MIRA
INFORM REPORT
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Report Date : |
26.03.2007 |
IDENTIFICATION
DETAILS
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Name : |
PRATIBHA SYNTEX LIMITED |
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Registered Office : |
301, Acme Plaza, 3rd Floor, Andheri-Kurla Road, Opposite Sangam Cinema, Mumbai – 400 059, Maharashtra |
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Country : |
India |
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Financials (as
on) : |
31.03.2006 |
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Date of Incorporation : |
08.10.1982 |
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Com. Reg. No.: |
11-5565 |
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CIN No.: [Company
Identification No.] |
U17111MH1982PLC118017 |
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TAN No.: [Tax Deduction
& Collection Account No.] |
BPLP01476G |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturing of Synthetic Yarn, Fabrics and Knitting Fabrics. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
RATING
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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 3700000 |
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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 a well established company having satisfactory track. Directors are reported as experienced, respectable and having satisfactory means of their own. Their trade relations are fair. Profit margin is low. The company can be considered normal for business dealings at usual trade terms and conditions |
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LOCATIONS
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Registered Office : |
301, Acme Plaza, 3rd Floor, Andheri-Kurla Road, Opposite Sangam Cinema, Mumbai – 400 059, Maharashtra, India |
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Tel. No.: |
91-22-26901425/256921428/28361464/ 28314850/ 28314853 |
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Fax No.: |
91-22-28261464 |
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E-Mail : |
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Website : |
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Factory : |
301, Acme Plaza, 3rd Floor, Andheri-Kurla Road, Opposite Sangam Cinema, Mumbai – 400 059, Maharashtra, India |
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Tel. No.: |
91-22-26901425/256921428/28361464 |
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Fax No.: |
91-22-28261464 |
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E-Mail : |
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Website : |
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Factory : |
Plot No. 4, Industrial Growth Centre, Kheda – 454 774, Pitampur, District Dhar, Madhya Pradesh, India |
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Tel. No.: |
91-7292-504362-64/ 404362-3/ 404357 |
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Fax No.: |
91-7292-504326/ 256340-1 |
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E-Mail : |
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Branches : |
Delhi Office |
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Tel. No.: |
91-11-41616465, 26816790,32449714 |
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Fax No.: |
91-11-41616480 |
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E-Mail : |
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Branches : |
Indore Office |
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Tel. No.: |
2562228-9 |
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Fax No.: |
91-731-2562227 |
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E-Mail : |
DIRECTORS
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Name : |
Mr. Shiv Kumar Chaudhary |
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Designation : |
Chairman |
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Name : |
Mr. Snehkar K Bansal |
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Designation : |
Whole time
Director |
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Name : |
Mr. Ram Kishan Sharma |
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Designation : |
Director |
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Name : |
Mr. K K Lalpuria |
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Designation : |
Director, Terry
Towel Marketing |
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Name : |
Mr. S Ananthkrishnan |
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Designation : |
Nominee (IDBI) |
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Name : |
Mr. S Sarkar |
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Designation : |
Nominee (EXIM) |
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Designation : |
Mr. Aditya Goyal |
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Address : |
Whole time
Director |
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Name : |
Mr. Shreyaskar
Chaudhary |
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Designation : |
Vice Chairman and
Joint Managing Director |
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Name : |
Mr. N S Nirban |
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Designation : |
Executive
Director |
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Name : |
Mr. K J Parekh |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. N K Joshi |
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Designation : |
Company Secretary |
BUSINESS DETAILS
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Line of Business : |
Manufacturing of Synthetic Yarn, Fabrics and Knitting Fabrics. |
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Products : |
· Yarn · Fabrics · Knitting Fabrics |
GENERAL
INFORMATION
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Suppliers : |
· Blow Room – Crosrol, UK · Crosrol, UK · Comber - Toyoda, Japan · Toyoda, Japan - Draw Frame · Knitting - Fukuhara (Monarch), Japanterrot, Germany · Speed Frame - Texmaco Howa, India · Ring Frame - Toyoda, Japan · Auto Coner - Murata, Japan · Yarn Conditioning - Xorella, Switzerland |
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No. of Employees : |
700 |
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Bankers : |
Not Available |
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Banking Relations
: |
Satisfactory |
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Auditors : |
Kanji R. Agrawal & Company Chartered Accountants Mumbai, Maharashtra |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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45000000 |
Equity Shares |
Rs.10/- each |
Rs.450.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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17017611 |
Equity Shares |
Rs.10/- each |
Rs. 170.176 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS
FUNDS |
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1]
Share Capital |
170.200 |
140.200 |
140.200 |
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2]
Reserves & Surplus |
746.100 |
755.400 |
693.800 |
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NETWORTH |
916.300 |
895.600 |
834.000 |
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LOAN
FUNDS |
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1]
Secured Loans |
1811.900 |
1691.100 |
1694.800 |
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2] Unsecured
Loans |
88.200 |
84.000 |
68.200 |
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TOTAL BORROWING |
1900.100 |
1775.100 |
1763.000 |
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TOTAL
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2816.400 |
2670.700 |
2597.000 |
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APPLICATION
OF FUNDS |
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FIXED
ASSETS [Net Block] |
1913.800 |
1938.900 |
2061.100 |
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Capital
work-in-progress |
76.700 |
35.300 |
0.000 |
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INVESTMENTS |
16.600 |
12.900 |
12.900 |
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CURRENT
ASSETS, LOANS & ADVANCES |
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Inventories |
662.200 |
471.100 |
432.900 |
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Sundry
Debtors |
245.600 |
240.400 |
169.700 |
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Cash
& Bank Balances |
68.000 |
28.000 |
29.700 |
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Loans
& Advances |
332.800 |
270.600 |
232.700 |
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Total Current
Assets |
1308.600 |
1010.100 |
865.000 |
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Less:
CURRENT LIABILITIES & PROVISIONS |
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Current
Liabilities |
469.800 |
304.600 |
319.500 |
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Provisions |
29.500 |
21.900 |
22.500 |
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Total Current Liabilities |
499.300 |
326.500 |
342.000 |
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Net Current Assets |
809.300 |
683.600 |
523.000 |
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TOTAL
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2816.400 |
2670.700 |
2597.000 |
PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover |
3447.900 |
3023.600 |
2655.900 |
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Other Income |
29.300 |
36.800 |
44.700 |
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Total Income |
3477.200 |
3060.400 |
2700.600 |
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Profit/(Loss) Before Tax |
159.000 |
66.900 |
11.000 |
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Provision for Taxation |
15.100 |
5.300 |
0.800 |
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Profit/(Loss) After Tax |
143.900 |
61.600 |
10.200 |
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Expenditures : |
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Manufacturing Expenses |
336.600 |
250.000 |
185.000 |
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Administrative Expenses |
206.900 |
178.800 |
166.800 |
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Raw Material Consumed |
2046.800 |
1893.600 |
1621.900 |
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Miscellaneous Expenses |
3.100 |
0.700 |
0.900 |
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Salaries, Wages, Bonus, etc. |
187.600 |
169.400 |
142.600 |
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Interest |
187.500 |
163.600 |
224.400 |
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Power & Fuel |
179.400 |
148.700 |
142.900 |
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Depreciation & Amortization |
155.700 |
151.200 |
149.200 |
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Other Expenditure |
14.600 |
37.500 |
55.900 |
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Total
Expenditure |
3318.200 |
2993.500 |
2689.600 |
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KEY RATIOS
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Debt Equity Ratio |
2.03 |
2.05 |
2.31 |
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Long Term Debt
Equity Ratio |
1.48 |
1.60 |
1.89 |
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Current Ratio |
1.27 |
1.31 |
1.29 |
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TURNOVER RATIOS |
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Fixed Assets |
1.26 |
1.14 |
1.01 |
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Inventory |
6.08 |
6.69 |
6.66 |
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Debtors |
14.19 |
14.75 |
17.55 |
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Interest Cover Ratio |
1.85 |
1.41 |
1.05 |
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Operating Profit Margin(%) |
14.57 |
12.62 |
14.48 |
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Profit Before Interest And Tax Margin(%) |
10.05 |
7.62 |
8.86 |
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Cash Profit Margin(%) |
8.69 |
7.04 |
6.00 |
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Adjusted Net Profit Margin(%) |
4.17 |
2.04 |
0.38 |
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Return On Capital Employed(%) |
12.63 |
8.75 |
9.10 |
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Return On Net Worth(%) |
15.88 |
7.12 |
1.31 |
LOCAL AGENCY
FURTHER INFORMATION
Operational Performance
The operations of the Company for the year under review have been satisfactory.
The Company recorded turnover of Rs. 3447.864 millions and Profit Before Tax of
Rs. 158.946 millions, an increase of 14.03% and 137.70% respectively over the
previous year. The Company's exports including incentives increased to Rs.
2356.567 millions from Rs. 2159.340 millions in the previous year, an increase
of 11.13% over the previous year.
Expansions
In the post quota regime, state-of-the-art capacity is the name of the
game for globally recognised companies like Pratibha. The Company has
reinforced its commitment to the global textile market by making a significant
investment of Rs. 3490 millions in different segments of textile such as Terry
Towel (Home Textile), Open End Spinning; expansion in existing Knitting, Dyeing
and Garment facilities & Gas Based Power Project to cater existing &
proposed requirements of power. The essential resources for implementing the
expansion plan have been tied up by way of Term Loans of Rs. 2330 millions all
under Technological Upgradation Fund Scheme (TUFS) and remaining fund is
proposed to be resourced through Initial Public Offer (IPO) and Accruals.
The 'Bhoomi Poojan' ceremony for all the above new Projects has been performed
on the auspicious clay of Ram Navami on 7th April 2006, and civil construction
work has been commenced.
To be globally competitive, the Company has taken initiatives to expand and
optimise its existing capacities. The Company has always believed that textile
industry in India holds enormous promise that can be realised only with
substantial investment in world class plants for providing the good
quality.
Further Issue of Capital
During the period
under review, the Company had allotted 30,00,000 equity shares of Rs. 10/- each
for cash at par aggregating to Rs. 30 millions to the promoters and their
associates on preferential basis in pursuance of the special resolution passed
by the shareholders in its extra-ordinary general meeting held on 24th August 2005.
With issue of these equity shares, the paid up capital of the Company has
increased to Rs. 170.176 millions comprising of 1,70,17,611 equity shares of
Rs. 10/-each.
Website Details :
Origin
and Growth
Pratibha
Syntex Limited launched its operations in the year 1997. India's first vertical
manufacturing set up, Pratibha made its foray into organic farming in the year
1999. In the following year, the company adopted forward integration into
Knitting-Dyeing-Garments in 2000. Today, Pratibha is proud to be an Integrated
Textile Company having a turnover of Rs. 3120 millions and interests in raw
cotton, cotton yarn, synthetic yarn, knitted fabric and garments. It enjoys the
unique distinction of being the largest organic cotton producer in India.
Achievements
Pratibha has an enviable record and unmatched position in the industry. It is
the only process certified plant in the Indian sub continent, for producing
organic cotton as per the guidelines of North American Draft Organic Fiber
Standards, and the entire procedure is certified by SKAL, Netherlands.
Pratibha exports its products to many countries which mainly include USA, UK,
Austria, Egypt, France, Switzerland. A list of prestigious awards establishes
its excellence in exports
Awards
v
Niryat Shree Puraskar
Presented By Indian Council For Small & Medium Exporters
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Export
Performance Award For 1993-94 By Canara Bank, Bangalore
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Niryat Shree
Award For 1997-98 By Federation Of Indian Export Organizations
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Niryat Shiromani
Puraskar By Indian Council Of Small And Medium Exporters (Icsme).
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Raj Bhawan
Aizawl Shield Presented By His Excellency The Governor Of Mizoram- Shri Amolak
Rattan Kohli
Best Performance Award For 1998 -99 By Concor, Icd, Pithampur
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Sanjivani Kosh
Award By State Bank Of Indore For Social Work
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Icmf's Award
For Excellence For 2002-03
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Udyog Ratna By
Phd Chamber Of Commerce And Industry Centenary Celebrations
Certification
v
Pratibha is
certified for Oeko-Tex Standard 100 that sets yardsticks for yarns, fabrics and
textile products of all kinds.
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Pratibha is
proud to possess WRAP certification
which it has got by complying to stringent principles of Workplace Regulations.
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Pratibha has
been awarded ISO 9001 certification, which confirms that Pratibha's products
enjoy a worldwide recognition.
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
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Indian Rupees |
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US Dollar |
1 |
Rs.43.39 |
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UK Pound |
1 |
Rs.85.16 |
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Euro |
1 |
Rs.57.60 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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54 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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