315-323-1

Bhushan Steel: A tryst with destiny

This case was written by Swati Gupta and Dr. Rajesh Tripathi, College of Management and Economics
Studies, UPES, Dehradun. Authors of the case acknowledge the contribution of our two students Nikita
Das and Hitakshi Nijhara (MA-Energy Economics).It was compiled from published sources, and is
intended to be used as a basis for class discussion rather than to illustrate effective or ineffective handling
of a management situation.

© 2015 UPES Dehradun

UPES, Kandholi Campus,

Dehradun, India – 248007

Ph. No.: 09415649354

Email: rajesh.tripathi@ddn.upes.ac.in
 315-323-1

Abstract

Bhushan Steel Pvt Ltd., founded in 1987 was doing very well in the 2000s, having neared the
pinnacle of success. However, by 2012, there was a stark decline in return on equity from
26.07 to 20.77, eroding faith of financial institutions. Further unfavorbale market
germinated a highly precarious situation of the company . The case study gives us the general
overview of the company’s crises; its tryst with destiny and possible solutions to restore the
company’s lost paradise. The case has been prepared for students pursuing post graduate
degree in Management, covering the arenas of corporate finance and strategy.

Introduction

Bhushan Steel is on the crossroad as a series of events has put a jolt on its speeding chariot
forcing its management to revisit its strategy on war footing . Steel giant’s heaven started
witnessing shades of hell only three days after it’s Vice - Chairman and Managing Director,
Neeraj Singhal was arrested in connection with the bribery case with Syndicate Bank. Adding
woes on the 8th of August 2014, Bhushan Steel share prices fell by a whopping 42.39%, the
lowest since 2009.

Giving no respite to organization belligerent with its own fate, State Bank of India (SBI), a big
lender to the firm is now putting weight for an external agency to take over the day-to- day
management of the company.

To dub it as a boon or bane for the company, JSW Steel Ltd, the third-largest steel maker in
India, is eying on Bhushan Steel's Odisha unit by unveiling its intention to buy the unit.
Amidst all, there was shock and disbelief wrought in every shareholder’s face. Although they
had not shown any signs of strife or unhealthy debt structure in the recent past, but a detailed
study shows that their disastrous beginning to the end had already started.

From sublimation to Annihilation

Bhushan Steel, formerly known as Bhushan Steel and Strips was founded in 1987. It is one of
the globally renowned leading prominent players in the steel Industry. Backed by more than
two decades of experience in Steel making, Bhushan Steel is now India’s third largest
secondary steel producer company with an existing steel production capacity of two million
tonnes per annum and has a turnover of more than USD 540 million. It is a merged entity of
Bhushan Industries Ltd., Bhushan Metallic’s Ltd. and Décor Steel Ltd.
Brij Bhushan Singal, - a law graduate and the founder had a vision whose first stake was
driven into the soil of Sahibabad (Uttar Pradesh). His son, Neeraj Singal, is Vice Chairman &
MD of the company. With over 20 years of experience in senior management positions, he is
believed to have given a new dimension to Bhushan Steels.

2
 315-323-1

Source: Company data

Notes: 1 Post phase III; 2 Attributable to Bhushan Steel; 3 Including 300 MW from Bhushan
Energy Ltd; 4 Under commission & shall be operational in FY15

The company is working under three segments, namely, manufacturing facilities, mining
assets and power. Under these segments, above chart highlight there unit area with
capacities. They are the first player in the country to make specialized steel for automobile
and white goods. Bhushan is the first Indian company to set up a Greenfiled steel making
plant in 15 years. Also they are the first Indian company to forge technical alliances with
Sumitomo in 1996. They are key auto majors, suppliers
SHORT TERM DEBT 1,046 for Maruti Suzuki, Tata Motors, M&M, Bajaj Auto, Ashok
LONG TERM DEBT 4,261 Leyland, Ford and Honda. For white good majors, they
SECURED (NON CONVERTIBLE DEBENTURES) 338
supply to LG, Samsung, Videocon, etc.
TERMLOANS 4,481
UNSECURED TERM LOANS (FOREIGN CURRENCY LOANS) 6
CURRENT MATURITY OF LONG TERM DEBT
Zooming to zenith of success, Bhushan Steel now ended
564
TOTAL DEBT up falling in a debt trap. Their debt ratio was at a gradual
5,871
CASH &CASH EQUIVALENTS rise from early 2000s to well above 2:1 by the later part
14
NET DEBT of it. Their stakes were put into the coal- bidding that was
5,857
done. However, they fell into trouble after the
companies were alleged to have some illegal dealings during the coal scam in 2012. This
resulted in the de-allocation of their coal blocks and also brought bad name for them in the
market. Rampant debt dealings opened an unresolved maze of debt trap. The Company

3
 315-323-1

began to find loan repayment difficult, thus emerging

as defaulters. Accused of bribing the Syndicate Bank
CMD for an extension credit limits, the Chairman of
company Neeraj Singhal was booked thus leading to
further downfall of the company.

Indian Steel Industry: An overview

A century old industry which is the first core sector
to be completely free from the licensing regime and
the pricing and distribution controls, has evolved in
production capacity to its consumption. It has become
the third largest producer of crude steel in the world.
For sponge iron, India is the largest producer in the
world with the coal based route accounting for 90% of
total sponge iron production in the country.

Source: http://www.cci.in/pdfs/surveys-reports/iron-and-steel-industry-in-india.pdf

Indian steel industry provides major cost advantage in domestic raw material availability
and cheap labour. In addition, presence of iron ore in abundant gives an advantage to the
industry. Currently, India is second after China in consumption of steel.

Advance licensing scheme allows duty free import of raw materials for exports in India.
Duty Entitlement Pass Book Scheme (DEPB) introduced to facilitate Indian steel export.

4
 315-323-1

Under this scheme, exporters on the basis of notified entitlement rates, are granted due
credits which would entitle them to import duty free goods.

Source: http://www.cci.in/pdfs/surveys-reports/iron-and-steel-industry-in-india.pdf

In the recent past, Indian steel industry and its associated sectors have attracted
investments especially FDI of US$ 1,671.87 million and US$ 8,679.72 million,
respectively,in the period April 2000 to June 2015 (Source: Deptt of Industrial Policy and
Promotion).

Steel Players
The industry have big players like SAIL and TATA Steel. SAIL is a state owned public sector
undertaking and India’s largest steel
manufacturer, on the other hand,
TATA Steel has been ranked as
world’s sixth largest producer of the
alloy as per London based Iron and
Steel Statistics Bureau.

Lakshmi Mittal, Indian steel

magnate,is the chairman and CEO of
Arcelor Mittal, has been emerged as
the largest producer with total
production of 118 million metric
tonnes in 2006. Mittal steel has announced a 12 mtpa greenfield steel project in Jharkhand
and a 12 mtpa greenfield steel plan in Orrisa in result of huge demand of steel in India.

Indian steel industry is outreaching the global boundaries for collaboration. Acquisition of
Anglo-Dutch steelmaker Corus by Tata steel making it world’s fifth largest steelmaker, is

5
 315-323-1

starting a US$ 103 million project in South Africa. Jindal steel eyeing on the stake in
Thailand’s largest stainless steel producer. Essar is collaborating with two state- run
Vietnamese companies to set up a US$ 527 million plant in that country.

On crossroad

On August 8th the share price of the company came crashing down by 40%. Nearly 4000
crore* was wiped out in market capitalization. The share prices have mostly been volatile,
ever since, only stabilizing in the last few days of October.
As of now, the company has a 40000 crore debt burden from thirty five lenders. Bhushan,
which operates plants in Maharashtra, Odisha and Uttar Pradesh producing 2.7 million
tonnes of steel (another 2.5 mt to be commissioned this year) has agreed to pare its debt, but
simultaneously has sought time from banks in order to position itself to sell some of its non-
core assets. But for now, banks want it to carry out a sale-and-leaseback that would help it
raise immediate funds and ease its debt position, further helping in continuing to run
operations smoothly.

In a bid to strike balance between financial structure and debt-equity ratio, company as per
Hindu Business Line (Leading Indian Business newspaper) report, is looking to raise Rs.
6,000 crore via redeemable preference shares as coupling magnitude of debt and operational
stress would invite more downgrades in wake of debt downgrading by six and 16 notches
by CARE and Brickworks, respectively.

Not only financial restructuring, but company is also giving a piece of mind to stand on its
own by capacity utilization.

* 1 Crore is equal to 10 Million

6
 315-323-1

Source: Company Data

Notes: 1 Investment through Bhushan Steel’s promoters and Bhushan Energy

2 Attributable to Bhushan Steel

“We plan to focus on raising the top line. We will focus on catering to large clients and original
equipment makers of the automobile segment as well as the white goods market,” Nitin
Johari, chief financial officer, told the Business Standard (June 27 2015). “For this, the
capacity utilisation will also be raised to over 90 per cent from the current 65-68 per cent,”
he added

For now, Bhushan’s debt has been rated as standard by banks that have exposure to the
company but time appears to be running out for it as it faces an imminent threat of a takeover
or have its assets stripped down threadbare.

The Sajjan Jindal-led JSW Steel is reported to be in talks to buy Bhushan Steel's Odisha steel
unit and is also looking at buying out Bhushan Steel's promoter stake in Orissa Spong, in a
deal worth about Rs30,000 crore.

Bhushan Steel has a total debt of around Rs35, 000 crore on its books, which it has so far
failed to, bring down. Creditors have now asked Bhushan Steel to sell its Odisha unit, which
is an integrated steel plant with a capacity of 5.6 million tonnes.

7
 315-323-1

The promoters of Bhushan Steel are now left with no alternative than sell off the Odisha
unit in order to bring down its debt

ORISSA PLANT

Even so, some analysts aver that even as the stock could trade pressured in the near term,
the colossal crash in its price could sense a “high-risk, high-return play” for investors. After
all, a company with an expected steelmaking capacity of about 5 mtpa is being quoted at
about Rs. 3,000 crore market capitalization when 1 mtpa capacity expansion costs about Rs.
3,000-4,000 crore*. “Bhushan Steel is high-risk, high-reward for investors looking from a
two-three years’ perspective but only below Rs. 100 levels.

“While we are expecting the steel industry outlook to improve, we don’t know how big the
hole is in the books of Bhushan Steel. On an enterprise value basis, its value should be Rs.
42,000-45,000 crore, looking at the gross block and the capital work-in-progress,” Giriraj
Daga of Nirmal Bang told Business Standard (August 18 2014). “We believe it will be difficult
for existing management to revive, as rating agencies have also downgraded the debt.
Bankers have limited options but to take over the company and sell it to a third party which
will bring in money.”

Betting on prevailing premonition one of the major lending agencies –State Bank of India- is
toeing the line of “Management-in and Management- out”

8
 315-323-1

“The suggestion that I have made, which has been accepted by the banks that I have talked
to, is that we will try to bring in an external management agency which will oversee the day-
to-day running of the company,” State Bank of India Chairperson Arundhati Bhattacharya
said (Septmeber 5 2014).

However, Arun Tiwari of Union Bank of India thinks otherwise - when he says that the crisis
at Bhushan Steel has not reached to such an extreme level. “One person has been taken into
custody, but large organizations are not run by one person. Bhushan Steel is an institution
and institutions are not run by an individual” he observes.

Analysts believe that there is still a silver lining for the company. "Bhushan's managing
director has been released on bail, which is a relief. Now, it is crucial it does two things: First,
it has to ramp up production. Though capacity expansion has not come at a good time,
Bhushan Steel is capable of generating high EBITDA (earnings before interest, tax,
depreciation and amortisation) per tonne, owing to its focus on value-added products. Last
year, its Ebidta stood at about Rs 13,000 a tonne, which compares well with Tata Steel's Rs
14,500," concurs an analyst with a leading brokerage firm.

According to market experts Bhushan has to do a bit of everything- sell and lease-back core
assets, sell non-core assets, possibly get a strategic partner, undergo debt restructuring and
ramp up operations.

REFERENCE

1. http://www.thehindubusinessline.com/companies/bhushan-steel-aims-to-raise-
6000-cr/article6332427.ece
2. http://www.indiainfoline.com/article/research-recommendation-equity/steel-in-
transition-phase-114040101342_1.html
3. http://www.indiainfoline.com/article/research-recommendation-equity/bhushan-
steel-ltd-growth-story-priced-in-113111500090_1.html
4. http://www.moneylife.in/article/bhushan-steels-dubious-
restructuring/43475.html
5. http://www.businesstoday.in/magazine/cover-story/bhushan-steel-syndicate-
bank-cbi-neeraj-singal/story/209550.html
6. http://bsmedia.business-standard.com/_media/bs/data/market-reports/equity-
brokertips/2013-11/13850177300.57493100.pdf
7. http://bsmedia.business-standard.com/_media/bs/data/market-reports/equity-
brokertips/2014-02/13927319980.44843400.pdf
8. http://bsmedia.business-standard.com/_media/bs/data/market-reports/equity-
brokertips/2014-06/14017094630.46161000.pdf

9
 315-323-1

9. http://www.dnaindia.com/money/report-bhushan-steel-promoters-may-have-to-
sell-personal-properties-2016923
10. http://www.livemint.com/Companies/Xuuqd3iEKgZpnDlOuh7iaM/Bhushan-Steel-
creditors-ask-firm-to-sell-Odisha-plant.html
11. http://in.reuters.com/article/2014/08/12/india-bhushan-steel-
idINL4N0QI3MT20140812
12. http://in.reuters.com/article/2015/07/28/india-steel-debt-
idINL3N1083IW20150728
13. http://in.reuters.com/article/2014/08/18/bhushan-steel-banks-
idINL4N0QO1ZX20140818
14. http://in.reuters.com/article/2014/08/18/bhushan-steel-banks-
idINKBN0GI14Y20140818
15. http://www.firstpost.com/business/money/why-did-banks-wake-up-to-bhushan-
steels-woes-only-post-syndicate-bank-scam-2011273.html
16. http://profit.ndtv.com/news/market/article-bhushan-steels-market-cap-slumps-
rs-4-598-crore-in-five-sessions-635916
17. http://www.firstpost.com/business/corporate-business/coal-scam-verdict-
beginning-of-the-end-for-bhushan-steel-prakash-industries-1986113.html
18. http://www.dnaindia.com/india/report-11-things-you-need-to-know-about-the-
coal-block-allocation-scam-2013511
19. http://coalscam.org/reports/view/1530#.VMTP5f7LdCa
20. http://coalscam.org/reports/view/1666#.VMTP_v7LdCa
21. http://coalscam.org/reports/view/1550#.VMTPyf7LdCa
22. http://profit.ndtv.com/news/corporates/article-bhushan-steel-promoters-among-
260-sebi-barred-entities-716654
23. http://www.business-standard.com/article/companies/can-the-singals-solve-
bhushan-s-debt-crisis-114082001343_1.html
24. http://www.steelguru.com/interview/detail/316/Illegal_mining_issue_unlikely_to_i
mpact_Bhushan_Steel_Mr_Singhal.html
25. http://www.theindianrepublic.com/business/happening-share-price-bhushan-
steel-100045214.html
26. http://www.careratings.com/upload/CompanyFiles/RR/BHUSHAN%20STEEL%20
LIMITED.-08022013.pdf
27. http://www.careratings.com/upload/CompanyFiles/PR/BHUSHAN%20STEEL%20
LTD-08-06-2014.pdf
28. http://hindi.moneycontrol.com/india/messageboardblog/message_thread/249530
87
29. http://in.reuters.com/finance/stocks/financialHighlights?symbol=BSSL.BO
30. http://frustrationsamalgamated.blogspot.in/2014/08/bhushan-steel-and-friendly-
bankers.html

10
 315-323-1

31. http://www.bpsl.net/pdf/annual-report/bpsl_annual_report_2014.pdf
32. http://www.bhushan-group.org/ViewerJS/ANNUAL%20REPORT%202014%20-
%202015.pdf
33. http://www.bhushan-group.org/ViewerJS/BSLAnnualReport%20201314.pdf
34. http://www.businesstoday.in/magazine/cover-story/bhushan-steel-syndicate-
bank-cbi-neeraj-singal/story/209550.html
35. http://www.indiainfoline.com/article/research-recommendation-equity/bhushan-
steel-ltd-growth-story-priced-in-113111500090_1.html
36. http://www.bpsl.net/
37. http://www.bhushan-group.org/
38. http://www.business-standard.com/company/bhushan-steel-3169.html
39. http://www.business-standard.com/article/markets/bhushan-steel-time-running-
out-114081800963_1.html
40. http://www.dailypioneer.com/business/bhushan-steel-plans-to-sell-non-core-
assets-to-garner-rs-2500-cr.html

11
 315-323-1

Exhibit 1

The Company has three units of production in India- Sahibabad unit in Uttar Pradesh,
Khopoli unit in Maharashtra and Meramandali unit in Odisha while its sales spans across
many countries.
The company specializes in the products like cold rolled closed annealed, galvanized sheet
and coil, high tensile steel strapping, colour coated coils, galume sheet and coils, hardened
and tempered steel strips, billets, sponge iron , precision tubes and HFW/ERW pipes.

12
 315-323-1

Exhibit 2

It boasts of a series of gradual successes after its humble beginning in 1987. The company
was doing very well in the 2000s, having neared the pinnacle of success when it had
commissioned two million tonnes (mt) of capacity. It was also in talks with Japan’s
Sumitomo for a two-mt plant, undeterred by the violence over land acquisition in Nandigram
(West Bengal). However, following the new state government’s hands-off policy in acquiring
land for industrial projects, the company was pushed to review its plans.

Its customers are quality conscious and include Automobile and Whit goods/ Domestic
Appliances and General Engineering Industries, MarutiUdyog, Honda Siel Cars, Telco,
Hindustan Motors, General Motor, Hyundai Motors, Ford Motors, Mahindra and Mahindra,
Eicher Tractors, Ashok Leyland, LG Electronoics, Whirlpool, Videocon, Daikin Shriram,
National Matsushita, Samsung Electronics, Godrej, Voltas, IFB, Fedders Lloyd, Carrier
Refrigeration, Electrolux Group, Hitachi Air conditioners, SKF Bearing, Crompton Greaves,
Phillips Inida, Bhel, Alstom Limited, Larsen and Toubro, GE Motors, BPL, Johnson Lift, Kone
Elevator, Lucas TVS, NRB bearing, Harsha Engineers Limited, Bundy India Limited,
Tecumesh, Bajaj Auto, Bajaj Tempo, Honda Motorcycle, Yamaha.

13
 315-323-1
Exhibit 3
MANAGEMENT TEAM
14
 315-323-1

Exhibit 4
CAPITAL STRUCTURE

Capital Structure
Period Instrument --- CAPITAL (Rs. cr) --- -PAIDUP-
From To Authorised Issued Shares (nos) Face Value Capital
2014 2015 Equity Share 80 46.12 226514746 2 45.3

2013 2014 Equity Share 80 46.12 226514746 2 45.3

2012 2013 Equity Share 80 46.12 14157220 1 1.42

2011 2012 Equity Share 80 43.29 212358310 2 42.47

2010 2011 Equity Share 80 43.29 212358310 2 42.47

2009 2010 Equity Share 80 43.29 42471662 10 42.47

2008 2009 Equity Share 80 43.29 42471662 10 42.47

2007 2008 Equity Share 80 43.29 42471662 10 42.47

2006 2007 Equity Share 80 43.29 42471662 10 42.47

2005 2006 Equity Share 80 42.09 41271662 10 41.27

2004 2005 Equity Share 80 41.29 40471662 10 40.47

2003 2004 Equity Share 80 41.29 40471662 10 40.47

2002 2003 Equity Share 80 41.29 40471662 10 40.47

2001 2002 Equity Share 50 33.04 33039600 10 33.04

1999 2001 Equity Share 50 33.04 33039600 10 33.04

1998 1999 Equity Share 50 33.04 33039600 10 33.04

1997 1998 Equity Share 50 33.04 33039600 10 33.04

1996 1997 Equity Share 50 33.04 31954920 10 31.95

1995 1996 Equity Share 50 261.45 26144800 10 26.14

1994 1995 Equity Share 50 11 11000000 10 11

1993 1994 Equity Share 15 11 11000000 10 11

1992 1993 Equity Share 15 8.36 8356400 10 8.36

Source : Asian CERC

15
 315-323-1

Exhibit 5
KEY FINANCIAL RATIOS (2006-2015)

Mar'1 Mar'1 Mar'1 Mar'1 Mar'1 Mar '10 Mar '09 Mar'0 Mar'0 Mar'0
5 4 3 2 1 8 7 6
Investment Valuation Ratios

Dividend Per -- 0.5 0.5 0.5 0.5 2.5 2.5 2.5 2.5 2.5
Share
Operating Profit 95.97 118.91 146.35 141.46 95.61 342.05 257.44 196.68 147.89 96
Per Share (Rs)
Net Operating 469.98 427.16 474.33 468.14 326.99 1,323.6 1,173.8 984.24 901.68 676.97
Profit Per Share 5 9
(Rs)
Free Reserves Per -- -- -- -- 263.75 898.06 454.63 364.45 254.72 198.1
Share (Rs)
Profitability Ratios
Operating Profit 20.42 27.83 30.85 30.21 29.24 25.84 21.93 19.98 16.4 14.18
Margin(%)
Profit Before 11.59 17.82 23.08 23.91 25.15 22 17.16 14.86 10.89 8.21
Interest And Tax
Margin(%)
Gross Profit 11.6 17.87 23.12 23.98 25.23 22.12 17.22 14.92 15.12 12.43
Margin(%)
Cash Profit -2.86 10.57 16.16 16.48 19.07 17.12 17.06 14.98 13.57 11.41
Margin(%)
Adjusted Cash -2.86 10.57 16.16 16.48 19.07 17.12 17.06 14.98 13.02 11.68
Margin(%)
Net Profit -11.77 0.64 8.45 10.29 14.47 14.96 8.42 10.09 8.14 5.5
Margin(%)
Adjusted Net -11.76 0.63 8.44 10.26 14.42 14.96 8.42 10.09 7.59 5.77
Profit Margin(%)
Return On Capital 2.69 4.29 6.95 8.73 7.89 8.27 8.34 8.72 9.81 8.28
Employed(%)
Return On Net -16.17 0.57 10.05 13.89 17.18 21.37 20.77 26.07 25.79 17.29
Worth(%)
Adjusted Return -16.04 0.57 10.05 13.89 17.96 19.18 30.54 25.69 24.06 18.21
on Net Worth(%)
Return on Assets 342.16 399.5 394.96 344.25 274.43 931.21 477.51 382.68 285.96 215.56
Excluding
Revaluations

16
 315-323-1

Return on Assets 342.16 399.5 394.96 344.25 274.43 931.21 477.51 382.68 285.96 215.56
Including
Revaluations
Return on Long 3.21 5.06 8.14 10.51 8.19 8.57 9.1 10.26 11.44 9.9
Term Funds(%)
Liquidity And Solvency Ratios

Current Ratio 0.63 0.54 0.71 0.64 1.04 1.23 1.06 0.76 0.81 0.83
Quick Ratio 0.91 0.57 0.89 0.86 0.67 0.93 0.92 0.88 1.07 1.2
Debt Equity Ratio 4.99 3.53 3.02 2.72 2.86 2.89 3.98 3.52 2.67 2.29
Long Term Debt 4.01 2.84 2.43 2.14 2.72 2.76 3.75 2.84 2.15 1.75
Equity Ratio
Debt Coverage Ratios
Interest Cover 0.5 1.06 1.94 2.3 10.94 9.2 15.02 10.95 6.81 4.09
Total Debt to 4.99 3.53 3.02 2.72 2.86 2.89 3.98 3.52 2.67 2.29
Owners Fund
Financial Charges 0.88 1.64 2.59 2.9 5.8 7.06 9.47 7.9 7.53 5.42
Coverage Ratio
Financial Charges 0.87 1.62 2.35 2.57 4.62 6.02 6.59 6.89 7.08 5.25
Coverage Ratio
Post Tax
Management Efficiency Ratios

Inventory 1.6 1.49 2.12 3 2.58 3.35 4.75 4.4 5.09 5.91
Turnover Ratio
Debtors Turnover 4.38 4.03 6.03 11.67 11.41 8.31 8.06 7.23 8.12 7.51
Ratio
Investments 1.6 1.49 2.12 3 2.58 3.35 4.75 4.4 5.84 6.96
Turnover Ratio
Fixed Assets 0.26 0.37 0.5 0.55 0.48 1.53 1.53 1.44 1.3 1.49
Turnover Ratio
Total Assets 0.23 0.24 0.3 0.36 0.31 0.37 0.48 0.57 0.86 0.95
Turnover Ratio
Asset Turnover 0.24 0.25 0.34 0.4 0.37 0.43 0.56 0.71 1.04 1.12
Ratio
Average Raw -- -- -- -- 146.82 100.33 79.39 61.67 47.49 35.46
Material Holding
Average Finished -- -- -- -- 53.63 32.42 21.12 36.73 20.72 18.09
Goods Held
Number of Days In 255.21 133.99 207.25 127.86 155.05 117.64 79.49 82.5 77.09 76.66
Working
Capital

17
 315-323-1

Profit & Loss Account Ratios

Material Cost 57.22 57.28 57.58 57.6 64.88 72.09 67.73 77.12 78.46 75.59
Composition
Imported 36.76 26.06 22.05 23.03 34.14 49.07 36.97 37.82 33.74 63.28
Composition of
Raw Materials
Consumed
Selling -- -- -- -- 3.23 3.1 2.81 2.05 2.66 2.14
Distribution Cost
Composition
Expenses as 14.43 19.64 16.87 14.65 17.37 21.71 29.34 30.14 39.86 35.99
Composition of
Total Sales
Cash Flow Indicator Ratios

Dividend Payout -- 21.8 1.25 1.04 1.06 1.25 2.52 2.5 3.38 6.68
Ratio Net Profit
Dividend Payout -- 1.11 0.65 0.64 0.83 1 1.61 1.67 2.03 3.22
Ratio Cash Profit
Earning -- 78.2 98.75 98.96 98.99 98.61 98.29 97.46 96.37 93.64
Retention Ratio
Cash Earning -- 98.89 99.35 99.36 99.2 98.91 98.76 98.32 97.89 96.86
Retention Ratio
AdjustedCash -- 31.03 15.46 12.06 12.49 11.78 9.45 9.09 6.47 6.21
Flow Times
Earning per share -55.35 2.29 39.72 47.84 47.16 199.09 99.2 99.77 73.76 37.42
Book Value 342.16 399.5 394.96 344.25 274.43 931.21 477.51 382.68 285.96 215.56

18