Uttam Galva Steels Limited
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BSE Code:
513216
NSE Code:
UTTAMSTL
Business Profile
Business Profile
Uttam Galva Steels (UTTAMSTEEL), a manufacturer of cold rolled (CR) and galvanized plain (GP) steel, was incorporated on March 29, 1985.
The company procures hot-rolled (HR) steel and processes it into CR and further into GP and color-coated coils. In galvanized coils, the company specializes in making ultra thin sheets with thickness as low as 0.15 mm. The excess capacity of CR is converted into value-added grades in cold-rolled closed annealed (CRCA) coils, cut-to-length sheets, and sold as full hard CR.
The ISO 9001-2000 and TS 16949/2002 accredited company has modernized and expanded capacities at its Khapoli (Maharashtra) plant. The cold rolling capacity is expanded to 1,000,000 MT per annum; GP capacity to 750,000 MT per annum; and a color-coated line (Uttam Spectrum) has a capacity of 80,000 MT per annum. With its entire range of cold rolling reversible mills, it has effectively covered the entire spectrum of CR/GP/GC coils. The company in joint venture with UK-based Liberty Commodities formed Ghana Iron & Steel Co. to set up a new steel re-roller mill in Ghana. The new facility when complete will include a 75,000 tons/year hot-dip galvanizing (HDG) line and a 200,000-250,000 tons/year cold reversing mill to supply it with CRC. The USD 20 million HDG line will commence production by 2007, while the USD 40 million cold rolling mill is planned for 2008.
Customers include manufacturers of automobiles, white goods, general engineering, the drums and barrels segment, and the construction industry. More than 70% of company products are exported to over 122 countries worldwide including advanced markets such as Australia, France, Germany, Greece, UK and USA to name a few. The registered and corporate office is located at Uttam House, 69, P D`Mello Road, Mumbai-400009.
Financials
The company reported a steep drop in standalone net profit for the quarter ended December 2008. During the quarter, the profit of the company declined 81.58% to Rs 53.70 million from Rs 291.50 million in the same quarter last year. Net sales for the quarter surged 89.21% to Rs 11,025 million, while total income for the quarter jumped 89.08% to Rs 11,025 million, when compared with the prior year period. It posted earnings of Rs 0.47 a share during the quarter, registering 83.03% decline over previous year period.
Recent Developments
03-FEB-09
The company has signed a memorandum of understanding (MoU) with Government of Maharashtra for setting up a project to manufacture half a million tones of for pig iron at Wardha, Maharashtra. The project will see an investment of Rs 10.96 billion.
Future Plans
The company has decided to invest up to Rs 4.5 billion to set up a galvanising and cold-roll mill complex in Ghana along with a UK-based joint venture partner, Liberty Commodities. The JV firm, Ghana Iron & Steel, will initially invest about Rs 2.7 billion.