ppt on nahar (1)

PRESENTATION ON OSWAL WOLLEN MILLS

SUBMITTED BY –

The Nahar Group Nahar Group came into existence in 1949.

It was established with the initial efforts of 3 Oswal Brothers Sh. Vidya Sagar Oswal, Sh. Lachman Dass and Sh. Rattan Chand Oswal.

Total turnover of Nahar Group is 6000 crore.

There are 7 companies under Nahar Group.

Nahar Group of Companies OSWAL WOOLEN MILLS LTD. NAHAR INDUSTRIAL ENTERPRISES

LTD. NAHAR SPINNING MILLS LTD. NAHAR POLYFILMS LTD. NAHAR CAPITAL&FINANCIAL

SERVICES LTD. MONTE CARLO FASHION LTD. COTTON COUNTY NAHAR RETAIL LTD.

VISION

“The excellence is always an ongoing journey never Destination”

MISSION

“To give the best to the customers at most competitive price”

OSWAL WOOLEN MILLS LTD It was established in 1949 by Sh.Vidya Sagar

Oswal.

It is manufacturing all type of Blended worsted yarn, weaving yarns, blankets, lohis,

shawls, garments, etc .

The main operations of the company are at Ludhiana.

MAJOR EVENTS OF OWM YEAR

1949

1968

1974-1985

1995

2006

EVENTS The Co. was incorporated as Public Ltd.

Co. with a woolen hosiery knitwear unit.

Commenced export of knitted hosiery.

Launched ‘Monte Carlo’ brand. Established an OWM export house. Recognized as one of first five trading

house under EXIM policy 1981-1982.

Launched ‘Canterbury’ brand.

The first phase of Denim plant at Larlu was established.

Started retail for franchises of retail outlets.

Board of Directors Mr. Jawahar Lal Oswal Chairman-Cum

Managing Director   Mr. Amarjeet Singh Director Mr. Dinesh Oswal Director Mr. Kamal Oswal Director  Mr. Sandeep Jain Executive Director  Mr. Dinesh Gogna Executive Director Dr. (Mrs.) H.K. Bal Additional Director Mr. O.P. Sahni Additional Director Mr. K.S. Maini Additional Director  Dr. Suresh Kumar Additional Director

PRODUCT PORTFOLIO

Wool Yarns Textile fabrics Hosiery knitwear products Cotton Garments Denim fabrics

BRANDS OF OWM

EXPORT MARKET

U.S.A. UNITED KINGDOM Germany Russia Japan Australia   Singapore Taiwan South Africa Canada New Zealand Thailand Hong Kong

COMPETITORS

COMPETITORS OF WOOLEN/BLENDED WORSTED YARN

Vardhman Textiles Limited Jayshree Textiles Limited Malwa Cotton Mills Limited COMPETITORS OF DENIM FABRIC Arvind Mills Limited Aarvee Denims Limited Raymond Limited

VARIOUS DEPARTMENTS

Quality control

Human Resource Department

Finance Department

Marketing Department

Functions of Departments Quality Control Human Resource

To enhance customer satisfaction

Cost reduction in operation.

Regular review and upgradation of technology.

Maintaining employees records.

Labour cost reporting.

Time keeping.

Various other functions like Recruitment, Selection and training.

Finance Marketing

Financial planning & controlling.

Financial Accounting. Financial report. Capital structure &

decisions. Cash management. Audit &tax administration.

Market survey. Developing Marketing

Strategy. Providing feedback to

production department. Handling enquiry orders

through letters & phone calls.

SWOT ANALYSIS STRENGTHS WEAKNESS

Extensive experience of promoters.

Good brand image. Automated machines of

latest technology. Good training programs. Commitment of

employees.

Long Hierarchy.

Dependant upon foreign producers for greasy wool.

Risks in relation to outsourcing of cotton segment of MC products.

OPPURTUNITIES THREATS

Fabrication for various companies likes NIKE, MARKS AND SPENCER, GAP, WILLS, etc.

Manufacturing of kids garments.

Best quality goods can quote for best selling price.

Mushrooming and upcoming of small hosieries in Ludhiana.

Seasonal demand for their major product i.e. pullovers.

LEARNINGS Knowledge about financial analysis.

Knowledge about Ratio analysis.

Knowledge about Trend analysis.

FINANCIAL ANALYSIS Financial analysis is the process of

identifying the financial strength & weaknesses of Co. by properly establishing relationship between variables of balance sheet and P& L account.

The purpose is to judge liquidity, profitability & financial soundness of enterprise.

WORKING CAPITAL Working Capital is mainly difference

between current assets and current liabilities.

WC = CA – CL

It tells about daily operations of the business.

Concepts of WC – Gross working capital

Net working capital

NEEDS OF W.C

The need of W.C arises due to time gap between production & realization of cash from sales.

For the purchase of raw material. To pay wages & salaries. To incur day to day expenses. To provide credit facilities to customers. To maintain the inventories.

RATIO ANALYSIS

Ratios are mostly used in practice to access financial performance and condition .

The main objective is to help management in analysis the financial statement to get adequate information useful for performance of various functions.

CURRENT RATIO

INTERPRETATION - The company’s current ratio is more than standard (2:1) i.e. 2.9 in 2012 ,2.95 in 2013, 3.1 in 2014 so company is in great position and current assets are well maintained and liabilities are under full control.

YEARS 2012 2013 2014

Audited Provisional Projected

CA 43558.15 54059.51 87617.69

CL 14978.99 18281.59 28291.51

2.9 2.95 3.1

QUICK RATIO

INTERPRETATION - The company’s quick ratio is more than standard ratio 1:1 i.e.1.33 in 2012 which is decreased to 1.26 in 2013 & 1.22 in 2014 still more than standard limit, shows company has strong financial position.

Years 2012 2013 2014

Audited Provisional Projected

Liquid assets 19996.98 23084.88 34574.69

CL 14798.99 18281.59 28291.51

Ratio 1.33 1.26 1.22

DEBTOR TURNOVER RATIO

INTERPRETATION - As the company’s debt collection period is decreasing per year from 35 in 2012 to 33 in 2013 & 2014 which is good for company & has no impact on slowdown of economy.

YEARS 2012 2013 2014

Audited Provisional Projected

Debtors -domestic -export

8947.39137

11413.5658

15434234.2

Sales 94781.96 129881.75 176536.42

35 33 33

GROSS PROFIT RATIO

INTERPRETATION – Gross profit of the company is 13.52% in 2012 which increased to 15.48% in 2013 & 18.53% in 2014 which is best for the company so company position is strong for all the financial year.

Particulars 2012 2013 2014

Audited Provisional Projected

Gross Profit 12823.15 20114.55 32716.36

Sales 94781.96 129881.75 176536.42

Ratio 13.52 15.48 18.53

NET PROFIT RATIO

INERPRETATION - The company’s net profit is 4.46% in 2012 which increased to 5.04% in 2013 & 7.24% in 2014. Thus according to company’s estimation & seeing the overall earnings ,company is in good position.

Particulars 2012 2013 2014

Audited Provisional Projected

Net Profit 4234.36 6547.46 12779.38

Sales 94781.96 129881.75 176536.42

Ratio 4.46 5.04 7.24

Particulars 2012 2013 2014

Audited Provisional Projected

Long term debt

29235.36 36531.77 46505.41

Net worth 23945.14 30492.59 43271.97

Ratio 1.22 1.2 1.07

DEBT EQUITY RATIO

INTERPRETATION - As OWM has decreasing trend in d/e ratio thus using own funds & not taking loans. Equity is more than debt and lower debt decreases the cost as well as risk .Hence company is in good position.

TREND ANALYSIS

Particulars 2012 2013 2014

Audited Provisional Projected

Net Profit 4234.36 6547.46 12779.38

NET PROFIT TREND ANALYSIS

Net profit trend means analysis of changes in profits in different periods . The period may be short , mid term or long term . Net profit trend may go up or down.

INTERPRETATION:- Net profit of the Co. is in increasing trend in successive years which shows company is holding good strategy.

1 2 3

Years 2012 2013 2014

net profit 4234.36 6547.46 12779.38

1000

3000

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7000

9000

11000

13000

15000

Net profit trendN

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Years 2012 2013 2014

Audited Provisional Projected

Sales 94781.96 129881.75 176536.42

NET SALES TRENDANALYSIS

A sales trend is key performance indicators during a specific period of time .The purpose is to gain better understanding of past performance & predict future performance.

INTERPRETATION:- Net sales of an company follows an increasing trend which means company’s business is growing and scope for future contrast.

1 2 3

year 2012 2013 2014

net sales 94781.96 129881.75 176536.42

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Net sales trendN

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CONCLUSION

It is concluded that OWM has sufficient funds to meet its current obligation every time which is due to sufficient profits and management.

Cash and receivable management are too good because of centralized control on this.

Safety measures for inventories are also quiet sufficient in company.

THANK YOU