22th july 2013(a case analysis os s.alam group of company)

8/13/2019 22th July 2013(A case analysis os S.alam group of company)

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17 th July 2014

Senior Lecturer of Faculty of Business Administration

Sub: Salvo Chemical Industry Limited Auditors Report to theShareholders

Dear sir

It is our great pleasure to submit you this kind of Survey report. We are giving specialthanks to you for your much cooperation to prepare this kind of Survey report. It is agreat enjoyable and challenging experience for us. We gathered a lot of experiencedoing this Survey report. We also observed the thinking of the consumer about thepoverty line for the urban population of Bangladesh. In our Finance Management course we were known about the urban poverty line of ourcountry. And finally we have gathered vast information about the urban poverty lineand the condition of our country in the Finance Management course.

We again give thanks to our honorable course teacher for his cooperation.

Sincerely yours,

Md.Nazrul Islam

.


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Acknowledgement

Finance Management is such a thing of pleasure. But doing this is also a tough thing.

This is an integration of different types of tasks the accomplishment of which

would not have been possible without the wholehearted assistance of some

people whose debt I wont be able to express in mere words because while doing

this assignment I faced some problems and with the help of those people I

overcame those problems. For that, I am really grateful to some of my friend who

gave me some knowledge about the topic but individually I do my Survey report.

And I want to acknowledge my gratitude to them.

First of all I would like to thank the almighty Allah who has given me the required

knowledge and the power to finish this assignment.

Secondly I would like to thank the course instructor Rizvy Ahmed

as well. I am also very grateful to them because you instructed me to the right

way to complete a difficult task and their dynamic teaching method & earnest

instruction made it possible for me to complete this work successfully within the

stipulated time .Without their great support I could not do whatever I have done.


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Table of ContentsChapter No. Particulars Page No

S.Alam Group of Industries 04-10

S.Alam Groups Expression record 11-13

A.Alam Groups Analysis 14-23

References 24


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S.Alam Group of IndustriesType Public

Industryconsumer goods, agribusiness, foods& beverages, steel, transport, realestate, power & energy etc.

Headquarters Dhaka , Bangladesh .

Key peopleMohammed Saiful Alam , Chairman& Managing Director

Total assetsUS$ 2.84 billionBDT 198 billion [citation needed ]

Employees 7000Website www.s.alamgroupbd.com

S.Alam Group is a Bangladeshi industrial conglomerate . The industries under this group includeFood & Allied Products, Steel, Banking, Consumer products, Sugar, Cement, Power, Energy,Transportation, Shipping, Manufacturing, Hospitality, Financial Institution, Agro, Trading, Oil,Gas .

Its products C.I Sheets, Color coated Iron sheet, Cement, Vegetable oil, C.R Coil, Soya Seedextraction, Public Transport, Gas Refueling Station, P.P Woven Bags, Shrimp Hatchery, Refinedsugar, Agro farms, Natural gas, heavy oil, furnace oil and other based power generation plant,Real Estate, Hotels & Resorts, Import and Trading of commercial items, storage service of crudeoils etc.

S. Alam Group has a target investment and has concentration in specialized investment in large power projects under joint venture and / independent participation in economic structuraldevelopment etc.

The S. Alam Group enjoys a dominant position in all the fields in which it operates. The annualturnover of group is over BDT. 140.00 Billion (USD 2.00 Billion). Its fixed assets after
http://en.wikipedia.org/wiki/Types_of_business_entityhttp://en.wikipedia.org/wiki/Public_companyhttp://en.wikipedia.org/wiki/Dhakahttp://en.wikipedia.org/wiki/Dhakahttp://en.wikipedia.org/wiki/Dhakahttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/w/index.php?title=Mohammed_Saiful_Alam&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Mohammed_Saiful_Alam&action=edit&redlink=1http://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/US$http://en.wikipedia.org/wiki/US$http://en.wikipedia.org/wiki/Bangladeshi_takahttp://en.wikipedia.org/wiki/Bangladeshi_takahttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://www.s.alamgroupbd.com/http://www.s.alamgroupbd.com/http://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Conglomerate_%28company%29http://en.wikipedia.org/wiki/Conglomerate_%28company%29http://en.wikipedia.org/wiki/Conglomerate_%28company%29http://en.wikipedia.org/wiki/Conglomerate_%28company%29http://en.wikipedia.org/wiki/Bangladeshhttp://www.s.alamgroupbd.com/http://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Bangladeshi_takahttp://en.wikipedia.org/wiki/US$http://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/w/index.php?title=Mohammed_Saiful_Alam&action=edit&redlink=1http://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Dhakahttp://en.wikipedia.org/wiki/Public_companyhttp://en.wikipedia.org/wiki/Types_of_business_entity


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commissioning the projects under implementation shall reach to BDT.198.61 Billion (USD 2.84Billion). The group employs about 7000 people

S. Alam Group also has investment in banking, leasing, Insurance, Stock Broker Houses,

Merchant Banking business.

S.Alam Group: companies

S. Alam Cold Rolled Steels Ltd.

S. Alam group is a Bangladeshi industrial group, which is formed by the collaboration of manysmall firms in order to achieve a common goal. It is a group of industries merged together to takethe development of the nation to a new height. This group was established in 1985 and started its

business under the name of S. Alam and company. In 1988, the group started transport businesswith name S. Alam luxury chair coach services limited. Subsequently S. Alam steels limited wasestablished in 1995 with all machinery imported from Japan, first of its own kind in the nation.Production capacity of this plant is 200 m. Ton in three industrial units. Recently in 2010 a sugarrefinery of high capacity was implemented and initiated its business on the name of Globaltrading corporation limited.

For the last 27 years, S. Alam Group has dedicated itself for the company, community as well asthe country by providing them its services and high quality products. It produces C.I Sheets,Cement, Vegetable oil, C.R Coil, Soya Seed extraction, Public Transport, Gas RefuellingStation, P.P Woven Bags, Shrimp Hatchery, Refined sugar, Agro farms, Natural gas, heavy oil,furnace and many other valuable products. It plays an important role in the economicdevelopment of Bangladesh. S. Alam group targets large power projects for specializedinvestment and independently taking part in economic structural development. It has dominatedevery field it works that is clear from the fact that the annual turnover being BDT.140.00 Billionand above. The S. Alam group also invests in leasing, stock broker houses, banking andmerchant banking business. The industries which come under this group includes Food & AlliedProducts, Steel, Banking, Consumer products, Sugar, Cement, Power, Energy, Transportation,Shipping, Manufacturing, Hospitality, Financial Institution, Agro, Trading, oil and gas.
http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/


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This company sets new target for it and always makes effort to achieve it shortly andsatisfactorily. S. Alam group has now set a new target of investment. It has now concentrated inspecific investment in large scale power projects under joint programme of public and privatesector. It also aims to contribute and take active participation in social, economic and structural

development of the nation. This company has occupied a strong and dominant position in thefields in which it works. Apart from its investment mentioned above it also shows its presence inthe field like banking, insurance, merchant banking, insurance, stock broker houses, etc. Thestrength of the company lies in its organised, dedicated and disciplined team of professionals andfellow workers. Despite being such a large group, it always cares about its customers, clients andshareholders. It works on many schemes which are of their interest.

One of the distinguished features of this group is that it cares a lot about the nature andenvironment. This company is dedicated toward the safety and security of the environment. Ithas taken a lot of steps toward it. S. Alam group has decided to invest about 2.6 million USD inits different manufacturing units for the protection of environment.

S. Alam Cold Rolled Steels Limited established on December 12, 2000. It produces high qualityC.R Coils, which is known as Cold Rolled Coil in its detailed form. Raw materials of these coilsare imported from well-developed countries such as Japan, Korea, Netherlands, Romania,Russia, India, Taiwan, China. Annual turnover of this production is around BDT 4.00 Billion. At

present, there are approximately two hundred and twenty workers are working in this productionto produce 1,20,000 M. Ton cold rolled steel strips per year.

Food and allied Products

S. Alam Soyaseed Extraction Plant Ltd. S. Alam Vegetable Oil Limited. S. Alam Super EdibleOil Limited. S. Alam Refined Sugar Industries Ltd. S. Alam Refined Suger Industries Ltd. (Unit-2) S. Alam Tank Terminal Ltd.

Cement
http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/


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S. Alam Cement Ltd. Brand name is "Minar". The production capacity is 1200 M. Tons per day.The cement is being export to Myanmar.

Steel

S. Alam Steels Ltd. S. Alam Cold Rolled Steels Ltd. S. Alam Cold Rolled Steels Limited (NOF)Galco Steels (BD) Ltd. Galco Steel (BD) Ltd. (Unit-2) Chemon Ispat Ltd.

Power and energy

Karnaphuli Prakritik Gas Co. Ltd. Shah Amanat Prakritik Gas Co. Ltd. S. Alam Power Plant Ltd.S. Alam Power Plant ltd. (Unit-2) S. Alam Power Generation Ltd.

Transportation

S. Alam Luxury Chair Coach Services Ltd.

Shipping

Bering Sea Lines

Manufacturing

S. Alam Bag Manufacturing Mills Ltd.

Properties

S. Alam Properties Ltd. Hasan Abason (Pvt.) Ltd. Modern Properties Ltd. Ocean Resorts Ltd.Prasad Paradise Ltd. Marine Empire Ltd.

AgroS. Alam Hatchery Ltd. Fatehabad Farm Ltd.

Trading


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S. Alam Brothers Ltd. S. Alam Trading Co. (Pvt.) Ltd. S. Alam & Company Sonali CargoLogistics (Pvt.) Ltd. Sonali Traders Global Trading Cor. Ltd.

S. Alam group is a Bangladeshi industrial group, which is formed by the collaboration of many

small firms in order to achieve a common goal. It is a group of industries merged together to takethe development of the nation to a new height. This group was established in 1985 and started its business under the name of S. Alam and company. In 1988, the group started transport businesswith name S. Alam luxury chair coach services limited. Subsequently S. Alam steels limited wasestablished in 1995 with all machinery imported from Japan, first of its own kind in the nation.Production capacity of this plant is 200 m. Ton in three industrial units. Recently in 2010 a sugarrefinery of high capacity was implemented and initiated its business on the name of Globaltrading corporation limited.

For the last 27 years, S. Alam Group has dedicated itself for the company, community as well asthe country by providing them its services and high quality products. It produces C.I Sheets,Cement, Vegetable oil, C.R Coil, Soya Seed extraction, Public Transport, Gas RefuellingStation, P.P Woven Bags, Shrimp Hatchery, Refined sugar, Agro farms, Natural gas, heavy oil,furnace and many other valuable products. It plays an important role in the economicdevelopment of Bangladesh. S. Alam group targets large power projects for specializedinvestment and independently taking part in economic structural development. It has dominatedevery field it works that is clear from the fact that the annual turnover being BDT.140.00 Billionand above. The S. Alam group also invests in leasing, stock broker houses, banking andmerchant banking business. The industries which come under this group includes Food & AlliedProducts, Steel, Banking, Consumer products, Sugar, Cement, Power, Energy, Transportation,Shipping, Manufacturing, Hospitality, Financial Institution, Agro, Trading, oil and gas.

This company sets new target for it and always makes effort to achieve it shortly andsatisfactorily. S. Alam group has now set a new target of investment. It has now concentrated inspecific investment in large scale power projects under joint programme of public and privatesector. It also aims to contribute and take active participation in social, economic and structuraldevelopment of the nation. This company has occupied a strong and dominant position in thefields in which it works. Apart from its investment mentioned above it also shows its presence inthe field like banking, insurance, merchant banking, insurance, stock broker houses, etc. Thestrength of the company lies in its organised, dedicated and disciplined team of professionals andfellow workers. Despite being such a large group, it always cares about its customers, clients andshareholders. It works on many schemes which are of their interest.

One of the distinguished features of this group is that it cares a lot about the nature andenvironment. This company is dedicated toward the safety and security of the environment. Ithas taken a lot of steps toward it. S. Alam group has decided to invest about 2.6 million USD inits different manufacturing units for the protection of environment.

S. Alam Cold Rolled Steels Limited established on December 12, 2000. It produces high qualityC.R Coils, which is known as Cold Rolled Coil in its detailed form. Raw materials of these coilsare imported from well-developed countries such as Japan, Korea, Netherlands, Romania,


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Russia, India, Taiwan, China. Annual turnover of this production is around BDT 4.00 Billion. At present, there are approximately two hundred and twenty workers are working in this productionto produce 1,20,000 M. Ton cold rolled steel strips per year.

44 (-2.00%)

Last update: Nov 28 2013 02:30:45:107PM

Change: -0.9 ( -2.00% )

Open: 45.7

High: 45.7

Low: 43.7

Prev Close: 44.9

VOLUME DETAILS

Volume: 294500

Prev Volume: 514500

Volume Change: -220000 (-42.76%)

Avg (last 5 days): 883600

Cmp to Avg Vol: -589100 (-66.67%)

TRADE DETAILS

Turnover: 13.00 M
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Prev Turnover: 23.32 M

No. of Trade: 308

Prev No. of Trade: 442

Avg Trade Value: 0.04 M

SHARE DRISTRIBUTION

Director: Public: Govt: Inst: Foriegn:

48.5% 42.97% 0% 8.53% 0%

EPS

Last EPS: Quarter: Annu EPS: P/E:

2.66 Q3 3.55 12.41

S. ALAM GROUP

For over 27 years, S. Alam Group has been committed to the self-reliance for company, community andcountry by its quality products and services reach out to the people of Bangladesh. Its products C.ISheets, Color coated Iron sheet, Cement, Vegetable oil, C.R Coil, Soya Seed extraction, Public Transport,Gas Refueling Station, P.P Woven Bags, Shrimp Hatchery, Refined sugar, Agro farms, Natural gas, heavyoil, furnace oil and other based power generation plant, Real Estate, Hotels & Resorts, Import andTrading of commercial items, storage service of crude oils etc. play a key role in economic growth of

Bangladesh, being import substitute, social responsibility growing and its development.

S. Alam Group has a target investment and has concentration in specialized investment in large powerprojects under joint venture and / independent participation in economic structural development etc.

The S. Alam Group enjoys a dominant position in all the fields in which it operates. The annualturnover of group is over BDT. 140.00 Billion (USD 2.00 Billion). Its fixed assets aftercommissioning the projects under implementation shall reach to BDT.198.61Billion (USD 2.84


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Billion). The group employs about 7000 people.The groups flagship all of the companies inBangladesh are most popular, respected and admired. S. Alam Group also has investment inbanking, leasing, Insurance, Stock Broker Houses, Merchant Banking business.

S. ALAM GROUP EXPANSION RECORD

1985 - Started trading business under the name and fame S. Alam & Company. 1988 - Started transport business under the name and fame S. Alam luxury Chair CoachServices Ltd. 1995 - Established S. Alam Steels Ltd. Unit-I fully Japan origin machineries capacity 100 M.Tons per day.1998 - S.Alam Steels Ldt. Unit-2 fully Japan origin machineries. Capacity 100 M. Tons per day.1999 - S.Alam Steels Ldt. Unit-3 fully Japan origin machineries, capacity 100 M. Tons per day.

2000 - S.Alam Hatchery Limeted - producing baby shrimps (fry) under the technology fromTaiwan.S.Alam Cement Limited -A brand new German Origin Plant, capacity 1200 M. Tons per

day.2001 - S. Alam Vegetable Oil Ltd. -A brand new Germany Origin Plant, capacity 120 M. Tons

per day.2002 -S.Alam Bag Manufacturing Mills Limited. A brand new Republic of Korea origin P.P.Woven bag and Polyethylene Plant.2003 - Chemom Ispat Limited A fully Japan origin Plant, capacity 200 M. Tons per day.Procured a joint venture project named Galco Steel (Bangladesh) Limited. Took anotheropportune decision, while established different Real Estate Companies and started large-scale

investment in these sectors. The Companies operating Real Estate business are as follows. S. Alam Properties Ltd. Hasan Abasan (Pvt.) Ltd. Modern Properties Ltd. Fatehabad Farm Ltd. Ocean Resorts Ltd. Prasad Paradise Resorts Ltd. Marine Empire Ltd. Sonali Cargo Logistics (Pvt.) Ltd.

2004 - S.Alam Cold Rolled Steels Limited - Public Limited Company listed in DSE & CSE andoperating a Cold Rolling Steel Sheet CVC Plant having capacity 120,000 M. Tons per annum.S. Alam Super Edible Oil Limited. A brand new Germany Origin Plant, capacity 300

M. Tons per day and a fractionation Plant having capacity 150 M. Ton per day.

2005 - Undertaken to implement by procurement a Portland composite cement named ProtmanCements Ltd. having Capacity 600 M. Tons per day.


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2006 - A solvent extraction plant having capacity 120 M. Ton per day named S. Alam SoyaseedExtraction Plant Ltd. and a Tank Terminal having capacity 60,000 M. Ton in per the name andfame S. Alam Tank Terminal Ltd.

2007 - Implemented a Sugar Refinery having capacity 2,70,000 M.T.p.a. & Power Plant having capacity 6 MWPH. The group has also a plan to establish a Hot Rolled Steels Industryhaving capacity 500000 M. Tons per annum and another Power Generation Plant with a capacity18 MWPH.

2008-09 - Started a joint venture public transport business in the name of Soudia S. AlamMercedes Benz Ac Service

2010 - Implemented an additional Sugar Refinery having capacity 3,60,000 M. T. Per annumand an Power Plant capacity 6 MW. Under Implementation:(1) Non Oxide Furnace (NOF) typeGP/CI Sheet Plant in S. Alam Cold Rolled Steels Ltd. (2) 17 MW Power Generation Plant (3)

Colour Coated GP & CGI Sheet being expansion project of Galco Steel (Bangladesh) Ltd. (4)Started trading business in the name of Global Trading Corporation Ltd.

PROJECTS LOCATION

Charpatherghata, Karnafully,Chittagong, Bangladesh. Kalarpool, Shikalbaha, Patiya, Chittagong, Bangladesh. Isanagar, Karnafully, Chittagong, Bangladesh. Sonarpara, JaliaPalong, Ukhiya, Cox,sbazar, Bangladesh. Kazi Para, Uttar Rupshi, Rupgonj, Narayanmgonj, Bangladesh.

The Group has future projection to set up a modern environmental international standardCorporate Office. On that view a space having about 50,000 sq. feet. has been procured with a

cost BDT 1.00 Billion from a prestigious building in Chittagong as well as in Bangladesh named

World Trade Centre to accommodate work station for 500 people.

OUR MISSION INDUSTRIAL DEVELOPMENT IN THE COUNTRY PRODUCE IMPORT SUBSTITUTE

CREATE EMPLOYMENT OPPORTUNITY MINIMIZE THE PUBLIC LIVING COST FOREIGN CURRENCY SAVINGS TO CONTRIBUTE TO THE ECONOMY OF THE SOCIETY AND COUNTRY


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S. Alam Cold Rolled Steels Limited

Ensure the backward linkage of the Steel Industries of Galvanizing, Corrugated, and Automobileetc. This C. R. Coil producing maintained a high quality standard to meet the local demandsconsidering price to save foreign currency.

Name of the Product :Cold Rolled Steel StripsTechnical Specification :Product range

0.1mm ~ 0.50mm Thick mm720mm ~ 914mm width

Capacity of the Plant :1,20,000 M. Ton per yearManpower :220 personsAnnual Turnover :BDT 4.00 BillionProspect/Consumers/Users :Galvanizing Automobile and other steel IndustriesSource of raw material :Japan, Korea, Netherlands, Romania, Russia, India, Taiwan, China

etc.Technology :6 hi CVC Machinery of Japan originEstablishment :12-12-2000

Our Companies

Food & Allied Products o S. Alam Soyaseed Extraction Plant Ltd. o S. Alam Vegetable Oil Limited. o S. Alam Super Edible Oil Limited. o S. Alam Refined Sugar Industries Ltd. o S. Alam Refined Suger Industries Ltd. (Unit-2) o S. Alam Tank Terminal Ltd.

Cement o S. Alam Cement Ltd. o Portman Cements Ltd.

Steel o S. Alam Steels Ltd. o S. Alam Cold Rolled Steels Ltd. o S. Alam Cold Rolled Steels Limited (NOF) o Galco Steels (BD) Ltd. o Galco Steel (BD) Ltd. (Unit-2)

Power & Energy o Karnaphuli Prakritik Gas Co. Ltd. o Shah Amanat Prakritik Gas Co. Ltd. o S. Alam Power Plant Ltd. o S. Alam Power Plant ltd. (Unit-2) o S. Alam Power Genaration Ltd.

Transportation
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o S. Alam Luxury Chair Coach Services Ltd. Shipping

o Bering Sea Lines Menufacturing

o S. Alam Bag Manufacturing Mills Ltd. Properties

o S. Alam Properties Ltd. o Hasan Abason (Pvt.) Ltd. o Modern Properties Ltd. o Ocean Resorts Ltd. o Prasad Paradise Ltd. o Marine Empire Ltd.

Agro o S. Alam Hatchery Ltd. o Fatehabad Farm Ltd.

Ensure the backward linkage of the Steel Industries of Galvanizing, Corrugated, and Automobileetc. This C. R. Coil producing maintained a high quality standard to meet the local demandsconsidering price to save foreign currency.

Name of the Product :Cold Rolled Steel StripsTechnical Specification :Product range

0.1mm ~ 0.50mm Thick mm720mm ~ 914mm width

Capacity of the Plant :1,20,000 M. Ton per yearManpower :220 personsAnnual Turnover :BDT 4.00 BillionProspect/Consumers/Users :Galvanizing Automobile and other steel IndustriesSource of raw material :Japan, Korea, Netherlands, Romania, Russia, India, Taiwan, China

etc.Technology :6 hi CVC Machinery of Japan originEstablishment :12-12-2000Basic Information

Company NameS. Alam Cold Rolled Steels Limited

Company Purpose

The principle activity of the company is to produce and sell high quality

cold rolled steel strips (CR Strips) in the forms of coils and sheets. Thecompanys installed capacity is 120000 M. Ton per year.

Establishing Date 1985Financial Year End September

Auditor Hoda Vasi Chowdhury & C
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AnalysisLiquidity Ratios :

As the name suggests, short solvency ratios as a group are intended to provide inform matronabout a firms liquidity

Current ratio = Current assets/ Current Liabilities

2010,Current ratio=5118118544/3932454880=1.31

2011,Current ratio=5262027638/4863109656=1.08

2012, Current ratio = 7497277312/8454934533

= 0.88

Generally, the higher the current ratio, the more liquid the firm is consideredto be. A current ratio of 2.0 is occasionally cited as acceptable, but values

CURRENT RATIO,2010, 1.31, 40%



CURRENT RATIO

2010

2011

2012
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acceptability depends on the industry in which the firm operates. Here inthis graph, from 2010 to 2011 current ratio is 1.31 and 1.08. This is notunacceptable for manufacturing firm. Moreover, from 2012 a current ratiois 0.88 to which is quite acceptable.

Quick ratio = Current assets - Inventory/ Current Liabilities

2010,Quick ratio = Inventory is missing from the report so quick ratio is unavailable

2011,Quick ratio =5262027638-3707036373/4863109656

= 0.31

2012, Quick ratio = 7497277312-3982520132/8454934533

= 0.41

A quick ratio of 1.0 or greater is occasionally recommended, but as with the currentratio, what value is acceptable depends largely on the industry. According to this graph,from 2008- 2010 a quick ratio are about 0.29, 0.41 & 0.31 which is not recommended.

QUICK RATIO,2011, 0.31, 43%

QUICK RATIO,2012, 0.41, 57%

QUICK RATIO

20112012


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Because they are lower than 1. Moreover in 2011 a quick ratio is 0.31 which isoccasionally recommended.

Leverage Ratios:

DEBT ratio Total liability + Long term debt/Total asset2010, debt ratio = 3932454880+ 120167952/6995413115

= 0.57

2011, debt ratio = 5085897437+220137942/6995413115= 0.76

2012, debt ratio = 8704621723+223955171/10801794727= 0.82

DEBT RATIO,2010, 0.57,

27%

DEBT RATIO, 2011,0.76, 35%

DEBT RATIO, 2012,0.82, 38%

DEBT RATIO

2010

2011

2012


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The dept ratio measures the proportion of total assets financed by the firms

creditors. The higher the ratio, the greater the amount of other peoples

money being used to generate profit. Here in this graph, from 2008 2011 adept ratio value is fluctuating. In 2009 the value is the highest point.

Activity Ratios: Inventory Turnover Ratio = Cost of goods sold/ Average inventory2010, inventory turnover ratio = 2717861958/0.19535781

= 1.39

2011, inventory turnover ratio = 2949128017/0.633694353= 4.66

2012, inventory turnover ratio= 2990150440/0.760818662= 3.98

0 1 2 3 4 5

2010

2011

2012

INVENTORYTURNOVER RATIO,

2010, 1.39


2011, 4.66


2012, 3.98

INVENTORY TURNOVER RATIO

INVENTORY TURNOVER RATIO


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Inventory turnover is commonly measures the activity or liquidity, of afirms inventory. Here in this graph, from 2010 to 2012 the value is 7.96 to2.27 Where 7.96 is the highest value. Moreover from 2010 to 2011 the value

is 1.39 to 3.98 Where 4.66 is the highest value.

Profitability Ratios:Gross profit margin = gross profit/sales

2010, gross profit margin =530955551/2717861958= 0.19

2011, gross profit margin= 684961684/2349128017= 0.29

2012, Gross profit margin = gross profit/sales= 712223995/2990150440= 2.23

GROSSPROFITMARGI

N, 2010,0.19,7%

GROSS PROFITMARGIN, 2011,

0.29, 11%

GROSS PROFITMARGIN, 2012,

2.23, 82%

GROSS PROFIT MARGIN

2010

2011

2012


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The gross profit margin measures the percentage of each salesremaining after the firm has paid for its goods. This is very significantratio for small retailers, especially during times of inflationary prices.Here in this graph from 2010 to 2012 gross profit margin are increasingfrom 0.19 to 2.23. moreover in 2011, gross profit margin are increasing.

Net profit margin = Net profit/Sales

2010, Net profit margin = 143452485/2717861958= 0.52

2011, net profit margin = 306272108/2349128017= 0.13

2012, Net profit margin = Net profit/sales= 335143976/2990150440= 0.11

NET PROFITMARGIN, 2010,

0.52, 68%


0.13, 17%


0.11, 15%

NET PROFIT MARGIN

2010

2011

2012


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The net profit margin is a commonly cited measure of the firm successwith respect to earning on sale. Good net profit margins differconsiderably across industries. A net profit margin of 1 percent or lesswould not be unusual for a grocery store, whereas from 2010 to 2012net profit margins are increasing from 0.52 to 0.11. But that is not goodfor the Company.

Operating Expense Ratio = operating expenses / Sales

2010, operating expense ratio = 32427813/2717861958= 0.01




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The operating expense ratio measures the percentage of each salesdollar remaining after all costs and expenses other than interest, taxes,and preferred stock dividends are deducted. Here in this graph, from2010 to 2012the operating profit margins are increasing . In 2012 theoperating profit margin is 0.22 which is the highest value.

2010,time interest earning = operating profit/financial expense= 252245179/259477217= 0.97

2011, time interest earning = 436585154/392659469= 1.11

2012, time interest earning = 467851016/1832394543= 0.25

OPERATINGEXPENSE RATIO,

2010, 0.01


2011, 0.11


2012, 0.22

0

0.05

0.1

0.15

0.2

0.25

2010 2011 2012

OPERATING EXPENSE RATIO

OPERATING EXPENSE RATIO


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RETURN ON TOTAL ASSET

2010,return on total asset = EBIT/ total asset

= 252245179/ 6995413115 = 0.04

2011,return on total asset = 458029092/6995483115= 0.07

2012,return on total asset = 489866475/10801794727= 0.045

TIMES INTERESTEARNING, 2010,

0.97, 41%


1.11, 48%


0.25, 11%

TIMES INTEREST EARNING

2010

2011

2012


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References

1. Jump up ^ http://www.s.alamgroupbd.com/ 2. http://en.wikipedia.org/wiki/S.Alam_Group_of_Industries

Contact information of S.Alam Group:

Address: S. Alam Bhaban, 2119, AsadgonjChittagong 4100, BangladeshTelephone: +880 31 636997, 611426Fax: +880 31 618187Website: www.s.alamgroupbd.com

http://www.dsebdblog.org/category/engineering/s-alam-cold-rolled-steels-ltd/

RETURN ONTOTAL ASSET ,

2010, 0.04, 26%


2011, 0.07, 45%


2012, 0.045, 29%

RETURN ON TOTAL ASSET

2010

2011

2012
http://en.wikipedia.org/wiki/S.Alam_Group_of_Industries#cite_ref-1http://www.s.alamgroupbd.com/http://www.s.alamgroupbd.com/http://www.s.alamgroupbd.com/http://en.wikipedia.org/wiki/S.Alam_Group_of_Industrieshttp://en.wikipedia.org/wiki/S.Alam_Group_of_Industrieshttp://www.dsebdblog.org/category/engineering/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/category/engineering/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/engineering/s-alam-cold-rolled-steels-ltd/s-alam-cold-rolled-steels-ltd/http://www.dsebdblog.org/category/engineering/s-alam-cold-rolled-steels-ltd/http://en.wikipedia.org/wiki/S.Alam_Group_of_Industrieshttp://www.s.alamgroupbd.com/http://en.wikipedia.org/wiki/S.Alam_Group_of_Industries#cite_ref-1


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http://s.alamgroupbd.com/

Dhaka Office 96, French Road, Bangshal, Dhaka, Bangladesh.www. s.alamgroupbd.com
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22th july 2013(a case analysis os s.alam group of company)

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