What is short term borrowing? From some bank? NBFC? If so, why are they reporting it under operating activities instead of financing activities?

When you put this together with their recent efforts to raise further money; I suspect they are facing a reasonable cash flow issue.

During last year’s Q2 results also, they have compared H1 vs H1. Infact, reporting and disclosures have improved this year with 1) more comparison vs prior like for like periods. 2) good to see balance sheet comparison now with fiscal end.

Anyone has an idea if they are hosting analyst/investor meeting?

From the conf call, I got the impression that they are not making loans fast enough.

On other players esp big ones, i doubt that. They are mainly focused on mainly high ticket size borrowers with credit history in Top tier cities.

Aavas, home first etc. focus on rural loan demand and their process might be completely different.

BMW INDUSTRIES Q2 :(First ever concall)

Bmw industries limited specializes in adding value to semi finished steel products a strategic approach that ensures they’re ability to maintain stable profit margins and offers a safe guard against the volatility against steel market.
This approach allows them to sustain a reliable cash flow by mitigating the impacts of demand and pricing fluctuations
They have an enduring association of over 30 years with tata steel limited.
THEIR USP derives from providing comprehensive suite of services to their customers covering every aspect of the value chain from manufacturing to logistic support a key driver of their success is their advantageous geographical proximity to their clients

In addition company has strategically assembled a fleet of long haul trailers further Enhancing their capability to deliver end to end solutions to their customers

Qoq margins are down due to product mix change however Gross margins remains same
For future growth:
1.planned an expansion in pipes and tubes over the next two years due to the high demand potential in the sector in the phase one which is already under one they will be Operationalized by march 2024 increasing capacity from the existing 204000 metric tonns to close to 53400 metric tons
While in the 2nd phase it should get Operationali by end of fy25 this capacity will be little over One million metric tonnes per annum
The agreement of Gpgc Sheets through the CRM complex is due for renewal by April 2024
This renewal is anticipated to yield about 2000 crs in rev over a span of the following 5 years with annual revenue projection atleast 350cr per year
An agreement of the production of TNT rebars scheduled to continue untill November 2025 is anticipated to generate revenues close to 250crs over the contract period

Their strategy of establishing their own brand involves several key steps including adopting an asset light model developing a robust distribution network expanding their presence in under serviced areas building in-house logistics capabilities and actively working on strengthening our brand value

For reducing carbon emissions company is setting up roof top expansions
The first project is already awarded and should be commercialized in the next three qtrs (cost 21cr)
They’re dedicated to improve their conversion biz by tapping into potential of their existing facility where available and setting up new plant if needed
Looking for brownfield expansions in response to the changing market dynamics.
They want to capitalize their brand value for the upcoming opportunities in B2C sector .

50-50%
50% from internal accruals
50%debt for the expansions
Have already spent 50cr out of the 70cr for the first phse 21crs being sourced from debt and remaining from internal accruals

2nd phase will require approximately 100crs
With rs 50cr funded through debt and balance from internal accruals

The entire capacity is exclusively for tata steel
They’ve already been doing this from past 10years
They are looking at renewing it again by April 2024
Other than gpcp their into conversion of TMT bars as well as pipes and tubes galvanizing for tata steel and
Generally in these types of ebita per tonne?
Their numbers are pretty sustainable numbers as volumes increase and as you know they get the advantage of scale these are very very sustainable numbers.
What competitive advantages do wee have against the fully integrated players?
They’re nothing but a convertor player they take the steel and convert it into billets, and they’re converting into finished steel or pipes or tubes so generally in this
They can only to them based how many billets they give to me as they don’t make billets

The whole capex is exclusive with tata steel
Their USP is their plant is in 5km radius away from the Customer
Lot looking at burning cash.
They’re serving a completely different set of market than tata steel they’re actually In rural undeserved areas that’s a part of their strategy they are supplying a lot of the smaller order lots etc which is completely different from tata tiscon that is s high end branded product. Our product Bansal super is s much more market based standard market product
They try to cover very very sensitive factors that affect their cost
Despite the expansion their net debt will keep going down bcz they’re getting that debt on a fine rate
ON IRR basis their margins will be 17-18%
They’ll be OPERATING LEVERAGE
There is no non compete between them and tata steel
How to plan to grow their own brand?
They’re working with rural part under served areas. It’s a n asset light model they’re getting the production outsourced and not using their facilites to do this and so they basically depending on the monhtly demand they outsource then they brand it and distribute
That helps them to keep asset allocation om this particular vertical very low

management rescheduled concall to 8:00-9:00am pre market opening. Looks like it helped to sustain stock price. yet to go through concall.