Dalal Street Investment Journal — July 10-23, 2017

DSIJ.in JULY 10 - 23 , 2017 I DALAL STREET INVESTMENT JOURNAL (^19)
oilseeds. Its animal health products
manufacturing facility is located in Pune.
The poultry and poultry products
segment consists of production and sale
of day-old broiler and layer chicks,
specific pathogen-free eggs, processed
chicken products and poultry feed.
The animal health products segment
produces and sells medicines and
other health products for birds. The
oilseed segment produces and sells
edible refined soya oil and soya
de-oiled cake. Its portfolio of products
includes animal health products, pellet
feeds, processed and further processed
chicken products and solvent oil
extraction.
INCREASED SHAREHOLDING
Large institutions are increasing their
positions in Venky’s (India).The
number of institutions holding stakes in
Venky’s were 22 in Q3FY17 which has
increased to 27 in Q4FY17. This is also
because the demand of chicken
continues to grow at a pace of 15 per cent
to 18 per cent per annum and Venky’s
(India) is well equipped to cater to this
growing demand. Its institutional
holdings expanded 32 basis points to
0.90 per cent in Q4FY17.
GST IMPACT ON COMPANY’S
BUSINESS
In India, the FMCG sector comprises 50
per cent of the food and beverage
industry and another 30 per cent from
personal and household care. The impact
of GST rates on the FMCG sector will be
largely positive. The rates decided for the
major FMCG products are lower than
their current tax rates.
As per the Poultry Farmers and Traders
Samithi (PFTS), implementation of the
GST will boost poultry business. It will
reduce the cost of chicken by about 15 per kg. The GST Council has revised revenue neutral rate for packaged food from 18 per cent to 12 per cent, which will further increase positive sentiment in the industry players. Eggs are exempted from GST. Major raw material of Venky’s India is oil seeds, which attract 5 per cent GST. Venky's (India) Ltd. BSE Code : 523261 CMP () 2085.
Particulars Amonut (Crore) Net Sales 2385. % Change 15. Operating Profit 311. % Change 83. Net Profit 124. % Change 226. Equity 14. EPS () 88.
FV () 10. P/E (x) 19. Dividend Yield (%) 0. Book Value () 376.
(Trailing Four Quarter Data) CMP as on 04 July 2017