MIRA
INFORM REPORT
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Report Date : |
17.08.2007 |
IDENTIFICATION DETAILS
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Name : |
MITCO WELD PRODUCTS PRIVATE LIMITED |
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Registered Office : |
A – 97, Mangol Puri Industrial Area, Phase II, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
28.01.1993 |
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Com. Reg. No.: |
051900 |
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CIN No.: [Company
Identification No.] |
U74899DL1993PTC051900 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELM03629D |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Exporters of welding Cables, hose pipes and other
welding equipments and accessories. |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 1400 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track.
Company’s profitability is under severe pressure. It has some accumulated
losses. Payments are reported as slow but correct. The company can be considered normal for small business dealings at
usual trade terms and conditions with slight caution initially. |
LOCATIONS
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Registered Office : |
A – 97, Mangol Puri Industrial Area, Phase II, |
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Tel. No.: |
91-11-27022553 |
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Mobile No.: |
91-9312513493 |
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E-Mail: |
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Website: |
DIRECTORS
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Name : |
Mr. Raj Kumar Mittal |
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Designation : |
Managing Director |
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Address : |
C – 25, New |
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Date of Birth/Age : |
01.04.1959 |
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Date of Appointment : |
28.01.1993 |
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Name : |
Mr. Shailesh Mittal |
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Designation : |
Director |
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Address : |
C – 25, New |
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Date of Birth/Age : |
05.07.1986 |
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Date of Appointment : |
21.07.2004 |
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Name : |
Mr. Sudip Mittal |
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Designation : |
Director |
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Address : |
C – 25, New |
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Date of Appointment : |
28.01.1993 |
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Name : |
Mrs. Sunita Mittal |
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Designation : |
Director |
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Address : |
C – 25, New |
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PAN No.: |
AENPM3851L |
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Date of Birth/Age : |
13.04.1966 |
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Date of Appointment : |
20.08.2006 |
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Name : |
Mr. Ankur Mittal |
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Designation : |
Director |
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Address : |
C – 25, New |
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PAN No.: |
AMCPM6671K |
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Date of Birth/Age : |
09.11.1987 |
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Date of Appointment : |
20.08.2006 |
SHAREHOLDING PATTERN
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Names of Shareholders |
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Percentage of
Holding |
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Directors or relatives of directors |
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100.00 |
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Total |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of welding Cables, hose pipes and other
welding equipments and accessories. |
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Exports : |
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Products : |
v
Screen v
Helmet v
Welding Hose Spares for Oven v
Heating Torch and PUG Machine v
MIG Welding Machine v
TIG Welding Machine |
GENERAL INFORMATION
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No. of Employees : |
Around 10 |
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Bankers : |
Not Available |
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Facilities : |
- |
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Banking
Relations : |
- |
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Auditors : |
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Name : |
Garg Suresh and Associates Chartered Accountants |
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Address : |
301, Sewak Chamber, 2099/38, Naiwala, Karol Bagh, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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10000 |
Equity Shares |
Rs. 100.00 each |
Rs. 1.000 million |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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3800 |
Equity Shares |
Rs. 100.00 each |
Rs. 0.380
million |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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0.380 |
0.380 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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0.000 |
0.000 |
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4] (Accumulated Losses) |
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(0.020) |
(0.052) |
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NETWORTH |
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0.360 |
0.328 |
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LOAN FUNDS |
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1] Secured Loans |
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0.000 |
0.000 |
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2] Unsecured Loans |
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0.480 |
0.360 |
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TOTAL BORROWING |
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0.480 |
0.360 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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0.840 |
0.688 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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0.230 |
0.271 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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0.201 |
0.161 |
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Sundry Debtors |
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0.788 |
0.477 |
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Cash & Bank Balances |
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0.051 |
0.049 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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0.000 |
0.000 |
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Total
Current Assets |
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1.040 |
0.687 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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0.427 |
0.270 |
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Provisions |
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0.003 |
0.000 |
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Total
Current Liabilities |
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0.430 |
0.270 |
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Net Current Assets |
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0.610 |
0.417 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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0.840 |
0.688 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Sales Turnover |
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2.267 |
0.726 |
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Other Income |
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0.000 |
0.000 |
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Total Income |
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2.267 |
0.726 |
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Profit/(Loss) Before Tax |
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0.034 |
(0.043) |
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Provision for Taxation |
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0.000 |
0.000 |
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Profit/(Loss) After Tax |
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0.034 |
(0.043) |
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Expenditures : |
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Raw Material Consumed |
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1.768 |
0.603 |
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Salaries, wages and bonus |
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0.093 |
0.031 |
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Managerial Remuneration |
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0.120 |
0.000 |
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Payment to auditors |
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0.008 |
0.005 |
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Consumption of Power and Fuel |
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0.064 |
0.034 |
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Other Expenditure |
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0.179 |
0.095 |
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Total Expenditure |
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2.232 |
0.768 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
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1.50 |
(5.92) |
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Net Profit Margin (PBT/Sales) |
(%) |
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1.50 |
(5.92) |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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2.68 |
(4.49) |
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Return on Investment (ROI) (PBT/Networth) |
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0.09 |
(0.13) |
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Debt Equity Ratio (Total Liability/Networth) |
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2.53 |
1.92 |
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Current Ratio (Current Asset/Current Liability) |
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2.42 |
2.54 |
LOCAL AGENCY FURTHER INFORMATION
Website details attached:
Subject is a manufacturer
of SS & AI TIG/MIG Wires, TIG/ MIG Rods and Wires, Welding Cables Single Stage
Regulator, Two Stage Regulator, Gas Cutter, Cutting Nozzles, CO2
Regulator with Heater and Flow Meter, CO2 Heater Adapter, LPG
Regulator for Industrial Use, Gas Welding Torch, Anti Back Flow Valve for Gas
Cutter, Anti Back Flow valve for Regulators, Welding Electrode Dying Ovens, PVC
Welding Torch, Heating Torch, PUG Cutting Machine, Spare parts for Welding
Torch, Electrode Holders, Earth Clamp, Cable Connector, etc.
Starting in the year 1993, we have grown to become a leading manufacturer in
the industry. They are breathing in a very competitive market today where there
are many companies manufacturing the same products. The clients have lots of
choices when it comes to buying these products, so the only way to survive in
such a market is by churning out quality products at competitive prices. They
keep in mind the safety standards in the work place and see to it that their
employees work in the safest possible environment.
There is a old theory that there is no end point in the business, so they plan
to diversify their business by adding more products. They are open to take-up
challenging projects in the near future.
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SS & AI
TIG/MIG Wires |
Anti Back Flow Valve for Gas Cutter |
Spares for Oven |
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TIG/MIG Rods and Wires |
Anti Back Flow Valve for Regulators |
Heating Torch and PUG Machine |
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Welding Cables |
Welding Electrode Dying Ovens |
MIG Welding Machine |
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Single Stage Regulator |
PVC Welding Torch |
TIG Welding Machine |
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Two Stage Regulator |
Heating Torch |
Flow Meter for Argon/ CO2 |
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Gas Cutter |
PUG
Cutting Machine |
CO2 Heater- 220V/110V |
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Cutting Nozzles |
Spare parts for Welding Torch |
Helmet |
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CO2 Regulator with Heater and Flow Meter |
Electrode Holders |
Hand Screen |
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CO2 Heater Adopter |
Earth Clamp |
Gas Welding Torch |
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LPG Regulator for Industrial Use |
Cable Connector |
Gas Welding
Torch
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Gas Welding Torch |
Welding Hose |
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Quality Assurance
All their products are manufactured under strict quality assurance methods. They use cutting edge technology in the production process. Dealing with dangerous products such as gas cutters, welding torches etc. There is no margin for error in their business. All their products pass through stringent quality check methods conducted in-house by professionals. Due to their timely delivery of quality products, they have built a list of satisfied clientele.
Infrastructure
Their infrastructure is equipped with international standard equipment.
They employ sincere and dedicated people and do their job with dedication. They
keep theirselves updated on the latest technological developments taking place
around the world. Being a small unit, they function as a well knit team.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 41.57 |
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1 |
Rs. 82.14 |
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Euro |
1 |
Rs. 55.74 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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PAID-UP CAPITAL |
1~10 |
3 |
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OPERATING SCALE |
1~10 |
3 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
2 |
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--LIQUIDITY |
1~10 |
4 |
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--LEVERAGE |
1~10 |
4 |
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--RESERVES |
1~10 |
2 |
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--CREDIT LINES |
1~10 |
2 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
NO |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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30 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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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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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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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