Manugraph India Ltd - Stock Valuation and Financial Performance

Manugraph India was established in the year 1972 by its founder S M Shah. The company is India’s largest manufacturer of web offset presses.

It is the first Indian company to have achieved a breakthrough in exporting ‘Made in India’ printing machines to advanced countries such as Germany, France, UK & USA as early as in 1994-95.  Over the years, Manugraph has emerged as a thriving, nimble, printing machinery manufacturing enterprise, because of its ability to adapt itself rapidly to meet the challenges of a competitive economy and its commitment to be a supplier of choice by delighting customers with its excellent services and cutting edge technology. Manugraph believes that the key to maintaining a sustained success is choosing the right technologies and applying them to build cost-effective quality machines. Constant modernization and employment of state-of-the-art technology has enabled Manugraph to stay ahead in the industry, always.

Motivating management practices, excellent leadership, highly skilled workforce and a well focused approach has led Manugraph to achieving the goal of being the leader in the niche 4-page Newspaper Offset Printing Press market. Manugraph owes its strong position as a supplier of choice not only to its technical competence, but also to its clear orientation towards the customer wishes. Once functionality and timing are agreed upon, the client could relax, knowing well Manugraph would deliver quality presses exactly as agreed upon, right on time. Manugraph develops strong business partnerships with clients, providing most satisfactory after-sale services on a continuous basis.

In India, Manugraph ranks as Numero Uno in the manufacture of web offset presses. With a whopping 60% market share and quality presses ranging in speeds from 35,000–60,000 copies per hour, Manugraph presses are present in nearly all major publication houses.

Manugraph has significant presence in the international market too. Leading publishers from South America, Europe, Middle East, Asia & the CIS countries have all invested in Manugraph presses.

Product range of the company include:

• News Paper Web-4*1–Smartline- featuring single circumference plate cylinder and double circumference blanket cylinder both in double width, offers high flexibility for page counts, with low production cost. The press can print the same number of pages as a double circumference plate cylinder press, yet with half the number of plates giving the same high production speed.
• News Paper Web - 2x1 – Frontline- it is an economic model that meets the printing requirements of high circulation newspapers efficiently, with a maximum output of 60,000 copies per hour.
• News Paper Web - 2x1 - Hiline Express
• News Paper Web - 2x1 – Hiline- it is an economic model that meets the printing requirements of medium circulation newspapers efficiently, with a maximum output of 45,000 copies per hour.
• News Paper Web - 2x1 - 430 Max
• News Paper Web - 2x1 – Cityline Express- puts its major focus on multicolour printing with a wide range of modules occupying very little floor space
• Folder- F- 1240
• Folder - F – 222
• Folder - F - 233

Subsidiary

In Nov 2006 Manugraph acquired 100% stake in the US-based press manufacturing firm Dauphin Graphic Machines Inc. (DGM). With this acquisition, Manugraph is now No.1 Single width, Single circumference press manufacturing company in the world! The US-based company is now called Manugraph DGM Inc.

Awards/Achievements

• The company has been awarded ISO 9001 certificate.
• Manugraph Hiline received Gold Award from its customer United Printing Press in Jan 2009 at The Third Annual Dubai Print Awards.

Recent developments

Manugraph India on June 2, 2009 has announced with the reference to the earlier announcement dated January 6, 2009 regarding the operations of plants of the company at Kolhapur have been reduced from 6 days a week to 5 days due to sluggish market conditions, that the company does not foresee any improvement in business conditions. Also exports have slowed down significantly. Considering this local and global scenario, the company has been constrained to suspend the production at Unit No.II at Kolhapur and also has reduced its operations at Unit No.1 substantially in consonance with the orders in hand and to reduce the piling of inventory.

Until such time the situation does not improve, the company will take cost cutting measures which are necessary to improve its working and reduce the financial burden.