About -
RHI Magnesita India is born out of integration of 3 Indian subsidiaries of RHI Magnesita Group – RHI Clasil, RHI India & Orient Refractories Ltd. is in the business of mfg & marketing special refractory products, systems & services for steel industry in India & Globally.
RHI Magnesita India is born out of integration of 3 Indian subsidiaries of RHI Magnesita Group – RHI Clasil, RHI India & Orient Refractories Ltd. is in the business of mfg & marketing special refractory products, systems & services for steel industry in India & Globally.
RHI Magnesita is a market leader for special refractories with a 16% market share in India & has many global customers for its international quality products.
Financial Summary -
Q2 FY23(YoY)
Revenue were at Rs.604 Cr. ⬆️39.45%
PAT at Rs.72 Cr. ⬆️67.58%
EBITDA at Rs.105 Cr. ⬆️57.74 %
EPS at Rs.4.49 ⬆️67.54%
Q2 FY23(YoY)
Revenue were at Rs.604 Cr. ⬆️39.45%
PAT at Rs.72 Cr. ⬆️67.58%
EBITDA at Rs.105 Cr. ⬆️57.74 %
EPS at Rs.4.49 ⬆️67.54%
Location Wise Break-Up -
84.4% of RHI Magnesita's revenue comes from India & 15.6% comes from the rest of the world.
84.4% of RHI Magnesita's revenue comes from India & 15.6% comes from the rest of the world.
Product Wise Break-Up -
Co generates 72% of its revenue from refractory manufacturing and 28% from refractory trading.
Co generates 72% of its revenue from refractory manufacturing and 28% from refractory trading.
They're the single refractory solutions platform that offers industry’s most comprehensive product & solutions portfolio. This includes Magnesia & Alumina based bricks & mixes for large industrial customers as well as specialty refractory products like Isostatic products.
Manufacturing Facilities -
RHI Magnesita got three state-of-the-art manufacturing facilities located in
Bhiwadi (Rajasthan)
Tangi (Odisha)
Visakhapatnam (Andhra Pradesh).
RHI Magnesita got three state-of-the-art manufacturing facilities located in
Bhiwadi (Rajasthan)
Tangi (Odisha)
Visakhapatnam (Andhra Pradesh).
R&D Centre -
RHI Magnesita India operationalized a state-of-the-art R&D center at Bhiwadi, Rajasthan.
This is the fifth R&D facility
in the parent company RHI Magnesita’s global R&D network after
Leoben (Austria)
Contagem (Brazil)
Dalian (China)
York (United States).
RHI Magnesita India operationalized a state-of-the-art R&D center at Bhiwadi, Rajasthan.
This is the fifth R&D facility
in the parent company RHI Magnesita’s global R&D network after
Leoben (Austria)
Contagem (Brazil)
Dalian (China)
York (United States).
Capacity Expansion -
RHI Magnesita India has committed
approx Rs.400 Cr of phased investment by FY 2026 to expand its production
capacity in 🇮🇳.
Aims to double its production to almost 3,00,000 Tons P.A. by 2026 in order to support the ambitious growth plans of the co.
RHI Magnesita India has committed
approx Rs.400 Cr of phased investment by FY 2026 to expand its production
capacity in 🇮🇳.
Aims to double its production to almost 3,00,000 Tons P.A. by 2026 in order to support the ambitious growth plans of the co.
Acquisition of Dalmia Bharat Refractories Ltd -
Stefan Borgas, CEO of RHI Magnesita, said: The integration of DOCL into our RHI Magnesita India business will result in further strengthening our position as a responsible market leader in India.
Stefan Borgas, CEO of RHI Magnesita, said: The integration of DOCL into our RHI Magnesita India business will result in further strengthening our position as a responsible market leader in India.
Industry Overview -
Indian Refractory Market is estimated to be worth approximately Rs.10,000 Cr. Steel manufacturers account for approx 75% of domestic demand for refractories. The remainder is derived from other industries such as glass, cement & nonferrous metals.
Indian Refractory Market is estimated to be worth approximately Rs.10,000 Cr. Steel manufacturers account for approx 75% of domestic demand for refractories. The remainder is derived from other industries such as glass, cement & nonferrous metals.
Steel drives most of the refractory demand & thus is perceived as vulnerable to commodity price risks, but refractory companies gross margins vary within a very narrow range, unlike a typical commodity company.
Fundamentals -
Market Cap : ₹ 14,696 Cr
P/E (Stock): 38
P/E (Industry): 22.65
P/B : 12.31
Debt to equity : 0.06
ROE : 29.33%
ROCE : 37%
EV/EBITDA : 31
Market Cap : ₹ 14,696 Cr
P/E (Stock): 38
P/E (Industry): 22.65
P/B : 12.31
Debt to equity : 0.06
ROE : 29.33%
ROCE : 37%
EV/EBITDA : 31
Conclusion -
Refectories business demand is at peak in India due to heavy financial stimulus for infra projects - domestic & global is expected to keep demand for refractories robust.
Refectories business demand is at peak in India due to heavy financial stimulus for infra projects - domestic & global is expected to keep demand for refractories robust.
Government spending on schemes such as the National Infrastructure Pipeline, the PLI Scheme, the Jal Jeevan Mission, Housing Schemes, the Vehicle Scrappage Policy, PMAY – Urban & Rural and so on indicates that the current growth trajectory is likely to continue.
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