Why is Dankotuwa Porcelain Plc ?
1
With a Operating Losses, the company has a Weak Long Term Fundamental Strength
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 1.64 times
2
The company has declared Negative results for the last 4 consecutive quarters
- NET PROFIT(HY) At LKR -568.21 MM has Grown at -158.57%
- ROCE(HY) Lowest at -25.53%
- DEBT-EQUITY RATIO (HY) Highest at 82.51 %
3
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -24.00%, its profits have fallen by -713.4%
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -24.00% returns in the last 1 year, the stock has also underperformed Sri Lanka CSE All Share in each of the last 3 annual periods
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Dankotuwa Porcelain Plc for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Dankotuwa Porcelain Plc
-100.0%
-0.61
45.66%
Sri Lanka CSE All Share
60.36%
3.50
17.24%
Quality key factors
Factor
Value
Sales Growth (5y)
13.42%
EBIT Growth (5y)
-218.51%
EBIT to Interest (avg)
0.78
Debt to EBITDA (avg)
1.64
Net Debt to Equity (avg)
0.85
Sales to Capital Employed (avg)
0.90
Tax Ratio
30.27%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
10.06%
ROE (avg)
7.28%
Valuation Key Factors 
Factor
Value
P/E Ratio
Industry P/E
Price to Book Value
NA
EV to EBIT
-2.57
EV to EBITDA
-3.04
EV to Capital Employed
0.45
EV to Sales
0.56
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-17.57%
ROE (Latest)
-28.83%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.81% (YoY
CASH AND EQV(HY)
Highest at LKR 1,193.09 MM
-14What is not working for the Company
NET PROFIT(HY)
At LKR -568.21 MM has Grown at -158.57%
ROCE(HY)
Lowest at -25.53%
DEBT-EQUITY RATIO
(HY)
Highest at 82.51 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 1.54%
Here's what is working for Dankotuwa Porcelain Plc
Cash and Eqv
Highest at LKR 1,193.09 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -2.81% (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
At LKR 36.14 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 Dankotuwa Porcelain Plc
Net Profit
At LKR -568.21 MM has Grown at -158.57%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (LKR MM)
Debt-Equity Ratio
Highest at 82.51 % and Grown
In each half year 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
Inventory Turnover Ratio
Lowest at 1.54% and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






