MIRA
INFORM REPORT
|
Report Date : |
30.01.2007 |
IDENTIFICATION
DETAILS
|
Name : |
HIMATSINGKA
WOVENS PRIVATE LIMITED |
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Registered Office : |
No.
10/24, Kumara Krupa, High Ground, Bangalore – 560001, Karnataka |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
05.04.1995 |
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Com. Reg. No.: |
08-17552 |
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CIN No.: [Company
Identification No.] |
U17116KA1995PTC017552 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRH02443A |
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PAN No.: [Permanent
Account No.] |
AABCA6710F |
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Legal Form : |
Private
Limited Liability Company. |
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Line of Business : |
Traders
of 100 % Natural Silk Fabrics, Silk Blinded Fabrics and Cotton fabrics Poly
Fillers. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD
100000 |
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Status : |
Satisfactory
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Payment Behaviour : |
Usually
correct |
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Litigation : |
Clear |
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Comments : |
Subject
is an established company and improving its performance. Trade relations are
fair. The company is expected to wipe out its previous losses. 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 : |
No.
10/24, Kumara Krupa, High Ground, Bangalore – 560001, Karnataka, India |
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Tel. No.: |
91-80-22378000 |
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Fax No.: |
91-80-22378058
/ 22378059 |
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E-Mail : |
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Website : |
DIRECTORS
|
Name : |
Mr.
Himatsingka Shrikant |
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Designation : |
Director
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Address : |
173,
Rmv Extension, 8th B Main Road, Bangalore – 560080, Karnataka |
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Date of Birth/Age : |
13.11.1979 |
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Date of Appointment : |
22.01.2003 |
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Name : |
Mr.
Amit Jain |
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Designation : |
Director
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Address : |
143,
Ranka Court, 18 Cambridge Road, Ulsoor, Bangalore – 560008, Karnataka |
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Date of Birth/Age : |
30.11.1971 |
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Date of Appointment : |
22.01.2003 |
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Name : |
Mr.
Prashanth Shenoy |
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Designation : |
Director
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Address : |
H 201
Deja View, Homes C V Raman Nagar, Drdo Post, Bangalore – 560093, Karnataka |
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Date of Birth/Age : |
19.04.1977 |
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Date of Appointment : |
09.06.2003 |
KEY EXECUTIVES
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Name
: |
Mr.
Prashanth Shenoy |
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Designation
: |
Company
Secretary |
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Address
: |
H 201
Deja View, Homes C V Raman Nagar, Drdo Post, Bangalore – 560093, Karnataka |
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Date
of Birth/Age : |
19.04.1977 |
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Date
of Appointment : |
09.06.2003 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
|
No. of Shares |
|
Himatsingka
Seide Limited |
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499993 |
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Himatsingka
Dinesh Kumar |
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1 |
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Himatsingka
Ajoy Kumar |
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1 |
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Himatsingka
Aditya |
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1 |
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Himatsingka
Shrikant |
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1 |
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Poddar
Jayshree |
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1 |
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P
Chinnaraj |
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1 |
|
Amit
Jain |
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1 |
BUSINESS DETAILS
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Line of Business : |
Traders
of 100 % Natural Silk Fabrics, Silk Blinded Fabrics and Cotton fabrics Poly
Fillers. |
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Products : |
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GENERAL
INFORMATION
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No. of Employees : |
150 |
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Bankers : |
Not
Available |
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Facilities : |
-- |
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Auditors : |
S. B.
Billimoria and Company Chartered
Accountants Deloitte
Centre Anchorage II, 100/2, Richmond Road, Bangalore – 560025, India |
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Branches : |
Bangalore, New Delhi, Goa, Jamshedpur, Kochi, Chennai, Mumbai,
Hyderabad, Pune and Kolkata |
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Tel. No.: |
91-80-55276000 |
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Fax No.: |
91-80-55276013 |
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Associates/Subsidiaries : |
Himatsingka
America Inc. |
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Holding Company : |
Himatsingka
Seide Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
500000 |
Equity
Shares |
Rs.100/- each |
Rs. 50.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
500000 |
Equity
Shares |
Rs.100/- each |
Rs. 50.000 millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
|
50.000 |
28.000 |
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2] Share Application Money |
|
0.000 |
0.000 |
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3] Reserves & Surplus |
|
0.000 |
0.000 |
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4] (Accumulated Losses) |
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[23.552] |
[33.776] |
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NETWORTH |
|
26.448 |
[5.776] |
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LOAN FUNDS |
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1] Secured Loans |
|
0.000 |
0.000 |
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2] Unsecured Loans |
|
165.359 |
144.359 |
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TOTAL BORROWING |
|
165.359 |
144.359 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
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191.807 |
138.583 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
|
89.858 |
98.653 |
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Capital work-in-progress |
|
15.742 |
0.281 |
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DEFERREX TAX ASSETS |
|
0.500 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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75.080 |
60.216 |
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Sundry Debtors |
|
2.134 |
1.694 |
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Cash & Bank Balances |
|
7.803 |
4.157 |
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Loans & Advances |
|
23.183 |
19.818 |
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Total Current Assets |
|
108.200 |
85.885 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
|
20.575 |
45.580 |
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Provisions |
|
1.918 |
0.656 |
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Total Current Liabilities |
|
22.493 |
46.236 |
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Net Current Assets |
|
85.707 |
39.649 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
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TOTAL |
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191.807 |
138.583 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
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Sales Turnover [including other income] |
|
169.673 |
140.487 |
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Profit/(Loss)
Before Tax |
|
10.879 |
[6.407] |
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Provision
for Taxation |
|
0.656 |
0.000 |
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Profit/(Loss)
After Tax |
|
10.223 |
[6.407] |
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Total
Expenditure |
|
146.778 |
137.035 |
KEY
RATIOS
|
PARTICULARS |
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|
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
|
6.03 |
[4.56] |
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Net
Profit Margin (PBT/Sales) |
(%) |
|
6.41 |
[4.56] |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
|
5.49 |
[3.47] |
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Return
on Investment (ROI) (PBT/Networth) |
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|
0.41 |
[1.11] |
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Debt
Equity Ratio (Total
Liability/Networth) |
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|
7.10 |
[33.00] |
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Current
Ratio (Current
Asset/Current Liability) |
|
|
4.81 |
1.86 |
LOCAL AGENCY
FURTHER INFORMATION
Fixed
Assets
v
Land
– Freehold
v
Building
v
Leasehold
Improvements
v
Plant
and Machinery
v
Furniture
and Fixture
v
Office
Equipments
Financials
The
company began the financial year 2005-06 with 10 showrooms in Bangalore, New
Delhi, Chennai, South Mumbai, Hyderabad, Pune, Ahmedabad, Kolkata, North Mumbai
and Gurgaon respectively. During the first quarter of the financial year the
company added an additional showroom in Ludhiana. With this addition, the
company now operates 11 showrooms across the country.
This was
the second full financial year of operations and the company registered a
turnover of Rs. 163.5 millions versus Rs. 136.7 millions during the last
financial year. The total income stood at Rs. 169.700 millions versus Rs. 140.5
millions during the last year. The EBITDA for the year stood at Rs. 22.9 millions
versus Rs. 3.5 millions during the last year. The company earned a net profit
of Rs. 10.2 millions as against a loss of Rs. 6.4 millions in the previous
year.
During
the year, the company sold 132346 meters of fabric versus 115928 meters during
the last financial year. In addition, the company has significantly expanded
its product offering of 850 products form 500 products during the last
year.
Himatsingka Plans Big Retail Foray
Abhrajit Gangopadhyay
Bangalore, July 16
SILK fabrics exporting major Himatsingka Seide Limited plans to
sell its range of furnishing fabrics through exclusive retail chain, to be
opened in four metro cities and Bangalore by August-September. The retail foray
would be under `Atmosphere' brand— both for the products as well as the
showrooms.
The domestic retail drive is a sharp turn from the till-now 100 per cent export-oriented firm. The retail venture would be operational under a wholly-owned subsidiary called Himatsingka Wovens Private Limited
Earlier, Himatsingka Seide had acquired ABC Trading Private
Limited for Rs 57.5 Millions to power its retail drive. ABC owned 12,330 square
feet of real estate. Post buy-out, subject plans to retain 2,500 square feet
for its own use and lease/rent out the remaining space. The new retail thrust
comes in the wake of a shrinking production and sales volume of fabric business
in 2002-03. The company reported its production and sales dropped marginally by
0.4 per cent to Rs 1056 Millions and contributed to 84 per cent of the company's
sales. However, external yarn sales were higher by close to 20 per cent and
touched Rs 199.3 Millions from Rs 166.1 Millions a year ago. Internal
consumption was lower tracking a change in product mix of the fabric business,
which is driven by customer preferences. The in-house consumption was 38.3 MT
as compared to 64.2 MT a year ago.
Subject, which is a debt-free company, has laid down a foreign
exchange management policy and resorted to hedging as rupee hardens against the
US dollar. Till March end, forex exposure in terms of both exports and imports
were close to Rs.1584.0 Millions.
The company said its operating profit margin jumped to 44.23 per
cent in 2002-03, from 42.97 per cent a year ago as raw material costs dipped
and hence improved realisations level for the company to Rs.880 per metre from
Rs.835 per metre a year ago.
But other income fell by 42.71 per cent in 2002-03 from a year ago
to Rs.68.6 millions. This was in spite of hike in investible surplus to
Rs.887.8 millions as on March end from Rs.561.4 millions at the beginning of
the fiscal. The company said that such surplus funds were invested in
debt-based mutual funds and returns on such investments fell sharply and
returned an average of 7.28 per cent compared to 15.23 per cent returned a year
ago.
CMT REPORT [Corruption, Money
laundering & Terrorism]
The
Public Notice information has been collected from various sources including but
not limited to: The Courts, India Prisons Service, Interpol, etc.
1] INFORMATION
ON DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court
Declaration :
No records exist to suggest that subject is or was the subject of any
formal or informal allegations, prosecutions or other official proceeding for
making any prohibited payments or other improper payments to government
officials for engaging in prohibited transactions or with designated parties.
3] Asset
Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction registered
against subject: None
5] Records
on Violation of Anti-Corruption Laws :
Charges or investigation registered
against subject: None
6] Records
on Int’l Anti-Money Laundering Laws/Standards :
Charges or investigation registered
against subject: None
7] Criminal
Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation
with Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation
Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA
INFORM as part of its Due Diligence do provide comments on Corporate Governance
to identify management and governance. These factors often have been predictive
and in some cases have created vulnerabilities to credit deterioration.
Our
Governance Assessment focuses principally on the interactions between a
company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject
is not known to have contravened any existing local laws, regulations or
policies that prohibit, restrict or otherwise affect the terms and conditions
that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US
Dollar |
1 |
Rs.44.17 |
|
UK
Pound |
1 |
Rs.86.66 |
|
Euro |
1 |
Rs.57.25 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
4 |
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FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
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--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
42 |
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 |
|