Pure Giftcarat is now listed on BSE

Pure Giftcarat Ltd (PGL) also known as L'avace Dirays Limited has got itself listed on the Bombay Stock Exchange on Monday morning with an upside of 11 per cent.

The company is primarily engaged in trading of bullion, diamond, pearls and precious stones, jewels, gold, silver, platinum and precious or semi-precious metals, ornaments, jewellery.

Its operations include sourcing of diamonds from primary and secondary source suppliers in the domestic market and sale of diamonds to the retail and wholesale merchants in India.

On performance front, the company has posted turnover/net profits of Rs. 4.23 cr. / Rs. (-0.03) cr. (FY13), Rs. 1.57 cr. / Rs. (-0.01) cr. (FY14), Rs. 0.51 cr. / Rs. 0.02 cr. (FY15) and Rs. 45.39 cr. / Rs. 0.08 cr. (FY16). For nine months ended on December 31, last year, it has earned net profit of Rs. 0.12 cr. on a turnover of Rs. 85.57 cr. Thus sudden jump in turnover for past 21 months is surprising. If we annualise the latest earnings and attribute it on the fully diluted equity post issue then asking price is at a P/E of 185 plus and at a P/BV of 1.3.