MIRA
INFORM REPORT
|
Report Date : |
2nd
February, 2007 |
IDENTIFICATION
DETAILS
|
Name : |
CENTENIAL
SURGICAL SUTURE LIMITED |
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Registered Office : |
F-29, MIDC, Murbad, Thane-421 401,
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 : |
20.06.1995 |
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Com. Reg. No.: |
11-89759 |
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CIN No.: [Company
Identification No.] |
U99999MH1995PTC089759 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMC06848C |
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Legal Form : |
A
Public Limited Liability Company. The
company's shares are listed on the Stock Exchanges |
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Line of Business : |
Manufacturing
of Medical Accessories and Disposables |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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Maximum Credit Limit : |
-- |
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Status : |
Moderate
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Payment Behaviour : |
Slow
by Average 30 days |
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Litigation : |
Clear |
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Comments : |
Subject
is an old established company having moderate track. Profit margin is very
low. Payments are reported as slow and delayed. The
company can be considered normal for business dealings at usual trade terms
and conditions with some caution. |
LOCATIONS
|
Registered Office : |
F-29, MIDC, Murbad, Thane-421 401,
Maharashtra, INDIA. |
|
Tel. No.: |
91-22-2411 5677/22905/22906 |
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Fax No.: |
91-22-2416 4424 |
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E-Mail : |
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Website : |
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Factory
1 : |
v
Village
Dhavale, Ulhasnagar, Thane, Maharashtra, INDIA v
F-29,
MIDC, Murbad, Thane - 421 401, Maharashtra, INDIA |
DIRECTORS
|
Name : |
Mr. Vijay Manjrekar |
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Designation : |
Chairman cum Managing Director |
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Name : |
Ms.
Anuradha Kashikar |
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Designation : |
Executive Director |
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Name : |
MR. C
R Rawale |
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Designation : |
Whole time Director |
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Name : |
Mr. S.
R. Kingar |
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Designation : |
Executive Director |
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|
Name : |
Mr. N. M. Birje |
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Designation : |
Director |
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|
Name : |
Mr. S. H. Jain |
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Designation : |
Director |
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|
Name : |
Mr. B. S. Limaye |
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Designation : |
Director |
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|
Name : |
Mr. S. S. Laud |
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Designation : |
Director |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
Percentage of Holding |
|
Promoter, directors, relatives and associated companies |
22,08,700 |
30.68 |
|
Non-resident Indians |
36,200 |
0.50 |
|
Other bodies |
61,200 |
0.85 |
|
Public |
48,94,100 |
67.97 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing
of Medical Accessories and Disposables |
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Products : |
PRODUCT RANGE
ABSORBABLE SUTURES Natural Sutures Synthetic
Sutures v
CENTICRYL Braided, Coated
Polyglycolic Acid (PGA) (Violet & Undyed) v
CENTICRYL
Rapid Braided ,Coated Undyed Polyglycolic Acid (PGA) v
MONOSYNTH Monofilament Synthetic
Polydioxanone NON
ABSORBABLE SUTURES v
CENTILENE Monofilament
Polypropylene v
CENTLON
Monofilament Polyamide, Nylon 66 v
CENTISILK
Black Braided Silk & Virgin Silk v
CENTLINEN
Linen v
CENTIBOND Silicone Coated, Braided
Polyester |
PRODUCTION
STATUS
|
Particulars |
|
Unit |
Installed Capacity |
Actual Production |
|
Atraumatic
Needles and Sutures (Absorbable and Non-Absorbable) |
|
Dozens |
500000 |
383374 |
GENERAL
INFORMATION
|
No. of Employees : |
40 |
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Bankers : |
v
Canara
Bank v
Bank
of India v
Co-operative
Bank of Ahmedabad Limited v
State
Bank of Indore v
Parsik
Janata Sahakari Bank Limited |
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Facilities : |
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Banking Relations : |
Satisfactory
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Auditors : |
Vipul
N. Shah and Associates, Chartered
Accountants |
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|
|
|
Associates/Subsidiaries : |
v
Aavas
Infrastructure and Gruh Finance Limited v
Urvi
Ceplease and Securities Limited v
Dhvanil
Chemicals Limited v
Isshan
Infrastructure and Shelters Limited v
Rajesh
Strips Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
7500000 |
Equity Shares |
Rs. 10/- each |
Rs.75.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
7200200 |
Equity Shares |
Rs. 10/- each |
Rs.72.002 Millions |
|
Less: |
Allotment Money Due |
|
Rs. 19.259 Millions |
|
|
Total |
|
Rs. 52.742 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
54.200 |
52.742 |
52.742 |
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|
2] Reserves & Surplus |
21.000 |
12.229 |
4.674 |
|
|
NETWORTH |
75.200 |
64.971 |
57.416 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
59.700 |
52.264 |
33.387 |
|
|
2] Unsecured Loans |
13.600 |
16.824 |
11.824 |
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|
TOTAL BORROWING |
73.300 |
69.088 |
45.211 |
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|
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|
|
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TOTAL |
148.500 |
134.059 |
102.627 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
56.300 |
27.231 |
22.206 |
|
|
Capital work-in-progress |
1.900 |
23.821 |
0.735 |
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INVESTMENT |
2.900 |
2.910 |
5.110 |
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CURRENT ASSETS, LOANS & ADVANCES |
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|
|
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Inventories |
68.800
|
66.704
|
51.182 |
|
|
Sundry Debtors |
107.500
|
97.088
|
59.527 |
|
|
Cash & Bank Balances |
10.600
|
18.404
|
14.336 |
|
|
Loans & Advances |
23.100
|
15.438
|
8.012 |
|
Total Current Assets |
210.000
|
197.634
|
133.057 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
122.700
|
0.703
|
0.703 |
|
|
Provisions |
0.000
|
117.119
|
58.205 |
|
Total Current Liabilities |
122.700
|
117.822
|
58.908 |
|
|
Net Current Assets |
87.300
|
79.812
|
74.149 |
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|
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MISCELLANEOUS EXPENSES |
0.100 |
0.285 |
0.427 |
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|
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TOTAL |
148.500 |
134.059 |
102.627 |
|
PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other income] |
308.300 |
326.650 |
214.729 |
|
|
|
|
|
|
Profit/(Loss)
Before Tax |
12.000 |
11.457 |
8.296 |
|
Provision
for Taxation |
3.200 |
3.902 |
3.899 |
|
Profit/(Loss)
After Tax |
8.800 |
7.555 |
4.397 |
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|
|
|
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|
Export
Value |
21.220 |
67.960 |
14.499 |
|
|
|
|
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Import
Value |
NA |
95.486 |
51.848 |
|
|
|
|
|
|
Total
Expenditure |
319.370 |
315.193 |
206.433 |
QUARTERLY RESULT
|
PARTICULARS |
|
30.06.2006 [1ST Quarter] |
30.09.2006 [2ND Quarter] |
|
Sales
Turnover |
|
88.000 |
104.400 |
|
Other
Income |
|
0.100 |
0.100 |
|
Total Income |
|
88.100 |
104.500 |
|
Total
Expenditure |
|
81.000 |
95.500 |
|
Operating
Profit |
|
7.100 |
9.000 |
|
Interest |
|
1.700 |
1.800 |
|
Gross
Profit |
|
5.400 |
7.200 |
|
Depreciation |
|
1.600 |
2.400 |
|
Tax |
|
1.800 |
2.100 |
|
Reported
PAT |
|
2.000 |
2.700 |
200606
Quarter 1 :-- Expenditure Includes (Increase)/Decrease in stock in Trade Rs (0.532)
million Consumption of Raw Materials Rs 40.607 million Staff Cost Rs 4.693
million Other Expenditure Rs 36.258 million.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt-Equity
Ratio |
1.02 |
0.93 |
0.67 |
|
Long Term
Debt -Equity Ratio |
0.25 |
0.26 |
0.20 |
|
Current
Ratio |
1.17 |
1.27 |
1.51 |
|
TURNOVER
RATIOS |
|
|
|
|
Inventory |
4.04 |
6.13 |
4.61 |
|
Debtors |
4.46 |
5.51 |
4.71 |
|
Interest
Cover Ratio |
2.95 |
4.14 |
4.30 |
|
Operating
Profit Margin (%) |
2.74 |
2.75 |
2.57 |
|
Profit
Before Interest and Tax Margin (%) |
8.15 |
6.69 |
8.15 |
|
Cash
Profit Margin (%) |
6.26 |
5.52 |
6.37 |
|
Adjusted
Net Profit Margin (%) |
4.80 |
3.48 |
3.84 |
|
Return
On Capital Employed (%) |
2.91 |
2.31 |
2.06 |
|
Return
on Net Worth (%) |
13.39 |
15.18 |
14.79 |
|
|
12.56 |
12.26 |
7.97 |
STOCK PRICES
|
Face
Value |
Rs.
10.00 |
|
High |
Rs.
(0.01) |
|
Low |
Rs.
(0.01) |
LOCAL AGENCY
FURTHER INFORMATION
Operations
During the business year
2005-2006, company continued to make progress in terms of diversification and
broadening of its product portfolio and extending its operational reach into
new markets. The sales of the Company fell from Rs.324.313 millions in the
business year 2004-2005 to Rs.302.017 millions in the business year 2005-2006.
The increase in profitability has been achieved primarily on account of better
product mix and containment of costs.
The future of Company looks bright. New products being developed are getting
market acceptance. Many established surgeons have tried our products and
started using them continuously and the trends are encouraging. Overall,
considerable increases in the production and sales of the Company can be
foreseen. The technical functioning of plant as indicated by the
above-mentioned results, the capacity utilisation's was quite satisfactory and
production levels were selectively improved as required. Even with a noticeably
better performance during the current year, the Directors regret that they are
still not in a position to recommend a dividend.
ISO 9001: 2000
Certification
Company is ISO 9001:2000 certified. The stringent ISO 9001:2000 system means
effective control over every step to achieve true quality assurance for
customers. Further the Company has obtained CE Certification for the sutures.
The CE symbol and the reference number of the notified body denote that the
product fulfils the basic requirements in accordance with the Medical Device
Directive (MDD) 93 / 42 / EEC.
BASIS OF
PREPARATION OF FINANCIAL STATEMENTS
The financial statements have been prepared in compliance with the requirements
of the Companies Act, 1956, and Indian Generally Accepted Accounting Principles
(Indian GAAP). In the adoption of the accounting standards there are no
material departures from the prescribed Indian accounting standards. The
Company's management believes that it has been objective and prudent in making
estimates and judgements relating to the financial statements and believes that
these financial statements are a fair representation of the Company's
operations and profits for the year.
Overview
As will be seen from the financial results for the year, sales decreased from Rs.324.313 millions to Rs. 302.017 millions however there has been improvement in profitability due to strategies adopted by your Company in 2005 and 2006, aimed at improving the sales cost. Measures to improve marketing and sales force effectiveness met with considerable success. Reduction in the cost of materials has been achieved through procurement and production efficiencies and local sourcing. In summary the sharp focus on demand generation for key products, procurement and manufacturing efficiencies, tight control on expenses have helped improve profits for the year.
Quality
Company has been consistently meeting the
quality objectives of ISO 9001: 2000, ISO 13485:2003 and CE
Certification.
Product Performance
The overall growth of business in the country has not been upto the desired
levels because of restricted funding. The range of products has been steadily
growing since 2005. The Company has consolidated its position in cardiovascular
sutures segment and further consolidation is expected. With the introduction of
new suture ranges, the sales has been growing steadily. However, in view of
unrestricted imports and competition, sales and profitability of the Company
has been affected.
Outlook
During the first quarter of the current financial year there has been an
improvement in the market conditions resulting in an increase in despatches and
higher sales price realisations. It is expected that this trend will continue.
Further the growth rate of the Indian economy has been projected and your
Company is also likely to benefit from this economic growth. Also due to
increase in the production capacity there would be improvement in the profits
of the Company in the coming years.
Fixed
Assets
v
Freehold
Land
v
Leasehold
Land
v
Building
v
Plant
and Machinery
v
Electrical
Installation
v
Laboratory
Equipments
v
Furniture
& Fixtures
v
Office
Equipments
v
Vehicles
v
Bicycle
v
Cell
Phone
v
Air
Conditioner
As per website Details
COMPANY
PROFILE
CENTENIAL
SURGICAL SUTURE LTD., founded in 1995, manufactures a broad range of Quality
Sterile Needled Sutures, with State of the Art Manufacturing and Packaging
Equipment, Sophisticated Processes Designed and Operated by CENTENIAL's
Competent and Devoted Staff.
CENTENIAL
Sutures is a combination of Craftmanship, the Latest Production Technology,
Strictest Quality Control, Care and Dedication, results in Products of
Incomparable Quality. CENTENIAL is a company with a SURGEON'S eye
for Quality. At CENTENIAL doing business the Fair way is their Foremost
Concern, by Guaranteeing Courteous, Fair and Honest Service, enough inventory
to meet any order size and PRICING. CENTENIAL is confident that it can prove
its flexibility, capacity and attention for Quality and Consistency in
manufacturing World Class Sutures in INDIA.
PRODUCT
INFORMATION
CENTENIAL
can supply complete technical specifications including tables of dimensions and
strength values, as well as chemicals and dye stuffs used in manufacturing for
each suture material.
SERVICE
Their service not only includes prompt
delivery and thorough product information, but also uninterrupted availability
through their chain of experienced distributors. Their devoted staff is
available with knowledge, experience and ready to discuss any of the questions
or concerns. CENTENIAL is here to SERVE you.
Features
- Holds through critical wound healing
period, then is rapidly absorbed.
- Braided structure for excellent
handling, exceptional suppleness, superior strength and good knot
security.
- Superior coating provides smooth
passage through tissue.
- Knots slide into place without chatter
and fraying.
- Excellent tensile strength reduces
breakage.
- Absorbs by hydrolysis in 60 to 90 days
with virtually no tissue reaction.
- CENTICRYL™ is comparable in absorption time and
tensile strength to other braided synthetic absorbable suture
SUPERIOR
NEEDLE POINT
Stays
sharper, lasts longer.
- Made of advanced stainless steel alloy
for sharper point and increased durability.
- Finer taper ratio for excellent penetration.
- Holds edge longer, pass after pass.
SUPERIOR
NEEDLE ATTACHMENT
- Complete line of drilled end needles.
- Needles are drilled for a smooth needle
suture attachment, providing an easier transition with less tissue
disruption.
CONVENIENT
PACKAGING
Packaged
1 dozen per box.
- Uniform colour coding, easy code
conversions.
- Unopened primary package can be
returned to storage if not immediately needed.
For
Ordering Information
contact the local distributor,
Fax us at 00 91 22 416 4424
or
e-mail us at : cssl@bom3.vsnl.net.in
Superior Penetration
- Laser - drilling allows use of a
unique, strong stainless steel alloy with high-performance capabilities.
- Fine taper ratio for excellent
penetration.
- Up to 21% better penetration on the
10th pass than any competitor.
Superior Ductile Strength
- Laser-drilling allows use of a unique,
strong stainless steel alloy for increased ductile strength.
- Up to 350% more resistant to breakage
during bending.
- Less likely to break when reshaping.
Lower
Needle / Suture Ratio at the Swaged End
Swaged
End of Centenial Laser-drilled Needle vs. Channelled Needle
Swaged End of Centenial Laser drilled Needle
Swaged End of Conventional Channeled Needle
SUPERIOR
NEEDLE POINT
Stays
sharper, lasts longer.
- Made of advanced stainless steel alloy
for sharper point and increased durability.
- Finer taper ratio for excellent
penetration.
- Holds edge longer, pass after pass.
SUPERIOR
NEEDLE ATTACHMENT
- Complete line of drilled end needles.
- Needles are drilled for a smooth needle
suture attachment, providing an easier transition with less tissue
disruption.
CONVENIENT
PACKAGING
Packaged
1 dozen per box.
- Uniform colour coding, easy code
conversions.
- Unopened primary package can be
returned to storage if not immediately needed.
For
Ordering Information
contact the local distributor,
Fax us at 00 91 22 416 4424
or
e-mail us at : cssl@bom3.vsnl.net.in
QUALITY CONTROL
GOOD
MANUFACTURING PRACTICE
CENTENIAL has introduced Good Manufacturing Practice into all aspects of
production and quality control which includes the maintenance of detailed batch
records, a recall system, control of procedures, staff training and a
controlled production environment.
INTERNATIONAL
STANDARDS
All
products are manufactured to meet U.S. Pharmacopoeia and European Pharmacopoeia
and other regulatory requirements. The Company proposes to have its range of
sutures registered with the U.S. Food and Drug Administration as manufacturer
of sterile absorbable and non absorbable sutures.
CERTIFICATES
OF INSPECTION
The
Company will make available certificates upon request for any batch to confirm
the results of Quality Control tests and their conformity as applicable to
U.S.P. standards. The quality and reliability of their suture materials are
guaranteed by first-rate specialist knowledge, scrupulous adherence to hygiene
requirements, constant quality control during production and consideration of
most recent scientific knowledge. Every batch is examined carefully before
despatch and released after its sterility and physical parameters have been
established in accordance with legal regulations.
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 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.44.11 |
|
UK
Pound |
1 |
Rs.86.79 |
|
Euro |
1 |
Rs.57.44 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
34 |
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 |