ScoreWhy is Dilmah Ceylon Tea Co. Plc ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 8.12
2
Positive results in Dec 25
- ROCE(HY) Highest at 9.03%
- INTEREST COVERAGE RATIO(Q) Highest at 1,905.19
- RAW MATERIAL COST(Y) Fallen by -4.5% (YoY)
3
With ROE of 4.85%, it has a fair valuation with a 1.02 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 58.99%, its profits have fallen by -15.9%
4
Market Beating Performance
- The stock has generated a return of 58.99% 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 buy?
- Overall Portfolio exposure to Dilmah Ceylon Tea Co. 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 Dilmah Ceylon Tea Co. Plc for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Dilmah Ceylon Tea Co. Plc
58.99%
1.68
44.69%
Sri Lanka CSE All Share
41.16%
2.63
15.67%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
19.46%
EBIT Growth (5y)
4.00%
EBIT to Interest (avg)
8.12
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.33
Sales to Capital Employed (avg)
0.86
Tax Ratio
25.43%
Dividend Payout Ratio
57.14%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
10.44%
ROE (avg)
14.42%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
1.02
EV to EBIT
26.12
EV to EBITDA
13.51
EV to Capital Employed
1.02
EV to Sales
1.03
PEG Ratio
NA
Dividend Yield
0.01%
ROCE (Latest)
3.89%
ROE (Latest)
4.85%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend25What is working for the Company
ROCE(HY)
Highest at 9.03%
INTEREST COVERAGE RATIO(Q)
Highest at 1,905.19
RAW MATERIAL COST(Y)
Fallen by -4.5% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 4.37 times
NET SALES(Q)
Highest at LKR 6,311.69 MM
OPERATING PROFIT(Q)
Highest at LKR 702.39 MM
OPERATING PROFIT MARGIN(Q)
Highest at 11.13 %
PRE-TAX PROFIT(Q)
Highest at LKR 1,017.21 MM
NET PROFIT(Q)
Highest at LKR 888.06 MM
EPS(Q)
Highest at LKR 42.82
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at LKR 86.39 MM
DEBT-EQUITY RATIO
(HY)
Highest at -3.6 %
CASH AND EQV(HY)
Lowest at LKR 4,707.48 MM
Here's what is working for Dilmah Ceylon Tea Co. Plc
Interest Coverage Ratio
Highest at 1,905.19
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 1,017.21 MM has Grown at 140.83%
over average net sales of the previous four periods of LKR 422.38 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (LKR MM)
Net Profit
At LKR 888.06 MM has Grown at 165.62%
over average net sales of the previous four periods of LKR 334.33 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (LKR MM)
Net Sales
Highest at LKR 6,311.69 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (LKR MM)
Operating Profit
Highest at LKR 702.39 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (LKR MM)
Operating Profit Margin
Highest at 11.13 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at LKR 1,017.21 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 888.06 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (LKR MM)
EPS
Highest at LKR 42.82
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (LKR)
Inventory Turnover Ratio
Highest at 4.37 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -4.5% (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 235.79 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (LKR MM)
Here's what is not working for Dilmah Ceylon Tea Co. Plc
Debt-Equity Ratio
Highest at -3.6 % 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
Operating Cash Flow
Lowest at LKR 86.39 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (LKR MM)
Cash and Eqv
Lowest at LKR 4,707.48 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
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