Pokarna Ltd- Deams Become Visions. Visions become Aspirations. And Aspirations make us Achieve.




-They have a 40 % plus EBITDA margin quartz business have the exclusive right to Bretonstone plant in India coming up with a new plant with 500 cr plus Capex - will increase their quartz capacity by 130 % 

-Management is confident of utilizing the new plant as well the quartz industry is growing by more than 30 % in the USA. 

-Company has 99 % of its revenues from here its product is at a premium to the Chinese players- doesn't compete with them

-Due to the new plant company has borrowed more than 400 cr on the balance sheet this number will only go down from here as the CAPEX has been put in place. this high Capex machine and the exclusivity of Breton stone technology shows the entry barrier of the business

-The company can easily generate 25 cr cash flows from the existing quartz plant every quarter. with the new plant, we can expect an additional 30- 35 cr cash flow at peak utilization. we will be looking at around 250 cr cash flows from its quartz business every year.

-Even today the market cap of the company is less than 600 cr( with the recent rally).  3-4  years down the line we are looking at a debt-free company that can generate 300 cr cash flows( it has a granite business also )in a very high potential high growth market with a niche business

-Also the CVD and anti-dumping duties are past them. The new numbers are hardly significant. promoters have given 100 cr loan to the company which infuses confidence as a minority shareholder.

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