Century Textiles and Industries Limited is an Indian company headquartered in Mumbai. Its primary business operations are focussed on manufacturing textiles, cement, paper, and industrial chemicals such as caustic soda, sulphuric acid, salt, et cetera.Market Capitalisation
The market capitalisation of Century Textile and Industries Limited, as of early August 2018, is a little over Rs.10,100 crore.
Company’s Wealth and Recent Performance
- For the year ended on March 31, 2018, the company’s total income from operations was reported to be at Rs.8,092.14 crore. For the first quarter of the FY 2018-19, that is quarter ended on June 30, 2018, its sales were reported to be worth Rs.2,069 crore - a slight decrease from the sales figure reported for the corresponding quarter of the previous year.
- However, the company’s profit for the June quarter did not suffer owing to a decrease in the revenue. This is because the expenses of Century Textiles and Industries Limited for the quarter decreased to Rs.1,931 crore from Rs.2,107, stated for the June quarter of the previous fiscal.
- Consequently, the net profit for the quarter jumped to Rs.162.66 crore, as against a profit of Rs.120.24 crore reported for the Q1 FY17-18. The earnings per share of the company also registered an increase from Rs.10.77 stated in the corresponding quarter of the last fiscal year, to Rs.14.56, reported for the June quarter of the present year.
- Considering the total liabilities of the company for the quarter, they reduced from Rs.8,006 crore to Rs.7,382 crore, y-o-y.
Century Textiles and Industries Limited Stock Trends in 2018
- On January 2, 2018, the opening price of the Century Textiles scrip was Rs.1,420 on the National Stock Exchange. The price didn’t vary considerably over the course of the month. Towards the end, however, the share price of Century Textiles dipped by around 3% to end of the month at Rs.1,388.25.
- In February, things got a bit more rocky driven by turbulence in the international markets. The news of interest rate hike by the Federal Reserve hit the markets hard, including the Indian ones. In the first week of April, the scrip shed a little over 10% to descend into the Rs.1,200 territory. The scrip continued to be volatile in the second half of the month as well, with the closing price on February 28, 2018, being Rs.1,220.25 on the NSE.
- The stock price of Century Textiles and Industries Limited dipped further in March, although the fall this time wasn’t as severe as the one seen in February. The closing price of the scrip at the end of the month was Rs.1,142. The prices recovered slightly in April to ascend back into the Rs.1,200 region. However, those gains were offset in the final week of the month and investors ended up incurring losses once again.
- The month of May witnessed a severe drop in the Century Textiles and Industries Limited share price. The scrip lost more than 10% over the course of the month, thus entering correction territory. On May 31, 2018, the closing price of the share was Rs.947.15.
- The months of June and July were along the same lines for the investors. The shares continued their gradual descend, essentially shedding all the gains made over the course of the last year. In July, the Century Textiles scrip hit its 52-week low at Rs.842.55. However, the prices recovered slightly in the final week to the end the month at Rs.916.05.
Century Textiles and Industries Limited Stock Trends in 2016 and 2017
- At the start of January 2016, the Century Textiles and Industries Limited shares were being traded at levels close to Rs.600. Up until the month of March, the share price went down gradually to enter the Rs.400 region. However, this bearish behaviour was soon followed by a remarkable bull run which led to the scrip make exceptional gains.
- The share price rose steadily starting in March and by April, it was back to its previous levels at Rs.600. Things stabilised fairly over the course of May and June as the investors exercised caution and the shares maintained their bearings at levels varying from Rs.620 - Rs.650.
- In July, the company announced a final dividend of 55% and by mid-August, the shares had ascended into the Rs.700 territory. Towards the end of the month, the stock price of Century Textiles and Industries Limited incurred a meteoric rise - a surge which went on well over the course of September. In roughly a month, the scrip was up by more than 20%.
- In early October, the shares were trading at levels above Rs.900 and in November, the shares crossed the psychological barrier of Rs.1,000. However, owing to demonetisation, the shares lost heavily and the price took a sharp nosedive. The scrip was back to its previous levels at Rs.770 by late November, and the closing price of the stock at the end of 2016 was Rs.797.70.
- 2017 started on a positive note for the investors. The Century Textiles stock price rose gradually over the first quarter of the calendar year. After starting the year at around Rs.800, the shares, once again, managed to breach past the Rs.1,000 mark by late March.
- The price continued to rise through the month of April as well. By mid-May, the scrip managed to cross the Rs.1,200 mark but failed to stabilise at those levels. As a result, this excellent rise was halted by a short, albeit sharp nosedive which took the shares back to their previous levels at Rs.1,000.
- The Century Textiles shares commenced another bull run in mid-June and this one lasted for the entire year. Starting at around Rs.1,046, the price rose steadily this time. In July, a final dividend of 55% was announced by the company. In August, the scrip managed to cross the Rs.1,200 mark again.
- The stock price of Century Textiles continued to rise through September and October. In November, the scrip ventured into the Rs.1,400 region and the closing price at the end of the year 20107 was Rs.1,437.40 on the NSE.
Should you invest in Century Textiles and Industries Limited?
- Century Textiles and Industries Limited is a cement manufacturing and export company which is also involved in the production of pulp and paper, textiles, rayon, yarn, denim, caustic soda, sulphuric acid, and salt. The company has a strong presence in the international markets and its exports its products to more than 40 countries globally.
- Century Textiles and Industries Limited is a part of the famed B.K. Birla Group of Companies and is under the sound management of some of the well-known industrialists like Mr. Kumar Mangalam Birla and Mr. B.K. Birla. Having been around for more than 100 years, the company is fundamentally strong.
- Considering the financial performance of the company, it reported a profit of Rs.639.11 crore for the FY18. This marked a significant increase in profit reported for the fiscal year 2016-17. The textile industry in India plays an important role in the country’s economy and it contributes substantially to its export earnings. Furthermore, the infrastructure space in India is pegged for a massive growth in the future and as one of the major producers of cement, Century Textiles and Industries Limited is well-placed for a decent growth.
- As for the performance of its stock, the scrip has been highly bullish through 2016 and 2017, delivering excellent returns. In a period of two years, the stock price of Century Textiles rose from Rs.550 to Rs.1,430. However, as of 2018, the scrip has been highly bearish and has shed its recently made gains. At these levels, the scrip makes for an attractive buy, although more shares can be bought as prices slide further.
- With respect to its peers, the company is performing rather decently. There are far better players in the diversified sector in terms of revenues and profit. Whatever may be the case, it is strongly recommended that you do a thorough research before investing.
Century Textiles and Industries Limited is an Indian company based in Mumbai, India. Its operations are focused primarily on pulp and paper, real estate, cement, and textiles. In fact, it is one of the leading players when it comes to cotton textiles, yarn, viscose filament rayon, salt, caustic soda, sulphuric acid, pulp and paper, and denim. The company has five operational cement plants and three textile plants in the country. The company aims to manufacture its products as per the international standards using the latest technology.
History of the Company
Century Textiles and Industries Limited was incorporated in the year 1897 as a Public Limited Company. Up until the year 1951, the company had only one operational plant - a cotton textile mill in Mumbai. This was then followed by rapid diversification into different operational segments like yarn, viscose filament rayon, tyrecords, sulphuric acid, caustic soda, cement, pulp, and paper activities. These developments took place in the decades that followed, starting with the establishment of a rayon division in Mumbai. Sometime in the 1970s, the company forayed into the cement industry by setting up a cement plant in Baikunth, Chhattisgarh.
Management of the Company
Mr. Basant Kumar Birla - Chairman
Mr. Basant Kumar Birla presently serves as the Chairman of the Board at Century Textiles and Industries Limited. In addition to this, he is associated with the Board of Directors at B.K. Birla Group, Kesoram Industries Limited, and Jay Shree Tea & Industries Limited. He has been serving as the Director of the Board at Century Textiles since May 1973. His other responsibilities include serving as the Non-Executive Director of Pilani Investment & Industries Corporation Limited. He is also associated with various prominent educational trusts and institutes.
Mr. Kumar Mangalam Birla - Vice Chairman
Mr. Kumar Mangalam Birla currently serves as the Vice Chairman of the Board at Century Textiles and Industries Limited. Additionally, he serves as the Chairman of the Board at Aditya Birla Management Corporation Private Limited and Aditya Birla Sun Life Insurance Company Limited. He is also the Non-Executive Chairman of the Board at various prominent companies like Thai Rayon Public Company Limited, Ultratech Cement Limited, Aditya Birla Retail Limited, Grasim Industries Limited, et cetera. He also serves as the Chairman of the Group’s international companies based in Thailand, Egypt, Canada, Indonesia, and the Philippines. Mr. Kumar Mangalam Birla has also been associated with various reputed organisations in the country.
Mr. Pradeep Kumar Daga - Independent Director
Mr. Pradeep Kumar Daga currently serves as an Independent Director at Century Textiles and Industries Limited. His other responsibilities include serving as the Chairman and Chief Executive Officer of Mangalam Industrial Finance Limited. He also serves as the Managing Director and Executive Director of the same organisation. In addition to this, he also serves as the Non-Executive Director of Thirani Projects Limited.
Century Textiles and Industries Limited Listings in NSE, BSE, and Indices
The equity shares of Century Textiles and Industries Limited are available to the public for general trading. They are listed on the National Stock Exchange of India Limited and the Stock Exchange, Mumbai. The respective codes for the same are as follows:
- BSE Code: 500040
- NSE Code: CENTURYTEXEQ
- ISIN: INE055A01016
- Sector: Miscellaneous
Coming to the stock market indices, the company comprises the following:
- NIFTY 200
- NIFTY 500
- NIFTY Alpha 50
- NIFTY Commodities
- S&P BSE 200
- S&P BSE 500
- S&P BSE AllCap
- S&P BSE SmallCap
- S&P BSE MidSmallCap
- NIFTY Midcap 100
Dr. Annie Besant Road,
Mumbai - 400-030
Contact number: +91-22-24957000
Stocks vs. Mutual Funds: here's what we recommend
Stock market investments require a lot of research and knowledge. They do not generally offer any tax benefits and are regarded as high-risk investments. Hence,it is crucial to have a diversified portfolio. At Bankbazaar, we encourage our readers to invest on mutual funds.It doesn't require a lot of knowledge and equity linked mutual fund schemes offer tax benefits. Additionally, since mutual funds comprise stocks from multiple companies, they help in building a diversified portfolio.