1. BINANI CEMENT
Abhinay Jain
Diposree Sanyal
JAN 2013- Muni
15
Group 1 Krishna
Rajesh Burnwal
Sachin
Agarwal
Swetha Tulasi

3. SOURCES OF DATA
• www.capitaline.com
• www.binaniindustries.com/
• www.binaniindustries.com/group-
companies/binani- cement/cement-
landing.asp
• www.youtube.com (Video)
• www.business-standard.com/

4. BRAJ BINANI GROUP
•The Braj Binani group traces its beginning in 1872 by Seth Pragdas Binani and his
son
Seth Mathrudas to import and export metals
• In 1941 Seth Govardhandas son of Seth Mathrudas made bold decision to
move from trading to manufacturing
• Following the restructuring of Braj Binani group in 1996 to 2004 BIL was
founded to serve as the holding company for Binani cement limited , Binani
zinc limited , Goa glass fiber limited and BT composites limited
• After establishing its foot print in India , China and Dubai it is exploring
newer global horizons like South Africa ,East Africa and Mauritius
• The group is endeavoring to establish a strong network of Binani cement
presence across the globe

5. BINANI GROUP INDUSTRIES
• BINANI Industries Ltd.
• BINANI Cement Ltd.
• BINANI Zinc Ltd.
• Goa Glass Fiber
• RBG minerals
• BIL Infratech Ltd.
• BINANI Metals (under construction)
• Crown Mining Ltd (under construction)

6. MANAGEMENT
Name Designation
Braj Binani CEO
Braj Binani Chairman / Chair Person
Darshan Lal President (Operations)
Dinesh Randad Sr.Vice President (Operations)
K K Jain Vice President (F & A)
M K Chattopadhyaya Director

7. BINANI CEMENT
LIMITED
•Binani cement limited is the flagship subsidiary of Binani Industry Limited representing the
Braj
Binani group
•The Binani cement started the operations in 1997 in Sirohi district , Rajasthan with a 1.65
MTPA
integrated cement facility and a 25 MW captive power plants
• The capacity was raised to 2.25 MTPA in 2005
• It was also certified to ISO 9001, ISO 14001 and OHSAS 18001 with in a short
span from commencement of operations
• In 2008 , a split – grinding unit at Neem ka Thana was commissioned , boosting the capacity
in
India to 6.25 MTPA

8. VISION AND MISSION
• T achieve leadership status in the core sector, across the world
o
• T employ frontline technologies to meet the highest global standards in products and ser
o
vices
• T set benchmarks in manufacturing and environmental performance
o
• T be a customer-first, quality-obsessed, socially sensitive corporate entity.
o
• T achieve breakthroughs in manufacturing based on intensive R&D
o
• T ensure well-being of all our stake-holders; upholding such values as
o
integrity, trust, concern, empathy and commitment

9. CEMENT INDUSTRY
• Cement is one of the core industries which plays a vital role in the growth and
development of a nation.
• The Indian cement industry is the 2nd largest market after China accounting for about
7-8% of the total global production. It had a total capacity of about 330 m tones (MT) as
of financial year ended 2011-12.
• There are 139 large cement plants and over 365 mini cement plants in India, with
currently 42 players in the industry.
• Binani has 3% of share in cement industry
• Production increases by 9.1% yearly
• The Company was incorporated in Kolkata, West Bengal on January 15, 1996 as
Dynasty Dealer Private Limited.The name of the Company was changed to Binani
Cement Private Limited and a fresh certificate of incorporation was issued to it by the
RoC on April 23, 1998. Subsequently, the Company was converted into a public
company and the name was changed to Binani Cement Limited vide a fresh certificate
of incorporation dated October 6, 1998.

10. CEMENT INDUSTRY
• Binani Industries (BIL) today said its cement making arm Binani Cement has been
delisted from the Bombay Stock Exchange and National Stock Exchange with effect
from May 30 11.
• Because they wanted the company to be fully owned by the promoters so they got
themselves delisted from BSE & NSE.
• Delisting of company's equity shares is actually stopping the stocks from further
trading on the bourses.
• BIL had in January 11 launched an open offer to acquire 30.1% stake in Binani
Cement.At present, BIL has 95.01% stake in Binani Cement.
• BIL has also tendered an exit opportunity to Binani Cement's residual shareholders.

11. THE CEMENT PRODUCTION AND POWER
GENERATION DETAILS ARE AS UNDER:
Production 2011-12 2010-2011 Percentage change
Cement (Lakhs MT) 55.84 54.58 Increase 2.3 %
Power production 3281.65 3056.69 Increase 7.4%
(Lakhs KWh)
FINANCIAL CONDITION OF BINANI CEMENT:
Particulars 2011-12 (in Rs. Lakhs) 2010-2011(in Rs. Percentage change
Lakhs)
Net sales & other 205,668 174,335 Increase 18 %
incomes
Operating cost 172,607 145,814 Increase 18 %
Interest and financial 16,140 10,344 Increase 56%
charges
Cash profit 15,670 18,177 Decrease 14%
Profit after tax (PAT) 4,840 9,051 Decrease 47%

12. OPERATIONAL PERFORMANCE
During the year 2011-12, the Company has achieved highest ever production of
55.84 Lakhs MT and sold 56.06 Lakhs MT of cement.
Sales volumes increased by 3.20% and net turnover increased from
Rs.1733.23 crore to Rs. 2,027.81 crore i.e. by 17%, which is mainly
due to higher sales volumes and increased Cement prices.
Despite increase in cement prices, profit after tax dropped to Rs.
5,315 Lakhs from Rs. 8,227 Lakhs which is mainly due to higher input
costs of coal, power and other raw materials, higher logistics and
Interest costs.

13. OPPORTUNITIES / THREATS
THREATS:
• Despite a strong GDP growth forecast of 8-9% in next 3-4 years, Industry is likely
to see pressures on prices due to higher demand supply gap and increased Cost
of Inputs, Fuel, and Logistics.
• Low profit due to higher input coal cost, power and other raw materials.
OPPORTUNITIES:
• Demand for Cement in India is likely to see a growth of 6-8 percent in 2012.
• The Union Budget's focus on developing infrastructure and on affordable & rural
housing. It will provide a boost to cement demand.

14. TOP 5 COMPETITORS OF BINANI CEMENT
Name Last Price (BSE) Sales Turnover (In Net Profit Total Assets
(Rs.) Cr.)
Ultratech Cement 1,908.7 18,313.1 2,446.1 16,667.9
5 3 9 5
Ambuja Cement 190.55 9,730.3 1,297.0 8,839.6
0 6 9
ACC 1,259.2 11,357.9 1,061.1 7,467.8
0 6 9 3
Shree Cement 4,237.2 5,898.1 618.5 3,695.0
5 2 0 0
Madras Cements 257.00 3,278.2 385.1 4,164.3
0 1 2
Binani Cement 90.30 2332.1 48.4 2328.7
1 7
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15. NOTES TO ACCOUNTS
• The financial statements have been prepared:
- Historical cost convention.
- Accrual basis.
- Indian GAAP .
- Depreciation - Straight Line method
- Plant and Machinery
- Written Down Value
- Land that’s not owned by the co.
- Roads inside the factory premises.
- Assets Below 5000INR are depreciated 100%

16. COMPARISON
(In Cr.) (In Cr.)
Year Current Liabilities Current Assets
2008 348.93 502.11
2009 510.92 484.55
2010 438.33 721.35
2011 495.85 497.21
2012 682.94 813.43
• Company has always made sure that the Current
liabilities are always more than the Current
Assets, except in year 2009.

17. CASH
FLOW
(Figures In
350 Cr.)
CashIII
250
Profit
400
.--- r--- .------
150
300
r---
... i t--
100
! s I-
I
50 - ,...------I-
.
200 t--
til
I ;
- ill:
o
2012 2011 2010 2009 2008
• Y 2010 the profits of the company has doubled compared to
ear
previous year because of reduction in operating expenses and at
the same time increase in Net profits of the company as compared

18. NET WORTH
(Figures In
Cr.)
Net Worth of the Company
800 675.15
700 ~ _...-&46.8 6
600
-¥
/ "T'
500
40 ... AU), A 57..9..0 ."
.
0
30
-
0 417.64
200
100
o
2008 2009 2010 2011 2012
• The Net Worth of
the company has increased by 55% as
compared to year 2008

19. INVESTMENTS
(Figures In Cr.)
Ver tical Investmen X 100 90
.----
ts
Analysis=Total Assets 800
0
»: v -
700 -
600 / -
L-;::::""
• Binani has consistently 500
tit -
increased its 40 .> II!
investments in the last 5 2009 of
highest increase in year
the 0
...
.
L_ ... ::I
• i -
-
approx
years, with
30
0 .. ~ /.i
~
..
1ft
~
! -
-
200
351%. o
10 ~~
0
2008 2009 2010 2011 2012
• In the year 2008-09 the company has
placed an order for setting up a new Investments - Vertical Analysis
factor y of 2.5MTPA in
Gujarat, paid in
advance 35.00% +---------------------,-0
30.00% +-----------------:::::;!I ...t.l...
'f
• Made investments 25.00% +---------------:~:;-----------
in:
• Unquoted Equity (Stocks that are not 5.00% +--~~ .......,-----------------
,,-
listed in any stock exchange) 0.00% +------r-------r------,r------.----....,
2008 2009 2010 2011 2012
• Preference shares.

20. LOANS AND
ADVANCES
Total Current
Assets
Vertical Analysis= Loans & Advances X
• Companie mone with others 60
s y 100 : 0
50
0
(Figures In Cr.)
30
0 Loans and Advances - Horizontal Analysis
3.01
• For Eg.
400
200
• Loans to Subsidiary 100 Year Amount (In Cr.) Percentag
0 e
• Inter corporate Deposits (An 2008 2009 2010 2011 2012
• Deposits with Government
Inter-
loan extended by one corporate 2010 241.93 33.54%
to
• Advance T ax Loans and Advances - Vertical Analysis
2008 188.73 37.59%
Corporate Deposit (ICD) is an unsecured 2009 184.8 38.14%

21. UNSECURED LOANS
(Figures In
Cr.)
Unsecured Loans -
59
Horizontal 2
700 -r------------------ Year Unsecured Loans Total Debt Percentage
2008
2010 59.89
88.84 792.22
1011.8 7.56%
8.78%
soo -f-----------
2009 62.9 2011 803.1 7.83%
517.25 1235.58 41.86%
400 -f-----------
300 -f-----------
2012 592 1646.52 35.95%
2008 2009 2010 2011 2012
• Unsecured Loans has increased by 10 times in the last 5 years.
• Because of Expansion Plans
• Buy back of shares
• In vertical analysis:
• The unsecured loans is around 35% of the total liabilities, with a huge increase
coming from

22. CONTINGENT LIABILITIES
For year 2012 (332.67 in Crs)
- Company Bought Steam Coal machine for 5crs, for
which the seller didn’t give bill.
- Land T dispute with the court for ( 10 Crs)
ax
- 177 crs / 399. 21 with the Income T department.
ax
- 4 Crs with excise department

23. RATIO ANALYSIS
It’s a tool which enables the banker or
lender to arrive at the
following factors:
Liquidit
y
Profitabilit
y
Solvency
Financial Stability

24. RATIO ANALYSIS
Current Ratio= Current Asset
Current
Liablities
March
Current Current
Years Assets Liabilitie Ratio
(In Cr.) s (In Cr.)
Mar ’12 813.43 683.72 1.1897
Mar ’11 497.21 551.34 1
0.9018
Mar ’10 721.35 569.89 2
1.2657
Mar ’09 484.55 580.72 7
0.8344 ‘08 ‘09 ‘10 ‘11
‘12
Mar ’08 502.11 431.25 1.1643
1
Ratio:1
ANALYSIS: From the above graph & chart, we understand that
Binani
Cement has shown a decline in the Current Ratio during the year
ended
2009 and 2011. Data also indicates a relative increase in the year

25. RATIO ANALYSIS
Current Asset - Closing Stock - Prepaid Expenses
Quick Ratio=
Curren Liabilitie
t s
March Current Closing Prepaid Current
Years Asset Stock Expens Liabilitie Ratio
1 (In Cr.) (In Cr.) es (In s (In
0.9 0.9
6 4 Cr.) Cr.)
0.66 Mar ’12 813.43 168.34 0 683.72 0.943
0.6
0.4 5
6
Mar ’11 497.21 161.84 0 551.34 0.608
0 3
‘08 ‘09 ‘10 ‘11 ‘12 Mar ’10 721.35 169.98 0 569.89 0.967
5
Mar ’09 484.55 212.54 0 580.72 0.468
Ratio (%)
4
Mar ’08 502.11 217.44 0 431.25 0.660
1
ANALYSIS: From the above graph & char t, we understand that
Binani Cement has shown a decrease in the year ended 2011, and
an increase in year ended 2012.
Note: Quick Ratio is also known as ‘Acid T Ratio’ or ‘Liquid Ratio’.
est

26. RATIO
ANALYSIS
Debt-Equity Ratio= DebtTangible Net Wor th Unsecured Loans)
(Secured Loans +
(Equity)
Secured Unsecure
Equity
Years Loans d Loans Ratio
(In Cr.) (In Cr.) (In
Cr.) March
Mar 1054.52 592 646.86 2.545
’12 4 3
Mar ’11 718.33 517.25 579.02 2.133
9 2
Mar 922.96 88.84 675.15 1.498
’10 6 1
Mar 740.2 62.9 476.4 1.685
’09 8
Mar 732.33 59.89 417.64 1.896
’08 9 ‘08 ‘09 ‘10 ‘11
‘12
Ratio:1
ANALYSIS: From the above data it is seen that the Debt-Equity
ratio of the company is increased in past years, which means that
the company is has more loans compared to the promoters

27. RATIO ANALYSIS
Gross Profit Ratio= Gross Profit X 100
Net
Sales Cost of
50 Goods Net
Sale Ratio
48. Years Sold Sales
44.1 s (%)
3 (In Cr.) (In Cr.)
4 (In Cr.)
25 32.92 31.38 29.7 Mar ’12 2332.1 1729.76 2027.81 29.7045
Mar ’11 1
1991.6 1447.67 1733.24 31.3846
Mar ’10 4
2067.1 1249.95 1851.05 44.1458
‘08 ‘09 ‘10 ‘11
‘12 Mar ’09 1
1713.9 1223.47 1489.80 32.9212
Mar ’08 3
1148.5 684.02 961.6 48.308
Ratio (%)
5
ANALYSIS: From the above chart & graph, we come to know
that the efficiency of Binani cement has constantly decreased
since year ended
2010.

28. RATIO ANALYSIS
Stock Turnover Ratio= Average Inventory 365 days
[(Opening + Closing X 52
Stock)/2] Sales weeks
12 months
Sales Averag For 365 For 52 For 12
Years (In e Ratio Day Weeks Months
Cr.) Stock (In s
Mar ’12 2332.11 165.09
Cr.) 14.126 25.8383 3.6810 0.8494
3 4 8 8
Mar ’11 1991.64 165.91 12.004 30.4056 4.3317 0.9996
3 7 7 4
Mar ’10 2067.11 191.26 10.807 33.7717 4.8113 1.1103
9 4 2
Mar ’09 1713.93 214.99 7.9721 45.7844 6.5227 1.5052
4 5 2 4
Mar ’08 1148.55 - - - - -
Stock Turnover Ratio calculates how fast the stock is
moving. It is a test of inventory management.
Turnover Ratio’s are addressed with reference to time (Days/Weeks/Months)

29. RATIO ANALYSIS
365 days
Net
Fixed Asset Turnover Sales
Fixed Assets
X 52
Ratio= 12 months
weeks
Fixed For 365 For 52 For 12
Years Net Assets Ratio Day Weeks Months
Sales s
Mar 2027.81 1515.34 1.338 272.756 38.859 8.96734
’12 2 9 9
Mar ’11 1733.24 1350 1.283 284.294 40.502 9.34665
9 2 7
Mar 1851.05 965.6 1.917 190.402 27.126 6.25979
’10 2 8
Mar 1489.80 794.95 1.874 194.762 27.747 6.40314
’09 1 2 1
Mar 961.6 707.75 1.358 268.644 38.273 8.83215
’08 7 7 5
This ratio relates Net Sales to Fixed Assets
Higher the Fixed Asset Ratio, better it is.

30. QUESTION
S