ScoreWhy is Ceylon Tea Brokers Plc ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 26.21% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Capital Employed (avg) of 13.95% signifying low profitability per unit of total capital (equity and debt)
2
With a growth in Net Profit of 2226.32%, the company declared Very Positive results in Jun 25
- The company has declared positive results in Jan 70 after 3 consecutive negative quarters
- INTEREST COVERAGE RATIO(Q) Highest at 254.11
- RAW MATERIAL COST(Y) Fallen by -19.11% (YoY)
- OPERATING PROFIT(Q) Highest at LKR 145.14 MM
3
With ROE of 11.37%, it has a very expensive valuation with a 0.00 Price to Book Value
- Over the past year, while the stock has generated a return of 51.85%, its profits have risen by 1.1%
4
Underperformed the market in the last 1 year
- The stock has generated a return of 51.85% in the last 1 year, much lower than market (Sri Lanka CSE All Share) returns of 61.92%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Ceylon Tea Brokers Plc should be less than 10%
- Overall Portfolio exposure to Retailing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Ceylon Tea Brokers Plc for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Ceylon Tea Brokers Plc
54.72%
1.05
54.97%
Sri Lanka CSE All Share
60.36%
3.56
17.37%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.24%
EBIT Growth (5y)
26.21%
EBIT to Interest (avg)
1.60
Debt to EBITDA (avg)
4.55
Net Debt to Equity (avg)
3.23
Sales to Capital Employed (avg)
0.53
Tax Ratio
65.46%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
13.95%
ROE (avg)
10.67%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
Industry P/E
Price to Book Value
NA
EV to EBIT
6.70
EV to EBITDA
5.28
EV to Capital Employed
0.78
EV to Sales
1.48
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
11.68%
ROE (Latest)
11.37%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend19What is working for the Company
INTEREST COVERAGE RATIO(Q)
Highest at 254.11
RAW MATERIAL COST(Y)
Fallen by -19.11% (YoY
OPERATING PROFIT(Q)
Highest at LKR 145.14 MM
OPERATING PROFIT MARGIN(Q)
Highest at 38.73 %
PRE-TAX PROFIT(Q)
Highest at LKR 55.36 MM
NET PROFIT(Q)
Highest at LKR 33.27 MM
EPS(Q)
Highest at LKR 0.18
-4What is not working for the Company
INTEREST(Q)
At LKR 57.12 MM has Grown at 25.07%
DEBT-EQUITY RATIO
(HY)
Highest at 380.92 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.76%
Here's what is working for Ceylon Tea Brokers Plc
Net Profit
At LKR 33.27 MM has Grown at 2,226.32%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (LKR MM)
Interest Coverage Ratio
Highest at 254.11
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Pre-Tax Profit
At LKR 55.36 MM has Grown at 200.11%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (LKR MM)
Operating Profit
Highest at LKR 145.14 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (LKR MM)
Operating Profit Margin
Highest at 38.73 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at LKR 55.36 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (LKR MM)
Net Profit
Highest at LKR 33.27 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (LKR MM)
EPS
Highest at LKR 0.18
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (LKR)
Raw Material Cost
Fallen by -19.11% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at LKR 32.66 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (LKR MM)
Depreciation
At LKR 32.66 MM has Grown at inf%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (LKR MM)
Here's what is not working for Ceylon Tea Brokers Plc
Interest
At LKR 57.12 MM has Grown at 25.07%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (LKR MM)
Debt-Equity Ratio
Highest at 380.92 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio
Lowest at 1.76%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
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