Medicaps Ltd (MCL), flagship company of Medi-Caps group may be a good scrip to hold on in the future. The scrip was up 1.22 per cent to Rs 82.75 compared to its previous close of Rs 81.75. | |
| Medicaps Ltd is among the largest manufacturer of Hard Gelatine Capsules in terms of manufacturing capacity as well as market capitalization. |
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| MCL is also launching new variants of capsules in order to increase its product range and is aggressively focussing in the exports market. |
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| However, the company intends to strenghten its base in the domestic capsule market and accordingly plans to increase its capacity. The company recorded profit after tax (PAT) of Rs 0.85 crore for the quarter ended June 30,2005. MCL has a book value per share of Rs 78.40 and a free reserve per share of Rs. 63.07. |
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| "The company is almost debt free which puts the company into an extremely advantageous position to exploit future opportunities by leveraging its current position of low debt Equity", said an analyst from a domestic broking firm. Medicaps reported an EPS of 12.23 in FY2005. |
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| With the growth that is expected in the company, the FY2006 EPS is likely to be about Rs.16, he added. |
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