Comparison of Ghorahi Cement & Shivam Cement -Bibek News

We have detailed information on the Comparison of Ghorahi Cement & Shivam Cement. These are the two biggest cement manufacturing companies in Nepal.

Short Introduction of Companies

Ghorahi Cement

Ghorahi Cement Ltd is a subsidiary company of Triveni Group which was established in the year 2009. The manufacturing site is located in the largest valley in Asia, Ghorahi, Dang, Nepal. It has 3 mines with 30 years of licensing for extracting raw materials for manufacturing cement.

Shivam Cement

Shivam Cement Ltd (SHIVAM) was established in 2003 but started production in 2011. It is currently producing 3000 TPD cement and 1900 TPD clinker from the company’s self-owned limestone. The company was converted into a public Ltd company in 2015 and distributed its holding to the general public as well through an IPO.

The corporate office of the company is located at Siddhartha Insurance Bhawan, 2nd Floor, Anamnagar, Kathmandu, Nepal.

Comparison of Ghorahi Cement & Shivam Cement

Following is the detailed information.

ParticularsGhorahi CementShivam Cement
Manufacturing Site LocationDang, Ghorahi ( Province 5)Hetauda, Makwanpur, Province 3
ProductProduce OPC, PPC, & ClinkerOPC & Clinker
Mines3 Mines7 Mines
Licensing30 years9 to 15 years
Annual Production427,830 MTPA – OPC & PPC
501,512 MTPA – Clinker
753,970 MTPA – OPC Cement
479,419 MTPA – Clinker
ParticularsGhorahi CementShivam Cement
Brand ValueAverageHigh
Share Locked-In Period3 Years RemainingThere is no Locked Period in Shivam Cement.
( It means employees, locals, and Promoters
is selling their shares in the open market. )
Public Holding20%100%
Subsidiaries Company– 3 Companies involved in the material study, findings, and exploration.
– Realstate Company
Shivam Holdings Ltd (88%)
SCL Investment Pvt Ltd – 100%
Main Business YearLumbini, Bagmati, SudurpaschimKoshi, Madesh, Bagmati & Gandaki
ParticularsGhorahi CementShivam Cement
Paid Up Capital (Q2)Rs. 3.17 arba ( before IPO)Rs. 4.40 arba
Reserve and SurplusRs. 3.95 arbaRs. 4.70 arba
Long term debtRs. 10.14 arbaRs. 10.02 crore
Short Term debtRs. 4.64 arbaRs. 3.29 arba
Sales RevenueRs. 1.83 arbaRs. 3.34 arba
Net ProfitRs. 1.58 croreRs. 32.90 crore
Annualized EPS ( Q2 )Rs. 1Rs. 14.96
Net Worth Per ShareRs. 227.10Rs. 206.85
Dividend0%95% cash Dividend

Ratio

ParticularsGhorahi CementShivam Cement
Gross profit Margin26.68%21.46%
Net Profit Margin0.86%9.84%
Current Ratio0.93 times1.37 times
Long-term debt equity1.43 times0.011 times
Return on Equity (ROE)0.44%7.23%
Price to Sales Ratio7.54 times5.33 times
Price-to-Book Value ratio1.91 times1.96 times ( May 4)
IPO price435 ( Yet to Issue )404.90 ( May 4 price)
NEA Bill due provisionRs. 1.15 arbaRs. 1.27 arba

Note:

a. Shivam Holdings Ltd is invested in 30% of the Hongshi Cement. and the remaining 70 is invested by Hongshi Group.

b. SCL Investment Pvt Ltd is invested in 16 other companies.

c. This analysis is done for educational purposes only.

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