Shilpi Cable Technologies Ltd[SCTL] a multibagger stock

It engaged with E&Y to draw its growth plan to become USD 1 Billion company by 2020.Based on the plan,it intends to launch its own brand for House wire and Modular Switches in the Year 2014-15. It is now professionally managed and has been attracting skilled workforce and seasoned industry experts in the last 1-2 year to enhance its managerial bandwidth to support 
its growth plan.

The present Break up of Sector wise sales is as under:

1. Telecom 33%

2. Electrical 30%

3. Consumer Durables 15%

4. Automotive 25%

Key drivers of business growth

       

       1. New capacities in Aurangabad, Bahadurgarh and Hosur were operational for the Company only for partial period during FY 2013-14. The revenues of the Company will get substantial boost this year with benefits of these capacities in the current year made available for full year.

        

       2. Export avenues opened in 2013-14.Initial ground work done by company has been able to open significant markets 

in South America,Africa,Middle East and South east Asia giving boost in the export front.

       3. More investments to further strengthen the manufacturing facilities.

       4. Launching a major initiative in B2C market for house wire and switches through dealer network. Eventually this is expected to be one of the major revenue streams of the Company.

Now lets look into financials,

Current market cap is just Rs.450 crore(as on November 05,2014) for company with sales of Rs.1754 crore(annual) and net profit for the 2013- 2014 is Rs.100 crore. Sales growth year-on-year is more than oubled. Also it has debt of Rs.230 crore.

Shilpi will be multibagger in long term as the growth story unfolds.

Note: I have invested in the Shilpi cable. This is just for educational purpose, do not consider this as investment advise.

Warren Buffett's 3 Favorite Books: A Guide to the Intelligent Investor, Security Analysis, and the Wealth of Nations