
though the Indian
economy was in
the
doldrums,
the
Indian Chemical Industry registered an impressive
CAGR of 17%
.
•
The chemical industry also secures a valuable position when it comes to India’s overall trade flow
.
According to data provided by
the
Department of Chemicals and Petrochemicals,
I
ndia ranks 17th in
the world in terms of
the
export of chemicals and ranks 7th in the
world
for
imports of chemicals
.
•
T
he
C
ountry is the 6th largest producer of chemicals globally and the third
-
largest producer in Asia in
terms of output.
A
ccording to the
India Brand Equity Foundation
(
IBEF
),
t
he
Country
also ranks
3rd
globally in the agrochemical output
.
•
Domestic consumption is expected to drive the demand as it is estimated to be around $111
bn
by
2023.
•
The recognition
the
chemical industry receives from the government has also been a key driver of
growth in the sector. 100%
F
oreign
D
irect Investment (FD
I
)
is permissible within the chemicals sector in
India.
Business Model
Camlin Fine Sciences
has
developed an all
-
inclusive vertical
ly integrated business
model
for
over thirty
years, which enables it to manufacture raw materials within the purview of the
Company
itself.
The
Company
has curated a well
-
diversified range of products, which cater
s
specifically to customer
requirements, and can be mainly categorized into
four
verticals.
•
Shelf
-
Life Solutions
are products that help increase the durability of the product, as well as preserve
color, freshness, safety, and the quality of the product.
These products include antioxidants, blends,
and other food and feed additives. This product makes up for more than half of the revenue share
percentage, and the
Company
is one of the
leading global
manufacturers of antioxidants.
•
Performance Chemicals
are
unique and customer requirements
are
based on chemicals that are
developed and sold based on their performance for unique applications. Such chemicals lead the way
for innovative solutions to customer requirements.
•
Aroma ingredients
are used in food,
flavo
rs
and fragrance industries, and the
Company
is the world's
third
-
largest producer of a key aroma ingredient, Vanillin.
CFS produces the aroma ingredients using
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a completely traceable vertically integrated production. The finished products are made us
ing
environmental
l
y
friendly methods, from Catechol. All key ingredients are made in
-
house, and the
Company
has gained traction as a quality global
V
anillin supplier
.
•
Health & Wellness business vertical
was launched in FY20 which offers nutraceutical products from
fermentation and green extraction sources. The division is formed to cater to the needs of baby boomers
and millennials.
T
he
Company
has been able to incorporate
5
manufacturing facilities,
2 R&D labs, and 5 Application Labs
under its purview. Due to its worldwide presence and strategic partnerships, CFS can market its products
globally, especially in consumer hotspots such as Europe, Asia Pacific, South, Central, and North America,
as well
as the Middle East
.
Strategic partnerships with specific
c
ompanies in different geographies
within
the same industry enable
s
the
Company
to capitalize on distribution networks and increase
Company
presence across different geographies.
Impact of the Unprecedented
C
OVID
-
19
C
OVID
-
19 has disrupted financial
markets, raised uncertainty to unseen levels, and has tested the financial
resilience of top companies around the world. The virus has caused disruptions in global supply chains,
along with lockdowns in countries around the
world.
CFS
’s
international expos
ure has been
particularly
detrimental in such an unprecedented
scenario
. The
Company
faces shrinking
demand and
consumption
levels
as most in
dustries had to be brought to an immediate
halt due to government
-
imposed
lockdowns.
However, there
exists
a silver lining.
Given the essential nature of the chemical sector, operations had
been
resumed shortly afte
r the initial quarantine period.
The c
urrent financial performance of companies will be
impacted due to the virus
. H
owever, wi
th strong fundamentals
,
in the long run, resilient companies
can
see this out.
Differentiating Strategies
1)
Vertical Integration
Over 30 years
,
CFS has developed an extensive vertically inte
grated supply chain unlike that
of its
competitors. The
Company
's plant in Ravenna, Italy, produces the basic raw material
s
like
hydroquinone and
C
atechol
for many
of its further production uses
. The vertical integration ability then
transforms the raw materials into products that cater
to a large variety of sectors, such as food,
fragrance, pet food, petrochemicals, pharmaceuticals, and agrochemicals
,
etc
.
It
ensures a stable line
of products, maintaining quality and transparency. Furthermore, it allows the
Company
to ensure its
products reach the markets at competitive prices and are traceable with ease.
2)
Marked International Presence
CFS has a well linked
and comprehensive international network that enables the
Company
to make its
impact on many countries around the world. The
Company
currently serves in more than 80 countries
with over 100 products.
The
Company
began its operations in India in 1984, and in the past few years
,
has become one of the leading manufacturers in antioxidants and aroma ingredients around the world.
With R&D labs in India and Italy and several Application Labs in countries around the wor
ld, the
Company
remains confident of making a global impact and i
mpacting lives around the world.
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3)
Research and Development Initiatives
The
Company
remains at the forefront of technological progress because of its investments in R&D labs.
CFS has two states of the art ultra
-
modern R&D Centres, located in Tarapur, India, and Ravenna, Italy.
The 8600 square foot Indian Centre consists of a synthetic an
d process development lab and an
independent pilot plant that supports scale
-
up activities and helps process engineering studies.
The
R&D facilities in Europe are a mix of in
-
house and collaborated efforts with external research units and
universitie
s. The Ravenna facility focuses on improving existing technology as well as the development
of new products and processes. These initiatives
allow the
Company
to stay ahead of technological
developments in the industry and take advantage of oppor
tunities a
s and when they arise, giving the
Company
competitive advantages.
SWOT Analysis
Strengths
1.
Cost
Ad
vantage
-
The
Company
owns manufacturing facilities that
are
involved in producing key raw
materials i.e.
,
Hydroquinone and Catechol
. The
Company
’s well
backwardly
integrated value chain
gives them an added advantage in terms of procuring raw materials at a lower rate than its peer
s
and
helps
in
increas
ing their
pr
ofitability margins
.
As per the
Company
, its new manufacturing plant at
Dahej, Gujrat w
ill
make CFS the 2
nd
largest producer of Hydroquinone and Catechol in the world.
2.
Global Presence
–
The
Company
has diversified its revenue stream across geographies
as it serves more
than 100 products in more than 80 countries.
Weakness
es
1.
Significant Rising Debt
–
The
Company
invests heavily in Research and Development,
and also funds
its
capital requirements to stay ahead of the competition. These advantages, however, come at the cost
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of rising debt.
Over
a decade, the
Company
has mounted a large amount of debt, and the benef
its from
these investments have not yet given
proportionate
returns to the
Company
. The nature of these
investments has been predominantly long
-
term;
however, a large portion of the debt is
short
-
term
in
nature. This spread may affect the financials of the
Company
, as well as the rising interest costs
accompanied by rising debt.
Since FY18, the
Company
has also seen a large spike in its long
-
term
borrowings as the number has more than tripled as of FY20.
Long
-
term and Short
-
term Debt
(
i
n
C
rores
)
Source: Company, Leveraged Growth
2.
Dependence on Customers
Being a supplier firm, which functions in B2B space
,
the
Company
had a fallout with its customers in
FY17 due to which there
was
a large drop in its revenue.
The Company has also got
low bargaining
power,
which is reflected in its low margins as the
Company
is unable to pass on the cost
to its
customers.
Since then, Company has taken steps
to
expan
d
in other geographies to reduce its
dependence on
few
customers.
Opportunities
1.
Growing Demand
–
In emerging markets, such as India and Mexico, the demand for chemicals continue
to grow as a result of their large working
-
age population. The
chemical industries in such markets are
perceived as drivers enabling elongated product life cycles. The rush to commoditize such products has
led to improved innovation avenues as well as accelerated globalization.
2.
Blends
–
The demand for blends ha
s
incre
ased during the lockdown
. S
ince the
Company
has sufficient
capacity to produce 50% or
more
, there is an opportunity for the
Company
to
tap into this growth
.
3.
I
ncrease in Foreign Institutional Investor Shareholding
–
Foreign Institutional Investors (FIIs) have
increased their shareholding of the stock since FY19. In December of 2019, FIIs held almost 0.9% in the
Company, which increased to 1.2% in March in 2020.
This indicates growing foreign confidence in the
stock and its fundamentals.
Threats
1.
Significant International Exposure
–
The
Company
, with operations in more than 80 countries
,
is
significantly exposed to changes in foreign trade sanctions and government policies. Changes in policies
in different countries can affect the operations of the entire
Company
and may even raise costs
,
thereby
40.4
40.0
69.3
78.6
62.0
58.6
44.0
28.1
32.7
226.0
236.9
0.0
0.0
50.7
61.1
85.8
97.6
176.9
222.8
200.3
199.0
218.4
0
50
100
150
200
250
300
350
400
450
500
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
Long-term Debt
Short-term Debt
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affect
ing
profitability.
Since
the
Company
is vertically integrated,
a negative change in countries that
manufacture raw materials used for further processes can entail
high
overall costs.
Michael Porter’s 5 Forces A
nalysis
Barriers to Entry
•
Large Capital Investment
Requirements
–
Entering the chemical industry has large capital requirements
for the setting up of modern and
efficient plants. Investment is also required when setting up R&D labs
to capitalize on competitive advantages constantly arising within the chem
ical industry.
•
Complexity
–
The chemical industry requires a certain level of
sector
al
knowledge. When entering the
industry, new firms have to incorporate individuals who are experienced and possess sector
-
specific
knowledge to succeed in the market.
•
Regulatory Barriers
–
Companies operating in the chemical sector, especially pertaining
to the food
and nutrition industry
,
need regulatory approvals
,
which can be extremely difficult to obtain. The
process can be extremely time
-
consuming and hold a certain level of uncertainty
,
which can lead to
further time delays.
Bargaining Power of Buyer
s
•
Buyers had high bargaining power initially which could be observed from declining margins and a fall
out with customers in FY17. Although, over past few years, successful implementation of strategies by
CFS like geographic diversification
which has
considerably reduced the bargaining power of buyers to
medium
.
Bargaining Power of Suppliers
•
The chemical industry is notorious for changes in the prices of raw chemicals that are used in further
production processes. CFS has partially reduced its exposure
in such a circumstance by vertically
integrating its production processes.
The
Company
produces most of its raw material in plants owned
by them.
•
CFS has well
-
established supply chains, and switching suppliers could do more harm to the suppliers
than
the
Company
. Keeping this in mind, suppliers have very little bargaining power as CFS has
impressive supply chains that enable
the
Company
to keep a hold of prices. To gain
a
cost advantage,
CFS has to maintain its efficient supply chains and not be exposed to suppli
er demands
.
Rivalry among Competitors
•
The chemical industry is highly competitive
as the companies in the writing industry are ‘price takers’.
Threat of S
ubstitute
s
•
Chemicals are a
highly customizable product
.
It is
often
seen
that the
companies experiment
with their
products in order to improve
their
characteristics
or to come up with a brand
-
new product that
can
serve different
clients as well as end
-
customer
s’
requirements.
Hence, the threat to substitutes remain
s
high.
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Branding and
O
ther Initiatives
•
The
Company
has had a competitive advantage since it began its operations in 1984, which was the
household goodwill
that
Camlin Ltd. had
built
as a quality supplier of stationery, ink powders, and
tabl
ets. The name Camlin Lt
d. was
well versed and known name throughout the
Country
, and this
helped act as a boost for the chemical venture partake of CFS.
•
Company participated in past in international exhibitions like Food Ingredients Europe, Gulfood
manufacturing (Dubai), 12º
Simpósio Brasil Sul de Suinocultura (Brazil), etc to exhibit their products.
Financial
A
nalysis
1.
Segmental Analysis
•
The
Shelf
-
life
solutions portfolio majorly consists of antioxidants and additives. Blends
(antioxidants and additives) have grown at 24.89%
over
last year
(FY19)
whereas
straight additives
registered a growth of 7.20%.
Overall,
it’s a high growth segment.
•
The
P
erformance chemical segment
contributed
Rs
.
246.85 crore in FY20
to
the
C
ompany. The
commercial production of Dahej plant will further increase the revenue from t
he segment.
•
Turnover from Aroma chemicals was Rs
.
201.55 crore in FY20. The
C
ompany has proposed for
construction of a plant with a capacity of 1200 Metric Tonnes for producing
Ethyl Vanillin
in Dahej
with a target to start production from it in 2022.
•
Health and Wellness is a new division
,
launched in FY20
,
which uses third party manufacturing for
green extraction products.
2.
Rising Revenue
Segment Wise Breakup of Revenue (in %) as of FY20
Source:
Company
, Leveraged Growth
23
24
20
31
2
Shelf life solutions
Performance Chemicals
Aroma Chemicals
Blends
Others
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Over the past ten years, the
Company
has seen increasing revenues YoY. The CAGR of net sales over a
decade from FY10 to FY20 stood at 16.7%. The trend line indicates a continual of the same in the near
future. Rising revenue is helping the
Company
form strategic relationships with more clien
ts across the
globe and serve more customers.
The
Company
saw a sharp dip in its revenue in FY17 due to fallout
with its
customers
as the
Company had changed its business strategy.
T
he
Company regained its trend
since FY18 and is on track for higher
overall revenue in the coming years.
The net sales figure for FY20
stood at
Rs 579.78
crores, up 0.
0
6% from the
last financial year.
Net Sales (
i
n
C
rores)
Source: Company, Leveraged Growth
3.
Profitability on the Rise
In FY20,
the Company
posted its highest ever net profit number, standing at a whopping
Rs
.
30.72
crores
. Further
emphasis can be shed on this quantitative when we take into consideration that
the
Company
had suffered a detrimental net loss of
Rs
.
14.18 crores just
a few years ago in FY18.
The
Company
’s heavy investments in capital expenditures and a diligent attempt t
o remain at the peak of
technological progress have enabled it to reap the benefits of costly seeds sown in the past. These
benefits will continue to compound in the near future, providing
the Company
with
a strong base to
work with, along with added effic
iency and cost
-
effectiveness. With improving profits,
the Company
can repay significant debt and erode the possibility of interest costs impacting profitability.
Net Profit Margi
n
(%)
Net Profit (
I
n
Crores
)
123
165
252
314
374
431
412
338
405
548
580
0
100
200
300
400
500
600
700
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
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Source: Company, Leveraged Growth
Source: Company, Leveraged Growth
4.
Improving R
o
E and R
o
CE
The
Company
has seen rising
R
o
E
after registering losses in two consecutive
periods i.e
., in
FY17 and
FY18 as the revenues dipped due to fallout with customers.
R
o
E has turned positive
after
FY19
.
This
happened as t
he
Company
diversified its revenue stream
by entering into new geographies and
launching different products
.
The
Company
’s heavy capital expenditures have also started bearing fruit
as their R
o
CE has risen
significantly and
consistently for the past three years.
These are good positive
indications regarding additional future cash flows accruing from capital expen
ditures
done
in the past.
R
o
E
(%)
R
o
CE
(%)
Source:
Company
, Leveraged Growth
Source:
Company
, Leveraged Growth
5.
High Debt to Equity
R
atio
The
Company
’s debt to equity ratio is high when compared to industry peers such as Fairchem Speciality
Limited (HKFINL).
The high level of debt is a result of
the
Company
's constant expenditure on R&D to
stay ah
ead of new market innovations. Nonetheless
,
the
Company
boasts an impressive interest
cov
erage ratio
,
which stands at 1.6
for FY20
, more than double
of
that of FY1
9 at 0.7
. This ensures
that interest payments do not corrode profitability and the increased debt can be repaid over time.
Camlin
Fine Sciences (CFS)
Debt/Equity (x)
Fairchem Speciality Limited (HKFINL)
Debt/Equity (x)
3.4
4.0
4.0
4.7
5.0
6.0
6.2
-
0.2
-
3.4
1.9
5.1
-4
-2
0
2
4
6
8
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
4.3
6.7
10.1
14.8
19.0
25.8
25.8
-
0.8
-
14.2
10.7
30.7
-20
-15
-10
-5
0
5
10
15
20
25
30
35
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
12.9
17.8
22.3
26.8
27.6
29.6
23.2
-
0.5
-
5.6
3.2
8.5
-10
-5
0
5
10
15
20
25
30
35
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
19.8
16.7
16.6
15.9
18.5
20.4
21.9
-
1.7
-
6.7
2.7
7.6
-10
-5
0
5
10
15
20
25
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
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Source:
Company
, Leveraged Growth
Source:
Company
, Leveraged Growth
Risk Analysis
1.
Global Economic Slowdown
With global economies completely shutting
down to tackle the onset of the deadly virus Covid
-
19, one
can expect the future global economic outlook to be very bleak.
CFS is particularly exposed to this
issue, as its raw material producing plant is located i
n Ravenna, Italy
which was one of the most
affected countries in Europe due to the pandemic
.
The economic stagnation
due to resurgence of virus
will also cause a loss in demand in
the
Company
's products
as it resulted in subdued demand during
initial
outbreak
. H
owever, being essential, the impact will be very restricted.
2.
Exposure to
Monetary Policy
C
hanges
The
Company
has a significant amount of debt, and the issue lies with the exposure to changing market
interest rates.
The
Company
’s borrowings are at floating rates and changes in market rates will cause
fluctuations in future cash flows. Coupled with rising debt ove
r the past few years, it can begin to take
a severe toll on
the
Company
’s profitability.
3.
Cap
ex
with
I
nadequate
R
eturns
The
Company
has streamlined a large cash flow towards capital expenditures, and these investments
may not turn out to be as beneficial as expected. Advanced technology can quickly become non
-
existent as more and more companies fight for a larger share in the market.
Thus,
the
Company
cannot
depend highly on its capital investments, even with significant expenditures in the segment.
Corporate Governance
1.2
1.0
1.7
1.6
1.5
1.3
1.6
1.3
0.6
0.9
0.9
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
1.0
0.8
0.9
0.6
0.6
0.5
0.5
0.7
0.6
0.5
0.5
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
12
|
P a g e
w w w . l e v e r a g e d g r o w t h . i n
1.
The
Company
has strong ethical business values and aims to
maximize its value to all stakeholders. Since its inception,
the
Company
has upheld its culture of transparency,
accountability, and integrity.
2.
The
Company
’s board consists of
11
directors out of which
2
are
Executive directors and
9
non
-
executive directors. There
are
6
independent directors, including
2
women
directors
. The
composition of the Board is in line with the requirements of
Regulation 17 of the Securities and Exchange Board of India
(LODR).
3.
The
Company
has an experienced individual
,
Mr
.
Dilip D
Dandekar as their Chairman, who has been with the firm since
2006.
4.
During the year,
the
Company
held 4
board
meetings
with an
average attendance of 10 members
.
5.
Mr
.
Dilip D Dandekar
(Managing Director of the Company)
is the paternal uncle
of
Mr
Ashish S Dandekar
as well as Ms Anagha Dandekar
.
Also,
Ms Anagha
Dandekar
and
Mr
Ashish
Dandekar
are siblings
.
None
of the other members of the Board of Directors
are
related to each other.
6.
Promoter’s total holding remains constant at
22.7
4%, out of which
10.88% of
the shares are being
pledged.
Shareholding Pattern as
on
30
th
September
20
20
Source:
Company
, Leveraged Growth
The
E
nd
-
N
ote
•
The
Company
boasts a strong strategic
mind
set
, with a no
-
compromise policy on holistic and ethical
valu
es. CFS's global presence allow
s
the
Company
to offset potential losses in disturbed geographical
locations, and their extensively developed vertically integrated supply chains
helps
to
ensure that
the
Company
remains competitive and cost
-
effective.
•
The
Company
's investments into R&D bear
consistent fruit especially when one takes into consideration
the nature of the industry they work in, highly customizable
,
and essential.
23
2
19
57
Promoter
FII
DII
Public
Mr
.
Ashish S Dandekar
(Managing Director)
13
|
P a g e
w w w . l e v e r a g e d g r o w t h . i n
•
Growing demand, although marginally impacted by C
OVID
-
19 lockdowns, and effective management
with a diversified B
oard of Directors will ensure that
the
Company
can continue its successful venture
and become a global lea
der of a wide array of products within the chemical industry.
Performance of CFS since
Jan
2010
Source:
National Stock Exchange
(NSE)
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in any form, without prior written consent. This report and information herein is solely for informational purpose and
may not be
used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financia
l instruments.
Nothing in this report constitutes investment, legal, accounting and tax advice or a representation that
any investment or strategy is
suitable or appropriate to your specific circumstances. The securities discussed and opinions expressed in this report may no
t be
suitable for all investors, who must make their own investment decisions, based on their own inv
estment objectives, financial positions
and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipi
ent. Each
recipient of this document should make such investigations as it deems necessary
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investment in the securities of companies referred to in this document (including the merits and risks involved), and should
consult its
own advisors to determine the merits and risks of such an investment. The
investment discussed or views expressed may not be
0
50
100
150
200
250
2010
2012
2014
2016
2018
2020
CFS
Nifty 50
14
|
P a g e
w w w . l e v e r a g e d g r o w t h . i n
suitable for all investors. Certain transactions
-
including those involving futures, options, another derivative products as well as non
-
investment grade securities
-
involve substantial risk and are not s
uitable for all investors. No representation or warranty, express
or implied, is made as to the accuracy, completeness or fairness of the information and opinions contained in this document.
The
Disclosures of Interest Statement incorporated in this docume
nt is provided solely to enhance the transparency and should not be
treated as endorsement of the views expressed in the report. This information is subject to change without any prior notice.
The
Company reserves the right to make modifications and altern
ations to this statement as may be required from time to time without
any prior approval.
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, its associates, their directors and the employees may from time to time, effect or have effected
an own account transaction in, or deal as principal
or agent in or for the securities mentioned in this document. They may perform or
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eferred
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s functions as a separate, distinct and independent of each other. The recipient should take this
into account before interpreting the document. This report has been prepared on the basis of information that is already avai
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a or developed through analysis of Leveraged Growth. The views expressed are those of the analyst, and the
Company may or may not subscribe to all the views expressed therein. This document is being supplied to you solely for your
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rve such restriction.
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