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The Kajaria Ceramics Success Story



Kajaria Creamics Success Story

Over the last more than 3 decades, Kajaria Ceramics has remained the largest tiles manufacturer in the sector and positioned itself as a sector leader in India. Over the years it has earned the trust of millions of customers worldwide and was awarded as title of Super Brand for 12 consecutive times.

The 8th largest tiles manufacturer in the world has the highest production capacity of 82.80 million square meters and 8 tiles plants in India.

Geographically, Kajaria Ceramics has built a strong hold over the tile sector. However, the company’s influence extends to PAN India, with a significant source of revenue from north India and across the national boundaries to reach customers all over the globe.

Let’s understand the remarkable journey of Kajaria Ceramics in this article.

Growth prospects           

Kajaria has implemented a range of growth strategies to maintain its dominance over the sector. Several key factors have contributed to its remarkable growth such as trajectory financial statements, booming real estate, and government initiatives.

Flourishing Real Estate –

The booming real estate has provided a range of growth opportunities for Kajaria. The growing demand for commercial properties, hospitals, buildings, hotels, etc. fueled the need for high-quality floorings. This contributed to its revenue growth.

Government initiatives –

The government is pushing to make India a global manufacturing hub, which created favorable conditions for Kajaria. Under the Make in India initiative, the government has increased its investment in infrastructure such as the Development of industrial corridors, and investment in manufacturing and manufacturing facilities.

Diversification –

Kajaria has diversified its product portfolio by adding sanitary ware and plywood into its business. This allows it to offer customers a wide range of products and increase its market presence. It set up 3 new plants in India last year, to increase its production capacity and increase its dealers all over the globe.

Acquisition –

“Kajaria Ceramics Board Approves Acquisition Of 51% Stake In South Asian Ceramic Tiles At Rs28.5 Crore”

The acquisition of a 51% stake in South Asian Tiles Pvt Ltd argumented to its growth. It helps it to reach out to new customers, increase its brand presence, and developed a distribution channel. Additionally, it contributed to competitive advantage.

Marketing and Branding

Kajaria is the key player in the sector with leveraged marketing strategy to reach its target audience. One key factor contributing to its strategic success is celebrity engagement. It has involved Bollywood star Akshay Kumar as its brand ambassador for advertising and promoting the tiles business.

The advertisement featuring Akshay Kumar has been telecasted on televisions, OTT platforms, airports, hoardings in matches, etc.

This increased brand visibility and recall has made it a brand preferred by the majority.   


An increase in raw material prices such as gas, which is a crucial ingredient in manufacturing tiles can affect the profitability of the company. Additionally, the entry of new players in the sector can lead to increase competition and price, which will affect the company’s leadership position and profitability.

Financial Performance

The sales of the company have grown about 48% from Rs 2,956 crore in 2019 to Rs 4,382 crore in 2023, indicating significant revenue growth. In the last two years, revenue of the company has recorded significant growth. Similarly, the profit of the company has grown from Rs 358 crore in 2019 to Rs 462 crore in 2023, indicating an optimal increase in the profitability of the business. The company has maintained growth in sales and profit over the past 5 years.

However, the company has experienced a stable operating profit margin from 2019 to 2021 and their margins slightly fall in the last year because of input cost inflation. The company’s income statement is recording new highs.

The company maintained the highest reserves in Mar’23 of Rs 2,311 crore. The assets of the company are increasing optimally and stood at Rs 1,447 crore as of Mar’23. Last year CWIP of the company showed a staggering increase and stood at Rs 263 crore and In 2023, again came back to Rs 82 crore.

The free cash flows of the company are negative, which means there are more outflows than inflows.

The company’s debt stood at Rs 250 crore, which is optimal. It has shown a slight increase in the last year. This could be because of the acquisition of a 51% stake in South Asian Tiles Pvt Ltd in 2022. The debt-to-equity ratio of the company stood at 0.11 which is negligible. The interest coverage ratio stood at 22.1, which indicates the company can meet its finance cost 22.1 times over. This suggests that the company’s debt is manageable.

Financial Ratios

The current ratio is 2.27 which is almost equal to the ideal ratio, which indicates the company has 2.27 times more current assets than current liabilities. This suggests the company’s liquidity.

The PE of the stock stood at 55.9, whereas the industry PE stood at 46.5 this indicates that the company’s stock is overvalued.

The EPS of the company has recorded a remarkable increase of Rs 7.39 in the last 5 years. It stood at Rs 14.25 in 2019 and Rs 21.64 in 2023.

Return on equity has recorded a 17% increase in the last 5 years.

Shareholding Pattern

The foreign institutional investor (FII) has decreased its stake by about 9.07% in the last 5 years from 25.96% in 2019 to 16.89% in 2023. This could be a concern. Also, Domestic institutional investors (DII’s) are bullish on Kajaria Ceramics, they have increased their stake by 15.92 % in the last 5 years and stood at 26.23%.

Peer Comparison

If we draw a comparison of Kajaria and its competitors Somany and Oriend Bell, the Revenue of Somany stands at Rs 2,479 crore and Orient Bell at Rs 705.08 crore. Their combined total isrs 3,184 crore. Whereas, Kajaria alone generated a revenue of Rs 4,382 crore in Mar’23. Similarly, Somany generated a profit of Rs 93 crore, and Orient Bell Rs 22.41 crore. Their combined profit is Rs 115.41 crore. Kajaria alone generated a profit of Rs 462 crore in Mar’23.

PE of the company stands at 55.92 which is more than the industry’s PE. The sector-dominant company has the highest PE, ROE, and EPS in the sector.

Orient Bell7.53%Rs15.527.53


The stock is currently trading near its 200-day simple moving average i.e. Rs 1,132.74.

In conclusion

Kajaria has maintained its position as a sector leader because of its trajectory financial statements and strategic expansion, acquisition, and diversification. The mastering advertisement and brand presence made it the most preferred brand.

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Finance World

Why Muthoot Finance is not affected by the small cap and mid cap fall?



This week, if you’ve been keeping an eye on the stock market, you might’ve noticed something unusual. While the small cap and mid cap markets took a serious dive, Muthoot Finance seemed to just avoid it, falling by a mere 2%. So, what’s their secret?

What is the business of Muthoot Finance?

First up, Muthoot Finance has a strong foothold in gold loans. Now, why does this matter? Well, when other investments seem risky, people tend to fall back on gold because it’s considered a safer bet. With gold prices staying high, Muthoot’s gold loan business is like a stable ship in a stormy sea.

Muthoot Finance target price by Kotak

Kotak Institutional Equities is pretty optimistic about Muthoot, recommending a “buy” with a target of Rs 1,500. They think Muthoot is in a prime spot to grab a bigger slice of the gold loan market. Plus, with some Non-Banking Financial Companies (NBFCs) hitting a rough patch, Muthoot has a clear ground to expand and grow further. Unlike NBFC, Muthoot has a strong ground presence with offices and branches, they have physical repo with their customers, unlike NBFC who operate from AC offices.

New Friends and New Frontiers

Muthoot isn’t just sitting pretty with its gold loans; it’s also making moves. It teamed up with Evfin to finance electric two-wheelers across India. And there’s more – Muthoot FinCorp has brought Veefin Solutions on board to kick off supply chain finance operations. This means they’re planning to lend a hand to small and medium businesses, helping them keep the wheels turning. So, its a great news that Muthoot is expanding into fields that are not dependent on gold loans alone.

Spreading Their Wings

Muthoot Microfin, a part of the Muthoot Group, is pushing into new territories too. They’ve just set foot in Telangana and have their sights set on Andhra Pradesh next. This move is about bringing more people into the financial fold, especially in places where banking services might be hard to come by. This gives an edge to Muthoot over banks and NBFC.

Are you wondering whether to invest in Muthoot Finance or Manappuram Gold? Take a look at this:

So, What’s the Deal?

While the market’s mood swings have sent some companies into a pit, Muthoot Finance has managed to stay stable. Thanks to its focus on gold loans, strategic partnerships, and expansion plans, it’s not just surviving; it’s set to thrive. So, while the rest of the market might be catching its breath, Muthoot is marching on, steady as ever.

Keep following us for more such latest news on TradeAlone.

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Finance World

Infibeam Avenues Ltd expands into the US Market with an Acquisition



Hello, digital pioneers and fintech enthusiasts! Let’s dive into a groundbreaking announcement for Infibeam. Infibeam Avenues Ltd, an AI-powered financial technology, is embarking on an exciting journey by acquiring a 20% stake in XDuce. XDuce is a mastermind in enterprise Application and AI development based in the United States. This bold move involves an investment of USD 10 million. This also marks a significant milestone in Infibeam Avenues Ltd’s global expansion narrative.

XDuce: A Hub of Innovation

Nestled in the heart of New Jersey, XDuce boasts a team of over 150 software developers. They’re a team behind the curtain for marquee clients like Bank of America and Morgan Stanley, to name a few. XDuce’s expertise in business application implementations and transformation is nothing short of legendary in the financial and insurance sectors of North America.

A Fusion of Giants

So, what happens when Infibeam Avenues Ltd and XDuce comes together? Infibeam Avenues Ltd wants to merge it’s AI Solutions and CCAvenue Payments business into the network that XDuce has built. This collaboration is about expanding business footprints, revolutionizing how AI-driven technologies are employed in fraud detection, authentication, and risk identification in the financial sector of the US.

Redefining Financial Technology

Imagine a world where transaction fraud is no longer a looming threat, thanks to state-of-the-art AI technologies. That’s the vision Mr. Jay Dave, CEO of XDuce, and Mr. Rajesh Kumar SA, CEO of Phronetic.AI, share. By integrating PhroneticAI abilities with XDuce’s solutions, they will offer businesses and consumers in the US with security and efficiency.

The Road Ahead

According to Mr. Vishwas Patel, Joint Managing Director of Infibeam Avenues Ltd, international business currently contributes less than 10% to the company’s total revenue. But with strategic moves like this, they’re aiming for international business to soar to 30% of total revenue in the coming years.

Infibeam Avenues Ltd at a Glance

Infibeam Avenues Ltd is at the forefront of offering digital payment solutions and enterprise software platforms across the globe. With a transaction worth INR 4.5 trillion (US$ 54 billion) processed in FY23, and a client base of over 10 million. Spread across digital payments and enterprise software platforms, they’re leading digital revolution.

Wrapping Up

The strategic investment in XDuce is a bold step towards Infibeam Avenues Ltd’s vision of global expansion and innovation.

Stay tuned with Tradealone, as we continue to follow this exciting journey of Infibeam Avenues Ltd. Stock price for Infibeam closed 7% up today. We also see a continues profit growth for Infibeam Avenues over the past 4 years. Although, we cant recommend a buy or sell call for the stock, however we feel this stock deserves your attention.

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Finance World

Satin Creditcare Expands its Reach by entering Telangana and Andhra Pradesh, stock has doubled so far this year



In a country where financial inclusion remains a major yet challenging goal, the expansion of services to underbanked regions marks a significant step forward. Satin Creditcare Network Limited (SCNL), a leading name in microfinance, announces its strategic entry into Telangana and Andhra Pradesh. This move not only amplifies SCNL’s presence to 26 states and union territories across India but also underlines its commitment to empowering the economically marginalized communities with vital financial services.

A Leap Towards Nationwide Financial Inclusion: SCNL’s mission to drive financial inclusion is more than just a business expansion; it’s a pledge to reach the unreached. The opening of two new branches in Telangana (Warangal and Huzurabad) and one in Kadiri, Andhra Pradesh, is a testament to SCNL’s dedication to making financial services accessible to all, especially in rural and semi-urban areas where banking facilities are scarce.

Why Telangana and Andhra Pradesh?

The choice of Telangana and Andhra Pradesh for SCNL’s latest expansion is strategic. Both states have shown promising economic growth yet house significant populations that lack access to basic financial services. By stepping into these states, SCNL aims to fill this gap, offering microfinance solutions that can serve as a catalyst for economic empowerment and sustainable development. Moreover, Telangana is a fast growing hub for Pharma industry as the state capital Hyderabad leads the way.

SCNL’s Blueprint for Empowerment

SCNL’s approach to empowerment through financial inclusion is holistic. Focused on rural India, with 76% of its operations dedicated to rural communities across 97,000 villages, SCNL is not just providing financial services but is also contributing to the rural economy’s growth. This expansion is a stride towards enabling access to credit for the underserved, thereby fostering an environment of economic resilience and growth.

A Message from the Leadership

Mr. HP Singh, Chairman cum Managing Director of SCNL, remarks, “Our expansion into Telangana and Andhra Pradesh is a significant milestone in our journey towards a financially inclusive India. It’s not merely about increasing our geographical footprint; it’s about touching lives, empowering the marginalized, and contributing to the nation’s economic fabric. We’re here to make a difference, one individual, one community at a time.”

Ashirvad Microfinance is a fast growing company as well. Check it out if you are interested.

Beyond Expansion – A Look at SCNL’s Innovations

SCNL’s innovations extend beyond traditional microfinance. The institution’s portfolio includes loans to MSMEs, affordable housing loans through its subsidiary Satin Housing Finance Limited (SHFL), and the commencement of MSME business through Satin Finserv Limited (SFL). These initiatives demonstrate SCNL’s commitment to diversifying financial solutions that cater to various needs of the underserved.

The Road Ahead for SCNL

As SCNL carves new paths in Telangana and Andhra Pradesh, the future looks promising. This expansion is not just about growth but about deepening the impact of financial inclusion across India. With continued innovation and a steadfast commitment to its mission, SCNL is poised to create significant strides in empowering communities and fostering economic development across the country. Moreover, the stock price for Satin Creditcare has almost doubled in the last one year.

Conclusion: SCNL’s expansion into Telangana and Andhra Pradesh marks a new chapter in its mission to facilitate financial inclusion across India. By reaching out to the economically marginalized sections of society, SCNL strengthens its role as a catalyst for economic empowerment and sustainable development. As we watch this journey unfold, the prospects for a financially inclusive India appear brighter than ever. Despite that we do not see any positive signs from the revenue and profit growth of the company over the last 5 years. Thus, we feel that investors must be cautious while investing here.

Remember that microfinance companies also face competitions from the major banks. However, as this move is towards uncharted regions of Telangana and Andhra, we do not think that the banks would pose any risk to Satin Creditcare.

Call-to-Action: We invite you to join the conversation: How do you think SCNL’s expansion will impact financial inclusion in Telangana and Andhra Pradesh? Share your thoughts and insights in the comments below. Let’s discuss how financial empowerment can transform lives and communities. Also, please follow Tradealone for more such latest updates.

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