Company Profile

Sesa Goa Ltd is India's largest producer and exporter of iron ore in the private sector. The
company is a diversified global metals and mining company. They are engaged in the business
of exploration, mining and processing of iron ore. The company has mining operations in Goa
and Karnataka in India. While iron ore from its Goa mines is shipped through the Mormugoa
port, the ore from Karnataka mines is exported through the ports of Goa, Mangalore and
Krishnapatnam. The company operates in three business segments: iron ore, metallurgical coke
and pig iron. The company is also engaged in producing pig iron and metallurgical coke. The
pig iron business focuses on the domestic Indian market, especially to foundries and steel mills
in western and southern India. They also export to the Middle-East and South East Asia. Sesa
Goa Ltd was incorporated in the year 1965. In the year 1979, a single company, Sesa Goa Pvt
Ltd was formed with the amalgamation of Sesa Goa and Mingoa full owned by Finsider SpA.
In the year 1981, the company went public. In the year 1984, they started a barge construction
unit at Sirsaim. In the year 1992, first phase of 150,000 tons per year pig iron plant was
commissioned. Also, they started manufacture of low phosphorous foundry grade pig iron. In
the year 1993, ILA international raised their equity in the company to 51%. In July 1994, they
commissioned their second blast furnace. In January 1995, the company launched Sesa
Shipping with the acquisition of Transhipper MV Oirssa. In April 1995, they commissioned 84
coke ovens. In the year 1997, Sesa Kembla became 100% subsidiary of the company. Also,
they commenced Karnataka mining development. In the year 1999, the company commenced
mining operations in Barbil in Orissa. In the year 2001, the company commissioned a new
process plant for their mining operations at Orissa. In the year 2002, they became the first
business of their king to be certified with OHSAS 18001. Also, the Shipbuilding Division
launched their 60th vessel, MV Toni, mini-bulk carrier. In the year 2003, the company
increased their equity stake to 88.25% in Sesa Industries. In the year 2004, the company
Shipbuilding Division built their 62nd vessel, a 2200T barge for their own fleet. In the year
2007, Vedanta Resources plc, a diversified metals and mining group, listed on the London
Stock Exchange acquired 51% controlling stake in the company from Mitsui & Co Ltd. In June
2009, the company and Dempo Group signed a definitive share purchase agreement under
which the company has acquired all the outstanding common shares of VS Dempo & Co Pvt
Ltd, along with their 100% equity shares of Dempo Mining Corporation Pvt Ltd and 50%
equity shares of Goa Maritime Pvt Ltd. During the year 2009-10, the company announced
setting up of new integrated project to increase the pig iron production capacity by 0.375
million tonnes per annum (mtpa) by setting up a new blast furnace of 450 cubic metres working
volume. They also announced the setting up of a new sinter plant of 75 square metres, a new
non recovery coke plant of 0.280 mtpa based on its own patented coke-making technology. A
30 MW power plant utilising the waste heat from the new coke plant and excess blast furnace
gas from the new blast furnace facilities is also coming up. In February 2011, Sesa Industries
Ltd was amalgamated with the company with appointed date of April 1, 2005. In March 2011,
the company acquired the assets of the upcoming steel plant unit of Bellary Steel and Alloys
Ltd (BSAL) for an all cash deal of Rs 220 crore. BSAL was in the process of putting up a 0.5
mtpa Steel Plant Project at Bellary. The assets of the under construction plant acquired include
a free hold land of around 700 acres, building and structures, plant and machinery and other
assets of the Steel Plant. The assets have been transferred on an 'As is where is' Basis to the

company. In April 19, 2011, the company acquired 200 million shares amounting to 10.4%
stake in Cairn India from Petronas International Corporation Ltd (Petronas) at a price of Rs 331
per share through bulk deal on Bombay Stock Exchange Ltd. This acquisition is in addition to
the Open Offer launched by the company on April 11, 2011 and ends on April 30, 2011. In
August 2011, the company acquired 51% stake in Western Cluster Ltd, Liberia (WCL). WCL,
which has mining interests / rights in the Western Cluster iron ore project in Liberia with a
potential reserves and resources of over 1 billion tonnes. In February 2012, the company
approved the restructuring proposal, in which Sterlite will merge into Sesa Goa to create Sesa
Sterlite, through the issue of Sesa Goa shares to shareholders of Sterlite via a scheme of
arrangement under Indian law. In March 2012, the company completed the acquisition of Goa
Energy Pvt Ltd.

Sesa Goa Ltd

BSE: 500295 | NSE: SESAGOA | ISIN: INE205A01025

Market Cap: [Rs.Cr.] 14,279 | Face Value: [Rs.] 1
Industry: Mining / Minerals / Metals
Profit & Loss
(Rs. in Crores)
Standalone
|
Consolidated
Particulars
INCOME :
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income
EXPENDITURE :
Raw Materials
Power & Fuel Cost
Employee Cost
Other Manufacturing Expenses
Selling and Administration Expenses
Miscellaneous Expenses

Mar-12 Mar-11 Mar-10 Mar-09 Mar-08

Mar-07

7,104.34 8,295.22 5,331.23 5,082.47 3,602.16 2,023.83

78.89
63.65
0.00
0.00
0.00
0.00
7,025.45 8,231.57 5,331.23 5,082.47 3,602.16 2,023.83
386.33 515.20 453.74 253.84 106.15
72.19
-48.56
12.13 130.97
38.44
29.20
-5.64
7,363.22 8,758.90 5,915.94 5,374.75 3,737.51 2,090.38
939.17 933.74 616.09 492.91
16.76
14.97
11.79
10.57
191.44 149.08 113.67
80.62
1,403.28 2,023.32 2,016.72 1,777.01
1,673.77 1,043.95 339.23 144.78
214.01
38.76
49.28 190.68

437.54
10.55
53.15
831.78
107.76
15.70

383.30
10.93
49.88
437.55
268.28
7.14

Less: Pre-operative Expenses

Capitalised
Total Expenditure
Operating Profit
Interest
Gross Profit
Depreciation
Profit Before Tax
Tax
Fringe Benefit tax
Deferred Tax
Reported Net Profit
Extraordinary Items
Adjusted Net Profit
Adjst. below Net Profit
P & L Balance brought forward
Statutory Appropriations
Appropriations
P & L Balance carried down
Dividend
Preference Dividend
Equity Dividend %
Earnings Per Share-Unit Curr
Earnings Per Share(Adj)-Unit Curr
Book Value-Unit Curr

0.00

0.00

0.00

0.00

0.00

0.00

4,438.43 4,203.82 3,146.78 2,696.57 1,456.48 1,157.08

2,924.79 4,555.08 2,769.16 2,678.18 2,281.03 933.30
420.00
86.15
53.69
3.38
1.51
2.17
2,504.79 4,468.93 2,715.47 2,674.80 2,279.52 931.13
83.85
83.13
57.38
44.10
42.58
31.28
2,420.94 4,385.80 2,658.09 2,630.70 2,236.94 899.85
719.00 963.00 538.00 684.00 742.90 287.70
0.00
0.00
0.00
0.75
0.64
0.54
22.00 -10.00
2.00
3.46
1.40
5.20
1,679.94 3,432.80 2,118.09 1,942.49 1,492.00 606.41
22.02
48.78
60.02
22.28
0.30
-1.86
1,657.92 3,384.02 2,058.07 1,920.21 1,491.70 608.27
0.00 283.48
0.00
0.00
0.00
0.00
1,137.72 297.70
95.57
60.31
50.54
51.58
0.00
0.00
0.00
0.00
0.00
0.00
855.56 2,876.26 1,915.96 1,907.23 1,482.23 607.45
1,962.10 1,137.72 297.70
95.57
60.31
50.54
347.64 315.23 270.06 177.13 177.13 157.45
0.00
0.00
0.00
0.00
0.00
0.00
400.00 350.00 325.00 225.00 450.00 400.00
19.24
38.91
24.94
24.29 371.42 147.72
19.24
38.91
24.94
24.29
18.57
7.39
148.58 133.34
86.75
57.39 709.13 382.71

Balance Sheet
(Rs. in Crores)
Standalone
|
Consolidated
Particulars
SOURCES OF FUNDS :
Share Capital
Reserves Total
Total Shareholders Funds
Secured Loans

Mar-12

Mar-11 Mar-10 Mar-09 Mar-08

Mar-07

86.91
86.91 83.10 78.72 39.36 39.36
12,826.2811,501.907,125.614,439.062,751.771,467.00
12,913.1911,588.817,208.714,517.782,791.131,506.36
1.50
3.31
9.61
1.91
0.00
0.00

Unsecured Loans
3,597.63 968.011,916.19
0.00
0.00
0.00
Total Debt
3,599.13 971.321,925.80
1.91
0.00
0.00
Total Liabilities
16,512.3212,560.139,134.514,519.692,791.131,506.36
APPLICATION OF FUNDS :
Gross Block
1,516.26 1,214.55 836.80 739.27 637.82 596.78
Less : Accumulated Depreciation
523.27 454.68 324.65 281.27 239.73 213.87
Less:Impairment of Assets
0.00
0.00
0.00
0.00
0.00
0.00
Net Block
992.99 759.87 512.15 458.00 398.09 382.91
Lease Adjustment
0.00
0.00
0.00
0.00
0.00
0.00
Capital Work in Progress
681.00 504.54 68.01 48.19 15.85 15.94
Investments
14,420.62 9,463.815,478.643,019.682,000.44 867.81
Current Assets, Loans & Advances
Inventories
757.29 636.10 408.66 231.70 263.52 255.01
Sundry Debtors
462.19 506.88 278.46 256.73 443.07 227.14
Cash and Bank
72.01 891.322,377.41 12.17 13.16 14.43
Loans and Advances
310.75 1,282.281,150.461,099.00 50.35 32.49
Total Current Assets
1,602.24 3,316.584,214.991,599.60 770.10 529.07
Less : Current Liabilities and Provisions
Current Liabilities
1,031.20 1,093.19 705.05 313.93 162.50 107.72
Provisions
201.90 399.52 375.03 239.32 177.35 129.55
Total Current Liabilities
1,233.10 1,492.711,080.08 553.25 339.85 237.27
Net Current Assets
369.14 1,823.873,134.911,046.35 430.25 291.80
Miscellaneous Expenses not written off
0.00
0.00
0.00
0.00
0.00
0.00
Deferred Tax Assets
10.80
9.82
4.58
9.34
3.98
4.03
Deferred Tax Liability
95.90
72.92 63.78 61.87 57.48 56.13
Net Deferred Tax
-85.10 -63.10 -59.20 -52.53 -53.50 -52.10
Total Assets
16,378.6512,488.999,134.514,519.692,791.131,506.36
Contingent Liabilities
3,358.65 2,683.361,980.921,791.42 738.79 265.48

Products & Services

Product Name

Unit

Iron Ore
Pig Iron
Sales of Metallurgical
Coke
Hire Charges
Sale of Material
Service Charges
Sale of Carbon Credits
Sale of Slag
Hire of
Ship/Transhipper

MT
MT

% of % Cap. Inst. Prod.

Prodn
Stock
Util.
Cap
85.3
0.0
0
0
11.1
0.0
0
0

Sales
Sales Sales (Rs.)
Qty
(Cr.)
/ Unit
0 6,059.92
0 791.10
-

MT

2.8

0.0

200.73

Rs.
Rs.
Rs.
Rs.
Rs.

0.2
0.1
0.1
0.1
0.1

0.0
0.0
0.0
0.0
0.0

0
0
0
0
0

0
0
0
0
0

0
0
0
0
0

14.16
8.96
8.28
7.94
4.98

Rs.

0.1

0.0

3.68

Sale of Gases
Repairs of Vessels by
Shipyard
Shipping Agency Fees
Excise Duty
Rate of ExchangeDifference
Repairs of Vessels
Technology Licence Fee
Ocean Freight
Exchange Fluctuation
Engineering Products
Vessels

Rs.

0.0

0.0

2.95

Rs.

0.0

0.0

1.64

Rs.
NA

0.0
0.0

0.0
0.0

0
0

0
0

0
0

0.00
0.00

Rs.

0.0

0.0

0.00

Rs.
Rs.
Rs.
NA
Rs.
No

0.0
0.0
0.0
0.0
0.0
0.0

0.0
0.0
0.0
0.0
0.0
0.0

0
0
0
0
0
0

0
0
0
0
0
0

0
0
0
0
0
0

0.00
0.00
0.00
0.00
0.00
0.00

Sesa Goa financial ratio..

Investment Valuation Ratios

Face Value
Dividend Per Share
Operating Profit Per Share (Rs)
Net Operating Profit Per Share
(Rs)
Free Reserves Per Share (Rs)
Bonus in Equity Capital
Profitability Ratios
Operating Profit Margin(%)
Profit Before Interest And Tax
Margin(%)
Gross Profit Margin(%)
Cash Profit Margin(%)
Adjusted Cash Margin(%)
Net Profit Margin(%)
Adjusted Net Profit Margin(%)
Return On Capital
Employed(%)
Return On Net Worth(%)
Adjusted Return on Net
Worth(%)
Return on Assets Excluding

Previous Years
------------------- in Rs. Cr. ------------------Mar
'10

Mar '09

Mar '08

Mar '07

Mar '06

1.00
-46.52

1.00
-41.31

10.00
-660.11

10.00
-319.22

10.00
-280.28

79.96

66.78

962.96

566.77

484.88

94.28
82.45

59.01
87.04

743.15
74.08

402.28
74.07

283.78
74.07

58.18

61.85

68.55

56.32

57.80

55.13

58.62

65.96

53.51

55.57

57.06
36.26
36.26
38.23
38.23

60.87
39.94
39.94
36.41
36.41

67.23
40.55
40.55
40.09
40.09

54.56
30.03
30.03
28.62
28.62

56.25
31.24
31.24
29.75
29.75

40.72

72.11

88.40

77.68

94.02

33.20

42.15

52.24

40.10

49.70

30.55

45.14

51.16

39.66

49.62

95.28

59.90

753.21

412.35

293.84

Revaluations
Return on Assets Including
Revaluations
Return on Long Term Funds(%)
Liquidity And Solvency Ratios
Current Ratio
Quick Ratio
Debt Equity Ratio
Long Term Debt Equity Ratio
Debt Coverage Ratios
Interest Cover
Total Debt to Owners Fund
Financial Charges Coverage
Ratio
Financial Charges Coverage
Ratio Post Tax
Management Efficiency Ratios
Inventory Turnover Ratio
Debtors Turnover Ratio
Investments Turnover Ratio
Fixed Assets Turnover Ratio
Total Assets Turnover Ratio
Asset Turnover Ratio
Average Raw Material Holding
Average Finished Goods Held
Number of Days In Working
Capital
Profit & Loss Account Ratios
Material Cost Composition
Imported Composition of Raw
Materials Consumed
Selling Distribution Cost
Composition
Expenses as Composition of
Total Sales
Cash Flow Indicator Ratios
Dividend Payout Ratio Net
Profit
Dividend Payout Ratio Cash
Profit
Earning Retention Ratio
Cash Earning Retention Ratio
AdjustedCash Flow Times

95.28

59.90

753.21

412.35

293.84

40.76

72.14

88.40

77.68

94.04

3.30
2.96
0.25
0.25

2.55
2.15
---

1.94
1.24
---

1.92
1.00
---

1.80
0.88
0.01
0.01

77.78
0.25

3,436.31
0.00

953.11
--

424.85
--

260.39
0.01

5.13

6.19

8.14

4.30

4.70

4.39

4.66

5.87

3.28

3.52

14.72
20.89
14.72
5.21
0.78
5.21

23.62
13.64
23.62
5.94
1.09
5.94

14.26
10.20
14.26
4.93
1.28
4.93

8.77
8.61
8.77
3.10
1.37
3.10

6.65
8.87
6.65
3.29
1.63
3.29

118.60
50.80

99.24
34.17

189.55
39.59

252.68
29.27

296.37
41.82

168.01

70.72

40.04

48.91

54.75

13.53

13.30

17.15

26.40

26.99

--

--

--

--

--

18.84

19.05

11.70

11.32

11.26

--

--

--

--

--

12.01

10.42

13.37

28.02

31.23

11.68

10.15

12.96

26.43

29.69

86.94
87.33
0.79

90.27
90.50
0.00

86.34
86.78
--

71.67
73.30
--

68.72
70.27
0.02

Source : Dion Global Solutions Limited

Sesa Goa

Previous Years

Cash Flow

Net Profit Before Tax

Net Cash From Operating
Activities
Net Cash (used in)/from
Investing Activities
Net Cash (used in)/from
Financing Activities
Net (decrease)/increase In Cash
and Cash Equivalents
Opening Cash & Cash
Equivalents
Closing Cash & Cash Equivalents

------------------- in Rs. Cr. ------------------Mar '12

Mar '11
Mar '10
Mar '09
Mar '08
12 mths

12 mths

12 mths

12 mths

12 mths

2420.94

4385.80

2658.09

2630.70

2236.94

1538.58

2953.65

2003.48

2077.67

1306.87

-4035.04

-2396.38

-4695.17

-939.87

-1124.57

1692.63

-411.91

2706.14

-1138.96

-183.57

-803.83

145.36

14.45

-1.16

-1.27

866.33

32.97

8.64

9.80

14.43

62.50

178.33

23.09

8.64

13.16

Source : Dion Global Solutions Limited