Everest Industries – Building Profits

Everest Industries (earlier known as “Eternit Everest”) offers a complete range of building solutions which includes ceilings, walls, flooring, cladding, doors, roofing & pre-engineered steel buildings.

Everest Industries‘ products find application in internal walls-high traffic/impact prone areas residential/commercial / industrial, wet area lining-kitchen, bathrooms, commercial flooring, rain screening and external wall cladding/ bracing/ load bearing walls, residential/commercial & industrial/cladding walls in warehouses, factories and pre fabricated shelter-internal/external walls.

Everest Industries has ventured into the segment of Pre Engineered Steel Buildings (PEB). This involves using built-ups in place of conventional hot rolled sections. PEBs are becoming a conventional and economical way of building single or double storey buildings. Everest Industries uses pre-fabricated steel products and erection services for building larger, complex structures including factories, warehouses, supermarkets, offices and much more.

PEB have significant growth prospects especially due to the growth of rural infrastructure and development. Also. the outlook for PEB business is bright as it is replacing the conventional RCC framed structure in the industry since it substantially reduces construction time . Everest Industries has a wide spread presence with a large distribution network. Everest Industries has state of the art manufacturing facilities at Kymore, Nashik, Coimbatore, Kolkata and Roorkee.

Everest Industries has, in the first nine months of its performance ended March 2009, achieved a turnover of Rs 91.2 crores in the PEB business segment. In FY09, Everest Industries‘ net sales were Rs. 529.5 crores showing a growth of 85.7% y-o-y. While the PEB segment showed revenues of Rs. 91.2 cr in 9 months of operations, the rest came from the building products segment. Everest Industries‘ PEB steel buildings segment reported a PBIT of Rs. 1.9 crores while the building product PBIT margins stood at 13.4%. Overall, Everest Industries‘ EBIDTA margins improved to 9.5% from 8% in FY08 due to higher demand, improved realizations, increased efficiency and other cost control measures.

In FY 2010 Everest Industries expects to grow by about 50% to reach a turnover of Rs 750. crores. In 2010-11, Everest Industries expects to reach a turnover of 1000 crores. It is expected that this growth would come from Everest Industries range of roofing products such as synthetic fibre, polycarbonate sheets, metallic roofing systems and colored roofing sheets. Everest Industries also offers false ceiling / partitions / wall solutions.

All in all the prospects for EIL are bright as both the businesses are expected to register significant growth going forward in view of the push being given to Rural Infrastructural development.

Everest Industries‘ competitors are Hyderabad Industries, Visaka Industries and Ramco Industries. All three offer similar roofing products. Everest Industries‘ commands a slight premium due to the brand name. 75% of Everest Industries‘ sales come from rural markets while 25% of Everest Industries‘ sales come from the industrial and urban segment. Everest Industries has a competitive advantage over its peers as its management is more dynamic.

Everest Industries was originally owned by Holcim, the world’s second largest cement producer. As Holcim decided to exit the cement products business, the Seksarias of Gujarat Ambuja Cement Ltd acquired 50 per cent stake in Everest Industries for Rs 134 a share for Rs 99.2 crores.

Everest Industries Press Release

Pre-Engineered Buildings by Everest Industries Limited: Orders Booked Worth 300 Crores in 18 Months.

Everest Industries Limited, a pioneer in building solutions ventured into Pre-Engineered Building (PEB) Solutions in June 2008. In mere 18 months, Everest Industries has booked orders of worth over Rs. 300 Crores which is a remarkable start for the company’s Pre-Engineered Building Solution. Everest Industries has undertaken 300 projects which comprises of 450 buildings, Out of which 250 buildings have been successfully executed by Everest Industries till date.

19.01.2009: Everest Industries, a pioneer in building solutions ventured into Pre-Engineered Building (PEB) Solutions in June 2008. In mere 18 months, Everest has booked orders of worth over Rs. 300 Crores which is a remarkable start for the company’s Pre-Engineered Building Solution. Everest Industries has undertaken 300 projects which comprises of 450 buildings, Out of which 250 buildings have been successfully executed by Everest Industries till date.

Pre-Engineered Steel Buildings are the fastest system of industrial construction today and environment friendly. As steel is a recycled content, a manufacturer or builder can get up to 30 LEED points for using Steel in the construction of the building.

As compared to the regular conventional building solutions, Everest Pre-Engineered Steel Building Solutions are superior in strength, take less time and offer protection against non uniform weathering elements. Everest Industries Pre-Engineered Steel Building Solutions promise to erect the factory building in only 33% of the time that it normally takes to construct a conventional building.

Everest Industries has done some prominent projects such as:

1) Blow Past Limited, which is one of the first LEED certified Green Pre-Engineered Building. The project is divided into two phases of 1 Lac sq.ft and 50,000 sq.ft. At a cost of 400 Lacs approx.

2) Reliance Media Works Studio in Mumbai for an area of 80000sq. ft. At a cost of 800 Lacs approx.

3) Bharati Walmart, Amritsar for an area of 50000sq.ft. At a cost of 200 lacs approx.

4) MJ Logistics Integrated Logistics Park, The first of its kind logistics park on Agra road at Palwal Phase I, 200000sq.ft, Height 12 meters, Completed in 120 days, First of its kind in North India, Value : 800 lacs approx. Phase II and Phase III will be similar and will be total 600000 sq.ft.

5) Kalptaru Transmissions subsidiary Shree Shubham Logistics:
Over 750000sq.ft. Located at Alwar, Jodhpur in Rajasthan and Rajkot and Deesa in Gujarat.

6) Logistics Agri Warehouses located in Gujarat and Rajasthan out of which Deesa and Ramganjmandi is cold store first time in PEB by Everest Industries with ground plus 4 floors with loading of over 1.4 MT/m2 on each of floor. Each store was made in record time of 90 days from design to completion. These have utilized PUF panels as roof and wall cladding for temperature control.

Other than the above mentioned works, Everest Industries has also done; Office of Amanora Park, Pune (area: 6500 per sq.ft., execution period: 6 weeks); Erricson Communications, Jaipur (area: 100000 sq.ft., execution period: 12 weeks); Warehouse of Tristar Infrastructure, Mumbai, Indore and Chennai (area: 200000 sq. ft., execution period: 12 weeks); Factory Building with multiple cranes totaling to over 280 MT of McNally Bharat, Asansol, WB (area: 120000 sq. ft., execution period: 22 weeks).

Everest Industries is also constructing its 2nd and country’s 3rd Bharti-Walmart in Jalandhar, Punjab. The project is spread across 45,000 sq.ft and it is most likely to complete in April 2010.

According to Mr. Manish Garg, President, Steel Building Solutions, Everest Industries, “Everest Industries Limited‘s turnover in FY08-09 was Rs. 530 Crores out of which PEB Solution’s contribution was 20% and we are planning to double the turnover by FY10-11 and we project that PEB’s contribution will be 30-35%.”

Everest Industries, established in the year 1934, has manufacturing facilities in Kymore (Madhya Pradesh), Kolkata (West Bengal), Coimbatore (Tamil Nadu), Nashik (Maharashtra) and Roorkee (Uttrakhand). Everest Industries has a state-of-the-art R&D centre in Nashik, which constantly works on product up-gradation and development of new products. The company has grown by over 85% in this financial year.

With a 75 year legacy, now Everest Industries‘s product portfolio comprises of Everest Ceiling Solutions, Everest Wall Solutions, Everest Floor Solutions, Everest Cladding Solutions, Everest Doors, Everest Roofing Solutions and Everest Steel Building Solutions.