MIRA
INFORM REPORT
|
Report Date : |
22.08.2007 |
IDENTIFICATION DETAILS
|
Name : |
PVR LIMITED |
|
|
|
|
Registered Office : |
6 I , Basant Lok, Vasant Vihar, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2007 |
|
|
|
|
Date of Incorporation : |
26.04.1995 |
|
|
|
|
Com. Reg. No.: |
67827 |
|
|
|
|
CIN No.: [Company
Identification No.] |
L74899DL1995PLC067827 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
DELP04553D |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACP4526D |
|
|
|
|
Legal Form : |
Public limited liability company. Company’s Shares are listed on Stock
Exchange. |
|
|
|
|
Line of Business : |
Multiplex Cinema Operator |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 8000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established and reputed company having satisfactory
track. Directors are reported as experienced and respectable businessmen.
Trade relations are reported as fair. Business is active. Payments are
usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
|
Registered Office : |
6 I , Basant Lok, Vasant Vihar, |
|
Tel. No.: |
91-11-51663787 |
|
Fax No.: |
91-11-51665787 |
|
E-Mail : |
|
|
|
|
|
Corporate Office : |
Block 2A, 2nd Floor, Mehrauli Road, DLF Corporate Park, DLF Qutab
Enclave-Ill, Gurgaon- 1 22002, Haryana, India |
|
Tel. No.: |
91-124-2549300 – 07 |
|
Fax No.: |
91-124-2549307 |
DIRECTORS
|
Name : |
Mr. Ajay Bijli |
|
Designation : |
Chairman cum Managing Director |
|
Date of Birth/Age : |
40 years |
|
Qualification : |
B.Com, O P M P ( |
|
Experience : |
17 years |
|
Date of Appointment : |
23.04.2002 |
|
Previous Employment : |
Director - The Amritsar Transport Company Private Limited |
|
|
|
|
Name : |
Mr. Sanjeev Kumar |
|
Designation : |
Joint Managing Director |
|
Date of Birth/Age : |
35 years |
|
Qualification : |
Bachelor's Degree in Finance & Accounting, MBA |
|
Experience : |
12 years |
|
Date of Appointment : |
24.07.2003 |
|
Previous Employment : |
Director - Priya Exhibitors Private Limited |
|
|
|
|
Name : |
Mr. Sumit Chandwani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vikram Bakshi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Amit Burman |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Renaudjean Palliete |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
|
|
Designation : |
Company Secretary |
|
Date of Birth/Age : |
63 years |
|
Qualification : |
B Com, FCA , ACS |
|
Experience : |
38 years |
|
Date of Appointment : |
28.08. 1 997 |
|
Previous Employment : |
Group Financial- Controller - Priya Exhibitors Private
Limited |
|
|
|
|
Name : |
Mr. Amitabh Vardhan |
|
Designation : |
COO- Exhibition |
|
Date of Birth/Age : |
37 years |
|
Qualification : |
Diploma in Hotel Management, Diploma in Training &
Development |
|
Experience : |
14 Years |
|
Date of Appointment : |
01.05.2003 |
|
Previous Employment : |
Advisor, Hindustan Lever Limited |
|
|
|
|
Name : |
Mr. Ashish Shukla |
|
Designation : |
CEO - Digital |
|
Date of Birth/Age : |
35 Years |
|
Qualification : |
BA, Diploma In Hotel Management, MBA |
|
Experience : |
14 years |
|
Date of Appointment : |
05.04. 1 998 |
|
Previous Employment : |
Taj Group of Hotels |
|
|
|
|
Name : |
Mr. Ashish Saksena |
|
Designation : |
COO- film Cell |
|
Date of Birth/Age : |
41 years |
|
Qualification : |
B.Tech |
|
Experience : |
18 Years |
|
Date of Appointment : |
16.1 1.2002 |
|
Previous Employment : |
Inox Leisure Limited |
|
|
|
|
Name : |
Mr. Sanjay Malhotra |
|
Designation : |
Chief Financial Officer |
|
Date of Birth/Age : |
42 years |
|
Qualification : |
B Com (Hons) FCA |
|
Experience : |
19 years |
|
Date of Appointment : |
19. II .2001 |
|
Previous Employment : |
President – Dimension Consulting Private Limited |
|
|
|
|
Name : |
Mr. Gautam Dutta |
|
Designation : |
Chief Marketing Officer |
|
Date of Birth/Age : |
37 Years |
|
Qualification : |
BA |
|
Experience : |
19 Years |
|
Date of Appointment : |
05.06.2006 |
|
Previous Employment : |
Rediffussion Dentsu Young & Rubicam Private Limited |
|
|
|
|
Name : |
Mr. Vinay Sharma |
|
Designation : |
Director, H R |
|
Date of Birth/Age : |
56 Years |
|
Qualification : |
B.Sc , MBA |
|
Experience : |
33 years |
|
Date of Appointment : |
18.09.2006 |
|
Previous Employment : |
Self Employed, Management Consultant |
|
|
|
|
Name : |
Mr. Kamal Gianchandani |
|
Designation : |
COO PVR Pictures |
|
Date of Birth/Age : |
36 Years |
|
Qualification : |
B.Com, PGDM |
|
Experience : |
10 years |
|
Date of Appointment : |
01.04.2002 |
|
Previous Employment : |
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
Promoters |
9286351 |
40.35% |
|
Foreign
Institutional Investors |
7175397 |
31.18% |
|
Mutual Funds |
4197723 |
18.24% |
|
Resident
Individuals |
1323657 |
5.75% |
|
Bodies
Corporates |
624667 |
2.71% |
|
Financial
Institutions / Banks |
347331 |
1.51% |
|
HUF |
33724 |
0. 1 5% |
|
Non-Resident
Indian |
18427 |
0.08% |
|
Clearing Members |
6356 |
0.03% |
|
Trusts |
237 |
0.00% |
|
Total |
23013870 |
100% |
BUSINESS DETAILS
|
Line of Business : |
Multiplex Cinema Operator |
GENERAL INFORMATION
|
Bankers : |
|
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Facilities : |
NOTES : I . a) Term
loans from State Bank of Patiala, United Bank of b) Term Loan
from IC'ICI Bank Limited to the extent of Rs. 187.500 Millions is secured by
first charge on all of the Company's movable assets, save and except the
assets at the juhu multiplex, both present and future, on pari passu basis
with other term lenders. This loan is further secured by mortgage of the
personal properties of two directors at Vasant Vihar and Kundli, c) Term Loan from
Punjab National Bank to the extent of Rs. 100.000 Millions is secured by
first pari passu charge with other lenders on all assets and movable property
(excluding vehicles hypothecated to banks), including current assets namely current
anc movable fixed assets of any kind belonging to the Company both present
and future except those at PVR Juhu, Mumbai. This loan is further secured by
second charge on all the movable and immovable assets namely current and
movable fixed assets as well as the movable and immovable assets at PVR juhu,
Mumbai of the Company and PVR Phoenix, Mumbai of the subsidiary. 2. Car finance
loans to the extent of Rs. 5.675 Millions are to be secured by hypothecation
of vehicles purchased out of the proceeds of the loans. 3. Loan from SIDBI
to the extent of Rs. 74.350 Millions is secured by a first pari passu charge
by way of hypothecation of all the movable assets (except vehicles
hypothecated to banks) both present and future, of all cinemas of the Company. It is further secured by a second charge on personal
properties of a director at Vasant Vihar and Jhandewalan, |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
S R Batliboi and Company Chartered Accountant |
|
Address : |
|
|
|
|
|
Associates/Subsidiaries : |
|
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
30,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 300.000 Millions |
|
20,000,000 |
Preference Shares |
Rs. 10/- each |
Rs. 200.000 Millions |
|
|
Total |
|
Rs. 500.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
23,013,870 |
Equity Shares |
Rs. 10/- each |
Rs. 230.139
Millions |
|
20,000,000 |
5 % Redeemable Preference
Shares |
Rs. 10/- each |
Rs. 200.000
Millions |
|
|
Total |
|
Rs. 430.139 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
430.139 |
428.774 |
171.000 |
|
|
2] Employees Stock Options Outstanding |
0.000 |
2.916 |
0.000 |
|
|
3] Reserves & Surplus |
1573.580 |
1496.652 |
361.400 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2003.719 |
1928.342 |
532.400 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
600.665 |
613.655 |
455.100 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
10.000 |
|
|
TOTAL BORROWING |
600.665 |
613.655 |
465.100 |
|
|
DEFERRED TAX LIABILITIES |
64.624 |
46.745 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2669.008 |
2588.742 |
997.500 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1349.123 |
782.211 |
671.500 |
|
|
Capital work-in-progress |
144.275 |
439.323 |
176.200 |
|
|
|
|
|
|
|
|
Pre-operative expense , (pending allocation) |
37.988 |
141.809 |
0.000 |
|
|
Intangible Assets |
6.060 |
3.551 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENTS |
629.017 |
309.270 |
12.100 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Interest accrued on long term investments |
1.407
|
0.914 |
0.000 |
|
|
Inventories |
17.615
|
9.247 |
6.800 |
|
|
Sundry Debtors |
55.260
|
28.955 |
24.600 |
|
|
Cash & Bank Balances |
70.109
|
628.547 |
94.900 |
|
|
Other Current Assets |
3.554
|
11.587 |
0.000 |
|
|
Loans & Advances |
674.980
|
528.306 |
207.000 |
|
Total
Current Assets |
822.925
|
1207.556 |
333.300 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
251.964
|
223.954 |
190.400 |
|
|
Provisions |
68.416
|
71.024 |
10.600 |
|
Total
Current Liabilities |
320.380
|
294.978 |
201.000 |
|
|
Net Current Assets |
502.545
|
912.578 |
132.300 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
5.400 |
|
|
|
|
|
|
|
|
TOTAL |
2669.008 |
2588.742 |
997.500 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
1986.100
|
1285.800
|
860.400
|
|
|
Other Income |
99.200
|
47.200
|
20.300
|
|
|
Stock Adjustments |
0.000
|
0.000
|
0.000
|
|
|
Total Income |
2085.300 |
1333.000 |
880.700 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
152.400
|
90.100
|
52.600
|
|
|
Provision for Taxation |
46.800
|
35.300
|
15.200
|
|
|
Profit/(Loss) After Tax |
105.600
|
54.800
|
37.400
|
|
|
|
|
|
|
|
|
Earnings in Foreign Currency : |
|
|
|
|
|
Total Earnings |
Nil
|
1.958 |
NA |
|
|
|
|
|
|
|
|
Imports : |
|
|
|
|
|
|
Capital Goods |
14.660 |
33.505 |
NA |
|
|
Software |
2.833 |
0.528 |
NA |
|
Total Imports |
17.493 |
34.033 |
NA |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Raw Materials |
114.600
|
71.200
|
45.700
|
|
|
Excise Duty |
0.000
|
0.000
|
0.000
|
|
|
Power & Fuel Cost |
94.800
|
49.000
|
33.600
|
|
|
Other Manufacturing Expenses |
589.900
|
367.500
|
229.500
|
|
|
Employee Cost |
177.500
|
106.400
|
64.200
|
|
|
Selling and Administration
Expenses |
745.100
|
519.500
|
360.400
|
|
|
Miscellaneous Expenses |
25.800
|
22.600
|
14.000
|
|
|
Interest & Financial Charges
|
61.000
|
36.000
|
25.700
|
|
|
Depreciation |
124.200
|
70.700
|
55.000
|
|
Total Expenditure |
1932.900 |
1242.900 |
828.100 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2007 [1st
Quarter] |
|
Sales Turnover |
|
|
545.700 |
|
Other Income |
|
|
20.200 |
|
Total Income |
|
|
565.900 |
|
Total Expenditure |
|
|
427.400 |
|
Operating Profit |
|
|
138.500 |
|
Interest |
|
|
14.200 |
|
Gross Profit |
|
|
124.300 |
|
Depreciation |
|
|
34.400 |
|
Tax |
|
|
29.900 |
|
Reported PAT |
|
|
60.000 |
Notes:
200706
Quarter 1 –
Expenditure Includes Film Distributors Share Rs 142.10 million
Consumption of food and beverage Rs 38.00 million Employee Cost Rs 56.20
million Rent Rs 58.80 million Repairs and Maintenance Rs 38.90 million Other
Expenditure Rs 93.40 million Tax Includes Provision for Income Tax(including
deferred tax and other Tax Adjustments) Rs 28.60 million Fringe Benefit Tax Rs
1.30 million EPS is Basic Status of Investor Complaints for the quarter ended
June 30, 2007 Complaints Pending at the beginning of the quarter Nil Complaints
Received during the quarter 12 Complaints disposed off during the quarter 12
Complaints unresolved at the end of the quarter Nil 1. Out of balance proceeds
of public issue, the Company has during the quarter ended June 30, 2007 spent a
sum of Rs 8.50 million towards projects under implementation, general corporate
purpose and share issue expenses. The unspent money is temporarily invested in
Fixed Deposits and Mutual Funds. 2. Income from Operations as disclosed above
are net of Entertainment Tax, Sales Tax and Service Tax collected on generating
such Incomes. 3. The Company has during the quarter ended June 30, 2007
commenced operations at Deep Multiplex, Vadodra and
KEY RATIOS
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
Debt-Equity Ratio |
0.31 |
0.44 |
0.91 |
|
Long Term Debt-Equity Ratio |
0.31 |
0.43 |
0.90 |
|
Current Ratio |
2.77 |
2.77 |
1.69 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
1.46 |
1.39 |
1.31 |
|
Inventory |
147.67 |
159.73 |
173.82 |
|
Debtors |
47.12 |
47.98 |
34.08 |
|
Interest Cover Ratio |
3.50 |
3.50 |
3.05 |
|
Operating Profit Margin(%) |
17.00 |
15.31 |
15.49 |
|
Profit Before Interest And Tax
Margin(%) |
10.74 |
9.81 |
9.10 |
|
Cash Profit Margin(%) |
11.57 |
9.76 |
10.74 |
|
Adjusted Net Profit Margin(%) |
5.32 |
4.26 |
4.35 |
|
Return On Capital Employed(%) |
8.30 |
7.14 |
9.82 |
|
Return On Net Worth(%) |
5.42 |
4.39 |
8.88 |
STOCK PRICES
|
Face Value |
Rs.10.00/- |
|
High |
Rs.179.80/- |
|
Low |
Rs.175.00/- |
LOCAL AGENCY FURTHER INFORMATION
FINANCIAL
REVIEW:
Total Income of the Company grew by 62% from Rs. 1060.200 Millions in previous
year to Rs. 1719.600 Millions for the year under review. Earnings before interest depreciation and tax
(EBIDTA) increased from Rs. 189.300 Millions in previous year to
Rs.326.600 Millions for the year under review, marking a growth of 73%.
Profit after Tax (PAT) increased by 93%from Rs.54.800 Millions in previous
year to Rs. 1,053 for the year under review.
OPERATIONS
REVIEW:
During the year
under review the Company had launched a new brand of cinema called 'PVR
Talkies' to cater the demand of the cinema viewing public in class B & C
cities at a lower price range of Rs. 40 to Rs. 60 for an enhanced movie viewing
experience. The first of PVR Talkies multiplexes were opened at
In current
financial year, the Company has entered into the business of
The growth in the
Income was achieved through a healthy mix of growth in Income of existing
cinemas and by opening of new cinemas. The total number of patrons who watched
movies at their cinemas during the year was 14.73 million, as compared to 8.78
million in the previous year. The average occupancy in, their cinemas during
the year was 43% as compared to 46% in the previous year. The Occupancies of
the cinemas which operated for full year both in 2005-06 & 2006-07
increased from 46% to 49% however, new properties which operated for a par of
the year 2006-07 had lower occupancy levels as the same were in the process of
stabilizing.
During the year
under review the Company commenced commercial operations from seven new
multiplex projects and one project became operational during the current
financial year thereby adding 3 I new screens under its operation.
Details of these
new cinema properties added by the Company are as under :
|
Cinema |
Screens |
Seats |
Commencement date |
|
FVRJuhu , Mumbai |
5 |
1279 |
April 2006 |
|
PVRIndore |
5 |
1 199 |
April 2006 |
|
PVR |
4 |
874 |
April 2006 |
|
PVR Mulund,
Mumbai |
6 |
1815 |
June 2006 |
|
PVR Sahara Mall,
Gurgaon |
2 |
528 |
July, 2006 |
|
PVR Talkies, |
3 |
1 1 5 1 |
September 2006 |
|
PVR Talkies,
Latur |
3 |
1 148 |
September 2006 |
|
FVR Vadodra |
3 |
1096 |
May , 2007 |
Except the
multiplexes at Gurgaon and Vadodra all the above projects have been granted
exemption from the payment of entertainment tax as per Entertainment Tax
Exemption Policy of the respective State.
The Company now operates
and manages 82 screens across the country spread over
SUBSIDIARIES
As on March 3 I,
2007 the Company has two subsidiary companies namely M/s PVR Pictures Limited
(PVR Pictures) and M s C R Retail Mails (
PVR Pictures
Limited is engaged in the business of film distribution and has therefore
successfully distributed various
The Company has
also been deploying certain portion of the IPO funds in the film distribution
and film production
business as well
in lins with the shareholders approval.
M/s CR Retail Mss
(
The Company has
during the year deployed a portion of IPO funds to enharce its Equity Capital
exposure in this
subsidiary to
Rs.200 Millions.
M/s Sunrise
Infotainment Private Limited is implementing the six screens Multiplex Project
at Oberoi Mail. Goregaon Mumbai. The Multiplex is a part of much awaited mall
development at the prime location of suburb
Mumbai.
The Company has
obtained an exemption from the Ministry of Corporate Affairs Government of
India vide its letter no. 47/277/2007-CL-3 dated 7th June, 2007 in
terms of Section 2 1 2(8) of the Companies Act, I 956 from attaching the
audited accounts of its subsidiaries for the financial year. In pursuance
thereof, the Company undertakes that annual accounts of the subsidiary
companies and the related detailed information for the year ended March 3 1 .
2007 will be made available to its investors and subsidiary companies'
investors seeking such information at any point of time. The annual accounts of
the subsidiaiy companies are also kept for inspection by any investor at the
registered office of the Company and concerned subsidiary companies. The
statement required pursuant to the above referred approval letters is disclosed
after the Consolidated Accounts of the Company forming part of this Annual
Report.
INDUSTRY OUTLOOK
2006 was an
excellent year for the Indian box office. The top five films alone grossed over
Rs. 3 billion. This powered a total 21 % growth in box office revenues in 2006
taking the estimated size of the Indian domestic box office marketto Rs. 64
billion. The domestic box office market is expected to grow at a GAGR of 13%
and nearly double its size from Rs 64 Bn in 2006 to an estimated Rs. I 19
billion over the next five years, Overall, the size of the Indian film industry
is estimated at Rs. 85 billion, having grown by 24% from 2005. This high
increase was attributed to higher average ticket prices, propelled by the
growth of multiplexes. The Indian film industry is expected to grow at a CAGR
of 16% to Rs. 175 billion by 2011.
FIXED ASSETS
- Land Freehold
- Building
- Leasehold Improvements
- Plant & Machinery
- Furniture & Fittings
- Vehicles
Revenue from
Revenue from
entertainment
taxes. Their Revenue from
Their Revenue from
sale of tickets for the year under review increased to Rs. 1216.900 Millions as
compared to Rs.880.100 Millions in previous year, registering a growth of 3 8%.
The Company paid an entertainment tax of Rs.291.500 Millions during FY 07 as
compared to Rs.224.400 Millions during the FY 06. As a % of Gross Operating
Income, the average tax rate of the Company reduced from 17.5% in FY 06 to
14.7% in FT 07.
Income from Revenue Sharing
Income from
revenue share represents revenue earned by Company from multiplex properties
being operated by
the company under
a revenue share arrangement with the developers. The Company presently operates
4 multiplex properties at
Royalty Income
Royalty income is
income received from certain of their beverage rage suppliers for them agreeing
not to sell directly competing products. Their Royalty Income, for the year
under review increased to Rs. I 5.900 Millions as compared to Rs. 12 Millions
in previous year, registering a growth of 32%.
Management fee
Management fee includes
• Basic revenue
share fee/ management fee for services provided by them generally to the
property developer in
relation to the
multiplex, which is usually a percentage of turnover.
• Incentive fee
calculated as a percentage of gross operating profit (before interest,
depreciation and management fee).
The Company
presently operates two multiplex properties at SRS PVR,
consultancy services.
Other Income
Other income
includes rent income from surplus space within their cinemas that has been
leased to third parties, interest received on surplus operating cash flow and
interest income on investment of IPO proceeds in short term investments, and
other miscellaneous income. Their other Income for the year under review
increased to Rs.78.700 Millions as compared to Rs.30 Millions in previous year,
registering a growth of 162%.
Operating performance review
The operating
performance has been analysed by comparing property on property growth over FY
07 and FY 06. For the above, the cinema properties have been classified under
Comparable properties, Non Comparable properties and New properties. Comparable
properties represent cinemas which were operational during FY 07 &
FY 06. Non
Comparable properties represent cinemas which were operational for full year in
FY 07 but only for a
part period during
FY 06. New Properties represent cinemas which commenced operations in FY 07.
Average Ticket Price
The Comparable
properties achieved an average ticket price increase of 8% and Non Comparable
properties achieved an average ticket price increase of 12% dunngthe year under
review. The average ticket pricing at New properties of the Company at
Spend per Head
The Comparable
properties achieved an average increase of 6% in spend per head and Non
Comparable properties achieved an average increase of 2% in spend per head
during the year under review. Average spend per head New properties is lower
due to lower Spend per head in markets outside the metres of Delhi, Mumbai,
Bangalore and Hyderabad where the food and beverage pricing and ticket pricing
is also lower.
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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.40.86 |
|
|
1 |
Rs.81.62 |
|
Euro |
1 |
Rs.55.38 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
60 |
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. |
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 |
|