CMP-: 1283
Foseco India a 65 years old 100% debt free company is a world leader in the supply of foundry consumables and solutions. The company is engaged in manufacture of products used in the metallurgical industry. Foseco India Limited is acknowledged as the only Company in the country that possesses the capability of offering the widest range of solutions for producing casting of the highest standards in terms of quality, surface finish, soundness, integrity and dimensional tolerance. Foseco India is a leading supplier of metallurgical chemicals for the ferrous and non-ferrous foundry Industry.
Foseco has been associated with the metals industry for over 75 years and is today acknowledged as a world leader in the supply of consumable products for use in the foundry industry with a presence in 32 countries and major facilities in Germany, USA, UK, Brazil, China, India, South Korea and Japan. The company’s manufacturing product portfolio comprise of over 400 complex products across resins, coatings, feeding systems, ferrous and non-ferrous metal treatment products and greensand additives. It also imports products from its group manufacturing locations in other parts of the world. With 220 employees, Foseco India follows best-in-class lean manufacturing practices.
Foseco India is part of the Vesuvius plc. which includes Engineered Ceramics (Flow Control, Advanced Refractories and Foundry Technologies) and Precious Metals Processing Divisions of Cookson. Vesuvius plc controls 74.98% equity stake in the company. Vesuvius plc is traded on the London Stock Exchange
FINANCIALS-:
Foseco India is completely debt free company. Company has Cash balance of Rs104 Cr as of Dec 2018. Company is reqularly paying dividend almost 3 times a year since past 3-4 years. Company has 160 Cr of reserves which makes it a good candidate for Bonus/Buy Back. Company has a very small Equity bas of just 68 Lakh shares of Rs 10 Face value , of which almost 75% share are held by promoter thereby leaving very less free float for the other investors which is again a big draw back for big investors concerned with the market liquidity were as extremely beneficial for small investors. Although the sales and the Profit growth has been subdued for last three years, going forward with the reviaval of the economy may be 2-3 years down the line , we can expect the company to perform extremly well.
Foseco, is a world leader in the supply of foundry consumables and solutions. The foundry process is highly sequential and critically dependent on consistency of product quality and productivity optimisation. Our solutions and advanced computer simulation techniques allow foundries to reduce casting defects such as pinholes, shrinkage cavity, inclusions, scabbing, penetration or veining. Hence the Foseco products reduce labour-intensive fettling and machining, minimise metal usage requirements, influence the metal solidification process and automate moulding and casting, thus reducing cost, energy usage and mould size.
The conditioning of molten metal, the nature of the mould used and, especially, the design of the way metal flows into the mould are key parameters in a foundry, determining both the quality of the finished castings and the labour, energy and metal usage efficiency of the foundry. The products and associated services to foundries improve these parameters.
The comprehensive range of foundry consumables and equipment for iron, steel and non ferrous foundries includes insulating and exothermic feeding systems, filters for liquid iron, steel and aluminium, direct pour technology, solidification simulation software, non ferrous metal treatment and degassing systems, metal stream inoculation, advanced coatings, environmentally friendly binders, lining systems for ladles and furnaces as well as energy saving crucibles.
Foseco has been associated with the metals industry for over 75 years and is today acknowledged as a world leader in the supply of consumable products for use in the foundry industry with a presence in 32 countries and major facilities in Germany, USA, UK, Brazil, China, India, South Korea and Japan. The Company was founded by Eric Weiss in 1932 and quickly became established as a supplier to the Foundry Industry, from where the name Foundry Service Company was derived. In April 2008, Foseco was acquired by Cookson Group Plc. with interests in metals, electronics and ceramics. In December 2012, the Cookson Group Plc. was demerged resulting in formation of Cookson Group Limited, Vesuvius plc. and Alent plc. Foseco India Limited is part of the Vesuvius plc. which includes Engineered Ceramics (Flow Control, Advanced Refractories and Foundry Technologies) and Precious Metals Processing Divisions of Cookson.
