Appollo Ispat maintaining progress in business

Appollo Ispat Complex Limited has been maintaining progress in it business. Though it is a short time it has been listed on the stock exchanges, it is leading engineering sector companies in terms of share transaction.

Appollo Ispat Complex Ltd. LogoBesides, the company is regularly undertaking new initiatives for raising its capacity as a modern CI sheet manufacturer in the country. The company recently extended its agreement with world-famous Japanese steel making company Marubeni-Itochu.

Appollo has also started work to set up one Radiant Tube Furnace (RTF) German-technology driven Non-Oxidized Furnace based Galvanizing Plant for making quality and durable CI sheets using Non Oxidizing Furnace (NOF). NOFs are rapid heating furnaces that cut out hydrochloric acid and lead usage during the galvanizing process. Eliminating lead and acid usage during the final stages of production also makes the process cost effective and environmentally friendly, mostly used in developed countries. These CI sheet will soon be available in the local market.

Appollo is much ahead by producing its own raw materials at its own art-of-the-state Cold Rolling Mill for which it has become one of the largest CI sheet manufacturers of the country.

The first manufacturing line is a continuous galvanized process with capacity of producing 50,000 Metric Tons of CI sheets, equipped with the facility imported from the world reputed Nippon Denro of Japan.

Furthermore, these products tend to be shinier than ordinary CI sheets – therefore can command a premium price over regular CI sheets.  A budget of Taka 110 crores  has been made for

The company is going to install a high grade Non Oxidizing Furnace (NOF) to increase existing production capacity, which will enable Appollo set a milestone in manufacturing of CI sheet in Bangladesh. With this, besides reducing the production cost, the production capacity of the company will rise by 20 percent.

Abdur rahman, Deputy Managing Director of Appollo Ispat Comlex Limited while exchanging views with journalists on Monday said Appollo has been relentlessly trying to reach the target by overcoming all hurdles including global recession and weaknesses in infrastructure like lack of supply of power, gas etc. All these problems would be resolved soon, he hoped.

The company listed on stock exchanges has a authorized capital of Tk 500 crore and its paid-up capital is Tk 250 crore. It collected Tk 220 crore by offloading 10 crore primary shares through IPO. The proceeds was utilized to repay bank loans. The offer price of each share was Tk 22 – Tk 10 face value added with Tk 12 premium.

The company declared 15 percent dividend for its shareholders for the year ended on June  30, 2014, which was recommended by its Board. The record date has bee set on October 21, 2014.

For shareholders approval for the dividend, the company will hold annual general meeting on December 21, 2014 at Dreem Holiday at Panchdona in Narsingdhi at 12noon.

During last fiscal, the company’s earning per share was Tk 1.84, net asset value Tk 31.37, net operating cash flow against each share Tk (0.71).

The company’s net profit was Tk 37.36 crore during last one year from July 2013 to March 2014, jumping by 3 percent from that of previous year. The amount, however, was Tk 36.23 crore during the previous year. The EPS in last year was Tk 1.84.