The company is one of the major beneficiary of the booming housing market and increased aspirational levels in the Indian people. The company has given a return of 15 per cent and trades at a price to earnings multiple of 17 times for FY07 estimated earnings.
However it must be noted that the company's sales has been growing at over 50 per cent year on year and profits doubling in every quarter since March 2006 despite competition from unorganised players which form over 50 per cent of the market.
The company makes ceramic and vitrified tiles with the latter forming more than 50 per cent of the total turnover and are imported from China.
