Granules India - Q2 Result Update

Financial Results with Results Press Release & Limited Review for Sept 30, 2013
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Outcome of Board Meeting:
Granules India Ltd has informed BSE that the Board of Directors of the Company at its meeting held on October 30, 2013, inter alia, has decided to close M/s Granules Singapore PTE LTD, wholly owned subsidiary of the Company, located at Singapore.

Granules India eyes Rs 1,000 cr turnover this fiscal
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Granules capacity utilisation efforts drive Q2 profits
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The company has declared numbers which very rightly justified the stock performance in past 6 months. If one has observed carefully, in Mar-Apr 13, the stock made a low of 90. From there, it has already doubled in past 6 months. The numbers posted by the company is exactly in line with the high expectations of market.

The Revenues have gone up to 266 Cr from 175.5 Cr last year on consolidated basis, that is growth of 52%.
The Net Profit has gone up to 15.1 Cr from 8.1 Cr last year, that is growth of 87%
Hence, EPS jumps from 4.03 to 7.5.
As nicely pointed out by management, that the total net profit made by the company in FY13, is already made by it in just 2 quarters of this fiscal.

The formulations facility at Gagillapur continued to scale-up production which improved capacity utilization. The company expects a majority of customer approvals to be in place in the second half of the fiscal year.
Granules is expecting at least Rs 50 crore revenue next fiscal from its 50:50 joint venture with Ajinomoto Omnichem, which is setting up the manufacturing plant at Visakhapatnam in Andhra Pradesh. This facility will supply products to the regulated markets such as north America and Europe. The revenue from this venture could reach around Rs 160 crore over the next couple of years when fully operational.
One can go through all the details in links mentioned above.

My Views:
I am very happy with numbers posted by the company. I never judge anything, based on sudden move seen here and there in stock prices in 1-2 days. Today, once the results were out, it immediately made a high of 185, and as soon as the news regarding GIL Singapore came in, the stock saw a low of 169. For me, that is not at all a big event. It wasn't a huge revenue generator for the company. I continue to be a very long term investor over here. It seems nothing wrong, even if one buys the stock at these levels. And a buy on every dips is higly suggested.
I am eagerly waiting for company to deliver Q3 and Q4 results, because, company has been very optimistic about the second half of this fiscal from the beginning. Again, here, I am not setting any targets, would just advice one to buy and hold for long term.
Happy Investing!!!!!