MIRA
INFORM REPORT
|
Report Date : |
14.04.2007 |
IDENTIFICATION
DETAILS
|
Name : |
THERMAX LIMITED |
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Registered
Office : |
D-13, MIDC
Industrial Area, R D Aga Road, Chinchwad, Pune - 411 019, Maharashtra, India |
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Country : |
India |
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Financials (as
on) : |
31.03.2006 |
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Date of
Incorporation : |
30.06.1980 |
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Com. Reg. No.: |
25-22787 |
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CIN No.: [Company
Identification No.] |
U29299MH1980PLC022787 |
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TAN No.: (Tax Deduction
& Collection Account No.) |
PNET03854E/PNET00017D |
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Legal Form : |
Public Limited
Liability Company. The company’s shares are listed on the Stock Exchanges. |
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Line of
Business : |
Manufacturing of Steam
or other Vapour Generating Boilers, other Refrigerating or Freezing Equipment
and Ion Exchangers of the Polymerisation or Co-Polymerisation type. |
RATING &
COMMENTS
|
MIRA’s Rating
: |
Aa |
RATING |
STATUS |
PROPOSED
CREDIT LINE |
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|
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 |
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Maximum Credit
Limit : |
USD 19000000 |
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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 an old
and well established company. The company is engaged in manufacturing and
selling Air Pollution Control Plants & Systems, water work treatment
plants and Ion Exchange Resins and Chemicals. It is a professionally managed
company. The company is progressing
well. Trade relations
are reported as fair. Payments are usually correct and as per commitments.
The company can be considered good for business dealings at usual trade terms
and conditions. |
LOCATIONS
|
Registered
Office : |
D-13, MIDC
Industrial Area, R D Aga Road, Chinchwad, Pune - 411 019, Maharashtra, India |
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Tel. No.: |
91-20-27475941 |
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Fax No.: |
91-20-27472049 |
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E-Mail : |
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Website : |
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Corporate
Office : |
Thermax House, 4,
Mumbai – Pune Road, Shivajinagar, Pune – 411 005, Maharashtra, India |
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Tel. No.: |
91-20-25512122 |
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Fax No.: |
91-20-25512242/
25511226 |
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E-Mail : |
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Factory 1 : |
Pimpri - Chinchwad, Pune, Maharashtra |
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Tel. No.: |
91-20-27475941 |
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Fax No.: |
91-20-27472049 |
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E-Mail : |
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Area : |
66,000 sq. fts |
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Factory 2 : |
Village Paudh, Mazgaon, Via Pategarga, Taluka Khalapur, District
Raigad – 410 206, Maharashtra |
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Overseas
Offices : |
Ř Thermax International Limited, Mauritius Ř Thermax (Rus) Limited, Russia Ř Thermax Europe Limited, U.K. Ř Thermax Europe Limited, U.K. Ř ME Engineering Limited, U.K. Ř Thermax Inc., U.S.A. |
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Branches : |
Ř Ahmedabad, Gujarat Ř Baroda, Gujrata Ř Chandigarh Ř Bhopal, Madhya Pradesh Ř Kolkata, West Bengal Ř Chennai, Tamilnadu Ř Hyderabad, Andhra Pradesh Ř Mumbai, Maharashtra Ř New Delhi |
DIRECTORS
|
Name : |
Ms. Meher Pudumjee |
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Designation : |
Chairperson |
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Age : |
36 Years |
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Qualification
: |
Master in Chemical Engineering, B.E. |
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Experience : |
13 Years |
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Date of
Appointment : |
1st August, 1991 |
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Name : |
Mr. Prakash M. Kulkarni |
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Designation : |
Managing Director |
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Age : |
55 Years |
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Qualification
: |
B.E. Mech. |
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Experience : |
34 Years |
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Date of
Appointment : |
1st July, 1999 |
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Previous
Employment |
Thermax Babcock & Wilcox Limited – Managing Director |
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Name : |
Mrs. Anu R. Aga |
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Designation : |
Director |
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Name : |
Mr. Tapan Mitra |
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Designation : |
Director |
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Name : |
Mr. Pheroz
Pudumjee |
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Designation : |
Director |
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Name : |
Dr. Manu Seth |
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Designation : |
Director |
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|
Name : |
Dr. Jairam
Varadaraj |
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Designation : |
Director |
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Name : |
Mr. Ravi
Venkatesan |
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Designation : |
Director |
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Name : |
Dr. Valentin Von Massow |
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Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Sunil Lalai |
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Designation : |
Company Secretary |
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Name : |
Mr. Amitabh Mukhopadhyay |
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Designation : |
Executive Vice President and Chief Financial Officer |
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EXECUTIVE COUNCIL :
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|
Name : |
Mr. Ravinder
Advani |
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Designation : |
Executive Vice
President – ESD |
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Age : |
56 Years |
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Qualification
: |
B. E. (Hons)
(Mech.), PGDBM |
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Experience : |
34 Years |
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Date of
Appointment : |
01.05.2000 |
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Previous Employment
: |
Thermax Babcock
and Wilcox Limtied – General Marketing Manager. |
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|
Name : |
Mr. Shishir
Joshipura |
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Designation : |
Executive Vice
President - PHD |
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Age : |
44 Years |
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Qualification
: |
B. E. (Mech.) |
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Experience : |
22 Years |
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Date of
Appointment : |
01.03.2003 |
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Previous Employment
: |
Thermax Energy
Performance Services Limited – CEO |
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|
Name : |
Mr. Prakash
Kulkarni |
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Designation : |
Managing Director
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Age : |
58 Years |
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Qualification
: |
B. E. (Mech.) |
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Experience : |
38 Years |
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Date of
Appointment : |
01.07.1999 |
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Previous Employment
: |
Thermax Babcock and
Wilcox Limited – Managing Director |
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|
|
Name : |
Mr. Amitabha
Mukhopadhyay |
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Designation : |
Executive Vice
President and CFO |
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Age : |
41 Years |
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Qualification
: |
B. Sc. (Hons.),
ACA |
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Experience : |
17 Years |
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Date of
Appointment : |
24.10.2001 |
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Previous Employment
: |
IFB Industries
Limited – Vice President Finance |
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|
Name : |
Mr. M. S.
Unnikrishnan |
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Designation : |
Executive Vice
President |
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Age : |
45 Years |
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Qualification
: |
B. E. (Mech.) |
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Experience : |
24 Years |
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Date of
Appointment : |
01.08.1997 |
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Previous Employment
: |
Terrazzo Limited
– Assistance General Manager |
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|
Name : |
Mr. Sudhir Sohoni
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Designation : |
Executive Vice
President |
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Age : |
48 Years |
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Qualification
: |
M A (PM and IR) |
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Experience : |
26 Years |
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Date of
Appointment : |
01.03.2006 |
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Previous Employment
: |
CEAT Limited –
Vice President – Human Resource (Tyre Sector) |
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|
Name : |
Mr. R V Ramani |
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Designation : |
Divisional Head |
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Age : |
54 Years |
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Qualification
: |
B. E. (Mech.) |
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Experience : |
31 Years |
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Date of
Appointment : |
01.10.1974 |
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Previous Employment
: |
Indowse
Engineering Private Limited – Sales Engineer |
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|
Name : |
Mr. V J Shah |
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Designation : |
Divisional Head |
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Age : |
58 Years |
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Qualification
: |
B. Tech. (Chem.
Engg.), MBM |
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Experience : |
30 Years |
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Date of
Appointment : |
15.05.1988 |
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Previous Employment
: |
Rieco Industries
Limited – Senior Manager |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names
of Shareholders |
No. of Shares |
Percentage of Holding |
Promoters' Holdings
|
73855305 |
61.98 |
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Non Promoter's Holdings
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Mutual Funds and UTI
Banks, Financial Institutions and
Insurance Companies |
19165729 |
16.08 |
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FIIs |
5008383 |
4.20 |
|
Private Corporate
Bodies |
4252943 |
3.57 |
|
Indian Public and
Others |
16665162 |
13.99 |
|
NRIs / OCBs |
208778 |
0.18 |
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Total |
119156300 |
100.00 |
BUSINESS DETAILS
|
Line of
Business : |
Manufacturing of
Steam or other Vapour Generating Boilers, other Refrigerating or Freezing
Equipment and Ion Exchangers of the Polymerisation or Co-polymerisation type. |
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Products : |
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PRODUCTION STATUS
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Particulars |
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Unit |
Installed Capacity |
Actual Production |
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Energy Products & Systems a. Boilers
Capacity upto 30MT / Chillers b. Boilers
Capacity above 30MT c. Heaters d. Power Plants |
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Nos. MT Mn. Kg Cal MW |
3281 5700 -- -- |
2050 3923 144 69 |
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Environmental Products & Systems : |
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a. Air Pollution Control Plants and Systems |
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Nos. |
-- |
555 |
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b. Water and Waste Treatment Plants |
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Nos. |
-- |
1429 |
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c. Ion Exchange Resins & Chemicals |
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MT |
34890 |
14056 |
GENERAL
INFORMATION
|
No. of
Employees : |
Around 3253 |
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Bankers : |
v Union Bank of India, Chinchwad Branch,
Pune – 411 015 v Bank of Baroda, Shivajinagar Branch, Pune
– 411 015 v Canara Bank v Citibank N.A. v Corporation Bank v
Standard
Chartered Bank v
Bank of
America NA, Express Towers, Nariman Point, v
Mumbai – 400
021 v
ICICI Bank
Limited |
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Banking Relations : |
Good |
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Auditors : |
B. K. Khare and
Company Chartered
Accountants |
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Address : |
706/707, Sharda
Chambers, New Marine Lines, Mumbai – 400 020, Maharashtra |
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Associates : |
v Thermax Culligan Water Technologies
Limited v Thermax Systems & Software Limited |
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Subsidiaries : |
v Thermax Babcock and Wilcox Limited v Thermax Energy Performance Services
Limited v Thermax Surface Coatings Limited v Thermax Capital Limited v Thermax Electronics Limited v Thermax Engineering Construction Company
Limited v Thermax Instrumentation Limited v Thermax Co-gen Limited v Winman Gas Limited v Thermax International Limited, MAuritius v Thermax (Rus) Limited, Russia v Thermax Europe Limited, U.K. v ME Engineering Limited, U.K. v Thermax Inc., U.S.A. v Thermax do Brasil Energia e Equipmentos
Limiteda, Brazil v Thermax Hong Kong Limited, Hong Kong |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
37,50,00,000 |
Equity Shares |
Rs.10/- each |
Rs. 750.000 millions |
|
|
Redeemable
Preference Shares |
Rs. 10/- each |
-- |
|
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Total |
|
Rs. 750.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
11,91,56,300 |
Equity Shares
fully paid up |
Rs.2/- each |
Rs. 238.300 millions |
|
|
6% Redeemable
Preference Shares fully paid-up |
Rs. 10/- each |
-- |
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Total |
|
Rs. 238.300 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 |
238.300 |
714.900 |
714.900 |
|
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2] Reserves &
Surplus |
4547.600 |
3386.000 |
3191.700 |
|
NETWORTH
|
4785.900 |
4100.900 |
3906.600 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
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2] Unsecured
Loans |
0.000 |
0.000 |
0.000 |
|
TOTAL
BORROWING
|
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX
LIABILITIES |
92.900 |
82.000 |
77.700 |
|
|
|
|
|
|
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TOTAL
|
4878.800 |
4182.900 |
3984.300 |
|
|
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|
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APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
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FIXED ASSETS [Net Block]
|
1332.400 |
926.400 |
808.000 |
|
Capital work-in-progress
|
43.800 |
89.800 |
21.600 |
|
|
|
|
|
|
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INVESTMENT
|
4174.900 |
3161.600 |
2760.800 |
|
|
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
1187.400 |
859.200 |
595.100 |
|
|
Contracts in Progress
|
435.400 |
196.500 |
0.000 |
|
|
Sundry Debtors
|
2263.000 |
1728.600 |
1179.900 |
|
|
Cash & Bank Balances
|
361.100 |
111.500 |
186.300 |
|
|
Other Current Assets
|
215.400 |
84.800 |
183.700 |
|
|
Loans & Advances
|
867.300 |
699.600 |
502.900 |
Total Current Assets
|
5329.600 |
3680.200 |
2647.900 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
4787.200 |
2971.500 |
1884.100 |
|
|
Contracts in Progress
|
654.300 |
294.300 |
0.000 |
|
|
Provisions
|
562.400 |
416.400 |
381.100 |
Total Current Liabilities
|
6003.900
|
3682.200
|
2265.200 |
|
Net
Current Assets
|
(674.300) |
(2.000) |
382.700 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
2.000 |
7.100 |
11.200 |
|
|
|
|
|
|
|
TOTAL
|
4878.800 |
4182.900 |
3984.300 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
14980.000 |
9411.600 |
6038.100 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
1925.300 |
830.200 |
724.500 |
Provision for Taxation
|
692.800 |
277.300 |
183.600 |
Profit/(Loss) After Tax
|
1232.500 |
552.900 |
540.900 |
|
|
|
|
|
Dividend
|
405.100 |
286.000 |
286.000 |
|
|
|
|
|
Export Value
|
2420.000 |
1808.700 |
1130.800 |
|
|
|
|
|
Import Value
|
1570.700 |
983.800 |
619.000 |
|
|
|
|
|
Total Expenditure
|
13054.700 |
8581.400 |
5255.600 |
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2006 [1st Quarter] |
30.09.2006 [2nd Quarter] |
31.12.2006 [3rd Quarter] |
|
Sales Turnover |
3185.900 |
4822.900 |
3593.500 |
|
Other Income |
105.800 |
87.600 |
30.200 |
|
Total Income |
3291.700 |
4910.500 |
3623.700 |
|
Total Expenditure |
2843.900 |
4296.200 |
3135.400 |
|
Operating Profit |
447.800 |
614.300 |
488.300 |
|
Interest |
0.100 |
2.400 |
2.700 |
|
Gross Profit |
447.700 |
611.900 |
485.600 |
|
Depreciation |
37.600 |
49.900 |
34.400 |
|
Tax |
134.500 |
227.700 |
160.300 |
|
Reported PAT |
275.400 |
250.800 |
294.600 |
200606
Quarter 1
Notes
EPS is Basic and Diluted 1. The above results, reviewed by
the Audit Committee, were taken on record at the meeting of the Board of Directors
held on 20th July, 2006. 2. The results for the quarter ended 30th June 2006
for Thermax Limited. have
undergone 'Limited Review' by the Statutory Auditors of the Company. 3. Other
expenditure for the quarter includes Rs. NIL (previous period Rs. 2.61 crores)
towards fees to the management consultant for Business Transformation exercise
undertaken by the Company. 4. Effective 7th March 2006, Equity share of Rs.
10/-, each has been subdivided into 5 Equity Shares of Rs. 2/- each. Hence, all
related references for the previous periods have been restated considering the
face value of each Equity Share at Rs. 2 for the sake of comparability. 5. The
results of the Company for the quarter ended 30th June 2006 include the results
of Thermax Babcock & Wilcox Limited. & Thermax Capital Limited., wholly owned amalgamated
subsidiaries. The results for the corresponding period for the earlier year are
therefore not comparable with those of the current period. However, by way of
additional information and with a view to facilitate comparison, corresponding
figures including those of amalgamated subsidiaries have been given on a
memorandum basis. 6. Capital employed in energy segment is lower because of
customer advances in respect of projects awaiting execution. 7. During the
quarter, one investor complaint was received and the same was disposed of. No
complaints were pending either at the beginning or at the end of the quarter.
8. Unaudited Consolidated Results for the quarter ended 30th June 2006 have
been provided as additional information only. 9. The Company has informed Stock
Exchanges concerned of the approval granted by the Board of the Company for the
proposal to amalgamate three of its wholly owned subsidiaries namely Thermax
Co-gen Limited, Thermax Electronics Limited and
Winman Gas Limited. with
the Company Pending requisite statutory approvals, the financial results of
Thermaxia Limited for
the three months ended 30th June 2006 do not reflect this. 10. Previous year's
figures have been regrouped, wherever necessary conform to current year's
classification.
200609
Quarter 2
Notes
Net Sales Includes Sales & Services (Excluding Excise
Duty) Rs 4697.80 million Other Income from Operations Rs 125.10 million Expenditure
Includes (Increase) / Decrease in Stock in Trade Rs (36.20)million Consumption
of Raw Materials Rs 3030.10 million Staff Cost Rs 432.20 million Other
Expenditure Rs 870.10 million Tax Includes Provision for Current Tax Rs 222.00
million Deferred Tax Rs (16.50)million Fringe Benefit Tax Rs 05.70 million EPS
is Basic & Diluted 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 07 Complaints disposed off during the
quarter 07 Complaints unresolved at the end of the quarter Nil 1. The above
results, reviewed by the Audit Committee, were taken on record at the meeting
of the Board of Directors held on November 15, 2006. 2. Other expenditure in
the stand-alone financial results of the Company for the quarter and half year
ended September 30, 2006 includes the following Exceptional Items : (i) Rs 121
million being provision for diminution in the value of long term investment in
the shares of an overseas subsidiary which is in turn based on the diminution
in the value of shares of ME Engg. Limited (ME,UK), a UK based step down
subsidiary of the Company and two other companies. (ii) Rs 96.20 million being
provision for possible financial obligations, as provisionally estimated by the
Company, on account of counter-guarantees given by the Company in relation to
ME, UK and Rs 14.20 million being provision for debts owed to the Company by ME
UK, the affairs of which have presently been handed over to an Administrator
under the local insolvency laws. However, the net impact of the above
provisions in the Consolidated Accounts for the half year ended September 30,
2006 is Rs 19.90 million only (net of loss earlier recognised through
consolidation of subsidiary company accounts). (iii) Rs Nil (previous period Rs
17.70 million) towards fees for consultation for Business Transformation
exercise undertaken by the Company. 3. Effective March 07, 2006, Equity Share
of Rs 10/- each has been sub-divided into 5 Equity Shares of Rs 2/- each.
Hence, all related references for the previous periods have been restated
considering the face value of each Equity Share at Rs 2/- for the sake of
comparability. 4. The results of the Company for the quarter and half year ended
September 30, 2006 include the results of Thermax Babcock & Wilcox Limited. and
Thermax Capital Limited.,
wholly owned amalgamated subsidiaries. The results for the corresponding
periods for the earlier year are therefore not comparable with those of the
current period. However, by way of additional information and with a view to
facilitate comparison, corresponding figures including those of amalgamated
subsidiaries have been given on a memorandum basis. 5. Petition has been filed
with the Hon'ble High Court of Judicature at Bombay by Thermax Co-gen Limited.
(TCGL), Thermax Electronics Limited. (TEL) and Winman Gas Limited (WGL), the wholly owned subsidiaries
of the Company, for approval of the scheme of amalgamation with the Company.
Pending order of the Hon'ble High Court, no effect of amalgamation has been
considered in the stand-alone financial results of the Company for the quarter
and half year ended September 30, 2006. 6. Unaudited Consolidated Results for
the half year ended September 30, 2006 have been provided as additional
information only. 7. Previous periods figures have been regrouped wherever
necessary to conform to this year's classification.
200612
Quarter 3
Notes
Net Sales Includes Sales & Services (Excluding Excise
Duty) Rs 5440.30 million Other Income from Operations Rs 58.50 million
Expenditure Includes (Increase) / Decrease in Stock in Trade Rs (80.00)million
Consumption of Raw Materials Rs 3739.10 million Staff Cost Rs 498.20 million
Other Expenditure Rs 581.40 million Tax Includes Provision for Current Tax Rs
243.00 million Deferred Tax Rs (12.90)million Fringe Benefit Tax Rs 5.60
million EPS is Basic & Diluted 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 03 Complaints disposed off during
the quarter 03 Complaints unresolved at the end of the quarter Nil 1. The above
results, reviewed by the Audit Committee, were taken on record at the meeting
of the Board of Directors held on January 31, 2007. 2. The results for the
quarter ended December 31, 2006 have undergone Limited Review by the Statutory
Auditors of the Company. 3. The Hon'ble High Court of judicature at Bombay has
by its Orders dated January 12, 2007, approved the schemes of amalgamation of
the wholly owned subsidiaries namely Thermax Co-gen Limited.,
Thermax Electronics Limited and
Winman Gas Limited with
the Company with effect from the Appointed Date viz April 01, 2006. However,
pending procedural compliances, no effect has been given in the stand-alone
results of the Company for the quarter and nine months period ending December
31, 2006. However, the effect of this amalgamation on the results of the
Company will not be significant. 4. Thermax Energy Performance Services Limited
(TEPS), a subsidiary company, has initiated the process of members' voluntarily
winding up. In the past, adequate provision has been made in the stand alone
results of the Company for diminution in the value of investment in the shares
of TEPS. This does not have any significant impact on the financial results of
the Group. 5. Other expenditure in the stand-alone financial results of the
Company for the nine months period ended December 31, 2006 includes the
following exceptional items arising out of inslovancy proceedings in the case
of ME Engg. Limited. (ME,
UK), a step down subsidiary: i) Rs 121.00 million being provision for
dimuniation in the value of long term investments in shares. ii) Rs 96.20
million being provision for possible financial obligations. However, the net
impact of the above provision in the consolidated accounts for the nine months
period ended December 31, 2006 is Rs 19.90 million only. 6. Unaudited
Consolidated Results for the nine months ended December 31, 2006 have been
provided as additional information only. 7. Previous year's figures have been
regrouped, wherever necessary, to conform to current year's classification.
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity
Ratio |
0.00 |
0.00 |
0.00 |
|
Long
Term Debt Equity Ratio |
0.00 |
0.00 |
0.00 |
|
Current
Ratio |
0.94 |
1.02 |
1.10 |
|
TURNOVER
RATIOS |
|
|
|
|
Fixed
Assets |
7.50 |
5.65 |
3.67 |
|
Inventory
|
11.76 |
10.94 |
10.28 |
|
Debtors |
7.89 |
6.64 |
5.98 |
|
Interest
Cover Ratio |
38.46 |
22.34 |
33.22 |
|
Operating
Profit Margin (%) |
13.51 |
9.95 |
15.02 |
|
Profit
Before Interest and Tax Margin (%) |
12.55 |
9.00 |
13.58 |
|
Cash
Profit Margin (%) |
8.79 |
6.68 |
11.25 |
|
Adjusted
Net Profit Margin (%) |
7.82 |
5.72 |
9.80 |
|
Return
on Capital Employed (%) |
44.53 |
21.76 |
21.90 |
|
Return
on Net Worth (%) |
29.09 |
14.86 |
16.25 |
STOCK PRICES
|
Face Value |
Rs. 2/- |
|
High |
Rs. 408.00 |
|
Low |
Rs. 399.05 |
LOCAL AGENCY FURTHER
INFORMATION
HISTORY :
In 1980, Wanson
(India) Private Limited, manufacturing coil type packaged boilers, was
amalgamated with Thermax India Private Limited and Thermo-Dynamics Private
Limited. The amalgamated company was renamed Thermax Private Limited. Three
companies - Tulsi Fine Chemicals Private Limited, Kailas Castings Private
Limited and T K Steel Industries were later amalgamated with it and the company
is now known as Thermax Limited. The company manufactures boilers upto
capacities of 30 tph.
In 1995-96, the
company received the ISO 9002 certification from Lloyd’s Register of Quality
Assurance. Its COGEN division signed a distributorship agreement with Kawasaki
Heavy Industries for Packaging Kawasaki’s gas turbines upto 6 MW.
During 1996-97 the
company received the AD-Merkblatt certification for the entire manufacturing
unit at Chinchwad. An electronic network called Thermet Linking all
establishments of the company in the country was introduced during the year,
making Thermax virtually a single workplace.
During the year
1999-2000, Thermax Instrumentation Limited, a joint venture between Thermax and
Fuji Electric of Japan was amicably dissolved. It acquired ME Engineering, a
UK-based company belonging to the Beel Industrial Boilers Plc (BIB) group.
Thermax recently exited from Thermax System and Software by selling it at a
valuation of Rs. 110 millions in exchange for one lakh shares of Global Tele
Systems which are to be locked in for a specified period. Thermax has also sold
its industrial fans division to a Pune-based company, Universal Fans, for a
valuation of Rs. 12.500 millions.
Subject has
restructed its business activities and had closed down or hived off unrelated
business and took some strategic initiatives. Lloyds Register of Quality
Assurance has awarded ISO 9001 certificate to the quality management system of
the Absorption Cooling Division.
During 2001-2002,
Thermax Water Technologies a wholly owned subsidiary of the subject was
amalgamated with it. Subject to approval of Hon’ble High Court at Judicature at
Mumbai. Subject has proposed to issue bonus shares by way of redeemable
preference shares in the ratio of 2 redeemable preference shares for each
equity held in subject. The issue was subject to approval in the forthcoming
AGM. The 36 MW power plant for Shree Cement was commenced during 2002-03.
The Boiler &
Heater business of the company has received an order during December 2004 from
a leading company in the Steel Industry for supply, erection & installation
of 8 Nos of Waste Heat Recovery Boilers alongwith associated piping &
fittings. The value of the order is Rs.900 millions.
The Cogen Division of the company has received the Letter of Intent from a
leading company in the Iron & Steel industry, valued at Rs.650 millions.
This is for setting up a 18.5 MW Captive Power Plant(CPP) using waste from
their sponge iron kiln. The CPP is a fast track project and expected to be
commissioned within 16 months from December 2004.
Business :
The company has
developed new generation sewage treatment plant that occupies only 10% of the
space required by a conventional plant. Pilot plant trials had been completed
successfully and this technology will be commercialised soon for municipal
sewage treatment.
The company has obtained
the prestigious Det Norske Veritas ISO 14001 certification for its
environmental management system in its manufacturing plant at Chinchwad. The
company is planning a restructuring exercise and plans to close down or hive
off unrelated businesses and take some strategic initiatives. Lloyds Register
of Quality Assurance has awarded ISO 9001 certificate to the quality management
system of the Absorption Cooling Division.
In January 2002,
the Board of Directors of the company has approved the proposal for
amalgamation of Thermax Water Technologies, a wholly owned subsidiary with the
company.
Performance
The company has posted good results during the year with total sales revenue and other income of Rs. 14980.000 millions, up from Rs. 9412.000 millions in the previous year. Profit before tax and extraordinary items is up at Rs. 1925.000 millions (Rs. 830.000 millions in the previous year) - the highest ever earned by the company.
Profit after tax is marginally higher at Rs. 1233.000 millions from Rs. 553.000 millions in the previous year. Earnings per share (EPS) moved up significantly to Rs.96.900 millions compared to Rs. 43.700 in 2004-05.
During the year exports have increased to Rs. 3080.000 millions from Rs.
1760.000 millions in the previous year.
The current years figures are not strictly comparable with those of the previous year as two wholly-owned subsidiary companies- Thermax Babcock and Wilcox Limited and Thermax Capital Limited – were amalgamated with Thermax Limited during the year.
Consolidated Results
The consolidated revenue of the Thermax Group has gone up by
29 percent to Rs. 1606.000 million. Income from international business has
increased to Rs. 3925.000 millions from Rs. 3520. Profit before tax has
increased 67 percent to Rs. 1728.000 millions and profit after tax and minority
interest has increased 52.6 percent to Rs. 1025.000 millions. Earnings per
share (EPS) on a consolidated basis was Rs. 79.600 millions as compared to Rs.
54.600 millions in the previous year. ME Engineering, the UK based subsidiary
incurred a net loss of GBP 2.08 millions affecting consolidated profit.
Amalgamation
Thermax Babcock and Wilcox Limited (TBW) and Thermax Capital
Limited (TCL), two wholly owned subsidiary companies, have been amalgamated
with the company w.e.f. 01.04.2005, the appointed date as per the scheme of
amalgamation sanctioned by the Honorable High Court of judicature of Mumbai.
Thermax Babcock and Wilcox which is now integrated in the
Boiler and Heater (B and H) Group of the company continues to manufacture large
boilers in the range of 30 to 500 tph.
Consequent upon amalgamation Rs. 107.000 millions and Rs.
150.000 millions that the company had invested in TBW and TCL respectively
stand extinguished and the net worth of company has increased by Rs. 726.000
millions.
Dividend
The directors have paid pro rata dividend of 6 percent for
the year 2005-06 upon redemption of the Redeemable Preference Shares on
26.07.2005. The payment of the dividend is being placed for confirmation of the
members at the forthcoming Annual General Meeting.
The Directors recommend the payment of Rs. 170 percent
dividend on equity shares (Rs. 3.4 per shares of face value of Rs. 2 each) for
2005-2006. (Previous year Rs. 12 per share of Rs. 10 each).
If approved this will entail a total outgo of Rs. 462.000
millions towards dividend payout (including tax on dividend). Dividend on
equity shares represents a payout ratio of 40 percent.
Awards and Recognition
Ř
“Asia Best Under a Billion” in year 2005.
Ř
ACREX Award for Thermax in year 2006.
Ř
Younger Achiever Award for Chairperson in year 2006.
OHSAS Certification:
The chemical plant of Thermax at Paudh, near Mumbai, has received the OHSAS
18001:1999 certification from BVQI for implementing the occupational health and
safety management system.
Comfex award for Thermax:
Comfex 2005 honoured Prakash Kulkarni, Managing Director of Thermax, with a
special award for Thermax's contribution to the HVAC industry.
Recognition for Anu Aga:
Former Chairperson Anu Aga was featured as one of the 25 Most Powerful Women in
Indian Business in the special issue of Business Today, in September
2004.
The company is
in trade terms with :
Ř Ashok Surfactants Private Limited
Ř Balaji Chemicals
Ř Davale Packing Contractors
Ř Gadia Industries
Ř Metal Arts
Ř National Engineers
Ř Chemi Flow Rubber Industries
Ř Arca Control Private Limited
Ř Annapurna Engineering and Manufacturing
Private Limited
Ř Arem Engineering
Ř Arun Plast
Ř Autocon Engineering
Ř Blue Stone Enterprises
Ř Creative Mouldings
Ř Elcon Industries
Ř Elcon Instruments
Ř Elder Instruments
Ř Electro Fab
Ř Friends Engineers
Ř Guddi Plasticom
Ř Hercules Speciality
Ř Initiative Inc
Ř Jai Ganesh Enterprises
Ř K. J. Engineering Works
Ř K. K. Nag Limited
Ř Kalyani Marg
Ř Khandelwal Engineering
Ř Lebracs Rubber Lining
Ř Lokesh Auto
Ř Mangalam Enterprises
Ř Maruti Enterprises
Subject has joint
venture with the following :
Ř Thermax, Babcock & Wilcox
Ř Thermax Culligan Water Technologies Limited
Ř Thermax Energy Performance Services Limited
The company has
strategic alliances with the following :
Ř Struthers Wells, USA
Ř Kawasaki Engineering, Japan
Ř Ecotec, Canada
Ř Aqua-Chem, USA
Ř Allied Signals, USA
Ř
Bloom
Engineering, Germany
Subject has network
of 150 distributors, dealers and franchisees.
The company's fixed
assets of important value include Freehold Land, Leasehold Land, Buildings,
Plant & Machinery, Machinery on Lease, Electrical Installation, Furniture,
Fixtures, Computers & Office Equipment and Vehicles.
PRESS
RELEASES:
Thermax revenues up
56 %; declares 120 % dividend
Pune, May 11, 2005.
Thermax Limited, today presented its audited financial results for 2004-05
announcing a 56 % revenue growth to Rs. 9412.000 Millions . Exports have
increased to Rs. 1760.000 Millions from Rs. 1180.000 Millions last year.
Consolidated revenue for the group has climbed 55 % to Rs.12810.000 Millions.
Profit after tax in 2004-05 was Rs. 553.000 Millions and Earning Per Share was
Rs. 218.300 Millions, about the same level as last year after expensing Rs.
90.000 Millions on a transformation project and a fall of Rs.100.000 Millions
in investment income on its portfolio of Rs. 2720.000 Millions.
Consolidated profit after tax this year was up 10% to Rs.683.000 Millions and
Earning Per Share was Rs. 27.3 (last year Rs. 25.4).
The Board of Directors have recommended a dividend of 6% on the Redeemable
Preference Shares and announced an early redemption of the 6% Redeemable
Preference Shares of face value of Rs. 10 each, aggregating Rs. 477 millions.
The Board also recommended a dividend of Rs. 12 per Equity Share of face value
Rs. 10 each (120%).
During 2004-05, as a launching platform for the future, the Company’s capital
expenditure has accelerated. Several new products were introduced and research
and development revamped. Thermax is currently engaged in a company-wide
initiative to transform the way it does business aimed at significant increase
in customer satisfaction and its top line and bottom line growth. The company
is investing substantial resources in attaining operational excellence –
focusing on processes and systems that have a direct impact on cost, quality,
lead-time and on-time performance at every point of customer engagement.
The order book of the company stood at Rs 773 Millions, which is 80 % higher
than same time last year. The consolidated order book was Rs 1127 Millions 65 %
higher than last year. Based on the momentum in ferrous-, non-ferrous, cement,
energy, textile, chemicals and other customer segments, the company is
confident of continued growth
About Thermax Limited
Thermax Limited, a leading player in energy and environment management, is one
of the few companies in the world that offers total integrated, solutions in
the areas of heating, cooling, power, water and waste management, air pollution
control and chemicals. The sustainable solutions Thermax develops for client
companies are environmentally friendly and enable efficient deployment of
energy resources. Headquartered in Pune, India, Thermax’s international
operations are spread over South East Asia, Middle East, Africa, Russia, UK and
the US.
Thermax Q 3 Net
up 33%, Sales up 79%.
All India,
January 31, 2005: Thermax Limited, a leading player in energy and environment
solutions, today announced sharply improved results for the third quarter ended
December 2004, posting a net profit of Rs.126 Millions , compared to Rs.96
Millions in the corresponding quarter last year. Sales in Q3 were
Rs.237Millions (previous period Rs.132 Millions). The company's revenues from
exports have increased 125 percent to Rs.462 Millions from Rs.205 Millions in
the same period last year. The results were taken on record at the Board
meeting today.
The results for the nine month period ended December 2004 showed an increase in
sales by 67 percent to Rs.579 Millions. However, net profit marginally declined
to Rs.291 Millions from 306 Millions, due to sharp fall in Other Income from
Rs.212 Millions to Rs.79.700 Millions.
During the quarter, while demand was buoyant the cost of input materials and
components continued to escalate, putting margins under pressure. However,
effective cost management and aggressive team effort helped increase operating
profit from Rs.102 Millions to Rs.182 Millions. The profit for the quarter is
after considering fees of Rs.32 Millions paid to management consultant for the
business transformation initiative, which aims to leverage Thermax''s historic
strengths to achieve accelerated sustainable growth. The initiative is making
good progress.
Compared to the same quarter last year, the company's order intake was 77
percent higher at Rs.466 Millions Orders in hand at end December 2004 was 112
percent higher at Rs.847 Millions. On consolidated basis, orders in hand
totalled Rs.1226 Millions. The company therefore expects to end the financial
year with a topline growth of over 50 percent on consolidated basis compared to
earlier growth estimate of 40 percent. To serve its buoyant market, the company
is taking steps to add to capacity. For the longer term the company is actively
considering substantial investment in new facilities for its boiler and heater
business.
Thermax Limited is one of the few companies in the world that offer integrated
and innovative solutions in the areas of heating, cooling, power, water and
waste management, air pollution control and chemicals. The sustainable
solutions Thermax develop for client companies are environment friendly and
enable efficient deployment of energy and water resources. For more
information, visit wws.thermaxindia.com
Thermax Q2 Sales up 58 %, Net Rs.10.8 crores
Thermax Q2 Sales
up 58 %, Net Rs.10.8 crores, Strong order book.
All India, November 9, 2004 : Thermax Limited, a leading player in energy and
environment solutions, today announced results for the second quarter ended
September 2004.
Sales for Q2 were Rs. 217 crores, up 58 percent compared to the corresponding
quarter last year. The company’s EBIDT from operations increased 18 percent to
Rs. 164.000 Millions. Net profit was, however, down to Rs. 108.300 Millions.
(Last year Q2, Rs. 154.200 Millions) During the quarter the company continued
to face repeated price escalations of its raw materials like steel, copper and
styrene putting severe pressure on margins. Further, declining interest rates
and the softening of the debt market sharply reduced Other Income in the
quarter by Rs. 58.700 Millions. Also, during the quarter the company spent Rs
31.700 Millions to launch a business transformation exercise which is expected
to lead to significant improvement in the quality and quantity of its business.
In the half year, compared to the same period last year, the company’s
consolidated results show a top line increase by 59 percent to Rs.483 crores;
EBIDT from operations improved 61 percent to Rs. 346.200Millions and net profit
by 5 percent to Rs. 240.200 Millions from Rs. 228.700 Millions in H1 of the
previous year. Earning per share has improved to Rs. 10.10 from Rs. 9.40.
Orders at hand on a consolidated basis at end September 2004 were Rs. 9560 millions
compared to Rs. 4470 millions last year. Recently, the company has bagged an
order for a captive power plant valued at Rs. 930 millions for a leading cement
company.
Thermax Limited is one of the few companies in the world that offers integrated
and innovative solutions in the areas of heating, cooling, power, water and
waste management, air pollution control and chemicals. The sustainable
solutions Thermax develops for client companies are environment friendly and
enable efficient deployment of energy and water resources.
Thermax
posts 60 % increase in invoicing in Q1
Thermax Limited, a
leading player in the energy and environment sectors, today announced results
for the first quarter of fiscal 2004-05, showing an increase in sales from Rs.
779 Millions last year to Rs. 1248 Millions.
Thermax
announces 2003-04 results
Thermax Limited,
the leading player in energy and environment management, today announced its
audited financial results for the year 2003-04. Sales and other income stood at
Rs. 6038.100 Millions up from Rs 5525.300 Millions in the previous year. Profit
after tax is up at Rs. 540.900 Millions from Rs. 482.400 Millions last year.
Earnings per share was Rs. 21.99 compared to Rs. 20.24 in the previous year.
The consolidated revenue of Thermax Group has gone up by 11.9 per cent to Rs.
8293.500 Millions Profit before tax increased 13.6 per cent to Rs.894.0000
Millions. Profit after tax and minority interest increased 12.8 per cent to Rs.
628.600 Millions. Thermax consolidated earnings per share has gone up to Rs.
26.32 as compared to Rs. 23.37 in the previous year.
The Board of Directors has recommended a dividend of 120 per cent. (Rs.12 per
equity share of Rs. 10 each).
During the year there was a record 86 per cent growth in order intake to Rs.
867 Millions. The order intake for the Thermax Group was Rs 1214 Millions, the
highest ever.
The order backlog on 1st April 2004 was Rs. 429 Millions for Thermax Limited as
against Rs. 134 Millions in the previous year. The order backlog on a
consolidated basis was Rs. 683 Millions as compared to Rs. 256 Millions in the
previous year.
The company is currently engaged in capability building to offer significantly
improved end-to-end solutions in energy and environment to its customers.
The company is in the process of buying out the 40 per cent minority stake from
Babcock & Wilcox International investments (BWII) in their joint venture
company in India, Thermax Babcock & Wilcox Limited (TBW). Consequently, the
JV will become a wholly owned subsidiary of Thermax. However, it will continue
to operate under its present name. BWII will continue to support technology
transfer, revamp and retrofit in the utility market and help in augmenting
business in the international market.
About Thermax Limited
Thermax Limited, a leading player in energy and environment management, is one
of the few companies in the world that offers total integrated solutions in the
areas of heating, cooling, power, water and waste management, air pollution
control and chemicals. The sustainable solutions Thermax develops for client
companies are environmentally friendly and enable efficient deployment of
energy and water resources. Headquartered in Pune, India, Thermax’s
international operations are spread over South East Asia, Middle East, Africa,
Russia, UK and the US.
Thermax revenues up 56 %;
declares 120 % dividend
Pune, May 11, 2005.
Thermax Limited, today presented its audited financial results for 2004-05
announcing a 56 % revenue growth to Rs. 9412 Millions Exports have increased to Rs. 176 Millions from Rs. 118 Millions last year. Consolidated revenue for the
group has climbed 55 % to Rs.1281 Millions.
Profit after tax in 2004-05 was Rs. 553 Millions and Earning Per Share was Rs.
21.83, about the same level as last year after expensing Rs. 9 Millions on a
transformation project and a fall of Rs.10 Milliions in investment income on
its portfolio of Rs. 272 Millions
Consolidated profit after tax this year was up 10% to Rs.683 Millions and
Earning Per Share was Rs. 27.3 (last year Rs. 25.4).
The Board of Directors have recommended a dividend of 6% on the Redeemable
Preference Shares and announced an early redemption of the 6% Redeemable
Preference Shares of face value of Rs. 10 each, aggregating Rs. 477 Millions.
The Board also recommended a dividend of Rs. 12 per Equity Share of face value
Rs. 10 each (120%).
During 2004-05, as a launching platform for the future, the Company’s capital
expenditure has accelerated. Several new products were introduced and research
and development revamped. Thermax is currently engaged in a company-wide
initiative to transform the way it does business aimed at significant increase
in customer satisfaction and its top line and bottom line growth. The company
is investing substantial resources in attaining operational excellence –
focusing on processes and systems that have a direct impact on cost, quality,
lead-time and on-time performance at every point of customer engagement.
The order book of the company stood at Rs 773 Millions, which is 80 % higher
than same time last year. The consolidated order book was Rs 1127 Millions, 65
% higher than last year. Based on the momentum in ferrous-, non-ferrous,
cement, energy, textile, chemicals and other customer segments, the company is
confident of continued growth
About Thermax Limited
Thermax Limited, a leading player in energy and environment management, is one
of the few companies in the world that offers total integrated, solutions in the
areas of heating, cooling, power, water and waste management, air pollution
control and chemicals. The sustainable solutions Thermax develops for client
companies are environmentally friendly and enable efficient deployment of
energy resources. Headquartered in Pune, India, Thermax’s international
operations are spread over South East Asia, Middle East, Africa, Russia, UK and
the US.
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.41.73 |
|
UK Pound |
1 |
Rs.83.11 |
|
Euro |
1 |
Rs.56.50 |
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 |
|