Xerox India Essentials

ISIN

INE034E01013

Face Value

₹10.00

Total Share

4,48,08,000

Total Income

₹363.32 Cr

Profit After Tax

₹7.52 Cr

EPS

₹1.68

P/E

129.76

P/B

4.52

Market Capitalisation

₹976.81 Cr

Enterprise Value

₹846.06 Cr

Book Value

₹48.24

Intrinsic Value

₹221.00

Earnings Yield

0.77 %

Sector

Materials

Sub-sector

Electronic Equipments

Category

Micro Cap

Cashflow - Operations

₹65.15 Cr

Cashflow - Financing

-₹1.50 Cr

Xerox India Growth

Compounded Sales Growth

  • 8.32%

    1 Year

  • -10.45%

    4 Year

  • -6.32%

    6 Year

Pro Only

Compounded Profit Growth

  • -41.81%

    1 Year

  • -31.31%

    3 Year

  • -14.25%

    6 Year

Pro Only

Return On Equity

  • 3.48%

    2022

  • 7.10%

    2019

  • 25.12%

    2017

Pro Only

About Xerox India

  • Xerox India Limited is a subsidiary of Xerox Holdings Corporation. It provides document management solutions to government, education, commercial and other public sector customers. It offers printing and publishing systems; digital multifunction devices; digital copiers; laser and ink printers; fax machines; document-management software; and supplies, such as toner, paper, and ink.
  • The company also provides software and solutions that are used by businesses to print books, create personalized documents, and scan and route digital information. In addition, it offers document management services, such as operating in-house production centers, developing online document repositories, and analyzing how customers create and share documents in the office.
  • The company was formerly known as Xerox ModiCorp Ltd. and changed its name to Xerox India Limited in March 2005. The company was founded in 1983 and is based in Gurugram, India. Xerox India Limited operates as a subsidiary of Xerox Corporation.

  • Xerox India IPO Details

The company has no plan to public as of now.

  • Xerox India Merger & Acquisition

Acquisition

  • On 29 September 2017, Xerox Investments Europe B.V. acquired a 7% stake in Xerox India Limited from Modi Rubber Limited for approximately INR 250 Mn. Modi Rubber Limited sold 3.14 Mn shares at the price of INR 80 per share.
  • On 30 September 1999, Xerox Modicorp Ltd. announced that it has acquired public holdings of Modi Xerox Ltd. for INR 968.2 million (US $22.66 Mn). It has acquired 64,54,552 shares of Modi Xerox.
  • Xerox India Subsidiaries

  • The company does not have any subsidiary/ joint venture/ associate company.

Xerox India Business Model

  • The company operates in xerographic equipment, multi-function gadgets, laser printers, systems, consumables, paper, and after-sale services.
  • Xerox India Revenue Segmentation

  • Revenue generated from traded of Equipment
  • Revenue generated from traded of Components
  • Other Operating revenue
  • Revenue generated from traded of paper
  • Other Income
  • Revenue generated from services
  • Xerox India Product & Services

Products:

  • Desktop Printer
  • Office Printer
  • Scanners
  • Office Software

Services:

  • Intelligent Workplace Services: Through the use of its portfolio of analytics, cloud, digitization, and ConnectKey technologies, Intelligent Workplace Services (IWS), which goes beyond the traditional MPS offering, enables businesses to optimize their print infrastructure, secure their print environment, and automate related business processes.
  • Workplace Solutions: Four major pillars make up Workplace Solutions. The business offers entry-level and mid-range goods in the A3 and A4 categories that are built on the same technological, industrial, and product platforms. The firm provides a variety of customizable license choices for its products that may be scaled up as needed to fit the needs of any business. Depending on the needs of the customer, the firm offers both Workplace Suite and Workplace Cloud.
  • Production Solutions: Customers with large volume printing needs in graphic communications and production print environments are the target audience for production solutions.
  • Xerox India Assets

Assets as on March 2022:
Assets Amount in Lacs.
Leasehold land Rs.36
Buildings Rs.52
FurnitureRs.4
Office EquipmentRs.29
ComputersRs.70
  • Xerox India Industry Overview

Industry Statistics

Printer Industry:

  • The printing industry is the sector that deals with the production of printed materials. Digital printing systems are cutting-edge printing technology that prints electronic files created using computer software. Digital printing transfers pictures to different media surfaces such as paper, cloth, and ceramic utilizing digital formats such as PDF and JIP. The end-use manufacturer may expedite the digital printing technology's image design and production process.
  • According to Euromonitor, India has the fifth-highest printing industry turnover in the Asia Pacific. Since exports made up 5.4% of total manufacturing output in FY20, the printing sector is mostly dependent on growth in local demand. In terms of export share, India comes in third in the Asia Pacific area. In FY20, industry expenses dropped by 10.2%. Costs incurred in B2B transactions, which made up 73% of all industry spending in FY20, had a significant influence on the change. The industry's productivity fell over the year as a result of a 9.4% decrease in turnover per employee in Fy20, which outpaced the increase in labor costs.


Covid-19 Impact on Indian Printer Industry:

  • The COVID-19 pandemic is anticipated to have completely subsided by FY22, and the industry's turnover is anticipated the rank will drop by FY25. The sector's production value is anticipated to increase between FY20 and FY25 at a CAGR of 5.6%.

Growth Drivers in Printing Industry:

  • An increase in the use of highly customized labels- The implementation of digital printing has become critical as big consumer-oriented manufacturers steadily migrate to customized packaging to improve shelf visibility and, as a result, attract customers. Digital prints wrapped over the glass fronts of office buildings and large digitally printed banners draped along the sides of buildings are in high demand. 
  • Innovation and Digitalization: Innovations and digital integration are aligned as significant drivers, as market players take advantage of replacing toner in less than 20 seconds, loading paper less frequently, hands-free voice-activated printing, and reducing common printing interruptions. Mobile scanning, Ethernet, and Wi-Fi Direct are all available on business-oriented printers, which also support printing from an iPad, iPhone, Android tablet, or smartphone.

Market Trend in Printing Industry:

  • Touchless solutions: We must avoid coming into contact with their production process, supply chain, and service delivery because we are all aware of the coronavirus's capacity for rapid transmission. As a result, OEMs began producing printers that include touchless components like ID cards, RFID tags, or smart barcodes for touchless automation. In the coming years, we anticipate that touchless gadgets will become increasingly crucial in the new global order.
  • Cloud printing: Although cloud printing was nothing new, the epidemic has made it quite evident that it will be the way printing is done in the future. The ground-breaking technology makes printing simpler and significantly lowers the total cost of ownership. By implementing QR/ Barcoding, businesses are moving toward more automated and predictive solutions to increase efficiency across the whole product production process, including automation in the supply chain management of a large number of printed documents. Additionally, printed materials are becoming more customized, and printing with changeable data is becoming common.

Peers:

  • Canon, HP, Richo, and Konica Minolta are the peers of the company.

Future Prospects

Outlook:

  • The fast expansion in industrialization has resulted in an increase in demand for digital printing. In addition, digital printing is increasingly being utilized for printing labels in E-commerce shipments, with the rise in the number of E-commerce shipments in India functioning as a significant driving force. According to Chromatus Global Industry Reports, growth in FY28 would be approximately $2.1Bn., up 43% from FY17. From FY17 to FY28, the industry's CAGR is predicted to be 10%.

Government Initiatives

Government Regulator

  • Ministry of Electronics and Information Technology - The Ministry of Electronics and Information Technology (MeitY) is a cabinet-level agency of the Republic of India's Union Government. On July 19, 2016, it was separated from the Ministry of Communications and Information Technology to become a separate ministerial agency in charge of IT policy, strategy, and development in the electronics sector.
  •  India's Ministry of Home Affairs and the National Critical Information Infrastructure Protection Centre are developing a new national cybersecurity policy.
  • Software Technology Park of India and Special Economic Zones receive government help in the form of tax exemptions. The government announced intentions to develop a national artificial intelligence program and create a national artificial intelligence site in the 2018 Union Budget.

  • All India Federation of Master Printers (AIFMP) - The All India Federation of Master Printers (AIFMP), which was founded in 1953, is the world's biggest printers' organization, representing over 250,000 printing enterprises in India. The AIFMP is made up of several regional organizations from all around the United States. AIFMP supports, participates in, and organizes several regional, national, and international events to lobby for Indian printers' interests, showcasing the Indian printing industry's achievements, and holding technical seminars to educate printers about global trends and technologies to strengthen the printing industry.

Xerox India Strengths

  • The company is a subsidiary of Xerox Corporation Holding which is a very big brand in the market. Brand recognition will help the company to capture its market share.
  • The company has minimal debt which shows a strong solvency position.
  • As per the MNS credit management on the basis of the financials of FY21, the company got 62 points out of 100 which signifies a good position in the market. Thought it is worth noticing that the financial position of the company has improved in FY22.

Xerox India Shortcomings

  • The demand for products and services is totally dependent on the value of Xerox Corporation's holding. If it will fall then eventually the company will fall.

Xerox India Opportunities

  • Custom clothing printing, which includes custom t-shirt printing, is likewise dominated by the Asia-Pacific area. In addition, the region is predicted to develop at a high rate in the next years. As a result, big format printer demand is likely to grow, which offers a great opportunity for the company to increase their production in this segment.

Xerox India Threats

  • Due to excessive market rivalry and lower costs for their goods and services, the new businesses have flooded the market. India is a market where prices are important. The company's revenue might be significantly impacted.
Xerox India Rating

  • RECOMMENDATION

    Strong Sell

  • Xerox India Detail Info

Industry Statistics

PRIVATE LIMITED

Registered In

India

last Updated

28/07/2022

Registered Date

29/12/1995

Planify Ticker

Xerox

Reg Office: Xerox India Limited 5th Floor, Block One, Vatika Business Park, Sector 49, Sohna Road, Gurugram - 122018, Haryana

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