Beml Presentation
Transcript of Beml Presentation
BHARAT EARTH MOVERS LIMITED
NEW FROTIERS,NEW IDEAS
Company Profile
BEML Limited was established in May 1964 as a Public Sector Undertaking.
Government of India owns 54 percent of total equity.
BEML conferred with Mini-Ratna Status and under the administrative control of Ministry of Defence.
Competition
Competition is expected in the defence sector.
Constrution and minning - Volvo, Terex Vectra, Liebherr, Ashok Leyland, Daewoo, Voltas.
Railway coaches - Integral Coach Factory, the Rail Coach Factory and jessop and company.
Metro coach manufacturers - Bombardier (Canada),Alstom (France), Siemens (Germany), CAF (Spain) and Kawasaki (Japan
Business strength Diverse product portfolio Significant presence in mining and
construction equipment Major manufacturer of Metro coaches in the
country Strong and experienced management team Research and development capabilities Increasing global alliances and operations High-quality product offering with value-
added services Stringent quality norms
Weakness
Opportunities
The increased focus on sectoral reforms and infrastructure development (metro, flyovers, Roads etc.) by Government of India.
The GoI is actively engaged in raising funds from multilateral financial development institutions to promote various infrastructure projects across India
Real estate development across the country
Threat
Buisness sectors
Mining & Construction
Defence
Rail & Metro
New buisness
Technology Division
Trading Division
International Business Division
Sales and Marketing
An extensive sales and marketing network across India.
Provide intensive training to customer personnel in the operation and maintenance of equipment.
To improve awareness of products among potential customers
aggressively promoting our brand image with
Participation in major exhibitions like International Mining & Machinery Exhibition
Manufacturing units
BEML has eight manufacturing units spread over four locations
Kolar Gold Fields Mysore Complex Bangalore Complex Vignyan Industries
Business Strategy Increased focus towards supply of Metro
Coaches for projects across the entire country Offshore expansion in the Latin American
market Introduction of high-capacity mining equipment Tie-up with global industry players Improve our distribution and marketing network Joint Venture to take up Contract Mining Investment in production facilities of Indian tyre
companies for the production of OTR Tyres Ramp up of production capacities and
introduction of new products to cater to the Railway Business
Objective of the public Issue
Expansion of Metro Coach Manufacturing Facility at Bangalore
Capital Expenditure including upgradation of current facilities
Voluntary Retirement Scheme (“VRS”) for Employees
Setting up of 5MW Wind Mill for captive consumption
Contribution for setting up R&D Centre of Excellence for Metro Coaches
Issue Expenses General Corporate Purposes
Market
The Construction and Mining Equipment business contributed 63% of the total revenues.
Defence Business contributed 32%.
The Railway and Metro Business contributed 5%.
Corporate Social Responsibility
Provides free medical assistance, subsidised food, electricity and safe drinking water to all our employees.
Helps to improve the quality of life for people in the peripheral villages around our units
Helps govt. in Natural calamities
Regulation and policies
Environmental
Foreign Ownership
Government company
Financial Performance
Total Income 2,486.6 1,885.2 1,310.3 Profit (Loss) after Tax 65.9 42.0 1.2 Equity Share Capital 279.0 279.0 279.0 Reserves (excluding revaluation reserves) 172.3 106.4 64.3 Earnings per share (Rs.) 23.62 150.7 4.3 Book Value per share (Rs.) 161.76 138.14
123.05
Factors affecting Results of the Operations
General economic and business conditions
Dependence on government policy and regulation towards Infrastructure
Input cost and availability of the specialised raw materials
Competition Dependence on few major customers and
their plans for future
Thank you