Wealth Creators Series 2014-24- Part-1: A Snapshot of Wealth-Creation over the Past 10 Years presented by
Sher Singh Yadav  and  Pratibha Kamath 10 January 2025
Now in its remarkable 19th year, our long-standing Wealth Creators’ series returns, to engage and inform. As with the previous years, we will identify stocks and sectors that have delivered the highest returns to investors over the past decade. With depth of our analysis, this topic will be explored over several weeks. Follow this section closely as we uncover different facets of wealth creation.
 
This week, our focus is on the overall performance of the broader market throughout the past decade, highlighting the top-10 wealth creating stocks. We will also look at each calendar year, discussing the major events that influenced market directions. In the following week, we will extend our analysis to include more wealth creators and sectors that have demonstrated significant gains. Expect further such analyses in the upcoming weeks.
 
As our regular readers are aware, this series is not intended to predict or select the winning stocks of the next decade, as that task is impossible. Instead, it serves as a scorecard for notable winners, providing a foundation for analysing the characteristics of stocks that emerge as big gainers.
 
Rounding up the Markets: 2014-2024
The decade opened with a strong optimism among investors regarding a regime change in 2014 with the formation of a Bharatiya Janata Party (BJP)-led government. The BSE Sensex surpassed the psychological level of 25,000 for the first time. However, this optimism encountered a reality check in 2015, with a mismatch in earnings growth and high stocks prices. The indices started to decline from March of that year. The year was also characterised by sub-normal monsoons, delays in government policies, a plunge in commodity and crude prices and a surprise interest rate cut. The Sensex ended the year down by 5%. In 2016, the market showed a bullish trend from March onwards and, despite a severe dip in November following demonetisation, the indices ended the year in positive territory.
 
In anticipation of the goods and services tax (GST) rollout, the logistics sector experienced significant momentum between 2015 and 2017; GST was officially implemented on 1 July 2017. During this period, BSE Realty more than doubled, supported by government policies and initiatives like ‘Housing for All.’ Strong fund inflows also propelled the Sensex and the NIFTY to deliver impressive returns of 27.9% and 28.6%, respectively, in 2017.
 
The 2018 Budget faced significant criticism due to the reintroduction of the long-term capital gains tax (LTCG). The overheated mid- and small-cap segments declined by approximately 16% to 18%, further impacted by additional surveillance measures (ASM) introduced by exchanges to curb speculation. Financial stocks suffered due to scandals involving Punjab National Bank (PNB) and Infrastructure Leasing & Financial Services (IL&FS). The Sensex and the NIFTY managed to deliver modest returns of 5% to 7%.
 
In the 2019 general elections, the BJP strengthened its position, forming a government with an even larger mandate than in 2014. However, economic growth remained sluggish. To stimulate growth, the government announced a historic corporate tax cut on 20 September 2019, reducing the rate from 30% to 22%. While this move cost the exchequer Rs1,50,000 crore, it provided Indian companies with significant cash reserves.
 
The following year in 2020, the COVID-19 pandemic (a black swan event) led to unprecedented global lock-downs. India implemented particularly stringent restrictions, halting all economic activity and transportation, while confining people to their locations. On 23 March 2020, the day a nationwide lock-down was declared, the market hit its lowest point but began recovering within a month. This recovery marked the start of a classic 18-month bull market, fuelled by the surge in new demat account openings. 
 
In 2021, the Sensex demonstrated remarkable resilience, surpassing the 50,000 and 60,000 levels after the sharp decline in March 2020. Notably, it reached new highs 51 times during the year, reflecting the market's upward momentum. Individual investors contributed significantly, infusing Rs137,000 crore into equity markets during 2020 and the first nine months of 2021, with Rs86,000 crore invested in 2021 alone. Retail investors accounted for over 43% of the total turnover in the cash segment in FY21-22. 
 
In 2022, markets faced headwinds from heightened geopolitical tensions due to the Russia-Ukraine war, coupled with high inflation, US Federal Reserve rate hikes, Europe's energy crisis, significant foreign investor outflows and slowing global economic growth. The rate hikes by US Fed implementing tighter monetary policy forced global investors to allocate funds into assumed safe havens such as US dollar and gold. This cascaded into lower liquidity and withdrawal of funds from emerging markets such as India. 
 
The year 2023 brought numerous surprises. US debt increased, the Russia-Ukraine war persisted and the Israel-Hamas conflict emerged. Domestically, India's gross domestic product (GDP) grew impressively in the first three quarters, with rates of 6.06%, 7.82%, and 7.6%. Retail inflation declined from 6.52% in January to 5.5% in November and the PMI (Purchasing Managers' Index) remained above 50, indicating economic expansion, peaking at 58.7 in May. The Reserve Bank of India (RB) maintained the repo rate at 6.5% after a hike in February, amid global monetary tightening and US Fed rate hikes. Indian equities performed strongly, with the NIFTY and the Sensex rising 18%-20%, driven by earnings growth, retail participation, and foreign portfolio investment (FPI) inflows of Rs1.65 lakh crore. 
 
In 2024, developed market equities delivered a 19.2% total return, aided by US strength, while emerging market equities rose 8.1%, driven by a late rally in Chinese equities and strong performance in India and Taiwan. US mega-cap tech led global growth stocks for the second consecutive year, while deregulation prospects boosted financials, lifting global value stocks by 12.3%. Commodities saw modest gains of 5.4% due to weak Chinese demand, but gold surged 27.1% amid US fiscal concerns. Developed market central banks began policy normalisation, but resilient growth and persistent inflation tempered expectations for rapid rate cuts, particularly in the US. A strong dollar and rising yields resulted in global investment-grade bonds declining by -1.7%.
 
The US economy outpaced other regions, with GDP growth averaging 2.6% (quarter-on-quarter—q-o-q—annualised) over the first three quarters. The S&P 500 was the best-performing equity market, returning 25%. While AI (artificial intelligence) stocks continued to deliver outsized gains, broader economic momentum expanded earnings expectations, setting a positive outlook for 2025.
 
In Asia, Chinese activity remained subdued in 2024 due to declining property prices and weak consumer confidence. While early policy responses failed to impress, more cohesive announcements in September boosted market optimism for significant 2025 stimulus, leading Chinese equities to rally in the year's second half, delivering a 19.8% return. Japanese equities performed even better, returning 20.5%—the second-best among major equity markets—driven by optimism over deflation's end, a weak yen, and ongoing corporate reforms.
 
In 2024, the Indian stock market reached record highs early in the year but closed with annual gains of approximately 8.5%, the lowest among major global peers. Corporate earnings disappointments and significant foreign fund outflows contributed to the underperformance, pushing markets into correction territory from October. The Nifty 50 and the Sensex rose 8.8% and 8.2%, respectively, marking their ninth consecutive year of gains, supported by domestic institutional investors (DIIs) and policy continuity after the BJP's re-election in the 2024 general elections. The indices hit record highs on 27th September with nearly 21% gains before declining by 10% due to record foreign selling in October and slower earnings growth.
 
In 2024, FIIs (foreign institutional investors) were net sellers for eight months, recording the highest selling in October, at Rs1.14 lakh crore. Total FII outflows for the year reached a record Rs2.96 lakh crore. Despite this, retail investors supported the market with robust inflows through SIPs (systematic investment plans), which hit new highs, surpassing Rs20,000 crore in April and Rs25,000 crore in October and November. SIP inflows between January and November 2024 totalled Rs2.42 lakh crore, significantly higher than in the previous years.
 
Small- and mid-cap stocks outperformed, driven by sectoral tailwinds in renewable energy (RE), digital transformation and infrastructure, coupled with increased retail investor participation. The Nifty Smallcap 250 index gained 25%, while the Nifty Midcap 150 index rose 23%, despite moderate corrections from their peaks. The IPO (initial public offering) market was highly active, with over 300 IPOs raising Rs1.8 lakh crore, surpassing the previous record of Rs1.3 lakh crore in 2021. Among the 78 main-board IPOs, 69% traded above their offer prices, with 11 doubling in value. SME IPOs excelled, with 28 of 231 listing at premiums exceeding 100%, outshining main-board offerings. These were markers of excessive optimism.
 
The Top-10 Wealth Creators
Our readers, who follow this annual study, know that our metric of wealth creation is compounded average annual total shareholder return (CATSR). The methodology of calculating CATSR is provided at the end of this article. Using CATSR, we arrive at 500 stocks that generated the maximum returns and include them in this series.
 
Now, let us focus on the top-10 wealth creating stocks. Of these, only two were part of the top-10 list of last year. These include: Dynacons Systems & Solutions and Olectra Greentech. The ones that got excluded from the top-10 list this year are: Tanla Platforms, Shivalik Bimetal Controls, KEI Industries, Vidhi Specialty Food Ingredients, RACL Geartech, Fineotex Chemical, UNO Minda, APL Apollo Tubes. In terms of sectors, chemicals companies outperformed with three reaching the top-10 list, while software & IT services companies followed, with two companies. Other sectors had one company each including: pharma, lifestyle & leisure, media, auto and steel.
 
 
1) Refex Industries 
Established in 2002, Refex focuses on the trading of eco-friendly HFC (hydrofluorocarbon) refrigerant gases and offers solutions for responsible coal procurement and ash disposal. It also trades in eco-friendly refrigerant gases and offers solutions for responsible coal procurement and ash disposal. The company has its own brand called Refex Cans with installed capacity of 3,000MT (metric tonnes). It has a wide reach with more than 450 dealers and distributors. Its major customers include: Carrier, Voltas, Cars 24, Snowman, etc. It ventured into power trading in 2022 and commenced green mobility operations in 2023 in Bengaluru with more than 590 owned/leased vehicles. In terms of revenue share, the company gets 69% of its revenue from ash and coal handling business, 20.5% from power trading, 5.3% from refrigerant, 4% from sale of service and remaining from others.
 
With a category-I licence for interstate power trading, Refex is capable of trading significant volumes of electricity across India. Refex Green Mobility, focuses on electric vehicle (EV) solutions. The company owns and operates a fleet of 4-wheeler (4W) EVs, catering to employee transport and rental requirements. Refex also taps into demand-generating channels, such as aggregator platforms, to expand its reach in the growing electric mobility market.
 
The company is looking to enter 10 additional states in ash and coal handling business and double the capacity for ash handling by fleet expansion. In refrigerant gases, it is looking to enter new geographies and expand capacity. It is also planning to associate with all large OEMs (original equipment manufacturers). In green mobility it is looking to expand fleet from 590 currently to 5,000 by FY26-27 and enter new cities.
 
Refex has increased its sales by a CAGR (compounded annual growth rate) of 25% over the past five years and profit by 24%. In the same period, its stock price CAGR was 116%. Its CATSR return over the past 10 years was at 68%.
 
2) Lloyds Metals & Energy 
Lloyds Metals & Energy Ltd (LMEL) operates as a fully integrated entity with an allocated iron-ore mine. The mine lease is valid until CY (calendar year) 2057, with substantial reserves of 157mn (million) tonnes of direct shipping ore (DSO) and 70mn tonnes of banded hematite quartzite (BHQ). The company is advancing its forward integration plans aiming for a 12mn tonnes pellet plant and 4.2mn tonnes steelmaking capacity. LMEL is debt-free, with all expansion plans funded internally, and boasts strong financial performance with a return on capital employed (roce) of 55% and return on Equity (RoE) of 44% for FY23-24. Furthermore, the company benefits from the industrial promotion subsidy (IPS), receiving refunds on state GST and royalties for captive ore consumption. The upcoming projects are expected to have a payback period of less than four years. 
 
In H1FY24-25, the company achieved a 26% y-o-y (year-on-year) revenue growth, driven by higher volumes and realisations in sponge iron and iron ore. EBITDA (earnings before interest, taxes, depreciation and amortisation) grew by 37% y-o-y, supported by robust margins across segments. LMEL also incurred capex of Rs1,690 crore in FY23-24 and Rs1,7140 crore in H1FY24-25 to support its ambitious growth plans. 
 
LMEL is executing an ambitious capex plan exceeding Rs30,000 crore to support its forward integration and capacity expansion goals. This investment is funded entirely through internal accruals and the recently raised Rs4,200 crore which includes Rs1,200 crore through a qualified institutional placement (QIP) and Rs3,000 crore via preferential capital, with Rs1,000 crore contributed by the promoters. The company aims to enhance its beneficiation process, upgrading banded hematite quartzite (BHQ) ore from 35% to 65% iron content, which will boost output to 25mn tonnes over the next few years.
 
The capex includes the development of a 4mn tonnes of steel production capacity across two plants—1.2mn tonnes at Chandrapur, expected to be commissioned by September 2026, and the remainder at Gadhchiroli, close to the company’s mines. Additionally, two pellet plants are scheduled to begin operations by the end of this financial year. Plans are also underway for a 3mn tonnes flat products steel plant in Gadhchiroli, designed to be highly sustainable with a 20% lower carbon footprint compared to traditional plants. These initiatives align with India's vision of producing 300mn tonnes of steel, positioning Lloyds Metals as a key player in the country's growing steel demand.
 
LMEL has increased its sales by a CAGR of 28% in the past 10 years which improves drastically to 69% CAGR if only the past five years are taken into account. Similarly, its profits have witnessed a CAGR of 41% in the past 10 years and 129% over the past five years. These superb growth numbers resulted in huge stock price appreciation resulting in 180% stock price CAGR in past five years. The CATSR return for past 10 years was at 67%.
 
3) Sadhana Nitro Chem
Sadhana Nitro Chem Ltd. (SNCL), established in 1973, is a manufacturer of intermediate specialty chemicals. SNCL was awarded under the production-linked incentive (PLI) scheme in 2021 for manufacturing 36,000TPA (tonnes per annum) of para-aminophenol (PAP), a key ingredient in paracetamol and other prescription drugs, with a current production run rate of 3,000TPA. It garners 55% of its sales from exports to countries like Belgium, the Netherlands, Thailand, USA, UK, Switzerland, UAE, South Korea, Spain, Hong Kong, China, Japan, Canada, Taiwan, Czech Republic and Italy.
 
SNCL has achieved significant milestones since its inception. In 1975, the company commenced the production of Nitrobenzene, followed by forward integration into dye intermediates in 1979. The expansion of dye intermediate capacities came in 1987 and, by 1995, SNCL began producing meta-amino phenol (MAP). In 1996, it established a European subsidiary and started manufacturing 2, 5 ANDS (Anhydro-D-sorbitol) and 2,4 ANDS. A major milestone was the launch of the BTCA plant for the Japanese market in 2000 and, by 2002, a second MAP plant was added to boost production. In 2005, SNCL began producing colour formers (ODB1 and ODB2) with an initial capacity of 500TPA, followed by capacity increases in subsequent years.
 
Through continuous innovation and strategic advancements, the company has maintained a strong trajectory, including significant achievements such as commercial production of 3,000TPA of para-amino phenol (PAP) in 2022 and switching to continuous PAP production in 2023, crucial for paracetamol and other prescription drugs. These milestones underscore SNCL’s commitment to growth, innovation, and global market leadership.
 
Its products are used in agro-chemicals, aramide fibre, pharmaceuticals, hair colours, dyes, specialised resins, performance chemicals, rubber chemicals, aerospace, electronic chemicals, thermal paper intermediates, etc. Its clients include: Ricoh, Ipca, Koehler, L’Oreal, Hansol, Bayer Corp, etc.
 
Currently, SNCL manufactures downstream derivatives of Nitrobenzene and other intermediates for various applications in aerospace, pharma and agro, optical brightening agents, plastic additives, special fibres, epoxy resin hardeners, dyes and performance chemicals. SNCL has increased its sales by a CAGR of 19% over the past 10 years. Its profit growth has underperformed sales growth with CAGR of 9%. Its CATSR return was around 63%, mainly because of two rounds of euphoria in 2018 and 2022.
 
4) Tanfac Industries 
Tanfac Industries Limited (TIL) was incorporated in 1972 as a joint venture (JV) between Tamil Nadu Industrial Development Corporation (TIDCO) and L Narayanan Chettiar. In 1980, the Aditya Birla group (ABG) became a co-promoter by acquiring a 25% stake from Mr Chettiar. Later, in March 2022, Anupam Rasayan India Limited (ARIL) acquired the Birla group's stake, becoming a co-promoter alongside TIDCO. TIL commenced commercial production in 1985, leveraging state-of-the-art facilities spanning 60 acres in the SIPCOT Industrial Estate (Cuddalore), equipped with advanced technology from Switzerland's BUSS Chemtech and Germany's CHENCO.
 
The company is a leading producer of fluorine-based chemicals, including anhydrous hydrofluoric acid (AHF), sulphuric acid, aluminium fluoride, and several other specialised products catering to agro-chemicals, pharmaceuticals and polymer industries. Over the years, TIL has achieved notable milestones, such as being the first Indian fluorine chemical company and fifth globally to secure ISO 9002 certification in 1994, later upgraded to ISO 9001:2000. It also became the first in India to obtain ISO 14001:1996 for fluorine chemical manufacturing. With a strong focus on safety, sustainability and operational excellence, TIL has implemented total productive maintenance (TPM) with the Japanese Institute of Production Management (JIPM) and is a signatory member of Responsible Care in India.
 
TIL’s journey reflects steady financial and operational progress. Noteworthy achievements include becoming debt-free in FY18-19, surpassing previous EBITDA records in 2022, and achieving its highest-ever revenue, EBITDA and PAT (profit after tax) in 2023. In 2024, TIL recorded its highest production volumes, operated at peak capacity utilisation and began expanding AHF production capacity with an investment of Rs102 crore, while remaining debt-free. 
 
In October 2024, it completed 29,700MT brownfield capacity expansion of hydrofluoric (HF) acid at a capex of Rs100 crore. TIL has increased its sales by a CAGR of just 12% in the past 10 years. But in the past three years sales growth has improved 37% CAGR. Despite the low sales growth in a longer time frame, the company has achieved better profit growth with 34% CAGR in the past 10 years and 43% in the past three years. Its stock has delivered a CATSR return of 62% over the past 10 years.
 
5) Dynacons Systems & Solutions 
Dynacons is an IT infrastructure company. It provides services like system integration, networking solution, facility management services, security solutions and software services. Incorporated in 1995, it has partnered with prominent IT companies like Apple, Microsoft, Lenovo, Dell, HP, Cisco, etc. Its clientele include: RBI, Facebook India and Google India, among others. It is headquartered in Mumbai and has 11 branch offices across India. It also has a subsidiary in Singapore to handle Asia-Pacific operations.
 
The company offers a wide range of services, including infrastructure design and consulting, turnkey systems integration and the establishment of large-scale network and data centre infrastructures. Dynacons claims to deliver advanced solutions such as hyper-converged infrastructure (HCI), private and public cloud setups, software-defined networking (SD-WAN), and software-defined storage (SDS) solutions. It also provides network infrastructure services for ISPs, virtual desktop infrastructure (VDI) solutions, and facilities management for multi-location IT infrastructure. Its enterprise services portfolio includes infrastructure managed services, breakfix services, managed print services, cloud computing, systems integration, and application development and maintenance. 
 
From a financial perspective, the company has increased its sales by a CAGR of 29% over the past 10 years. Profit growth over the same period was at a phenomenal 56%. The CATSR in the same period is around 61%. Its FY23-24 sales were up by 28% y-o-y on account of consistent orders and new customer addition. Its current market-capitalisation is around Rs1,913 crore. It was at number three in our list last year.
 
6) Tips Music 
Founded in 1988, Tips Music operates in the media and entertainment industry, targeting the Indian subcontinent and its diaspora. The company stands out as the only listed player to expense 100% of its content cost in the quarter of release, with no pending write-offs or capitalisation. Debt-free, with Rs259 crore in cash and investments, Tips Music boasts a diverse catalogue featuring music in over 25 languages, available globally across multiple platforms. The company derives 75% of its revenue from digital platforms and has over 108mn subscribers on YouTube. Tips employs a dual content acquisition strategy, purchasing rights from producers and producing original music. It focuses on identifying and promoting promising artists, supported by a history of creating chart-topping hits.
 
The company has a large music library with a collection of over 30,000 songs across various genres and regional languages. It has produced and released around 40 Hindi films in the past 20 years and also sells the theatrical, satellite, and various other rights to distributors, broadcasters, etc. Tips has increased its sales at 39% CAGR in the past three years and witnessed profit growth of 43% CAGR in the same period. Tips delivered CATSR return of 61% in the past 10 years.
 
7) Olectra Greentech
Olectra was earlier known as Goldstone Infratech Pvt Ltd. It was incorporated in 2000 and was engaged mainly in manufacturing polymer insulators since 2003. But it has recently diversified into e-bus manufacturing and commercialisation. It has tied up with BYD (a Chinese battery and EV-maker) for manufacturing electric buses (e-buses) and has successfully delivered more than 1,402 e-buses to various state transport undertakings in India and private parties. Its manufacturing facility is located in Hyderabad with capacity of 5,000 units per year expanded recently scalable to 10,000 units. For this expansion, it has acquired 150-acre land in Hyderabad which will also be used to manufacture other EV products. It has sold 541 EVs in FY23-24 compared to 580 in FY22-23.
 
The company has 10,503 units order on hand as of Q2FY24-25 compared to 5,794 units order on hand as of FY22-23.  It is now entering into staff transport private segment and is also focusing on developing hydrogen buses for which it has tied with Reliance Industries (RIL). On the back of order executions, it reported 60% y-o-y growth in revenue in H1FY24-25. It is targeting to complete this order-book by the end of FY25-26. It is looking to sell around 2,500 units in FY25-26. The company is looking to deliver 1,500 buses in FY24-25 and 2,500 to 5,000 in FY25-26 to FY26-27.
 
The stock has delivered a CATSR of 60% over the past 10 years with sales increasing at a CAGR of 31% in the same period. Profit grew at a CAGR of 41% in the past 10 years. This stock was at No.6 last year and has now slipped a little to No.7 position.
 
8) Danlaw Technologies India
Danlaw Technologies India Ltd (DTIL), incorporated in 1992, is a leading provider of engineering and software development consulting services, with a focus on industrial electronics. Certified with ISO 9001:2015 and IATF 16949, Danlaw claims to be recognised as a leader in connected car and automotive electronics. Its product portfolio includes telematics control units (TCUs) for data collection and vehicle tracking, IoT-enabled data loggers for secure data transmission, body control units (BCUs) for monitoring electronic accessories,and advanced testing products for ECU (Electronic Control Unit) diagnostics and live data monitoring. In October 2022, DTIL amalgamated its subsidiary, Danlaw Electronics Assembly Limited--  issuing 11,63,177 shares to Danlaw Inc. In FY22-23, Danlaw generated 93% of its revenue from product sales and 7% from services. Its FY23-24 sales were up by 26.2% y-o-y to Rs211 crore. Its current market-capitalisation is Rs685 crore and RoCE is more than 40%. Danlaw has performed exceptionally well in past three years with 96% CAGR sales growth and 117% CAGR profit growth. In the past 10 years, the sales have increased by a CAGR of 38% and profits by 50%. Its CATSR return for the past 10 years was at 57%.
 
9) Gujarat Themis Biosyn
Gujarat Themis Biosyn Ltd (GTBL), established in 1981 as a joint sector company with GIIC Ltd and Chemosyn (P) Ltd, is a pioneer in fermentation-based manufacturing in the pharmaceuticals field. It was the first Indian company to start commercial production of the anti-tuberculosis drug Rifampicin using the fermentation process, catering to tuberculosis and digestive tract infections. The company operates a state-of-the-art manufacturing facility in Vapi (Gujarat), employing over 200 persons. With a 29.7% y-o-y revenue growth in FY22-23 and a debt-free status on a net debt basis, GTBL has demonstrated robust financial performance.
 
GTBL has established R&D facilities aligned with international standards to develop new intermediate molecules and expand its product portfolio. The company is also venturing into API production as part of its forward integration strategy, leveraging expertise in Rifampicin-based products to target domestic and export markets. Its expansion strategy includes increasing fermentation capacity to support the development of new products, strengthening collaborations and adopting advanced technologies and processes to spur growth.
 
GTBL has increased its sales at a CAGR of 19% over the past decade, while the profits witnessed CAGR of 29%. In the past five years, sales increased by a CAGR of 33% and profit by 56%. Its CATSR return for the past 10 years was at 56%.
 
10) Piccadily Agro Industries 
Piccadily Agro Industries has expanded its operations significantly since its inception, with a diversified product portfolio spanning from sugar and ethanol to premium alcoholic beverages. Its manufacturing setup includes a 5,000TCD (cane crushed per day) sugar plant, a 15KLPD (kilo litres per day) malt plant, and a 78KLPD ethanol/ENA plant, with ongoing expansions to enhance its production capabilities. In FY23-24, the company recorded total income of Rs829 crore, EBITDA of Rs152 crore and PAT of Rs112 crore. Performance highlights include growth in its premium alcoholic beverage segment, with a 426% y-o-y increase in volume and a 443% rise in Indri single malt sales, contributing to a 75% increase in distillery revenue, driving a 75% rise in EBITDA and a 109% jump in PAT.
 
Piccadily Agro's journey, from setting up a sugar plant in Indri (Haryana), in 1994 to launching the Indri single malt whiskey in 2022, has been marked by successful innovation. Its Indri single malt has gained global recognition, becoming the top-selling Indian single malt, with over 100,000 units sold in FY23-24 and a 35% share of the Indian export market. The company has expanded its product range to include country liquor, malt, ENA (extra neutral alcohol), and ethanol, catering to a wide spectrum of consumer preferences.
 
In FY23-24, Piccadily Agro achieved 30% revenue growth, with a 144% increase in EBITDA and strong ROCE of 30%. The company raised Rs262 crore through preferential allotment to fund its expansion plans, including new distillery set-ups in Chhattisgarh and Scotland. With a fully integrated business model, Piccadily Agro is poised to capitalise on the growing demand for premium alcoholic beverages, driven by macroeconomic trends and the industry-wide shift towards premiumisation.
 
Piccadily Agro has increased its sales by 15% CAGR was over five years, while profit surged to an impressive CAGR of 110%. This has resulted in huge appreciation in share prices which has grown at a CATSR of 55% over the past 10 years.
 
Methodology
The formula for calculating wealth creation is simple. It is what a shareholder gets from remaining invested in a company over a certain period. That essentially means three things: 
1. The difference in the market price between two periods (adjusted for splits, rights and bonuses).
2. Shares obtained out of spin-offs and restructuring.
3. Dividends earned over this period. 
 
The combination of the three is called ‘total shareholder returns’ (TSR).
 
Unfortunately, one cannot apply this formula to all the listed stocks because hundreds of junk and illiquid companies are listed. So, we have applied this formula to a database of select stocks listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). We started with all companies listed on the BSE and the NSE on 1 November 2014. From among these, we considered only those that have traded for a minimum 90% of the days in the past 10 years. For price appreciation, we considered the average adjusted closing price for the first six months and the last six months of the 10-year period starting 1 November 2014 and ending 31 October 2024.
 
This yielded a list of 1,405 companies. From this, again, we eliminated a handful of companies that have a suspiciously low level of sales and profits after many years of existence and whose share price seems unreasonably inflated. To calculate the TSR, we added capital gains, dividends earned over the 10-year period and restructuring benefits, after adjusting the holdings for bonus and rights issues. The TSR figure was then converted to compounded annual growth and companies were ranked accordingly.
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