Control Print Ltd. share price target

Control Print Ltd is involved in development, research, manufacturing, and marketing of printing machines, spare parts, consumables (fluids) and associated services. Company’s manufacturing facility for printers and consumables are located at Nalagarh (Himachal pradesh) and Guwahati (Assam) respectively.

Higher sales from consumables to drive margins ahead Revenues have been driven by sectors such as pipes, dairy, pharma to name a few while it is currently facing a constraint in the cement sector (~8-10% of revenue). Going ahead, the management anticipates no scope of any huge capex given the consumable has been operating at 50% utilisation level. Thus, we expect higher growth from consumables to likely improve...

Higher sales from consumables to drive margins ahead Since the company has started incorporating chips in latest printers, we expect the same to help it to track consumables used by user industry and aid them to mitigate purchases of other company's consumables by promoting their own products. The management highlighted that the company has installed a printer base of ~11000 currently. They have been charging | 1.5-2 lakh for consumables. Consumables constituted ~70%...

Higher share of consumables to improve margin trajectory CPL has an installed printer base at ~11,000 printers (FY19), which is expected to fetch a recurring income of ~| 130 crore (| 1.2 lakh/printer per year) for FY20E. Thus, consumables share is expected to improve to 75.3% of its total sales while lower margin printer sales are expected at 16.7%. Going ahead, with a string of new product launches, robust demand in pipes & cables, food & beverages and a product mix skewed towards consumables are expected to improve margins. However, elevated input costs or higher...

Control Print (CPL) reported a muted performance in Q3FY19 Net sales for the quarter came in at | 44.0 crore, up 4.4% YoY EBITDA in Q3FY19 was at | 10.5 crore with corresponding EBITDA margins at 23.9%, down 510 bps YoY. Margins were disappointing on account of relatively lower share of high-margin consumables business in the product-mix for the quarter PAT in Q3FY19 was at | 5.2 crore, down 17.4% YoY. PAT for the quarter was impacted by losses (| 1.9 crore) on investment book...

Control Print (CPL) reported a muted performance in Q2FY19 with Q2FY19 being the third consecutive quarter of no growth Net sales for the quarter came in at | 41.1 crore, down 1% YoY EBITDA in Q2FY19 was at | 8.9 crore with corresponding EBITDA margins at 21.7%, down 680 bps YoY. Margins came in substantially lower on account of a decline in share of consumables for the quarter vs. printer system. CPL earns high margins on consumables (>30%) with nearly nil to <10% margins on the printer system...

Control Print (CPL) reported a muted performance in Q4FY18 with net sales for the quarter coming in at | 45.4 crore, flat on a YoY basis EBITDA in Q4FY18 was at | 12.8 crore with corresponding EBITDA margins at 28.2%. PAT in Q4FY18 was at | 9.3 crore, up 9.4% YoY For full year FY18, net sales were at | 173.9 crore, up 19.8% YoY with EBITDA at | 50.2 crore (EBITDA margins at 28.9%) and PAT at | 31.6 crore (EPS at | 19.4/share with dividend per share at | 6.5) In the recent past, CPL has executed a QIP wherein 6.6 lakh shares...

Control Print Limited (CPL) is involved in the coding and marking (C&M;) industry. The company manufactures and sells C&M; systems and other related supplies catering to the needs of various industries such as foods, beverages, FMCG, agrochemicals, seeds, cables/ wires, pipes, extruded plastics, textiles, steel/ metal, pharmaceuticals, cement, plywood, amongst others. CPL derives about a fifth of its revenues from the sale of printers and ~71% of revenues through sales of consumables. The Indian C&M; industry is sized at ~INR 12-13 bn, with 4 players (including CPL) controlling 80%-85% of the market. CPL has a share of less than a fifth (of the major players); other major players include Markem-Imaje S.A....

Control Print (CPL) reported a stellar Q1FY18 performance. Net sales for the quarter came in at | 45.0 crore, up 28% YoY EBITDA in Q1FY18 was at | 13.4 crore with corresponding EBITDA margins at 29.7%, up 330 bps YoY PAT for the quarter was at | 8.6 crore vs. | 5.0 crore in Q1FY17 In Q1FY18, CPL realised efficiencies in terms of lower overheads largely lower employee and other expenses as a percentage of sales Q1FY18 was the first quarter wherein CPL has incorporated Ind-As....

Control Print (CPL) reported a stellar Q1FY18 performance. Net sales for the quarter came in at | 45.0 crore, up 28% YoY EBITDA in Q1FY18 was at | 13.4 crore with corresponding EBITDA margins at 29.7%, up 330 bps YoY PAT for the quarter was at | 8.6 crore vs. | 5.0 crore in Q1FY17 In Q1FY18, CPL realised efficiencies in terms of lower overheads largely lower employee and other expenses as a percentage of sales Q1FY18 was the first quarter wherein CPL has incorporated Ind-As....

Control Print (CPL) reported a robust Q4FY17 performance, with net sales for the quarter coming in at | 45.8 crore, up 33% YoY EBITDA in Q4FY17 was at | 13.0 crore with corresponding EBITDA margins at 28.0%. PAT in Q4FY17 was at | 8.5 crore, up 18.6% YoY For full year FY17, net sales were at | 145.2 crore, up 9.2% YoY with EBITDA at | 38.3 crore (EBITDA margins at 26.0%) and PAT at | 26.1 crore (EPS at | 16.6/share with dividend per share at | 6) The management expects the growth momentum to sustain in...

ICICI Securities Ltd | Retail Equity Research In Q2FY17, Control Print (CPL) reported a muted performance. Net sales for the quarter were at | 32.8 crore, down 10% YoY EBITDA for the quarter came in at | 9.6 crore (EBITDA margin 28.9%) Consequent PAT in Q2FY17 was at | 7.0 crore The management stays confident of clocking ~10-15% sales growth in FY16-18E largely tracking ~2x GDP growth rate domestically CPL has installed and implemented a SAP solution that is likely to...

ICICI Securities Ltd | Retail Equity Research In Q4FY16, Control Print (CPL) reported a healthy performance with sales growing 12% YoY to | 34.3 crore, EBITDA coming in at | 9.1...