PI Industries Limited is an AgChem company based out of India. It was formed in the year 1946. The company has a number of subsidiaries that it spun off.
As of the first week of September 2018, the market capitalisation of the company is about Rs.10,536 crore.
PI Industries Wealth and Recent Performance
From the financial highlights provided by the company, it can be seen that:
- The total revenue from operations increased from FY13 to FY17. The total revenue for FY17 was Rs.2,382.9 crore and it was Rs.2,308 crore in the FY18.
- The profit before tax of the company increased from FY13 to FY17 but dipped in FY18. The profit before tax was Rs.506.5 crore in the FY17 and Rs.463.6 crore in the FY18.
- The net fixed assets of the company grew from Rs.1,020.1 crore in the FY17 to Rs.1,085.6 crore in the FY18.
- The cash profit of the company was Rs.530 crore in the FY17 and dipped a little in the FY18. The cash profit for FY18 was Rs.449.1 crore.
- The EBITDA margins decreased from 23.1% in FY17 to 21.3% in FY18.
- The total assets of the company grew from Rs.2,283.1 crore in the FY17 to Rs.2,615 crore in the FY18.
PI Industries Stock Trends in 2018
- In January 2018, the stock began trading at about Rs.958. There was an initial spike in prices with the stock crossing the Rs.1,000 mark during the first two weeks. The stock began declining in price from mid-second week of the month with the final price for the month being about Rs.890.
- The stock continued to decline further in the month of February 2018, with the lowest price for the month being about Rs.810. The stock then recovered a little to close for the month at about Rs.872.
- In March 2018, the price declined for the first three weeks and then the stock rallied in the last week of the month to close at about Rs.885 at the end of the month.
- The price of the stock increased a little in April, with the stock crossing the Rs.900 mark in the initial days of the month but the stock declined later and closed for the month at about Rs.867.
- The stock continued to decline in May 2018 with the final price for the month being about Rs.846.
- June 2018 also marked a period of decline for the share price and the stock went below the Rs.800 mark. The final price for the month was about Rs.753.
- The stock recovered in July 2018, crossing the Rs.800 mark. The final price for the month was about Rs.806. A final 250% dividend was announced on 30 July 2018.
- The price of the stock declined again in August with the final price for the month being about Rs.771.
PI Industries Stock Trends in 2016 and 2017
- The stock began trading at about Rs.663 in the beginning of January 2016. The stock rose for the first two weeks and then declined. In February, the stock declined in price further. The stock rallied a little in March and was mostly steady for the month and the final price for that month was about Rs.568. An interim 190% dividend was announced on 22 March 2016.
- April 2016 marked a period of growth for the stock price. The stock held steady for most of May and June 2016 marked a period of tremendous growth. The final price for the month of June 2016 was about Rs.722.
- The share price increased steadily throughout the months of July and August. The price crossed the Rs.800 mark in August and remained over that value till the end of September. The final price for September was about Rs.831.
- In October, the stock price declined a little but rose again towards the end of the month. November marked two sharp falls in the price of the shares of the company. An interim 150% dividend was announced on 16 November 2016. The price of the stock held steady for most of December 2016 with the final price for the month being about Rs.813.
- The stock began trading at over Rs.800 in the beginning of January 2017. The stock experienced a climb phase throughout the month. The stock declined in price in February and did not recover much in March 2017. The final price of the stock for that month was about Rs.838.
- The stock climbed in price in April 2017 but declined in May. The price remained steady in June 2017. The final price for the month of June was about Rs.837.
- The stock declined in price in July 2017. There was a lot of fluctuation in prices in August. A final 250% dividend was announced on 30 August 2017. The stock did not gain much in September and the final price for the month was about Rs.740.
- The stock price climbed steadily in October 2017 and remained steady for the first half of November. The second half of November marked a period of tremendous growth in stock price. The prices fluctuated a bit in December with the final price for the month being about Rs.962.
Should You Invest in PI Industries?
- The company is one of the leading Agchem companies in India.
- Its performance has been exceptional until the FY17.
- The profits and total revenue of the company rose for five straight years till FY17.
- The company has a number of manufacturing plants.
- It has expanded its presence multifold over the last two decades leading up to 2018.
- PI Industries has a strong presence in India and the Middle East.
- The company has established a number of joint ventures with other big companies.
- It has received a number of awards for excelling in various things.
- It has a number of certifications that indicate process excellence.
- Considering all this, the company could be a good investment but it would be better to do thorough personal research taking into account other financial commitments and risk appetites before investing.
As of FY18, the company had over 60,000 retail points, over 2,000 people and 4 offices around the world with a presence on six continents. The company also operated three manufacturing sites.
History of the Company
The company was initially begun as Mewar Oil and General Mills Limited in the year 1946 in India. The history of the company is described here:
From the year 1947 to the year 1980
The company embarked on a period of expansion. This period was marked by the formation of a marketing network throughout India. The first Agchem plant was installed during this period. In addition to the Agchem business, the company diversified its interests by entering into mining and mineral processing. The mining and mineral processing divisions were later spun off into a company called Wolkem India Limited. The company achieved its first export of Agchem formulation during this initial period spanning almost four decades. Lastly, the company also began an Agchem formulation and marketing brand called VEGFRU. Considering all of these, it would come as no surprise to note that the company’s research and development was recognised by the Ministry of Science and Technology.
From the year 1980 to the year 2000
In these two decades, the company achieved a lot more than it had done previously. One of the biggest changes during this time was the change in name to PI Industries Limited. The company also entered into the space of polymer compounding. A manufacturing site was set up in the state of Gujarat. A Phorate technical plant was also installed during this time. The company began the process of international expansion by entering the Middle East where it set up a turnkey Agchem manufacturing unit. The company also diversified into custom synthesis and manufacturing. Yet another diversification was also achieved. The company diversified into energy metering. This was later spun off into Secure Meters Limited. These two decades marked another major milestone for the company with it acquiring the ISO 9002 and 14001 certifications.
From the year 2000 to the year 2005
During these five years, the company divested itself of its polymer business. The research and development centre at Udaipur was expanded. A new formulation plant was established in Jammu. The achievements of the company during these five years include it getting accredited by OHSAS 18001 and ISO 17025. The company also launched 8 new products in India alone. The company also introduced 10 new products in CSM.
From the year 2005 to the year 2012
The company managed to set up another manufacturing site in Gujarat at Jambusar. The company introduced a new initiative with Sony for research. The company divested its polymer compounding business. The company expanded its CSM unit by building two new plants in Panoli.
From the year 2013 to the year 2014
The company expanded some more by setting up a new formulation plant at Panoli.
From the year 2014 to the year 2015
The company increased its international footprint by expanding into Germany. The company also commercialised three new molecules for exports.
Management of the Company
The Chairman Emeritus of the company is Mr. Salil Singhal.
The board of directors of the company includes the following people:
Mr. Narayan K. Seshadri - Non-Executive Chairman
Mr. Mayank Singhal - Managing Director and CEO
Mr. Rajnish Sarna - Executive Director
Mr. Arvind Singhal - Non-Executive Director
Mr. Ravi Narain - Independent Director
Mrs. Ramni Nirula - Independent Director
Mr. Pravin K. Laheri - Independent Director
Dr. T.S. Balganesh - Independent Director
The leadership team of the company comprises the following individuals:
Mr. Mayank Singhal - Managing Director and CEO
Mr. Rajnish Sarna - Executive Director
Mr. RD Kapoor - Head - Agri Support and Alliances
Mr. Rajul Edoliya - President - Strategic and Business Development
Mr. Devendra Kumar Ray - Head of Manufacturing Strategy
Mr. Samir Dhaga - CIO
Mr. Sankar Ramamurthy - CPO
Mr. Subhash Anand - CFO
Mr. Atul Kumar Gupta - Head of Plant Operations
Mr. Prashant V. Potnis - Senior Vice President
The Chairman Emeritus, Mr. Salil Singhal has been with the company since the year 1979. He initiated the idea of going global with the company and is credited with the formation of a value system in the company. He has also been part of a number of committees that framed policy issues related to agriculture. He is part of the Boards of a number of companies and organisations.
The Managing Director and CEO, Mr. Mayank Singhal, is a person with a number of years of experience in the industry. He has an engineering management degree from the UK. He believes in balancing consumer interest, environmental interest, and business interest. He is part of the Boards of a number of organisations.
PI Industries Limited Listings in NSE, BSE, and Other Indices
The company is listed under the following codes on the BSE and the NSE:
IND: Pesticides/Agro Chemicals
ISIN Code: INE603J01030
The company is included in the following indices:
- Nifty 200
- Nifty Commodities
- Nifty LargeMidcap 250
- Nifty Midcap 150
- S&P BSE 150 MidCap Index
- S&P BSE 250 LargeMidCap Index
- S&P BSE 500
- S&P BSE Basic Materials
- S&P BSE MidSmallCap
- S&P BSE SmallCap Select Index
- Nifty 500
- Nifty Full Midcap 100
- Nifty Midcap 100
- Nifty MidSmallcap 400
- S&P BSE 200
- S&P BSE 400 MidSmallCap Index
- S&P BSE AllCap
- S&P BSE Dollex - 200
- S&P BSE SmallCap
In addition to being listed on the BSE and the NSE, the company is also listed on the Hyderabad Stock Exchange Limited and the MCX Stock Exchange.
The corporate office of the company is located at the following address:
PI Industries Limited, Fifth Floor, Vipul Square, B Block, Sushant Lok, Phase - 1, Gurgaon - 122009
Telephone number: +91 124 6790 000
Fax: +91 124 4081 247
The registered office of the company is located at the following address:
PI Industries Limited, Post Box Number 20, Udaisagar Road, Udaipur - 313 001
Telephone number: +91 294 2491 4515
Fax: +91 294 2491946
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