Sarathi Cable Industries' Business Grows by 41%, Preparing for IPO

Sarathi Cable Industries recorded a business turnover of (54 crore 20 lakh rupees in the fiscal year 2081/82. This represents an increase of 41.15% compared to the fiscal year 2080/81, where the company's business turnover was 38 crore 40 lakh rupees.

During this period, the company's Earnings Before Interest, Taxation, and Amortization (EBITA) margin rose from 2.96% to 16.87%.

This is the highest margin recorded in the past five fiscal years. The EBITA margin is the company's earnings before tax, interest, depreciation, and amortization. Despite the increase in the EBITA margin, the company's profit before tax remains less than 1%.

The company has rated its loans totaling 80 crore rupees, of which 49 crore is long-term debt and 31 crore is short-term debt. Rating agency Infomerics has assigned a 'Double B Minus' (BB-) rating to the long-term debt and an 'A Four' (A4) rating to the short-term debt.

This company is part of the Bhusal Group. The company was previously named Bhusal Cable and Wire Industries Pvt. Ltd. and was converted into a Public Limited Company with a name change last July.

The company is engaged in the production of copper and aluminum wires and cables. Its factory is located in the Rupandehi District. The company's annual production capacity is 2709 metric tons. It has 215 dealers across 5 provinces.

Ankit Bhusal is the principal shareholder of the company, holding a 99.76% stake.