Financials of the Company
The company's sales has increased form Rs.100.86 million in 2003 to Rs.1273.78 million in 2009 at a compounded annual growth rate (CAGR) of 52.60% over a period of last six years. With increased focus on supply to infrastructure equipment (IE) sector, RLL is not only likely to sustain the growth rate but also to better it in years to come. This augurs well for RLL in view of the Government of India's recognition of infrastructure development as a key driver for the economy as a whole and its massive spending on this sector.
We in RLL believe that modern facilities with sate-of-the-art machineries, material handling equipments and associated infrastructure are the key for continuity of leadership position in the industry in which we operate. It is this belief which has resulted in substantial increment in fixed assets from Rs.148.01 million in 2003 to Rs.918.36 million in 2009 a whooping 520% jump. Creation of large capacities across India with modern infrastructure requires large investment in fixed assets. Investment in fixed assets has grown from Rs.38.16 million in 2003 to as much as 271.51 million in 2007. Intrinsic nature of business requires large upfront investments which reach rated levels of utilization over a period of time.
RLL has been rewarding its stakeholders since 2004 and the dividend pay out has increased from 12.5% in 2004 to 20% in 2007. With better performance expected in coming years dividend payout would increase further.
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