Manpasand Beverages Planning To Set Up 4 New Plants Intraday on Friday, Manpasand Beverages share price settled below 4 per cent at Rs. 639.90. The stock was trading at Rs. 640 (down by 26 points). Yesterday, around 1,12,908 shares were traded in the counter with a traded value of Rs. 719.24 lacs, as per National Stock Exchange. Driven by significant growth in demand, Manpasand Beverages on Friday informed that it aims to stengthen its manufacturing capacity. Hence, they will set up four new plants in the country in the next 18 months. Dhirendra Singh, Manpasand Beverages chairman and managing director opined that the demand for fruit drinks across India is huge. Despite having authorized two new plants in the last one year, the company is unable to meet the demand from our existing markets, leave alone expanding our reach further. They will be coming up with four new plants in various regions of the country, including the South, where our presence is minimal. As of now, the production capacity of Manpasand Beverages is approximately 1.7 lakh cases per day and the company is planning to double the same in a period of 12 to 18 months. Nonetheless, Singh did not divulge the amount of investment in new facilities. During August, the city-based company set up a new manufacturing facility in Ambala, Haryana, at an investment cost of Rs 160 crore and had also raised Rs 500 crore via qualified institutional placement for their expansion plans. Incorporated in the year 2010, Manpasand Beverages is a Mid Cap company (having a market cap of Rs 3693.66 Cr.) and operates in the Beverages - Alcoholic sector. Currently, it operates five manufacturing plants -- two in Vadodara and one each in Varanasi, Ambala and Dehradun. When questioned if demonetization would have an effect on the company's sales, Singh cited that there will not be any impact because this move because they have always offered products at affordable price points and continue to focus on smaller packs which varies between Rs 5 to Rs 10. Fortunately, there is no shortage of these denominations in the country.
The company has reported a 24 per cent rise in net profit at Rs 5.41 crore for the second quarter ended September 30, 2016. Net sales for Q2 of FY 16-17 at Rs 103.81 crore were higher by 34% over previous fiscal’s same quarter net sales of Rs 77.20 crore. Earnings Per Share (EPS) for Q2FY16 was at Rs 1.08. Manpasand Beverages is analyzed by Dynamic Levels as the top 500 performing stocks for this quarter among the 1700 stocks which are listed on the NSE. PI Industries is fundamentally strong and is safe for investment, as per Dynamic analysts.
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Article Written by Madhurima Chowdhury