Professional Documents
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SUMMER TRANING
PROJECT
“BINANI CEMENT
LIMITED”
AT NEEM KA THANA
Presented By:-
Sandeep Agarwal
MBA
(FINANCE)
LIM(LPU)
TOPIC:- COMPARATIVE ANALYSIS OF
WORKING CAPITAL MANAGEMENT BY
DIFFERENT METHODES.
INTRODUCTION:-
• GYPSUM=6.5%.
• FLY ASH/SLAG=25%.
• CLINKER= REST OF
BALANCE(68.5%).
• The Core Values of BINANI CEMENT
LIMITED IS COMIT:
•
• C- Customer Focus
•
•
O - Organizational Pride
M- Mutual Respect and Trust
Mr. VINOD JUNEJA
(MD BRAJ BIANANI GROUP)
I - Initiative and Speed
T - Total Quality
Mr . Amithabh
Bachchan
(Brand Ambassador of
Braj Binani Group)
SCOPE OF STUDY
The scope of study will cover all the component of
current assets and current liability. The
ascertainment of working capital gap critical
examination of financial statement, return on
investment and the best and optimum sources of
financing the working capital.
OBJECTIVE OF STUDY
SOURCES OF DATA
Secondary data:-
• Annual report of last 2 year.
• Red herring prospectus.
• Audited balance sheet & p/l account 2008 and
2009.
• Binani news jouranl Magazine March –April
2010.
• Man power summary (May 2010).
Primary data:-
• Through the direct interview of different
managers of different department such as
logistic, finance , production and H.R.&A.
• Binani cement web sites.
CONCEPTS OF WORKING
CAPITAL MANAGEMENT:
Working capital management is the device
of finance. It is related to manage of current
assets and current liabilities.
There are two concepts of working capital:-
COMPARITIVE ANALYSIS OF WORKING CAPITAL MANAGEMENT
CALCULATION OF GROSS WORKING CAPITAL (Rs . Lakhs)
PARTICULARS As at As at
31st March, 2009 31st March, 2008
CURRENT ASSETS, LOANS AND ADVANCES
CURRENT ASSETS :
INVENTORIES
CURRENT LIABILITIES:-
• Acceptances_____________________________ 469.93 –
• Sundry Creditors
• For Trade :
– Total outstanding dues of creditors other than micro
enterprises and small enterprises_ ___________ 27,070.51 21,836.87
(includes creditors for capital projects Rs. 4,294.91 lakhs
(Previous Year Rs. 5,546.27 lakhs))
• – For Expenses___________________________ 5,546.75 2,050.40
• Other Liabilities __________________________ 13,123.15 7,750.87
• Advances from customers__________________ 4,779.82 3,204.26
• Investor Education and Protection Fund shall be credited
by the following
– Unclaimed dividend ______________________ 6.04 2.83
• Interest accrued but not due on loans__________ 95.58 47.93
PROVISIONS:-
INTERPRETATION:
•Current liabilities has increase 34.65 % in FY 2009 its big responsiblity to full fill by
current assets.
•Company should maintain the outstanding expenses in FY 2009 its increase 23.96%.
INTERPRETATION:
current liability.
• FY 2008 : CR=50210.69 /43124.91
=1.16 :1
Binani Cement Ltd.
As
on 31st March 2009
COST CAPITAL:
S.NO. PARTICULARS
Rs in Lakhs.
• 1. land and site development
336
• 2. Building and & structures
2681
• 3. Plat and Machinery
5489
• 4. Other cost
1284
TOTAL
9790__
FINDINGS
“SWOT ANALYSIS” OF
BINANI CEMENT LINITED,
‘NEEM KA THANA’:
STRENGTH:
• 3 MILLION TON PER ANNUM CLINKER GRINDING UNIT WHICH IS HELP
TO MAXIMUM OUT PUT AND DELIVER GOODS ON DEMAND WITH IN
TIME OF REQUIRMENT.
• ALL MACHINARY HAS CONTROLED BY COMPUTER CONTROL SYSTEM,
ONLY 1 EMPLOYEE CAN HANDLE VERY WELL AND RUN THE
MACHINARY. SAVING THE COST OF EMPLOYEE SALARY AND
SAVING TIME.
• RAILWAY LINE VERY STRONG POINT TO BRING THE CLINKER WHOLE
59 COACHS.
• THERE IS A MACHIN WHO UNLOAD 1-BY-1 COACH OF GOODS TRAIN
AND WITH IN 7 TO 8 HOURES ITS COMPLITLY UNLODED ALL 59
COACH FROM GOODS TARIN.
• BINANI INCREASES THE EMPLOYEE INCRIMENT WITH IN 18 MONTH.
• GOOD JOB SATISFACTION FOR EMPLOYEE.
• COMPANY HAS EARND GOOD PROFITS , SURPLUS & RESURVES BUT
NOT INVEST IN THAT AREA WHERE THEY WILL GET MORE
WEAKNESS & OPPRTUNITY:
WEAKNESS:
• NO DRESS COAD FOR LABOUR FOR EASY
TO IDENTIFY ,WHO IS COMPANY’S
WORKER AND WHO IS OUT SIDER?
• ONLY 5 MEMBER IN SECURITY.
OPPRTUNITY:
HOW ?
COMPARISION WITH
OTHER COMPANIES:-
ANALYSIS
Profit % Market Capital
Ultra Tech Cement:- 15.20%. 28,059.80
Ambuja Cement:- 16.96%. 20,781.94
Acc :- 19.61%. 18,190.71
Samruddhi Cement:- 14.40% 13,629.79
Shree Cement :- 18.55% 7,131.18
India Cement :- 09.31% 3,425.01
Prism Cement :- 08.79% 2,987.42
Birla Corp :- 25.34% 2,925.43
Madras Cements :- 12.56% 2,711.66
Chetinad Cement :- 07.07% 2,030.14
Binani Cement :- 15.18% 1,640.04
ANALYSIS
LIMITATION
• Insufficent data.
• Schedule -5 not accurate data in
Balance sheet .
• Time constraint.
• Binani have certain rules and regulations.
• Binani does not provide practical knowledge
about finances.
•
CONCLUSION
• As compared Binani cement has very good
performance with his 2 units only. Binani
Cement Limited boasts of a fully
integrated cement plant, strategically
.BCL, a split grinding unit at Neem Ka
Thana to increase the capacity of the
cement facility to 6 mtpa . Binani Cement,
Shree Cement and Dalmia Cement are
among the new players who have plans to
get into the RMC business in the next
five years. It is recommend to ‘BUY’
Equity share in this particular scrip with a
target price of Rs.82.00. for Medium to
Long term Gains as it is seeing the
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THANK YOU!