As investors, we start to worry when companies face fierce competition in their industry.

Lately, there's been a buzz about the rising competition for listed DIAGNOSTIC companies, especially from HEALTHTECH and HOSPITAL players.

Recently, during a conference call, Metropolis Healthcare's management shared some interesting insights about this competitive landscape.

Here is what the MANAGEMENT said 🧵🧵🧵 1. Why AGGRESSIVE PRICING didn't work?

A primer on Data Centers in India

Yesterday, Care Edge came out with a report that reveals exciting growth prospects for Indian data centers.

🔖Bookmark this thread 🧵 1. India Vs. Global Peers – Significant Under penetration
- Internet penetration in India is lowest compared to peers.

- The data center capacity per million internet users in India is significantly lower than that of China, the USA, and the EU.

- India generates 20% of the global data but accounts for only 3% of global data center capacity.

- This shows significant under-penetration.

Yesterday, Arihant Capital shared its post-conference notes from Bharat Connect Rising Stars 2024.

Here are the top 10 companies (in no particular order) with the highest guidance or positive outlooks for growth, revenue, or expansion: 1. Aarti Drugs Ltd.
Manufactures and sells APIs, intermediaries, formulations, & speciality chemicals.

Guidance:
a. Aims to achieve revenue of Rs. 4,000 Cr in FY25, a growth of 51% from FY24 (TTM Revenue).
b. Management is expecting a gross margin of 35% in FY25.
C. Capex of Rs. 150 Cr for metformin is planned for FY25.
d. The management expects 25-30% volume growth from H2FY25.

SME IPO – Shree Karni Fabcom LTD (SKFL)

SKFL – Crafting a legacy in technical textiles

SKFL manufactures technical textiles for diverse industries, such as luggage, medical arch support, chairs, shoes, and apparel.

Before going more in-depth about the Company, Let’s Understand

What are technical textiles?

- Technical textiles are defined as high-performance textile products, materials, and fibres used for their functionality rather than their aesthetic qualities.

- Technical textiles have varied applications in several vital industries, including aerospace, packaging, hazard protection, shipping, sports, agriculture, defence, healthcare, and construction.

- It offer significant improvements in performance, efficiency, resource utilization, cost reduction, environmental protection, and cost-effectiveness.

- This is the fastest growing subsegment used in an array of sectors. Their end-use applications are widespread and include industries such as agriculture, construction, sports apparel, healthcare, etc.

Technical textiles account for ~13% of India’s total textile and apparel market. The current estimated size of technical textiles is US $19 Bn, and the domestic market is expected to grow by 15-20%.

About SKFL

The company produces specialized technical textiles tailored to various industries including luggage accessories, backpacks, apparel, footwear, upholstery, medical support, and other lifestyle and industrial applications.

The company’s expertise lies in converting yarn into fabric through knitting processes. It has outsourced weaving, coating, sizing, and embossing to its subsidiary, IGK Technical Textile LLP.

The company operates under a B2B model, engaging with institutional manufacturers and traders across different states in India. Product Portfolio & its Applications

It is well known that the #SMALLCAP and the #MIDCAP indices have outperformed the #SENSEX by a country mile.

We use a simple ratio to get the temperature check of the small and midcaps at a given time. So let's dive deeper.

*The Ratio*
*SMALLCAP/SENSEX and MIDCAP/SENSEX* The Outperformance for 2023

Both indices vs. SENSEX till 6th Sep 2023.

Outperformance is MASSIVE!!

Defense is a sector that has caught the attention of many investors; therefore, we decided to take up and explain the business and key aspects of a defence company operating in the defence space. #DCXsystems

Let's dive in.. About DCX Systems Ltd.

DCX Systems Ltd was incorporated as ‘DCX Cable Assemblies Private Limited’ in December 2011.

Today, DCX is among the leading Indian electronic sub-systems and cable harness manufacturers, having a diverse mix of domestic and international customers.

Simply investing in the NIFTY with a 2-year investment horizon when the spread between the 10Y G-sec and NIFTY earning yield is less than 2.5% could have fetched you a 15% CAGR on 90% occasions. We'd like to take you through our work on the same. We have been doing this simple but extremely useful exercise for quite some time. The spread between the 10 Year G-Sec yield and earning yield of the NIFTY is a handy tool to take a temperature check of the market.

United Spirits- On the Cusp of Growth!
The Indian Alchobev Industry is majorly dominated by whiskey, which forms 60% of the volumes and around 75% of sales value whereas beer just forms 20% of the total spirits market as compared to 80% in western countries. Major Liquor Brands in India:

BALKIRSHNA INDUSTRIES - A Focused Player in an Off-Highway Tire Industry Let's Look at the company from a birds-eye view:
- BKT is a backward integrated company that even manufactures carbon black which is used in making tires
- OHT tires are a high double-digit operating margin business which helps them to earn better return ratios

A walk through Housing Finance Industry!
The housing finance industry has grown at a healthy pace in past few years supported by favorable industry dynamics, such as a growing population, low mortgage penetration, rising affordability and the increasing nuclearization of families There are more than 100 HFC's in India, but majority of the industry is controlled by bigger players like HDFC, LIC Housing etc. Some players are backed by a bank and some are backed by institutions like LIC etc and then there are others players like Aavas, Aadhar etc.

CDSL - Bullish on Nifty? --> Bullish on CDSL!!
The depository is an institution registered with SEBI for holding custody of securities in electronic form and facilitates transfer based on the instructions from the account holders. The Depositories Act was legislated in August 1996. Accordingly, the National Securities Depository Limited (NSDL) was established in November 1996. Subsequently, three years later in 1999, Central Depository Services (India) Ltd. was established

Diagnostic industry- "Emerging as an attractive play"
lets find together how huge the opportunity size is ?ne of the fastest growing service. Its highly fragmented and under-penetrated despite the presence of over 1 lakh labs.
lets find together how huge the opportunity size is? Business Model: All the national diagnostic chains operate on a hub and spoke model, with regional reference labs, satellite labs and collection centers. This model allows national chains to achieve benefits from economies of scale and remain asset light at the same time.

Overview of INDIAN BEARING INDUSTRY:
In human body if we have pain in joints it becomes difficult to move some parts. Similarly bearing is important to move machines. Maybe it can be small or big in size but its immensely important. Bearings are broadly divided into 2 Parts Ball bearing and Roller. Both have different application and load capacity. In simpler terms Roller are used for comparatively heavier machineries and can handle higher loads.

ICRA Ltd. - Is the worst behind us?

ICRA was set up in 1991 by leading financial institutions of India as an independent and professional investment information and credit rating agency

Currently, Moody's holds 51.87% in ICRA making it the promoter of the company. Role of Moody's & ICRA’s Structure

Moody's has a technical agreement wit ICRA where it is responsible to provide certain technical services to ICRA. These include providing a global research base and enrichment of ICRA's employees by training them under Moody's guidance.

What makes a business great? – Identifying & solving an unsolved problem.
A platform company named Affle India is doing it.
@anujkumar13 @anujkhanna The genesis of this unique model comes from CEO’s early experience while building the application he learned that the most paramount thing for a client is anything that boosts sales, and thus he evolved his business into pay per acquisition model.

The upcoming Injectable Story!
Gland Pharma Limited (GPL) is one of the fastest fastest-growing injectables-focused companies selling products primarily under a “B2B” model in over 60 countries as of March 31, 2020, including the US, Europe, Canada, Australia, India, & the ROW. The Company operates in There four sub types: 1) IP led own ANDA filings, 2) IP led partner ANDA filings, 3) Tech-transfer and 4) Cost+margin led CMO model.

Vinati Organics- A Niche Speciality Chemical Story!
Vinati Organics is the largest manufacturer of IBB, ATBS in the world with more than 65% global market share in both the products. Now let's look at how can a company command such a staggering market across all products. The two main products for the company are IBB and ATBS.
IBB- It is the main raw material for Ibuprofen (A generic drug)
ATBS- ATBS has a wide variety of applications across various industries like water treatment chemicals, Adhesives, Textiles.

Before discussing this company let us first understand the meaning and basic difference between some words which are often used interchangeably. The need of such players arises as the R&D process to bring a product into market is expensive and time consuming.

On an average the R&D in pharma takes 14years with US$2.6Bn to bring a product to market with an overall success rate of ~4.1%

EPL ltd (formerly known as Essel Propack) - Does a market leader in a mature industry has enough fuel left to grow?
Is there any changes taking place on qualitative basis of company?
Lets take a look We all are aware about Colgate, one of the toothpaste we use to brush teeth.
EPL is into manufacturing the tubes in which Colgate comes.

AIA Engineering – Will the engines roar again? What do they do?
-They manufacture custom designed, hi chrome, casted grinding balls for crushing purpose, mill liners & vertical mill parts used inside grinding machinery

IEX- Beating Inefficiencies of the Indian Power Sector!
Power market in India is skewed towards the long-term market i.e power purchase sale/purchase agreements are done for a period > 7 yrs, whereas short-term market i.e the agreement for < 1 yr comprises 12% of the power market Players in the Short term market: