MINOR PROJECT-2 REPORT

ON

SUBMITTED IN PARTIAL FULFILLMENT FOR

THE AWARD OF THE
DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT

2019-21

Project Guide By: Submitted By:

DR. Atul Rajveer singh parihar
Adm. No. : PGDM19084
Roll No : GM19137

GL Bajaj Institute of Management & Research

Approved by A.I.C.T.E., Ministry of HRD, Govt. of India
Plot No. 2, Knowledge Park III, Greater Noida
Email: [email protected]; Website: www.glnimr.org

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 STUDENT UNDERTAKING

This is to certify that I have completed the Project titled Competitor analysis of

greenply in under the guidance of Prof. Atul Arora in partial fulfilment of the

requirement for the award of degree of Post Graduate Diploma in Management at Gl

Bajaj Institute of Management & Research, Greater Noida. This is an original piece of

work & I have not submitted it earlier elsewhere.

Name of the Student

Rajveer singh Parihar

PGDM 1st Trimester

ACKNOWLEDGEMENT

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My project would be incomplete if at this juncture, I did not acknowledge those who
steered my project work in the right direction.
First of all I would like to thanks Prof. Atul Arora as he proved to be constant source of
inspiration and provided timely support at crucial stages of this project work despite the
time and work constraints.
The feeling of gratitude when expressed in words is only a fraction of
acknowledgement. I feel overwhelmed to express my gratitude to all those who
extended their consistent support, guidance and encouragement to complete this task.
Last but not the least I would like to thanks Director Dr. Ajay Kumar, (GLBIMR), for
providing me with all the help and advice to me in completing my project.

Rajveer singh parihar

(Gl Bajaj Institute of Management & Research)
PGDM 1st Trimester
Admission No. PGDM19084
Roll No. GM19137

TABLE OF CONTENT

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Chapter 1. Introduction to sector (GREENPLY)
Chapter 2. Competitors of Greenply LTD.
Chapter 3. Introduction of Major competitor (CENTURYPLY)
Chapter 4. Marketing analysis
Chapter 5. Financial analysis
Chapter 6. Findings
Chapter 7. Recommendation

CHAPTER -1 INTRODUCTION OF COMPANY

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Greenply Industries Limited (GIL) is India's largest interior infrastructure.The
company is listed on the National Stock Exchange (NSE) and the Bombay Stock
Exchange. It has a net consolidated turnover of ₨ 2044 crores for the financial year
2012–2013. Greenply manufacturers various interior infrastructure products such as
plywood, block board, decorative laminates, decorative veneers, medium-density
fiberboards (MDF), Laminate flooring and restroom cubicles. It has 45 branches all
across India and presence in more than 300 cities with more than 13,000 distributors,
dealers, sub-dealers and retailers. The company has its registered office in Tinsukia,
Assam and corporate office in Kolkata.

History
The company was established as "Mittal Laminates Private Limited" on 28 November
1990. It became a Mittal Laminates Limited in 1994, and finally Greenply Industries
Limited in 1996. Its first manufacturing plant was established in 1993 at Behror,
Rajasthan, followed by one at Pantnagar, Uttarakhand in 2006. Prior to which a
manufacturing unit of erstwhile Greenply Industries Limited at Tizit, Nagaland was
taken over, along with the company itself in 1995.

1. PLYWOODS Ply woods manufacturing process involves the following: 1) Log

yard 2) Cross cutting 3) Boiling 4) Peeling 5) Clipping 6) Drying 7) Edging and
joining 8) Gluing 9) Assembling 10) Free press 11) Hot press 12) Conditioning
13) Trimming 14) Sanding 15) Finishing 16) Grading 17) Inspection and testing
1) Log yard: Log yard is a place where woods are kept in water for preservation
from time when it is imported till it is required for production. Once the wood is
taken to the log yard it should be measured by its length and width. Then each
wood is named and it is handled over to a contract for storage in log yard.
2. Cross cutting: Woods are cut into required size before it is taken for processing.
This is called cross cutting. It is done by using a chain saw, which works on a
hydraulic system. The required size may usually vary from three to ten feet. 3)
Boiling: The pieced woods are boiled in order to make the hard woods soft and
to remove its oil content. It is done for the purpose of peeling or slicing the
wood into small. It is boiled about 24 hours at 80 degree to 160 degree. The
steam required is produced in the boiler. 4) Peeling: After boiling, wood pieces
are peeled with the help of peeling machine. Output is called veneer. There are
two kinds of veneer, ie. FACE and CORE. Thickness of veneer ranges from .
4mm to 2.8mm. Sometime a slicing machine is used instead of peeler. This is
mainly used in decorative section. 5) Clipping: Veneer produced from the peeler
is then passed through the clipper. Here, veneer of the required length is cut.
Cutting action takes place by the compressed air. 6) Drying: In order to remove
the excess moisture content from veneer they are passed to the dry yard. The
drying time required depends on the type of wood, thickness of veneer, steam
available etc. In the
3. 31 dry yard section there are fans rotating at high speed which make the forced
convection of heat from tubes carrying the steam. 7) Edging and joining: The
edges of veneers of various lengths are cut and removed. The gum is then
applied to the edges of the veneer and these are joined together in a joining
machine. The veneer is then again cut into the required length. 8) Gluing: In this
section glue is applied all over the core of veneer. The glue spreading machine

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 consists of two rollers rotating in opposite direction between which the glue is
kept. The glues used are U.F, Aerolyte and M.F. 9) Assembling: Here, the core
veneers are placed in between the face veneers. The adjacent veneers are placed
in such a way that the grins are across each other. The composition of face and
core are as follows: 5ply with 9.6mm thickness 1.2* 2 face = 2.4mm 2.2* 2 core
= 4.4mm 2.8* 1 back core = 2.8mm 10) Free press: Here, the assembled boards
are put into the machine and pressed in order to make the glued veneer to stick
to each other.
4. Hot press: The attached board is steamed. When steamed, the glue between the
veneers is melt. This will help to stick the veneer more close to each other. 12)
Conditioning: Once the board is made it is then put into water, which contains
some sort of chemicals in order to identify the spots or damages on the board.
13) Trimming: Trimming is the process of shaping the board by cutting its
unwanted parts. 14) Sanding: Sanding is done to smooth the trimmed surface of
the plywood. It can be done by using a belt sander or a drum sander. 15)
Finishing: In finishing process, the cracks, splits and other defects on the surface
of the plywood is filled with the same face of veneer species. Here, the plywood
is labeled and sealed. 16) Grading: Grading is done according to quality of panel
wood species used, preservatives, chemical properties etc. Ply woods are
expensive in market and they are classified into A, B, C and D categories. Ply
wood with A grade is expensive and best among other grades. It have smooth
surface with no knots at all.
5. Inspection and testing: Ply woods are inspected and tested to make sure that it
is of predetermined quality. MEDIUM DENSITY FIBREBOARDS
Manufacturing process MDF : 1. CHIPPING OF WOOD Logs of eucalyptus,
casuarina and acacia firewood are stripped of their bark. A drum chipper reduces
the logs into even shaped chips of about 25x25 mm, which are stored in a silo.
To refine them for processing, quantities of chips are placed on a vibrating
screen to remove bits of bark, dirt, dust etc. If required, they are soaked in water
to increase moisture content and improve the quality of fibre. 2.
DEFIBRATING, GLUEING AND DRYING The chips are „digested‟ in a
defibrator for about 4 minutes under pressure (about 8 bar) in saturated steam.
Fed into the defibering discs, they are injected with urea formaldehyde resin and
other additives through a blow line system into the fibre coming out from the
defibrator. Before defibration, the chips are coated with molten paraffin wax.
The glued fibres are simultaneously dried and pneumatically transported by hot
air through a dryer ducting system to a cyclone separator, which takes out any
defective fibres, and finally, to a scale where they are weighed. reen to a dust
silo pneumatically.
6. MAT FORMING AND PROCESSING The dry fibres are conveyed to the mat
forming system. Here they drop down to a mat former belt, where distribution
arms spread the falling fibres into a uniformly even mat. The thickness of this
„scalped‟ mat will depend upon the thickness of board to be produced. It is run
through a series of heavy rollers in a pre-press to compress the mat to about 1/3
thickness. The pre-pressed mat is then passed through a metal detector.
Thereafter, edge-trimming saws trim the edges, while cross-cut saws size the
mat to the required lengths of board. The fibres not formed into mats are sucked
out by vacuum boxes and recycled. 4. COOLING, SANDING & TRIMMING
The boards are weighed on a weighing platform, cooled to room temperature in
a star cooler, and then stacked on a platform. Each stack of boards is taken by
forklift truck to a roller conveyor, and transferred one by one to a wide-belt

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 sanding machine to be surface-finished. They are then trimmed with the help of
saws to the required sizes. The mat passes through a series of conveyors to a mat
stacker, from where it is fed into the hot press. The hot press allows up to 10
mats to be pressed at a time to the specified thicknesses. Powerful hydraulic
pressure and high temperature (produced by steam) make for strong and
homogeneous bonding of the fibre mats. The resulting boards are unloaded on to
a conveyor to be fed out, and heat is dissipated by axial exhaust fans. Mats
unsuitable for pressing are tippled to a silo for either recycling or transferring to
a waste fibre bin through a blower. 5. GRADING & STORAGE
7. The trimmed boards are inspected while on the roller conveyors, stacked by
grade, and sent for either storage or lamination. The finished non-laminated
boards are later despatched to various destinations by truck. 6.
IMPREGNATION Base paper for lamination is unwound from a paper roll,
passed through a tray filled with a special resin, and then through dryer
chambers. The air in the dryer chambers is heated up to 150°C by thermic fluid
circulated through coils heated to 250°C from a thermic fluid heater. The paper
is then cut to the required size and stacked on a scissor lift. The stacks of
impregnated paper are then shifted to storage racks in an air- conditioned store.

Industries Limited (GIL) is India's largest interior infrastructure company. It stands at

top when it comes to plywood, decorative veneers and particle boards. It account for
almost 36 percent of the organized plywood and 26 percent of the organized laminate
market in India. The company manufactures plywood, laminates, decorative veneers,
particle boards and prelam particle boards/MDF.
The company has a pan–India presence with 46 branches across India and presence in
over 300 cities across 21 states.
Company’s laminate brand Greenlam is exported to more than 25 countries that include
Thailand, Indonesia, Taiwan, Canada, Bahrain, Hong Kong, Malaysia, Singapore,
Kenya, Dubai, Russia, Syria, USA, Australia, Mexico, Saudi Arabia, China and Israel.
Greenply has created brands such as Greenply Plywood, Greenlam Laminates, Green
Lamieboard, Ecotec, Green Club Premium Ply and Green Decowood.
Greenlam, the flagship decorative laminate brand from Greenply is exported to more
than 100 countries including Thailand, Indonesia, Taiwan, Canada, Bahrain, Hong
Kong, Malaysia, Singapore, Kenya, Dubai, Russia, USA, Australia, Mexico, Saudi
Arabia, China, United Kingdom and Europe.
The company owns subsidiaries namely Greenlam Asia Pacific Pte to develop market in
ASEAN countries and Greenlam America Inc. for marketing and distribution of its
laminate products.

Executive Chairman
Shiv Prakash Mittal is the Founder of Greenply Industries Ltd. and has been serving as
its chairman since February 2007. He earned his bachelor's degree in science from the
University of Calcutta and has more than 35 years of experience in the plywood and
laminate industry. He serves as a Chairman of Greenlam industries as well as Director

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of Greenply Industries, Greenply Leasing and Finance, Prime Holdings, Prime
Properties, Greenlam Asia Pacific, Galaxy Decor, and Platinum Veneers.

Shobhan Mittal]
Shobhan Mittal is currently the CEO and joint-Managing Director of Greenply
Industries Limited. On February 2015, Greenply Industries Limited announced the
appointment of Shobhan Mittal as the CEO and joint-Managing Director of the
company.
Shobhan Mittal served as the Executive Chairman of Greenply from September, 2006
till the time he was promoted to the new post.
Shobhan Mittal recently announced that Greenply is some setting up Asia’s largest
environment friendly MDF plant. This plant with an annual capacity of 3,60,000 CBM
will be the largest MDF plant in Asia and the fifth largest plant in the world.

With a strong retail network, 48 branches across India and presence in over 300 cities
across 21 states, Greenply Industries Limited is committed to provide international
quality products to its customers.
Greenply Industries Limited (GIL) is India's largest interior infrastructure company with
a whopping turnover of Rs. 1655 crore. We stand at top when it comes to plywood and
MDF boards. We account for almost 26% of the organized plywood market in India and
30% market share in domestic MDF market.

Our continuous efforts towards achieving excellence helped us gain a significant

position in the thriving Indian economy. We are a partner of choice for a large number
of office and home builders. Greenply markets the most comprehensive portfolio of
residential and commercial floor products available - plywood & block boards, MDF
and Wood floors under the brand names of Greenply Plywood, Green Club Ply, Ecotec,
Green Panelmax, and Green Floormax.

With a strong retail network, 48 branches across India and presence in over 300 cities
across 21 states, Greenply Industries Limited is committed to provide international
quality products to its customers through more than 12,000 distributors, dealers, sub-
dealer and retailers. The company has five state of the art manufacturing facilities across
the country manufacturing products of global standards.

Our esteemed clients trust us by unfolding their vision to us, and we bestow the trust
reclined in us by converting their dreams into reality. So, if you're looking for an
exquisite range of interior infrastructure products, make sure to give us a call.

With a strong retail network, 48 branches across India and presence in over 300 cities
across 21 states, Greenply Industries Limited is committed to provide international
quality products to its customers through more than 12,000 distributors, dealers, sub-
dealer and retailers. The company has five state of the art manufacturing facilities across
the country manufacturing products of global standards.

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 Our esteemed clients trust us by unfolding their vision to us, and we bestow the trust
reclined in us by converting their dreams into reality. So, if you're looking for an
exquisite range of interior infrastructure products, make sure to give us a call.

PRODUCTS OF GREEN PLY

PLYWOOD & BLOCK BOARD

High quality products for furniture partitions, paneling, cavity flooring, paneled floors,
hoardings, false ceilings and other exterior-and semi-exterior applications.
GREEN CLUB PLUS PLYWOOD

 Formaldehyde Emission Level: E1 as per European Standards

 100% Gurjan
 Gurjan uni-layer
 Unextended BWP Resin
 Fully Preservative Treated for Borer, Termite & Fungus Proof
 Boiling Water Proof
 100% Composed Core
 High Density
 Acoustically effective
 300% Lifetime Warranty on Manufacturing Defect
 An IS 10701 Certified Product
 Fire retardant properties

WOOD FLOORS
Green Floormax stands for stylish wood flooring that is becoming integral to new age
interiors in India.It comes with a warm wooden finish that effortlessly creates an exotic
air. Available in 38 exquisite surface designsit is easy to install, affordable and low
maintenance. The specially engineered surface protection technology of Green
Floormax makes it super sturdy, durable and resistant to scratches, stains and water
spills.
Technical Superiority
Perma Click
The PermaClickTM system in Green Floormax has been developed especially by flooring
industries, Luxembourg. Their years of research combined with Green's extensive
knowledge of the usage conditions specific to India, has made PermaClickTM the most
advanced flooring interlocking system available in India. The
click system gives Green Floormax an unmatched quality and
finish. What's more it makes the installation process very easy.
 

Max Shield

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Green Floormax wood floors come with Max Shield - a unique scratch resistant
protection technology that shields it against wear and tear. This
specially-engineered surface coating makes wood floors manifold
stronger and resistant to surface scratches.
   

Sonic Sponge
Green Floormax is engineered with Sonic Sponge - an advanced technology that allows
the sound absorbent backing layer to reduce sound transmission and
produce only a solid and pleasant sound underfoot.
   

100% Hardwood Base Core

The high density fibreboard at the core of Green Floormax wood floors makes them
sturdier and more durable than any other flooring alternative. More so,Greenply
manufactures the highest quality fibreboard in-house at the same manufacturing
location as Green Floormax, ensuring very stringent quality parameters
for the base core.

 
Hygienic and Easy to Maintain
Our surface protection technology ensures dust doesn't cling to your floor while our
unique interlocking system PermaClickTM binds the planks perfectly, allowing
absolutely no room for dust accumulation and water spillage.

Convenient
Easy to install
Thanks to our PermaClickTM system, installation can be completed in no time.Just snap
the planks together and it's done.
 

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Seamless layout
Our interlocking technology leaves no annoying gaps or crevices, leaving you with a
level, beautiful-looking floor. There just won't be any place for dirt and dust to
accumulate.
 
Anti-Warp
Since the top layer on green floormax wood floors is resistant to heat and temperature
changes, there won't be any uncharacteristic bending or twisting of the wooden planks.
Your floor will always stay solid and level.
 
Easily removable/changeable/reinstallable
Switching floors just involves removing the planks and installing them elsewhere. Carry
your floors with you anytime, anywhere.

MEDIUM DENSITY FIBREBOARD

The most adaptable, eco-friendly, engineered panels available today, are made from
wood which is refined into fibres and then reconstituted with a resin binder at elevated
temperatures to form panels finished into fibers and reconstructed with a resin binder
bearing high temperatures.

State-of-the-art manufacturing facility

Greenply's Green Panelmax MDF manufacturing facility at Pantnagar, Uttarakhand is
the first-of-its-kind in India that incorporates the latest European technologies. This
state-of-the-art manufacturing facility is also the country’s largest and most
technologically advanced plant in its category, utilising a continuous press system for
the very first time for this application. The annual capacity of the plant is 1,80,000
CBM.
To maintain its stringent quality norms, Greenply has invested in the latest technologies
and machines; Front end wood processing and chipping from Bruks Klockner
(Sweden), chips storage and conveying from Trasmec (Italy), fibre refining from Metso
(Finland) and fibre drying from Sunds MDF Technologies (Sweden).

Greenply has also purchased the latest machinery for forming, press and raw board
handling from market leader Dieffenbacher of Germany, an 8 head sanding machine
from Steinemann of Switzerland, panel sizing from Giben (Italy) and a multi fuel hybrid
energy generation plant from Thermax (India). To ensure optimal emission levels, the
company has invested in a latest generation dust extraction/fume absorption system
supplied by Scheuch (Austria).

 The Panelmax Edge

Interlocking Technology
A unique interlocking technology employed in manufacturing Green
Panelmax MDF boards leads to a high bonding strength and greater
rigidity.
   

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Strong
Stability and strength are important assets of our board. Made with advanced
technology Green Panelmax boards offer tough resistance to all sorts of
impacts and wear and tear.

Superior Quality
Greenply takes stringent quality measures at every stage of the manufacturing process
to ensure that Green Panelmax MDF boards have a smooth finish, superior machining
characteristics and unparalleled quality and strength. With leading testing technology
such as the Through Panel Density Profiler, we are able to precisely control the through
panel density along the thickness, giving Green Panelmax MDF boards a better and a
more consistent surface density.
 

Homogenous Construction
The homogenous construction of Green Panelmax MDF boards allows intricate and
precise routing, machining and finishing techniques for a superior
finished product.
   

0% Latex Content
Green Panelmax MDF boards are made of 100% hardwood eucalyptus timber, and thus
have 0% latex content, making them ideal for surface finishes such as painting and
polishing.
   

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Termite & Borer Resistant
Green Panelmax MDF boards undergo various chemical treatments that make them
termite, borer and fungus resistant
   

Eco-Friendly
Green Panelmax MDF boards are produced from 100% renewable and sustainable wood
sourced from agro-forestry plantation trees that have a life cycle of 3-4 years and cause
no depletion of forest cover area
   

An Excellent Range to Offer

Greenply is the first manufacturer in India to offer such a vast range of MDF in a
variety of thicknesses and sizes across all its products ranging from plain, pre-laminated
and veneered Green Panelmax MDF board to plain and pre-laminated HDF.

Plain MDF
Thicknesses: 2.3mm, 2.5mm, 3mm, 4mm, 5.5mm, 6mm, 8mm, 11mm, 12mm, 15mm,
17mm, 18mm, 25mm, 30mm and 35mm. Sizes: 8’X4’; 8’X6’; 7’X6’; 7’X4’ and 6’X4’.

Pre-laminated MDF
Thicknesses: 6mm, 8mm, 11mm, 12mm, 15mm, 17mm, 18mm, 25mm, 30mm and
35mm. Sizes: 8’X4’; 8’X6’; 7’X6’; 7’X4’ and 6’X4’.

HDF
Thicknesses: 2.3mm, 2.5mm, 3mm, 4mm, 5.5mm, 6mm, 8mm, 11mm, 12mm, 15mm,
17mm, 18mm, 25mm, 30mm and 35mm. Sizes: 8’X4’; 8’X6’; 7’X6’; 7’X4’ and 6’X4’

FLUSH DOORS
We have a wide range of premium borer-proof doors made by mechanized
manufacturing process, which offers uniform thickness without undulation, warping or
bending and a smooth surface for laminations.

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DECORATIVE VENEERS
Decorative Veneers - An exquisite range of decorative veneers that bring you the
world's most exotic timbers ranging from natural, teak, black forest and reconstituted
veneers to choose from.

Burma Teak Veneers:

Burma Teak Veneers confirms to IS 1328 and are natural veneers made of 100% Burma
Teak which have golden yellow grain structure. These are ideal for inserts in panel
doors and windows in domestic as well as office interiors. The product is available in
One Sided Teak (OST) and Both Sided Teak (BST) grades

NATUREMAX VENEERS:
Greenply Industries Limited introduces Naturemax, an exquisite range of decorative
veneers for connoisseurs of refined taste. An assortment of more than hundred exotic
wood species, Naturemax Decorative Veneers, has been exclusively hand-picked from
all over the world. The range imparts timelessness of wood décor to living spaces. A
perfect reflection of aesthetics, natural value, durability and pro-environment
sensitivity, Naturemax Decorative Veneers is for those who revel in making
distinctiveness, a statement of living.

RECONSTITUTED VENEERS:
Royal Veneer Black Forest:
Black Forest is an exclusive range of dark species of natural veneers. Through a unique
process, natural dark species of precious timber are sliced and treated with chemicals
and fumed to give a darker shade. Black Forest conforms to IS 1328. It is ideal for all
other interior decorative applications including usage in panels, partitions, furniture,
cabins, etc.

DECORATIVE VENEERS:
Wood Crrest:
Wood Crrest is a premium portfolio of veneers made from the finest timber. The
veneers are made from raw material sourced from locations across the world. They
come in four main variants namely Fauvian, Avant Garde,Simulacra, & Nouveau.The
veneers are manufactured to give an artistic spin to premium living.

MAJOR COMPETITORS

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Century Plyboards (India) Ltd. is an Indian manufacturer, seller and exporter of
plywoods and veneers. It holds the position of being the first ISO 9002 company for
veneer and plywood India and also the largest seller of multi-use plywood and
decorative veneers. The company offers plywood products under the brand name,
Century Ply, and exports its range of products to over 20 countries.[5] Spread into a 6.6
acre area, its ISO 9002 plant is located at Bishnupur, near Joka, Kolkata. It has also
started the commercial production of MDF (Medium Density Fibre) at its newly set-up
unit at Punjab. Century Ply (Singapore) Pte. Ltd., a subsidiary of Century Plyboards,
has also acquired 49% stake in Huesoulin Wood Processing Factory Co. Ltd., making it
as its associate company.
Century Plyboard was founded in 1986 by Sajjan Bhajanka and Sanjay Agarwal in
Kolkata. In 2013, the company launched its furniture stores under the sub-brand ‘Nesta’
In the same year, the company launched its subsidiary company Century Infotech.
Century Infotech offers interior design management services under the brand name
'Nestopia'. In 2015, Century Ply (Singapore) Pte. Ltd., a subsidiary of Century
Plyboards (India) Ltd in Singapore incorporated Century Ply Laos Co. Ltd. in Laos.

SAI PLY (P) LTD

Sai Ply Private Limited is a Private incorporated on 12 July 2002. It is classified as
Non-govt company and is registered at Registrar of Companies, Kolkata. Its authorized
share capital is Rs. 4,000,000 and its paid up capital is Rs. 4,000,000. It is inolved in
Manufacture of products of wood, cork, straw and plaiting materials

Sai Ply Private Limited's Annual General Meeting (AGM) was last held on 28
September 2018 and as per records from Ministry of Corporate Affairs (MCA), its
balance sheet was last filed on 31 March 2018.

Directors of Sai Ply Private Limited are Manish Birdika, Gajanand Birdika, Sunita
Munka, .

Sai Ply Private Limited's Corporate Identification Number is (CIN)

U20299WB2002PTC094889 and its registration number is 94889.Its Email address is
[email protected] and its registered address is NEW TOWN SQUARE, UNIT - 3A
CHINARPARK, P.S. RAJARHAT, ATGHARA KOLKATA Kolkata WB 700136.

STYLAM INDUSTRIES LTD.

Stylam, one of the dominant manufacturers of all types of surface solutions from India
was founded 25 years ago in the year 1991. Listed in Bombay Stock Exchange, it has a
pan India presence and a thriving export market in more than 60 countries to its credit.
Stylam’s major customers are domiciled in Europe, Far East, Middle East, Russia and
North America, and the company maintains a robust YOY export growth. With highly
advanced technology and equipment installed at its Panchkula manufacturing plant in
Chandigarh, Stylam assures maximum production of every product in the least amount
of time. Pioneers in the field of surface solutions, Stylam is India’s first manufacturing
company for Acrylic Solid Surfaces and 1860*4320 panel sizes. Equipped with leading-

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edge and sophisticated moulds of various finishes from France and Germany in its
production unit, Stylam ensures the creation of unbeatable products in novel colours and
designs. An ISO 9001:2008 certified organisation, Stylam Industries Ltd, with its
people, innovation, technology and scale is delivering better outcomes for customers by
speaking the language of the industry.

Archidply Industries Ltd.

We, “Archidply Industries Ltd.,” are affianced in manufacturing, trading,
exporting and supplying comprehensive range of Decorative Laminates, Pre
Laminated Boards, Decorative Veneers, BWR Plywoods and Block Board
Flush Doors. Under the enthusiastic guidance of our Joint Managing Director,
“Mr. Rajiv Daga”, we have achieved an outstanding position in this domain.
His constant focus on quality and dedication has enabled us to serve to gain
huge client base all across the international market. Since our inception in 1976
at Delhi (India), we have constructed an advanced infrastructural base that
includes structural units such as procurement, production, quality testing,
research & development, warehousing, packaging, sales & marketing, etc. The
production unit is armed with sophisticated machinery and tools in order to
manufacture products without any hassle. Moreover, our easy payment modes,
client-oriented approach, reasonable price structure and ethical business policies
have enabled us to emerge as a leading player in this domain.

Leveraging upon international quality standards, all our offered products are
designed and manufactured as per the international quality standards by utilizing
high grade wood and advanced technology. Owing to features such as high
strength, termite resistance, borer proof, aesthetic design, perfect finish and
durability, the offered product range is highly demanded all across the
international market. Also, our esteemed clients can avail the offered product
range from us in various sizes, dimensions and designs at market leading prices.
Some of our respective clients are BHEL, SAIL, ITC, Airtel, Hotel Leela,
Hotel Sheraton, CP, L&T, Adobe, Sun Microsystems, City Bank, Apollo
Group, etc. Besides, all our products are meticulously tested on various quality
parameters using ultra-modern testing tools and devices by our quality
inspectors to ensure their quality up to the mark.

National Plywood Industries Limited

India’s premier manufacturer of plywood, block boards and flush doors, is synonymous
with exceptional quality of products and unparalleled service to its distributors, dealers
and customers alike. Originally established as a tea chest manufacturer in the lush tea
belt of Assam in 1951, the company began exploring the then nascent business of
plywood and related panel products and was incorporated in 1973. In 1994, NPIL
expanded into the production of cutting-edge decorative laminates under the brands
National Laminart and Uninational Laminates.
Over six decades later, National has come to represent a trusted brand with immaculate
product integrity and market goodwill. Today, the company has a rock-solid foundation
of state-of-the-art factories and a devoted nationwide network of offices, distributors,
dealers and channel partners.

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Greenply Industries Limited (GIL) is India's largest interior infrastructure.The
company is listed on the National Stock Exchange (NSE) and the Bombay Stock
Exchange. It has a net consolidated turnover of ₨ 2044 crores for the financial year
2012–2013. Greenply manufacturers various interior infrastructure products such as
plywood, block board, decorative laminates, decorative veneers, medium-density
fiberboards (MDF), Laminate flooring and restroom cubicles. It has 45 branches all
across India and presence in more than 300 cities with more than 13,000 distributors,
dealers, sub-dealers and retailers. The company has its registered office in Tinsukia,
Assam and corporate office in Kolkata.
And if we talk about main competitor of green ply so it is century ply on the basis of its
market capitalisation and on the basis of their products so,
Century Plyboards, incorporated in 1982, is well–known manufacturer of plywood
and decorative veneers. The company was formed by Sajjan Bhajanka and Sanjay
Agarwal. The manufacturing facility of company is located at Bishnupur near Joka,
Kolkata.
Century Plyboards is largest seller of plywood and decorative veneers in the Indian
organized plywood market.
It became first company to received ISO 9002 certification for its quality management
under veneer and plywood. In the year 2002, Centuryply introduced Flexoply, the only
flexible plywood variety.
Since inception the company has introduced various products such as boiling water
resistant decorative veneer, seven–year powder proof guaranteed PF plywood, non–
leachable firesafe plywood, architect ply and fantasy range of decorative veneer.
The company markets its products under the brand name ‘Centuryply’. It commenced
production of its laminate plant in the year 2004. Century Ply also started
manufacturing ‘Centuryply Mica’, which is one of the flagship brands.
In 2005, the company started manufacturing Hi–Pressure Laminates, Pre–Laminated
Particle Board and MDF.
The company exports its products to 20 countries that include UAE, China, Taiwan,
Bangladesh, Singapore, Hong Kong, Saudi Arabia, France, UK, Germany, Mexico,
Canada and Switzerland, among others.
The company's subsidiaries include Cement Manufacturing Company (CMCL), Megha
Technical & Engineers (MTEPL), Auro Sundaram Ply & Doors (ASPDPL) and Star
Cement Meghalaya (SCML).

SWOT ANALYSIS OF CENTURYPLY

STRENGTH:
When it comes to plywood, CenturyPly is by-far, the undisputed leader with a plethora
of award-winning as well as innovative products designed for, the global Indian. The
signature plywood products are used extensively in commercial and domestic settings.

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Century plywood is affordable yet durable and offer unmatched strength and oodles of
style to complement modern, urban living.
Timber products (another segment of home building materials which is witnessing
rising demand) has a large addressable market, and consumer preference in this segment
is shifting to branded products. Century Plyboards, with its enhanced capacities and
strong pan-India brand/distribution network is set to be a leading franchise for years to
come. Improved management bandwidth and security around critical raw materials will
render long-term stability to the business. We expect the company to deliver 52% EPS
CAGR over FY14-16 backed by volume traction and margin expansion. We initiate
coverage with a BUY; it is trading at 12.0x FY16 EPS and our TP of `133 implies 16.5x
FY16 EPS. Competitive
WEAKNESS
Century Plywood Ltd. is banking on increased prices and exports to offset the impact of
costlier raw material imports and its exposure to dollar denominated debt as the Indian
rupee continues to tumble to new lows.Imported raw material costs, mainly of logs, for
the company is about 15 percent of its total turnover, according to Sanjay Agarwal, MD
and CEO of Century Plywood. “So with a 10 percent
In a business marked by brand clutter, veterans felt that any company would require
spending at least 10% of its revenues on advertising to even stay in business. Century
Ply invested only 4.16% of its revenues towards successful brand building in 2014-15.
OPPORTUNITY
Century Plyboards (India) Limited (NSE:CENTURYPLY) is a small-cap stock with a
market capitalization of ₹39.6b. While investors primarily focus on the growth potential
and competitive landscape of the small-cap companies, they end up ignoring a key
aspect,
Expected 25-30% growth in the organised plywood sector. Growing governmental
thrust on the real estate sector and the infrastructure sectors. Increasing per capita
income and declining home renovation cycle times. Increasing urbanisation and
governmental focus on creating smart cities – driving real estate sector growth.
Affordable housing loans on the back of recent policy measures. Implementation of
GST can help correct the skew between the organised and unorganised players.
THREATS
The Indian plyboards industry has more than doubled in size over the last six years (to
`150bn in FY14 as against `70bn in FY08), as furniture penetration in India has
increased. As mentioned earlier, the key drivers supporting the stellar growth were: (1)
rising residential units (especially in tier-II/III and rural markets), alongside increase in
commercial construction, residential and hospitality construction, (2) urbanisation and
increase in mid-income families, (3) increase in nuclear families (less than four-member
families). Industry participants highlight that the cost of furniture as a percentage of
overall interior cost has reduced to 20% as against 50% 4-5 years back and consumers
prefer branded and superior-quality plyboards.
And there are many competitors in the market who are overlapping the sales of
centuryply

Chairman.
Mr. Sajjan Bhajanka is the Founder of Century Plyboards (India) Ltd. and has been
serving as its chairman since October 31, 2011.He has a business and industrial
experience of more than 25 years in the fields of Plywood, Ferro Silicon and Granite
industry. He serves as the Chairman of Star Ferro and Cement Limited, Century
Plyboards Ltd. and Shyam Century Ferrous Limited.

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Managing Director.
Mr. Sanjay Agarwal is the Promoter and MD of Century Ply Boards (India) Ltd. He is
also the Promoter and Director of Star Cement and a key member of the Executive
Committee of Indian Chamber of Commerce, Member of Confederation of Indian
Industry (East) and Member of Young Presidents Organisation GOLD (Kolkata).

CenturyPly has been the front-runner in applying innovation at work. This simple
philosophy has been the cornerstone of all our processes and technologies. It has led us
to design and deliver contemporary lifestyle statements that have become synonymous
with modern living. Our award winning products have been redefining Indian realty and
bringing about a paradigm shift in the concept of living spaces. Century Plyboards
(India) Ltd. our mother concern, came into existence in 1986 as a result of the
foresightedness of two visionaries, Mr. Sajjan Bhajanka and Mr. Sanjay Agarwal. Since
then, the company has taken giant strides and is today, the largest seller of multi-use
plywood and decorative veneers in the Indian organized plywood market.

MARKETING ANALYSIS

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 PRODUCT RANGE
1-PLYWOOD-When it comes to plywood, CenturyPly is by-far, the undisputed leader
with a plethora of award-winning as well as innovative products designed for, the global
Indian. The signature plywood products are used extensively in commercial and
domestic settings. Century plywood is affordable yet durable and offer unmatched
strength and oodles of style to complement modern, urban living.
2-BLACKBOARD-CenturyPly Club Prime (Boiling Water Proof) blockboards is one of
the few brands by CenturyPly that provides unparalleled quality . CenturyPly
ClubPrime is India’s Most trusted blockboard. This comes with 20 year warranty. It
confirms to IS:1659 .
3-LAMINATES-CenturyLaminates has been the front-runner in applying innovation at
work. This simple philosophy has been the cornerstone of all our processes and
technologies. It has led us to design and deliver contemporary lifestyle statements that
have become synonymous with modern living. By giving more freedom to our users, we
ensure they have more choices available that will help them in achieving what they
desire. CenturyLaminates uses a unique technology in which special resins impart extra
strength to its laminates, making them highly resistant to scratch and abrasion.
CenturyLaminates exotic range of decorative laminates is characterized by higher color
fastness and the best bonding properties with substrates available in the market today.

4-VENEERS-CenturyVeneers is an evergreen collection of Wood. CenturyVeneers has

largest range of exotic species in India, which are handpicked from Europe, South East
Asia, Africa and America’s sustainable forests. The Veneers are inspired by Nature's
palette of stunning designs, textures and patterns. Flip through the collection only to fall
in love with the Nature!

5-DOORS-Life is a journey and every time you take a turn, there’s a Door that initiates
the rite of passage. They open up to dreams, desires and opportunities that lie on the
other side, but more often than not, they stay unnoticed as you keep moving from one
horizon to the next. Century Doors offer a beautiful collection of entrances, which will
help you appreciate the fact that Doors are not mere wooden structures created to
protect, but they open up myriad possibilities that life has in store for us. So don’t

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ignore that stride; make it count as you enter life every time you walk through Century
Doors.

6-CENTURY FACE VENEERS-We produce and sell natural veneer species from
around the Globe , Burma teak veneers, Wood veneers and Commercial face veneers.
Our customer oriented , demand centric approach has helped us become one of the top
producers of face veneer in the world.
We are one of the biggest and only integrated producers of Natural , Burma teak,
Engineered and Commercial grade veneers, producing face veneers in 6 of our 8
production plants situated at various locations in India , Myanmar and Laos.

7-NEW AGE PRODUCT:

STARKE-Century PVC Starke Boards are new range of versatile building materials that
have wide variety of uses. Available in 2 variants:

1 Century PVC - Starke Prime

2. Century PVC - Starke Select
ZYKRON-Zykron contains Fibre Cement composite material that is made by
combining cement and cellulose fibres. This composite gives Zykron a unique finish,
which makes it the ideal choice for a wide range of applications. With its high strength
and unparalleled durability, Zykron is the perfect choice for all your indoor and outdoor
construction needs. Our current offerings are:

Zykron Boards : Zykron Fibre Cement Boards are far superior to conventional building
materials. These boards are easy to install, have a great finish and can be used in a wide
variety of applications.

Zykron Siding : Sidings lend a wonderful finish to a building’s exteriors and Zykron
Siding is highly durable as it is made from Fibre Cement Composite.

8-CENTURY MDF: The world has moved to environment-friendly wood solution like
MDF and particle board manufactured with advanced technology.

PRICING DETAILS FOR KEY PRODUCT AND SERVICES

1-Centuryply Plywood, Size: 87 X 87 Cm, for Furniture:

Rs 121/ Square
Thickness: 4 mm, 6 mm, 9 mm, 12 mm, 16 mm, 19 mm, 25 mm
ApplicationUsage: Furniture

2-Teakwood Carved Double Hinged Door, Size: 24 to 39 inch Width And 6 to 7

feet Length:
Rs-11000 per piece
Features: Best quality door

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3-Autumn Rock Slate Tiles, Size (Sq. Feet): 600mmX1200mm:
Rs. 180/ Square Feet
Size/Dimension: 600mmX1200mm
4-Decorative Laminates:
Rs-600/piece
Size- 8’ X 4’ feet

Distribution channel
The plywood industry’s distribution channel is similar to that of cement industry wherein
primary distribution channel partners are dealers (retail channels contribute 70% of sales). The
plywood dealer maintains inventory, given the commoditised nature of the product and ~70%
of the demand is from non institutional segment while remaining 30% is from institutional
segment. A majority 85% is new demand, while, 15% is replacement demand.  High entry
barrier for raw material security: For manufacturing of plywood, three critical raw materials
are needed: (1) Face Veneers: The outermost layer of the plywood which forms ~31% of raw
material cost and is predominantly sourced from Myanmar. Presently, Myanmar government’s
ban on timber export has put Indian unorganised plywood players at a huge disadvantage as
they were heavily dependent on Myanmar for face veneers (for organised players veneer
prices surged by ~25-30%, putting strain on their working capital). Consequently, Century
Plyboards and Greenply Industries have put up veneer plants in Myanmar, giving them access
to high quality face timber.

(2) core/panel veneers: low- quality timber below face timber, abundantly available in India
and forms ~54% of overall raw material costs (3) adhesives/chemicals: forms ~15% of the
overall raw material cost. Source: Company, SKP Research Exhibit

SWOT ANALYSIS OF CENTURYPLY

STRENGTH:
When it comes to plywood, CenturyPly is by-far, the undisputed leader with a plethora
of award-winning as well as innovative products designed for, the global Indian. The
signature plywood products are used extensively in commercial and domestic settings.
Century plywood is affordable yet durable and offer unmatched strength and oodles of
style to complement modern, urban living.
Timber products (another segment of home building materials which is witnessing
rising demand) has a large addressable market, and consumer preference in this segment
is shifting to branded products. Century Plyboards, with its enhanced capacities and
strong pan-India brand/distribution network is set to be a leading franchise for years to
come. Improved management bandwidth and security around critical raw materials will
render long-term stability to the business. We expect the company to deliver 52% EPS
CAGR over FY14-16 backed by volume traction and margin expansion. We initiate
coverage with a BUY; it is trading at 12.0x FY16 EPS and our TP of `133 implies 16.5x
FY16 EPS. Competitive
WEAKNESS
Century Plywood Ltd. is banking on increased prices and exports to offset the impact of
costlier raw material imports and its exposure to dollar denominated debt as the Indian
rupee continues to tumble to new lows.Imported raw material costs, mainly of logs, for
the company is about 15 percent of its total turnover, according to Sanjay Agarwal, MD
and CEO of Century Plywood. “So with a 10 percent

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22
In a business marked by brand clutter, veterans felt that any company would require
spending at least 10% of its revenues on advertising to even stay in business. Century
Ply invested only 4.16% of its revenues towards successful brand building in 2014-15.
OPPORTUNITY
Century Plyboards (India) Limited (NSE:CENTURYPLY) is a small-cap stock with a
market capitalization of ₹39.6b. While investors primarily focus on the growth potential
and competitive landscape of the small-cap companies, they end up ignoring a key
aspect,
Expected 25-30% growth in the organised plywood sector. Growing governmental
thrust on the real estate sector and the infrastructure sectors. Increasing per capita
income and declining home renovation cycle times. Increasing urbanisation and
governmental focus on creating smart cities – driving real estate sector growth.
Affordable housing loans on the back of recent policy measures. Implementation of
GST can help correct the skew between the organised and unorganised players.
THREATS
The Indian plyboards industry has more than doubled in size over the last six years (to
`150bn in FY14 as against `70bn in FY08), as furniture penetration in India has
increased. As mentioned earlier, the key drivers supporting the stellar growth were: (1)
rising residential units (especially in tier-II/III and rural markets), alongside increase in
commercial construction, residential and hospitality construction, (2) urbanisation and
increase in mid-income families, (3) increase in nuclear families (less than four-member
families). Industry participants highlight that the cost of furniture as a percentage of
overall interior cost has reduced to 20% as against 50% 4-5 years back and consumers
prefer branded and superior-quality plyboards.
And there are many competitors in the market who are overlapping the sales of
centuryply

Whats unique about their products

When it comes to plywood, CenturyPly is by-far, the undisputed leader with a plethora
of award-winning as well as innovative products designed for, the global Indian. The
signature plywood products are used extensively in commercial and domestic settings.
Century plywood is affordable yet durable and offer unmatched strength and oodles of
style to complement modern, urban living.
Timber products (another segment of home building materials which is witnessing
rising demand) has a large addressable market, and consumer preference in this segment
is shifting to branded products. Century Plyboards, with its enhanced capacities and
strong pan-India brand/distribution network is set to be a leading franchise for years to
come. Improved management bandwidth and security around critical raw materials will
render long-term stability to the business.

FINANCIAL ANALYSIS

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23
LIQUIDITY AND SOLVENCY
Century Plyboards (India) Limited (NSE:CENTURYPLY) is a small-cap stock with a
market capitalization of ₹39.6b. While investors primarily focus on the growth potential
and competitive landscape of the small-cap companies, they end up ignoring a key
aspect, which could be the biggest threat to its existence: its financial health. Why is it
important? Assessing first and foremost the financial health is essential, since poor
capital management may bring about bankruptcies, which occur at a higher rate for
small-caps. Here are a few basic checks that are good enough to have a broad overview
of the company’s financial strength. Nevertheless, given that I have not delve into the
company-specifics, I suggest you dig deeper yourself into CENTURYPLY here.

How does CENTURYPLY’s operating cash flow stack up against its debt?

Over the past year, CENTURYPLY has reduced its debt from ₹6.1b to ₹5.8b – this
includes both the current and long-term debt. With this debt repayment,
CENTURYPLY’s cash and short-term investments stands at ₹203m for investing into
the business. Additionally, CENTURYPLY has produced ₹3.0b in operating cash flow
in the last twelve months, resulting in an operating cash to total debt ratio of 53%,
signalling that CENTURYPLY’s current level of operating cash is high enough to cover
debt. This ratio can also be a sign of operational efficiency as an alternative to return on
assets. In CENTURYPLY’s case, it is able to generate 0.53x cash from its debt capital.
CENTURYPLY’s high cash coverage means that, although its debt levels are high, the
company is able to utilise its borrowings efficiently in order to generate cash flow.
Since there is also no concerns around CENTURYPLY’s liquidity needs, this may be its
optimal capital structure for the time being. This is only a rough assessment of financial
health, and I’m sure CENTURYPLY has company-specific issues impacting its capital
structure decisions. You should continue to research Century Plyboards (India) to get a
better picture of the small-cap

MAR'18 MAR'17 Change %

Parameter (₹ Cr.) (₹ Cr.)

Net Profit Before Taxes 199.01 233.69 -14.84%

Adjustments for Expenses & Provisions 113.36 63.29 79.12%

Adjustments for Liabilities & Assets 25.44 -28.35 189.73%

Cash Flow from operating activities 283.40 222.97 27.10%

- -
Cash Flow from investing activities 38.47%
197.39 320.78

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 - -
Cash Flow from financing activities 132.62
123.34 193.01%

Effect of exchange fluctuation on translation

0.00 0.00 0.00%
reserve

Net increase/(decrease) in cash and cash -

-37.33 34.80
equivalents 207.27%

Opening Cash & Cash Equivalents 53.84 19.04 182.77%

Cash & Cash Equivalent on Amalgamation / Take

0.00 0.00 0.00%
over / Merger

Cash & Cash Equivalent of Subsidiaries under

0.00 0.00 0.00%
liquidations

Translation adjustment on reserves / op cash

0.00 0.00 0.00%
balalces frgn subsidiaries

Effect of Foreign Exchange Fluctuations 0.00 0.00 0.00%

Closing Cash & Cash Equivalent 16.51 53.84 -69.33%

Cashflow statement of Centuryply For the year 2018 and 2017

Valuation
Market Capitalization 35.981B
Enterprise Value (MRQ) 39.565B
Enterprise Value/EBITDA (TTM) 16.6479
Total Shares Outstanding (MRQ) 222.173M
Number of Employees —
Number of Shareholders 53.831K
Price to Earnings Ratio (TTM) 24.2378
Price to Revenue Ratio (TTM) 1.5870
Price to Book (FY) 3.6907
Price to Sales (FY) 1.5870
Balance Sheet
Quick Ratio (MRQ) 0.6351
Current Ratio (MRQ) 1.3226
Debt to Equity Ratio (MRQ) 0.3874
Net Debt (MRQ) 3.865B
Total Debt (MRQ) 4.112B
Total Assets (MRQ) 18.199B
Operating Metrics
Return on Assets (TTM) —
Return on Equity (TTM) —

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Return on Invested Capital (TTM) —
Revenue per Employee (TTM) —
Price History
Average Volume (10 day) 223.94K
1-Year Beta 1.9119
52 Week High 222.4000
52 Week Low 112
Dividends
Dividends Paid (FY) -267.789M
Dividends Yield (FY) 0.6059
Dividends per Share (FY) 1
Dividends Expected (Annual) —
Margins
Net Margin (TTM) 0.0574
Gross Margin (TTM) 0.3893
Operating Margin (TTM) 9.2900
Pretax Margin (TTM) 0.0727
Income Statement
Basic EPS (FY) 6.6817
Basic EPS (TTM) 4.2600
EPS Diluted (FY) 6.6817
Net Income (FY) 1.485B
EBITDA (TTM) 2.038B
Gross Profit (MRQ) 1.925B
Gross Profit (FY) 5.645B
Last Year Revenue (FY) 22.672B
Total Revenue (FY) 22.672B
Free Cash Flow (TTM) —

Dividend
Your Directors are pleased to recommend a final dividend of Rs. 1.25 per equity share
of face value H 1 each (exclusive of applicable dividend distribution tax). The dividend
payout is subject to approval of members at the ensuing Annual General Meeting.
During the FY 2014–15, the Company also declared and paid an interim dividend of Rs.
0.75 per equity share. Thus, the aggregate dividend declared for the FY 2014 –15 is H 2
per equity share as against Rs. 1 per equity share of face value Rs. 1 each declared in the
previous year.
Transfer to Reserves
The Company proposes to transfer an amount of Rs. 1.51 crores to the General
Reserves.
Share Capital
The paid up Equity Share Capital as on 31st March, 2015 was Rs. 2,225.27 lacs. There
has not been any change in the Equity Share Capital of the Company during the
Financial Year ended 31st March, 2015. During the year under review, the Company

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has neither issued shares with differential voting rights nor issued sweat equity or
granted stock options.
State of Company affairs
The year under review started with an economic environment which is far more positive
than has been in the recent past. When other major economies of the world are facing
serious challenges, India is about to takeoff on a faster growth trajectory once again.
The International Monetary Fund (IMF) has downgraded its earlier forecast of global
economic growth by 0.3% and that of world trade growth from 5.3% to 4%. Forecasts
for India, however, have either been upgraded or have remained the same. With a new
stable Government at Centre, the credibility of Indian economy has been re–established
and the investor community world–over now considers India as one of the most
preferred investment destinations. With a reduction in crude prices, the inflation  rate is
under control and the current account deficit is expected to remain tilted towards the
lower side. The GDP growth is expected to accelerate to 7.4%, making India the fastest
growing large economy in the world. The substantial increase in foreign inflow has
increased foreign exchange reserve to a record high, resulting in a stronger and more
stable rupee against all major currencies.
While the Government policies are aimed towards long–term sustainable development,
the real estate scenario in the country has continued to remain subdued during the year
under review. Building material demand continued its wait to see any spark despite the
hope of rising investments and positivity related to interest rate cuts. Retailers continued
to fear uncertainty as they were unable to foresee any near–term reason or factor for
upward movement in demand. The hope of good time was there but a prolonged wait
for market turnaround has taken its toll on the demand for building material–related
products. Overall, despite being a year of optimism, the real demand scenario remained
subdued. The most of building material related companies could not achieve their
targeted growth.
During FY 2015, despite the challenging business environment, the Company reported a
top–line growth of 22% over the previous year. At a Standalone level, the Gross Income
stood at Rs. 1709.54 crore as compared to Rs. 1400.06 crore in the previous year. Profit
before tax increased from Rs. 69.30 crore to Rs.179.80 crore reflecting a growth of
159%. Net Profit after tax was Rs.150.82 crore compared to Rs. 66.94 crore in the
previous year, reflecting a phenomenal growth of 125%.
The Consolidated Gross Income for FY 2015 was placed at Rs. 1732.81 crore against
Rs. 1457.96 crore during the previous year, registering a growth of over 19%. The Net
Profit after minority interest and share of profit of associates was Rs. 148.97 crore
against Rs. 60.26 crore in the previous year, reflecting a growth of 147%.
The operations and financial results of the Company are elaborated in the annexed
Management Discussion and Analysis.
Future Outlook
During the last year, a stable Government at the Centre was established which is
expected to drive development in the coming years. The Government has planned and is
taking several significant steps to energise the economy. The credibility of the Indian
economy has been re–established and the world is predicting that it is India's chance to
fly. The Government has planned game–changing reforms in indirect tax through the
introduction of GST, which is likely to be introduced with effect from 1st April, 2016.
Introduction of GST was a much awaited reform and is expected to provide numerous
benefits to both business and consumers. With the introduction of GST, supply chain
inefficiencies will be reduced, Inter–state trade will become easy and the market will be
integrated at the national level. With all long–term sustainable economic measures
being undertaken by the Government, economic growth is likely to accelerate in the

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next fiscal. The pick–up will be aided by implementation of stalled projects, getting rid
of the bottlenecks in various sectors and an industry recovery because of higher external
demand. The GDP forecast for the next fiscal is driven by a partial unclogging of
domestic policy logjam as well as improved global growth prospects. Stakeholders are
markedly bullish about the future and expect the business environment to be upbeat in
the current financial year in view of the imminent change in regime and introduction of
economic enablers to stimulate growth.
The Indian real estate sector plays a significant role in the country's economy. The real
estate sector is second only to agriculture in terms of employment generation and
contributes considerably towards GDP. It is poised to grow manifold over the next
decade in view of the prevailing massive shortage of dwelling units. The sentiment of
home buyers and investors is seeing an improvement, displaying a strong positive
outlook for the real estate sector. The Indian market is now headed for price correction,
which will increase consumer affordability and leading to overall sectoral growth. A fall
in the interest rates will also lead to a revival of the real estate sector.
Since plywood and laminate are essential part of interior furnishing, the demand for
these products is directly related to the growth of infrastructure and real estate sector.
With continued government focus on infrastructure and real estate sector, demand for
the Company's products is expected to remain buoyant. With the strong 'Centuryply'
brand under its fold, the Company is expected to perform better in the current fiscal.
Future plans of expansion
Considering the buoyant demand for products and marketing strength of 'Centuryply'
brand as well as the positive impact of GST, the Company is preparing itself for future
growth. The Company is investing heavily on raw material security, distribution
network, positioning of brand and its human capital. The Company is studying various
locations overseas in Laos, Africa, Malaysia, Vietnam, etc. where the required raw
material is available. The Company plans to set up timber processing units in these
locations to ensure economic and uninterrupted raw material supply for upcoming
growth. The Company has already entered economy–segment products through its
secondary brand 'Sainik' enabling it to penetrate smaller cities and rural markets. The
Company, at its Board Meeting held on 21st January, 2015, approved a proposal for
setting up a Particle Board unit at Chennai with an approximate CAPEX of Rs. 60 crore.
The Company is also keeping a close watch on developments related to substitute
products, like medium–density fibre board, and will take a decision at the appropriate
time.
Change in nature of business, if any
There has been no change in the nature of business of the Company.
Material changes and commitments affecting the financial position of the
Company
No material change and commitment affecting the financial position of the Company
have occurred between the end of the financial year to which the financial statements
relate and the date of the report.
SUBSIDIARIES/ ASSOCIATES
Changes in subsidiaries  Auro Sundram Ply & Door Pvt. Ltd. (ASPDPL), Century MDF
Ltd. (CML) and Centuryply Myanmar Pvt. Ltd. (CMPL) continue to remain subsidiaries
of the Company. Ara Suppliers Pvt. Ltd., Arham Sales Pvt. Ltd., Adonis Vyaper Pvt.
Ltd. and Apnapan Viniyog Pvt. Ltd. became subsidiaries of the Company with effect
from 28th July, 2014 as a result of further investments by the Company. The Company
incorporated a Wholly–owned Subsidiary Company in the name of Century Ply
(Singapore) Pte. Ltd. (CPSPL) in Singapore on 2nd December, 2014.

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During the year, the Company disinvested its entire shareholding in Aegis Business Ltd.
(ABL). Both ABL and its subsidiary Aegis Overseas Limited ceased to be subsidiaries
of the Company with effect from 23rd August, 2014. Consequently, Aegis Siam Ltd.
and Aegis Siam Resources Company Ltd. also ceased to be the Company's associates.
Operations
CMPL has set up a veneer and plywood unit near Yangon city in Myanmar, which
became operational in 2013–14.
ASPDPL is operating a plywood unit at Raipur Industrial Area, Uttarakhand. This unit
is manufacturing plywood and allied products from eco–friendly agro–forestry timber.
Century Infotech Ltd. continued to remain our Associate Company. Century Infotech
Ltd. is engaged in business of e–commerce, e–shopping, online information services,
online application integration including buying, selling, marketing, trading and dealing
in various kinds of products and services on internet.
CPSPL has been incorporated with the object of trading in timber, manufacturing and
trading in plywood and other wood products and also leasing of machineries and
equipment and providing related services.
Material Subsidiaries
A Policy has been formulated for determining the Material Subsidiaries of the Company
pursuant to Clause 49 of the Listing Agreement with the Stock Exchanges. The said
Policy has been posted on the Company's website at http://www.centuryply.com/about–
us/#slide4
Financial position and performance
A statement containing the salient features of financial statements of each Subsidiary
and Associate of the Company in Form AOC–1 is appended as Annexure 1 to this
Report.
ACCOUNTS
Consolidated financial statements
In accordance with Section 129(3) of the Companies Act, 2013, the Company has
prepared a consolidated financial statement of the Company and all its subsidiary
companies, as a part of the Annual Report.
In accordance with the third proviso of Section 136(1) of the Companies Act, 2013, the
Annual Report of the Company, containing the standalone and the consolidated
financial statements, has been placed on the website of the Company at
www.centuryply.com Further, as per the fourth proviso of the said section, audited
annual accounts of the subsidiary companies have also been placed on the website of the
Company. Shareholders interested in obtaining a copy of the audited annual accounts of
the subsidiary companies may write to the Company Secretary at the Company's
registered office.
The audited financial statements and the audit reports of the subsidiaries are available
for inspection at the registered office of the Company and that of the subsidiaries during
office hours between 11.00 A.M. and 1.00 P.M.
Particulars of loans, guarantees and investments
The Company has not given loans, guarantees or made investments exceeding sixty per
cent of its paid–up share capital, free reserves and securities premium account or one
hundred per cent of its free reserves and securities premium account, whichever is more,
as prescribed in Section 186 of the Companies Act, 2013.
Details of Loans, Guarantees and Investments covered under the provisions of Section
186 of the Companies Act, 2013 are given in Annexure 2 hereto and forms part of this
Report.
Particulars of contracts or arrangements with related parties

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Particulars of every contract or arrangements entered into by the Company with Related
Parties referred to in Section 188 (1) of the Companies Act, 2013 in Form
AOC–2 prescribed under the Companies (Accounts) Rules, 2014 is appended as
Annexure 3 hereto and forms part of this Report.
There are no materially significant related party transactions made by the Company
with Promoters, Directors, Key Managerial Personnel or other designated persons
which may have a potential conflict with the interest of the Company at large.
All Related Party Transactions are placed before the Audit Committee for approval. The
Audit Committee reviews all related party transactions quarterly. A statement giving
details of all related party transactions is placed before the Audit Committee and the
Board of Directors for their approval on a quarterly basis.
A policy on 'Materiality of and dealing with Related Party Transactions' has been
devised by the Board of Directors at its meeting held on 30th October, 2014 for
determining the materiality of transactions with related parties and dealings with them.
The said policy may be referred to at the Company's website:
http://www.centuryply.com/about–us/#slide4
Public deposits
The Company has not invited or accepted deposits from the public covered under
Section 73 of the Companies Act, 2013 read with the Companies (Acceptance of
Deposits) Rules, 2014.
Managerial Remuneration
The information required pursuant to Section 197 (12) read with Rule 5 of The
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014
with respect to employees of the Company are given in Annexure 5 hereto and forms a
part of this Report.
Your Directors state that neither the Managing Directors nor the Whole–time Directors
of the Company receive any remuneration or commission from any of its Subsidiaries.
Particulars of Employees
The particulars of employees as required by Section 197 of the Companies Act, 2013,
read with Rule 5(2) of the Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014, in respect of the employees employed throughout the financial
year and drawing H 60 lacs or more are given in Annexure 5 hereto and forms part of
this Report.
There was no employee who was employed for part of the financial year, requiring such
disclosure. There was also no employee receiving remuneration during the year in
excess of that drawn by the Managing Director or Whole–time Director and holding by
himself or along with his spouse and dependent children, not less than two percent of
the equity shares of the Company.
CORPORATE GOVERNANCE MEASURES
Directors' Responsibility Statement
Pursuant to the requirement of Section 134(3)(c) and 134(5) of the Companies Act,
2013, the Directors hereby confirm that:
(i) in the preparation of the annual accounts for the year ended 31st March, 2015, the
applicable accounting standards have been followed and there are no material
departures from the same;
(ii) the Directors have selected such accounting policies and applied them consistently
and made judgments and estimates that are reasonable and prudent so as to give a true
and fair view of the state of affairs of the Company as at the end of the financial year
and of the profit of the Company for that period;
(iii) the Directors had taken proper and sufficient care for the maintenance of adequate
accounting records in accordance with the provisions of this Act for safeguarding the

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assets of the Company and for preventing and detecting fraud and other irregularities;
and
(iv) the Directors have prepared the annual accounts of the Company on a 'going
concern' basis.
(v) The Directors had laid down internal financial controls to be followed by the
Company and that such internal financial controls are adequate and were operating
effectively.
(vi) The Directors had devised proper systems to ensure compliance with the provisions
of all applicable laws and that such systems were adequate and operating effectively.
Management Discussion and Analysis
Management Discussion and Analysis for the year under review, as stipulated under
Clause 49 of the Listing Agreement with the Stock Exchanges, is presented in a separate
section forming part of the Annual Report.
Corporate Governance
The Company is committed to maintain the highest standards of Corporate Governance
and adhere to the Corporate Governance requirements set out in Clause 49 of the
Listing Agreement. The Report on Corporate Governance as stipulated under Clause 49
of the Listing Agreement forms a part of the Annual Report.
A certificate from M/s. MKB and Associates, Practising Company Secretaries
confirming compliance with the conditions of Corporate Governance as stipulated under
the aforesaid Clause 49, is attached to the Report on Corporate Governance. This
Certificate will be forwarded to the Stock Exchanges along with the Annual Report of
the Company.
During the period from 6th May, 2014 to 23rd July, 2014, the Company's Board of
Directors did not have the required number of Non–executive and Independent
Directors consequent upon resignation of one of the Independent Directors. The
Company had appointed Smt. Mamta Binani as an Independent Director on the Board
of the Company with effect from 24th July, 2014 within the permissible time limit and
with this appointment, requirements of Clause 49 of the Listing Agreement stood
complied with.
CEO and CFO Certification
As required by Clause 49 of the Listing Agreement, the CEO and CFO certification has
been submitted to the Board and a copy thereof is contained elsewhere in this Annual
Report.
Internal Financial Controls
The Company has in place Internal Financial Controls commensurate with the nature of
its business and the size and complexity of its operations. The Company's system of
Internal Financial Control has been designed to provide a reasonable assurance with
regard to maintaining of proper accounting controls, protecting assets from unauthorised
use or losses, prevention and detection of frauds and errors and for ensuring reliability
of financial reporting.
The Audit Committee of the Board of Directors actively reviews the adequacy and
effectiveness of the internal control systems and suggests improvements to strengthen
them. The Company has a robust Management Information System, which is an integral
part of the control mechanism. Based on the report of internal audit function, process
owners undertake corrective action in their respective areas and thereby strengthen the
controls. All these steps facilitate timely detection of any irregularities and early
remedial measures. During the year, no reportable material weaknesses in the Internal
Financial Controls were observed.
Performance Evaluation

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The Nomination and Remuneration Committee at its meeting established the criteria of
evaluation of the performance of the Directors, including Independent Directors, based
on which the Board evaluated the performance of the Directors. A structured
questionnaire for evaluation was prepared after taking into consideration inputs received
from the Directors, covering various aspects of the Board's functioning such as
adequacy of the composition of the Board and its Committees, Board culture, execution
and performance of specific duties, obligations and governance.
A separate exercise was carried out by the Nomination and Remuneration Committee to
evaluate the performance of individual Directors including the Chairman of the Board,
on parameters such as level of engagement and contribution, independence of
judgement, safeguarding the interest of the Company and its minority shareholders etc.
The performance evaluation of the Chairman and the Non Independent Directors and
Board as a whole was also carried out by the Independent Directors.
Pursuant to the provisions of the Companies Act, 2013 and Clause 49 of the Listing
Agreement, the Board, after taking into consideration the evaluation exercise carried out
by the Nomination and Remuneration Committee and by the
Independent Directors at their separate meeting, has carried out an annual performance
evaluation of its own performance and that of its Committees and individual Directors.
The Directors expressed their satisfaction over the evaluation process and results
thereof.
COMMITTEES OF BOARD
Audit Committee
The composition and terms of reference of the Audit Committee have been furnished in
the Corporate Governance Report forming a part of this Annual Report. There has been
no instance where the Board has not accepted the recommendations of the Audit
Committee.
Nomination and Remuneration Committee
The composition and terms of reference of the Nomination and Remuneration
Committee have been furnished in the Corporate Governance Report forming a part of
this Annual Report.
Share Transfer cum Stakeholders Relationship Committee
The composition and terms of reference of the Share transfer cum Stakeholders
Relationship Committee have been furnished in the Corporate Governance Report
forming a part of this Annual Report.
Corporate Social Responsibility Committee
The composition and other details of Corporate Social Responsibility Committee are
provided elsewhere in this Report.
POLICIES AND CODES
Remuneration Policy
The Policy of the Company on appointment and remuneration of Directors, Key
Managerial Personnel and Senior Management Personnel including criteria for
determining qualifications, positive attributes, independence of a Director and other
matters provided in Section 178(3) of Companies Act, 2013, is appended as Annexure 6
to this Report.
Board Diversity Policy
The Company recognises and embraces the importance of a diverse Board and believes
that an enlightened Board consciously creates a culture of leadership to provide a long–
term vision and to improve the quality of governance. A diverse Board leverages
differences in thought, perspective, knowledge, skill, regional and industry experience,
cultural and geographical background, all of which helps us retain our competitive
advantage. The Board has adopted the Board Diversity Policy which sets out the

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approach to diversity of the Board of Directors. The Board Diversity Policy is available
on our website at http://www.centuryply.com/about–us/#slide4
Whistle Blower Policy/ Vigil Mechanism
The Company has formed a Whistle Blower Policy/ Vigil Mechanism as required under
Section 177 of the Companies Act, 2013 and Clause 49 of the Listing Agreement. A
Vigil (Whistle Blower) Mechanism provides a channel to the employees and Directors
to report to the management concerns about unethical behaviour, actual or suspected
fraud or violation of the Codes of conduct or policy. The mechanism provides for
adequate safeguards against victimisation of employees and Directors to avail of the
mechanism and also provide for direct access to the Chairman/ CEO/ Chairman of the
Audit Committee in exceptional cases. The said policy may be referred to, at the
Company's website at: http://www.centuryply.com/about–us/#slide4
Risk Management Policy
The Company has a defined Risk Management framework to identify, assess, monitor
and mitigate various risks to key business objectives. The Board is kept informed about
the risk assessment and minimisation procedures. Major risks identified by the
businesses and functions are systematically addressed through mitigating actions on a
continuing basis. The policy is periodically reviewed by the Audit Committee to ensure
that the executive management controls the risk as per decided policy. The risk
management issues are discussed in Management Discussion and Analysis.
CORPORATE SOCIAL RESPONSIBILITY
The Company has constituted a Corporate Social Responsibility (CSR) Committee in
accordance with Section 135 of the Companies Act, 2013. The CSR Committee was
constituted by the Board of Directors of the Company at its meeting held on 20th
January, 2014 comprising Sri Sajjan Bhajanka as the Chairman and Sri Hari Prasad
Agarwal and Sri Mangi Lal Jain as other members.
The said Committee has also formulated a Policy on Corporate Social Responsibility
(CSR Policy) indicating the activities to be undertaken by the Company, monitoring the
implementation of the framework of the CSR Policy and the amount to be spent on CSR
activities. The CSR Policy of the Company is available on the Company's website:
http://www.centuryply.com/about–us/#slide4 The CSR Committee has confirmed that
the implementation and monitoring of CSR Policy is in compliance with CSR
objectives and Policy of the Company.
The Annual Report on CSR as required under the Companies (Corporate Social
Responsibility) Rules, 2014 has been appended as Annexure 7 to this Report

FINDINGS

The history of plywood industry in India is old. It is more than 75 years that this
industry was started here on a very modest scale.
The company maintaining 0% wastage. The wastes are recycled or refused. Promotional
expense is very less. The company does not focus on mass advertisement. GIL focuses
mainly on quality of its products. GIL markets their products through dealers and
distributors . They use sales representative also. The finance department has direct

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interaction with all other departments since all the payments and collections are made
through here.

Greenply Industries Limited, the largest , as a bright future in this field. During the
running period since 1985, the co. achieved various milestones.

The high-end production technology of GIL is well acknowledged among the wood
processing industries in the World. The GIL achieved 100% utilization of raw materials
due to its integrated production system. Therefore, it would be apt to call GIL, „a
company with a conscience ‟. GIL stands for superior product performance and
provides value for money to its customers.

And if we talk about centuryply

Century Plyboards (India) Ltd. is an Indian manufacturer, seller and exporter of
plywoods and veneers. It holds the position of being the first ISO 9002 company for
veneer and plywood India and also the largest seller of multi-use plywood and
decorative veneers. The company offers plywood products under the brand name,
Century Ply, and exports its range of products to over 20 countries.[5] Spread into a 6.6
acre area, its ISO 9002 plant is located at Bishnupur, near Joka, Kolkata.
It has also started the commercial production of MDF (Medium Density Fibre) at its
newly set-up unit at Punjab. Century Ply (Singapore) Pte. Ltd., a subsidiary of Century
Plyboards, has also acquired 49% stake in Huesoulin Wood Processing Factory Co.
Ltd., making it as its associate company.

RECOMMENDATIONS

It is desirable to launch an advertising campaign to attract more customers.

They have to give more advertisement in electronic medias and printed media in order
to attract more customers and to withstand with the competition.

It is advisable to maintain and efficient market intelligence system and advice mgt of
the changing needs of the market

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The company may introduce more measures such as fencing of machineries, which will
protect the workers from accidents.

And in terms of Centuryply

Century Plyboards (India) Limited (NSE:CENTURYPLY) is a small-cap stock with a
market capitalization of ₹39.6b.
While investors primarily focus on the growth potential and competitive landscape of
the small-cap companies, they end up ignoring a key aspect,
Expected 25-30% growth in the organised plywood sector.
Growing governmental thrust on the real estate sector and the infrastructure sectors.
Increasing per capita income and declining home renovation cycle times.
Increasing urbanisation and governmental focus on creating smart cities – driving real
estate sector growth. Affordable housing loans on the back of recent policy measures.

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