impact of bhel on economy (1)
DESCRIPTION
Porters five force model analysis of BHELTRANSCRIPT
Impact of BHEL & RELIANCEon Economy
Products
BHEL RELIANCE
Gas and Steam Turbines, Boilers, generators, Heat Exchangers, Pumps,programmable logic controllers, sensors, variable frequency drives, uninterruptible power supplies,circuit breakers, switchgear, switchboards, motor controllers
The Company's operations can be classified into four segments namely:Petroleum Refining and
Marketing businessPetrochemicals businessOil and Gas Exploration &
Production businessOthers
BACKGROUND
BHEL RELIANCE
Revenue INR 50,156 Crores (2012-13)
Net income INR 6,615 Crores (2012-13)
Total assets INR 71,753 Crores (2012-13)
Total equity INR 30,533 Crores (2012-13)
Employees48,399 (March 2013)
Revenue INR 360,297.00 crores (2012-13)
Net Income INR 21,003.00 crores (2012-13)
Total Assets INR 234543.00 crores (2012-13)
Total Equity INR 2,936.00 crores (2012-13)
Shareholding
BHEL RELIANCE
Competitors
Bhel Reliance Industries
Larsen SuzlonBEMLBGR EnergyAlfa Laval.
IOCBPCLHPCLEssar Oil
Project Executions-BHEL
Projects execution-RIL
Reliance build major manufacturing plants at following places:- Reliance Rio and Bharti signed an agreement for the
proper utilization of fiber connecting from Singapore to India.
In February 2012, RIL and SIBUR formed a JV to manufacture butyl rubber in India with targeted production capacity of 100,000 tonnes per annum. This JV will be the fourth largest producer of butyl rubber globally.
Jamnagar Refinery build on the area of 7500 acres with a cost of 25000 crores in the year 09-10
Dividend per Share
2013
2012
2011
2010
2009
0 5 10 15 20 25 30 35
Dividend Per Share
Dividend Per Share
BHEL
2013
2012
2011
2010
2009
0 2 4 6 8 10 12 14
divident per share
divident per share
Reliance
Operating profit margin
2012
2011
2010
2009
0 5 10 15 20 25
Operating Profit Margin(%)
Operating Profit Margin(%)
BHEL
2013
2012
2011
2010
2009
0 2 4 6 8 10 12 14 16 18
operating profit margin
operating profit margin
Reliance
Debt coverage
2013
2012
2011
2010
2009
0 50 100 150 200 250
Interest Cover
Interest Cover
BHEL
2013
2012
2011
2010
2009
0 2 4 6 8 10 12 14
Interest Cover
Interest CoverReliance
OPPORTUNITIES
BHEL RELIANCE
Increase in Defense budget will increase revenue for BHEL.
Contract by NTPC worth $52 billion.
Technology collaborations with Siemens for better performance.
Power sector reforms expected to kick of in coming future.
The agreement of Reliance Rio and bharti for the proper utilization of fiber optics.
Growing Demand of petroleum products.
RIL is the sole industry partner in the New Millennium Indian Technology Leadership Initiative (NMITLI) project on indigenous Fuel Cell Technology Development.
LIMITATIONS
BHEL RELIANCE
Heavy dependency on NTPC.
PSU Status.Government allowing
import of 10yr old capital goods.
Stringent Credit Facility.
Government policies for DG-6 from ministry of oil.
Government clearance for JV into oil exploration.
STRENGTH
BHEL RELIANCE
Execution of contracts.
Strong R&D.B.O.D has a strong
vision and mission.N.T.P.C contracts
Building partnerships with broadcasters and telecom infrastructure firms.
RIL is involved in some cutting-edge technologies like fuel cells, carbon fibres, bio-fuels, and gasification of several types of feedstocks.
Porters 5 Force Model
BHEL Reliance Industries
NEW DEVELOPMENTS
BHEL RELIANCE
New power reforms signs pact for setting up
renewable projects in Yemen Integrated power, coal
ministry to be more effective: UBS
BHEL commissions hydro power project in Himachal Pradesh
BHEL signs pact with Indonesian firm to set up power plant
RIL To Invest US$5 Billion In KG-D6 Block, India.
RIL is setting up a $4 billion petroleum coke gasification project that will produce synthetic gas that will replace expensive LNG as fuel at the refinery.
Acquisition of Network18 the leading player in digital space.
SOURCE: PTI