Bombay Super Hybrid Seeds Jan-24

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Questions and Answers

What was the initial focus of Mr. Jadavjibhai D. Kakadia's agricultural seed business starting in 1983?

  • Bulk production of quality seeds, primarily groundnut, lucerne, and coriander. (correct)
  • Hybrid cotton seed production for the textile industry.
  • Exporting agricultural seeds to international markets.
  • Development of genetically modified vegetable seeds for increased yields.

Why did Arvindkumar J. Kakadia choose to focus on edible oilseed crops like groundnut and sesame instead of cotton and vegetables?

  • Cotton and vegetable crops were prohibited in Gujarat due to environmental regulations.
  • Government subsidies were exclusively available for oilseed crops.
  • He anticipated a higher profit margin in the oilseed market due to lower competition.
  • He observed a lack of improved and packaged seeds in the edible oilseed segment, despite his familiarity with these crops growing up. (correct)

What was the initial structure of Bombay Super Hybrid Seeds before it became a public limited company?

  • A sole proprietorship under Mr. Jadavjibhai D. Kakadia.
  • A cooperative society involving local farmers.
  • A private limited company from its inception.
  • A partnership firm established in 2000. (correct)

When did Bombay Super Hybrid Seeds Limited (BSHSL) become a public limited company?

<p>September 14, 2017. (A)</p> Signup and view all the answers

What was the primary reason Mr. Arvindkumar J. Kakadia decided to take over his father's agriculture business?

<p>To increase productivity of farming by contributing to the agriculture business. (B)</p> Signup and view all the answers

Before focusing on edible oilseeds, what initial agricultural products were handled by the Kakadia family's business?

<p>Groundnut, lucerne, and coriander. (B)</p> Signup and view all the answers

What strategic decision of Bombay Super Hybrid Seeds helped them establish their brand within Gujarat and other agricultural states?

<p>Establishing its own brand <code>BOMBAY SUPER</code> and a dedicated marketing network. (B)</p> Signup and view all the answers

Which regulatory body issued the certificate of incorporation allowing 'Bombay Super Hybrid Seeds Private Limited' to operate under the Companies Act, 2013?

<p>The Registrar of Companies, Ahmedabad. (C)</p> Signup and view all the answers

Which analysis is conducted by the R&D team in the lab?

<p>Analyzing the DNA of seeds. (D)</p> Signup and view all the answers

At which stage is seed germination checked for accuracy according to the company's protocol?

<p>At the time of harvest, after processing, and at the time of packing. (D)</p> Signup and view all the answers

What benefit does the company receive from the Department of Scientific and Industrial Research (DSIR) recognition?

<p>Exemption from certain duties on equipment and materials used for R&amp;D. (B)</p> Signup and view all the answers

With which international organization does the company have a consortia membership for research?

<p>International Crop Research Institute for Semi-Arid Tropics (ICRISAT). (D)</p> Signup and view all the answers

What is the primary advantage of the company's tie-up with JNKVV Jawaharlal Nehru Krishi Vishwa Vidhyalay?

<p>Collaborative business planning and development initiatives. (D)</p> Signup and view all the answers

In which international events related to the seed industry has the company participated?

<p>Asia Pacific Seed Association (APSA) conferences and World Seed Congress. (C)</p> Signup and view all the answers

Other than research and development, in which area does the company have a tie-up with the Indian Agriculture Research Institute (IARI)?

<p>Business Planning and development. (C)</p> Signup and view all the answers

Where does the company source notified germplasm?

<p>From the Indian Horticulture Research Institute (IIHR) Bangalore. (D)</p> Signup and view all the answers

Which institution has the company partnered with to enhance wheat varieties?

<p>Harvest Plus ICRISAT (B)</p> Signup and view all the answers

What benefit is the company aiming for by developing short and medium duration cultivation of groundnut with ICRISAT?

<p>High yield, extra bold seeds, and high oleic acid content (C)</p> Signup and view all the answers

For what purpose does the company utilize Buhler Company, Switzerland, machines?

<p>Seed differentiation based on size, color sorting, gravity, and M.T.R. (D)</p> Signup and view all the answers

What primary method does the company employ to extend seed viability in its cold storage facilities?

<p>Integration of ancient temperature control methods with modern structures. (C)</p> Signup and view all the answers

In which financial year does the company project a turnover of approximately 4500-4700 Lakh?

<p>2026-27 (B)</p> Signup and view all the answers

What is the company's planned investment for R&D expansion?

<p>Rs. 1 Crore (D)</p> Signup and view all the answers

Which characteristic of hot pepper is the company aiming to improve through collaboration, specifically targeting benefits for individuals with diabetes?

<p>Chewing can inhibit the rate of alpha-glycosidase (A)</p> Signup and view all the answers

Besides high Iron and Zinc content, what additional improvements are being targeted in the development of pearl millet varieties?

<p>White grub resistance and dual purpose (B)</p> Signup and view all the answers

What primary responsibility was the individual entrusted with within the company, leveraging their extensive 24 years of experience?

<p>Handling accounting and finance management, along with human resource coordination. (A)</p> Signup and view all the answers

Between 2005-2009, which key initiatives significantly contributed to the company's market presence?

<p>Introducing the 'BOMBAY SUPER' brand and enhancing nationwide connectivity. (C)</p> Signup and view all the answers

What strategic shift marked the period of 2014-2017 for the company, indicating a new phase of growth?

<p>The commencement of its journey as a Private Limited Company. (B)</p> Signup and view all the answers

What pivotal event occurred in 2018-2019 that significantly enhanced the company's visibility and access to capital markets?

<p>Listing its capital on the NSE Emerge Platform. (C)</p> Signup and view all the answers

Between 2020-2023, what was a significant factor in the company's growth besides increasing the number of products?

<p>Expanding the business and distribution network to 14 major states in India. (D)</p> Signup and view all the answers

As of the period '2023-Present,' which factor most directly reflects the company's advancement in its operational capabilities and market reach?

<p>The successful development of its footprint to a major part of India. (D)</p> Signup and view all the answers

Considering the company's evolution, which aspect represents a long-term investment in innovation and product improvement?

<p>Expansion of the R&amp;D farm. (D)</p> Signup and view all the answers

What initiative reflects the company's commitment to leveraging external expertise for technological advancement?

<p>Technical Collaboration. (A)</p> Signup and view all the answers

What was a significant outcome following the company's Initial Public Offering (IPO)?

<p>The company's IPO was oversubscribed by 9.48 times, indicating strong investor interest. (A)</p> Signup and view all the answers

What is Arvindkumar J. Kakadia's primary role within the company?

<p>Chairman &amp; Managing Director, overseeing business strategies and expansion. (C)</p> Signup and view all the answers

Which area does Arvindkumar J. Kakadia NOT directly oversee?

<p>Overseeing day-to-day human resource management. (D)</p> Signup and view all the answers

What is Kiritkumar J. Kakadia's designation within the company?

<p>Whole Time Director &amp; CFO, involved in financial and strategic decisions. (B)</p> Signup and view all the answers

How might Arvindkumar J. Kakadia's experience specifically benefit the company's strategic planning?

<p>His extensive background equips him to anticipate market trends and navigate the complexities of the agriculture industry. (B)</p> Signup and view all the answers

Based on the provided information, what is a key factor contributing to the company's growth?

<p>The leadership and experience of Arvindkumar J. Kakadia in the seeds and agriculture sector. (C)</p> Signup and view all the answers

What can be inferred about the company's approach to regulatory compliance, based on Arvindkumar J. Kakadia's role?

<p>The company prioritizes regulatory compliance, viewing it as essential for its long-term sustainability. (C)</p> Signup and view all the answers

How does Arvindkumar J. Kakadia's leadership style impact the company according to the text?

<p>His leadership effectively guides and efficiently manages the core team of the company. (A)</p> Signup and view all the answers

Which organization collaborated with Bombay Super in accessing bio-fortified, high-Zinc wheat varieties?

<p>Harvest Plus (D)</p> Signup and view all the answers

Bombay Super collaborated with which institution in the development of high-yielding paddy varieties?

<p>Punjab Agri University (D)</p> Signup and view all the answers

In Q3FY24, what was the percentage increase in Profit Before Tax (PBT) compared to Q2FY24?

<p>360% (C)</p> Signup and view all the answers

Which product contributed the highest percentage to Bombay Super's revenue from operations in FY23?

<p>Groundnut (C)</p> Signup and view all the answers

What was the EBITDA margin for Bombay Super in H1FY24?

<p>10.51% (C)</p> Signup and view all the answers

Which of the following crops experienced the most significant percentage decrease in revenue contribution from FY22 to H1FY24?

<p>Soyabean (C)</p> Signup and view all the answers

What was the total tax expense (in Lakhs) for Bombay Super in FY23?

<p>105.18 (C)</p> Signup and view all the answers

What was the book value of Property, Plant, and Equipment (in Lakhs) for Bombay Super in FY22?

<p>709.89 (C)</p> Signup and view all the answers

Based on the provided data, which year saw the highest Return on Equity (ROE) for Bombay Super?

<p>FY23 (B)</p> Signup and view all the answers

What was the percentage change in Bombay Super's total income from Q3FY23 to Q3FY24?

<p>11% (C)</p> Signup and view all the answers

What was the primary reason for the significant increase in profit for the period from Q2FY24 to Q3FY24?

<p>Changes in inventories (A)</p> Signup and view all the answers

In which year did Bombay Super record the highest revenue from operations?

<p>FY23 (C)</p> Signup and view all the answers

What was the total value of current liabilities (in Lakhs) for Bombay Super in FY22?

<p>5,664.37 (B)</p> Signup and view all the answers

What was the basic and diluted earning per share for FY22?

<p>10.06 (D)</p> Signup and view all the answers

Compared to previous years, what can be said of the other income for the company?

<p>Other income was highest in FY19 (D)</p> Signup and view all the answers

Flashcards

Bombay Super Hybrid Seeds Limited

A public limited company that specializes in agricultural seeds, focusing on edible oilseed segments.

Mr. Jadavjibhai D. Kakadia

Founder of Bombay Super Hybrid Seeds, started in bulk agricultural seed production in 1983.

Edible oilseed segment

Area of focus for BSHSL, includes crops like Groundnut and Sesame.

Partnership Firm

The initial business structure of BSHSL before it converted to a private limited company.

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Incorporation date

July 28, 2014, when BSHSL was formally registered as a private limited company.

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Conversion to public limited

The process BSHSL underwent from private to public limited company in September 2017.

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Arvindkumar J. Kakadiya

Current Managing Director of BSHSL, known for branding the seeds as 'BOMBAY SUPER'.

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Marketing network

The system established by BSHSL to sell its agricultural products across various states.

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Initial Public Offerings (IPO)

A process through which a company offers its shares to the public for the first time.

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NSE EMERGE Platform

A marketplace for Small and Medium Enterprises (SMEs) to raise funds by listing their securities.

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Role of Managing Director

Responsible for overall management, strategy formulation, and business expansion.

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Promoter of the Company

An individual who initiates the business and holds a significant stake.

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Kiritkumar J.Kakadia

Whole-time Director and CFO of the company, involved in financial management.

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Investment Subscription Rate

The level of interest shown by investors during an IPO, expressed as a multiple of shares offered.

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Business Strategy Formulation

The process of creating plans to achieve the company's goals and objectives.

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Company Incorporation

The formal process of registering the company as a legal entity.

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Corporate Journey

The transition of the company from private limited to public limited.

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Product Portfolio Expansion

Growth in the number of products offered from 30 to over 120.

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Distribution Network Expansion

Growth in operational areas from 8 to 14 major states in India.

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R&D Farm Expansion

Development of research and development facilities to improve products.

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Seed Machinery Technology

Utilization of advanced machinery for seed production.

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Customer Satisfaction

Building a strong base of satisfied customers across India.

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Technical Collaboration

Partnerships aimed at enhancing research in agricultural technology.

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ICRISAT

International Crop Research Institute for Semi-Arid Tropics that collaborates on agricultural research.

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R&D Infrastructure

Facilities and resources for research and development activities within the company.

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Seed DNA Analysis

Testing and examination of seed genetic material for quality and traits.

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Germination Checks

Evaluation of seed sprouting success at various stages of processing.

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ISO 9001:2015

International standard for quality management systems recognized by the company.

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DSIR Recognition

Prestige awarded by the Department of Scientific and Industrial Research for R&D excellence.

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Germplasm Sourcing

Collecting genetic material from plants for breeding and research purposes.

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R&D Collaborations

Partnerships with institutions for advancing agricultural research and development.

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CIMMYT partnership

Collaboration with CIMMYT, Mexico, for hybrid maize development.

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High zinc and Fe wheat

Development of wheat varieties with enhanced zinc and iron contents through partnership with Harvest Plus ICRISAT.

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HOT PEPPER breeding

Improving HOT PEPPER varieties to enhance yield and health benefits, particularly for diabetes.

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Groundnut germplasm access

MOU with ICRISAT for global access to groundnut and chickpea germplasm.

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Seed cold storage

Construction of 10,000 Metric Ton cold storage for seed viability without high electricity use.

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Future projects budget

Plan to spend Rs. 1 Crore for research and development in agriculture.

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Improved Pearl Millet

Development of pearl millet varieties high in iron and zinc, resistant to diseases.

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High-Yielding Corn Hybrid

A type of corn developed for increased yield and early maturation.

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Bio Fortified Wheat

Wheat varieties enriched with high zinc levels for better nutrition.

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Adaptability of Korean Cabbage

Assessing Korean cabbage's suitability for Indian climates, rich in B Carotene.

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Exotic Germplasm

Diverse genetics assessed for enhancing vegetables and flowers.

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Kartikey Variety Development

Creation of yellow mosaic resistant variety of crop in Maharashtra.

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Paddy Variety Development

Collaborative creation of different rice varieties like PB-1509 and PB-1847.

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Fennel Development

Research and development of new fennel varieties.

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New Moong Variety

Development of a short-duration moong variety resistant to yellow mosaic.

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Financial Highlights

Important metrics showing the financial performance over time.

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EBITDA Margin

Earnings before interest, tax, depreciation, and amortization expressed as a percentage.

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Profit After Tax (PAT)

Net profit of a company after deducting tax expenses.

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Return on Equity (ROE)

A measure of financial performance calculated by dividing net income by shareholder's equity.

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Earnings Per Share (EPS)

A measure of a company's profitability calculated as net income divided by the number of outstanding shares.

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Revenue Streams

Different sources contributing to total revenue, shown in percentages.

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Total Assets

The sum of all resources owned by a company.

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Study Notes

Investor Presentation - Bombay Super Hybrid Seeds Limited

  • Date: January 29, 2024
  • Recipient: National Stock Exchange of India Ltd.
  • Company: Bombay Super Hybrid Seeds Limited
  • Purpose: Investor presentation for stakeholders.
  • Contact Information: Provided for Bombay Super Hybrid Seeds Limited.
  • Company Details: Plot No. 8-9-10-11, Shreenathji Industrial Estate, Near Kuvadva GIDC, N.H. 27, Kuvadva-360 023, Dist. RAJKOT. (Gujarat) India CIN No. L01132GJ2014PLC080273

Disclaimer

  • Nature: Solely for information. Not an offer, recommendation or invitation to purchase/subscribe to securities
  • No Reliance: No reliance should be placed on the truth, accuracy, completeness, fairness and reasonableness of the contents of the presentation.
  • Materiality: Presentation may not be all inclusive and may contain all of the material information that may be considered.

Managing Director's Message

  • Growth: Third quarter growth, owing to production, distribution, and marketing channel improvements.
  • Competition: Successfully competing with established industry players.
  • ISO Certification: ISO 9001-2015 certified company.
  • R&D Expansion: Increased research and development capacity with additional 10-acre farm land allocation.
  • Company Values: Welfare to farmers and commitment to quality products in the agriculture industry.

Company Overview

  • Establishment: Firm established in 2000. Company converted to a private limited company in 2014, and public limited in 2017.
  • IPO: IPO subscribed 9.48 times.
  • Promoter(s): J. Kakadia - Background in agricultural seed business for many years.
  • Focus: Edible oilseeds, focus on improvement of seed yield and quality.

Key Managerial Personnel

  • Arvindkumar J. Kakadia: Chairman and Managing Director, involved in core leadership to expand business activities.
  • Kiritkumar J. Kakadia: Whole-time Director and CFO with detailed experience in finance and agriculture.

Journey So Far

  • Timeline: Key milestones of the company's growth from 1983 to the present.
  • Milestones: IPO, expanded product portfolio, business expansion, increased distribution network.
  • Growth: Significant geographical expansion to cover more states.
  • Improved Capacity/Technology: Establishment of fully equipped processing unit

R&D Laboratory

  • Team: Highly experienced team in research and analysis.
  • Activities: Quality control, product testing and analysis at various stages

Company Recognition

  • Awards and Recognition: Various awards and recognitions related to ISO 9001 standards, quality and business performance
  • Collaborations: Collaboration with major institutions in agriculture.
  • Other Certifications/Approvals: Possesses valid export license, participated in many relevant exhibitions

Financial Highlights & Projections

  • Revenue Projections: Figures for revenue, profitability (profit before tax, profit after tax, EBITDA & margins).
  • Turnover: Estimated turnover figures.
  • Financial Performance: Breakdown of financial performance by product category including Groundnut, Gram, Wheat, Soyabean and Cumin,
  • Key Performance Indicators (KPIs): Profit overview, Earnings per Share (EPS), return on equity (ROE).

Future Projects

  • Areas of Focus: Emphasis on breeding of various crops for yield, resistance, health benefits, and high-quality characteristics .
  • Research & Development: Further collaboration with global and national organizations with a 1-Crore rupee allocation

Financial Highlights

  • Profitability Metrics: Profitability metrics for the quarter and year, providing a clear overview of the company's financial performance.
  • Revenue from Operations: Details on Year-over-Year Revenue Growth.
  • Statement of Profit & Loss: Detailed Statement of Profit&Loss with quarterly and yearly comparative figures
  • Balance Sheet Snapshot: Details of the company's assets, and liabilities in various time periods (FY).

Summary

  • Overview of Bombay Super Hybrid Seeds Limited: Investor presentation highlighting the company's history, activities, achievements, and growth projections.
  • Financials: Comprehensive financial overview, revenue projections, and relevant data to inform strategic decisions.

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