Somi Conveyor Beltings Ltd BUY (29.00)

The Indian conveyor belt sector saw a sudden growth spurt since the beginning of the last decade. The massive growth in user segments, especially mining, construction, cement and steelmaking, led to increased
demand for this efficient mode of bulk transport. However, it was apprehended that the general slowdown in the economy and in some of these industries could bring down the demand in recent years. This fear was
later proved largely unfounded. The industry estimates for the overall volume varies from around `1,000 crore to `1,200 crore, including trough conveyor belts, textiles and steel. Trough conveyors have wide applications and are used in iron ore and gold, coal and fly ash, aggregates, sand and gravel, pulp and paper, chemicals, and agriculture and food processing. As mentioned, this industry recorded an average growth of 5 percent per annum during the last five years. Going forward, the industry expects a higher growth of 7 percent.

A belt for all occasions

Industry  -------     Types of belts used
Mining: Multi-ply conveyor belts, fire and flame resistant conveyor belts, technical rubber sheets 

Ports:
Multi-ply conveyor belts, self-extinguishing conveyor belts, oil and grease resistant, elevator
conveyor belts, chevron conveyor belts, technical rubber sheets, sliding conveyor belts
 

Construction :Multi-ply conveyor belts, chevron conveyor belts, technical rubber sheets
 

Power stations:
Multiply conveyor belts, self-extinguishing conveyor belts, heat resistant conveyor belts,
pipe-type conveyor belts, technical rubber sheets
 

Earth moving :Multi-ply conveyor belts, technical rubber sheets, chevron conveyor belts, ripcheck conveyor
belts
Tunnel construction:
Multi-ply conveyor belts, self-extinguishing conveyor belts, pipe-type conveyor belts,
technical rubber sheets
Quarries :Multi-ply conveyor belts, ripcheck conveyor belts, technical rubber belts
Agriculture & foodprocessing:
Multi-ply conveyor belts, oil & grease resistant conveyor belts, elevator conveyor belts,
sliding conveyor belts, supergrip conveyor belts, chevron conveyor belts, technical rubber
sheets
Metallurgical industry
Multi-ply conveyor belts, self-extinguishing conveyor belts, pipe-type conveyor belts,
technical rubber sheets

SOMI CONVEYOR BELTINGS LTD is a BSE Listed Public Ltd company having two manufacturing plants located at Jodhpur India, well connected by air, rail & road. The plants are equipped by 100% PLC based fully automatic & computerized machineries. Company is capable to produce New Generatio (Somiflex) Conveyor Belts upto 2000mm Width with Installed capacity of 9,00,000 meters per annum. Company manufactures the World-class Quality Conveyr Belts equivalent to Fenner, Yokohama, Dunlop, Continetal.

  

The plants are located in Jodhpur and is well connected by excellent Rail, Road & Air Line facilities. This place possesses adequate infrastructure and healthy industrial climate. The Company's product is well accepted by the big industrial groups like Cement, Sponge Iron, Power and Mining Sector. Company has introduced the latest technology Conveyor Belts with innovative ideas.

STOCK IS TRADING AT 29.00. PUBLIC ISSUE PRICE IS AT 32.00 RS .

EXPECTING COMPANY GOING TO POST GOOD GROWTH  FROM THIS YEAR .

INDUSTRY  WENT TO DULL EARLIER YEARS BECAUSE OF MINEING INDUSTRY & MANUFACTURING INDUSTRY IN DULL SHAPE . NOW EVERY THING GOING TO SETTLE IN NEXT FEW YEARS .

CURRENT EPS 3 Rs EXPECTING 5 EPS THIS YEAR AND COMPANY GOING TO GIVE DIVIDEND FROM THIS YEAR ACCUMULATE HOLD FOR 6 MONTHS ONE CAN EXPECT 50 RS .