1. Summary Information
|
|
|
Country |
|
|
Company Name |
BHUSHAN STEEL LIMITED |
Principal Name 1 |
Mr. Brij Bhushan
Singal |
|
Status |
Good |
Principal Name 2 |
Mr. Neeraj Singal |
|
|
|
Registration # |
014942 |
|
Street Address |
F Block, 1st Floor, |
||
|
Established Date |
07.01.1983 |
SIC Code |
-- |
|
Telephone# |
91-11-26462373 |
Business Style 1 |
Cold Rolled Steel Strips |
|
Fax # |
91-11-26478750 |
Business Style 2 |
Galvanized Cold Rolled Steel Strips |
|
Homepage |
Product Name 1 |
Cold Rolled |
|
|
# of employees |
3481 Approximately |
Product Name 2 |
Galvanised |
|
Paid up capital |
80000000 |
Product Name 3 |
Bhushan Galume |
|
Shareholders |
5,294,006 (3.28) |
Banking |
Allahabad Bank |
|
Public Limited Corp. |
-- |
Business Period |
27 years |
|
IPO |
--- |
International Ins. |
- |
|
Public |
--- |
Rating |
A
(65) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
|
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2010 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
18,075,366,000 |
Current Liabilities |
16,035,878,000 |
|
Inventories |
19,626,717,000 |
Long-term Liabilities |
114,041,053,000
|
|
Fixed Assets |
20,793,240,000 |
Other Liabilities |
3,295,382,000 |
|
Deferred Assets |
--- |
Total Liabilities |
133,372,313,000 |
|
Invest& other Assets |
114,793,696,000 |
Retained Earnings |
39,125,159,000 |
|
|
|
Net Worth |
24,346,390,000 |
|
Total Assets |
173,289,019,000 |
Total Liab. & Equity |
173,289,019,000 |
|
Total Assets (Previous Year) |
43472368000 |
|
|
|
P/L Statement as of |
31.03.2010 |
(Unit: Indian Rs.) |
|
|
Sales |
57,581,269,000 |
Net Profit |
8,457,966,000 |
|
Sales(Previous yr) |
49,755,355,000 |
Net Profit(Prev.yr) |
4,213,045,000 |
MIRA
INFORM REPORT
REVISED REPORT
|
Report Date : |
09.09.2011 |
IDENTIFICATION DETAILS
|
Name : |
BHUSHAN STEEL LIMITED |
|
|
|
|
Formerly Known
As : |
BHUSHAN STEEL AND STRIPS LIMITED |
|
|
|
|
Registered
Office : |
F Block, 1st Floor, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2010 |
|
|
|
|
Date of
Incorporation : |
07.01.1983 |
|
|
|
|
Com. Reg. No.: |
014942 |
|
|
|
|
CIN No.: [Company Identification
No.] |
L74899DL1983PLC014942 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELB07323B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACB1247M |
|
|
|
|
Legal Form : |
Public Limited Liability Company. The company’s shares are listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer and Distributor of Cold Rolled Steel Strips/Sheets/Coils and
Galvanized Cold Rolled Steel Strips/Sheets/Coils. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 150000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well
established and a reputed company having good track. Financial position of
the company appears to be sound. Directors are reported to be experienced and
respectable businessmen. Trade relations are reported as fair. Business is
active. Payments are reported to be regular and as per commitments. The company can
be considered good for normal business dealings at usual trade terms and
conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered/
Corporate Office : |
F Block, 1st
Floor, |
|
Tel. No.: |
91-11-26462373 (5 Lines) / 42297777 / 42295555 |
|
Fax No.: |
91-11-26478750 /
26415845 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory 1 and Marketing Office - Sahibabad : |
23, Site IV,
Sahibabad Industrial Area, Sahibabad, District |
|
Tel. No.: |
91-120-2770601-
04/ 3028000-09 |
|
Fax No.: |
91-120-2770509/
4100574 |
|
E-Mail : |
|
|
|
|
|
Factory 2 : |
28/4, Site IV,
Sahibabad Industrial Area, Sahibabad, District |
|
|
|
|
Factory 3 : |
Village Nifran,
Savroli and Dehvali, Taluka – Khalapura, (Near Khopoli), District Raigad –
410 203, |
|
Tel. No.: |
91-2192-274146/302000 |
|
Fax No.: |
91-2192-274294/ 274354 |
|
E-Mail : |
|
|
|
|
|
Factory 4 : |
Narendra Pur, P O
Shibapur, Village Meramandali, District – Dhenkanal-759 121, |
|
Tel. No. : |
91-6764-300000/326443/325133/325857 |
|
Fax No.: |
91-11-66173997 |
|
|
|
|
Branches : |
Located at: ·
Agartala ·
·
Ahmedabad ·
·
Ahmednagar ·
Bengaluru ·
Bhubaneshwar ·
Bhatinda ·
·
Chennai ·
·
Dehradun ·
·
·
Gurgaon ·
Guwahati ·
Haldwani ·
·
Hosur ·
·
Jaipur ·
·
Kullu ·
Karnal ·
Kolkata ·
·
·
Mandigovindgarh ·
Mumbai ·
·
Nashik ·
·
Pune ·
Parwanoo ·
Rishikesh ·
Silliguri ·
Vadodara ·
|
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Brij Bhushan
Singal |
|
Designation : |
Chairman |
|
Address: |
W-29, Greater Kailash, Part-II, New Delhi-110046, |
|
Date of Birth/
Age: |
20.11.1936 |
|
Date of Appointment: |
15.01.1987 |
|
|
|
|
Name : |
Mr. Neeraj Singal |
|
Designation : |
Vice Chairman and Managing Director |
|
Address: |
W-29, Greater Kailash, Part-II, New Delhi-110046, |
|
Date of Birth/
Age: |
23.04.1968 |
|
Qualification: |
Graduate |
|
Experience: |
23 Years |
|
Date of
Appointment: |
01.04.1992 |
|
Last
Employment: |
Executive Director with Bhushan Metallics Limited |
|
|
|
|
Name : |
Mr. Mohan Lal |
|
Designation : |
Director |
|
Address: |
19-A, Udham Singh Nagar, |
|
|
|
|
Name : |
Mr. B B Tondon |
|
Designation : |
Director |
|
|
|
|
Name : |
Shri V.K.
Mehrotra |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. M. V.
Suryanarayana |
|
Designation : |
Nominee (LIC) |
|
Address: |
12-2-417/A/11, Gudimalkapur,
Jaya Nagar, Hydedrabad-500028, Andhra Pradesh, India |
|
Date of Birth/
Age: |
05.04.1946 |
|
Date of
Appointment: |
25.09.2010 |
|
|
|
|
Name : |
Mrs. Sunita
Sharma |
|
Designation : |
Nominee Director
of LIC |
|
|
|
|
Name : |
Mr. Nittin Johari |
|
Designation : |
Whole-time
Director |
|
Date of Birth/
Age: |
47 Years |
|
Qualification: |
M.Com, FCA |
|
Experience: |
25 Years |
|
Date of
Appointment: |
06.01.1995 |
|
Last
Employment: |
Financial
Controller with Wimco Limited |
|
|
|
|
Name : |
Mr. Rahul Sen Gupta |
|
Designation : |
Whole-time
Director |
|
|
|
|
Name : |
Mr. P.K. Aggarwal |
|
Designation : |
Whole time Director |
KEY EXECUTIVES
|
Name : |
Mr. O. P. Davra |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
132,359,960 |
62.33 |
|
|
14,495,535 |
6.83 |
|
|
146,855,495 |
69.15 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
146,855,495 |
69.15 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
4,000 |
--- |
|
|
9,000 |
--- |
|
|
1,658,775 |
0.78 |
|
|
5,294,006 |
3.28 |
|
|
6,965,781 |
3.28 |
|
|
|
|
|
|
50,731,786 |
23.89 |
|
|
|
|
|
|
4,645,349 |
2.19 |
|
|
2,625,277 |
1.24 |
|
|
534,622 |
0.25 |
|
|
183.718 |
0.09 |
|
|
350,904 |
0.17 |
|
|
58,537,034 |
27.57 |
|
Total Public shareholding (B) |
65,502,815 |
30.85 |
|
Total (A)+(B) |
212,358,310 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
Total (A)+(B)+(C) |
212,358,310 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal share
capital up to Rs. 0.100 MillionBUSINESS DETAILS
|
Line of Business : |
Manufacturer and Distributor of Cold Rolled Steel Strips/Sheets/Coils
and Galvanized Cold Rolled Steel Strips/Sheets/Coils. |
|
|
|
|
Products : |
Item Code No. (ITC Code) 721041 Product Description : Corrugated coated with Zinc Cold
Rolled
Products of Iron or Non Alloy Steel of a width of
600 MM or more Item Code No. (ITC Code) 721049 Product Description : Flat Coated with Zinc Cold Products of Iron or
Non Alloy Steel of a width of 600 MM or more Item Code No. (ITC Code) 720918 Product Description : Flat Colled Rolled Products of Iron or Non Alloy
Steel of a width of 600 MM or more of a thickness
of less than 0.5 MM ·
Cold
Rolled ·
Galvanised ·
Bhushan
Galume ·
Colour
Coated Coil ·
Colour
Coated Tiles ·
Drawn
Tubes of OEM Grade ·
Hardened
and Tempered Strip ·
High
Tensile Steel Stripping ·
Wire
Rods and Alloy Billets ·
Sponge
Iron |
|
|
|
|
Exports : |
|
|
Countries : |
·
·
·
·
·
·
·
Far
East |
|
|
|
|
Imports : |
|
|
Products : |
·
Raw
Materials ·
Capital
Goods ·
Spares
Parts ·
Stores |
|
Countries : |
·
·
·
|
|
|
|
|
Terms : |
|
|
Purchasing : |
L/C, D/A or D/P
terms |
PRODUCTION STATUS 31.03.2010
|
Particulars |
Unit |
|
Installed
Capacity |
Actual
Production |
|
Cold Rolled Steel Strips/Sheets/Coils |
MT |
|
1000000 |
1163437 |
|
Cold Rolled Galvanised Steel
Strips/Sheets/Coils |
MT |
|
465000 |
531149 |
|
Colour Coated Galvanised Steel Strips/Sheets/Coils |
MT |
|
80000 |
97593 |
|
Precision Tubes |
MT |
|
100000 |
106101 |
|
Hardened & Tempered Cold Rolled Steel Strips |
MT |
|
11000 |
9596 |
|
High Tensile Steel Strapings |
MT |
|
20000 |
7536 |
|
SpongeIron |
MT |
|
680000 |
400619 |
|
Billets |
MT |
|
340000 |
299083 |
|
Wire Rods |
MT |
|
20000 |
34000 |
|
Formed Sections |
|
|
3000 |
962 |
|
Under the liberalised industrial policy of Government of India, the
company products do not require any industrial license |
||||
GENERAL INFORMATION
|
Customers : |
·
The
Tata Engineering and Locomotive Company Limited ·
Bajaj
Tempo Limited ·
LML
Limited ·
Whirlpool
of India Limited ·
Mahindra
and Mahindra Limited ·
Hyundai
Motors India Limited ·
Hindustan
Motors Limited ·
JBM
Tools ·
Escorts
Limited ·
Scooter
India Limited ·
LG Electronics
India Limited ·
BPL
Limited ·
Voltas
Limited ·
Fedder
Lloyds ·
Godrej
GE Appliances Limited ·
Ashok
Leyland Limited ·
Rail
Coach Factory |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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|
Technical Support: |
·
ABB ·
Air Liquide Engineering SA, ·
BHEL ·
·
·
Danieli Corus, The ·
·
·
·
Intech Machinery Co. Limited, ·
KCI Special Cranes, ·
KIC Limited, ·
·
L and T ·
LOI Thermoprocess ·
Man B and W, ·
Mecon ·
·
·
Paul Wurth, ·
Qualical AG, ·
RITES ·
·
Siemens AG, ·
SMS ·
·
Techint S.P.A., ·
·
WAPCOS |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
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|
No. of Employees : |
3481
Approximately |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Bankers : |
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|
Facilities : |
Foot Note: (1) 8.15% Redeemable Non-Convertible Debentures are redeemable at par
in three equal annual installments commencing from the 4th year from the date
of disbursement i.e.24th April, 2006. (2) 10.20% Redeemable Non-Convertible Debentures are redeemable at par
in one bullet payment at the end of 7th year from the date of allotment i.e.
26th March, 2007. (3) 12% Redeemable Non-Convertible Debentures ( subordinate debt) are
redeemable at par in one bullet payment at the end of 10th year from the date
of allotment i.e. 31st March, 2008. (4) Secured by first charge on pari passu basis on the fixed assets of
the Company. (5) Secured by Subsequent and subservient charge by way of
hypothecation on the present and future assets of the Company so as to
maintain minimum asset coverage of 1.25 times, throughout the currency of the
Debentures. Debentures are further secured by pledge of Equity Shares of
Bhushan Steel Limited, having market value not less than 1.5 times of loan,
held by promoters/ promoter entities, and Personal Guarantee of Shri B.B.
Singal and Shri Neeraj Singal. (6) Secured by hypothecation of stocks and book debts, second charge
on Company’s land, building and other immovable properties ranking pari passu
inter-se, personal guarantee of two promoter Directors. (7) Secured by mortgage of land and building and charge on all of the
Company’s immovable and movable properties (except book debts) both present
and future including movable machinery, spares, tools and accessories,
ranking pari passu inter-se, with the trustee of Debenture holders subject to
prior charges created in favour of banks on stocks etc. for securing
borrowing for working capital requirement, except Rs. 11827.700 Millions
(Previous Year Nil) secured by subsequent and subservient charge on movable
assets. The above includes Rs 10495.500 Millions ( Previous Year Rs.
12339.500 Millions) on which security by way of mortgage of land and building
and charges on all the Company's immovable properties is yet to be created.
Out of these loans Rs. 57209.800 Millions (Previous Year Rs 35855.400
Millions) is guaranteed by personal guarantee of two promoter Directors and
Rs.17111.900 Millions (Previous Year Rs 8208.900 Millions) is guaranteed by
personal guarantee of one promoter Director. Foreign Currency Loans include
ECA Loans of Rs. 12117.100 Millions (Previous Year Nil) secured by specific
charge on the assets financed and personal guarantee of two promoter
Directors. (8) Secured by hypothecation of specific assets.
*Including Commercial Paper Rs.1000.000 Millions (Previous Year Nil ),
maximum balance of Commercial Paper outstanding during the year Rs.2000.000
Millions (Previous Year Rs.250.000 Millions) , and are personally guaranteed
by two promoter Directors. **Rs. 10173.000 Millions (Previous Year Rs. 23834.700 Millions)
personally guaranteed by two promoter Directors. Note: - Amount repayable within one year Rs. 3157.300 Millions (
Previous Year Rs. 1503.400 Millions ). |
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Banking
Relations : |
-- |
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Auditors : |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mehra Goel and Company Chartered Accountants |
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Memberships : |
Confederation of
Indian Industry |
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Joint Venture: |
Andal East Coal Company Private Limited |
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Associates : |
·
Angul
Sukinda Railway Limited ·
Bhusahan
Energy Limited |
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Subsidiaries : |
· Bhushan Steel Global FZE ·
Bhushan Steel ( ·
Bowen Energy Limited, · Kondor Holdings Pty Limited · Bowen Coal Pty. Limited · Bowen Consolidated Pty Limited · Capricorn Metals Limited ·
Capricorn Resources ( ·
Golden Country Resources ( ·
Bowen Energy ( |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
80000000 |
Equity Shares |
Rs.10/- each |
Rs.800.000 Millions |
|
4500000 |
Preference Shares |
Rs.100/- each |
Rs.450.000 Millions |
|
|
Total |
|
Rs.1250.000
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
43289600 |
Equity Shares |
Rs.10/- each |
Rs.432.896 Millions |
|
3668300 |
10% Redeemable Cumulative Preference Shares |
Rs. 100/- each |
Rs. 366.830 Millions |
|
|
Total |
|
Rs. 799.726 Millions |
Subscribed and
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
42471662 |
Equity Shares |
Rs.10/- each |
Rs.424.717 Millions |
|
3668300 |
10% Redeemable Cumulative Preference Shares |
Rs. 100/- each |
Rs. 366.830 Millions |
|
|
Total |
|
Rs. 791.547 Millions |
Note:
Of the above, 20954920 Equity Shares were allotted on conversion
of Debentures.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF
FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
SHAREHOLDERS FUNDS |
|
|
|
|
1] Share Capital |
791.547 |
424.717 |
424.717 |
|
2] Preference Share Application Money |
0.000 |
4004.400 |
0.000 |
|
3] Reserves & Surplus |
39125.159 |
19917.273 |
15828.452 |
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH |
39916.706 |
24346.390 |
16253.169 |
|
LOAN FUNDS |
|
|
|
|
1] Secured Loans |
83269.600 |
51363.222 |
33331.149 |
|
2] Unsecured Loans |
30771.453 |
29299.257 |
23850.246 |
|
TOTAL BORROWING |
114041.053 |
80662.479 |
57181.395 |
|
|
|
|
|
|
DEFERRED TAX LIABILITIES |
3295.382 |
2463.199 |
1967.389 |
|
|
|
|
|
|
TOTAL |
157253.141 |
107472.068 |
75401.953 |
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
20793.240 |
18859.706 |
17590.175 |
|
Capital work-in-progress |
111093.250 |
74001.328 |
45679.719 |
|
|
|
|
|
|
INVESTMENTS |
3700.446 |
1077.271 |
584.602 |
|
DEFERREX TAX ASSETS |
0.000 |
61.345 |
0.000 |
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
Inventories |
19626.717 |
12303.589 |
11296.331 |
|
Sundry Debtors |
7339.231 |
6198.223 |
6173.759 |
|
Cash & Bank
Balances |
1201.978 |
1243.682 |
276.259 |
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
Loans &
Advances |
9534.157 |
7690.996 |
6437.447 |
|
Total
Current Assets |
37702.083 |
27436.490 |
24183.796 |
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
Sundry Creditors |
9785.195 |
8633.902 |
10504.280 |
|
Other Current Liabilities |
5886.141 |
5053.100 |
1938.928 |
|
Provisions |
364.542 |
277.070 |
1993.131 |
|
Total
Current Liabilities |
16035.878 |
13964.072 |
14436.339 |
|
Net Current Assets |
21666.205 |
13472.418 |
11547.457 |
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
TOTAL |
157253.141 |
107472.068 |
75401.953 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
56112.687 |
49432.444 |
41773.543 |
|
|
|
Other Income |
1177.766 |
180.557 |
519.622 |
|
|
|
Export Incentives |
290.816 |
142.354 |
279.375 |
|
|
|
TOTAL |
57581.269 |
49755.355 |
42572.540 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing and other Expenses |
41876.143 |
39282.219 |
33699.414 |
|
|
|
|
|
|
|
|
|
|
TOTAL |
41876.143 |
39282.219 |
33699.414 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
15705.126 |
10473.136 |
8873.126 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
2100.121 |
2521.214 |
1369.735 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
13605.005 |
7951.922 |
7503.391 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
2091.356 |
2344.067 |
2114.106 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
11513.649 |
5607.855 |
5389.285 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
3055.683 |
1394.810 |
1152.013 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
8457.966 |
4213.045 |
4237.272 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
731.824 |
1840.503 |
174.955 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend on Equity Shares |
106.179 |
106.179 |
106.179 |
|
|
|
Proposed Dividend on Preference Shares |
2.331 |
-- |
-- |
|
|
|
Provision for Dividend Tax |
18.022 |
18.045 |
18.045 |
|
|
|
Transferred to Debenture Redemption
Reserve |
197.500 |
197.500 |
[552.500] |
|
|
|
Transfer to General Reserve |
8144.925 |
5000.000 |
3000.000 |
|
|
BALANCE CARRIED
TO THE B/S |
720.833 |
731.824 |
1840.503 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Export |
12172.763 |
14628.630 |
12575.528 |
|
|
|
Interest Received |
0.000 |
2.913 |
24.498 |
|
|
|
Compensation Received |
36.920 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
12209.683 |
14631.543 |
12600.026 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
20160.069 |
13230.871 |
11754.384 |
|
|
|
Stores & Spares |
234.727 |
88.869 |
58.895 |
|
|
|
Capital Goods |
5838.349 |
12809.188 |
4470.317 |
|
|
TOTAL IMPORTS |
26233.145 |
26128.928 |
16283.596 |
|
|
|
|
|
|
|
|
|
|
Basic and
Diluted Earnings Per Share (Rs.) |
199.08 |
99.20 |
99.77 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 1st
Quarter |
30.09.2010 2nd
Quarter |
30.12.2010 3rd Quarter |
|
Net Sales |
13726.500 |
17189.100 |
19427.400 |
|
Total Expenditure |
9647.600 |
12296.400 |
14051.500 |
|
PBIDT (Excl OI) |
4078.900 |
4892.700 |
5375.900 |
|
Other Income |
56.300 |
116.000 |
99.800 |
|
Operating Profit |
4135.200 |
5008.700 |
5475.700 |
|
Interest |
787.700 |
1005.500 |
1019.900 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
3347.500 |
4003.200 |
4455.800 |
|
Depreciation |
534.400 |
531.000 |
570.400 |
|
Profit Before Tax |
2813.100 |
3472.200 |
3885.400 |
|
Tax |
755.700 |
882.000 |
1081.900 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
2057.400 |
2590.200 |
2803.500 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
2057.400 |
2590.200 |
2803.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
14.69
|
8.47
|
9.95 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
20.52
|
11.34
|
12.66 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
19.68
|
12.11
|
12.90 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.29
|
0.23
|
0.33 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.26
|
3.89
|
4.30 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.35
|
1.96
|
1.91 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY
The company is an ISO 9002, QS 9000 certified and the
flagship company of Bhushan group, is
The Company currently has a capacity to produce 0.6 Million MT/Annum of Cold
Rolled Steel at Sahibabad Works and 0.4 Million MT/Annum of Cold Rolled Steel
at Khopoli Works and out of that 0.25 Million MT/Annum of Galvanized
Steel.
The plants of the company are at Sahibabad, Uttar Pradesh and Khopali,
The company's has strong presence in
Subject was incorporated on 7th January 1983, under the name of Jawahar Metal
Industries Private Limited for the manufacture of cold rolled steel strips and
steel ingots at Sahibabad Industrial Area, District Ghaziabad. The company was
taken over by Brij Bhushan Singhal and his sons Sanjay Singhal and Neeraj
Singhal by acquiring the entire share capital of the company. The company was
renamed as Bhushan Steel and Strips (BSS) after diversifying into wide-width
cold-rolled (CR) steel strips in 1992 and the cold rolling plant was also
completed in the same year.
Subject came out with its first public issue in 1993 to finance its forward
integration project for the manufacture of 100000 tpa of continuous
annealed/galvanised steel strips. It tapped the capital market for the second
time in Apr.'95, to part-finance the setting up of facilities to manufacture an
additional 150000 tpa of CRCA and 40,000 tpa of GP/GC sheets.
The company commissioned galvanising plant in January 1994 with a capacity to
manufacture 120000 tonnes per annum of wide width cold rolled steel strips and
100000 tonnes per annum of galvanised sheets. In the same year 1994, the
company also proposed to set up an integrated steel plant for manufacture of
1.2 Million Tonnes per year of H R Coils at Daitari in the State of
In 1995, the company came out with a rights issue of 8250000 Unsecured Zero
Interest Convertible Debentures and also made a public issue of 6894800 - 14%
Unsecured Fully Convertible Debentures.
In 1998, the company proposed to setup two steel cold rolling and galvanising
units - one near Haldia and the other at Patalganga, near Mumbai. The company
also commissioned a cold rolled steel plant at
During 1999, the company also set up a dedicated service centre for large OEM
customers at Sahibabad.
The company approved amalgamation of Bhushan Limited with the company in 2000.
But later the proposal for amalgamation was withdrawn in 2003-2004.
During 2000-01, the company implemented the expansion project of 250000 tpa of
Cold Rolling Cum Galvanising and Tube Complex in Khopoli,
During 2004-05, the company planned to commence additional manufacturing
facilities at its plant situated at Khopoli (Maharashtra) in respect of the
production of prepainted galvanized material(PPGI).The capacity of the line
would be approximately 120000 MT per annum making it the largest line in
During 2005-2006, the company successfully commissioned the largest Color
Coated line at its Khapoli plant in
The company’s new HR plant is at fast phase of progress and the company expects
the plant to commission as per schedule. The total project comprises
installation of Hot Rolled Coil and Billets along with power plant. In the
first quarter of 2006-07 the company shall start 2 Klins and 33 MW power plants
while in the third quarter the company shall start 2 klins and 77 MW power plants
which will complete phase I of the project. The company has already spent
Rs.13210 Millions on the phase I of the project and has place substantial
orders for the equipments mainly with SMS Demag, Siemens, Danieli Corus,
Techint, KCI Cranes, Paul Wurth, etc to be imported for phase II.
The Company has raised Rs 105 million through issue of Equity shares on
preferential basis for Company's integrated Steel and Power Plant being set up
in the State of
HIGHLIGHTS:
During the year, the Company has partially installed the Phase II of the
integrated steel plant at Orissa with the production facility of Hot Roll Coil
Mill (1.90 Mtpa)
The Company has also acquired Bowen Energy Limited,
The total income of the Company has increased to Rs 60030.000 Millions,
registering a growth of 10.96 % over previous year’s level of Rs 54100.000
Millions.
EXPANSION PROJECT:
The Company commenced the implementation of its integrated steel plant
at Meramandali, Orissa in January 2005 as a backward integration to produce HR Coils
in phased manner. The Phase I of the Green field integrated steel plant had
already started commercial production in 2007 with production facilities of
Sponge Iron ( 680000 tpa), Billets ( 300000 tpa), and power plant ( 110 MW).
The phase II of this project has also been partially installed with the
production capacity of Hot Roll Coil Mill (1.90 Mtpa) . With this the
implementation risk attached with Phase II of Orissa project has been
mitigated. They are the only major player to complete the
Production of HR Coil from this project is being utilized capitively in
the Sahibabad and Khopoli Plants for manufacturing CR Coils, Colour Coated
Sheets etc. which will help in improving EBITDA per tonne significantly of the
Company in years to come. Captive use of HR Coils will also remove the off
take/marketing risk of the Orissa Plant and will help the Company in mitigating
the risk of main raw material i.e. HR Coil.
The Company has been allocated Iron Ore Mines and Coal Mines by the
Orissa Government, the initial statutory clearances and land acquisition work
on both the mines have started. Both the Mines are likely to be operational
within a period of two to three years. The Company has also acquired Bowen
Energy Limited,
The Company’s Brownfield project Phase III at Orissa is scheduled for
completion on October 2012, which is in addition to Phase II capacity,
envisaging setting up of 3 MTPA Crude Steel Capacity to ensure optimum
utilization of infrastructure and resources at the existing plant of Hot
Rolling (HR) mill to its full capacity. With the completion of Phase III the
total finished goods capacity of the company will increased to 4.7 MTPA.
FINANCE:
The total project cost for the phase III of Orissa Project is envisaged
at Rs 65830.000 Millions. Out of which the Rupee Term Loan of Rs 27330.000
Millions from SBI Syndication and ECA for Euro 70 Million from Natixis and
Bayerische Landes Bank had already been tied up. During the year the Company
has tied up with ECB for USD 300 Million from State Bank of
The ECA for USD 49.55 millions from Deutsche Bank AG, Tokyo and Rupee
Term Loan for Rs 556 Crore from IDBI syndication has been tied up for the
upcoming ERW pipe plant at Khopoli.
The Working Capital facilities for Sahibabad, Khopoli and Orissa Plants
have been appraised by PNB, the lead Bank, for Rs 43600.000 Millions (Fund
Based limit of Rs 13800.000 Millions, excluding export credit and Non Fund
Based limit of Rs 29800.000 Millions ) for the Financial year 2009-10 and Rs
56560.000 Millions (Fund Based limit of
Rs 22310.000 Millions excluding export credit and Non Fund Based limit of Rs
34250.000 Millions) for the Financial year 2010-11
CREDIT RATING:
The Long Term rating of the Company has revised from Care A to Care A+
by Credit Analysis and Research Limited as per the provisions of BASEL II
guidelines of RBI.
The Credit Analysis and Research Limited (CARE) has also revised the
short term rating for short term credit facilities of the Company from PR1 (PR
One) to PR1+ (PR One Plus).
EXPORTS:
Efforts of the Company on Export front, to respond to the National
priority, continue to be rewarding with the achievement of Export Turnover of
Rs 12170.000 Millions in spite of the recession in Global economy. Whereas the
Export Turnover of most of the Exporters in the country has a negative trend
due to the recession in international market during the last year.
With a firm commitment and through sustained efforts, the Company
continues to maintain good rapport with Global Customers. The quality products
and timely delivery have found wide acceptance in the highly competitive
international market.
The products are being exported across the globe.
CHANGE IN SHARE CAPITAL
i) Increase in Authorised Share Capital:
The Authorised Share Capital of the Company has been increased from Rs.
950.000 Millions to Rs. 1500.000 Millions by creation of 55,00,000 Preference
Shares of Rs. 100 each.
ii) Issue and allotment of Preference Shares:
The Company has issued and allotted 36,68,300 Preference Shares of Rs.
100 each.
JOINT VENTURE COMPANY – ANDAL EAST COAL COMPANY PRIVATE LIMITED:
Ministry of Coal, Government of India has allotted Andal East Coal Block
jointly to Bhushan Steel Limited, Jai Balaji Steel Limited and Rashmi Cement
Limited. As per the terms of the allotment, three companies have formed a Joint
Venture Company under the name and style of Andal East Coal Company Private
Limited for mining of coal from Andal East Coal Block. The Joint Venture
Company shall do all the necessary jobs for exploration and mining of Coal for
the allotted coal block. The coal extracted from the mine shall be distributed
among the allocates in the proportion of their assessed requirements in the
Allotment Letter.
SPECIAL PURPOSE VEHICLE- ANGUL SUKINDA RAILWAY LIMITED
Bhushan Steel Limited along with Railway Vikas Nigam Limited and Jindal
Steel and Power Limited has formed a Special Purpose Vehicle (SPV) under the
name and style of Angul Sukinda Railway Limited for the construction of new
railway line in the jurisdiction of East Coast Railway between Angul in Angul
district, Orissa to
SUBSIDIARIES:
The consolidated financial statements presented by the Company include
financial information of its subsidiaries prepared in compliance with
applicable Accounting Standards. The Company has been granted exemption under
Section 212(8) of the Companies Act, 1956 for the year ended March 31, 2010 by
the Ministry of Corporate Affairs from attaching to its Balance Sheet, the
individual Annual Reports of its subsidiary Companies. As per the terms of the
Exemption Letter, a statement containing brief financial details of the
Company’s Subsidiaries for the year ended 31st March, 2010 is included in the
Annual Report. The annual accounts of these subsidiaries and the related
detailed information will be made available to any investor of the Company / its
subsidiaries of seeking such information at any point and are also available
for inspection by any investors of the Company/its subsidiaries at the
Corporate Office of the Company and that of the head offices of the respective
subsidiary Companies.
GROUP:
Pursuant to intimation from the promoters, the name of the Promoters and
entities comprising the ‘group’ as defined under the Monopolies and Restrictive
Trade Practices (MRTP) Act, 1969 are disclosed herein below.
Persons constituting group coming within the definition of ‘group’ as
defined in the Monopolies and Restrictive Trade Practices (MRTP) Act, 1969 for
the purpose of Regulation 3(1)(e) (i) of the Securities and Exchange Board of
India (Substantial Acquisition of Shares and Takeovers) Regulations, 1997
include the following :
·
Bhushan Energy Limited
·
Bhushan Aviation Limited
·
Bhushan Buildwell Private Limited
·
Bhushan Infrastructure Private Limited
·
Bhushan Energy Trading Private Limited
·
Bhushan Placement Services Private Limited
·
Bhushan General Traders Private Limited
·
Bhushan Consumer Electronics Private Limited
MANAGEMENT
DISCUSSION and ANALYSIS
INDUSTRY STRUCTURE and DEVELOPMENTS
The Indian steel industry is divided into Integrated producers and Secondary
producers. Integrated steel producers have traditionally integrated steel units
have captive plants for iron ore and coke, which are main inputs to these
units. The integrated producers constitute most of the mild steel production in
Secondary producers use steel scrap or sponge iron/direct reduced iron
(DRI) or hot briquetted iron (HBI). It comprises mainly Electric Arc Furnace
(EAF) and Induction Furnace (IF) units, apart from other manufacturing units
like the independent hot and cold rolling units, rerolling units, galvanizing
and tin plating units, sponge iron producers, pig iron producers, etc.
Secondary producers largely produce long steel products.
Flat Products
Derived from Slabs, this category includes plates and Hot Rolled (HR)
steel such as Coils/ Sheets. While plates are used for applications such as
shipbuilding etc., HR Steel is the most widely used variety for steel, and
other downstream flat products such as Cold Rolled (CR) Steel and Galvanised
Steel are made from it.
Long products
These products derive their name from their shape. They are made by
using billets and blooms and include Rods, Bars, pipes, Ropes and Wires, which
are used largely by the housing/ construction sector.
Global Steel Industry
The year 2008-09 has been unprecedented for the steel industry, initially
started on a positive note with steel demand and prices reaching historic
peaks. However, this upward trend for the global steel industry was halted by
the impact of a downswing in economic activities and got reflected in the sharp
decline in production by almost all major steel producers of the world
Throughout 2008-09 steel industry continued to be under demand and margin
pressure across the globe.
Advanced economies buckled under pressure of large inventories coupled
with stand still demand; the rest of the world (excluding
Crude Steel Production
World crude steel production declined by 8% from 1,329 million tonnes in
2008 to 1,223 million tonnes for the year of 2009. Steel production declined in
nearly all the major steel producing countries and regions including the EU,
North America,
Steel Consumption
The global economic and financial crisis impacted steel consumption- It
declined by 6.7% from 1202 mn tonnes in 2008 to 1,121 mn tonnes in 2009. Of the
consumption, 50% was flats (largely consumption led demand) and 50% was long
products (largely infrastructure driven demand). World consumption of finished
steel excluding BRIC countries registered a decline of 26.8% in 2009. Steel
consumption of BRIC countries grew by 18% largely due to the massive
consumption of steel from
In 2009, the top 10 nations accounted for 77% of the steel consumption –
their consumption registered a 2.8% CAGR during 2004 to 2009.
Global Steel Trade
The impact of the global crisis loomed large on global trade of steel
which declined about 30% (estimated at 300 mn tonnes). This was largely due to
the relatively high dependence of the emerging world on the advanced world
which collapsed under the pressure of the global meltdown. As a result, the
export dependency on the advanced world declined substantially which was
compensated by stimulated domestic demand in emerging economies especially
In 2009, the Chinese economy was driven largely by public investment.
The Chinese Government pumped in US$ 1.4 trillion as loan to the economy (to
industry and individuals) against US$ 0.6 trillion in 2008 which facilitated
infrastructure creation. Consequently, the fixed investment to GDP ratio grew
58% in 2009 against 49% in 2008, the highest in three decades.
In line with the global meltdown,
The focus on the domestic market was reflected in a number of
statistics. Real incomes grew 9.8% in urban areas and 8.5% in rural areas.
Further, government incentivized car purchase scheme and accelerated automotive
sales to 13.6 mn units (
Intelligent crisis management by the Chinese Government strengthened its
brand as the preferred investment destination, owing to which, FDI into China
declined byUS$ 2 billion ( from US$ 92 billion 2008 to US$ 90 billion 2009)
compared with a 39% world- over decline and 47% collapse in advanced economies.
Consequently, even in a gloomy global scenario, china’s forex reserves
ballooned from US$ 1.95 trillion as on December 31, 2008 to US$ 2.45 trillion
as on December 31, 2009.
Indian Economy
• Strong IIP Growth: 10.4%
• Core Infrastructure Industry Growth: 5.5%
• Automobile Production: 26%
Capitalizing on the high degree of domestic dependency, low credit
leverage and debt exposure and the Government’s thrust on infrastructure
creation are expected to accelerate the Indian economy in 2010-11 and beyond.
Preliminary guidance by the Central Government for the economic growth in
2010-11 is estimated at 8.2% and 9% in 2011-12.
Indian Steel Industry
Indian steel industry stood out in the global steel industry due to its
resilience during the downturn. While the steel production in the world dipped
by 8% in 2009, it registered a growth of around 4% in this period.
This clearly demonstrates
The growth in demand for steel has outpaced the growth in production,
leading to increased import dependency. The CAGR for production during the
given period is 6.5% and CAGR for consumption is 9.1%.
Slow pace in creation of incremental capacities and rising demand made
the country a net importer of steel. The net import of steel stood at 4.0
million tonnes that grew at a CAGR of 26% from 2004-05 to 2009-10, and export
registered a declining trend of 8% from 2004-05 to 2009-10.
To make up this demand supply mismatch various Brownfield and
Challenges for The Indian Steel Industry
Exports of Iron ore
Coal Dependency
Logistics
Inadequate infrastructure and logistics have significantly impacted the
steel industry. Every ton of steel produced involves transportation of
approximately 5 tonnes of materials. This implies that by 2020 around 1000
million tonnes of material is required to be transported. This requires a huge
investment in key infrastructure including railways, ports and highways.
Raw Material Prices
The escalating raw material prices during 2009-10 caused immense
pressure on cost of production of integrated steel producers as well as
secondary steel producers. The steel producers are heavily dependent on coking
coal import, and the price rise by
COMPANY’S PROSPECTS
Bhushan Steel Limited (BSL) is assiduously working on joining the league
of the fastest and most scalable steel producers in
The Company commenced the implementation of its integrated steel plant
at Meramandali, Orissa in January 2005 as a backward integration to produce HR
Coils in phased manner. The Phase I of the Green field integrated steel plant
started commercial production in 2007 with production facilities of Sponge Iron
( 680000 tpa), Billets ( 300000 tpa), and power plant (110 MW). The phase II of
the project has been partially installed with the production capacity of Hot
Roll Coil Mill ( 1.90 Mtpa ) .
The Company’s Brownfield project Phase III at Orissa is scheduled for
completion in October 2012 which is envisaging setting up of 3 MTPA Crude Steel
Capacity in addition to Phase II capacity to ensure optimum utilization of
infrastructure and resources at the existing plant to utilize the full capacity
of Hot Rolling (HR) mill being implemented. The total steel making capacity of
the Company shall be 4.7 MTPA once the project will be completed.
The Company has been allocated Iron Ore Mines and Coal Mines by the
Orissa Government, the work on both the mines have started and are likely be
operational within two years time. The Company has also acquired Bowen Energy
Limited,
PERFORMANCE
The Company is engaged in Steel business, which is context of Accounting
Standard ( AS)-17 issued by the institute of Chartered Accountants of India is
considered the only business segment. The overall operational performance of
the Company has been much satisfactory during the year. The plants have
operated optimally during the year and there were no major break downs or
shutdowns
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED ON 31st December,
2010
(Rs.
In Millions)
|
|
|
Quarter
Ended 31.12.2010 |
For
Nine Months Ended 31.12.2010 |
|
Unaudited |
Unaudited |
||
|
1 |
Domestic Sales |
18222.700 |
45737.100 |
|
2 |
Export Sales |
2880.500 |
8765.200 |
|
3 |
Total Gross Sales |
21103.200 |
54502.300 |
|
4 |
Less : Excise Duty |
1675.800 |
4159.300 |
|
5 |
a) Net Sales/Income from Operations |
19427.400 |
50343.000 |
|
6 |
Total Expenditure |
|
|
|
|
a) Decrease/ (Increase) in stock in trade and work in progress |
2271.700 |
(2384.600) |
|
|
b) Consumption of raw materials |
8745.300 |
30188.300 |
|
|
c) Purchase of Traded Goods |
0.000 |
0.000 |
|
|
d) Employees cost |
336.000 |
904.700 |
|
|
e) Other expenditure |
2697.500 |
728.700 |
|
|
g) Depreciation |
570.400 |
1635.800 |
|
|
Total |
14621.900 |
37631.200 |
|
|
|
|
|
|
7 |
Profit from Operations before Other Income, Interest and Exceptional
items (1-2) |
4805.500 |
12711.800 |
|
|
|
|
|
|
8 |
Other Income |
99.800 |
272.100 |
|
|
|
|
|
|
9 |
Profit before Interest and Exceptional items (3+4) |
4905.300 |
12983.900 |
|
|
|
|
|
|
10 |
a) Interest and Financial Charges |
1019.900 |
2813.200 |
|
11 |
Profit Before
Tax |
3885.400 |
10170.700 |
|
12 |
Provision for Taxation (Including MAT Credit Set Off) |
774.400 |
2027.100 |
|
13 |
Provision For Taxation Deferred |
307.500 |
692.500 |
|
14 |
Net Profit After
Tax |
2803.500 |
7451.100 |
|
15 |
Extraordinary items (net of Tax) |
--- |
--- |
|
16 |
Net Profit |
2803.500 |
7451.100 |
|
17 |
Paid-Up Equity Share Capital |
424.700 |
424.700 |
|
|
(Face Value of Rs.10/- each) |
|
|
|
|
|
|
|
|
18 |
Reserves excluding Revaluation Reserve as per Balance Sheet of
previous Accounting Year |
-- |
-- |
|
|
|
|
|
|
19 |
Earning Per Share (EPS) (not annualised) |
|
|
|
|
i) Basic (Rs) |
13.16 |
34.94 |
|
|
i) Diluted (Rs) |
13.16 |
34.94 |
|
|
|
|
|
|
20 |
Aggregate of Non-Promoter Shareholding |
|
|
|
|
- Number of shares * |
65502815 |
65502815 |
|
|
- Percentage of
shareholding * |
30.85% |
30.85% |
|
|
|
|
|
|
21 |
Promoters and Promoter Group shareholding |
|
|
|
|
a) Pledged/ Encumbered |
|
|
|
|
- Number of shares |
25986145 |
25986145 |
|
|
- Percentage of share (as
% of the total shareholding of Promoter group) |
17.70% |
17.70% |
|
|
- Percentage of share (as
% of the total share capital of the Company) |
|
|
|
|
b) Non-Encumbered |
12.23% |
12.23% |
|
|
- Number of shares |
120869350 |
120869350 |
|
|
- Percentage of share (as
% of the total shareholding of Promoter group) |
82.30% |
82.30% |
|
|
- Percentage of share (as
% of the total share capital of the Company) |
56.92% |
56.92% |
NOTES:
1. The
above results have been reviewed by Audit Committee and approved by the Board
of Directors at
2. The
limited review for the quarter ended on 30.09.2010 as required under clause 41 of
the listing agreement with the stock exchanges has been carried out by the
Statutory Auditor.
3. The
company has split its Equity Shares of face value of Rs. 10/- each into 5
Equity Shares of face value Rs. 2/- each w.e.f. September, 2010. Accordingly Earning
Per Share has been calculated/ recalculated based on the increased number of
Equity Shares for the periods/ year as required by Accounting Standard (AS) –
20.
4. The
company is engaged in the steel business, which in the context of Accounting
Standard – 17 is considered the only business segments.
5. No of
Investor complaints for the quarter ended September 30, 2010
a) Pending
at the beginning-Nil b) Received-19 c) Resolved-19 d) Remaining Unsolved – Nil
6. Previous
period/year figures have been regrouped/ rearranged wherever considered
necessary
unaudited
financial results as at 30th september, 2010
(Rs.
in Millions)
|
Particulars |
30.09.2010 (Unaudited) |
|
SOURCES OF FUNDS |
|
|
SHAREHOLDERS’
FUND |
|
|
a) Capital |
791.500 |
|
b) Share Application Money |
-- |
|
c) Reserve and Surplus |
43855.700 |
|
LOAN FUNDS |
1318330 |
|
Deferred Tax Liability (Net) |
3680.400 |
|
TOTAL |
180160.600 |
|
APPLICATION OF
FUNDS |
|
|
Fixed assets (Including WIP) |
151410.500 |
|
Investments |
2575.700 |
|
Foreign current Monetary Item Translation Difference Account |
-- |
|
Current Assets,
Loans and Advances |
|
|
a) Inventories |
30683.200 |
|
b) Sundry Debtors |
4948.000 |
|
c) Cash and Bank Balances |
2837.700 |
|
d) Loans and Advances |
10414.200 |
|
Less: Current
Liabilities and Provisions |
|
|
a) Current Liabilities |
21819.600 |
|
b) Provisions |
889.100 |
|
Net Current
Assets |
26174.400 |
|
TOTAL |
180160.600 |
Bankers Charges Report
as per Registry
|
Corporate
identity number of the company |
L74899DL1983PLC014942 |
|
Name of the
company |
BHUSHAN STEEL LIMITED |
|
Address of the
registered office or of the principal place of business in |
F Block, 1st
Floor, |
|
This form is for |
Creation of
Charge |
|
Type of charge |
Movable Property |
|
Particular of
charge holder |
Indian Overseas Bank, 14-15, Farm Bhawan, |
|
Nature of
instrument creating charge |
Letter of
Hypothecation |
|
Date of
instrument Creating the charge |
29.09.2010 |
|
Amount secured by
the charge |
Rs. 2000.000
Millions |
|
Brief of the principal
terms an conditions and extent and operation of the charge |
Rate of Interest BASE RATE + 2.25%
i.e. 10.50% Terms of
Repayment One Blulet
Payment after 5 years form the date of first disbursement Margin Nil Extent and Operation
of the charge 100% |
|
Short particulars
of the property charged |
First Charge by
way of hypothecation of all the movables including movable plant and
machinery, machinery spares, tools and accessories, furniture etc. |
Fixed Assets:
Tangible Assets
- Plant and Machinery
- Railway Siding
- Assets not Owned by company
- Furniture and Fixtures
- Vehicles
Intangible Assets
- Computer Software
WEBSITE DETAILS:
New Initiatives:
BSL Board Approves
Further Expansion Plans
Bhushan Steel Limited announced that its board of directors in a meeting
held on January 22nd 2007 has approved the following projects.
1. Setting up of Integrated Steel Plant in the state of
2. To set up a 6 million tonne per annum integrated steel plant as
an expansion of its existing plant being set up at
Meramandali in Orissa.
BSL May setup Steel Plant In West Bengal – Report
ET has reported that Bhushan Steel Limited is considering to sign a MoU
with West Bengal government to set up a 2 million tonne per annum steel plant
in the state along with a 1,000 MW thermal power project by its subsidiary Bhushan
Energy in the state
Mr Neeraj Singal MD of BSL told ET that “We have identified the location
for the projects and it will be near a coal pit head. Talks are also on for a
captive coal block.”
BSL is already implementing an INR 5,000 crore steel project with
capacity of producing 2.2 million tonne of steel in Orissa and the 1st phase of
the project of 500,000 tonnes capacity will be completed by March 2007 and the
whole project should be completed by 2009.
Chhattisgarh Government Signs MoUs For Power Plants
Chhattisgarh
Govt. has signed MOU with Bhushan Energy Limited for setting up 1000MW Power
Plant with an investment of INR 40Billion.
Dr Raman Singh Chief Minister of Chattisgarh said that Chhattisgarh is on
track of becoming the country's power hub by 2011. He said “Chhattisgarh has
the potential to meet the power demand of the whole nation. Several major
domestic investors are lining up to set up thermal plants.”
Profile:
Amongst the various reasons behind BSL's unprecedented growth and rapid
integration on the steel value chain, perhaps, the most important would be its
unwavering focus on acquiring the latest technology and know-how. The most
important reason behind this focus has been BSL's commitment to provide its
customers with the best quality products. The result, to say the least, has
been awe-inspring growth.
The Khopoli plant, commissioned in 2004 has been playing a remarkable
role not only in the growth of exports, but in the production of a much wider
variety of value added steel like Colour Coated Sheets, High Tensile Steel
Strappings, Hardened and Tempered Strips and Precision Tubes. In addition to
these, the Khopoli plant has recently launched the Galume value added steel
(Aluminium and Zinc Coated Sheet) for the first time in the country.
Operating with the most advanced technology, expressed through a large
fleet of latest equipment, machinery and systems, the Khopoli plant has given a
tremendous boost of 425000 MT per annum to BSL's total production capacity
Including 240000 MT of galvanised steel, which are further forward integrated
into Colour Coated Sheet, Galume and other value added products.
Giving a tremendous volume-thrust to the production capacity of BSL is
its plant at Sahibabad, with a production of 475,000 MT per annum comprising
products such as Automotive Grade C R Sheet and Galvanised Sheets.
As a strategic move to optimise the usage of resources and services, as
well as to streamline the functioning of all systems and process within the
organisation, BSL has recently implemented SAP (the global leader in Enterprise
Resource Planning Systems). After all, with sales touching Rs. 30700.000
Millions and installed capacity in the one million tonnes per annum range, BSL
is now
The most brilliant milestone in BSL's journey of excellence is the
setting up of a state-of-the-art Hot Rolling Steel and Power Plant in Orissa.
This Integrated Steel and Power Plant will, no doubt, put BSL firmly on the
fast track of progress.
Bhushan Steel Limited, is an ISO 9002,QS 9000 certified and a company of
Rs. 28680.000 Millions ($650 million approx.).
As one of the prime movers of the Technological Revolution in the Indian
Cold Rolled Steel Industry, BSL has emerged as the country’s largest and the
only CR steel plant with an independent line for manufacturing Cold Rolled
coils and sheets up to a width of 1700 mm, as well as Galvanised Steel Coils
and Sheets up to width of 1350mm.
The Company currently has capacity to produce ALMOST ONE MILLION
MT/Annum of Cold Rolled Steel at Sahibabad and Khopoli Works .
The Company is a “single-point source” for a wide variety of products
such as CRCA , Galvanized and Colour coated sheets, High tensile steel
ttrapping, Hardened and tempered steel strips (HTSS) and Precision tubes.
EXCELLENT SURFACE
FINISH
Mill Clean System With A Synthetic Coolant To Avoid Any Coolant Mark On The
Strip
Electrolytic Cleaning Line To Remove Iron Fines From Strip , Which Helps
In Improving The Life Of Salt – Spray Test After Painting And Avoids Carbon
Soot Completely . It Also Increases The Tool Life In Press Shop
Latest And Sophisticated Edt Machine To Provide Controlled Texture For
Better Paint Adhesion And To Achieve Surface Roughness To Close Tolerances
On- Line Tension – Levelling Equipment For Better Flatness And
Controlled Elongation
Computerized Inventory Control Management And
Kathabar Storage System ” To Avoid Atmospheric/Rustiness Oxidation
Through De-Humidified Air..
Electro - Static Rust Preventive Oil Spray System For Controlled Oil
Coating On Crca Surface . Oil Coating Can Be Maintained In Between 0.50 Gms/M²
To 2.00 Gms/M² Per Side.
EXCELLENT
MECHANICAL PROPERTIES
Practically , No Variation In Mechanical Properties Due To 100 % Hydrogen
Annealing Furnace
The Raw Material Selection Is Done By Computerized Program For Different
Applications
Close Tolerances On Thickness, Width And Length
- X- Ray Thickness Gauge To Measure Thickness To A Fraction Of A Micron.
- Radiometrie Thickness Checking Across The Width
- Automatic Computerized Thickness Control..
- Shim Less Tooling On Slitting Lines With Computerized Setting Ensures
Correct Width In Close Tolerances .
- Precision Cut- To – Length Lines To
0.75 Mm.±Ensure Length
Tolerances Better Than
- Automatic Electromagnetic Stacker On Shearing Lines To Produce Scratch
Free
PRESS RELEASE:
Saturday, 5th
September, 2009
Bhushan Steel buys
Aussie exploration firm
News Description:
Bhushan Steel (
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject are
derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.17 |
|
|
1 |
Rs.73.64 |
|
Euro |
1 |
Rs.64.95 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
65 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.