ScoreWhy is Convenience Foods (Lanka) Plc ?
1
High Management Efficiency with a high ROCE of 49.42%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 73.92
3
Healthy long term growth as Net Sales has grown by an annual rate of 17.57%
4
Flat results in Dec 25
- INTEREST(HY) At LKR 8.58 MM has Grown at 106.42%
- RAW MATERIAL COST(Y) Grown by 8.51% (YoY)
5
With ROE of 19.69%, it has a fair valuation with a 1.67 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 109.86%, its profits have risen by 211.5% ; the PEG ratio of the company is 0
6
Market Beating Performance
- The stock has generated a return of 109.86% in the last 1 year, much higher than market (Sri Lanka CSE All Share) returns of 41.16%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Convenience Foods (Lanka) Plc should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Convenience Foods (Lanka) Plc for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Convenience Foods (Lanka) Plc
109.9%
4.94
42.43%
Sri Lanka CSE All Share
41.16%
2.63
15.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
17.57%
EBIT Growth (5y)
9.23%
EBIT to Interest (avg)
73.92
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.68
Sales to Capital Employed (avg)
482.02
Tax Ratio
29.06%
Dividend Payout Ratio
2.85%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
49.42%
ROE (avg)
20.17%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
Price to Book Value
1.67
EV to EBIT
4.27
EV to EBITDA
3.73
EV to Capital Employed
2.79
EV to Sales
0.53
PEG Ratio
0.04
Dividend Yield
0.00%
ROCE (Latest)
65.36%
ROE (Latest)
19.69%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
ROCE(HY)
Highest at 17.56%
CASH AND EQV(HY)
Highest at LKR 4,865.37 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 5.56 times
DEBTORS TURNOVER RATIO(HY)
Highest at 6.74 times
NET SALES(Q)
Highest at LKR 1,817.41 MM
-10What is not working for the Company
INTEREST(HY)
At LKR 8.58 MM has Grown at 106.42%
RAW MATERIAL COST(Y)
Grown by 8.51% (YoY
Here's what is working for Convenience Foods (Lanka) Plc
Net Sales
Highest at LKR 1,817.41 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (LKR MM)
Cash and Eqv
Highest at LKR 4,865.37 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 5.56 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 6.74 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Convenience Foods (Lanka) Plc
Interest
At LKR 8.58 MM has Grown at 106.42%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (LKR MM)
Raw Material Cost
Grown by 8.51% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
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