Gujarat Borosil Limited ( GBL) is a Company promoted
by another BSE listed company Borosil Glass
Works limited (BGWL) which is the leader in microwavable kitchenware
and laboratory glassware in India.BGWL holding close to 75% stake in
Gujarat Borosil Ltd. Till 2010 GBLwas manufacturing Sheet Glass and
later closed down this business due to unprofitable operations.Thereafter
company ventured into the manufacturing of Low Iron Solar Glass which is
used in Solar Photovoltaic Industry.GBL is the is the first and only
manufacturer of solar glass in India and exporting major portion of its
products.As we are aware, European couturiers are the biggest users of Solar
systems and this region was in a deep recession in last few years.Even in this
tough business environment company could mark its presence in western market
.In our country too the significance of solar energy is increasing and lot of
scope left in this industry and company's product .Gujarat Borosil has the
capacity to produce more than 4.2 million m2/ of glass per
year. This is enough to help generate nearly 600 MW of solar power.Borosil
specializes in producing 3.2mm and 4mm low iron glass widely used in the solar
industry.In order to reduce its dependency on a single product ,last year company
started the production of Patterned glass for Architectural applications. As
per the available reports and feed backs from the market, this product is well
accepted and it may help the company to turn around earlier than expected.
What attracted me to this company is its promoters flexibility and willingness to adapt quick changes in their strategy and even the product line to improve the performance of their companies. Take the case of its parent company Borosil Glass Works (BGWL) itself .About ten years back Borosil was a loss making company and its share price was below Rs.10 . Thereafter they identified some niche segments and turned to profit and now its stock price is quoting above Rs.1000 .I believe ,the current situation of Gujarat Borosil is almost same where Borosil was 10 years back.Now the company identified two segments( solar glass and Patterned glass ) as growth engines . Potential of both these products are very good and with promoters vast experience in glass industry Gujarat Borosil may script a big success story few years down the line.Any serious initiatives taken by the new government which is coming to power in near future to improve the usage of solar energy will change the future of this one and only maker of low iron Solar Glass in our country.
Click on the image for a better view
In latest December quarter ,company reported a net profit of Rs.1.72 Cr v/s a loss of Rs.63 Lakhs reported in same period last year. This is a stock worth taking a risk but only for those with enough patience.Stock is currently trading around Rs.8 and listed only in BSE.( Scrip Code -523768)
Link to Company Website HERE
Link to Annual Report HERE
Suggested Reading for more Info
2) India's first low iron glass gets underway to serve crystalline PV module market
Disc: It is safe to assume that I have vested interest in GBL
What attracted me to this company is its promoters flexibility and willingness to adapt quick changes in their strategy and even the product line to improve the performance of their companies. Take the case of its parent company Borosil Glass Works (BGWL) itself .About ten years back Borosil was a loss making company and its share price was below Rs.10 . Thereafter they identified some niche segments and turned to profit and now its stock price is quoting above Rs.1000 .I believe ,the current situation of Gujarat Borosil is almost same where Borosil was 10 years back.Now the company identified two segments( solar glass and Patterned glass ) as growth engines . Potential of both these products are very good and with promoters vast experience in glass industry Gujarat Borosil may script a big success story few years down the line.Any serious initiatives taken by the new government which is coming to power in near future to improve the usage of solar energy will change the future of this one and only maker of low iron Solar Glass in our country.
Click on the image for a better view
In latest December quarter ,company reported a net profit of Rs.1.72 Cr v/s a loss of Rs.63 Lakhs reported in same period last year. This is a stock worth taking a risk but only for those with enough patience.Stock is currently trading around Rs.8 and listed only in BSE.( Scrip Code -523768)
Link to Company Website HERE
Link to Annual Report HERE
Suggested Reading for more Info
2) India's first low iron glass gets underway to serve crystalline PV module market
Disc: It is safe to assume that I have vested interest in GBL
