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WCL, flagship company of Welspun Group, is one of the largest pipe manufacturing company in the world

Incorporated in 1995, the Company offers a range of high grade line pipes ranging from 1 inch to 100 inch used inter alia for transmission of oil & gas
Clients include more than 50 Oil & Gas Giants across the globe like Exxon Mobil (Golden Pass Pipeline), Saudi Aramco, British Gas , Kinder Morgan etc Order book of U.S. $ 1.35 Bn

COMPANY STRUCTURE

INDUSTRY FUNDAMENTALS AND OUTLOOK

REVENUES and MARGINS

WELSPUN: SWOT ANALYSIS


STRENGHTS Good brand name International accreditations from key clients Technical capabilities for serving high end markets Inhouse plate cum coil mills WEAKNESSES Weak presence in markets like Iraq & Australia Dependence on government spending and regulations

OPPORTUNITIES Participating in major market of N A and Middle East as a local player Low pipeline penetration in India Increasing Govt layout for Infrastructure building with focus on O&G and water infrastructure

THREATS Sharp fluctuations in steel prices between the bid & award of the contract Intense completion in Domestic Market Preference for Local supplies in various markets Volatile Forex exchange rates.

PEER COMPARISON
P/E WELSPUN CORP MAN INDUSTRIES PSL Limited SURYA ROSHNI 18.26 5.76 5.7 4.17 EPS Price/Book Value Debt/Equity 137.66 0.74 1.35 18.26 0.3 0.35 10.19 0.33 2.12 12.35 0.47 1.67

YEAR ON YEAR COMPARISON


Year P/E EPS Debt/Equity 2012 18.26 137 1.35 2011 11.8 17.5 0.8 2010 10.5 26.1 1 2009 6.1 12.3 1.2