IFGL 17th AGM to Approve Rs 7/Share Dividend for FY 2023-24
IFGL Refractories plans to finalize a ₹7 per share dividend, totaling ₹252.28 million, for FY 2023-24 at its 17th AGM on July 31, 2024, via Video Conferencing.
by Damodharan N
Updated Jul 09, 2024
Table of Content
IFGL Refractories Limited is set to convene its 17th Annual General Meeting (AGM) on July 31, 2024, via Video Conferencing, with its registered office in Odisha serving as the virtual venue.
The agenda includes pivotal decisions crucial for the company's future. The shareholders will deliberate on approving a substantial final dividend of ₹7 per equity share for the fiscal year ending March 31, 2024, as recommended by the Board of Directors earlier in May.
This proposed dividend, If approved will result in a cash outflow of ₹252.28 million. amounting to 70% of the face value of each share. Additionally, the AGM will address matters concerning the reappointment of key personnel, including Mr. James Leacock McIntosh as a Director and Managing Director, alongside the renewal of statutory auditors for the next five-year term.
These resolutions, aimed at reinforcing corporate governance and financial oversight, highlight IFGL's proactive approach in navigating future growth opportunities while maintaining shareholder trust and compliance with regulatory standards.
IFGL Refractories Annual Report
IFGL Refractories Limited is a company engaged in the manufacture of specialized refractory products, primarily for the iron and steel industry. The company has a diverse range of products and serves a global market.
Financial Performance
In FY 2023-24, the company faced challenges due to geopolitical conflicts that increased costs of energy, freight, and raw materials, impacting profitability. Key financial highlights include:
- Consolidated Provision for Trade Receivables: ₹332.7 million
- Standalone Provision for Trade Receivables: ₹317.0 million
- Provision for Goods Sold in Transit: ₹78.5 million
- Reversal of Commission: ₹14.8 million
|
Financial Results (` in Millions) |
Consolidated |
Standalone |
|
Revenue from Operations |
16,394.89 |
8,930.30 |
|
Other Income |
187.74 |
165.61 |
|
Total Income |
16,582.63 |
9,095.91 |
|
Profit before Depreciation, Interest and Tax (PBDIT) |
1,731.40 |
1,313.49 |
|
Depreciation and Amortisation |
642.73 |
472.12 |
|
Finance Cost |
110.37 |
99.11 |
|
Profit before Exceptional Items and Tax |
978.30 |
742.26 |
|
Exceptional Items |
- |
- |
|
Profit before Tax |
978.30 |
742.26 |
|
Tax Expense |
161.56 |
91.14 |
|
Profit for the year after Tax |
816.74 |
651.12 |
|
Other Comprehensive Income/(Loss) for the year, Net of Tax |
105.61 |
(2.07) |
|
Total Comprehensive Income for the year |
922.35 |
649.05 |
|
Basic and Diluted Earnings per Share (Rs) |
22.66 |
18.07 |
Key Financial Ratios
|
Ratio |
Current Year |
Previous Year |
|
Debtors Turnover Ratio |
4.86:1 |
4.58:1 |
|
Inventory Turnover Ratio |
3.15:1 |
2.83:1 |
|
Interest Coverage Ratio |
9.86:1 |
8.49:1 |
|
Current Ratio |
2.68:1 |
2.63:1 |
|
Debt Equity Ratio |
0.16:1 |
0.18:1 |
|
Operating Profit Margin |
5.50% |
7.57% |
|
Net Profit Margin |
4.98% |
7.29% |
|
Return on Net Worth |
7.62% |
9.84% |
Production Quantity and Sales Milestones
During FY 2023-24, IFGL achieved several significant milestones:
- SAIL, Bhilai Steel Plant: Achieved the highest ever Tundish Sequence.
- JSW Bellary SMS-3: Recorded highest performance with Purging Refractories.
- New Developments: Record-breaking performance with newly developed trough castables and successful commissioning of the LSG 90 System at JSPL, Angul Phase II .
Management's Discussion and Analysis
The Management Discussion and Analysis report highlights several initiatives:
- Dividend: Recommended a final dividend of 70%, i.e., ₹7 per equity share, resulting in a cash outflow of ₹252.28 million.
- Industry Review and Future Outlook: The refractory industry is performing well overall, despite weaknesses in Europe and the Americas due to geopolitical conflicts. The Indian steel industry is expanding, driven by government infrastructure projects and capital goods manufacturing. The company is optimistic about future demand .
Future Outlook
IFGL Refractories Limited is poised for growth with several strategic initiatives:
- New Manufacturing Facility: Setting up a facility in Odisha for Continuous Casting Refractories with an annual capacity of 240,000 pieces and a capital outlay of ₹150 crores.
- Product Line Expansion: Introducing new products such as RH Degasser Snorkel, EAF Deltas, Magnesia Carbon Bricks, and more.
- Operational Efficiency: Implementing project GATI (SAP S4 HANA) to improve operational efficiency and decision-making.
- New Business Vertical: Entering the non-ferrous refractory market with products for sectors like cement, glass, coke, lime, and coal gasification
IFGL Refractories Limited is navigating through challenging economic conditions with strategic expansions and product innovations aimed at sustaining growth and enhancing operational efficiencies. The company remains committed to improving its performance and meeting the increasing demand for its products and services.
Read the full Annual Report and AGM Notice Here
IFGL Refractories Ltd.
IFGL Refractories Ltd is a global leader in the refractory industry, with a diverse portfolio of specialized refractories and operating systems. Established in 1979, the company has a strong manufacturing presence across 10+ locations in Asia, Europe, and North America, enabling it to cater to customers in over 50 countries worldwide, primarily in the iron and steel, and foundry industries.
IFGL's subsidiaries, including Monocon International Refractories, Hofmann Ceramic, EI Ceramics, and Sheffield Refractories, further strengthen its technical expertise and product offerings, ranging from monolithic metallurgical lances and ceramic solutions to advanced monolithic refractory products.
With a skilled workforce, state-of-the-art facilities, and a commitment to continuous improvement, IFGL Refractories is well-positioned to deliver innovative and tailored solutions to its global customer base.
IFGL 17th AGM to Approve Rs 7/Share Dividend for FY 2023-24 - FAQs
1. What was IFGL's consolidated revenue from operations in FY 2023-24?
IFGL's consolidated revenue from operations in FY 2023-24 is ₹16,394.89 million.
2. What was IFGL's standalone revenue from operations in FY 2023-24?
IFGL's standalone revenue from operations in FY 2023-24 is ₹8,930.30 million.
3. How much did IFGL spend on depreciation and amortisation in FY 2023-24?
Consolidated: ₹642.73 million; Standalone: ₹472.12 million.
4. What was IFGL's finance cost in FY 2023-24?
Consolidated: ₹110.37 million; Standalone: ₹99.11 million.
5. What is IFGL's debtors turnover ratio for the current year?
IFGL's debtors turnover ratio for the current year is 4.86:1.
6. How did IFGL's inventory turnover ratio change from the previous year?
IFGL's inventory turnover ratio increased to 3.15:1 from 2.83:1.
7. What is IFGL's interest coverage ratio for the current year?
IFGL's interest coverage ratio for the current year 9.86:1.
8. What is the current ratio of IFGL for the current year?
The current ratio of IFGL is 2.68:1.
9. How much did IFGL allocate for provision for trade receivables in FY 2023-24?
Consolidated: ₹332.7 million; Standalone: ₹317.0 million.
10. What was IFGL's profit before depreciation, interest, and tax (PBDIT) in FY 2023-24?
Consolidated: ₹1,731.40 million; Standalone: ₹1,313.49 million.
11. What is IFGL's debt equity ratio for the current year?
IFGL's debt equity ratio for the current year is 0.16:1.
12. How did IFGL's operating profit margin change from the previous year?
IFGL's operating profit margin is Decreased to 5.50% from 7.57%.
13. What was IFGL's net profit margin for the current year?
IFGL's net profit margin is 4.98%.
14. What is IFGL's return on net worth (RoNW) for the current year?
IFGL's return on net worth (RoNW) is 7.62%.
15. How much did IFGL spend on exceptional items in FY 2023-24?
IFGL did not spend on exceptional items in FY 2023-24.
16. What was IFGL's profit for the year after tax in FY 2023-24
IFGL's profit for the year after tax in FY 2023-24 is ₹816.74 million.
17. What was IFGL's total comprehensive income for FY 2023-24?
IFGL's total comprehensive income for FY 2023-24 is ₹922.35 million.
18. What was IFGL's basic and diluted earnings per share (EPS) for FY 2023-24?
IFGL's basic and diluted earnings per share (EPS) for FY 2023-24 is ₹22.66.
19. What was the provision for goods sold in transit for IFGL in FY 2023-24?
The provision for goods sold in transit for IFGL in FY 2023-24 is ₹78.5 million.
20. How much did IFGL spend on other comprehensive income/(loss) for the year?
IFGL spent ₹105.61 million on other comprehensive income.
21. What initiatives did IFGL undertake to manage costs in FY 2023-24?
IFGL undertake Strategic cost management amid rising expenses.
22. How did IFGL's total income change from the previous year?
Yes for both Consolidated and Standalone, it increased.
23. What challenges did IFGL face in maintaining profitability in FY 2023-24?
Geopolitical conflicts increasing costs of energy, freight, and raw materials.
24. What is IFGL's strategy for improving profitability in the coming years?
Focus on operational efficiencies and new market expansions.
25. How did IFGL manage financial risks in FY 2023-24?
By mitigating impacts of geopolitical conflicts on costs.
26. What were the major components of IFGL's total comprehensive income in FY 2023-24?
Profit after tax and other comprehensive income adjustments.
27. What strategic financial decisions did IFGL make in FY 2023-24?
Recommended a final dividend of 70% per equity share.
28. How did IFGL's tax expense change from the previous year?
Increased to ₹161.56 million from ₹91.14 million.
29. What was IFGL's total income including other income in FY 2023-24?
Consolidated: ₹16,582.63 million; Standalone: ₹9,095.91 million.
30. What were IFGL's financial highlights related to provisions in FY 2023-24?
₹332.7 million for consolidated trade receivables provision.