Why is LAUGFS Power Plc ?
1
High Debt company with Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of -4.75% and Operating profit at -30.36% 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 Equity (avg) of 7.98% signifying low profitability per unit of shareholders funds
2
With a fall in Net Sales of -13.84%, the company declared Very Negative results in Dec 25
- NET PROFIT(HY) At LKR 8.86 MM has Grown at -95.69%
- OPERATING CASH FLOW(Y) Lowest at LKR 223.82 MM
- RAW MATERIAL COST(Y) Grown by 11.4% (YoY)
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 8.47%, its profits have fallen by -25%
4
Underperformed the market in the last 1 year
- The stock has generated a return of 8.47% in the last 1 year, much lower than market (Sri Lanka CSE All Share) returns of 41.16%
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 Power)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is LAUGFS Power Plc for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
LAUGFS Power Plc
-100.0%
0.50
72.41%
Sri Lanka CSE All Share
41.16%
2.63
15.67%
Quality key factors
Factor
Value
Sales Growth (5y)
-4.75%
EBIT Growth (5y)
-30.36%
EBIT to Interest (avg)
1.87
Debt to EBITDA (avg)
2.88
Net Debt to Equity (avg)
0.74
Sales to Capital Employed (avg)
0.26
Tax Ratio
38.62%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.02%
ROE (avg)
7.98%
Valuation Key Factors 
Factor
Value
P/E Ratio
Industry P/E
Price to Book Value
NA
EV to EBIT
5.10
EV to EBITDA
2.77
EV to Capital Employed
0.41
EV to Sales
1.52
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
8.06%
ROE (Latest)
5.63%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-20What is not working for the Company
NET PROFIT(HY)
At LKR 8.86 MM has Grown at -95.69%
OPERATING CASH FLOW(Y)
Lowest at LKR 223.82 MM
RAW MATERIAL COST(Y)
Grown by 11.4% (YoY
INVENTORY TURNOVER RATIO(HY)
Lowest at 1,700.1 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 0.92 times
NET SALES(Q)
Lowest at LKR 178.18 MM
Here's what is working for LAUGFS Power Plc
Depreciation
Highest at LKR 65.2 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 LAUGFS Power Plc
Net Profit
At LKR 8.86 MM has Grown at -95.69%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (LKR MM)
Operating Cash Flow
Lowest at LKR 223.82 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (LKR MM)
Net Sales
Lowest at LKR 178.18 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (LKR MM)
Net Sales
At LKR 178.18 MM has Fallen at -15.09%
over average net sales of the previous four periods of LKR 209.83 MMMOJO Watch
Near term sales trend is negative
Net Sales (LKR MM)
Inventory Turnover Ratio
Lowest at 1,700.1 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio
Lowest at 0.92 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Raw Material Cost
Grown by 11.4% (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
Non Operating Income
Highest at LKR 3.83 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income






