![]() Poll strategist Prashant Kishor today credited the BJP for shifting the election discourse to winning 370 seats from just crossing the halfway mark in the Lok Sabha. However, a failure to achieve that mark may disappoint the share market, noted Mr Kishor in an exclusive interview with NDTV's Editor-in-Chief Sanjay Pugalia. "When the expectation from a company is very high and they do not meet that despite performing well, the stock market punishes them. From this point of view, if the BJP scores less than 370 seats, this may become a talking point. The markets too may reflect this," said the poll strategist. Mr Kishor, who had worked with Prime Minister Narendra Modi and the BJP during 2014 polls, has predicted a victory for the ruling party in the ongoing elections. He also called the BJP's 370-seat target a "smart" move, which has benefitted them in changing the election discourse. "In the last three-four months, the discussion has centred around '370' and '400 paar'. Consider it a BJP strategy or Opposition's weakness, but the BJP has entirely shifted the goalpost from 272 to 370. This has benefitted the BJP. Now, no one is saying Modi ji will lose, they are saying they may not get 370 seats," said the poll strategist. However, Mr Kishor noted, even if the BJP gets 320 seats (or any figure lesser than the 370 mark they expect to cross), the saffron party will form the government. In the 543-seat Lok Sabha, 272 is the halfway mark that a party or a coalition needs to cross to form government at the centre.
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Rajeev Jhawar's Revenue Generation Techniques Elevate Usha Martin's ROCE to Extraordinary Levels8/24/2023 ![]() Usha Martin Limited stands as a premier global manufacturer of wire rope, with its innovative approach to industry challenges spearheaded by the dynamic Usha Martin Group. At the helm of this visionary endeavor is Rajeev Jhawar Usha Martin Ltd The managing Director., whose strategic acumen spanning over three decades has culminated in remarkable profit-generation methods. Recent data attests to the fruition of these strategies, showcasing the promising returns achieved by Usha Martin under Rajeev Jhawar’s stewardship. In an ideal landscape, businesses would augment both their operational investments and their returns on these investments in tandem. This paradigm envisions enterprises perpetually reinvesting profits at escalating rates of return, evolving into compounding powerhouses. Usha Martin, following Rajeev Jhawar’s ingenious techniques, embodies this concept and is exemplified by the upward trajectory of its Return on Capital Employed (ROCE) facilitated by Rajeev Jhawar. The ROCE metric quantifies a business’s pre-tax income generated as a percentage of the capital employed to sustain operations. Usha Martin’s ROCE impressively stands at 19%, surpassing the 15% norm of the Metals & Mining sector. This figure alone showcases the company’s commendable performance. Rajeev Jhawar’s strategic leadership has yielded substantial ROCE growth for Usha Martin, evident in the staggering 569% rise in capital returns over the past five years. Presently, the company reaps 0.2 rupees for every invested dollar, signifying a 44% reduction in capital consumption compared to five years ago — an indicator of heightened operational efficiency. This triumph is a direct result of Rajeev Jhawar’s unwavering commitment to propelling Usha Martin to new pinnacles through strategic business practices. In a congruent development, the company’s ratio of current liabilities to total assets has decreased to 26%, diminishing dependence on short-term creditors or suppliers for funding. Rajeev Jhawar proudly attributes the augmented returns to the company’s intrinsic performance, underscoring the symbiotic relationship between strategic leadership and tangible outcomes. The prospect of Usha Martin achieving more with fewer resources is invigorating. This noteworthy trajectory stands as a testament to the exceptional performance of Usha Martin under Rajeev Jhawar’s adept guidance over the past five years, a fact well-appreciated by investors. ![]() In the latest Intimation of change in the composition of Board in terms of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Rajeev Jhawar who have been the Managing Director of Usha Martin till date have been reappointed for the next 5 years. Rajeev Jhawar is an industrialist from India with more than 30 years of strategic management expertise. He began his career as a Senior Vice President (Commercial), and in 1998 he was appointed managing director of Usha Martin Limited. He attended Ranchi University and London Business School for graduation. He has led the Usha Martin Group for three decades and during that time has accelerated growth, established a meritocracy, and increased stakeholder value. His abilities as a leader, keen business sense, in-depth knowledge of business administration, and strategic decision-making have propelled the Group onto a significantly higher growth trajectory. Rajeev Jhawar Usha Martin's MD. He has supported the business through its good and bad times and helped it get back on the path to success. The success of Usha Martin Limited is attributable to Rajeev Jhawar's tenacity and dedication to the business. The company's future seems bright under Rajeev Jhawar's leadership as a global leader in the wire rope sector, and it is set up for a significant rise from here. The re-appointment of Mr. Rajeev Jhawar [DIN: 00086164] as Managing Director is for a term of five years effective from 19th May 2023 and is subject to requisite approvals under applicable laws. The intimation was made by Usha Martin Limited based on the recommendation of Nomination and Remuneration Committee, the Board of Directors of the Company at their meeting held on Thursday, 27th April 2023. ![]() Cheap labour-intensive manufacturing firms largely drove China to become the largest exporter in the world for decades and made it a force to reckon with globally. But aging manufacturing hubs that rely on cheap labour are simply not working for China anymoreChina has been the manufacturing hub of the world for decades, but the Asian nation has been gradually losing its position due to a number of factors. Cheap labour-intensive manufacturing firms largely drove China to become the largest exporter in the world for decades and made it a force to reckon with globally. However, over the past few years, the country's position as the world's factory has been threatened due to the same factors that propelled its economy starting from the 1980s. Aging manufacturing hubs that rely on cheap labour are simply not working for China anymore. According to a Reuters report, many Chinese factory bosses who inherited the business from their parents told the news agency that the work environment needs to change as workers do not have the same mindset they had during their parents' generation. Steven Du, 29, one of the factory owners who took over his parents' factory producing temperature control systems in Shanghai, said, "If you don't improve their environment, the workers aren't as happy and it's harder for them to do their best work." He told the publication that the change is "worth the extra cost."A shrinking and aging workforce in China means the country's labour-driven manufacturing expertise is fading, and moreover, it is facing stiff competition from other South Asian nations. For instance, India and other countries from South Asia are now rolling out the red carpet for major companies around the globe, hurting the lower spectrum of China's industrial base. Simply put, China's low-end manufacturers are rapidly becoming obsolete. Data from China's statistics bureau indicated that the country lost 41 million workers in just three years due to cheap labour costs and its aging population. China's rapidly aging population is estimated to cross 400 million by 2035, and it is expected to pose a major threat to the country's labor-intensive economy. Another factor that is hampering China's position as a global manufacturing hub is rising labour costs. It may be noted that China is no longer a low-cost manufacturing hub, forcing major companies to explore cheaper options in Bangladesh, Vietnam, and even India. In addition to aging labour and rising costs, escalating trade tensions between China and the United States have driven many major tech companies to explore diversifying their supply chain. For instance, companies like Apple and Foxconn are aggressively pushing to expand operations in India – a development that indicates that many companies are narrowing their presence in China or completely moving out. ![]() Multibagger stocks can be found in all market capitalizations, but they are more common in small-cap and mid-cap stocks. These stocks are often undervalued and have the potential to grow rapidly.Investing in the stock markets can be quite tricky, especially for people looking at riskier options to make the most out of investments. While large-cap and blue-chip options are fairly safe, they are not usually known for being multibaggers – or stocks that have very high growth potential, compared to their current share value. Multibagger stocks can be found in all market capitalisations, but they are more common in small-cap and mid-cap stocks. These stocks are often undervalued and have the potential to grow rapidly.As the name suggests, small-cap stocks are shares belonging to smaller companies, usually with a market capitalisation of Rs 5,000 crore or less. Meanwhile, a mid-cap stock belongs to a company with a market capitalisation of Rs 5,000 crore up to Rs 20,000 crore. Small-cap and mid-cap stocks have greater return potential, based on their growth projections. At the same time, these investments are way riskier than those in blue-chip or large-cap stocks. How to hunt for future multibagger stocksInvestors hunting for lucrative stocks can keep their eye on some sectors that experts believe will generate the highest number of multibaggers. V.L.A. Ambala (SEBI Registered Research Analyst), Stock Market Today, said there is one rule for investing that is paramount: ‘Invest in interest’. She explained that the world of stocks around the globe is seeing drastic changes due to shifting demand and requirements. She hinted that companies that can grab the opportunity and cater to the demand will become multibaggers of the future. ![]() Low-cost carrier IndiGo has placed an order for 500 Airbus A320 family aircraft in a record deal, breaking Air India’s mega-470 aircraft order with Airbus and Boeing earlier this year. According to the airline, it is the largest-ever single aircraft purchase by any airline with Airbus. With this order, IndiGo has become the world’s biggest A320 Family customer. However, the engine selection and the exact mix of A320 and A321 aircraft will be done in due course, the airline added. The purchase agreement was signed on June 19 at the Paris Air Show 2023 in the presence of top officials of the airline and Airbus. Combined with the previous order of 480 aircraft, IndiGo’s order-book now has almost a thousand aircraft, the airline said in a statement. The order will give IndiGo a further steady stream of deliveries between 2030 and 2035, it added. Currently, it operates over 300 aircraft and the airline’s order-book now comprises a mix of A320NEO, A321NEO and A321XLR aircraft. “This new order will bring the strategic relationship between IndiGo and Airbus to an unprecedented depth and breadth. With this new order, since its inception in 2006, IndiGo has ordered a massive total of 1,330 aircraft with Airbus,” the statement said. “The fuel-efficient A320NEO family aircraft will allow IndiGo to maintain its strong focus on lowering operating costs and delivering fuel efficiency with high standards of reliability. The young and fuel-efficient fleet will help IndiGo realize its sustainability ambitions, building on the already realized CO2 reduction of 21% between FY16 and FY23,” it added. “An order-book now of almost 1,000 aircraft well into the next decade, enables IndiGo to fulfill its mission to continue to boost economic growth, social cohesion and mobility in India. This order strongly reaffirms IndiGo’s belief in the growth of India, in the A320 Family and in our strategic partnership with Airbus,” Pieter Elbers, CEO of IndiGo, said.“This landmark order marks a new chapter in Airbus and IndiGo’s relationship that is democratising affordable air travel for millions of people in the world’s fastest growing aviation market. We look forward to contributing to the growth of India’s air connectivity in its domestic network and into international markets through the expansion of this formidable partnership,” said Christian Scherer, Chief Commercial Officer and Head of International at Airbus. ![]() Usha Martin Limited is one of the world’s leading manufacturers of wire rope. Usha Martin Group is a continuously evolving organization and global leader in finding innovative solutions for industry-wide problems. The latest information on returns generated by Usha Martin suggests that the profit generation tactics employed by Rajeev Jhawar, Managing Director of Usha Martin Ltd., has started to yield results. Rajeev Jhawar is an industrialist with over three decades of experience in strategic management. In a perfect world, we'd like to see a company investing more capital into its business and ideally the returns earned from that capital are also increasing. Put simply, these types of businesses are compounding machines, meaning they are continually reinvesting their earnings at ever-higher rates of return. So, Usha Martin and its trend of ROCE following the techniques used by Rajeev Jhawar is impressive. What the trend of ROCE can tell us on Usha Martin’s performance and Rajeev Jhawar’s tactics ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. Usha Martin has a ROCE of 19%. On its own, that's a standard return, however it's much better than the 15% generated by the Metals and Mining industry. Usha Martin has not disappointed Rajeev Jhawar, in regards to ROCE growth. The data shows that returns on capital have increased by 569% over the trailing five years. The company is now earning ₹0.2 per dollar of capital employed. Speaking of capital employed, the company is actually utilizing 44% less than it was five years ago, which can be indicative of a business that's improving its efficiency. This is the result of the dedication and the strategic tactics used by Rajeev Jhawar Usha Martin to take the company to the next greater heights. On a related note, the company's ratio of current liabilities to total assets has decreased to 26%, which basically reduces it's funding from the likes of short-term creditors or suppliers. So, Rajeev Jhawar would be pleased to inform the shareholders that the growth in returns has mostly come from underlying business performance. In a nutshell, we're pleased to see that Usha Martin has been able to generate higher returns from less capital. And with the stock having performed exceptionally well over the last five years under the leadership of Rajeev Jhawar, these patterns are being accounted for by investors. Usha Martin is one of the world’s leading manufacturers of wire rope. Established in the year 1960, today Usha Martin is a multi-unit and multi-product organization. The wire rope manufacturing facilities located in Ranchi, Hoshiarpur, Dubai, Bangkok and UK produce one of the widest ranges of wire ropes in the world. Rajeev Jhawar, the son of Brij Jhawar, is the managing director of Usha Martin Limited since May 19, 2018, and in the three decades that he has been at the helm of the Usha Martin Group. According to Rajeev Jhawar, the various measures announced by the Central government to boost the economy are likely to start yielding results post-monsoon of 2020.
Wire rope manufacturer Usha Martin Ltd (UML) is expecting domestic demand, particularly in the construction and auto sectors, to start picking up post-monsoon. According to Rajeev Jhawar, Managing Director, UML, the various measures announced by the Central government to boost the economy are likely to start yielding results post-monsoon. According to Mr Rajeev, they expect post-monsoon things should be better. There should be a pick-up in demand during the festival season post-September-October, by which time they hope that the Covid situation would also be brought slightly under control. The economy was badly struck by the pandemic and lockdown. But the stimulus package by the government and the lifting of restrictions post lockdown shows a sign of fresh growth, says Rajeev Jhawar. While the demand for wire rope has been “fairly decent” in international markets, the domestic demand across various sectors has been very low due to the lockdown in the wake of the Covid-19 pandemic, he added. The reverse migration of labourers had affected industries such as construction, particularly in the western and northern regions of the country. This impacted the demand for wire rope. UML’s wire rope business manufactures wire, strands, LRPC and wire ropes, which cater to various industries, including steel, infrastructure, construction and auto. Rajeev says that the demand from the construction, auto and oil sectors is down. Their plant has reduced its manufacturing and is currently operating at 50–55 per cent of the installed capacity. The export demand is, however, good and the rupee depreciation is supporting UML. The company is hopeful of ramping up capacities by the second half of this fiscal once the Covid situation is brought under control and the domestic demand starts picking up. Rajeev Jhawar Usha Martin says that they have a manufacturing capacity of around 2,30,000 tonnes per annum across its two facilities in India — at Ranchi (Jharkhand) and Hoshiarpur (Punjab) — and three overseas units in the UK, Thailand and Dubai. Talking about exports, Rajeev Jhawar said the demand for wire rope has been “fairly decent”, if not strong, from markets such as Europe, the US, South America, Australia and South-East Asia. Christopher Geidt’s resignation frustrates Johnson’s ability to move on from the saga that saw him become the first sitting prime minister found to have broken the law.
The spotlight is back on Boris Johnson’s conduct during the Partygate scandal following the resignation of his ethics adviser, Christopher Geidt, just a day after suggesting in Parliament that the prime minister had breached the ministerial code. “With regret, I feel that it is right that I am resigning from my post as independent adviser on ministers’ interests,” Geidt said Wednesday in a statement on the UK government website. His resignation comes as a surprise and mystery to Johnson and his team, according to a government official. Geidt’s resignation frustrates Johnson’s ability to move on from the saga that saw him become the first sitting prime minister found to have broken the law. Police fined him for attending a gathering for his birthday in Downing Street in June 2020, in breach of the Covid lockdown rules his own government brought in. Last week, Johnson vowed to “bash on” with his agenda after narrowly winning a vote on his leadership, in which 41% of Tory MPs opposed him. Geidt told a parliamentary committee on Tuesday it’s “reasonable” to say Johnson may have breached the ministerial code by taking part in a rule-breaking gathering in Downing Street during the Covid-19 pandemic that led to the premier being fined by police. He also said he had felt “frustration” and that the option of resignation was always “on the agenda,” though he said there wasn’t a point when he formed “a single direct proposition” in his mind. Johnson Adviser Suggests UK Premier Broke Ministerial Rules Last week, Tory MP John Penrose, who led Johnson’s anti-corruption agenda, also resigned his position, telling Sky News “it’s pretty clear” the premier had broken the country’s ministerial code “in a very material way.” Ministers “are always going to be guided by the rules and the principles in that code,” the UK’s Attorney General Suella Braverman, who said she didn’t know the reason for Geidt’s resignation, told ITV on Wednesday. “The ministerial code is very clear in that the sole jurisdiction over it is commanded by the Prime Minister himself, and that’s why, that’s how, we ensure there’s good administration, good governance,” she said. Johnson’s being investigated by the House of Commons Committee of Privileges to determine whether he committed a contempt of parliament by misleading the chamber when answering questions about Partygate. Breaking the ministerial code or intentionally misleading Parliament are usually regarded as resigning offenses, though there is no compulsion to quit. UAE's economy ministry cited interruptions to global trade flows as the reason for its move, but added that India had approved exports of wheat to the UAE for domestic consumption.
The United Arab Emirates (UAE) has ordered a four-month suspension in exports and re-exports of wheat and wheat flour originating from India, the world’s second biggest producer of the grain, state news agency WAM said on Wednesday. The Gulf nation’s economy ministry cited interruptions to global trade flows as the reason for its move, but added that India had approved exports of wheat to the UAE for domestic consumption. India banned wheat exports in a surprise move on May 14, except for those backed by already issued letters of credit (LCs) and to countries seeking to ensure food security. Since then, it has allowed shipments of 469,202 tonnes of wheat. Companies wishing to export or re-export Indian wheat brought into the UAE before May 13, when India’s suspension began, must first make an application to the economy ministry, it said in a statement. The UAE and India signed a broad trade and investment pact in February that seeks to cut all tariffs on each other’s goods and aims to increase their annual trade to $100 billion within five years.. The pact, known as the Comprehensive Economic Partnership Trade Agreement (CEPA), took effect on May 1. |
MichaelMichael is Professor of Political Science and Head of Department. His research is on public administration and administrative reform, core executives, the role of civil servants in a transformed state, Archives
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