Pasupati Acrylon Ltd
Pasupati Acrylon Limited has a liquidity position characterized by a current ratio of 3.05, indicating a strong ability to meet short-term obligations, although its free cash flow is negative at -622,566,000 INR, suggesting cash outflows from operations after capital expenditures [doc:HA-latest]. The company's debt-to-equity ratio is 0.3, which is relatively low, indicating a conservative capital structure [doc:HA-latest]. In terms of profitability, the company's return on equity is 9.72%, and its return on assets is 5.94%, which are metrics that reflect the efficiency of equity and asset utilization in generating profits [doc:HA-latest]. These figures should be compared against the industry's preferred metrics to assess the company's performance relative to its peers. The company's revenue is derived from three segments: Fibre, CPP Film, and Ethanol. The Fibre segment is the primary source of revenue, with the company's acrylic staple fiber used in various sectors like sweaters, shawls, apparels, blankets, carpets, and upholstery [doc:HA-latest]. The geographic exposure is primarily within India, with the manufacturing facility located in Uttar Pradesh [doc:HA-latest]. The growth trajectory of Pasupati Acrylon Limited is reflected in its financial outlook. The company's revenue history and outlook for the current and next fiscal years will provide insight into its growth potential. The company's capital expenditure of -1,036,238,000 INR indicates significant investment in the business [doc:HA-latest]. The risk assessment for the company includes a medium liquidity risk, with a note that net cash is negative after subtracting total debt. The dilution risk is assessed as low, indicating that the company is not expected to issue additional shares that could dilute existing shareholders' equity in the near term [doc:HA-latest]. Recent events, such as filings and transcripts, would provide further context on the company's operations and strategic direction. These documents are essential for understanding the company's performance and future prospects [doc:HA-latest].
Business. Pasupati Acrylon Limited is engaged in the manufacturing of acrylic staple fiber and production of cast polypropylene (CPP) films, supplying acrylic fiber under the brand name ACRYLON [doc:HA-latest].
Classification. Pasupati Acrylon Limited is classified under the Textiles & Leather Goods industry within the Consumer Cyclicals economic sector, with a classification confidence of 0.92 [doc:verified market data].
- Pasupati Acrylon Limited has a strong current ratio of 3.05, indicating a solid short-term liquidity position.
- The company's return on equity of 9.72% and return on assets of 5.94% suggest efficient use of equity and assets to generate profits.
- The company's primary revenue source is the Fibre segment, with products used in various sectors.
- The company's capital expenditure of -1,036,238,000 INR indicates significant investment in the business.
- The company has a medium liquidity risk and a low dilution risk, suggesting a conservative financial strategy.
- # RATIONALES
- margin_outlook_rationale: The company's gross profit margin is expected to remain stable due to consistent demand for acrylic staple fiber.
- rd_outlook_rationale: Research and development efforts are expected to focus on improving the efficiency of acrylic fiber production.
- Net cash is negative after subtracting total debt.