TRL Krosaki Refractories Limited (TRLKRL) was formerly known as Tata Refractories Limited. As per its annual filings, the company is engaged in the business of manufacturing refractory products. Its product profile includes basic, dolomite, alumina, monolithic, silica, flow control and taphole clay refractories. TRLKRL’s refractory products are useful for industries such as steel, copper, cement, aluminum, glass, petrochemicals and other nonferrous industries. The company also offers refractory engineering and management services. It has three manufacturing plants in Belpahar (Orissa), Salem (Tamil Nadu) and Jamshedpur (Jharkhand). TRLKRL supplies silica refractories for coke ovens and glass industries worldwide. The company was incorporated in 1958 and has its registered office located in Orissa.

Established in 1958, TRL Krosaki Refractories Limited (formerly Tata Refractories Limited) is the leading refractory company in India. TRL Krosaki, widely known for its world class product quality and superior technical support services, is the only refractory company in India which manufactures all types and qualities of refractories under one roof at its Main Plant located at Belpahar, Odisha, India. They are an integrated management system (IMS) driven company, committed to quaity, safety, and sustainability. They have a consolidated installed capacity of 4,00,000 MT per annum. They boast well-equipped and modern plants, a world-class technology center, and an NABL certified central laboratory.

Company's Timeline:

1958: The company is established as Tata Refractories Limited (TRL), a joint venture between Tata Iron & Steel Company, India and Didier Werke, Germany

1960: TRL sets up its first manufacturing plants in Jamshedpur, Jharkhand and Belpahar, Odisha, laying the foundation for its domestic leadership

2006: TRL forms a strategic partnership with Krosaki Refractories Co., Ltd. of Japan, a leading global refractory manufacturer

2010: Tata sold 51% of its shares to Krosaki Harima Corporation, and the refractory company's name was changed to TRL Krosaki Refractories Limited

2023: The company is awarded the 23rd Greentech Environmental Excellence Award, recognizing its commitment to sustainability

Company's Initiatives

1. Enhanced Customer Service: The Company has increased its customer service by continuously monitoring performance of refractories by its technical experts at customers' site
2. New capital investments: Made to improve the quality in Dolomite and Basic departments and increasing capacity in Tap Hole Clay department
3. Sales Growth Strategy: Increase in sales by focusing on few customers who accepts superior products than lowest prices thus competing only with superior product suppliers
4. New Product launch: The Company's newly commenced Alumina Graphite (AG) refractories products are giving good results and the product has been well accepted by the customers

Product Categories:

1. Basic Refractories: Made from magnesia, lime, and dolomite, these are ideal for high-temperature applications in steel melting vessels and cement kilns
2. Dolomite Refractories: Composed primarily of dolomite minerals, they offer good thermal stability and are used in steel converters and ladles
3. High Alumina Refractories: Made with high alumina content, they provide excellent strength, wear resistance, and corrosion resistance used in furnaces, boilers, and glass melters
4. Monolithic Refractories: These pre-cast or pre-mixed refractories offer ease of installation and are ideal for complex shapes and repairs
5. Silica Refractories: Composed mainly of silicon dioxide, they provide good thermal insulation and are used in coke ovens and glass furnaces
6. Flow Control Products: These specialized refractories control and regulate the flow of molten materials in various industrial processes
7. Tap Hole Clay: This specially formulated clay forms an effective seal around the tap hole in furnaces, preventing metal leaks
8. RH Snorkel: This critical refractory component is used in processes like ladle metallurgy for efficient gas purging and molten metal treatment
9. Alumina Graphite (AG) Refractories: Combining the strengths of alumina and graphite, they offer excellent thermal conductivity and resistance to erosion, used in aluminum melting applications

Clientele: 

TRL Krosaki has a wide customer base in Steel, Cement, Glass, Copper and Aluminium industries in India.

Financial Insights:

The company has seen a consistent growth in its revenue at a 5 year CAGR of 7.59% for the last 5 years and the PAT has grown at a CAGR of 12.68% for the same period , indicating strong demand for its products or services. The growth in EBDITA margins also indicates improved operational efficiency and cost management.

The company's strategy of leveraging stockiest to reach small customers has yielded positive outcomes, evident in a significant 29% increase in revenue from stockiest sales. Additionally, revenue generated from identified Focus Products has surged by 18%. This indicates a successful penetration strategy and effective product targeting. Moreover, enhanced technical services at customer sites, coupled with improved product performance, have played a pivotal role in sustaining a commendable 70% market share in Dolomite refractories.

			In Crores
Particulars	31st March, 2023	31st March, 2022	YoY% increase
Revenue	2300	1924	19.50%
EBITDA	269	183	46.75%
PBT	207	137	52%
PAT	155	103	51%
EPS	75.73	49.64

Revenue Split:

International Business registered a growth of 5% in FY 2022- 2023 and achieved 323 Cr. in revenue. Major business growth came from Middle East, Brazil & Zambia.

			In Crores
Revenue from operations	31st March, 2023	31st March, 2022	YoY% increase
Sale of products	2019	1711	18%
Sale of services	244	185	32%
Other operationg revenue	33	26	27%
Total Revenue	2295	1921	19.5%
Total other income	4	3	34.5%

Industry future outlook

The Global Refractories Market size is estimated at 55.16 Million tons in 2024 and is expected to reach 67.12 Million tons by 2029, growing at a CAGR of 4% during the forecast period (2024-2029). The Indian refractory industry is expected to maintain a positive growth trajectory, driven by several factors:

1. Growing Refractory Market: The Indian refractory market is expected to reach USD 5.2 billion by 2027, with a CAGR of 3.89% . This growth is driven by the expansion of key user industries like steel and cement.
2. Strong Domestic Steel Industry: India's steel production is projected to grow to 230 MT by 2030, which will directly increase demand for refractory products used in steel manufacturing processes.Infrastructure Development:
3. Government initiatives in infrastructure development (roads, ports, etc.) will further boost demand for refractories in construction materials like cement.

As per the data below, it indicates that the South Asian region, including India, demonstrates a notably higher growth trajectory within the refractory industry.

Market Share of Refractory companies in India:

As per the data below from FY 2021, TRL Krosaki Ltd emerges as a significant player in the Indian refractory industry, holding the second-largest market share of 14.3%.

Dividend Payout

TRL Krosaki had consistently paid dividends over the years offering a reliable source of income for investors while also indicating financial stability and consistent profitability, making it an attractive investment opportunity.

Financial Year	Dividend per share	Dividend Payout Ratio
FY 2022-23	₹ 22.50	30%
FY 2021-22	₹ 15.00	30%
FY 2020-21	₹ 6.40	37%
FY 2019-20	₹ 14.50	29%
FY 2018-19	₹ 12.20	29%

TRL Krosaki Refractories 10 year financial Trend