MIRA
INFORM REPORT
|
Report Date : |
09.06.2007 |
IDENTIFICATION DETAILS
|
Name : |
JCB INDIA LIMITED |
|
|
|
|
Formerly Known As : |
ESCORTS JCB LIMITED |
|
|
|
|
Registered Office : |
B-1 / I-1, 2nd
Floor, Mohan Co-operative Industrial Estate, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2006 |
|
|
|
|
Date of Incorporation : |
01.02.1979 |
|
|
|
|
Com. Reg. No.: |
55-9431 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U74899DL1979PLC009431 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
DELJ05267D |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACE0078D |
|
|
|
|
Legal Form : |
A closely held
public limited liability company. |
|
|
|
|
Line of Business : |
Manufacture of
Construction and Earthmoving
Equipments |
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 19000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a
well-established company. Financial position is satisfactory. Trade relations are reported as fair. Payments are reported as usually correct. The company can
be considered normal for business dealings at usual trade terms and
conditions |
LOCATIONS
|
Registered Office : |
B-1 / I-1, 2nd
Floor, Mohan Co-operative Industrial Estate, |
|
Tel. No.: |
91-11-2331
0145/26959157/26941139/26959997 |
|
Fax No.: |
91-11-2331
0271/74/26959351/26959039 |
|
E-Mail : |
|
|
Website : |
|
|
Location : |
Industrial |
|
|
|
|
Head Office /
Factory / Warehouse: |
23/7, |
|
Tel. No.: |
91-129-2232308 / 2232874
/ 2232875/2232805 |
|
Fax No.: |
91-129-2233453 /
2232407/2230194 |
|
Location : |
Industrial |
|
|
|
|
Branches : |
Pune, Chennai and
Kolkata |
DIRECTORS
|
Name : |
Mr. Vipin Sondhi |
|
Designation : |
Managing Director
|
|
Address: |
N – 43, |
|
Date of
Birth/Age |
27.04.1960 |
|
Date of
Appointment : |
01.02.2006 |
|
|
|
|
Name : |
Mr. John
Patterson, |
|
Designation : |
Chairman |
|
Address: |
Rolleston Grange
Lodge Hill, Tutbury Burton on |
|
Date of
Birth/Age |
19.10.1949 |
|
Date of
Appointment : |
27.09.1993 |
|
|
|
|
Name : |
Mr. Onkar Singh
Sunar |
|
Designation : |
Director |
|
Address: |
26, Ishwar Nagar,
|
|
Date of
Birth/Age |
02.05.1953 |
|
Qualification
: |
MSC (Manufacturing Engineers) |
|
Date of
Appointment : |
24.08.2001 |
|
Previous
Employment : |
JCB Limited, |
|
|
|
|
Name : |
Mr. Anthony
Bamford , |
|
Designation : |
Director |
|
Address: |
JC Bamford,
Excavators Limited, |
|
Date of
Birth/Age |
23.10.1945 |
|
Date of
Appointment : |
27.09.1993 |
|
|
|
|
Name : |
Mr. James Muchael
Edwards, |
|
Designation : |
Director |
|
Address: |
67, |
|
Date of
Birth/Age |
15.07.1942 |
|
Date of
Appointment : |
24.06.1999 |
|
|
|
|
Name : |
Mr. Man Singh
Laxmidas Bhakta |
|
Designation : |
Director |
|
Address: |
|
|
Date of
Birth/Age |
03.12.1931 |
|
Date of
Appointment : |
19.12.2002 |
|
|
|
|
Name : |
Mr. David
Frederick Peter Miller, |
|
Designation : |
Director |
|
Address: |
17, |
|
Date of
Birth/Age |
13.07.1953 |
|
Date of
Appointment : |
29.09.2003 |
|
|
|
|
Name : |
Mr. Michael
Hargreaves |
|
Designation : |
Director |
|
Address: |
16, |
|
Date of
Birth/Age |
01.03.1957 |
|
Date of
Appointment : |
30.09.2006 |
KEY EXECUTIVES
|
Name : |
Mr. Sanjeev
Gemawat |
|
Designation : |
Company Secretary |
|
Address: |
H. No.: 666,
Sector – 9, |
|
Date of
Birth/Age |
03/02/1970 |
|
Date of
Appointment : |
18/06/2002 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
J. C. Bamford
Excavators Limited, |
|
884994 |
|
J. C. Bamford
Excavators Limited Jointly with R A Bamford |
|
1 |
|
J. C. Bamford
Excavators Limited Jointly with John Patterson |
|
1 |
|
J. C. Bamford Excavators
Limited Jointly with M. J. Edwards |
|
1 |
|
J. C. Bamford
Excavators Limited Jointly with ETD Leadbeater |
|
1 |
|
Hargreaves
Michael jointly with JC Bamford Excavator Limited |
|
1 |
|
David Miller
jointly with JC Bamford Excavator Limited |
|
1 |
|
Total |
|
885000 |
|
|
|
|
|
Category |
|
Percentage of
Holding |
|
Foreign holdings
[Foreign institutional investors, Foreign Companies, Foreign Financial
Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
100.00 % |
BUSINESS DETAILS
|
Line of Business : |
Manufacture of
Construction and Earthmoving
Equipments |
|
|
|
|
Products : |
|
|
|
|
|
Brand Names : |
JCB |
|
|
|
|
Exports : |
|
|
Countries : |
|
|
|
|
|
Imports : |
|
|
Countries : |
|
|
|
|
|
Terms : |
|
|
Selling : |
Contract, L/C and
Credit (30 to 60 days) |
|
|
|
|
Purchasing : |
Cash, L/C and
Credit (30 / 60 days) |
GENERAL INFORMATION
|
Suppliers : |
|
|
|
|
|
Customers : |
Wholesalers,
Manufacturers, Retailers and Government Bodies.
|
|
|
|
|
No. of Employees : |
550 |
|
|
|
|
Bankers : |
v
ANZ
Grindlays Bank PLC v
Citi
Bank v
Standard
Chartered Bank v
Canara
Bank, Nehru Ground, |
|
|
|
|
Facilities : |
-- |
|
|
|
|
Banking Relations
: |
Good |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse Chartered
Accountants |
|
Address : |
P – 1, Aditya
Vihar, Saidulajab, Opposite D- Block, Saket, Mehrauli, New Delhi-110030,
India |
|
|
|
|
Holding
Company : |
J. C. Bamford Excavators
Limited |
|
|
|
|
Parent of
Holding Company : |
JCB Services |
|
|
|
|
Ultimate
Holding Company : |
Transmission and
Engineering Services, |
|
|
|
|
Membership: |
Confederation of
Indian Industry |
|
|
|
|
Subsidiaries : |
JCB Heavy
Products Limited JCB Transmissions JCB Sales Limited JCB Earthmovers
Limited JCB Material
Handling Limited JCB Inc., JCB Construction
Equipment Limited [CIN No.: U74999DL2004PLC125276] JCB Manufacturing
Limited [CIN No.: U29240MH2004PLC147067] |
|
|
|
|
Associates : |
JCB Research JCB Worked Brands
Limited JCB Compact
Product Limited JCB World Brand
India Private Limited |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1000000 |
Equity Shares |
Rs.100/- each |
Rs. 100.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
885000 |
Equity Shares |
Rs.100/- each |
Rs. 88.500 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 |
88.500 |
88.500 |
88.500 |
|
2] Reserves & Surplus |
4724.839 |
3292.705 |
2169.780 |
NETWORTH
|
4813.339 |
3381.205 |
2258.280 |
|
|
|
|
|
|
LOAN FUNDS |
|
|
|
|
1] Secured Loans |
0.000 |
13.537 |
40.709 |
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
TOTAL BORROWING
|
0.000 |
13.537 |
40.709 |
|
|
|
|
|
|
Deferred Tax Liability |
57.256 |
29.878 |
35.002 |
|
|
|
|
|
TOTAL
|
4870.595 |
3424.620 |
2333.991 |
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1414.753 |
877.840 |
646.485 |
|
Capital work-in-progress |
43.711 |
260.516 |
74.954 |
|
|
|
|
|
|
INVESTMENTS |
1.000 |
1.000 |
0.500 |
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
Inventories |
910.818 |
831.402 |
694.663 |
|
Sundry Debtors |
1758.940 |
1251.052 |
857.528 |
|
Cash & Bank Balances |
1249.666 |
1246.586 |
1199.658 |
|
Other Current Assets |
0.649 |
0.0000 |
129.421 |
|
Loans & Advances |
1887.803 |
614.875 |
6.371 |
|
Total Current Assets |
5807.876 |
3943.915 |
2887.641 |
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
Current Liabilities |
2237.087 |
1524.033 |
1192.165 |
Provisions
|
159.658 |
134.618 |
83.424 |
Total Current Liability
|
2396.745 |
1658.651 |
1275.589 |
|
Net Current Assets |
3411.131 |
2285.264 |
1612.052 |
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
TOTAL
|
4870.595 |
3424.620 |
2333.991 |
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
13052.264 |
9142.093 |
6457.020 |
|
|
Other Income |
607.402 |
495.280 |
99.714 |
|
|
Total Income |
13659.666 |
9637.373 |
6556.734 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
2203.068 |
1768.252 |
1212.612 |
|
|
Provision for Taxation |
770.934 |
645.327 |
456.358 |
|
|
Profit/(Loss) After Tax |
1432.134 |
1122.925 |
756.254 |
|
|
|
|
|
|
|
|
Earnings in Foreign Currency : |
|
|
|
|
|
|
Export Earnings |
NA |
303.896 |
139.591 |
|
|
Other Earnings |
NA |
1.637 |
-- |
|
Total Earnings |
NA |
305.533 |
139.591 |
|
|
|
|
|
|
|
|
Imports : |
|
|
|
|
|
|
Raw Materials |
NA |
1197.508 |
742.505 |
|
|
Stores & Spares |
NA |
128.478 |
105.088 |
|
|
Capital Goods |
NA |
117.810 |
264.792 |
|
|
Others |
NA |
21.288 |
13.107 |
|
Total Imports |
NA |
1465.084 |
1125.492 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Cost of Goods Sold |
0.000 |
0.000 |
4188.189 |
|
|
Manufacturing & Administrative Expenses |
0.000 |
0.000 |
277.741 |
|
|
Selling Expenses |
0.000 |
0.000 |
536.720 |
|
|
Raw Material Consumed |
7968.644 |
5622.857 |
0.000 |
|
|
Purchases made for re-sale |
982.053 |
667.339 |
0.000 |
|
|
Consumption of stores and spares parts |
83.325 |
47.669 |
0.000 |
|
|
Increase/(Decrease) in Finished Goods |
34.066 |
[25.797] |
0.000 |
|
|
Salaries, Wages, Bonus, etc. |
504.793 |
399.252 |
284.069 |
|
|
Managerial Remuneration |
33.902 |
29.867 |
0.000 |
|
|
Payment to Auditors |
3.425 |
2.814 |
0.000 |
|
|
Interest |
1.566 |
2.550 |
1.694 |
|
|
Insurance Expenses |
21.028 |
16.753 |
0.000 |
|
|
Power & Fuel |
94.127 |
61.415 |
0.000 |
|
|
Depreciation & Amortization |
80.204 |
105.199 |
55.709 |
|
|
Other Expenditure |
1649.465 |
939.203 |
0.000 |
|
Total Expenditure |
11456.598 |
7869.121 |
5344.122 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
10.48
|
11.65 |
11.53 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.88
|
19.34 |
18.78 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
30.50
|
36.37 |
34.31 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.46
|
0.52 |
0.54 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.50
|
0.49 |
0.58 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.42
|
2.38 |
2.26 |
LOCAL AGENCY FURTHER INFORMATION
The Registered Office of the company has been
shifted from A-36, Mohan
Co-operative Industrial Area, New Delhi - 110 044, India to the present address
w.e.f. 01.05.2007
Fixed
Assets
v
Land
v
Building
v
Plant &
Machinery
v
Furniture
& Fixture
v
Vehicles
Trade
References
v
Aggarwal
Foundry and Engineering Works
v
Faridabad
Fabricators Private Limited
v
Shivai
Enterprises Private Limited
v
Precision
Automotive Industries
Bankers Charges
Report as per Registry
|
Name of the company |
ESCORTS JCB LIMITED |
|
Presented By |
Mr. N. Nagesh,
Company Secretary |
|
1) Date and description of instrument creating the change |
Joint Deed of
hypothecation of Movable Plant and Machinery and Equipment dated 12.05.1994 |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 38.000
Millions |
|
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
First Pari Passu
charge in favour of the participating Banks over all the Company’s Moveable
Plant, Machinery, Equipment, Tools, Spares and Accessories at its works at
23/7, Mathura Road, Ballabgarh, or else where provided however that the said
charge shall not extent to or cover such items or plant and machinery or
equipment purchased or which may hereafter be purchased by the company by
availing credit financial facilities form one or more financial institutions.
|
|
4) Gist of the terms and conditions and extent and operation of the charge. |
First pari passu
charge in favour of the participating banks as mentioned in the Joint Deed to
secure the credit facilities granted to be granted by the participating banks
upto the overall aggregate limit of Rs. 193.000 Millions in which the
individual aggregate limit of Canara Bank is Rs. 38.000 Millions. |
|
5) Name and Address and description of the person entitled to the charge. |
Canara Bank, Nehru Ground, |
|
6) Date and brief description of instrument modifying the charge |
Not Applicable |
|
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
Not Applicable |
Press
release
JCB's new plant at Pune to serve as outsourcing hub
Bureau
JCB India, part of the $2-billion JC Bamford
Excavators Limited, is bullish on the Indian construction equipment industry
and is in the process of commissioning its second
This new plant would serve as an outsourcing
hub for its global requirements and manufacture various parts that go into
construction-related equipment and excavators. Even as the Pune plant is
underway, the company is investing about Rs 1000.000 Millions in its
The Managing Director of JCB India, Mr
Onkar Singh Sunar, said the new plant is being funded through internal accruals
and has been positioned to serve as a sourcing facility for its global
requirements.
"We are bullish on the construction
industry in
Commissioning the company's 37th
dealership in the country, Mr Sunar said, "About 50 per cent of new
customer additions in the country was through existing clientele. This called
for better service facilities. Therefore, we are investing significantly in
strengthening existing dealers and expanding the footprint."
In 2004, the company sold about 2,500
units of equipment for various requirements and this year JCB hopes to cross
the 7,000-mark driven by increasing usage of construction related equipment.
"The Asia Pacific region accounts
for a significant chunk of the company market and this has prompted us to
establish a centre in
Apart from expanding operations, JCB is
launching a range of equipment for excavation requirements. The southern market
accounts for about 30 per cent of the total JCB sales in
JCB
Bureau
EARTH moving equipment maker JCB India Limited aims
to increase its turnover to Rs 6000.000 Millions in the current financial year
and Rs 7000.000 Millions in 2004-05.
The company claims to have a 82 per cent market share
in backhoe loaders, a product that is extensively used in the roads, housing
and mining industries. JCB introduced backhoe loaders in the country in the
1960s, and hopes to maintain its share in the Indian market, according to top
company officials.
"We have recently launched a new version of the
industry leading 3D backhoe loader. The equipment comes with a 4x4 drive that
enables the machine to climb steep inclines and offer higher efficiency,"
JCB Director (Marketing), Mr Sandeep Singh, told Business Line.
With an upturn in the mining sector and continued
growth of the roads sector, the company hopes to run its Ballabhgarh facility
on the outskirts of the city at full capacity.
JCB's product portfolio also includes loading shovels
and excavators and the company has achieved over 90 per cent indigenisation on
its products. Engines for the equipment are sourced from Kirloskar, Mr singh
said.
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 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.40.98 |
|
|
1 |
Rs.80.98 |
|
Euro |
1 |
Rs.54.99 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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 |
|