Textile manufacturer Sangam India is planning to generate additional revenue of Rs 250-275 crore through expansion and diversification programme.
In an exclusive interview with Moneycontrol.com the company's Senior VP Finance, L L Soni said, "We are likely to post topline growth of 20-25% in FY12. However, bottomline could be slightly lower compared to previous year." Sangam India is also aiming to double its denim fabric capacity to 32 million meters by the end of FY12. In total, revenue denim business has contributed 12% in FY11 and likely to garner around 25% in FY12. The denim segment is being positioned as the new growth chapter for the company as an effort towards shifting its focus to higher value-added products. The company is striving hard to bring down its debt equity ratio. For FY11 debt-equity ratio was 3.28 and the company is looking forward to bring it below 2 in next two-three years. Out of total revenue, 75% comes from domestic front and remaining from the exports. Soni expects industrial growth to remain in between 8 and 9%. For FY12, the company is eyeing 20% export growth in the range of Rs 300-320 crore. The current order book for the company stands at Rs 300 crore. Today, Sangam India closed at Rs 30.15, up Rs 0.95, or 3.25% with volumes of 7,096 shares. It has touched an intraday high of Rs 30.35 and an intraday low of Rs 28.30. The company touched its 52-week high Rs 63.00 and 52-week low Rs 28.10 on 24 Nov, 2010 and 26 Aug, 2011, respectively.Currently, it is trading -52.14% below its 52-week high of Rs 63 and 7.3% above its 52-week low of Rs 28.10.
| Market Cap | 118.86 | * EPS (TTM) | 14.2 |
| * Book Value | 60.77 | * Price/Book | 0.5 |
| Face Value | 10 | Industry P/E | 2.99 |
| * P/E | 2.13 | * P/C | 0.99 |
| Div(%) | 15.00% | * Div Yield(%) | 4.98 |
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