MIRA
INFORM REPORT
|
Report Date : |
23.11.2006 |
IDENTIFICATION
DETAILS
|
Name : |
NIYATI
INDUSTRIES LIMITED |
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Registered Office : |
9,
Kazi Saiyed Street, 5 Shraddha Building, Mezzanine Floor, Mumbai - 400003,
Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
10.07.1992 |
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Com. Reg. No.: |
11-67632 |
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CIN No.: [Company
Identification No.] |
L65910MH1992PLC067632 |
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Legal Form : |
A
public limited liability company. The
company’s shares are listed on the Stock Exchange. |
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Line of Business : |
The
company is engaged in the business of Share Investment and Share Trading. |
RATING & COMMENTS
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MIRA’s Rating : |
C |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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Maximum Credit Limit : |
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Status : |
Poor |
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Payment Behaviour : |
Delayed
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Litigation : |
Exist |
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Comments : |
Financial
position of the company is poor. Payments are slow and delayed. The company
can be considered for any business dealings on fully safe and secured trade
terms and conditions, only. |
LOCATIONS
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Registered Office : |
9,
Kazi Saiyed Street, 5 Shraddha Building, Mezzanine Floor, Mumbai - 400003,
Maharashtra, India |
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Tel. No.: |
91-22-23889656
/ 23455300 |
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E-Mail : |
DIRECTORS
|
Name : |
Mr.
Yogesh M. Shah |
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Designation : |
Chairman
and Managing Director |
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Name : |
Mr.
Arvind M. Shah |
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Designation : |
Director
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Name : |
Mr.
Ravindra Joshi |
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Designation : |
Director
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Name : |
Mr. J
D Tripathi |
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Designation : |
Director
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Name : |
Mr.
Prakash C. Shah |
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Designation : |
Director
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BUSINESS DETAILS
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Line of Business : |
The
company is engaged in the business of Share Investment and Share Trading. |
GENERAL
INFORMATION
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No. of Employees : |
20 |
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Bankers : |
Not
Available |
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Auditors : |
Jayesh
R Shah and Company Chartered
Accountants |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity
Shares |
Rs. 10/- each |
Rs. 100.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
3757800 |
Equity
Shares |
Rs. 10/- each |
Rs. 37.000 millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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|
SHAREHOLDERS FUNDS |
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1] Share Capital |
37.000 |
37.000 |
37.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
27.400 |
27.400 |
27.300 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
64.400 |
64.400 |
64.300 |
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LOAN FUNDS |
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1] Secured Loans |
10.200 |
10.200 |
10.200 |
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2] Unsecured Loans |
3.000 |
1.800 |
1.800 |
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TOTAL BORROWING |
13.200 |
12.000 |
12.000 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
77.600 |
76.400 |
76.300 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
23.200 |
23.300 |
23.400 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
5.500 |
5.500 |
5.500 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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Sundry Debtors |
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Cash & Bank Balances |
42.500
|
45.300 |
45.000 |
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Other Current Assets |
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Loans & Advances |
6.500
|
2.400 |
2.400 |
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Total Current Assets |
49.000
|
47.700 |
47.400 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
0.100
|
0.100 |
0.000 |
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Provisions |
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Total Current Liabilities |
0.100
|
0.100 |
0.000 |
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Net Current Assets |
48.900
|
47.600 |
47.400 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
77.600 |
76.400 |
76.300 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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Sales Turnover [including other income] |
12.300 |
26.700 |
25.200 |
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Total
Expenditure |
12.200 |
26.600 |
25.100 |
QUARTERLY
RESULTS
|
PARTICULARS |
|
30.06.2006 |
30.09.2006 |
|
Type |
|
1st Quarter |
2nd Quarter |
|
Sales
Turnover |
|
7.100 |
23.500 |
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Other
Income |
|
0.000 |
0.100 |
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Total
Income |
|
7.100 |
23.600 |
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Total
Expenditure |
|
6.600 |
18.700 |
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Operating
Profit |
|
0.500 |
4.900 |
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Interest |
|
0.000 |
0.000 |
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Gross
Profit |
|
0.500 |
4.900 |
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Depreciation |
|
0.000 |
0.000 |
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Tax |
|
0.000 |
0.000 |
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Reported
PAT |
|
0.500 |
4.900 |
200606 Quarter 1 –
Operating Expenses Includes Purchases Rs 6.331 million
General Administrative Expenses Rs 0.199 million Selling & Distribution
Expenses Rs 0.027 million The above Financial Results were taken on record by
the board at its meeting held on 16.08.2006.
200609 Quarter 2 –
Expenditure Includes (Increase)/Decrease in stock in Trade
Rs 0.700 million Purchases Rs 17.684 million Staff Cost Rs 0.220 million Other
expenditure Rs 0.071 million The above Financial Results were taken on record
by the board at its meeting held on 18.10.2006.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity Ratio |
0.20 |
0.19 |
0.19 |
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Long Term Debt Equity Ratio |
0.20 |
0.19 |
0.19 |
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Current Ratio |
483.50 |
951.00 |
473.50 |
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TURNOVER RATIOS |
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Fixed Assets |
0.70 |
1.00 |
0.81 |
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Inventory |
0.52 |
0.68 |
0.57 |
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Debtors |
2.79 |
5.79 |
4.60 |
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Interest Cover Ratio |
0.00 |
0.00 |
0.00 |
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Operating Profit Margin (%) |
0.53 |
0.37 |
0.45 |
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Profit Before Interest and Tax Margin (%) |
0.00 |
0.00 |
0.00 |
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Cash Profit Margin (%) |
0.53 |
0.37 |
0.45 |
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Adjusted Net Profit Margin (%) |
0.00 |
0.00 |
0.00 |
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Return on Capital Employed (%) |
0.00 |
0.00 |
0.00 |
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Return on Net Worth (%) |
0.00 |
0.00 |
0.00 |
STOCK PRICES
|
Face
Value |
Rs.
10/- |
|
High |
Rs.
[0.01] |
|
Low |
Rs.
[0.01] |
LOCAL AGENCY
FURTHER INFORMATION
Dividend:
In view of extremely low profit during the year, the directors do not recommend
any dividend on equity shares for the year ended on 31.3.2006.
Operation:
The major operations of the company are in the field of Share Investment &
Share Trading. The depression and liquidity crunch in capital market affected
company's operations very badly, which has resulted in very low profitability.
On the past leasing business front the company has continued its efforts with
its legal proceedings for recovery of its dues.
Future Prospects:
The Company is presently engaged in business of investments and dealing in
securities since last year has diversified into the business of information and
technology and allied service. The directors of the company are of the opinion
that the new business, under the existing circumstances, can be carried on
conveniently with the current business.
Press Clipping
Niyati Industries swung to a loss for the quarter ending in March, 2006.
During the quarter, the company incurred a loss of Rs 0.2 million in the
current quarter as against a profit of Rs 0.39 million in the corresponding
quarter. Sales for the quarter declined 50.04% to Rs. 6.97 million compared
with the corresponding quarter, a year ago.
Operating margins were negative at 8.38% during the quarter, a fall of 909.56
basis points compared with the corresponding quarter. Net Margins, on the other
hand, fell from 2.74% to a negative at 2.72% during the quarter.
At the closing price of Rs. 0.32 on Friday at the BSE, the company’s shares
were valued at 5.23 times earnings on a trailing twelve month basis.
|
As at |
March,
2006(3) |
March,
2005(3) |
%Change |
|
|
Rs.
million |
Rs.
million |
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|
Sales of Products / Services |
6.97 |
13.95 |
-50.04
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Other Income |
0.38 |
0.30 |
26.67
|
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Total Income |
7.35 |
14.25 |
-48.42
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Total Expenses |
7.55 |
13.75 |
-45.06
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OPBDIT |
-0.58 |
0.20 |
-392.00
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Operating
Margin(%) |
-8.38 |
0.72 |
-909.56 bp*
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Depreciation |
0.00 |
0.10 |
-100.00
|
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After Tax Profit |
-0.20 |
0.39 |
-151.28
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Net Margin(%) |
-2.72 |
2.74 |
-545.79
bp* |
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Profit before Tax |
-0.58 |
0.10 |
-684.00
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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 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.44.65 |
|
UK
Pound |
1 |
Rs.87.23 |
|
Euro |
1 |
Rs.58.96 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
1 |
|
OPERATING SCALE |
1~10 |
1 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
1 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
- |
|
--LEVERAGE |
1~10 |
- |
|
--RESERVES |
1~10 |
- |
|
--CREDIT LINES |
1~10 |
1 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
NO |
|
TOTAL |
|
7 |
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 |
|
NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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