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Mishra Dhatu Nigam value of production rises 21% YoY in FY20

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Capital Market
Last Updated : Apr 14 2020 | 3:31 PM IST

Mishra Dhatu Nigam (MIDHANI) on Tuesday (14 April) said its value of production (VoP) rose 21% to Rs 985 crore in the year ended March 2020 (FY20) compared with Rs 814.83 crore in the year ended March 2019 (FY19).

MIDHANI said that COVID-19 lockdown has affected the final testing, certification and shipment of materials in March 2020. In spite of this, the company has sustained sales turnover of Rs 711.37 crore in FY20 as against Rs 710.85 crore in FY19.

During FY20, MIDHANI has focused more on cost optimization measures including indigenization of various components, increasing outsourcing efforts and rationalisation of manpower. This, along with the firm's continued focus on revenue enhancement has yielded results for the company.

"Export order book position including deemed export of Rs 73.73 crore (provisional and unaudited) (best ever since inception) and highest ever export sales of around Rs 13.28 crore (provisional and unaudited) have been achieved," the company said.

The firm reported highest ever capital expenditure for modernization and growth of about Rs 230 crore (provisional and unaudited).

MIDHANI said it filed more than 50 Intellectual Property Rights (IPRs) and bagged three patents during the year. It developed more than 10 new products for aero space, navy and energy sectors in FY19-20.

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MIDHANI's net profit rose 257.8% to Rs 60.50 crore on a 36% jump in net sales to Rs 206.02 crore in Q3 December 2019 over Q3 December 2018.

MIDHANI is one of the leading manufacturers of superalloys, titanium & titanium alloys, special purpose steels and other special alloys. The Government of India held 74% stake in the company as on 30 December 2019.

Shares of MIDHANI jumped 7.02% to Rs 218 on Monday (13 April 2020). The stock has added 26.16% in four sessions from a recent closing low of Rs 172.80 recorded on 3 April 2020.

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First Published: Apr 14 2020 | 2:52 PM IST

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