Ruchi Soya Industries Ltd Company Profile and SWOT Analysis

Document Sample
Ruchi Soya Industries Ltd Company Profile and SWOT Analysis
Ruchi Soya Industries Ltd.



_________________________________________________________________________________







Ruchi Soya Industries Ltd. Financial Snapshot



Operating Performance

Fast Facts

408, Tulsiani Chambers, Mumbai, 400 The company reported revenue of US$3,968.48

Headquarters Address

021,India million during the fiscal year 2011 (2011). The

company's revenue grew at a CAGR of 15.98%

Telephone + 91 22 22832130

during 2007–2011, with an annual growth of 26.67%

over 2010. In 2011, the company recorded an

Fax + 91 22 22042865 operating margin of 1.98%, as against 1.95% in 2010.



Website www.ruchisoya.com

Revenue and Margins

Ticker Symbol, Stock Exchange 500368, Bombay Stock Exchange



Number of Employees 1,000



Fiscal Year End March



Revenue (in US$ million) 3,968.48



Revenue (in INR million) 182,311.76









SWOT Analysis Return on Equity



Strengths Weaknesses The company recorded a return on equity (ROE) of

10.19% for 2011, as compared to its peers, Amrit

Broad Product Offerings Overdependence on Oil Segment Banaspati Company Ltd (Ticker: 531728), Agro Tech

Foods Limited (Ticker: ATFL) and Ajanta Soya Ltd

(Ticker: 519216), which recorded ROEs of 40.96%,

Control over SG&A Expenses 17.92% and 2.26% respectively. The company

reported an operating margin of 1.98% in 2011.

Effective Distribution Network

Return on Equity

Opportunities Threats



Demand for Edible Oil in India Changing Consumer Preferences



Recovering Economy Industry Consolidation



Strategic Initiatives









Liquidity Position



The company reported a current ratio of 2.00 in 2011,

as compared to its peers, Amrit Banaspati Company

Ltd, Agro Tech Foods Limited and Ajanta Soya Ltd,

which recorded current ratios of 1.66, 2.00 and 2.53

respectively. As of March 2011, the company

recorded cash and short-term investments of worth

US$425.50 million, against zero current debt. The

company reported a debt to equity ratio of 2.04 in

2011 as compared to its peers, Amrit Banaspati

Company Ltd, Agro Tech Foods Limited and Ajanta

Soya Ltd, which recorded debt to equity ratios of 1.84,

0.00 and 1.07 respectively.









___________________________________________________________________________________________



Ruchi Soya Industries Ltd. - SWOT Profile Page 1

Ruchi Soya Industries Ltd.



_________________________________________________________________________________





TABLE OF CONTENTS



1 Business Analysis ................................................................................................................................... 5

1.1 Company Overview ................................................................................................................................................5

1.2 Business Description ..............................................................................................................................................5

1.3 Major Products and Services .................................................................................................................................6

2 Analysis of Key Performance Indicators ............................................................................................... 7

2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ..........................................7

2.2 Key Financial Performance Indicators ...................................................................................................................9

2.2.1 Revenue and Operating Profit ...........................................................................................................................9

2.2.2 Asset, Liabilities and Capex .............................................................................................................................10

2.2.3 Net Debt vs. Gearing Ratio ..............................................................................................................................11

2.2.4 Operational Efficiency ......................................................................................................................................12

2.2.5 Solvency ..........................................................................................................................................................13

2.3 Competitive Benchmarking ..................................................................................................................................14

2.3.1 Market Capitalization .......................................................................................................................................14

2.3.2 Efficiency ..........................................................................................................................................................15

2.3.3 Capital Expenditure ..........................................................................................................................................16

2.3.4 Turnover – Inventory and Asset .......................................................................................................................17

3 Mergers & Acquisitions and Partnerships ........................................................................................... 18

3.1 M&A and Partnerships Strategy ...........................................................................................................................18

4 Recent Developments ........................................................................................................................... 19

5 SWOT Analysis ...................................................................................................................................... 20

5.1 SWOT Analysis - Overview ..................................................................................................................................20


By registering with docstoc.com you agree to our
privacy policy and terms of service

Successfully added document to cart!

Successfully added document to cart!