Excel Industries

About the Company

on sale of land) on net sales of Rs.1.4 billion for the corresponding period of the previous year.
Creditworthiness (Outlook Stable)

Excel Industries Limited (EIL), incorporated as a private limited company in 1960, was reconstituted as a public limited company in 1971. Following the demerger of its crop protection business from its current associate, Excel Crop Care Ltd in 2003, EIL has been manufacturing chemical intermediaries, which are used in agrochemicals, commodity polymers, engineering polymers, soaps and detergents, water treatment chemicals, and biocides.
Major changes in the current year

As on September 30, 2012, the promoter group (the Shroff family) owned around 41.23 per cent of EILs equity shares, the public owned about 45.23 per cent, and the rest was owned by banks, financial institutions, insurance companies and others. Besides ECCL, other Shroff group companies involved in the agrochemicals business include Hyderabad Chemical Products Ltd and Hyderabad Chemicals Ltd. During the current year, the holding in shares of Romvijay Biotech Pvt. Ltd., for Rs.5 million by KIL were been liquidated.
Snapshot of key financial information

Based on the analysis performed from financials of EIL and on study of EILs business risk profile and also on a comparative study of the industry profile, we conclude that EIL will continue to benefit from its diversified revenue profile while its financial risk profile will continue to be adequately supported by steady revenue growth and cash accruals over the medium term. The outlook will remain Positive if EIL continues to have an increase in its revenues and cash accruals, and maintains prudent management of working capital thus reducing its dependence on bank lines. Conversely, the outlook of the company faces a risk of turning Negative if the companys

For 2011-12, EIL (consolidated) reported a profit after tax (PAT) of Rs.153.7 million on net sales of Rs.3 billion, against a PAT of Rs.139.8 million on net sales of Rs.2.5 billion in 2010-11. For the six months ended September 30, 2012, EIL (standalone) reported a PAT of Rs.119.2 million on net sales of Rs.2 billion, against a PAT of Rs.96.8 million (including Rs.72.4 million of profit

business performance weakens than expected or in case of a steep decline in its profitability or a stretch in its working capital levels, or if it undertakes a larger-than-expected, debt-funded, capital expenditure programme, thereby weakening its capital structure.
Summary

Summing, EIL has a positive creditworthy rating on analysis of the key financial information.