Shree Cement
 | |
| Company type | Public |
|---|---|
| Industry | Building materials |
| Headquarters | |
Key people |
Prashant Bangur (Managing Director) |
| Products | Cement |
| Revenue |  ₹21,119 crore (US$2.5 billion) (2024)[1] |
| ₹2,959 crore (US$350 million) (2024)[1] | |
| ₹2,396 crore (US$290 million) (2024)[1] | |
| Total assets | ₹27,953 crore (US$3.3 billion) (2024)[1] |
| Total equity | ₹20,744 crore (US$2.5 billion) (2024)[1] |
Number of employees | 6,185 (2021)[1] |
| Website | www |
Shree Cement Limited is one of India's premier cement manufacturing companies, known for its commitment to quality, sustainability and innovation. Established in 1979, the company has grown exponentially to become a leading player in the Indian cement industry. Shree Cement operates multiple integrated and grinding units across India spread across 17 locations in the states of Andhra Pradesh, Rajasthan, Bihar, Chhattisgarh, Haryana, Jharkhand, Karnataka, Maharashtra, Odisha, Uttar Pradesh, Uttarakhand and West Bengal. The company's presence extends internationally with an integrated cement facility in Ras Al Khaimah, United Arab Emirates. Shree Cement manages its operations from its Corporate Office located in Gurugram, Haryana and Group Corporate Office in Kolkata, West Bengal.
History
[edit]In 1979, BG Bangur incorporated Shree Cement. In 1983, the first plant was commissioned in Rajasthan and production began in 1985. The company transitioned to full family control in 1995 under BG Bangur’s leadership. The current head of the company, Hari Mohan Bangur, joined his father after graduating from IIT Bombay in 1975. In 2003, HM Bangur’s son Prashant Bangur joined the business.
According to Mr. Hari Mohan Bangur, Shree Cement is very 'bullish' and are putting up new factories.[2] In November 2019, the company raised Rs 2,399.99 crore through a qualified institutional programme at a share price of Rs 19806.46. Nearly two years later, after the fundraising in September 2021, the company announced to the bourses that it is pumping capital as part of its capex expansion plan. The company has announced it will invest Rs 4,750 crore until FY 2024.
Timeline
- 1979: BG Bangur incorporated Shree Cement.
- 1985: Production begins in Rajasthan at the first commissioned plant
- 2018: 1st overseas acquisition – Union Cement Company in Ras Al Khaimah and plant commissioned in Kodla, Karnataka where the 1st Wind Power unit was also commissioned.
- 2023: Nawalgarh, the world’s largest Kiln commissioned. [3]
- 2024: Master brand Bangur launched for the market – with one Premium brand – Magna and 3 base brands – Jungrodhak, Powermax, & Rockstrong
- 2024: 1st unit of Ready Mix Concrete commissioned in Hyderabad, our 1st step towards becoming a multi-product company.
Bangur - The Master Brand
[edit]In January 2024, the company announced a revamp of its corporate brand identity and launched multiple brand offerings, with ‘Bangur’ as the master brand. By consolidating all offerings under the Bangur umbrella, the company offers a complete ecosystem of building materials and services under a single trusted name. This rebranding allowed stronger connections to be established with customers, offering them distinct experiences with the products. Guided by the core philosophy of 'Build Smart,' the company aims to empower architects, contractors, and homeowners to make choices that foster a stronger, more eco-friendly India.
Key Areas of Operation
[edit]CEMENT PRODUCTION: Shree Cement is a major player in the cement industry with a total cement production capacity of 56.4 million tonnes per annum (MTPA) as of March 2024. The company has projects under implementation to increase total capacity to around 72 MTPA upon completion, targeting a cement grinding capacity of more than 80 MTPA by 2028.
Leading the cement brand portfolio is Bangur Magna which provides complete protection with its Zeta Potential Shield. Catering to diverse smart building needs, Shree Cement offers Bangur Jungrodhak, which protects against rust; Bangur Powermax, made with Powergrind technology for superior power; and Bangur Rockstrong, which delivers instant rock-like strength.
READY MIX CONCRETE (RMC): The company has a robust Ready Mix Concrete business under the brand 'Bangur Concrete,' operating seven plants with a total capacity of 624 cubic meters per hour as of March 2024. Additionally, the company operates seven captive RMC plants at its cement manufacturing units. These Bangur Concrete units are fully equipped to manufacture various types of special concrete, offering advanced testing facilities, top-tier technical manpower and digitized solutions. Looking ahead, Shree Cement plans to set up approximately 100 Bangur Concrete plants over the next three years, targeting operations in around 50 cities.
POWER GENERATION: Shree Cement achieved a significant milestone of 1,000 MW total installed capacity in June 2024, which includes a mix of solar, wind, thermal and waste heat recovery power plants.
The company has installed independent thermal power production units of 300 MW under the brand Shree Mega Power at Beawar, Rajasthan. Additionally, 203 MW captive thermal power plants at Beawar, Ras and Raipur locations meet its power needs.
Shree Cement maintained its leadership position in utilizing green electricity (Waste Heat Recovery, Wind and Solar) within total electricity consumption. It significantly increased its green power generation capacity to 480.3 MW during FY 2023-24 from 385.6 MW in FY 2022-23, raising the share of green energy in total energy consumption to 55.9% from 51.1% the previous year. Current green electricity generation is 519.8 MW. Additionally, the company has identified new renewable energy projects at various locations, which are under installation/pre-project implementation activities to further boost its share of green energy for meeting its captive requirements. The company also continues to have the best operational efficiency of waste heat recovery systems within the industry.
Shree Cement is a member of the RE100 initiative, a global movement led by the Climate Group, advocating for businesses to transition to 100% renewable electricity for all their operations. As part of this initiative, Shree Cement has committed to using 100% renewable electricity by 2050. This commitment underscores the company's dedication to sustainable energy practices and its proactive approach to reducing its carbon footprint.
Sustainability & Environment
[edit]Shree Cement is deeply committed to sustainability and environmental stewardship, integrating these principles into its core business strategy. The company has undertaken several initiatives to enhance energy efficiency, reduce carbon emissions, and promote the use of renewable resources.
Key areas of focus and achievements in sustainability for FY 2023-24 include:
- Green Energy Utilization: Shree Cement has significantly increased its green power capacity to 480.3 MW in FY 2023-24, up from 385.6 MW in the previous fiscal year. This increase has raised the share of green energy in the company's total energy consumption to 55.9%. The company continues to invest in renewable energy projects to further boost this share.
- Energy Conservation: Energy conservation remains a top priority for Shree Cement, with initiatives ranging from small-scale shop-floor experiments to large capital expenditures. These efforts have led to significant reductions in carbon emissions and cost savings. The company has been recognized as a 'Best Performer' by the Bureau of Energy Efficiency for its energy-saving achievements during PAT Cycles I and II.
- Use of Alternative Fuels: Shree Cement has made substantial investments in using alternative fuels such as hazardous waste, municipal solid waste, and biomass waste, reducing its reliance on fossil fuels. In FY 2023-24, the company replaced over 352.15 billion kCal of heat from fossil fuels with agro waste, also achieved a Thermal Substitution Rate (TSR) of 2.37%.
- Alternative Raw Materials: The company utilizes synthetic gypsum produced captively, reducing the consumption of natural mineral gypsum. Shree Cement also increases the proportion of blended cement in its production, using more fly ash and ground granulated blast furnace slag (GBF slag), conserving natural resources like limestone and fossil fuels. In FY 2023-24, the consumption of alternative raw materials stood at 11.39 million metric tons, accounting for 24.41% of total raw material use.
CSR Initiatives
[edit]Shree Cement is dedicated to contributing to society's welfare through its comprehensive Corporate Social Responsibility (CSR) initiatives. The company's CSR activities are guided by the Samaj Seva Policy (Corporate Social Responsibility) and are executed through the Shree Foundation Trust, aligning with the Schedule VII of the Companies Act, 2013 and the UN Sustainable Development Goals.
Key Thematic Areas
- Women Empowerment and Skill Development
- Shree Shakti Project: Provides livelihood development training such as sewing, tailoring, and professional salon/beauty courses.
- Shree Balika Samriddhi Yojna (SBSY): Offers a Marriage Support Gift to women legally eligible for marriage (18+), including household items like sewing machines. Additionally, a ₹5,000 fixed deposit is provided to the family/guardians upon the birth of a girl child, encashable when she turns 18.
- Healthcare, Hygiene, Cleanliness, and Access to Drinking Water
- Wellness Management Centres (WMC): Provide healthcare support through regular health camps.
- Project 'Mamta': Organizes health checkups for pregnant women, new mothers, and infants, offering medical guidance during pregnancy.
- Shree Swachhata Project: Raises awareness about cleanliness and hygiene through regular camps and initiatives for access to drinking water, including constructing public water huts and distributing RO water facilities.
- Sustainable Livelihood
- Agricultural Initiatives: Organizes farmer visits to Krishi Vigyan Kendra for skill building and supports farmers with agricultural tools, high-quality seeds, and fodder cultivation seeds.
- Non-agricultural Initiatives: Provides vocational training for ITI graduate students in mines for on-the-job experience.
Supports the construction and renovation of sports facilities and clubs.
- Support to Dependents of Martyred Soldiers
- Project Naman: Supports dependents of martyred soldiers in building homes.
- Community Infrastructure and Rural Development
- Constructs, repairs, and upgrades community assets such as Gram Panchayat buildings, drainage systems, community centres, and roads, enhancing accessibility to education, healthcare, and jobs.
Financials
[edit]Shree Cement Limited has demonstrated strong financial performance for the fiscal year 2023-24.
Financial Capital
- Shareholders' Equity - ₹20,384.49 Crore
- Net Debt - zero i.e. cash positive
- Revenue - ₹19,585.53 Crore
- EBITDA - ₹4,924.63 Crore
- PAT - ₹2,468.44 Crore
- Net Cash flow from operations - ₹3,303.62 Crore
- RoCE - 15.51%
- Market Capitalisation - ₹92,741.05 Crore (as on 31st March 2024)
Manufactured Capital
- Capacity Utilisation - 77%
Intellectual Capital
- Investments in Innovation - ₹58.78 Crore
References
[edit]- https://www.thehindubusinessline.com/companies/shree-cement-commissions-new-klin-at-rajasthan-at-3500-cr/article67638161.ece
- https://www.business-standard.com/article/companies/shree-cement-very-bullish-setting-up-new-factories-ceo-bangur-122080900633_1.html
External links
[edit] NIFTY 50 companies of India | |
|---|---|
|
- ^ a b c d e f "Shree Cement Ltd. Financial Statements" (PDF). bseindia.com.
- ^ https://www.business-standard.com/article/companies/shree-cement-very-bullish-setting-up-new-factories-ceo-bangur-122080900633_1.html
- ^ https://www.thehindubusinessline.com/companies/shree-cement-commissions-new-klin-at-rajasthan-at-3500-cr/article67638161.ece