MIRA
INFORM REPORT
|
Report Date : |
15.03.2007 |
IDENTIFICATION
DETAILS
|
Name : |
JUBILANT ORGANOSYS LIMITED |
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Registered Office : |
Bhartiagram, Gajraula, District Jyotiba Phuley Nagar, Uttar Pradesh –
244 223 |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
21.06.1978 |
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Com. Reg. No.: |
20-4624 |
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CIN No.: [Company
Identification No.] |
U24116UP1978PLC004624 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MRTJ00275C |
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Legal Form : |
It is a public limited liability company. The company’s shares are
listed on the Stock Exchanges. |
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Line of Business : |
Manufacturing of basic and speciality chemicals such as acetaldehyde,
acetic acid, acetic anhydride, vinyl acetate monomer and pyridine bases and
their derivatives. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
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 |
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Maximum Credit Limit : |
USD 32000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject
is a well established and reputed company of Bhartia Group, which is a
medium, sized industrial house.
Available information indicates high financial responsibility of the
company and its directors. Their
trade relations are reported as fair.
The
company can be considered good for normal business dealings at usual trade
terms and conditions. |
LOCATIONS
|
Registered Office : |
Bhartiagram, Gajraula, District Jyotiba Phuley Nagar– 244 223, Uttar
Pradesh, INDIA |
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Tel. No.: |
91-5924-252351/252353-60 |
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Fax No.: |
91-5924-252352 |
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E-Mail : |
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Website : |
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Corporate Office : |
Plot No.1A, Sector – 16-A, Noida – 201 301, Uttar Pradesh, India. |
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Tel. No.: |
+91 120 2516601 / 2516611 |
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Fax No.: |
+91 120 2516629 |
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E-Mail : |
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Website : |
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Mumbai Office |
Contractor Building (Ground Floor) 46 R K Marg, Ballard Estate,
Mumbai – 400038 |
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Factory 1 : |
Bhartiagram,
District Jyotiba Phuley Nagar – 201 304, Uttar Pradesh, India |
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Tel. No.: |
91-5924-252351
/ 252353-360 |
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Fax No.: |
91-5924-252352 |
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Factory 2 : |
Village
Nimbut, Near Nira Railway Station, District Pune, Maharashtra, India |
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Tel. No.: |
91-2112-269155-57 |
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Fax No.: |
91-2112-269154 |
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Factory 3 : |
56 Industrial
Area, Nanjangud, Distt. Mysore - 571 302 Karnataka, India |
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Tel. No.: |
91 8221 228402-08 |
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Fax No.: |
91 8221 228410-11 |
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Factory 4 : |
Block
No. 133, P. O. Samlaya, Savli Jarod Road, Taluka Savli, Vadodara – 391 520,
Gujarat, India |
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Tel. No.: |
91-2667-251306
/ 251281 / 251326 / 251361-63 |
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Fax No.: |
91-2667-251305 |
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Factory 5 : |
Trigen Laboratories
Inc. 207 Kinley Drive, Salisbury, MD, 21801 |
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Tel. No.: |
1 410 860 8500 |
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Division : |
Agro Business
Division
v
4th Floor, Sheetla House, 74, Nehru Place, New Delhi – 110 019, India Tel. 91-11-26465772 / 26435922 Fax. 91-11-26469088 E-Mail. rkapoor@vamorganic.com Contact Person : Mr. Raju
Kapoor Feed Additives Division v
16A, Dutt Vihar Society, Behind ABB House, Race Course Circle, Vadodara
– 390 005, Gujarat, India Tel. 91-265-2339411 / 2336640 Fax. 91-265-2339466 E-Mail. anichembaroda@yahoo.com
Contact Person : Mr. Subodh
Mishra International Division v
5th Floor, Mansarovar, 90, Nehru Place, New Delhi – 110 019, India Tel. 91-11-26292582 / 26211129 Fax. 91-11-26292420 / 26239337 E-Mail. vamintl@vamorganic.com Contact Person : Mr. L. R.
Tandon Organic Intermediates Division v
4th Floor, 'Skyline House', 85, Nehru Place, New Delhi-110 019, India Tel. 91-11-26465772 / 26435922 Fax. 91-11-26469088 E-Mail. ddua@vamorganic.com Contact Person : Mr. Dinesh Dua Performance Chemicals Division v
2nd Floor, Skyline House, 85, Nehru Place, New Delhi – 110 019, India Tel. 91-11-26435922 / 26465772 Fax. 91-11-26469088 E-Mail. msharan@vamorganic.com
Contact Person : Mr. Madhav
Sharan Speciality Products Division v
3rd Floor, Hemkunt Chambers, 89, Nehru Place, New Delhi – 110 019,
Inida Tel. 91-11-26428869 / 0347 Fax. 91-11-26465810 E-Mail. vkaushik@vamorganic.com Vinyl Pyridine Latex Division v
16A, Dutt Vihar Society, Behind ABB House, Race Course Circle,
Vadodara – 390 005, Gujarat, India Tel. 91-265-2339411 / 2336640 Fax. 91-265-2339466 E-Mail. 1. monojit@gnahd.global.net.in Contact Person : Mr. Monojit
Mukherjee |
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R and D
Facility: |
Uttar Pradesh
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Marketing
offices: |
Located at :
Ahmedabad, Bangalore, Kolkata, Chennai, New Delhi,
Ludhiana, Mumbai, Vadodara and Hyderabad
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Overseas
Office : |
Ř
Shanghai Representative Office G/10F, Jiu Shi Fuxing Mansion, 918, Huai Hai Zhong
Road, Shanghai PC 2000 20
Tel. 86 21 6415 9378
Fax. 86 21 6415 2793
E-Mail. vamsh@sh163b.sta.net.cn
Ř
One Evergreen Avenue, Suite LL6,
Hamden, CT 06518 Tel. 1-203 230 4890
Fax. 1-203 230 4870
E-Mail. c.gonzalez.vam@worldnet.att.net
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Branches : |
Uttar Pradesh
Tamil Nadu
Fax
: 91 44 24335875 Andhra Pradesh
Hyderabad – 500029 Andhra
Pradesh, India
Karnataka
Maharashtra
Maharashtra
Gujarat
Tel. : 91 79 27541519, 27541120, 27541037 Fax : 91 79 27544561 West Bengal
|
DIRECTORS
|
Name : |
Mr. Shyam S Bhartia |
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Designation : |
Chairman and Managing Director |
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Name : |
Mr. Hari S Bhartia |
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Designation : |
Co-Chairman and Managing Director |
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Name : |
Dr. J M Khanna |
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Designation : |
Executive Director &President (Life Sciences) |
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Qualification : |
M.S. (Organic Chemistry), Ph.D. |
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Experience : |
39 years |
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Date of Appointment : |
16 August 2002 |
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Name : |
Mr. S N Singh |
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Designation : |
Executive Director & President (Chemicals) |
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Qualification : |
B. E. (Chemical Engineering) |
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Experience : |
44 years |
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Date of Appointment : |
14 December 1981 |
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Name : |
Mr. S Bang |
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Designation : |
Executive Directors (Manufacturing and Supply Chain Operations) |
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Date of Birth/Age : |
55 years |
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Qualification : |
M.Tech (Chem Engg.) |
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Experience : |
33 |
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Date of Appointment : |
02.06.2003 |
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Name : |
Mr. Arabinda Ray |
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Designation : |
Directors |
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Name : |
Mr. Bodhishwar Rai |
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Designation : |
Directors |
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Name : |
Mr. Surendra Singh |
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Designation : |
Directors |
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Name : |
Mr. H K Khan |
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Designation : |
Directors |
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Name : |
Dr. Naresh Trehan |
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Designation : |
Directors |
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Name : |
Mr. Ajay Relan |
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Designation : |
Directors |
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Name : |
Mr. Abhay Havaldar |
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Designation : |
Directors |
KEY EXECUTIVES
|
Name : |
Mr. R Sankaraiah |
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Designation : |
Executive Directors – Finance |
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Date of Birth/Age : |
47 Years |
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Qualification : |
B.sci., FCA |
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Experience : |
22 Years |
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Date of Appointment : |
09.09.2002 |
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Name : |
Mrs. Lalita Jain |
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Designation : |
Company Secretary |
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MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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Shareholding of
Promoter and Promoter Grou : |
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India : |
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A : Individuals / Hindu Undivided
Family |
1847235 |
1.29 |
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B : Central Government / State
Government(s) |
0 |
0.00 |
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C : Bodies Corporate |
66919129 |
46.68 |
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D
: Financial Institution / Banks |
0 |
0.00 |
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Foreign : |
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A : Individuals (Non – Resident
Individuals / Foreign Individuals) |
0 |
0.00 |
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B : Bodies Corporate |
0 |
3.88 |
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C : Institutions |
0 |
0.00 |
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Public
Shareholding : |
||
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Institutions : |
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A : Mutual Funds |
917618 |
0.65 |
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B : Financial Institution / Banks |
2344722 |
1.66 |
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C : Foreign Institutional
Investors |
16852172 |
11.75 |
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D : Foreign Financials
Institutional |
24105073 |
16.80 |
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Non –
Institutions : |
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A : Bodies Corporate |
9116794 |
6.89 |
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B : Individuals - |
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(1) Individual
Shareholders holding nominal share capital upto Rs. 1 Lakh |
8136970 |
9.72 |
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(2) Individual
Shareholders holding nominal share capital in excess of Rs.1 Lakh |
0 |
0.18 |
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C : Any Others : |
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(1) The Custodian Special Court |
0 |
0.04 |
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(2) Non – Resident
Individuals |
214120 |
0.46 |
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(3) foreign Individuals |
3200 |
0.00 |
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BUSINESS DETAILS
|
Line of Business : |
Manufacturing of basic and speciality chemicals such as acetaldehyde,
acetic acid, acetic anhydride, vinyl acetate monomer and pyridine bases and
their derivatives. |
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Products : |
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PRODUCTION STATUS
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Alcohol |
KBL |
157,700 |
102,679 |
|
Organic including Speciality Chemicals and its
Intermediates |
MT |
485,108 |
424,583 |
|
Polymers including Co-polymers and VP Latex/SBR latex |
MT |
32,060 |
26,493 |
|
Single Superphosphate |
MT |
132,000 |
172,822 |
|
Sulphuric Acid |
MT |
57,750 |
57,585 |
|
Dry & Acqueous Choline Chloride & Ethyoxylates |
MT |
22,000 |
8,968 |
|
Feed Premixes |
MT |
3,500 |
1,680 |
|
Agri Chemicals |
KL |
-- |
609 |
|
Active Pharmaceuticals Ingredients [API] |
MT |
293 |
214 |
|
IMFL |
KBL |
10,800 |
4,706 |
GENERAL
INFORMATION
|
Suppliers : |
Ř Vel make Seals Ř D. R. Scientific
Works Ř Manik Engineers Ř Span Engineers Ř Virava Chemicals Ř Millenium Chemi
Pharma Ř Mander
Engineering Ř Sunil Kumar &
Bros Ř Premium Energy
Transmission Limited Ř Arihant Gujrat
Plastic Industries Ř Century Thread
Works Ř Pious Printers Ř Enkay Containers Ř Makewell
Plasticizers Private Limited Ř Parth Chemical
& Metals Enterprises Ř Metro Polyprints Ř K L J Organic
Limited Ř Polybond
Pharmaceuticals Ř Dhruv Packaging Ř Silver Tone
Gravu-Flex Private. Limited Ř Rodricon
Industries Ř S M Engineering Ř Micro Engineers Ř Dhatukarm
Engineers Ř Vimal Hi-Tech
Private. Limited Ř A K Sales
Corporation Ř Polybond
Pharmaceuticals Ř Niranjan
Containers Private Limited Ř Parkaire
Engineering Co. Private Limited Ř Multi -Max
Engineering.Works Ř Chhaya Packers
& Printers Private. Limited Ř Basant Plastics Ř Pahwa Plastics
Private Limited Ř
Bloom Packaging Private. Limited Ř
K and S Packaging Dynamics Ř
Sun Synthetics Ř
CMC
Enterprises Ř
Purex
Laboratories Ř
Alchem
Laboratories Ř
Kakkar and
Company Ř
India
Hardware and Mills Stores Ř
Jain Mill
Store P Ltd. |
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No. of Employees : |
700 |
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Bankers : |
Ř ICICI
Bank Limited Ř Export
- Import Bank of India Ř Punjab
National Bank Ř Corporation
Bank Ř Canara
Bank Ř Syndicate
Bank Ř Indian
Bank Ř The
Jammu and Kashmir Bank Limited Ř ABN
AMRO Bank N. V. Ř Standard
Chartered Bank Ř
ING Vysya Bank Limited |
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Facilities : |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
Statutory Auditors |
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Address : |
K N Gutgutia And Company, 11K Gopala Tower, 25, Rajendra Place, New
Delhi – 110 048, India. |
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|
|
|
Name : |
US GAAP Auditors |
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Address : |
KPMG, 4B, DLF Corporate Park, DLF City Phase III, Gurgaon – 122 002,
India. |
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|
|
|
Name : |
Cost Auditors |
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Address : |
J K Kabra And Company, 552/1B, Arjun Street, Main Viswas Road, Viswas
Nagar, Delhi – 110 032, India. |
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|
|
|
Name : |
Internal Auditors |
|
Address : |
Ernst And Young Private Limited, Ernst And Young Tower, B-26, Qutab Institutional
Area, New Delhi – 110 016, India. |
|
Associates : |
Ř Air Travels
Bureau (Private) Limited Ř Cable Compound
Limited Ř Dominos Pizzas
India Ltd. Ř Enpro Services
Limited Ř Hindustan Wires
Limited Ř India Glycols
Limited Ř Insilco Limited Ř Intelcom Limited Ř Jubilant Biosys
(P) Limited Ř Jubilant Enpro
India Limited Ř Vam Employees
Provident Fund Trust Ř Ogan India
Private Limited Ř Ramganga
Fertilizers Limited (Sick Unit) Ř Vam Petro
Products Private Limited Ř Vam Leasing
Limited Ř Vam Investments
Limited Ř Vam Organic
Chemicals, USA Ř Jubilant Enpro
Private limited Ř Jubilant Oil and
Gas Private limited Ř Enpro Oil
Private limited |
|
Subsidiaries : |
Ř Jubilant Pharma
N. V. Ř Pharmaceutical
Services Incorporated N. V. Ř Jubilant
Organosys (USA) Inc. Ř Jubilant Clinsys
Limited Ř Jubilant Pharma
Pte. Ltd. Ř Trigen
Laboratories, Inc. Ř Jubilant
Pharmaceuticals Inc. Ř Jubilant
Organosys (Shanghai) Ltd. Ř PSI Supply N. V. Ř Jubilant Biosys
Ltd. Ř Jubilant Chemsys
Ltd. Ř Clinsys Holding
Inc. Ř Clinsys Inc. |
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|
Ř |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
60000000 |
Equity Shares |
Rs. 5/- each |
Rs.300.000 millions |
|
2500000 |
Redeemable Cumulative Preference Shares |
Rs. 100/- each |
Rs.250.000 millions |
|
|
Total |
|
Rs.550.000millions |
Issued, Subscribed :
|
No. of Shares |
Type |
Value |
Amount |
|
142,474,995 |
Equity Shares |
Re. 1 each |
Rs.142.480 |
|
|
|
|
|
|
|
Total |
|
Rs.142.480 |
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
142,442,995 |
Equity Shares |
Re. 1 each |
Rs.142.440Millions |
|
|
Add. Equity shares forfeited |
|
Rs.
0.020Millions |
|
|
Total |
|
Rs.142.460Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
142.460 |
129.580 |
117.320 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
8,102.10 |
4,830.520 |
1996.380 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
8,244.560 |
4,960.100 |
2113.700 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
2,385.340 |
2,038.150 |
3857.660 |
|
|
2] Unsecured Loans |
3,854.540 |
1,619.730 |
352.340 |
|
|
TOTAL BORROWING |
6,239.880 |
3,657.880 |
4210.000 |
|
|
DEFERRED TAX LIABILITIES |
1,056.350 |
857.700 |
741.620 |
|
|
|
|
|
|
|
|
TOTAL |
15540.790 |
9475.680 |
7065.320 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
6,986.510 |
5,275.930 |
4336.320 |
|
|
Capital work-in-progress |
1,168.970 |
929.700 |
405.990 |
|
|
|
|
|
|
|
|
INVESTMENT |
2,415.440 |
990.230 |
148.890 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
2,818.040 |
1282.800 |
1282.800 |
|
|
Sundry Debtors |
2,462.060 |
1455.050 |
1455.050 |
|
|
Cash & Bank Balances |
1,082.280 |
208.350 |
208.350 |
|
|
Loans & Advances |
1,950.660 |
0.000 |
811.420 |
|
Total
Current Assets |
8,313.040 |
4,955.060 |
3757.620 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
2,281.000 |
2,039.530 |
1379.930 |
|
|
Provisions |
1,094.370 |
691.290 |
225.480 |
|
Total
Current Liabilities |
3,375.370 |
2,730.820 |
1605.410 |
|
|
Net Current Assets |
4,937.670 |
2,224.240 |
2152.210 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
32.200 |
55.580 |
21.910 |
|
|
|
|
|
|
|
|
TOTAL |
15,540.790 |
9,475.680 |
7065.320 |
|
|
|
|
|
|
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
13,859.520 |
11,145.320 |
8633.530 |
|
|
Other Income |
177.370 |
138.610 |
0.000 |
|
|
Increase / (Decrease) in Stocks |
118.580 |
248.630 |
0.000 |
|
|
Total Income |
14,155.470 |
11,532.560 |
8,633.530 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
1,790.920 |
1,503.040 |
978.920 |
|
|
Provision for Taxation |
403.020 |
370.110 |
176.860 |
|
|
Profit/(Loss) After Tax |
1,387.900 |
1,132.930 |
802.060 |
|
|
|
|
|
|
|
|
Earnings in Foreign Currency : |
|
|
|
|
|
|
Export Earnings |
4,614.480 |
3,393.820 |
2,161.730 |
|
|
Commission Earnings |
0.000 |
0.000 |
0.000 |
|
|
Other Earnings |
39.460 |
3.130 |
0.000 |
|
Total Earnings |
4,653.940 |
3,396.950 |
2,161.730 |
|
|
|
|
|
|
|
|
Imports : |
|
|
|
|
|
|
Raw Materials |
2,067.590 |
1,726.880 |
1,061.720 |
|
|
Stores & Spares |
114.350 |
31.580 |
0.000 |
|
|
Capital Goods |
115.540 |
121.990 |
0.000 |
|
|
Trading Goods |
325.930 |
168.610 |
0.000 |
|
Total Imports |
2,623.41 |
2,049.06 |
1,061.720 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Manufacturing Expenses |
11,776.370 |
9,468.630 |
7,654.610 |
|
|
Interest |
146.630 |
213.190 |
0.000 |
|
|
Depreciation & Amortization (Net) |
441.550 |
347.700 |
0.000 |
|
Total Expenditure |
12,364.55 |
10,029.52 |
7,654.610 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2006 (1st
Quarter) |
30.09.2006 ( 2nd
Quarter) |
31.12.2006 ( 3rd
Quarter) |
|
Sales Turnover |
3587.000 |
4086.000 |
4128.000 |
|
Other Income |
87.000 |
131.000 |
28.000 |
|
Total Income |
3674.000 |
4217.000 |
4156.000 |
|
Total Expenditure |
2894.000 |
3300.000 |
3161.000 |
|
Operating Profit |
780.000 |
917.000 |
995.000 |
|
Interest |
40.000 |
35.000 |
30.000 |
|
Gross Profit |
740.000 |
882.000 |
965.000 |
|
Depreciation |
124.000 |
129.000 |
131.000 |
|
Tax |
142.000 |
211.000 |
231.000 |
|
Reported PAT |
474.000 |
542.000 |
603.000 |
|
Dividend (%) |
|
|
|
200606
Quarter 1 - Gross Sales
Includes Domestic Sales & Services Rs 2659.00 million International Sales
Rs 1241.00 million Expenditure Includes (Increase)/Decrease in stock of
manufactured goods Rs (23.00) million Cost of trading goods sold Rs 68.00
million Raw & Process Materials consumed Rs 1700.00 million Stores, spares,
chemicals, catalyst & packing material consumed Rs 202.00 million
Manufacturing expenses - Cost of power & Fuel Rs 296.00 million - Other
manufacturing expenses Rs 96.00 million Staff Cost Rs 202.00 million Selling,
general & Admin. expenses Rs 353.00 million Provision for tax (including
deferred tax & fringe benefit tax its tax and net of reversals / credit)
EPS is Basic Status of Investor Complaints for the quarter ended June 30, 2006
Complaints Pending at the beginning of the quarter Nil Complaints Received
during the quarter 57 Complaints disposed off during the quarter 57 Complaints
unresolved at the end of the quarter Nil :
1. In May 2006, the Company issued Zero Coupon Foreign
Currency Convertible Bonds due 2011 (FCCB 2011) amounting to US$ 200 million
(equivalent to Rs 9010 million). The bondholders have an option to convert
these bonds into Equity shares or Global Depository Shares (GDS) determined at
an initial conversion price of Rs 413.4498 per share at a fixed rate of
exchange of Rs 45.05=US$ 1.00, and subject to such adjustments as specified in
the Offering Circular dated May 17, 2006. These bonds will be due for
redemption on May 20, 2011 at 142.429% of the principal amount unless previously
converted, redeemed or purchased and cancelled. The net proceeds are to be used
for organic capital expenditure, acquisitions and any other use as may be
permitted under the applicable regulations. The net proceeds (amounting to US$
197.26 million) of issue is parked overseas, pending utlization. The conversion
of these bonds as on June 30, 2006 is Nil. The issue related expenses and
proportionate amount of premium payable on redemption are being debited to
Share Premium Account.
2. a. FCCB 2010 (issued in May 2005) of US$ 75 million were
outstanding as on June 30, 2006. Out of this, US$ 18 million has been kept in
deposit in overseas bank account and balance has been utilized for capital
expenditure & acquisitions. b. During the quarter, US$ 2.25 million worth
of FCCB 2009 Bonds (issued in May 2004) had been converted into equity shares
resulting in allotment of 616,031 equity shares of Rs 1 each. Accordingly,
Paid-up Share Capital increased by Rs 0.62 million and Securities Premium by Rs
100.19 million. As on June 30, 2006, US$ 3.30 million worth of FCCB 2009 were
outstanding.
3. Other Income includes interest income of Rs 66 million on
un-utilized proceeds of FCCBs.
4. During the Quarter, the Company through its wholly owned
subsidiary Jubilant Pharma Pte Ltd, Singapore has invested US $ 3 million in
Trigen Laboratories Inc. as per the Share Purchase Agreement and increased its
equity interest from 66.6% to 70.5%.
5. ESOP options granted till date have not been exercised since
the first vesting will be in Sept 2006.
6. During the quarter, the Company incorporated a wholly
owned subsidiary, Jubilant Infrastructure Ltd in India for setting up Special
Economic Zone(s).
7. The additional
liability (net of deferred tax effect) of Rs 18 million, calculated on the
basis of actuarial valuation, pursuant to applicability of revised AS-15
(Employee Benefits) w.e.f. April 01, 2006, in relation to the period upto March
31, 2006, is adjusted against opening balance of General Reserve of the Company
as required by the said Accounting Standard.
8. Segment revenue, results and capital employed include the
respective amounts identifiable to each of the segments and allocated on
reasonable basis. Other Unallocable Expenditure includes expenses incurred on
common services, provided to the segments which are not directly allocable on
an appropriate basis.
9. The Limited
Review of above unaudited financial results as required in clause 41 of listing
agreement has been carried out by the Statutory Auditors.
10. Figures for previous period / year have been regrouped /
reclassified / restated, wherever considered necessary.
11. The above Financial Results were taken on record by the
Board of Directors at the meeting held on July 18, 2006.
200609
Quarter 2 - Gross Sales Includes Domestic Sales & Services Rs
2679.00 million International Sales Rs 1729.00 million Expenditure Includes
(Increase)/Decrease in stock of manufactured goods Rs (111.00) million Cost of
trading goods sold Rs 83.00 million Raw & Process Materials consumed Rs
1991.00 million Stores, spares, chemicals, catalyst & packing material
consumed Rs 237.00 million Manufacturing expenses - Cost of power & Fuel Rs
347.00 million - Other manufacturing expenses Rs 135.00 million Staff Cost Rs
240.00 million Selling, general & Admin. expenses Rs 378.00 million
Provision for tax (including deferred tax & fringe benefit tax its tax and
net of reversals / credit) EPS is Basic Status of Investor Complaints for the
quarter ended September 30, 2006 Complaints Pending at the beginning of the
quarter Nil Complaints Received during the quarter 60 Complaints disposed off
during the quarter 60 Complaints unresolved at the end of the quarter Nil :
1. The above un-audited results which are subjected to
limited reviewed by the auditors of the Company, were reviewed by the Audit
Committee and have been taken on record by the Board at its meeting held on
October 17, 2006.
2. The Company issued Foreign Currency Convertible Bonds
(FCCBS) of US $35 million in May 2004, US $75 million in May 2005 and US $ 200
million in May 2006. FCCB aggregating to US $ 31.70 million have been converted
into equity share. The Company has utilized part of the FCCBs Proceeds capital
expenditure, investment in / acquisition of overseas subsidiaries and balance
of US $ 190.26 million kept in deposit account.
3. Other Income includes interest income of Rs 112.20
million for 2nd Quarter Rs 178.41 million for H1 on unutilized proceeds of
FCCBs.
4. Figures for previous period / year have been regrouped /
reclassified / restated, wherever considered necessary.
200612
Quarter 3 - Gross Sales Includes Domestic Sales & Services Rs
2932.00 million International Sales Rs 1554.00 million Expenditure Includes
(Increase)/Decrease in stock of manufactured goods Rs (135.00) million Cost of
trading goods sold Rs 112.00 million Raw & Process Materials consumed Rs
2127.00 million Stores, spares, chemicals, catalyst & packing material
consumed Rs 255.00 million Manufacturing expenses - Cost of power & Fuel Rs
319.00 million - Other manufacturing expenses Rs 136.00 million Staff Cost Rs
262.00 million Selling, general & Admin. expenses Rs 85.00 million EPS is
Basic Status of Investor Complaints for the quarter ended December 31, 2006
Complaints Pending at the beginning of the quarter Nil Complaints Received
during the quarter 72 Complaints disposed off during the quarter 72 Complaints
unresolved at the end of the quarter Nil 1. The above un-audited results which
are subjected to limited review by the auditors of the Company, were reviewed
by the Audit Committee and have been taken on record by Board at its meeting
held on January 16, 2007.
2. During the Quarter, the Company through its wholly owned
subsidiary Jubilant Pharma Pte Ltd Singapore invested US $ 1.59 million in
Trigen Laboratories Inc as per the Share Purchase Agreement and increased its
equity interest to 75.0%.
3. The Company, issued Foreign Currency Convertible Bonds
(FCCBs) aggregating to US $ 310 million out of which US $ 33.10 million have
been converted into equity shares. The Company has utilized part of the FCCBs
proceeds towards capital expenditure, acquisition of overseas subsidiaries and
balance of US $ 190 million kept in cash account.
4. Other income
includes interest income on unutilized proceeds of FCCBs of Rs 11.0 million for
Q3 and Rs 189.41 million for Nine months ended December 31, 2006 (Consolidated
Rs 129.56 million and Rs 307.97 million respectively).
5. Figures for previous period / year have been regrouped /
reclassified / restated, wherever considered necessary.
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt
Equity Ratio |
0.75 |
1.12 |
2.38 |
|
Long
Term Debt Equity Ratio |
0.64 |
0.88 |
1.77 |
|
Current
Ratio |
1.40 |
1.14 |
1.08 |
|
TURNOVER
RATIOS |
|
|
|
|
Fixed
Assets |
1.60 |
1.58 |
1.38 |
|
Inventory
|
6.57 |
8.00 |
7.20 |
|
Debtors |
7.09 |
7.52 |
8.28 |
|
Interest
Cover Ratio |
7.36 |
7.56 |
3.62 |
|
Operating
Profit Margin (%) |
16.71 |
17.08 |
17.71 |
|
Profit
Before Interest and Tax Margin (%) |
13.77 |
14.22 |
14.30 |
|
Cash
Profit Margin (%) |
12.16 |
12.16 |
11.89 |
|
Adjusted
Net Profit Margin (%) |
9.22 |
9.30 |
8.48 |
|
Return
on Capital Employed (%) |
18.03 |
23.41 |
22.87 |
|
Return
on Net Worth (%) |
21.07 |
32.33 |
45.71 |
STOCK PRICES
|
Face Value |
Rs.1.00/- |
|
High |
Rs.245.00/- |
|
Low |
Rs.242.00/- |
LOCAL AGENCY
FURTHER INFORMATION
OPERATIONS :
Financial Year 2005-06
has been a year of significant achievements in the key focus business areas of
Pharmaceuticals and Life Science Chemicals. Custom Research and Manufacturing
Services (CRAMS) and Active Pharmaceutical Ingredients (API), the major
contributors to this business segment continued to record robust growth. The
API business filed 5 Drug Master Files (DMFs) in USA and 9 European Drug Master
Files (EDMFs) in Europe during the financial year. The Company has made
significant capital expenditure to increase manufacturing capacity and the
R&D capabilities in these businesses. The capacity of pyridine plant has
been increased by 20% and a new multipurpose plant became operational for fine
chemicals during FY 06. In view of the increased demand from the market, the
Kilo labs facility at Gajraula was further expanded. In APIs, the plant for
Oxcarbazepine, an anti epileptic drug and a new multi purpose plant have been
commissioned.
The Company
entered the dosage forms market of USA by acquiring Trinity Laboratories, Inc.
(renamed Trigen Laboratories, Inc.) along with its wholly owned subsidiary -
Trigen Laboratories, Inc. (renamed Jubilant Pharmaceuticals, Inc.) Jubilant
Pharmaceuticals, Inc. has a US FDA approved manufacturing facility for solid
dosage forms and has 7 approved Abbreviated New Drug Application in its
portfolio. During the financial year, the dosage forms R&D became
operational and the work has been initiated for setting up a new solid dosage
forms plant near Roorkee in Uttarancnal.
The Company also acquired
Target Research Associates, Inc. (renamed Clinsys, Inc.), a US based Clinical
Research Organization (CRO) involved in clinical operations for phase II to IV,
clinical data management, bio statistics, QA and regulatory services and
contract staffing. The business profile of Clinsys, Inc. forms perfect synergy
with- Jubilant Clinsys Ltd. involved in Bio availability (BAY Bio equivalence
(BE) and Clinical Trials phase I studies. This acquisition made Jubilant the
only Indian CRO having presence in the US market.
During Financial
Year 2006, the Company has filed 7 new patents and currently 56 patent
applications are pending whereas 9 patents have been granted. Net Sales
recorded a growth of 24.3% to Rs.13.86 billion as compared to Rs.11.15 billion in
the previous year. Export revenues increased by 30.6% to Rs.4.76 billion from
Rs.3.64 billion. This increase in exports was mainly due to high growth in
Pharma and Life Sciences business in regulated markets of USA, Europe and
China.The Industrial Chemicals business witnessed 20% growth in sales to
Rs.6.23 billion. The Performance Chemicals
business also recorded a
robust growth of 19.2% to Rs.1.99 billion as compared to Rs.1.67 billion in FY
05. EBITDA
at Rs.2.38 billion recorded
a growth of 15.3% as compared to Rs.2.06 billion in the previous year. The
operating
margin was lower due to the
impact of high input material cost mainly in Industrial Chemicals business.
Profit before tax (PBT)
improved to Rs.1.79 billion (12.9% of net sales) from Rs.1.50 billion (13.5% of
net sales), an
increase of 19.2%.
Profit after tax (PAT)
increased to Rs.1.39 billion (10% of net sales) from Rs.1.13 billion (10.2% of
net sales), an
increase of 22.5%.
CAPITAL STRUCTURE
:
(a) SUB-DIVISION :
As approved by the
members through Postal Ballot, each equity share of Rs.5 of the Company was
sub-divided into 5 equity shares of Re.l each on March 24, 2006. Accordingly,
credit was given to the shareholders holding shares in electronic segment on
March 25, 2006 and new certificates were sent to other shareholders who
surrendered existing share certificates. Any member who has not received the
sub-divided shares, may write to the Registrar & Share Transfer Agent of
the Company.
(b) FCCB 2010
ISSUE :
During the year
under review, the Company issued Zero Coupon Foreign Currency Convertible Bonds
due 2010 (FCCB 02010) for an aggregate value of US$75 million, convertible any
time between July 3, 2005 and May 14, 2010 by holders into fully paid equity
shares of Rs.5 each of the Company or Global Depositary Shares (GDS), each GDS
representing one equity share at an initial conversion price of Rs. 1365.324
per share with a fixed rate of exchange of Rs.43.35 = US$1. The conversion
price is subject to adjustment in certain circumstances. The Bonds may also be
redeemed, in whole but not in part, at the option of the Company at any time on
or after May 23, 2008, subject to satisfaction of certain conditions. Unless
previously converted, redeemed or purchased and cancelled, the Bonds will be redeemed
on May 24, 2010 at 138.383% of their principal amount. The FCCBs are listed on
Singapore Stock Exchange. The GDSs arising out of conversion of FCCBs are
listed on Luxembourg Stock Exchange.
Upon sub-division
of each equity share of Rs.5 into 5 equity shares of Re.l each, the'conversion
price for FCCB 2010 stands reduced from Rs. 1365.324 to Rs.273.0648 per share
and the number of shares to be allotted on conversion will be 5 times the
initially agreed number.
(c) FCCB 2009
CONVERSIONS
The Company had
issued 1.5% Foreign Currency Convertible Bonds due 2009 (FCCB 2009) aggregating
US $ 35 million, in the year 2004-05.
The Bonds are
convertible at any time between June 14, 2004 and April 15, 2009 by holders
into fully paid equity
shares of Rs.5 each
of the Company or GDS, each GDS representing one equity Share at an initial
conversion price of Rs.818.23 per share with a fixed rate of exchange on
conversion of Rs. 44.805 = US $1. The conversion price is subject to adjustment
in certain circumstances. The Bonds may also be redeemed, in whole but not in
part, at the option of the Company at any time on or after May 14, 2007 and
prior to May 8, 2009, subject to satisfaction of certain conditions. The
outstanding Bonds remaining after conversion will be redeemed on May 15, 2009
at 113.70% of their principal amount. The FCCB 2009 are listed on Singapore
Stock Exchange. The GDS arising out of conversion of FCCBs are listed on
Luxembourg Stock Exchange.
As on 31st March,
2006, FCCB 2009 of US $ 5.55 million were outstanding.
Upon sub-division
of each equity share of Rs.5 into 5 equity shares of Re.1 each, the conversion
price for FCCB 2009 stands reduced from Rs.818.23 to Rs. 163.646 per share and
the number of shares to be allotted on conversion will be 5 times the initially
agreed number.
FIXED ASSETS :
·
Plant And Machinary
·
Vechicles
·
Office Equipments
·
Furniture & Fixture
·
Intangibles
·
Intenally Generated
SUBSIDIARIES :
Brief particulars
of each of the subsidiaries are given below:
- Jubilant
Biosys Ltd - A subsidiary of the Company since 2003-04, Jubilant Biosys
provides Discovery Informatics products and services and collaborative
drug discovery services that include pre-clinical, in-vivo and
formulationservices. It also provides Discovery Research Services which is
driven by the concept of Structure Directed Drug Design. During the year,
Jubilant Biosys signed a 5 year collaborative drug discovery services
contract with Eli Lilly. The Company currently holds 66.98% of the equity
of Jubilant Biosys.
- Jubilant
Chemsys Ltd. - A wholly owned subsidiary of the Company
since September 2004, Jubilant Chemsys continues to offer medicinal
chemistry services to drug discovery companies on Full Time Equivalent or
molecule basis. It also works closely with Jubilant Biosys in
collaborative drug discovery and discovery research services areas.
- Jubilant
Clinsys Ltd. - A wholly owned subsidiary of the Company
since September 2004, Jubilant Clinsys provides Bio Availability and Bio Equivalence
studies and clinical trials management services. It conducted some of the
BA/BE studies for product development for European and US market for the
Company and its other subsidiaries. It has a 54 bed facility along with
analytical laboratory facility at Noida to conduct phase" I clinical
trials for New Chemical Entity.
- Clinsys
Holdings, Inc. - This Company was incorporated in Delaware,
USA as wholly owned subsidiary of the Company. This holding company was
incorporated for acquisition of 100% equity in Clinsys, Inc. (earlier
Target Research Associates, Inc.), during the year.
- Clinsys,
Inc. (earlier Target Research Associates, Inc.) - This Company
became a subsidiary of Jubilant Organosys Ltd. by virtue of its becoming a
wholly owned subsidiary of Clinsys Holdings, Inc. during the year.
Clinsys, Inc. is involved in Clinical Operation for phase II to IV, bio
statistics, clinical data management, (QA) and regulatory services and
contract staffing services.
- Jubilant
Pharma Pte Ltd. - This wholly owned subsidiary was incorporated
during the year, to make investments in Trigen Laboratories, Inc.
- Trigen
Laboratories, Inc. - This Company, earlier known as Trinity
Laboratories, Inc., became a subsidiary of Jubilant Organosys Ltd. by
virtue of its becoming a subsidiary of Jubilant Pharma Pte. Ltd. during
the year. Jubilant Pharma Pte Ltd. holds 66.61% equity stake in this
company.
- Jubilant
Pharmaceuticals, Inc. - This company, earlier known as Trigen
Laboratories, Inc., became a subsidiary of Jubilant Organosys Ltd. by
virtue of it being a wholly owned subsidiary of Trigen Laboratories, Inc.
Jubilant Pharmaceuticals is a generic pharmaceutical company located in
the US having US FDA approved manufacturing facility in Maryland, USA.
- Jubilant
Organosys (USA) Inc. - A wholly owned subsidiary of the Company
since January 2000, it undertakes sales and distribution of advance
intermediates, fine chemicals and APIs in Northern America.
- Jubilant
Organosys (Shanghai) Limited -This is a wholly owned subsidiary of the
Company that undertakes sales and distribution of products in China. This
subsidiary is also a sourcing hub for raw materials for the Company.
- Jubilant
Pharma NV - This company is a wholly owned subsidiary of the Company. This
company holds 80% equity of Pharmaceutical Services Inc. NV and PSI Supply
NV.
- Pharmaceutical
Services Inc. NV - This Belgian company offers regulatory
affairs services to generic pharmaceutical companies for the diverse
European market. Jubilant Pharma NV holds 80% stake in this company.
- PSI
Supply NV - This Belgian company undertakes development and supply of generic
dosage forms to European markets. Jubilant Pharma NV holds 80% equity
stake in this company.
The Company has
received exemption from Central Govt. under Section 212(8) of the Companies
Act, 1956 from
attaching Balance
Sheets and other particulars of subsidiaries vide letter dated April 05, 2006.
ACQUISITIONS :
During the year,
the Company made two acquisitions in USA. In June 2005, the Company through its
wholly owned subsidiary, Jubilant Pharma Pte Ltd., acquired Trinity
Laboratories, Inc. (renamed as Trigen Laboratories, Inc.) and its wholly owned
subsidiary Trigen Laboratories, Inc. (renamed as Jubilant Pharmaceuticals,
Inc.), a generic Pharmaceuticals company having US FDA approved manufacturing
facility for solid dosage forms in Maryland, USA. The Company has invested US$
14.25 million to acquire 66.61% equity in Trigen of which US$ 8.25 million has
been paid to the shareholders of Trigen and balance US$ 6 million has been
invested as growth capital.
In October 2005,
the Company, through its wholly owned subsidiary, Clinsys Holdings, Inc.
acquired 100% equity stake in Clinsys, Inc. at a price of US$ 33.5 million
subject to adjustment in case of change in net working capital from zero. The
net working capital is currently assessed at US$ 1.07 million. Clinsys
Holdings, Inc. raised a debt of US$ 20 million and the Company has infused
equity of US$ 15.5 million in Clinsys Holdings, Inc. to fund the acquisitions.
Clinsys is a clinical research organization based in New Jersey having 161
employees and around 20 customer relationships. Clinsys is the preferred
partner to some of the large global pharmaceutical companies.
As per website details
PRESS RELEASE
For
Immediate Release
NOIDA, 16 January 2007
9M FY 07- PAT up
101% Revenue up 25% YoY basis
Q3 FY 07 - PAT up
74% Revenue up 11% YoY basis
Jubilant Organosys Limited, an integrated
pharmaceutical industry player and the largest Custom Research and
Manufacturing Services Company in India, today announced its unaudited
financial results for Q3 and 9M FY2007.
Q3 FY2007 (Oct -
Dec 2006) compared with Q3 FY2006 (Oct - Dec 2005)
Net sales :
Jubilant Organosys reported an encouraging Q3 FY2007
revenue performance at Rs. 4,693 million from Rs. 4,220 million. Revenue growth
in the international operations was higher by 23% at Rs. 2,114 million. The Pharma
& Life Science Products (PLSP) business continued to demonstrate robust
growth with 27.6% increase in revenues at Rs. 2,348 million and contributed to
over 50% of revenues in the quarter. The Company's CRAMS operations delivered
strong revenue momentum.
On a standalone basis, revenues were at Rs. 4,128
million as against Rs. 3,793 million following strong performance in the PLSP
business.
Operating profit :
Third quarter Operating Profit stood at Rs. 1,066
million growing 56.3% from Rs. 682 million in Q3 FY2006. This follows continued
outstanding performance in the CRAMS operations and better results from the
Industrial Products and Performance Polymers businesses.
At the PBIT level PLSP Products recorded growth from
Rs. 342 million to Rs. 378 million inclusive of the performance of its
international business subsidiaries, which are stabilizing operations.
The Operating Profits at the standalone level were
higher by 45.7% at Rs. 995 million. At the PBIT level, PLSP profits were at Rs.
434 million (Rs. 361 million earlier). The PBIT from the Industrial Products
business was higher at Rs. 263 million as against Rs. 219 million. The
re-organization of the Company's product portfolio in the Performance Polymers
division resulted in a 13.04% higher PBIT from Rs. 23 million to Rs. 26
million.
Net profit and EPS :
Jubilant Organosys' Q3 FY2007 Profit After Tax
registered 74% growth at Rs. 637 million from Rs. 366 million previously. This translated
into EPS of Rs. 3.59 on a Diluted basis (Rs. 2.47 in Q3 FY2006).
The standalone Net Profits of the Company increased
from Rs. 409 million to Rs. 603 million in the recently concluded quarter
-thereby resulting in a Diluted EPS of Rs. 3.39 in Q3 FY2007 as compared to Rs.
2.76 in Q3 FY 2006.
9M FY2007 (April
- Dec 2006) compared with 9M FY2006 (April - Dec 2005)
Net sales :
Nine-month Net Revenues were 25.1% higher at Rs.
13,464 million with international sales accounting for 45.9% of the business generated
in the period at Rs. 6,183 million (36.1% at Rs. 3,890 million in 9M FY2006).
The performance was driven largely by the 49.8% growth seen in the PLSP
Products business at Rs. 6,880 million.
At a standalone level, Net Sales were at Rs. 11,801
million, increasing 16.1% from Rs. 10,167 million given better results under
CRAMS. Overseas sales stood at Rs. 4,524 million as against Rs. 3,293 million
last year.
Operating profit :
Jubilant Organosys' Operating profit was at Rs. 2,801
million rising 77.5% from Rs. 1,578 million. Without the interest income on the
unutilized FCCB proceeds the Operating Margins were at 18.5% with those in 9M
FY2006 at 14.4%. The PBIT in the PLSP business grew 57.24% from Rs. 842 million
to Rs. 1,324 million.
The stand alone EBIDTA stood at Rs. 2,692 million up
from Rs. 1,610 million -rising 67.2% and was the result across the board
improvement in all businesses. The Company continues to register very healthy
growth under CRAMS due to international sales and reported a PBIT of Rs. 1,388
million in PLSP as compared to Rs. 918 million in the previous year nine
months.
Industrial Products benefited from favourable input
material prices and reported a PBIT expansion of 64.9% from Rs. 404 million to
Rs. 666 million. The Performance Polymers business saw improvement in PBIT
margins from 4.6% to 6.4% as the Company sold more products, profitably while
withdrawing low-value, low-margin items from its product line.
Net profit and EPS :
9M FY2007 Net Profit more than doubled to Rs. 1,642
million with Net Margins of 12.2% as against 7.6% previously. The Diluted EPS
for the period was thus at Rs. 9.44 from Rs. 5.45.
Standalone PAT stood 77.1% higher at Rs. 1,619 million
from Rs. 914 million. The EPS in 9M FY2007 was at Rs. 9.31 on a diluted basis.
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 :
Their
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.43.13 |
|
UK Pound |
1 |
Rs.85.36 |
|
Euro |
1 |
Rs.57.64 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
72 |
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 |
|