DHP India Limited is an **ISO 9001:2015**, **ISO 14001**, and **ISO 45001** certified engineering firm specializing in the high-precision manufacturing of gas pressure regulation equipment. Headquartered in Kolkata with primary manufacturing operations in **Howrah, West Bengal**, the company has successfully pivoted from a domestic focus to becoming a dominant player in the international export market for LPG components. --- ### **Specialized Product Portfolio & Technical Innovation** The company operates within the **Non-Regulated Sector** under the **Customs Tariff Act (CTA)**, focusing on engineering goods that require stringent safety and technical certifications. * **LPG Regulators (CTA 8481):** The flagship product line includes various designs of **Low Pressure Regulators** for both domestic and commercial gas cylinders. * **Brass Components & Accessories (CTA 8481/7419):** Manufacturing of specialized brass fittings and articles used as critical components in gas regulation systems. * **Process Innovation:** To maintain a competitive cost structure, the company utilizes **Energy Saving Flameless Electrically operated Melting Furnaces** for Zinc. This technology significantly reduces energy inputs and production costs compared to traditional methods. --- ### **Manufacturing Footprint & Operational Model** DHP India operates a streamlined business model focused on a single reportable segment: **Manufacturing of Engineering Goods**. * **Production Hub:** The primary manufacturing facility is located at **Dhulagarh Industrial Park, Howrah**. * **Human Capital:** As of March 2025, the company employs a workforce of **224 employees**. * **Supply Chain Dynamics:** Management has identified raw material procurement as a primary operational bottleneck, specifically noting "time delays" in the sourcing process that require active management. * **Asset Integrity:** The company maintains a physical verification cycle for Property, Plant, and Equipment (**PPE**) every **three years**. Notably, all immovable properties, including land and buildings, are held as **freehold** in the company’s name. --- ### **Financial Performance & Capital Structure** DHP India maintains a **debt-free** balance sheet with a high degree of liquidity and a significant investment portfolio. | Metric | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | :--- | | **Net Revenue from Operations** | **₹57.77 Crore** | **₹53.22 Crore** | **₹108.99 Crore** | | **Profit Before Tax (PBT)** | **₹78.88 Crore** | **₹30.51 Crore** | **₹31.58 Crore** | | **Profit After Tax (PAT)** | **₹66.53 Crore** | **₹26.40 Crore** | **₹23.43 Crore** | | **EBITDA Margin** | **62.72%** | **38.08%** | **28.69%** | | **Working Capital** | **₹208.94 Crore** | **₹196.92 Crore** | **₹149.03 Crore** | | **Book Value Per Share** | **₹793.62** | - | - | **Key Financial Highlights:** * **Investment Portfolio:** The company holds a cumulative investment of **₹199.09 Crore**, primarily deployed in **Equity Oriented Mutual Funds**. * **Capital Reserves:** Reserves and Surplus stood at **₹235.09 Crore** as of March 31, 2025, following a transfer of **₹65.38 Crore** to the **General Reserve**. * **Banking & Credit:** While debt-free, the company maintains a sanctioned working capital limit of **₹7.00 Crore** with **Citibank N.A.** for operational flexibility. * **Equity Structure:** The paid-up equity share capital is **₹3 Crore**, comprising **30,00,000 shares** (Face Value **₹10**). **99.55%** of shares are dematerialized. --- ### **Export Strategy & Global Market Positioning** The company’s growth is increasingly driven by international demand, leveraging its long-term client relationships and global safety certifications. * **Revenue Mix:** A significant portion of revenue is derived from foreign currency earnings. In FY 2023-24, foreign exchange earnings were **₹45.87 Crore**, against an outgo of **₹11.47 Crore**. * **Currency Hedging:** To mitigate volatility, the company utilizes **foreign currency forward contracts** and **derivative contracts**, adhering to **AS 30** hedge accounting principles. * **Infrastructure Expansion:** In **March 2025**, the company acquired commercial property at **7A & 7C, Shreelakha, Kolkata**. This space adjoins the current registered office and is designated for the **extension of office space** to support administrative scaling. --- ### **Governance, Leadership & Shareholder Returns** DHP India has established a stable leadership framework with long-term tenures for key executives and auditors. **Leadership & Audit Tenure:** * **Managing Director & CEO:** Mr. Asheesh Dabriwal (**Apr 2024 – Apr 2029**) * **Independent Directors:** Mr. Buddhadeb Basu and Dr. Subrata Haldar (**Apr 2024 – Apr 2029**); Mr. Surajit Raha (**May 2025 – May 2030**) * **Statutory Auditors:** **M/S. NKSJ & Associates** (Appointed for 5 years starting **FY 2025-26**) * **Secretarial Auditors:** **Mrs. Alpana Sethia** (Appointed for 5 years starting **FY 2025-26**) **Dividend Policy:** The company has demonstrated a consistent commitment to shareholders, maintaining a **40% dividend** (**₹4 per share**) for three consecutive fiscal years (**FY23, FY24, and FY25**), resulting in an annual cash outflow of **₹1.2 Crore**. --- ### **Risk Management & Regulatory Compliance** The company operates under a formal **Risk Management Policy** overseen by the **Audit Committee**. * **Market & Commodity Risks:** The company faces ongoing pressure from **rising prices of raw materials** and global commodity fluctuations. * **Regulatory Compliance:** In **May 2024**, the company proactively managed a transition in statutory auditors after the previous firm lacked a **Peer Review Certificate**, ensuring full compliance with **SEBI Listing Regulations**. * **Significant Shareholders:** Under **SEBI (SAST) Regulations**, it is noted that **Counter Cyclical Investments Private Limited** holds **237,997 shares** as of October 2025. * **Internal Controls:** Systems are in place for the accurate recording of transactions, adherence to **Accounting Standards**, and the safeguarding of assets against unauthorized use or disposition. --- ### **Future Growth Levers** The Board’s capital allocation strategy for retained earnings focuses on four pillars: 1. **Capacity Expansion:** Modernization of existing facilities and increasing production throughput. 2. **Market Diversification:** Entering untapped global markets for LPG appliances. 3. **Product Innovation:** Expanding the engineering product range beyond core regulators. 4. **Strategic Investments:** Utilizing the robust cash position for long-term value-accretive opportunities.