MIRA INFORM REPORT
|
Report Date : |
17.02.2007 |
IDENTIFICATION DETAILS
|
Name : |
RIBA
TEXTILES LIMITED |
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Registered Office : |
DD-14,
Nehru Enclave, Opp. Kalkaji Post Office, Delhi – 110019 |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
04.01.1989 |
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Com. Reg. No.: |
55-34528 |
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CIN No.: [Company Identification No.] |
L18101DL1989PLC034528 |
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TAN No.: [Tax Deduction & Collection Account No.] |
DELR09040D |
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PAN No.: [Permanent Account No.] |
AAACR1366F |
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Legal Form : |
A
Public Limited Liability Company. The company’s shares are listed on the
Stock Exchange but not traded since long time. |
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Line of Business : |
Manufacturer
of Terry Towels |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
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/normal. |
Small |
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Maximum Credit Limit : |
USD 380000 |
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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 established company having moderate track. It’s Payments are reported
as slow by average 30 days. Financial position is moderate. The
company can be considered for small to mediocre business dealings at usual
trade terms and conditions. |
LOCATIONS
|
Registered Office : |
DD-14,
Nehru Enclave, Opp. Kalkaji Post Office, Delhi – 110019 |
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Tel. No.: |
91-11-26236986/26213012 |
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Fax No.: |
91-11-26465227 |
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Factory : |
Village
Chidana, Tehsil Gohana, District Sonepat, Haryana |
DIRECTORS
|
Name : |
Mr.
Amit Garg |
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Designation : |
Managing
Director |
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Name : |
Mr.
Nitin Garg |
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Designation : |
Executive
Director |
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Name : |
Mr.
Sanjiv Khera |
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Designation : |
Director
(Technical) |
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Name : |
Mr.
Ravinder Garg |
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Designation : |
Director |
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Name : |
Mr.
Lal Chand Garg |
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Designation : |
Director |
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Name : |
Mr.
Pawan Garg |
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Designation : |
Director |
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Name : |
Mr.
Anil Garg |
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Designation : |
Director |
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Name : |
Mr.
Vinod Garg |
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Designation : |
Director |
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Name : |
Mr.
A. S. Thind |
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Designation : |
Director |
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Name : |
Mr.
R. N. Puri |
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Designation : |
Director |
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Name : |
Mr.
Sudhir Sharma |
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Designation : |
Nominee
(HSIDC) |
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Name : |
Mr.
Anil Chopra |
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Designation : |
Director |
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Name : |
Mr.
Shailender Sharma |
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Designation : |
Director |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
of Terry Towels |
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Products : |
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GENERAL INFORMATION
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No. of Employees : |
400 |
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Bankers : |
State
Bank of Indore, M-10, GK –II, New Delhi |
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Banking Relations : |
Unknown |
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Auditors : |
Midha
and Associates Chartered
Accountants 1053,
Sector 13, Urban Estate, Karnal-132001 |
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Associates/Subsidiaries
: |
Nil |
CAPITAL
STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity
Shares |
Rs.10/- each |
Rs.150.000 millions |
|
100000 |
Non
Redeemable Preference Shares |
Rs.10/- each |
Rs.1.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
9652870 |
Equity
Shares |
Rs.10/- each |
Rs.96.529 millions |
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Less
: Calls in arrears |
|
Rs.19.300 millions |
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Total |
|
Rs.77.229
millions |
FINANCIAL
DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
77.229 |
77.225 |
77.200 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
56.692 |
25.582 |
10.300 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH
|
133.921 |
102.807 |
87.500 |
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LOAN FUNDS |
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1] Secured Loans |
134.985 |
64.543 |
63.500 |
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2] Unsecured Loans |
61.404 |
48.108 |
50.800 |
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TOTAL
BORROWING
|
196.389 |
112.651 |
114.300 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL
|
330.310 |
215.458 |
201.800 |
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APPLICATION OF FUNDS
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FIXED ASSETS [Net Block]
|
119.082 |
119.118 |
122.400 |
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Capital work-in-progress
|
101.046 |
4.468 |
0.000 |
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INVESTMENT
|
0.250 |
0.250 |
0.300 |
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DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES
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Inventories
|
69.721
|
54.038
|
49.500
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Sundry Debtors
|
33.453
|
27.290
|
24.500
|
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Cash & Bank Balances
|
2.272
|
1.433
|
1.200
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Loans & Advances
|
14.574
|
15.108
|
13.200
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Total Current Assets
|
120.02
|
97.869 |
88.400
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Less : CURRENT LIABILITIES & PROVISIONS
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Current Liabilities
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|
6.765
|
10.200
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Provisions
|
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|
0.000
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Total Current Liabilities
|
10.308
|
6.765 |
10.200
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Net Current
Assets
|
109.712
|
91.104 |
78.200
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MISCELLANEOUS EXPENSES
|
0.220 |
0.518 |
0.900 |
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TOTAL
|
330.310 |
215.458 |
201.800 |
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PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
Sales Turnover [including other income]
|
24.189 |
16.453 |
126.100 |
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Profit/(Loss) Before Tax
|
31.110 |
152.277 |
6.000 |
Provision for Taxation
|
0.000 |
0.000 |
0.000 |
Profit/(Loss) After Tax
|
31.110 |
152.277 |
6.000 |
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Export Value
|
214.950 |
159.243 |
NA |
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Import Value
|
112.324 |
11.012 |
NA |
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Total Expenditure
|
216.079 |
150.038 |
111.800 |
QUARTERLY
RESULTS
|
PARTICULARS |
|
30.06.2006 (1st Qtr.) |
30.09.2006 (2nd Qtr.) |
|
Sales
Turnover |
|
74.700 |
98.100 |
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Other
Income |
|
0.000 |
0.000 |
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Total
Income |
|
74.700 |
98.100 |
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Total
Expenditure |
|
58.800 |
83.000 |
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Operating
Profit |
|
15.900 |
15.100 |
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Interest |
|
3.200 |
03.300 |
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Gross
Profit |
|
12.700 |
11.800 |
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Depreciation |
|
3.500 |
3.500 |
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Tax |
|
0.000 |
1.800 |
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Reported
PAT |
|
9.100 |
6.400 |
200606 Quarter 1
Notes
EPS
is Basic and Diluted Status of Investor Complaints for the quarter ended June
30, 2006 Complaints Pending at the beginning of the quarter Nil Complaints
Received during the quarter Nil Complaints disposed off during the quarter Nil
Complaints unresolved at the end of the quarter Nil 1.The above results were
taken on record at the meeting of the board of Directors held on July 29, 2006.
2. The limited review of the above results by the Auditors of the Company was
taken on record at the meeting of the board of Directors of the Company held on
July 29, 2006. 3. Figures of quarter of last year have been adjusted, wherever
required.
200609 Quarter 2
Notes:
EPS
is Basic and Diluted Status of Investor Complaints for the quarter ended
September 30, 2006 Complaints Pending at the beginning of the quarter Nil
Complaints Received during the quarter Nil Complaints disposed off during the
quarter Nil Complaints unresolved at the end of the quarter Nil 1. The above
results were taken on record at the meeting of the Board of Directors held on
October 30, 2006. 2. The limited review of the above results by the Auditors of
the Company was taken on record at the meeting of the board of Directors of the
Company held on October 30, 2006. 3. Previous year/period figures have been
regrouped and rearranged, wherever necessary.
KEY RATIOS
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
Debt
Equity Ratio |
1.31 |
1.19 |
1.34 |
|
Long
Term Debt Equity Ratio |
0.95 |
1.00 |
1.34 |
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Current
Ratio |
2.17 |
3.49 |
7.59 |
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TURNOVER
RATIOS |
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Fixed
Assets |
1.20 |
0.87 |
0.67 |
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Inventory
|
3.80 |
3.18 |
2.66 |
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Debtors |
7.74 |
6.35 |
5.56 |
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Interest
Cover Ratio |
5.38 |
4.10 |
2.67 |
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Operating
Profit Margin (%) |
20.09 |
15.14 |
11.32 |
|
Profit
Before Interest and Tax Margin (%) |
16.26 |
12.22 |
7.60 |
|
Cash
Profit Margin (%) |
17.07 |
12.16 |
8.47 |
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Adjusted
Net Profit Margin (%) |
13.24 |
9.24 |
4.75 |
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Return
on Capital Employed (%) |
13.73 |
9.41 |
4.89 |
|
Return
on Net Worth (%) |
25.05 |
15.06 |
7.10 |
STOCK PRICES
|
Face Value |
Rs.10.00/- |
|
High |
Rs.10.50/- |
|
Low |
Rs.10.50/- |
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Incorporated in Jan.'89 as a
private limited company and subsequently converted into public limited company
in Jul.'94, Riba Textiles was promoted by Ravinder Garg and his family.
The company is engaged in the manufacture of terry towels at Chidana
(Panipat district), Haryana. Commercial production commenced in Jan.'92. In
1995-96, the company undertook an expansion-cum-backward integration programme
to increase the installed capacity from 250 tpa to 1499 tpa; and also to set up
an open-end spinning plant with a capacity of 768 rotors, for the manufacture
of cotton yarn for captive consumption. The company is also installing its own
dyeing facility.
In Mar.'96, the company issued shares to the public to part-finance its
expansion-cum-backward integration project. The company is a registered 100%
EOU.
During 1996-97, foreign exchange earned by the company is amounting to Rs.
76.700 Millions.
Company’s
fixed assets include land, building, machinery, office equipment, vehicles,
miscellaneous assets and furniture.
OPERATIONS
& FUTURE PROSPECTS
During the year under review, the company has
achieved a turnover of Rs 234.868 millions against the last year turn over of
Rs. 164.535 showing an impressive growth of 42.75%.
The growth achieved by the company had been due to
the better economic conditions, improved cordial industrial relationships in
the company The Directors are hopeful that in the current financial year
company will achieve higher growth accompanied with better results due to
expansion project which has been commissioned on 01.05.2005.
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. 44.09 |
|
UK
Pound |
1 |
Rs. 86.59 |
|
Euro |
1 |
Rs.57.92 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
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|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--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 |
|
39 |
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
|
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 |