Century Enka is engaged in the business of nylon tyre cord fabric and polyester filament yarn. It is a joint venture of B.K Birla group and Accordis group of the Netherlands. It is a debt-free company and has been maintaining healthy dividend payout of 26.8 percent. For FY17, the board of directors has recommended dividend of Rs 7 per equity share. The revenue in FY17 has increased marginally, but profit margins have improved on a YoY basis. The EBITDA margin improved from 11.8 percent to 14.7 percent YoY and PAT margin improved to 7.7 percent from 5.2 percent. Growth in urbanization and increasing demand in industries would be the major growth drivers for the company. On the basis of above factors, we recommend our readers to BUY the scrip.