KAMDHENU ISPAT LIMITED - Securities and Exchange Board of India

Current Assets
Current assets consist of inventories, debtors, cash and bank balances, and loans and advances. Current assets
have generally increased in line with the growth of our business activities.
Current assets increased by Rs. 1131.25 Lac, or 93.53%, from Rs. 1209.43Lac as at Fiscal 2004 to Rs. 2340.68 Lac
as at fiscal 2005, due to increases in inventories (Rs. 235.10 Lac), loans and advances (Rs. 130.71 Lac), and
increase in cash and bank balances (Rs. 18.98Lac) & s. debtors (Rs. 747.46 Lac).
Inventories made up 24.59% of total current assets as at fiscal 2005. Inventories comprise mainly Raw material ,
Stores & Spares, Work in progress, finished and semi finished goods. The overall increase in the inventory from Rs
341.53 Lac in the fiscal 2004 increased by Rs. 234.10 Lac, to Rs. 575.63 Lac in the fiscal 2005. Inventories turnover
period remains almost constant at 18-19 days in the fiscal year 2005 and fiscal year 2004.
Debtors accounted for 57.19% of total current assets as at fiscal year 2005. Debtors increased from Rs. 591.30 Lac
as at fiscal year 2004 to Rs. 1338.76 million as at fiscal year 2005. Debtors turnover remains almost constant from
30-33 days.
Cash and bank balances accounted for only 4.40% of total current assets as at fiscal year 2005. There is marginal
increase of Rs. 18.98 Lac in the fiscal year 2005.
Loans and advances accounted for 13.80% of total current assets as at fiscal year 2005. Loans and advances
increased from Rs. 192.45 Lac as at fiscal year 2004 to Rs. 323.16 Lac as at fiscal year 2005.
Current assets decreased by Rs. 115.53 Lac, or 8.71%, from Rs. 1324.76 Lac as at March 31, 2003 to Rs. 1209.43
Lac as at March 31, 2004 mainly due to decrease in inventories by Rs. 215.94 Lac, Inventories made up 28.23% of
total current assets as at March 31, 2004. The decrease in inventories from Rs. 557.47 lac as at March 31, 2003 to
Rs. 341.53 Lac as at March 31, 2004 . Our inventories turnover period decreased from 44 days to 19 days.
Debtors accounted for 48.89% of total current assets as at March 31, 2004. Debtors increased significantly in
comparison of fiscal year 2003. Debtors turnover decreased from 36 days to 26 days.
Cash and bank balances accounted for 6.95% of total current assets as at March 31, 2004. Cash and bank balances
decreased from Rs.101.80 Lac as at March 31, 2003 to Rs. 84.15lac as at March 31, 2004.
Loans and advances accounted for 15.91% of total current assets as at March 31, 2004. Loans and advances
increased from Rs. 129.02 Lac as at March 31, 2003 to Rs.192.45 Lac as at March 31, 2004.
Current Liabilities and Provisions
Current liabilities comprise Sundry Creditors against goods, Expenses Payable, other payables, Gratuity Payable
and tax provisions.
Current liabilities have increased marginally as compared with fiscal 2004 and provision for taxation increased in line
with the growth in our business activities.
Current liabilities and provisions increased by 74.52% from Rs. 736.94 Lac as at fiscal year 2004 to Rs. 1286.11lac
as at fiscal year 2005.
Current liabilities and provisions decreased by Rs. 195.69 lac, or 20.98%, from Rs. 932.63 Lac as at March 31, 2003
to Rs.736.94 Lac as at March 31, 2004.
Non-Current Liabilities
Non-current liabilities consist of long-term secured loans, long-term unsecured loans and deferred tax liabilities. Non
current Liabilities has increased marginally in fiscal year 2005
Non-current liabilities increased by Rs. 25.13 Lac, or 50.27%, from Rs. 499.50 lac as at fiscal year 2004 to Rs.
750.80 lac as at fiscal year, 2005 mainly due to increase in long-term secured loans of Rs. 48.77 lac from Rs. 340.22
lac as at fiscal year 2004 to Rs. 388.88 lac as at fiscal year 2005 , increase in long-term unsecured loans of Rs.
198.16 lac from Rs. 82.45 lac as at fiscal year 2004 to Rs. 280.61 Lac as at fiscal year 2005 and increases in
deferred tax liabilities of Rs. 4.37 lac from Rs. 76.83 lac as at fiscal year 2004 to Rs. 81.20 lac as at fiscal year 2005.
Non-current liabilities increased by Rs. 100.08 lac, or 25.03%, from Rs. 399.42 lac as at March 31, 2003 to Rs.
499.50 lac as at March 31, 2004 due to increase in long-term secured loans of Rs. 86.59 lac
Net Worth
Net worth increased by Rs. 102.21 lac or 16.48% from Rs 619.85 lac as at fiscal year 2004 to Rs. 722.06 lac as at
fiscal year 2005.
Net worth increased by Rs. 244.32 lac, or 65.06% from Rs.375.53 lac as at March 31, 2003 to Rs. 619.85 lac as at
March 31, 2004 .
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