KARUR KCP

Karur KCP Packkaging is a south based company engaged in paper /paper packaging and bulk paper packaging products.The companies products cater to the cement , carbon black, fertiliser industries to mentino a few.
The company is reported to be performing exceedinglky well duroing the current year.

POSITIVES

1)40% MARKET SHARE IN THE SOUTH CEMENT COMPANIES

2) 100% MKT SHARE IN CARBON BLACK INDUSTRY

3) COMPANY HAS SWAPPED ITS HIGH INTEREST BEARING DEBT AS ARESULT OF WHICH AVG COST OF DEBT TO COME DOWN FROM THE CURRENT 13/14% TO 9/10% IN THE NEXT FINANCIAL YEAR.

4)IT IS THE ONLY MANUFACTURER OF EXTENSIBLE SACK KRAFT PAPER (E S K P)

5)THE FLEXIBLE INTERMEDIATE BULK CONTAINER (F I B C ) IS AN 100% EXPORT MKT

6)MAJOR EXPANSION PLANS UNDER IMPLEMENTATION

7)PLANS TO COME OUT WITH A FCCB ISSUE IN THE NEAR FUTURE

8)AN ACQUISITION OF A SMALL SOUTH BASED COMPANY IN THE SAME BUSINESS IN PIPELINE


For the current year to end i project the company to end the year with RS 9/10 EPS and CASH Eps of rs 14/15

for the next financial year on a conservative basis the projected EPS is in the range of RS 14/15 AND CASH EPS OF 20/21