V-Guard Industries Ltd, known as V-GUΛRD, is a prominent Indian manufacturer specializing in electrical and home appliances. The company was founded in 1977 by Kochouseph Chittilappilly in Kochi, Kerala, initially focusing on manufacturing voltage stabilizers. Over the years, V-Guard has significantly expanded its product portfolio to include electrical cables, electric pumps, motors, geysers, solar water heaters, electric fans, UPS systems, and kitchen appliances such as induction cooktops and mixer grinders. Additionally, V-Guard has ventured into solar power systems, solidifying its presence across various segments in the electrical and home appliance markets.
With its emphasis on innovation and quality, V-Guard has grown into a trusted brand across India. The company went public in 2008, with its shares listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). In recent years, V-Guard has continued its expansion, most notably acquiring the Sunflame brand of kitchen appliances. Its operations now span across India, supported by a vast distribution network of over 400 distributors and 100,000 retailers. This growth highlights V-Guard’s strategic efforts to strengthen its market presence and maintain its leadership in the industry.
V-Guard Industries Q1 Results: Revenue Soars 21.5%, Net Profit Jumps 55% YoY
- Revenue Increase: V-Guard’s revenue grew by 21.5% year-on-year, reaching ₹1,477.10 crore, up from ₹1,214.76 crore in the corresponding quarter of the previous year.
- Significant Net Profit Growth: The company achieved a 55% year-on-year increase in consolidated net profit, amounting to ₹98.97 crore compared to ₹64 crore in the same period last year.
- EBITDA Growth: Consolidated EBITDA saw a 48.4% rise, reaching ₹155.7 crore. The EBITDA margin improved to 10.5%, up from 8.6% in the year-ago quarter.
- Electronics and Consumer Durables Segment: The company reported strong topline growth in its electronics and consumer durables segments, driven by robust demand for summer-related products.
- Electricals Segment Performance: The electricals segment, particularly wires, faced challenges due to trade de-stocking, which was caused by the softening of copper prices in June.
- Regional Revenue Contribution: Non-South markets accounted for over 50% of the total revenue during the quarter, marking a significant contribution to the company’s overall performance.
- Gross Margins Improvement: V-Guard’s gross margins continued to improve, benefiting from lower commodity prices and the company’s various pricing and cost-effectiveness initiatives.
- Strong Cash Flow Management: The company successfully managed its working capital, delivering robust cash flows during the quarter.
- Positive Outlook: V-Guard’s management expressed optimism about maintaining a strong performance in the upcoming quarters, supported by improved margins and effective cost management.
| Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | |
| Promoters + | 55.63% | 55.63% | 54.56% | 54.48% | 54.42% |
| FIIs + | 12.83% | 13.16% | 13.01% | 13.34% | 13.90% |
| DIIs + | 19.38% | 19.37% | 20.45% | 20.18% | 20.16% |
| Public + | 12.18% | 11.84% | 11.96% | 11.99% | 11.51% |
| No. of Shareholders | 1,17,061 | 1,18,152 | 1,18,276 | 1,19,562 | 1,15,823 |
Over the past year, the shareholding patterns of V-Guard Industries Ltd have shown stability with some notable shifts. Promoters’ ownership remained relatively steady, starting at 55.63% in June 2023 and slightly decreasing to 54.42% by June 2024. Foreign Institutional Investors (FIIs) increased their stake from 12.83% to 13.90%, while Domestic Institutional Investors (DIIs) saw a small rise from 19.38% to 20.16%. Public shareholding experienced a slight decline from 12.18% to 11.51%. The number of shareholders grew from 117,061 in June 2023 to 119,562 in March 2024, before falling to 115,823 by June 2024. This pattern indicates a generally stable distribution of ownership, with minor increases in institutional investments and a slight reduction in public stake.
HOW TO PURCHASE V-Guard Industries Ltd SHARES?
Below are the trading platforms that you can use to purchase V-Guard Industries Ltd shares:
- Zerodha
- Upstox
- Groww
- AngelOne
- ICICIDirect
V-Guard Industries Ltd SHARE PRICE TARGET: 2024 – 2030
V-Guard Industries Ltd SHARE PRICE TAREGT 2024
| When | Maximum Price | Minimum Price |
| September 2024 | 494.05 | 429.61 |
| October 2024 | 489.16 | 425.36 |
| November 2024 | 508.73 | 442.37 |
| December 2024 | 513.82 | 446.80 |
As we step into September 2024, V-Guard Industries’ maximum price is projected to be ₹494.05, with a minimum of ₹429.61. Moving into October 2024, the stock’s maximum price is expected to reach ₹489.16, while the minimum price is projected to be ₹425.36. In November 2024, V-Guard Industries is forecasted to have a maximum price of ₹508.73 and a minimum price of ₹442.37. By December 2024, the maximum price is anticipated to rise to ₹513.82, with a minimum of ₹446.80.
V-Guard Industries Ltd SHARE PRICE TAREGT 2025
| When | Maximum Price | Minimum Price |
| January 2025 | 518.95 | 399.20 |
| February 2025 | 524.20 | 403.23 |
| March 2025 | 535.20 | 411.70 |
| April 2025 | 529.91 | 407.62 |
| May 2025 | 514.47 | 395.75 |
| June 2025 | 537.62 | 413.56 |
| July 2025 | 527.08 | 405.45 |
| August 2025 | 543.38 | 417.99 |
| September 2025 | 549.90 | 423.00 |
| October 2025 | 564.20 | 434.00 |
| November 2025 | 578.31 | 444.85 |
| December 2025 | 604.33 | 464.87 |
In January 2025, V-Guard Industries’ stock is expected to reach a maximum of ₹518.95 and a minimum of ₹399.20. By December 2025, the maximum price is projected to be ₹604.33, with a minimum of ₹464.87.
V-Guard Industries Ltd SHARE PRICE TAREGT 2026
| When | Maximum Price | Minimum Price |
| January 2026 | 622.46 | 478.81 |
| February 2026 | 606.90 | 466.84 |
| March 2026 | 619.04 | 476.18 |
| April 2026 | 631.67 | 485.90 |
| May 2026 | 625.41 | 481.09 |
| June 2026 | 641.05 | 493.12 |
| July 2026 | 628.48 | 483.45 |
| August 2026 | 647.92 | 498.40 |
| September 2026 | 660.88 | 508.37 |
| October 2026 | 678.06 | 521.58 |
| November 2026 | 695.01 | 534.62 |
| December 2026 | 712.39 | 547.99 |
V-Guard Industries Ltd SHARE PRICE TAREGT 2027
| When | Maximum Price | Minimum Price |
| January 2027 | 719.51 | 553.47 |
| February 2027 | 737.96 | 567.66 |
| March 2027 | 766.74 | 589.80 |
| April 2027 | 751.70 | 578.23 |
| May 2027 | 729.81 | 561.39 |
| June 2027 | 762.65 | 586.66 |
| July 2027 | 747.70 | 575.15 |
| August 2027 | 770.82 | 592.94 |
| September 2027 | 797.80 | 613.69 |
| October 2027 | 818.54 | 629.65 |
| November 2027 | 839.01 | 645.39 |
| December 2027 | 859.98 | 661.53 |
V-Guard Industries Ltd SHARE PRICE TAREGT 2028
| When | Maximum Price | Minimum Price |
| January 2028 | 877.18 | 674.76 |
| February 2028 | 899.67 | 692.06 |
| March 2028 | 934.76 | 719.05 |
| April 2028 | 916.43 | 704.95 |
| May 2028 | 889.74 | 684.42 |
| June 2028 | 929.78 | 715.22 |
| July 2028 | 911.55 | 701.19 |
| August 2028 | 939.74 | 722.88 |
| September 2028 | 972.63 | 748.18 |
| October 2028 | 997.92 | 767.63 |
| November 2028 | 1,022.87 | 786.82 |
| December 2028 | 1,048.44 | 806.49 |
V-Guard Industries Ltd SHARE PRICE TAREGT 2029
| When | Maximum Price | Minimum Price |
| January 2029 | 1,069.41 | 822.62 |
| February 2029 | 1,096.83 | 843.71 |
| March 2029 | 1,139.61 | 876.62 |
| April 2029 | 1,117.26 | 859.43 |
| May 2029 | 1,084.72 | 834.40 |
| June 2029 | 1,133.53 | 871.95 |
| July 2029 | 1,111.31 | 854.85 |
| August 2029 | 1,145.68 | 881.29 |
| September 2029 | 1,185.77 | 912.13 |
| October 2029 | 1,216.60 | 935.85 |
| November 2029 | 1,247.02 | 959.25 |
| December 2029 | 1,278.19 | 983.23 |
V-Guard Industries Ltd SHARE PRICE TAREGT 2030
| When | Maximum Price | Minimum Price |
| January 2030 | 1,303.76 | 1,002.89 |
| February 2030 | 1,337.19 | 1,028.61 |
| March 2030 | 1,389.34 | 1,068.72 |
| April 2030 | 1,362.10 | 1,047.77 |
| May 2030 | 1,322.42 | 1,017.25 |
| June 2030 | 1,381.93 | 1,063.03 |
| July 2030 | 1,354.84 | 1,042.18 |
| August 2030 | 1,396.74 | 1,074.41 |
| September 2030 | 1,445.62 | 1,112.02 |
| October 2030 | 1,483.21 | 1,140.93 |
| November 2030 | 1,520.29 | 1,169.45 |
| December 2030 | 1,558.30 | 1,198.69 |
In January 2030, V-Guard Industries’ stock is projected to reach a maximum of ₹1,303.76 and a minimum of ₹1,002.89. By December 2030, the stock is expected to rise to a maximum of ₹1,558.30 and a minimum of ₹1,198.69.
V-Guard Industries Ltd Financial Condition: Last 5 Years
| Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | TTM | |
| Sales + | 2,482 | 2,699 | 3,477 | 4,051 | 4,559 | 4,826 |
| Expenses + | 2,228 | 2,392 | 3,142 | 3,750 | 4,205 | 4,433 |
| Operating Profit | 254 | 307 | 335 | 301 | 354 | 393 |
| OPM % | 10% | 11% | 10% | 7% | 8% | 8% |
| Other Income + | 23 | 21 | 10 | 15 | 51 | 47 |
| Interest | 4 | 6 | 8 | 16 | 37 | 34 |
| Depreciation | 28 | 37 | 48 | 58 | 67 | 67 |
| Profit before tax | 245 | 285 | 290 | 241 | 301 | 339 |
| Tax % | 25% | 30% | 22% | 26% | 23% | |
| Net Profit + | 185 | 199 | 227 | 179 | 231 | 260 |
| EPS in Rs | 4.32 | 4.63 | 5.26 | 4.15 | 5.32 | 5.97 |
| Dividend Payout % | 21% | 26% | 25% | 31% | 26% |
Over the past five fiscal years, V-Guard Industries Ltd has demonstrated consistent growth in its financial performance. Sales increased from ₹2,482 crore in March 2020 to ₹4,559 crore in March 2024, reflecting a steady upward trend. Expenses also rose correspondingly, from ₹2,228 crore to ₹4,205 crore. Operating profit fluctuated, peaking at ₹335 crore in March 2022, but improved to ₹354 crore by March 2024. The operating profit margin (OPM) saw a decline from 10% in March 2020 to 8% in March 2024, indicative of increasing costs relative to sales.
Other income showed variability, with a notable increase to ₹51 crore in March 2024. Interest expenses grew significantly from ₹4 crore to ₹37 crore, reflecting increased borrowing or rising interest rates. Depreciation charges also rose, from ₹28 crore to ₹67 crore, impacting profitability.
Profit before tax increased from ₹245 crore to ₹301 crore, and net profit grew from ₹185 crore to ₹231 crore, with an earnings per share (EPS) rising from ₹4.32 to ₹5.32. The tax rate decreased from 25% to 23%. The dividend payout percentage was stable, ranging from 21% to 31%, with a slight decline to 26% in March 2024.
Overall, V-Guard Industries Ltd has shown robust growth in sales and net profit, although rising expenses and interest costs have impacted margins. The company’s financial stability is reflected in its increasing EPS and consistent dividend payouts.
FAQs
As of August 23rd, 2024, the shares of V-Guard Industries Ltd are currently valued at INR 469 in the market.
Based on meticulous market analysis and current market trends, the anticipated share price range for V-Guard Industries Ltd in 2024 is forecasted to lie within the bracket of ₹425.36 (minimum) and ₹513.82 (maximum).
V-Guard Industries Ltd is expected to reach ₹1,558.30 by the end of 2030.
Is V-Guard Industries Ltd a good stock to buy?
V-Guard Industries Ltd garners significant investor interest owing to its strong financial performance, favorable market position, and promising growth prospects; nevertheless, conducting individual research and consulting with a financial advisor are essential prerequisites before making any investment decisions.
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Conclusion
In verdict, V-Guard Industries Ltd presents a compelling investment case with its consistent revenue growth, solid profitability, and stable dividend payouts. The company’s strong financial performance and positive outlook for future years highlight its potential for sustained success and value creation for shareholders.
What did we learn?
- 1 V-Guard Industries Q1 Results: Revenue Soars 21.5%, Net Profit Jumps 55% YoY
- 2 Shareholding Patterns of V-Guard Industries Ltd
- 3 HOW TO PURCHASE V-Guard Industries Ltd SHARES?
- 4 V-Guard Industries Ltd SHARE PRICE TARGET: 2024 – 2030
- 4.1 V-Guard Industries Ltd SHARE PRICE TAREGT 2024
- 4.2 V-Guard Industries Ltd SHARE PRICE TAREGT 2025
- 4.3 V-Guard Industries Ltd SHARE PRICE TAREGT 2026
- 4.4 V-Guard Industries Ltd SHARE PRICE TAREGT 2027
- 4.5 V-Guard Industries Ltd SHARE PRICE TAREGT 2028
- 4.6 V-Guard Industries Ltd SHARE PRICE TAREGT 2029
- 4.7 V-Guard Industries Ltd SHARE PRICE TAREGT 2030
- 5 V-Guard Industries Ltd Financial Condition: Last 5 Years
- 6 FAQs
- 7 Conclusion
