Incorporated in 1990, by Mr. Rajinder Gupta, Trident Limited is the flagship company of Trident Group which has diversified business interests. It is a USD 1 billion Indian business conglomerate and a global player with it’s headquarter situated in Ludhiana, Punjab.

Major business segments of the company are: Textiles and Paper with its manufacturing facilities located in Punjab and Madhya Pradesh. It has customer base spanning over more than 100 countries across 6 continents and works with global retail brands like Ralph Lauren, JC Penney, IKEA, Target, Wal-Mart, Macy's, Kohl's, Sears, Sam's Club, Burlington, etc. 50% of total sales of the Company is derived from exports, Trident Group has emerged as one of the world’s largest integrated home textile manufacturer.

Brands: Indulgence, Organica, Classic, Everyday, Home Essentials, His & Her, Cuddlies, Bath Buddy and Play.

Company Snapshot

• Business interests in Home Textile, Yarn, Paper & Chemicals and Energy
• World's largest manufacturer of terry towels
• One of the largest manufacturer of wheat straw based paper
• One of the top 10 yarn manufacturers in India
• With a CAGR of over 30%, one of the fastest growing group of companies in the country

Awards & Accolades

• Wal-Mart Supplier of the Year awards
• National Energy Conservation Awards (NECA)
• Texprocil Export Performance Awards
• Corporate Governance Awards
• KEA Quality and Sustainability Awards
• Niryat Shree – FIEO Awards
• Punjab Safety Awards
• D&B – ECGC: Exporter’s Excellence Awards

-Best Diversified Exporter (Runner-Up)

-Best Rural Exporter (Runner-Up)

Q3 FY16 Financial Highlights

• Net Revenue earnings stood at Rs. 897.8 crore in comparIson to Rs. 931.3 crore in Q3 FY15
• EBITDA rose by 10.7% to Rs. 176.6 crore from Rs. 159.5 crore in Q3 FY15
• EBIDTA Margin grew by 260 bps to 19.7% vis-à-vis 17.1% in Q3 FY15
• Finance Cost came down by 53.6% to Rs. 23.0 crore vs Rs. 49.6 crore in Q3 FY15
• Reduction in base rate, interest equalization scheme benefit and better working capital utilisation significantly reduced the overall interest costs
• Repayment of high cost term loan amounting to Rs. 53.55 crore during the quarter
• PAT stood higher by 153.3% to Rs. 61.0 crore vis-à-vis Rs. 24.1 crore in Q3 FY15
• Cash Profits at Rs. 142.4 crore vis-à-vis Rs. 103.4 crore in Q3 FY15
• Cash EPS (diluted & non-annualized) at Rs. 2.79 per share

Financial Overview & Outlook

• Topline at Rs. 706.7 crore compared to Rs. 731.3 crore in the corresponding quarter last year
• moderated topline growth was due Subdued yarn realizations and enhanced captive yarn consumption
• Sustained focus on expanding customer base
• Ramping up business volumes within India in General trade, Modern Trade & Institutional segment
• Brand presence was expanded to more than 150 MBOs throughout India
• Addition of new Key Accounts, Channel partners & Premium Outlets expanded brand reach
• Market research and segmentation drive new product launches in the domestic market
• Launching of company owned brands in new categories of Bed & Bath products
• Product extension of Licensed Brand merchandize to cater to Kids segment
• Initiatives to reach out to End Costumer
• Extensive advertising pan India for creating consumer awareness
• Received ‘Certificate of Appreciation’ at CII-ITC Sustainability Awards 2015

Conclusion:

At CMP of 53.60 Trident share price is currently trading at 12.33 P/E, with factors considering expansion in home textiles, stable raw material prices, improving cost efficiency and favorable product mix one can build a long position in the stock at CMP of 53.50 adding more on dips till 49 for a target of 62 and a stop of 45

Dynamiclevels recommends Trident Limited as one of our Top 500 shares.

To get more Support and Resistance levels of the share please visit Trident Share Price Forecast