💰 Financial Performance

Revenue Growth by Segment

Total operating income was INR 264.93 Cr in FY24, representing a marginal decline of 0.48% from INR 266.21 Cr in FY23. Segments include sized coke, coke fines, and LAM coke, though specific segment-wise growth percentages were not disclosed.

Geographic Revenue Split

Not disclosed in available documents, though the company operates primarily from its unit in Odisha, serving ferro alloy plants within a 60-130 km radius.

Profitability Margins

Operating margin (PBILDT) improved from 7.62% in FY23 to 8.64% in FY24. PAT margin also witnessed an improvement from 5.71% in FY23 to 5.96% in FY24.

EBITDA Margin

EBITDA margin (PBILDT) was 8.64% in FY24, a YoY increase of 102 basis points from 7.62% in FY23, driven by a decline in raw material purchase prices that outpaced the decline in finished goods realizations.

Capital Expenditure

The company is planning to set up two additional Coke Oven Plants (2 Batteries) with a combined capacity of approximately 48,000 metric tons. Consent has been received to expand production from 60,000 TPA to 1,08,000 TPA at the Baramana unit.

Credit Rating & Borrowing

The company's rating was revised to CARE BBB-; Stable in September 2024 but was subsequently downgraded to CARE BB+; Stable; ISSUER NOT COOPERATING in November 2025 due to lack of management cooperation and non-payment of fees.

⚙️ Operational Drivers

Raw Materials

Coking coal is the primary raw material, accounting for approximately 87% of the total cost of sales in FY24.

Import Sources

Australia and other countries (sourced via local suppliers).

Capacity Expansion

Current owned installed capacity is 75,000 MTPA (total 112,600 MTPA including leased). Planned expansion involves adding 48,000 MTPA (2 batteries of 24,000 MTPA each) to reach a capacity of 1,08,000 TPA at the Baramana unit.

Raw Material Costs

Raw material costs represent approximately 87% of the cost of sales. In FY24, a decline in the average purchase price of raw materials led to an improvement in the PBILDT margin to 8.64%.

Manufacturing Efficiency

Capacity utilization (CU) improved significantly from 61% in FY23 to 98% in FY24 due to improved demand.

Logistics & Distribution

Freight costs are optimized by the plant's location 100 km from Paradip port and 60-130 km from various ferro alloy plants.

📈 Strategic Growth

Expected Growth Rate

51%

Growth Strategy

Growth is targeted through a 44% expansion of owned capacity (from 75,000 MTPA to 108,000 MTPA) at the Baramana unit. The strategy leverages the current 98% capacity utilization and strategic proximity to ferro alloy producers to capture high demand.

Products & Services

Sized coke, coke fines, and Low Ash Metallurgical (LAM) coke.

Market Expansion

The company is focusing on diversifying its customer base to mitigate the current 76% concentration among the top five customers.

Market Share & Ranking

Described as a relatively small player with a total capacity of 112,600 MTPA.

🌍 External Factors

Industry Trends

The industry is currently benefiting from improved demand for LAM coke, evidenced by the company's utilization jumping from 61% to 98% YoY. However, it remains highly cyclical.

Competitive Landscape

Competes with other metallurgical coke manufacturers in the Odisha and Vizag regions.

Competitive Moat

The primary moat is the strategic location near Paradip port and major customers, providing a durable cost advantage in freight (inward and outward).

Macro Economic Sensitivity

Highly sensitive to the cyclical nature of the steel and ferro alloy industries.

Consumer Behavior

Demand is driven by industrial consumption in steel and ferro alloy production.

Geopolitical Risks

Exposure to international coking coal price volatility and trade dynamics, particularly involving Australia.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to environmental pollution norms and hazardous waste management rules (2016).

Environmental Compliance

The company received consent from the State Pollution Control Board, Odisha in December 2025 for its capacity expansion under the Water and Air Acts.

Legal Contingencies

The company entered into a one-time settlement with a lender in March 2018, resulting in a debt waiver of INR 40 Cr. No other pending litigation was disclosed.

⚠️ Risk Analysis

Key Uncertainties

The 'Issuer Not Cooperating' status (Nov 2025) creates significant uncertainty regarding the company's current financial health and future growth strategy.

Geographic Concentration Risk

Operations are concentrated in Odisha (Baramana unit) and Vizag (leased units).

Third Party Dependencies

High dependency on local suppliers for imported coking coal and on the top five customers for 76% of revenue.

Credit & Counterparty Risk

Counterparty risk is limited by a short credit period of 10-15 days offered to customers.