Monday, May 3, 2010

TIMKEN INDIA - Bright Prospects.

Timken India Limited was jointly promoted
by The Timken Company, USA and Tata Iron
and Steel Company Limited in 1987 as Tata
Timken Limited. In 1999, Timken acquired
inter-alia Tata Steel's 40% equity holding
and consequently the company's name was
changed to Timken India Limited.
Timken Inc, the parent company of Timken
India Ltd is one of the world's
leading producers of highly engineered
antifriction bearings and related products
and services and alloy steel and components.
The company has operations in 26 countries
in six continents.

Timken India manufactures Tapered Roller
Bearings in its Jamshedpur plant.
These bearings cater to medium and heavy
trucks,railways and Timken company’s
global requirements. The company meets
the requirements of all other types of
bearings such as cyclical, roller and
needle bearings by sourcing these from
other Timken company’s plants globally.
Timken India Limited uses cellular manufacturing,
giving the plant, flexibility to produce
any part with a short lead time.
The company became the first company in
India to get QS 9000 3rd edition accreditation.
Timken India has network of 555 associates.
The company’s last year financial results
were bad with a 52% fall in the exports.
While domestic sales fell marginally.
The recession of US Automakers was the prime
reason for the sharp fall in the export front.
However, the company continued its effort to
diversify the product portfolio. In 2009, the
company started another new plant.
In the same year, Timken launched high
performance non- TRB products.
Company is in growing sectors viz.
Company's products are used for heavy trucks,
railway, steel, cement and heavy industries

Timken India has reported a substantial
rise in standalone net profit for the first
quarter ended March 2010. During the quarter,
the profit of the company rose 44.13% to Rs 11.5
crore from Rs 8 crore in the same quarter
previous year. Net sales for the quarter rose
13.15% to Rs 95.75 crore, while total income
for the quarter rose 11.27% to Rs 98 crore
compared with the prior year period. On an equity
capital base of Rs. 63.7 crore, the first
quarter EPS stood at Rs 1.81.

The company, being part of global
bearings major, considers India as a strategic
market for growth. Timken’s strong brand image,
large networks in India, more over the growing
business environment; one can consider
an investment on this stock for a decent
return in medium term perspective.CMP is Rs.125/-


  1. Thanks
    Alphageo up 22 Rs.

  2. SIR,
    is RUBFILA INTERNATIONAL worth investment for one year @ CMP?

  3. Rising price of Natural Rubber is really a problem for this company.

  4. is it worth investing in this company to target gain arising from delisting event.



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