NORBTEAEXP - Norben Tea
Financial Performance
Revenue Growth by Segment
Not disclosed in available documents; however, the company reported a loss for the financial year ended March 31, 2025.
Geographic Revenue Split
Not disclosed in available documents. The company operates out of Kolkata, West Bengal.
Profitability Margins
The company reported a net loss for the financial year ended March 31, 2025. Specific margin percentages were not provided in the text.
Capital Expenditure
Paid-up equity share capital increased by approximately 10.37% from INR 11.75 Cr to INR 12.9681 Cr during the audit period due to the conversion of warrants into 12,18,100 equity shares.
Credit Rating & Borrowing
Not disclosed in available documents. The company maintains a relationship with State Bank of India.
Operational Drivers
Raw Materials
Tea leaves and tea plants/cuttings represent the primary raw materials for production.
Import Sources
Sourced domestically, primarily within West Bengal (Kolkata region).
Key Suppliers
Tongani Tea Co. Ltd. (a promoter group company) is a key related party supplier/buyer, involved in transactions such as the sale of tea plants/cuttings valued at INR 14.85 Lakhs.
Raw Material Costs
Not disclosed as a specific percentage of revenue; however, the company noted that inclement weather impacts crop availability and costs.
Strategic Growth
Expected Growth Rate
Not disclosed in available documents
Growth Strategy
The company is focusing on improving tea quality to meet market demand and has raised capital through the issuance of 15,50,000 equity shares at a premium of INR 7 per share (Total INR 17 per share) via warrant conversion to strengthen its financial position.
Products & Services
Tea, tea plants, and tea cuttings.
Brand Portfolio
Norben Tea.
Strategic Alliances
Maintains a strategic relationship with promoter group company Tongani Tea Co. Ltd. for tea plant transactions.
External Factors
Industry Trends
The tea industry is seeing a thrust on quality improvement. While inclement weather has been a recent challenge, a normal monsoon forecast suggests a positive outlook for production volumes.
Competitive Landscape
The company operates in a competitive market where success depends on attracting/retaining key personnel and managing climatic risks.
Competitive Moat
The company's moat is built on its workforce culture and focus on quality production, though it faces high competition and commodity price risks.
Macro Economic Sensitivity
Highly sensitive to economic conditions affecting demand and supply in the tea industry and changes in government taxation policies.
Consumer Behavior
Increasing demand for high-quality tea products is driving the company to focus on quality improvement.
Regulatory & Governance
Industry Regulations
Subject to the Companies Act 2013, SEBI (LODR) Regulations 2015, and Secretarial Standards on Board and General Meetings. The company must comply with pollution norms and state-specific agricultural regulations.
Legal Contingencies
SEBI imposed a penalty of INR 1,00,000 on June 28, 2024, for violations related to the resignation of the Statutory Auditor. BSE and NSE imposed fines of INR 5,900 each on December 13, 2024, for a one-day delay in submitting related party transaction disclosures.
Risk Analysis
Key Uncertainties
Climatic risks (weather) and natural calamities are the primary uncertainties that could impact crop yield by significant percentages.
Geographic Concentration Risk
Operations are concentrated in West Bengal, making the company vulnerable to regional weather patterns and state regulations.
Third Party Dependencies
Dependency on promoter group companies for certain plant/cutting transactions.