MIRA
INFORM REPORT
|
Report Date : |
8th
June 2006 |
IDENTIFICATION
DETAILS
|
Name : |
MONOZYME
INDIA LIMITED |
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|
|
|
Registered Office : |
176/2 & 176/3, 1st Floor,
Tadbund, S Venkatrao Mansion Bowenpally, Secunderabad – 500 003, Andhra
Pradesh, INDIA |
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Country : |
India |
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|
Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
07.07.
1989 |
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Com. Reg. No.: |
01-10220 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
HYDM02278D |
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PAN No.: [Permanent
Account No.] |
AABCM5464E |
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|
Legal Form : |
A
Public Limited Liability company. The company’s shares are listed on the
Stock Exchanges. |
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Line of Business : |
Manufacturing
and Sale of Biochemistry Kits, Immunology and Instruments |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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Maximum Credit Limit : |
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Status : |
Moderate |
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Payment Behaviour : |
Slow by 60 days |
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Litigation : |
Unknown |
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Comments : |
Subject
is an established company having moderate track. Profit margin is under
severe pressure. Payments are reported as slow but correct. General financial
position is moderate. The
company can be considered for small to mediocre business dealings at usual
trade terms and conditions. |
LOCATIONS
|
Registered Office/ Factory
: |
176/2 & 176/3, 1st Floor,
Tadbund, S Venkatrao Mansion Bowenpally, Secunderabad – 500 003, Andhra
Pradesh, INDIA |
|
Tel. No.: |
91-40-27818598, 27818667 |
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Fax No.: |
91-40-27818669 |
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E-Mail : |
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Website : |
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DIRECTORS
|
Name : |
Sri Aditya Kumar
Sarda |
|
Designation : |
Managing Director |
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Name : |
Sri Bhagwandas Gilada |
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Designation : |
Executive Director |
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Name : |
Sri V. V. G.Reddy |
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Designation : |
Director & C.O.O. |
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Name : |
Dr. Suryakant G. Patil |
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Designation : |
Director |
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|
Name : |
Sri A. Nanda Kishore |
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Designation : |
Director |
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|
Name : |
Sri Anand Kr.Maloo |
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Designation : |
Director |
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MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
Percentage of Holding |
|
Individual |
1914831 |
59.96 |
|
Companies |
1028464 |
32.20 |
|
FIIs |
-- |
0.00 |
|
OCB’s
and NRI’s |
905 |
0.03 |
|
Promoters |
249700 |
7.82 |
|
Mutual
Funds, Banks, Fis |
100 |
0.00 |
|
Total
|
3194000 |
100.00 |
|
|
|
|
BUSINESS DETAILS
|
Line of Business : |
Manufacturing
and Sale of Biochemistry Kits, Immunology and Instruments |
|
|
|
|
Products : |
v
Biochemistry
kits, which are manufactured as single reagent liquid chemistries. v
Serology
kits, Immunology kits and Microbiology kits v
Rapid
Tests for Hormone and Infectious Diseases v
Instruments
like Chemistry Analysers, Micropipettes and others. v
Customer-friendly
kits, which are tailor-made to withstand tropical conditions and
transportation hazards. |
|
|
|
PRODUCTION
STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
|
Clinical Chemistry BiotechKits. |
Qty.(Nos) |
NA |
1,60,000 |
-- |
|
Elisa range of kits |
Qty.(Nos) |
NA |
15,000 |
-- |
|
Diagnostic Kits of different types |
Qty.(Nos) |
-- |
-- |
127874 |
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|
|
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GENERAL
INFORMATION
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Customers : |
Clinical
Laboratories and Hospitals |
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No. of Employees : |
100 |
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Bankers : |
v
State
Bank of Hyderabad Overseas
Branch, Somajiguda, Hyderabad – 500 082, Andhra Pradesh |
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Facilities : |
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Banking Relations : |
Unknown |
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Auditors : |
J. B.
Reddy & Company Chartered
Accountants 206, Srinilaya
Estate, Ameerpet, Hyderabad - 500082 |
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|
|
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Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
4,000,000 |
Equity Shares |
Rs.10/- each |
Rs.40.000 millions |
|
|
|
|
|
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
3,194,000 |
Equity Shares |
Rs.10/- each |
Rs.31.940 millions |
|
|
Less: Allotment money receivable |
|
Rs. 0.823 millions |
|
|
Total
|
|
Rs. 31.117 millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
31.117 |
31.117 |
31.117 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
8.950 |
|
|
4] (Accumulated Losses) |
(5.627) |
(6.888) |
0.000 |
|
|
NETWORTH |
25.490 |
24.229 |
40.067 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
10.468 |
15.499 |
9.830 |
|
|
2] Unsecured Loans |
15.313 |
11.104 |
11.260 |
|
|
TOTAL BORROWING |
25.781 |
26.603 |
21.090 |
|
|
DEFERRED TAX LIABILITIES |
1.046 |
1.093 |
1.633 |
|
|
|
|
|
|
|
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TOTAL |
52.317 |
51.925 |
62.790 |
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|
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APPLICATION OF FUNDS |
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|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
10.719 |
10.969 |
11.616 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
18.383
|
|
|
|
|
Sundry Debtors |
43.234
|
51.357 |
|
|
|
Cash & Bank Balances |
2.990
|
5.535 |
67.070 |
|
|
Other Current Assets |
0.177
|
0.091 |
|
|
|
Loans & Advances |
6.096
|
1.477 |
|
|
Total Current Assets |
70.880
|
82.417 |
67.070 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
27.213
|
39.174 |
35.736 |
|
|
Provisions |
2.069
|
2.287 |
0.000 |
|
Total Current Liabilities |
29.282
|
41.461 |
35.736 |
|
|
Net Current Assets |
41.598
|
40.956 |
31.334 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
19.840 |
|
|
|
|
|
|
|
|
TOTAL |
52.317 |
51.925 |
62.790 |
|
PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
Sales Turnover [including other income] |
87.814 |
126.646 |
101.090 |
|
|
|
|
|
|
Profit/(Loss)
Before Tax |
2.542 |
5.015 |
2.041 |
|
Provision
for Taxation |
1.282 |
1.331 |
0.457 |
|
Profit/(Loss)
After Tax |
1.260 |
3.684 |
1.584 |
|
|
|
|
|
|
Export
Value |
0.608 |
2.120 |
2.580 |
|
|
|
|
|
|
Import
Value |
32.035 |
62.335 |
51.794 |
|
|
|
|
|
|
Total
Expenditure |
85.272 |
121.630 |
99.049 |
QUARTERLY
RESULTS
|
PARTICULARS |
30.06.2005 |
30.09.2005 |
31.12.2005 |
|
Type |
1st
Qtr |
2nd
Qtr |
3rd
Qtr |
|
Sales Turnover |
26.400 |
29.800 |
23.900 |
|
Other Income |
0.000 |
0.000 |
0.000 |
|
Total Income |
26.400 |
29.800 |
23.900 |
|
Total Expenditure |
24.200 |
27.100 |
22.200 |
|
Operating Profit |
2.200 |
2.700 |
1.700 |
|
Interest |
0.400 |
0.500 |
0.700 |
|
Gross Profit |
1.800 |
2.200 |
1.000 |
|
Depreciation |
0.100 |
0.300 |
0.200 |
|
Tax |
0.700 |
0.500 |
0.300 |
|
Reported PAT |
1.000 |
1.400 |
0.500 |
200506 Quarter 1 –
Expenditure Includes (Increase)/Decrease in Stock in Trade
Rs 0.989 million Consumption of Raw Materials/Packing Material Rs 13.646
million Staff Expenditure Rs 3.864 million Other Expenditure Rs 5.695 million
Status of Investor Complaints for the quarter ended June 30, 2005 Complaints
Pending at the beginning of the quarter Nil Complaints Received during the
quarter Nil Complaints disposed off during the quarter Nil Complaints
unresolved at the end of the quarter Nil 1. The Board has taken record of the
above financial results at the meeting held on July 30, 2005. 2. Provision for
current tax includes additional tax on fringe benefits. 3. During the three
month there is no Statutory Levies as excise duty exemption availed under SSI
exemption notification.
200509 Quarter 2 –
Expenditure Includes (Increase)/Decrease in Stock in Trade
Rs (0.465) million Consumption of Raw Material/Packing Material Rs 18.744
million Staff Expenditure Rs 4.121 million Statutory Levis Rs 1.325 million
Other Expenditure Rs 3.410 million Status of Investor Complaints for the
quarter ended September 30, 2005 Complaints Pending at the beginning of the
quarter Nil Complaints Received during the quarter Nil Complaints disposed off
during the quarter Nil Complaints unresolved at the end of the quarter Nil 1.
The Board has taken record of the above financial results at the meeting held
on October 31, 2005.
200512 Quarter 3 –
Expenditure Includes (Increase)/Decrease in Stock in Trade Rs (5.223) million Consumption of Raw Materials/Packing Material Rs 15.205 million Staff Expenditure Rs 4.091 million Statutory Levies Rs 1.112 million Other Expenditure Rs 6.938 million Status of Investor Complaints for the quarter ended December 31, 2005 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter Nil Complaints disposed off during the quarter Nil Complaints unresolved at the end of the quarter Nil 1. The Board has taken record of the above financial results at the meeting held on January 31, 2006.
KEY
RATIOS
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
Debt-Equity Ratio |
1.05 |
0.74 |
0.51 |
|
Long Term Debt-Equity Ratio |
0.53 |
0.35 |
0.25 |
|
Current Ratio |
1.54 |
1.42 |
1.52 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
7.50 |
9.92 |
8.20 |
|
Inventory |
4.63 |
5.58 |
5.61 |
|
Debtors |
2.08 |
2.96 |
3.22 |
|
Interest Cover Ratio |
1.79 |
2.34 |
1.58 |
|
Operating Profit Margin(%) |
6.72 |
7.39 |
5.79 |
|
Profit Before Interest And Tax
Margin(%) |
6.01 |
6.85 |
5.19 |
|
Cash Profit Margin(%) |
2.04 |
3.39 |
2.10 |
|
Adjusted Net Profit Margin(%) |
1.32 |
2.85 |
1.50 |
|
Return On Capital Employed(%) |
10.31 |
17.98 |
13.00 |
|
Return On Net Worth(%) |
4.18 |
10.41 |
3.82 |
STOCK PRICES
|
Face
Value |
Rs.5.00/- |
|
High |
Rs.8.20/- |
|
Low |
Rs.7.80/- |
LOCAL AGENCY
FURTHER INFORMATION
Fixed
Assets
v Plant & Machinery
v Electrical Installations.
v Furniture & Fixtures
v Office Equipment
v Computers
Industry
Structure & Developments, Opportunities and Threats, Performance, outlook
and Risks and Concerns:
Generally the Indian economy is bullish and in particular pharmaceutical
and allied industries are performing better year after year. With globalization
& liberalization of Government policies new and innovative Diagnostic Kits
are being imported into India so as to cater the needs of Super specialty
Hospitals & Diagnostic clinics. The Company has consolidated its market
share with its brand value and qualitative products.
During the year under review net sales has come down to Rs.981.95 Lacs as
against Rs.1298.58 Lacs in the previous year ending 31st March 2004.
As you are aware after change in Management of the Company, which was
approved by the shareholders through Postal Ballot on 28th February 2005, there
was realignment of various internal and external policies so as to suit the
style of new management.
There was a slow down in operations of the Company, consciously by the
management, so as to restructure the entire operation for the purpose of
consolidation and steady growth in future.
The management is very confident and optimistic to register better
operations with better margins in coming years.
BUSINESS
The
company is engaged in manufacturing and sale of Biochemistry Kits, Immunology
and Instruments.
The
company finds the finest solutions in IVD (In Vitro Diagnostics), Combining
best particles and latest technologies for varied diagnostic requirements,
extensive and well-built marketing network.
Subject
ventured into the production of Biochemistry kits and of Immunodiagnostic kits.
The corporate strategies have made the company one of the well-known names in
the industry.
AS PER
WEBSITE
PROFILE:
Tracking the path to
success
Incorporated in 1991, Monozyme ventured into the production of Biochemistry
kits in January 1994. The production of Immunodiagnostic kits followed as a
corollary.
A clear goal, focused vision and well defined corporate strategies have made
Monozyme one of the well-known names in the industry.
The products of Monozyme are well accepted by Clinical Laboratories throughout
the country. Armed with the dvantage of a strong domestic spread, Monozyme is
now poised to become a global player.
In sync with technology
Monozyme has world class production facilities comprising Class-A sterile area,
advanced water treatment plants, particle-free work stations, controlled
humidity rooms, walk-in cold storage units and sophisticated equipment like
Chemistry Analysers, Spectrophotometers and Auto-dispensing units.
All the production facilities are located within the same premises facilitating
optimal utilization of resources and enabling greater control and supervision.
Capitalising on intellectual resources
The quest for excellence in every sphere of activity has led Monozyme to lay
increased emphasis on R & D which, in turn, reflects its commitment towards
developing better and superior quality products and in creating a knowledge
bank.
Monozyme has a team of highly qualified, multi-disciplinary staff engaged in R
& D activities. The team has been successful in developing liquid
biochemistry reagents and is now focused on developing new immunodiagnostic
kits.
The R & D team works in tandem with the other departments of the Company
focusing on customised requirements and according high priority to client
satisfaction.
Product basket
Monozyme has a wide range of products that are well received by clinical
laboratories and hospitals.
The range includes:
Biochemistry kits
Serology kits, immunology kits &
Microbiology kits
Rapid Tests for Hormone and Infectious
Diseases
Instruments like Chemistry Analysers,
Micropipettes and others
Most of the biochemistry kits manufactured by Monozyme are simple reagent
liquid chemistries. These customer-friendly kits are tailor-made to withstand
tropical conditions and transportation hazards.
Uncompromising quality, reliability, cost-effectiveness and adherence to
environmental safely standards are the hallmark of every Monozyme product.
People - the strength
Monozyme has a dedicated and highly skilled work force that forms the backbone
of the Company.
The cross-functional production team comprises R & D Biotechnologists,
Biochemists and Microbiologists while the marketing team comprises over 40
sales representaties, field managers and a wide spread distribution network of
over 100 distributors.
Quality
At Monozyme quality has a special significance. Monozyme is, in fact, one of
the first companies in this industry in India to receive the ISO
9002 accredition for its quality systems.
The qulity assurance team has developed several policies and practices that
ensure stringent quality adherence.
Continuous process improve-ments, assimilation of new technologies and focused
product development are just some of the ingredients of the comprehensive, all
encom-passing quality systems.
Exploring global markets
Having built a strong domestic base, Monozyme is now making inroads intro
global markets. Monozyme has exclusive distributors in the overseas markets to
offer value-oriented service to its clients.
Monozyme wishes to consider mutually beneficial marketing arrangements with interested
corporates who have demonstrated marketing capabilities. Such an arrangement
could lead to the possibility of opening up new opportunities in terms of
technology transfer in a phased manner.
Biochemistry
Most of the
Biochemistry kits manufactured by Monozyme are single reagent liquid
chemistries.
These customer-friendly kits are tailor-made to withstand tropical conditions
and transportation hazards.
Uncompromising quality, reliability,cost-ffectiveness and adherence to
environmental safety standards are the hallmark of every Monozyme product.
CMT REPORT [Corruption, Money
laundering & Terrorism]
The
Public Notice information has been collected from various sources including but
not limited to: The Courts, India Prisons Service, Interpol, etc.
1] INFORMATION
ON DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court
Declaration :
No records exist to suggest that subject is or was the subject of any
formal or informal allegations, prosecutions or other official proceeding for
making any prohibited payments or other improper payments to government
officials for engaging in prohibited transactions or with designated parties.
3] Asset
Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction registered
against subject: None
5] Records
on Violation of Anti-Corruption Laws :
Charges or investigation registered
against subject: None
6] Records
on Int’l Anti-Money Laundering Laws/Standards :
Charges or investigation registered
against subject: None
7] Criminal
Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation
with Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation
Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA
INFORM as part of its Due Diligence do provide comments on Corporate Governance
to identify management and governance. These factors often have been predictive
and in some cases have created vulnerabilities to credit deterioration.
Our
Governance Assessment focuses principally on the interactions between a
company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject
is not known to have contravened any existing local laws, regulations or
policies that prohibit, restrict or otherwise affect the terms and conditions
that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US
Dollar |
1 |
Rs. 45.92 |
|
UK
Pound |
1 |
Rs. 84.62 |
|
Euro |
1 |
Rs. 58.03 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
38 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit
history (10%) Market
trend (10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
|
<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |