GNA Axles from auto ancillary

Dec 25, 2017

GNA Axles is from Auto Ancillary space is looking attractive at Rs 407.

It is a manufacturer of Automotive Axles, Spindles and Other shafts.
It mainly produces rear axle.

It got listed in Sept, 2016.
Established in 1993.

Punjab based company.

Our products find applications across on-highway vehicles (LCV, MCV, HCV and buses, among others) and off -highway vehicles (agricultural tractors and machinery, forestry, construction equipment, defence and mining, among others). We also manufacture solid and hollow spindles used in assembling the axle for various vehicles and equipment.

Products are widely consumed by leading OEMs across globe and in India.

Client concentration is a risk. It got 56% order from top 5 and 74% from top ten clients. Good part is that those clients are established clients. Also, its clients has multiple geo presence.

It also exports its products in many developed countries.

By March 2018, its capacity will increase by 33%. Project cost is Rs 80 Cr. Rs 30 Cr is spent already.

Its credit rating has improved over last three year.

Revenue:

Domestic – 54%
Export – 45%

Capacities:
2.3 million – rear axle shafts,
0.4 million – other shafts,
0.3 million – spindles.


Its products won't be affected by EV vehicle business boost. The products it manufactures are used in all kind of vehicle.

Company supply its products to Commercial Vehicles (CV). Demand in this segment will spur growth. Tractors.
Off-Highway vehicles is the main contributor to its client.

More :
http://www.moneycontrol.com/news/business/stocks/gna-axles-niche-player-tag-immunity-from-ev-disruption-give-it-an-edge-2464379.html


CMP: Rs 407

Proximity to Dry Ports: Nearly 100 % of our exports are routed
through dry ports located at Ludhiana, 60 kms from our manufacturing facilities – giving us further cost advantage.



You Might Also Like

0 Comments