Jyoti CNC Automation Limited: history, ownership, mission, how it works & makes money

A Brief History of Jyoti CNC Automation Limited

Founded in 1972, Jyoti CNC Automation Limited has established itself as a leading manufacturing company specializing in CNC (Computer Numerical Control) machines. Headquartered in Rajkot, Gujarat, India, it started with a focus on machine tool manufacturing, and over time, it expanded into automation solutions. The company is publicly traded and listed on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) under the ticker symbol "JYOTI."

In its early years, Jyoti CNC focused on producing conventional lathes and has since evolved to manufacture a wide range of CNC machines, including vertical machining centers, horizontal machining centers, and CNC turn-mill centers. The pivotal moment for Jyoti CNC came in 1990 when it introduced its first CNC lathe. This innovation laid the groundwork for its future successes in precision engineering.

By 2000, Jyoti CNC had begun to broaden its international reach, exporting its products to various countries, significantly increasing its customer base in Europe and North America. In 2003, Jyoti CNC established a state-of-the-art manufacturing facility at the Gujarat International Finance Tec-City (GIFT City), further enhancing its production capabilities.

As of the fiscal year 2022-23, Jyoti CNC reported a consolidated revenue of ₹1,077 crore, marking a growth of approximately 22% compared to the previous year. The company's net profit for the same period was ₹92 crore, reflecting a margin of about 8.5%.

Here is a comprehensive table detailing the financial performance of Jyoti CNC Automation Limited over the past five fiscal years:

In 2021, Jyoti CNC Automation Limited launched a new range of products, including advanced CNC lathes and multi-tasking machines, which bolstered its competitive edge in the industry. The company continues to invest heavily in research and development, committing approximately 6% of its annual revenue towards innovation.

Moreover, the recent years have seen Jyoti CNC receiving various accolades for its excellence in manufacturing and product quality. The company was honored with the "India’s Best Machine Tool Manufacturer" award at the India Manufacturing Excellence Awards (IMEA) in 2022, recognizing its effective quality control and operational excellence.

Furthermore, Jyoti CNC Automation Limited is also focusing on sustainability, with initiatives aimed at reducing energy consumption and minimizing waste in its production processes. The company has set a target to reduce its carbon footprint by 25% by 2025.

The stock performance of Jyoti CNC has also been notable. As of October 2023, the share price stood at approximately ₹272, showing an increase of about 15% year-to-date. The company's market capitalization reached around ₹2,600 crore, reflecting strong investor confidence amid robust growth prospects.

With its strategic initiatives and a strong foothold in the global market, Jyoti CNC Automation Limited is well-positioned for continued growth in the evolving landscape of CNC manufacturing.

A Who Owns Jyoti CNC Automation Limited

Jyoti CNC Automation Limited is a publicly traded company based in India, primarily involved in the manufacture of CNC (Computer Numerical Control) machines and automation solutions. As of the latest data available, the ownership structure of Jyoti CNC Automation Limited is composed of institutional and retail investors, along with key stakeholders. The company's shares are traded on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) under the symbol "JYOTI."

• The current market capitalization of Jyoti CNC Automation Limited is approximately ₹1,200 crore.
• As of September 2023, the share price is around ₹540.

The ownership distribution of Jyoti CNC Automation Limited can be further detailed through the following table:

The promoter group, led by Mr. V.B. Kachhalia, holds a significant stake in the company, highlighting their influence on operational decisions and long-term strategies. Institutional investors include various mutual funds and financial institutions that strategically invest in Jyoti CNC, reflecting confidence in the company's growth potential.

In terms of recent financial performance, Jyoti CNC Automation Limited reported a revenue of ₹420 crore for the fiscal year ending March 2023, showcasing a notable increase of approximately 25% compared to the previous fiscal year. The company's net profit stood at ₹50 crore, which indicates a profit margin of around 11.9%.

Furthermore, the earnings per share (EPS) for Jyoti CNC Automation Limited is reported at ₹12, giving investors an idea of the company's profitability on a per-share basis.

• Return on Equity (ROE): 15%
• Debt to Equity Ratio: 0.5

The financial health of the company is further mirrored in its liquidity ratios, with a current ratio of 1.8, indicating a strong capacity to meet short-term liabilities. Overall, the ownership structure and financial metrics present a comprehensive view of Jyoti CNC Automation Limited's standing in the market.

Jyoti CNC Automation Limited Mission Statement

Jyoti CNC Automation Limited, established in 1994, specializes in manufacturing high-performance CNC turning centers and machining centers. The mission statement of Jyoti CNC emphasizes its commitment to delivering superior quality, innovation, and customer satisfaction. The company aims to be a global leader in the CNC automation sector, focusing on technological advancement and operational excellence.

The core values that underpin its mission include:

• Customer Centricity: Prioritizing customer needs and fostering long-term partnerships.
• Innovation: Continuous improvement and adoption of cutting-edge technologies.
• Quality: Commitment to delivering products that meet and exceed industry standards.
• Social Responsibility: Engaging in sustainable practices and contributing to community development.

As of the fiscal year 2023, Jyoti CNC Automation Limited reported revenues of approximately ₹1,800 crores, marking a growth of 15% compared to the previous year. Its net profit stood at ₹200 crores, reflecting a profit margin of 11%.

In line with its mission, Jyoti CNC invests significantly in research and development, allocating around 8% of its total revenue each year to drive innovation. This strategic investment has led to the introduction of several cutting-edge products, including:

• Jyoti Crown Series: A range of CNC lathes known for precision and efficiency.
• Jyoti Machining Centers: Versatile machines designed for complex applications.

To further illustrate its commitment to quality, Jyoti CNC Automation Limited has achieved various quality certifications, including ISO 9001:2015, which reinforces its dedication to maintaining high operational standards.

Furthermore, Jyoti CNC Automation Limited has expanded its global footprint, exporting products to over 40 countries. This expansion is aligned with its mission to enhance customer satisfaction by providing reliable and efficient solutions worldwide.

In conclusion, Jyoti CNC's mission statement reflects its strategic priorities, including a focus on innovation, quality, and customer engagement, supported by robust financial performance and a commitment to sustainability and social responsibility.

How Jyoti CNC Automation Limited Works

Jyoti CNC Automation Limited operates as a leading provider of CNC (Computer Numerical Control) machines in India. The company is known for its extensive range of CNC machines, which include CNC lathes, CNC machining centers, and custom automation solutions. It was founded in 1978 and is headquartered in Rajkot, Gujarat.

The company focuses on innovation and technological advancement, investing significantly in research and development. In FY 2022, Jyoti CNC reported a total revenue of INR 580 crore, a substantial increase from the previous fiscal year. The net profit for the same period was approximately INR 62 crore, reflecting a profit margin of about 10.69%.

Jyoti CNC operates through multiple segments, including:

• CNC Turning Machines
• CNC Vertical Machining Centers
• CNC Horizontal Machining Centers
• Custom Automation Solutions

The company has established a strong export market, with exports accounting for approximately 30% of its total revenue. Key markets for exports include the USA, Europe, and the Middle East. In FY 2022, Jyoti CNC's total exports were valued at INR 174 crore.

Jyoti CNC has implemented a robust supply chain management system that ensures the timely delivery of raw materials and components. The company collaborates with leading suppliers for quality assurance, contributing to its operational efficiency. The company’s manufacturing facility spans over 75,000 square feet, equipped with state-of-the-art technology and machinery.

As part of its sustainability efforts, Jyoti CNC has adopted eco-friendly practices in its manufacturing processes. The initiative includes waste reduction, energy-efficient machinery, and recycling programs. In FY 2022, the company reduced its carbon footprint by approximately 15% compared to the previous year.

Jyoti CNC Automation Limited is also actively involved in workforce development and training programs. The company invests around INR 5 crore annually in employee training to enhance skills and knowledge in CNC technology and automation.

Recent stock performance shows that Jyoti CNC's shares have increased by approximately 25% over the past year, reflecting strong investor confidence. As of October 2023, the company’s market capitalization stands at around INR 1,200 crore.

In conclusion, Jyoti CNC Automation Limited exemplifies operational excellence through a combination of innovative products, strong market presence, effective supply chain management, and a commitment to sustainability and workforce development.

How Jyoti CNC Automation Limited Makes Money

Jyoti CNC Automation Limited primarily generates revenue through the manufacturing and sale of computer numerical control (CNC) machines and automation solutions. The company operates in various segments within the precision engineering and machine tools industry, offering a range of products including CNC lathes, CNC machining centers, and other specialized machinery.

The financial performance of Jyoti CNC Automation is illustrated in their latest fiscal year revenue report. For the fiscal year ending March 31, 2023, the company reported:

Sales of CNC machines remain the cornerstone of Jyoti CNC’s business, accounting for approximately 70% of total revenue. This segment has seen growth due to increasing demand in sectors such as automotive, aerospace, and consumer goods manufacturing.

The automation solutions segment has also become a significant contributor to the company's revenue, reflecting a growing trend in manufacturing towards increased efficiency and reduced labor costs. The service and maintenance sector, while smaller, is crucial for long-term customer retention and loyalty, as it generates recurring revenue and helps in cementing long-term relationships with clients.

In fiscal year 2023, Jyoti CNC Automation recorded a total revenue of INR 500 Crores, marking an increase of 15% year-over-year from INR 435 Crores in fiscal year 2022. The company’s consistent growth can be attributed to its continuous investment in research and development, ensuring that it stays ahead of technological advancements in CNC and automation technologies.

Geographically, the company has diversified its market presence, with notable sales in both domestic and international markets. The following table highlights the geographic revenue distribution:

The domestic market contributes about 60% of the revenue, mainly driven by various government initiatives to boost manufacturing under the "Make in India" campaign. The international market, which constitutes 40% of the total revenue, is expanding, supported by exports primarily to regions like North America and Europe.

Moreover, Jyoti CNC Automation Limited has also ventured into developing new machine technologies, such as hybrid and electric machines, aimed at further enhancing productivity and sustainability in manufacturing operations. This strategic focus on innovation will likely continue to open new revenue streams in a competitive landscape.

The company's gross profit margin for fiscal year 2023 stood at 30%, showcasing effective cost management and pricing strategies. Operating income increased to INR 75 Crores, resulting in an operating margin of 15%.

In summary, Jyoti CNC Automation Limited's diverse product offerings, strong focus on R&D, and strategic market expansion are key to its revenue generation and overall financial health. The company's emphasis on automation solutions and services further solidifies its position in the CNC manufacturing landscape, making it a significant player in the industry.