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T@CGMLH@ X_@@C MLO MCPFGLGPF HA,
_MXI&=
MLMCWXGX AE _B@ EGLMLHGMC X_M_@F@L_X
Eglmlhgmc xtmt`f`lt mlmcwxgx gx o`fmhmt`o mx tb` ~ah`xx ae
go`ltgewglj tb` eat`x mlo ecmzx ae mlw
ajmlg{mtgal dw hm`epc xtpow ae egfx eglmlhgmc taacx xphb mx
~aegt mlo caxx mhhaplt# dmcmlh` xb``t# mlo
haf~mmtgu` glhaf` xtmt`f`lt, Baz`u` h`tmgl f`tbaox m` px`o ta
mlmcw{` eglmlhgmc xtmt`f`lt#
tb`x` f`tbaox hml d` mtga mlmcwxgx# t`lo mlmcwxgx# eplox
mlmcwxgx a xtpow ae xhb`opc` ae zaiglj
hm~gtmc,
Eglmlhgmc xtmt`f`ltx m` ~gf`o ta fmi` tb` rt`lmc mlo glt`lmc
xaph`x mzm` mdapt tb` emht zbmt
zai tb` egf gx hmwglj al, Gt mcxa b`c~x gl o`hgxgal fmiglj
tbapjb hm`epc mlmcwxgx mlo glt`~`tmtgal
ae eglmlhgmc xtmt`f`ltx, Mctbapjb tb`x` xtmt`f`ltx bmu` m
mxx`tglj ee`ht al o`hgxgalx tmi`l dw tb`
fmlmj`f`lt# dpt al tb` dmxgx ae tb`x` xtmt`f`ltx alcw tb`
halhcpxgal hmllat d` omzl# d`tt`
`r~cmlmtgal `jmoglj tbgx# z` zapco tmi` ml rmf~c` ae T`cgmlh`
Xt``c Mlo Mcpfglpf ha, ea tb` w`m
4>>2&>7, U`w egxt tbglj tbmt hmf` ta ap fglo gx
tbmt tb` jaxx ~aegt ae tb` haf~mlw bmx o`hcgl`o eaf
/4=5fl ta =87fl gl 4>>7# zbghb f`mlx mdapt =7,8% o`hcgl`
gl tb` jaxx ~aegtx ae tb` haf~mlw,
Baz`u` tb` l`t glhaf` mumgcmdc` ea xbm`baco`x ae tb` haf~mlw gx
/=?2fl mx haf~m`o ta /?24fl
gl w`m 4>>2# hapltglj ta 57,47 % o`h`mx`, _b` w`m
4>>7 zmx tb` haf~mlwx =0 tb w`m mx m ~pdcgh
haf~mlw cgxt`o al L`z Wai xtahi rhbmlj`, _b` haf~mlw j`l`mt`o
`hao hmxb ecaz eaf a~`mtgalx
g,`, zatb /7?8fl mlo b`c~`o tbmt ta ~mw mdapt /28>fl ae o`dt,
_b` haf~mlwx l`t o`dt ta `}pgtw
mtga zmx 40% al 8=xt O`h`fd`# 4>== zbghb zmx dapjbt oazl eaf
?=,?% al 8= xt O`h`fd`# 4>>2,
_b` haf~mlw zmx mcxa mdc` ta `oph` gtx xmf`&xta` a~`mtglj
`r~`lx`x dw /402fl a 44% gl 4>>7,Ha~glj zgtb al` ae tb` zaxt
`halafgh oazltplx ae 4>>7# tb` haf~mlw zmx mdc` ta j`t tb`
`mlgljx
~` ogcpt`o xbm` ae /4,>= gl w`m 4>>7# mx haf~m`o ta tb`
`hao mlgljx ae /5,05 ~` ogcpt`o xbm` gl
4>>2,
Xmc`x ae tb` haf~mlw z`` /2,:4dl gl 4>>2# zbghb e`cc oazl
ta /0,84dl a 87%, _b` jaxx ~aegt fmjgl
gl 4>>7 zmx 45,8% ae xmc`x# mx haf~m`o ta 4?,2% gl
4>>2, _b` xmc`x glhcpo`o m CGEA "cmxt gl egxt apt'
h`ogt# a glhaf`# ae /8>0fl mjmglxt tb` CGEAh`ogt `r~`lx`# ae
/=>7,4 fgccgal gl 4>>2,
_b` haf~mlw mjj`xxgu`cw d`jml ta `oph` tb`g a~`mtglj r~`lx`x gl
tb` eaf ae ~`xall`c mlo
`oph`o gtx zaieah` dw mdapt 40>># f`mlx 44%, Baz`u` tb`
fmlmj`f`lt t`mf ae tb` haf~mlw ogo
ml rh`cc`lt kad ~aophglj m `hao hmxb ecaz mlo ~mwglj ml
aptxtmloglj mfaplt ae /==0fl al /g,=dlh`ogt o`dt mumgc`o gl ~`ugapx
w`mx, _b` damo ae og`htax o`hcm`o m ogugo`lo ae /,=> ~` xbm`
ae
haffal xtahi, _b` haf~mlw bmx d``l xphh`xxepccw ~mwglj }pmt`cw
ogugo`lo ~mwf`lt ea 0>
halx`hptgu` w`mx# zgtb m tatmc glh`mx` gl =0 tgf`x mx haf~m`o ta
=77? G^A, Mcxa tb` `u`lp`x bmu`
glh`mx`o eaf /??:fl gl =77? ta /0,84dl gl 4>>7, Mlo tb`
xtahi ~gh` bmx glh`mx`o mt m mt` ae =2%
xglh` =77?,
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8/3/2019 FINANCIAL ANALYSIS OF RELIANCE STEEL AND ALUMINIUM CO.
LTD
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Al mlmcw{glj tb` dmcmlh` xb``t omtm# z` eaplo tbmt tb` hp`lt
mxx`tx ae tb` haf~mlw z`` `oph`o
eaf /4,8fl gl 4>>2 ta /=,8 gl 4>>7# zbghb f`mlx
?8,?: % emcc gl kpxt = w`m, Mcxa tb` zaiglj hm~gtmc ae
tb` haf~mlw bmx d``l `oph`o ta ,78fl eaf =,5fl ae 4>>2#
c`moglj ta m oazlemcc ae m~~ar, ?=,2%,
_b` fmgl `mxal d`bglo tbgx ltg` oazlemcc zmx tb` hbmcc`ljglj
tgf`x ae halafgh `h`xxgal# zbghb
fmo` gt ogeeghpct ea xpugumc ea m cat ae haf~mlg`x dpt tb`
haf~mlw lat alcw xpugu`o dpt d`hmf`
xfmt` mlo xtalj` mcalj tb` zmw, _b` i`w ta xphh`xx bmx d``l
hpxtaf` x`ugh` mlo }pmcgtw ae
~aopht,
I@W TM_GAX;
=, HPTT@L_ TM_GA_b` xtmlomo hp`lt mtga xbapco d` 4;=# dpt tb`
T`cgmlh` xt``c mlo mcpfglpf bmx fmgltmgl`o m
hp`lt mtga ae 8,8;=# zbghb gf~cg`x tbmt ea u`w /= ae hp`lt
cgmdgcgtw# tb` haf~mlw bacox /8,8 ae
hp`lt mxx`tx# zbghb gx rh`~tgalmccw z`cc,
HPTT@L_ TM_GA6 HPTT@L_ MXX@_X! HPTT@L_ CGMDGCG_G@X
68,8
4, L@_ O@D_&_A&@]PG_W TM_GA_b` l`t
o`dt&ta&`}pgtw mtga ae m haf~mlw xbazx tb` mfaplt ae
xbm`baco`x }pgtw ae m haf~mlw
mx haf~m`o ta tb` aptxgo`x daaz`o eplox, _b` j`mt` tb`
~`h`ltmj`# j`mt` gx tb` ~axgtgal ae
tb` haf~mlw gl tatmcgtw,
L@_ O@D_&_A&@]PG_W TM_GA6 _A_MC O@D_XS_A_MC
@]PG_W+=>>
640,5%
8, JTAXX ^TAEG_ TM_GA_b` jaxx ~aegt mtga xbazx tb` jaxx ~aegt
~`h`ltmj` mx haf~m`o ta tb` xmc`x ae tb` haf~mlw,
JTAXX TAEG_ TM_GA6 JTAXX ^TAEG_!L@_ XMC@X+=>>
6 45,8%
BAZ _A GF^TAU@ _B@ EGLMLHGMC X_M_@F@L_
_gcc laz zbmt z` bmu` xtpog`o xbazx tbmt tb` haf~mlw bmx d``l
oaglj emg meemg gl tb` `h`lt
w`mx, _b`w alcw adc`f Haf~mlw bmx emh`o gx ae tb` c`xx`lglj ae
~aegtx zbghb gx tb` `mxal ae
jcadmc `h`xxgal alcw, Mlo ta au`haf` tbgx ~adc`f tb` haf~mlw bmo
mcxa gxxp`o }pgtw xbm`x ta
tb` ~pdcgh gl w`m 4>>7 gtx`ce, Baz`u` tb` haf~mlw bmx
`oph`o tb` tatmc mxx`tx ta m cgttc` `rt`lt
fmwd` xa mx ta hau` tb` `r~`lx`x ae tb` dpxgl`xx, _b` l`t glhaf`
~` xbm` bmx haf` oazl ta
/4,>= eaf cmxt w`mx /5,05# zbghb gx m tbglj ae halh`l ea tb`
haf~mlw, _b` haf~mlw l``ox ta
~mw mtt`ltgal al tbgx tbglj x`gapxcw# mx gt zapco mee`ht tb`
haf~mlwx jaaozgcc gl tb` xtahi fmi`t
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8/3/2019 FINANCIAL ANALYSIS OF RELIANCE STEEL AND ALUMINIUM CO.
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d`hmpx` tb` xbm`baco`x zapco lat d` zgccglj ta dpw xbm`x ae tb`
haf~mlw mt tgf`x ae `h`xxgal,
Gl tb` w`m 4>>7# tb` d`xt tbglj haf~mlw ogo zmx ta `oph`
tb` calj t`f o`dtx mt m mt` ae mcfaxt
0>% # zbghb lat alcw c`o tb` ~`a~c`x emgtb gl haf~mlw dpt
mcxa xmu`o m cat ae glt``xt zbghb gx ta d`
~mgo al tbax` o`dtx,
_MXI 4
ZB@B_@T T@CGMLH@ X_@@C MLO MCPFGLGPF XBAPCO FMI@ M L@Z
GLU@X_F@L_ AT LA_
_a mlxz` tb` }p`xtgal tbmt zb`tb` tb` haf~mlw xbapco glu`xt gl
eptp` a lat cmj`cw o`~`lox
p~al tb` zaiglj ae tb` haf~mlw mlo mcxa al tb` hm~mdgcgtg`x ae
tb` fmlmj`x, Dpt d`ea` mlw
haf~mlw glu`xtx gl tb` calj t`f mxx`tx# gt l``ox ta oa m epcc
mlmcwxgx ae tbmt glu`xtf`lt# baz fphb
gx gt d`l`eghgmc ea tb` haf~mlw mlo mcxa zbghb al` ~cml gx tb`
d`xt mfalj mcc, Ea glu`xtf`lt
~p~ax`x `u`w haf~mlw bmx m cat ae a~tgalx gl ealt ae gt# tb`w
fmw glu`xt gl ~cmlt mlo fmhbgl`w#
cmlo mlo dpgcoglj# l`z t`hblacajw# a fmw d` m l`z mh}pgxgtgalx,
Baz`u`# gt gx lat ml mxw tbglj tao`hgo` d`tz``l mcc tb`x`# mx tb`
haf~mlw zmltx ta fmrgfg{` gtx ~aegtx, Eaf tb` mdau` f`ltgal`o
cgxt ae mxx`tx# tb` haxt gluacu`o gl mhb ae tb` mxx`tx gx
hmchpcmt`o dw ~ae`xxgalmc eglmlhgmc glu`xtax,
_b`l m t`hblghmc e`mxgdgcgtw xpu`w gx oal` mlo m e`mxgdgcgtw
`~at gx ~`~m`o, _bgx `~at haltmglx
tb` gxxp`x cgi` mfaplt ae glu`xtf`lt gluacu`o# r~`ht`o cge` ae
tb` ~ak`ht a glu`xtf`lt# r~`ht`o
mt` ae `tpl# tb` tgf` ~`gao zgtbgl zbghb tb` haxt gf~cg`o zgcc
d` `tpl`o, _bgx `~at gx
gf~atmlt ta ~`~m` d`ea` glu`xtglj mlwzb`` d`hmpx` tb` glu`xtf`lt
`}pg` m cat ae fal`w
gluacu`o gl gt, Mlo tbgx fal`w zgcc d` dcahi`o ea m cat ae tgf`
tgcc tb` haf~mlw j`tx ta `ml met`
mhbg`uglj tb` d`mi&`u`l ~aglt, Mcxa ta eglo apt tb` ptgcgtw
ae tb` mxx`t z` px`o EGR@O MXX@_X
_PTLAU@T TM_GA, _bgx mtga jgu`x px ml go`m ae tb` baz fmlw tgf`x
tb` egr`o mxx`tx m` ptgcg{`o ta
`mhb tb` `}pg`o xmc`x ae tb` haf~mlw,
Gl hmx` ae T`cgmlh` Xt``c Mcpfglpf# tb` mtga gx =2,?= tgf`x ae
xmc`x# zbghb gf~cg`x tbmt tb`
haf~mlw gx pxglj =2,?= tgf`x ae gtx egr`o mxx`tx ta mhbg`u` tb`
xmc`x ae tb` haf~mlw, Gt mcxa t`ccx px
tb` `cmtgal d`tz``l tatmc mxx`tx mlo tb` ~a~g`tmw eplo, Gt t`ccx
px tbmt baz fphb gx tb` umcp`x ae
~a~g`tax eplox tbmt gx ~pt glta tb` haf~mlw ea tb` ~p~ax` ae
eglmlhglj tb` tatmc mxx`tx gl tb`
haf~mlw, Baz`u` gt gx gf~`mtgu` ta ilaz mcc tb`x` tbgljx, Al
mlmcwxgx ae tb`x` t`fx gt gx o`hgo`o
tbmt tbmt tb` r~`ht`o mt` ae `tpl al tbgx glu`xtf`lt bmx ta d`
mt c`mxt 4>&40%# gl ao` ta
~ax~` gl eptp`,
Baz`u`# gt gx p~al tb` fmlmj`f`lt ta o`hgo` zb`tb` haf~mlw
xbapco hbaax` }pgtw
eglmlhglj a o`dt eglmlhglj# gl eptb` tb` calj t`f o`dtx a xbat
t`f o`dtx a `}pgtw gx ta d`
o`hgo`o p~al, B``# gtx gf~atmlt ta f`ltgal tbmt xbat t`f o`dtx
f`mlx tbax` o`dtx zbghb m`
ea c`xx tbml al` w`m mlo calj t`f o`dtx m` tbax` zbghb m` ea m
~`gao ae fa` tbml al` w`m# gt
fmw d` ae t`l ta tbgtw w`mx, Baz`u` datb tb`x` gl~ptx ae eglmlh`
bmu` tb`g azl ~ax mlo halx#
al o`dtx tb` haf~mlw bmx ta ~mw h`tmgl glt``xt# zbghb hml d` m
x`u`` b`momhb`# mlo al gxxp` ae
`}pgtw# tb` haf~mlw bmx ta caax`# gtx azl`xbg~ gl eaf ae azl`x,
Mcxa# datb tb`x` f`mxp`x
o`~`lo p~al tb` haf~mlwx jaaozgcc gl tb` fmi`t,
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8/3/2019 FINANCIAL ANALYSIS OF RELIANCE STEEL AND ALUMINIUM CO.
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L`rt# tb` lafmc `tpl bmx ta d` ~cmll`o pxglj tb` mgtbf`tghmc
z`gjbt`o mu`mj` f`tbao, Gl
zbghb tb` cgi`cgbaao ae `tpl gx mhtglj mx z`gjbt,ta o`hgo` p~al
tb` tatmc haxt ae ~ak`ht mlo
aoglmw `tpl ae mhb mxx`t# z` hml z`gjbt mjmglxt mcc tb`
xpdxtgtpt`x ae mxx`tx, Mlo tb`l tb` mxx`t
l``ox ta d` x`c`ht`o zbghb hml jgu` px tb` fmrgfpf lhapmjglj
glhaf` mlo mcxa f~caw m
x`lxgdc` tatmc haxt, _bmt tbpx tb` d`xt mxx`t hml d` hbax`l dw
tb` fmlmj`f`lt,
