Bombay Burmah Trading Corporation Ltd
Bombay Burmah Trading Corporation Ltd (BBTC)

Bombay Burmah Trading Corporation Ltd (BBTC)

₹906.90.94%

Key Stats

₹899.65
Day's Price Range
₹919
₹839.9
52-Week Price Range
₹1244
1 Month Return-1.59 %
3 Month Return-0.36 %
1 Year Return-20.98 %

Company Financials

  • Quarterly
  • Annual
Value in ₹ crore

Peer Comparsion

PE
Rank 107
16.81
EPS
Rank 31
₹54.44
BVPS
Rank 7
₹784.43
Dividend Yield
Rank 132
0.11%
ROE
Rank 474
-0.61%
Price To Book Ratio
Rank 64
1.16
Debt To Asset
Rank 149
0.55

Company Information

Bombay Burmah Trading Corporation Limited BBTCL is multiproduct and multidivisional organisation with diverse business interests viz. Plantations Tea and Coffee Auto Electric Components dental products real estate weighing products horticulture and food bakery and dairy products.The company has its tea plantation Estates in South India. Its largest tea plantation area is located at Anamallai district in South India. The company produces and markets premium coffees such as Washed Arabica and Robusta in specialty segment.One of the major products of the companys dental products division is dental alloy. Other key products of the companys dental products division are dental impression materials and dental XRay films. Formed in 1863 as Burmah Trading Company by taking over the assets and rights in Burma of William Wallace the company was renamed Bombay Burmah Trading Corporation to avoid being confused with a firm of a similar name. The corporations activities are in tea coffee cardamom cocoa rubber and palm oil segments manufacture of asbestos cement and concrete products starch from tapioca logging of timber boat building and repairs. These activities are spread over India Indonesia Thailand Tanzania and Sabah.The corporation for over eighty years since 1863 was the largest single tea company in the industry marketing between onethird and onehalf of the worlds tea supply. Postwar political changes in Burma and Thailand necessitated a restructuring of its activities and areas of operations. This resulted in the corporations entry into North Borneo east Africa and the Andamans. AFCO a Bombaybased small craft industry was acquired by the corporation which became a subsidiary of the company in 1958. In 1962 the corporation floated Formica India in association with Formica International in technical collaboration with the American Cynamid Company which is engaged in the production of laminates. The BCL spring division was formed consequent to the merger of the erstwhile Bombay Company BCL with the corporation. In 199596 the corporations formica and springs divisions were accredited with ISO 9002 by International Agencies and in 199798 Oothu factory at Singampatti group was accredited with ISO 9002 by KPMG Quality Registrar USA for the production and supply of green and black teas and the same was revalidated for further 3 years from Aug 1998 by Bureau Veritas Quality International.During 19992000 the Company faced labour problems at Singampatti Group of Tea Estates. A wage settlement between Tea Workers Union and the Planters Association of Tamil Nadu was arrived at in December 1999 with retrospective effect from 1st January 1999.During the year ended 31 March 2015 the momentum of activities relating to new product development of Bombay Burmah Trading Corporation Limiteds BBTCL Electromags division was adversely affected by longer than expected validation timelines at major customers end. The division released new products of Rs. 5.21 cores to production during FY1415.During the year ended 31 March 2016 New Product Development Projects of Bombay Burmah Trading Corporation Limiteds BBTCL Electromags division were adversely impacted due to longer validation periods with OEMs and end Customers.The companys Dental Products division launched Dental xray film during the latter part of 2015 and performed well in this category.During the year ended 31 March 2017 Bombay Burmah Trading Corporation Limited BBTCL took a number of steps to reduce losses by closing down uneconomical Bought Leaf operations for tea and Bought Beans operations for Coffee at plantations division. During the year under review the company tapped the growing awareness for Organic Teas and sale volumes of Organic Teas improved. The company had to reduce buying of coffee fruit to prevent more coffees from being offered in the less lucrative domestic market which would have pulled down overall prices.BBTCLs auto electric components business division released New Products worth of Rs 5 crores for production during FY 1617. The New Product Development Projects were adversely impacted due to longer validation periods with OEMs.BBTCLs wholly owned subsidiary Leila Lands Sdn. Bhd. Malaysia set up in Mauritius an Investment Company viz. Baymanco Investments Limited and holds 100 Equity share capital of the said company. As a result Baymanco Investments Limited has become a step down subsidiary of BBTCL. BBTCL and Baymanco Investments Limited acquired 49218338 shares representing 23.84 of the paid up share capital of The Bombay Dyeing Manufacturing Company Limited BDMC. BBTCLs existing holding of 29639375 shares representing 14.35 together with the further acquisition of additional Equity shares by the company and its subsidiary now constitute 38.18 of the paid up share capital of BDMC. As a result BDMC has become an Associate of the Corporation with effect from 20 March 2017.Bombay Burmah Trading Corporation Limiteds BBTCL tea production was adversely impacted in 201718 by the unprecedented incident of tea mosquito bugs due to erratic weather conditions and curtailment of Bought Leaf operations due to quality of Bought Leaf during the year. This resulted in lower production of Tea by 19 over the previous year. With regard to Coffee the year under review was an unusual year during which the production across Coorg region was lower by almost 50 on account of continuous drought like condition during the growing period over last 2 years. BBTCLs production of Coffee at 273 tonnes was the lowest over past few decades. The overall coffee production was lower by 37 over the previous year.The performance of the companys Electromags division was adversely impacted due to migration to Bharat Stage IV norms resulting in lower turnover almost by Rs 4 crores particularly in exports as domestic sales were almost same as last year. The Government of India has given a timeline of 31 March 2020 for implementation of BSVI norms bypassing BSV norms. The companys Electromags division released new products worth Rs 5.6 crore to production.The companys Dental Products division launched dental implants in FY 201718During the year under review N. W. Exports Limited NWE and Sunflower Investments Textiles Limited SITL merged with Nowrosjee Wadia SonsLtd. NWS pursuant to a Scheme of Arrangement and the shares held by NWE and SITL in BBTCL vested in the name of NWS. NWS holds 23353225 equity shares of BBTCL representing 33.47 of its paidup share capital. Accordingly BBTCL is an associate of NWS.BBTCL in the year 1929 acquired leasehold rights in land for cultivation of tea coffee cardamom etc. under a valid lease for a period of 99 years from the Zamindar of Singampatti. The company has been cultivating and carrying on all its plantation activities at the above Tea Estate since then. The leased land has been classified as forest land during the year and also covered as Tiger Reserve under the Wildlife Protection Act despite the fact that the company has a bustling township on the leased land. The Tamil Nadu Government Authorities have excluded the leased land and permitted the company to continue its plantation activities during the tenure of the lease. BBTCL is however contesting these matters before the Madras High Court. Also the Government Authorities in Tamil Nadu during the year demanded increased lease rentals in respect of the leased land retrospectively from the year 1958. BBTCL has challenged the said demand by way of Writ Petition before Madras High Court. The said Writ has been admitted and stay granted.
OrganisationBombay Burmah Trading Corporation Ltd
HeadquartersMumbai
IndustryDiversified