Rossell India Limited was formerly Rossell Tea Limited, has diversified interests in Tea, Aviation and Hospitality. To better reflect the diversification of its businesses, and to create a unified brand, the company, rechristened itself as Rossell India Limited.
Major revenue of the company is still comprises of Tea.But major game changer for the company could be hospitality sector .Company has introduced chain of QSR by name of ‘Kebab Express’ in North .Last year it opened 7 restaurants in prominent malls and soon planning to open 13 more .The response to the concept is good and should get similar response as the no. of QSR increases and move to other part of the country.
The Kebab Xpress® mission is to create, develop and build a first of its kind, internationally recognized Indian food brand providing standardized, hygienic, quality, delicious, North Indian food at affordable prices. The core strength lies in being a completely food technology driven company, with automated processes. The vision for Kebab Xpress® is to be a mass brand, bringing the best quality products to its customers at the best price. The menu comprises popular kebabs, biryani's, kathi rolls and curry items for the vegetarian and non-vegetarian palate. Each Kebab Xpress outlet provides a warm and inviting ambience where customers can come, be comfortable, place an order to attentive and courteous staff, eat food that is wholesome, tastes great and the prices reasonable. The first outlet of Kebab Xpress® has already opened at the centrally located Connaught place of New Delhi.
The last year hospitality revenue from 7 restaurants was of 4,2 crores with opening of new QSR which will touch 20 by next year could help in improving the revenue by almost 3 times.
Company has consistently done well on revenue and profitability. In 2014 top line grew by almost 32%.Tea business is seasonal business of almost 9 months the expansion in hospitality business should help to improve top line growth with opening of more and more restaurants top line is sure to improve.With almost 85% holding with promoter and HNI stock has low liquidity.
Company has delivered EPS of 5.76 last year and should deliver EPS of approx. 7-8 in 2015.Looking at CMP the share is going cheap and looking at it’s growing QSR business the PE multiple should improve from here on.
Long term investor who believe that QSR business could take this company to new highs and stock can be turn out to be multi bagger should invest at current levels for decent returns
One year Target 125 http://www.rossellindia.com/
Major revenue of the company is still comprises of Tea.But major game changer for the company could be hospitality sector .Company has introduced chain of QSR by name of ‘Kebab Express’ in North .Last year it opened 7 restaurants in prominent malls and soon planning to open 13 more .The response to the concept is good and should get similar response as the no. of QSR increases and move to other part of the country.
The Kebab Xpress® mission is to create, develop and build a first of its kind, internationally recognized Indian food brand providing standardized, hygienic, quality, delicious, North Indian food at affordable prices. The core strength lies in being a completely food technology driven company, with automated processes. The vision for Kebab Xpress® is to be a mass brand, bringing the best quality products to its customers at the best price. The menu comprises popular kebabs, biryani's, kathi rolls and curry items for the vegetarian and non-vegetarian palate. Each Kebab Xpress outlet provides a warm and inviting ambience where customers can come, be comfortable, place an order to attentive and courteous staff, eat food that is wholesome, tastes great and the prices reasonable. The first outlet of Kebab Xpress® has already opened at the centrally located Connaught place of New Delhi.
The last year hospitality revenue from 7 restaurants was of 4,2 crores with opening of new QSR which will touch 20 by next year could help in improving the revenue by almost 3 times.
Company has consistently done well on revenue and profitability. In 2014 top line grew by almost 32%.Tea business is seasonal business of almost 9 months the expansion in hospitality business should help to improve top line growth with opening of more and more restaurants top line is sure to improve.With almost 85% holding with promoter and HNI stock has low liquidity.
Company has delivered EPS of 5.76 last year and should deliver EPS of approx. 7-8 in 2015.Looking at CMP the share is going cheap and looking at it’s growing QSR business the PE multiple should improve from here on.
Long term investor who believe that QSR business could take this company to new highs and stock can be turn out to be multi bagger should invest at current levels for decent returns
One year Target 125 http://www.rossellindia.com/
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.