About Company RAK Ceramics (Bangladesh) Limited, a UAE-Bangladesh joint venture company, was incorporated in Bangladesh on 26 November, 1998 as a company limited by shares under the Companies Act 1994 and started its commercial production on 12 November, 2000. The Company engaged in manufacturing and marketing of ceramics tiles, bathroom sets and all types of sanitary ware. Within the short span of eight years RAK has firmly established itself as one of the leading manufacturer of high quality ceramic wall, floor tiles, gres porcellanato and sanitary wares products in Bangladesh. RAK Ceramics (Bangladesh) Limited is an ISO 9001:2008 certified organization.

RAK Ceramics PSC, UAE incorporated in 1989, is the parent company of RAK Ceramics (Bangladesh) Limited. In October 2003 RAK Ceramics PSC, UAE was listed on Abu Dhabi Stock market (ADX). RAK Ceramics Group as whole has a manufacturing facilities in UAE, Bangladesh, China, Sudan, Iran & India. The company opted for a long-term policy; to produce quality products, to be a respectable partner and to keep its customers satisfied. RAK Ceramics PSC, UAE drive for excellence and an insatiable appetite for quality and customer satisfaction were accredited with the ISO 9001 certification by CICS (Ceramic Industry Certification Scheme), UK in 1997 & ISO 14001 in 2008. At present, the company’s products are being exported to more than 135 countries across five continents & has well established dealer’s distribution network in more than 100 countries. Through its strong business franchise and financial performance, the Company is a regular recipient of business accolades.

• RAK Ceramics PSC was adjudged as “Company of the Year” by Arabian Business Achievement Award for 2004 and in 2005;
• RAK Ceramics was awarded the Mohammed Bin Rashid Al Maktoum Business Award for the Industry sector.
• In 2006, RAK Ceramics was rated ‘5A2’, highest in the region of Middle East, by Dun & Bradstreet.
• In 2007, UK based Brand-Finance PLC rated the RAK Ceramics brand as one of the top four valuable brands in the UAE with a rating of ‘AA-‘.
• In 2008, a Washington DC, USA based Georgetown University has selected RAK Ceramics as subject of pedagogic case to form part of their course material for global manufacturing studies in MBA programme curriculum.
• In June 2009 RAK Ceramics has been awarded the “SUPER BRAND for 2009” by the council of SUPERBRANDS which is the world’s largest independent Brand arbiter, Certain technology drivers & noteworthy achievement as follows:

• RAK Ceramics has been officially recognized as the world’s largest ceramic tile manufacturer by the Ceramic World Review, the best known and most widely circulated international magazine devoted to ceramic tile and sanitary ware production technologies.
• UAE operation is single largest ceramics manufacturing facility in the world.
• RAK Ceramics was one of the pioneers in installing unique equipment. It was the first company to install the largest press in the industry—the “PH 7200”—enabling it to produce ceramic slabs as large as 125 cm by 185 cm
• RAK Ceramics also offered several unique and proprietary technical products like luminous tiles (tiles that emitted light in the dark, which took two years and several trials to develop), antimicrobial tiles (tiles that inhibited growth of bacteria), and custom-made designs by water jet.
• The range of RAK Ceramics products is unmatched with over 6000 tiles models & over 600 sanitary models. Smallest mosaics of size 2 cm x 2 cm and tiles of 10 cm x 10 cm to the largest slab in the industry 125 cm x 185 cm Nature of business
The core business of RAK Ceramics (Bangladesh) Limited is to manufacture and sell of tiles and sanitary wares. The company has over 1000 models active in the ceramic and porcelain tile business and regularly adds several new designs to the product portfolio. The company manufactures tiles in a very wide range of tiles in the sizes from 13 cm X 13 cm up to 60cm X 60cm in Bangladesh location. The company has over 40 models an exclusive range of sanitary ware to offer with a very wide choice. In sanitary ware various models are produced in wash basins (mounted as well as pedestal), water closets, bathroom sets, bath tubs, shower trays, bathroom cabinets, accessories and decorated sets. Principal products and services
RAK Ceramics (Bangladesh) Limited has been manufacturing and supplying a wide range of tiles and sanitary wares in the ceramic sector of Bangladesh since 2000. Excellent designs and pattern can be created using specially selected wall and floor tiles, borders, corners, listellos and capping. Many of RAK Ceramics’ models come in modular designs, making it easier for the customer. The unique ambience patterns created using ceramic tiles and also Gres porcellanato tiles appeals most discerning customers. The company has two product lines, which are Tiles and Sanitary Ware. The company recently set up large scale Effluent Treatment Plant (ETP) to reduce environmental hazard, which started operation end of March, 2009.

A. Tiles

• In the Ceramic Range, the company produces ceramic wall tiles, ceramic floor tiles, matching border & décor tiles, listellos and pencils & capping and few other related items.
• In Gres Procellanato (porcelain / fully vitrified tiles), the company produces thousands of glazed and unglazed porcelain, covering finishes such as polished, semi polished, unpolished, rustic, stone, travertine etc.
• In Bangladesh with three fold expansion Drive Company has reach capacity to produce over 8 million square meters of tiles per annum & has over 1000 different tiles models recipe. The salient features of the plants are:

- Gang of modern technological machineries: versatile 5 press, long range 5 kilns & multipurpose 12 ball mills.

- Latest equipment & technological application: Some unique patterns and finishes are acquired through new technologies such as Roto Printing, Double charge, Granitech, MDR, Technoslate, Twin Press and Dry Glaze etc. Some unique “antique style” finishes and many specialized finishes in tiles have been possible due to such advanced Gres Procellanto technology.

- Modern European machinery: robotic controlled TGV machines. Computer controlled guided vehicles transferred semi finished goods from station to station, robots picked and placed semi finished tiles in many production steps as well as in sorting and packing the finished tiles, skilled technicians in sophisticated control rooms monitored raw materials in blending mills, wet and dry grinding vessels, presses, kilns, drying and cooling cycles, and many other operations.

- Water jet cutting technology machines: Facilitate unique water jet designs, and diamonds cutting machine tools help make beautiful vanity tops from gres procellanato slabs.

- High Quality inputs: Imported raw materials like soda feldspar, potash feldspar, clays from India, Indonesia, Malaysia, Thailand. Fritz & glazes from Spain & other European countries.

- Ceramist R& D activity: Active team of ceramist to challenge customer demand & device cost effective input recipe solutions.

B. Sanitary Ware

• In sanitary ware, various models of wash basin (mounted as well as pedestal), water closets (WC) and water tank (WT) accessories and decorated sets are produced.
• State of the art plants produces over 900,000 pieces per annum & over 40 different models of sanitaryware. The salient features of the plants are:

- Latest Italian Technology: For production including computerized kilns.
- 6 Medium Pressure Casting Plants: For production of wash basin, pedestals, cisterns, lids and accessories.
- Battery Casting Moulds: To produce water closets.
- Highest Quality Raw Materials: Ball clay and kaolin from U.K., glazes from Spain and stains from Germany.
- In House Quality Control and Testing: A laboratory of the highest standard. Financial Performance
Particulars For the year ended 31 December 2010 (Amount in BDT) For the year ended 31 December 2009 (Amount in BDT) For the year ended 31 December 2008 (Amount in BDT) For the year ended 31 December 2007 (Amount in BDT) For the year ended 31 December 2006 (Amount in BDT)
Turnover 4,009,021,454 3,839,025,765 3,247,985,878 2,335,391,844 1,955,084,231
Cost of sales 2,505,064,934 2,631,407,137 2,315,174,472 1,530,281,434 1,373,986,480
Gross profit 1,503,956,520 1,207,618,628 932,811,406 805,110,410 581,097,751
Administration expenses 241,668,871 82,800,380 73,707,617 59,105,227 33,433,886
Marketing &
Selling exp 509,086,847 425,856,574 341,821,145 233,010,201 188,129,683
Net profit before financial expense 753,200,802 698,961,674 517,282,644 512,994,982 359,534,182
Financial expense 97,574,871 185,707,263 141,170,017 85,258,635 81,449,145
Other income 148,471,774 7,160,230 1,907,872 6,782,770 541,758
Net profit before taxation 804,097,705 520,414,641 378,020,499 434,519,117 278,626,795
Tax expenses 294,245,394 207,143,340 91,619,346 131,944,473 100,656,277
Net profit after taxation 509,852,311 313,271,301 286,401,153 302,574,644 177,970,518
Minority Interest (96,668,798) (11,305,618) -- -- --
Net profit after Minority Interest 606,521,109 324,576,919 286,401,153 302,574,644 177,970,518
No. of shares outstanding 215,731,226 185,563,500 185,563,500 185,563,500 185,563,500
Earnings per share (EPS) 2.81 1.75 1.54 1.63 0.96