MIRA INFORM
REPORT
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Report
Date : |
02.05.2007 |
IDENTIFICATION DETAILS
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Name : |
CROMPTON
GREAVES LIMITED |
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Registered
Office : |
6th
Floor, C G House, |
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Country: |
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Financials
as on: |
31.03.2006 |
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Date
of Incorporation : |
28.04.1937 |
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Com.
Reg. No.: |
11-2641 |
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CIN
No.: [Company
Identification No.] |
L99999MH1937PLC002641 |
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TAN
No.: [Tax
Deduction & Collection Account No.] |
MUMCO5628A |
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PAN
No.: [Permanent
Account No.] |
AAACC3840K |
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Legal
Form : |
It is a public limited liability company. The company’s
shares are listed on the Stock Exchanges. |
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Line
of Business : |
Manufacturing and Marketing of transformers, switchgears,
turn-key projects, capacitors, electric motors - fractional horse power
motors, LT motors, alternators, HT motors, DC machines, rail transportation,
fans, luminaries, light sources, telephone instruments, telecommunication
switching, transmission and access products, EPABX systems and agricultural
and domestic pumps, etc. |
RATING & COMMENTS
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MIRA’s
Rating : |
A |
RATING
|
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum
Credit Limit : |
USD
21000000 |
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Status
: |
Good |
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Payment
Behaviour : |
Regular |
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Litigation
: |
Clear |
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Comments
: |
Subject is a part of Thapar Group - a well-established
industrial house. Directors are reported as experienced, respectable and
resourceful industrialists. Their trade relations are reported as fair. General financial position is
satisfactory. Payments are usually correct
and as per commitments. The company can be considered normal for any business
dealings at usual trade terms and conditions. |
LOCATIONS
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Registered
Office : |
6th
Floor, CG House, |
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Tel.
No.: |
91-2662-242324/242278 |
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Fax
No.: |
91-2662-242326 |
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E-Mail
: |
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Website
: |
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Cable
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CROMGRE |
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Plant
Locations : |
Power Systems
Ř
Kanjur, Bhandup, Mumbai – 400 042, o
Tel. No. 91-22-25782451 o
Fax No. 91-22-25783271 / 25783216 o
E-Mail. : vmasson@tone.cgl.co.in Ř
A/3 MIDC Area, Ambad, Nashik – 422 010, o
Tel. No. 91-253-2382 271 / 2382 275 o
Fax No. 91-253-2381 247 o
E-Mail. : contact@cglmail.com Ř
D-2 MIDC, Waluj, o
Tel. No. 91-240-2554 662 /2 554 371 / 2554 372 / 2554 559 o
Fax No. 91-240-2554 697 o
E-Mail. : cglsg@bom4.vsnl.net.in Ř
o
Tel. No. 91-20-27474925 o
Fax No. 91-20-27474972 o
E-Mail. : cgt2@mantraonline.com Ř
T1+T2 MPAKVN Industrial Area, Malanpur (Dist. Bhind), Madhya
Pradesh-477 716, o
Tel. No. 91-7539-283502 / 3507 / 3470 o
Fax No. 91-7539-283585 o
E-Mail. : cgt2@mantraonline.com Ř
Plot No. 29-32 New Industrial Area No. 1, Mandideep – 462 046, o
Tel. No. 91-7480-233306 o
Fax No. 91-7480-233149 o
E-Mail. cglt-bpl@sancharnet.in Ř
Plot No. 65, Phase 1, SIPCOT Industrial Complex, Hosur - 635 126,
Tamil Nadu, o
Telefax : 91-4344-2579633 o
Fax No. : 91-4344-2579622 o
E-Mail. : cgpolycrete@satyam.net.in Industrial Systems
Ř
Kanjur, Bhandup, Mumbai – 400 042, o
Tel. No. 91-22-2578 2451 o
Fax No. 91-22-2578 3845 o
E-Mail. : imd@cgl.co.in Ř
A/6-2, MIDC Industrial Area, Ahmednagar – 414 111, o
Tel. No. 91-241-2777372 o
Fax No. 91-241-2777508 o
E-Mail. : sc.gupta@mail.cgl.co.in Ř
B-110 MIDC Industrial Area, Ahmednagar – 414 111, o
Tel. No. 91-241-2778521 o
Fax No. 91-241-2777491 o
E-Mail. : gupta.r.k@mail.cgl.co.in Ř
Plot No. 4, Gate No. 627/2, Village Kuruli, Near Chakan, Pune - 410
501, o
Tel. No. 91-2135-254641/2 o
E-Mail. feeder@cgl.co.in Ř
D-5 Industrial Area, MPAKVN, Mandideep – 462 046, o
Tel. No. 91-7480-233116 / 233118 o
Fax No. 91-7480-233119 o
E-Mail. : ak.raina@mail.cgl.co.in Ř
11-B, Industrial Area 1, Pithampur – 454 775, Dist. Dhar, o
Tel. No. 91-7292-253194 / 253258 o
Fax No. 91-7292-253211 o
E-Mail. : cglsrub@sancharnet.in Ř
C 71-72, MIDC Industrial Area, Satpur, Nashik – 422 007, o
Tel. No. 91-253-2351067 / 69 o
Fax No. 91-253-2351492 o
E-Mail. : vrkumar@satpur2.cgl.co.in Ř
D-2-21, 22, 23, Tivim Industrial Estate, Karaswada, Bardez, Goa - 403
526, o
Tel. No. 91-832-2257639 / 409 o
Fax No. 91-832-2257207 o
E-Mail. : sagar.r.k.@mail.cgl.co.in Ř
196-198, Kundaim Industrial Estate, Kundaim, Ponda, Goa - 403 110, o
Tel. No. 91-834-2395510 o
Fax No. 91-834-2395377 o
E-Mail.: cglfhpg@goatelecom.com Ř
L. B. Shastri Marg, Bhandup, Mumbai - 400 078, o
Tel. No. : 91-22-25783865 / 3581 / 83 o
Fax No. : 91-22-25782877 Ř
o
Tel. No. : 91-22-24933913 / 916 o
Fax No.: 91-22-24951411 Consumer Products Ř
Kanjur, Bhandup, Mumbai – 400 042, o
Tel. No. 91-22-2578 2451 o
Fax No. 91-22-2578 6046 Ř
o
Tel. No. 91-22-24951983 / 24944376/ 24977652 o
Fax No. 91-22-24604707 / 4708 / 24973046 o
E-Mail. : vrm@cgl.co.in Ř
Kural Village, Padra Taluka, o
Tel. No. : 91-2662-242278 o
Fax No. : 91-2662-242326 o
E-Mail. : kvs@mail.cgl.co.in Ř
325-326, Kundaim Industrial Estate, Ponda, Goa - 403 110, o
Tel. No. : 91-832-2395304 o
Fax No. : 91-832-2395305 Ř
A-28, MIDC, Ahmednagar - 414 111, o
Tel. No. 91-241-2777155 o
Fax No. 91-241-277893 o
E-Mail. uhm@cgl.co.in Ř
214-A, Kundaim Industrial Estate, Kundaim, Goa - 403 110, o
Tel. No. 91-832-2395246 / 206 / 304 o
Fax No. 91-832-2395305 o
E-Mail. rsk@mail.cgl.co.in Ř
Plot No. 1, IDC Industrial Estate, Bethora, Ponda, Goa 403 409, o
Tel. No. 91-832-2330005 / 2330742 o
Fax No. 91-832-2313155 o
E-Mail. rsk@mail.cgl.co.in Ř
Village & Import Export Executive Channo, Dist. Sangrur - 148 026,
o
Tel. No. 91-16732-274543 o
Fax No. 91-16732-274542 Digital Group
Ř
10-A Jigani Industrial Estate, Jigani, Anekal, o
Tel. No. 91-80-7825206/7 o
Fax No. 91-80-7825210 o
E-Mail. cgl.rcd@cromption.sril.in Ř
11A & 11C Industrial Area, Pithampur – 454 775, Dist. Dhar, o
Tel. No. 91-7292-253035 / 253071 o
Fax No. 91-7292-253213 o
E-Mail. hs_sekhon@yahoo.co.in International Division
Ř
Jagruti, 2nd Floor, Kanjur Marg (East), Mumbai - 400 042, o
Tel. No. 91-22-25782451-7/25776524 /6649/25776723/25784211-19 o
Fax No. 91-22-25774066 o
E-Mail. ashley@cgl.co.in Domestic Appliances Division
27, Tel. No. 91-11-27516993 / 23632349 Fax No. 91-11-27514899 Engineering Projects Division
Ř ·
Tel No. 91-44-25341941 ·
Fax No. 91-44-25341048 ·
E-Mail. cglepd@vsnl.com Ř
50,
Lighting Division
Ř
·
Tel. No. 91-22-24604701 |
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Regional
Sales Office : |
Northern Region Tel. No.
91-141-2376919/2376307 Fax. No.
91-141-2365371 E-Mail. opsharma@mail.cgl.co.in 50,
Mahavir Marg, Jalandhar - 144 001, Tel. No.
91-181-2459467/2459478 Fax. No.
91-181-2226342 E-Mail. maniktala@mail.cgl.co.in Saran
Chambers II, 3rd Floor, Tel. No.
91-522-2239443/2237007/8 Fax. No.
91-522-2237009 E-Mail. cgllko@sancharnet.in Tel. No.
91-11-23352151/23352161 Fax. No.
91-11-23324360 E-Mail. vknayyar@mail.cgl.co.in Tel. No.
91-11-23348236/41/23348425/25 Fax. No.
91-11-23734954 E-Mail. administratordelhi@cgl.co.in Eastern Region 50, Tel. No.
91-33-22829681/85 Fax. No.
91-33-22829942/22824818 E-Mail. cglercal@cal.vsnl.net.in Tel. No.
91-674-2533647/2531128 Fax. No.
91-674-2533521 E-Mail. yebbssd@dte.vsnl.net.in Western Region 909-916,
Sarkar II, Near Tel. No.
91-79-6582780/6587238 Fax. No.
91-79-6586047 E-Mail. rcvatsa@mail.cgl.co.in Kanjur
Marg (East), Mumbai - 400 042, Tel. No.
91-22-25782451 Fax. No.
91-22-25794882 E-Mail. anr@wr.cgl.co.in 65A,
Nhava House, Tel. No.
91-22-22083234/36/22014905 Fax. No.
91-22-22083244 103-B,
Apollo Trade Centre, 2B, Raigarh Kothi, Tel. No.
91-731-2498269/2498271/2498276 Fax. No.
91-731-2495667 E-Mail. sagarm@mail.cgl.co.in Surya
Bhavan, 5th Floor, Tel. No.
91-20-5534675-77 Fax. No.
91-20-5534684 E-Mail. siva@mail.cgl.co.in Southern Region Ground
Floor, Tel. No.
91-80-6533926 to 3928/6534170 & 73 Fax. No.
91-80-6534174 E-Mail. bukil@mail.cgl.co.in Satellite office - No. 658/664, Rajalakshmi Plaza,
100ft. Road, Gandipuram, Coimbatore - 642 012, Tamil Nadu, India Tel. No.
91-422-2526453/2521829 Fax. No.
91-422-2525334 Tel. No.
91-484-370860/3 Fax. No.
91-484-373738 E-Mail. anand.kumar.n@mail.cgl.co.in 3, Dr. M
G R Salai, ( Tel. No.
91-44-28257375 Fax. No.
91-44-28231973/1974 E-Mail. tahilyani.dd@mail.cgl.co.in Satellite office No. 84-B,
Tel. No.
91-452-2382711/382 Fax. No.
91-452-2382640 Minerva
House, 4th Floor, 94, Tel. No.
91-40-27847270/27847090 Fax. No.
91-40-27842921 E-Mail. bajwa@mail.cgl.co.in (Satellite
office) - G-3, Vijay Apartments, Moghulrajpuram, Near Madhu Kalyana Mandapam,
Tel. No.
91-866-2476783 Fax. No. 91-866-2473561 |
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Services
Centers : |
Northern Region 6/12,
Kirti Nagar Industrial Area, Tel. No.
91-11-25933524/25464968/25173139 Fax. No.
91-11-25173148 Tel. No.
91-141-2376919/2376307 Fax. No.
91-141-2365371 E-Mail. opsharma@mail.cgl.co.in Village
Khajurla, Outside Jalandhar Octroi Post, Jalandhar - Tel. No.
91-181-2261009/2260387 E-Mail. maniktala@mail.cgl.co.in D-8,
Transport Nagar, Tel. No.
91-522-2433132/2432345 E-Mail. kane@mail.cgl.co.in Eastern Region 21, Tel. No.
91-33-22489160/22488911 Fax. No.
91-33-22489737 E-Mail. akpaul@mail.cgl.co.in Tel. No
91-674-2531592 Fax. No.
91-674-2533521 E-Mail. yebbssd@dte.vsnl.net.in Opposite
Narmada Apartment, Tel. No.
91-612-2239405 Fax. No.
91-612-2212751 E-Mail. bera@mail.cgl.co.in Western Region Mathurdas
Mills Compound, Near ESIC Bhavan, NM Joshi Marg, Lower Parel, Mumbai - 400
013, Maharashtra, India Tel. No.
91-22-24922572/24947950 Fax. No.
91-22-24931713 E-Mail. bssawant@wr.cgl.co.in Southern Region 34 Dr.
MGR Salai ( Tel. No.
91-44-28274610 Fax. No.
91-44-28258565 E-Mail. trevor.j.dsouza@mail.cgl.co.in No. 26, 2nd
Tel. No
91-44-24724096 20, II
Main Road, New Timber Yard Layout, Mysore Road, Bangalore - 560926,
Karnataka, India Tel. No.
91-80-6755723 E-Mail. bukil@mail.cgl.co.in No. 9C
Jigani Industrial Area, Jigani Anekal Taluk, Bangalore-560 926, Tel. No.
91-80-7825203 Fax. No
91-80-7825205 E-Mail. rajpalp@vsnl.com 1st
Floor, 132, Industrial Area, Rasulpura, Secunderabad - 500 003, Tel. No.
91-40-27815938/26269001 E-Mail. bajwa@mail.cgl.co.in 35/772, Tel. No.
91-484-2338102/2338856 E-Mail. anand.kumar.n@mail.cgl.co.in Tel. No.
91-422-2496453 Telefax.
No. 91-422-2495334 E-Mail. admincbt@mail.cgl.co.in |
DIRECTORS
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Name : |
Mr. G. Thapar |
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Designation
: |
Chairman |
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Name : |
Mr. S. M. Trehan |
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Designation
: |
Managing Director |
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Name : |
Mr. J. Shaw |
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Designation
: |
Director |
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Name : |
Mr. K. Thapar |
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Designation
: |
Director |
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Name : |
Mr. S. Crowther |
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Designation
: |
Director |
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Name : |
Mr. D. C. Sanghi |
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Designation
: |
Director |
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Name : |
Mr. L. M. Thapar |
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Designation
: |
Director |
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Name : |
Mr. S Bisht |
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Designation
: |
Director |
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Name : |
Mr. P. C. Gupta |
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Designation
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Director |
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Name : |
Mr. R.
Nirula |
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Designation
: |
Director |
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Name : |
Mr. S.
Labroo |
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Designation
: |
Director |
KEY EXECUTIVES
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Name : |
Mr. S. M.
Trehan |
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Designation
: |
Chief
Executive Officer |
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Name : |
Mr. B. R. Jaju |
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Designation
: |
Chief
Financial Officer |
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Name : |
Mr. W. Henriques |
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Designation
: |
Company Secretary |
MAJOR SHAREHOLDERS
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Names of Shareholders |
No. of Shares |
Percentage of Holding |
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Individuals/Hindu Undivided Family |
1998 |
0.00 % |
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Bodies Corporate |
20588393 |
39.32 % |
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Mutual Funds/UTI |
12429753 |
23.74 % |
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Financial Institutions & Banks |
25169 |
0.05 % |
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Insurance Companies |
1768419 |
3.37 % |
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Foreign Institutional Investors |
6111298 |
11.66 % |
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Any other NRI's & NDC |
5298135 |
10.12 % |
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Bodies Corporate |
1487538 |
2.83 % |
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Individuals (Up to Rs 0.1 Millions) |
3845046 |
7.35 % |
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Individuals (In excess of Rs 0.1 Millions) |
545723 |
1.05 % |
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Shares held by Custodians and against which Depository
Receipts have been issued |
265184 |
0.51 % |
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Total |
52366656 |
100.00 % |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturing and Marketing of transformers, switchgears,
turn-key projects, capacitors, electric motors - fractional horse power
motors, LT motors, alternators, HT motors, DC machines, rail transportation,
fans, luminaries, light sources, telephone instruments, telecommunication
switching, transmission and access products, EPABX systems and agricultural
and domestic pumps, etc. |
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Products
: |
The
company's products and services are as under : Power Systems
Transformers : Ř
Power Transformers Ř
Industrial Transformers Ř
Amorphous Core Transformers Ř
Dry Type Transformers Ř
Freight Loco Transformers Ř
Furnace Transformers Ř
Rectifier Transformers Ř
Reactors HT Switchgear : Ř
Bulk Oil, Vacuum and SF6 Circuit Breakers up to 400 kv Ř
Vacuum Interrupters (Bottles) Ř
Instrument Transformers up to 400 kv Ř
On-load tap Changers Ř
Condenser Bushings Ř
Lightening Arresters Ř
Vacuum Pressure Impregnation Plants Capacitors : Ř
LT & HT Capacitors (MPP & APP) Ř
APFC Panels Ř
MFD Condensers Ř
Reactive Power Control Panels (Wind Generation) Ř
Power Quality Solutions Engineering Projects : Ř
Systems Engineering Ř
Projects on turnkey basis from concept to commissioning: Power
Generation, Transmission & Distribution 400 Volts to 400 kv Ř
Industrial Electrification for Process Industries, Power, Cement,
Paper Metallurgy, Steel Petrochemicals, etc Ř
Control and Automation Projects for Substations Ř
Railway Traction Substations Ř
Railway Overhead Electrification's Industrial Systems
Motors: Ř
AC Motors from 7 Watts to 10 Megawatts - All types including Flame
Proof and Increased Safety Ř
DC Motors Ř
Alternators / AC Generators Ř
Stampings & Laminations, Tools Rail Transportation: Ř
Traction Motors Ř
Signalling Relays Ř
Point Machines Ř
Axle Counters Ř
Ř
Electric's for Locus, DEMUs, EMUs Consumer Products
Lighting : Ř
Fluorescent Tube Lights, Compact Fluorescent Lamps Ř
Incandescent Lamps Ř
Reflux Lamps, Reflux Systems Ř
High Pressure Mercury/Sodium Vapour Lamps Ř
Metal Halide Lamps Ř
Mirror Optics Ř
Streetlights, Floodlights Ř
Luminaries - Domestic, Commercial, Industrial Ř
High Masts Ř
Lighting Software Ř
Accessories Fans : Ř
Fans: Ceiling, Table, Wall Mounting and Pedestal Ř
Kitchen Fresh Air Fans Ř
Cooler Kits, Heat Convertors Ř
Industrial Fans: Exhaust Fan, Air Circulator and Mancooler Pumps : Ř
Domestic Ř
Agriculture Ř
Submersible Ř
Jet Ř
Industrial International : Ř
Exports of all Crompton Greaves manufactured and factored products
directly and via global EPCs operating from Digital
Informatics : Ř
Software Development and Networking Ř
Value added Services and System Integration Consultancy Services Telecommunication : Ř
Public Switching Products -CDOT - 256 Port Rural Automatic
Exchanges (RAX) -CDOT - Single Base Module (SBM),
Rural Automatic Exchanges -CDOT - Max - L Exchanges up to
10, 000 Lines -Max - XL Exchanges up to 40000
Lines Ř
Private Switching Products Digital
EPABX Systems - CORAL range up to 6000 Ports (ESI Telecom, Maintenance
support for OKL EPABX systems Ř
Transmission Products -2/8 Mbps OLTE and MUX Equipments, -2/34
Optimum Equipments, -2/140 Optimum Equipments, STM - 1 Equipments, -CDOT: TDMA-PMP Digital
Multi Access, Rural Radio (Digital MARR) Equipments Ř
Access Products -CorDECT Wireless Local Ř
Terminal Products -Electronic Push Button
Telephones, - Fax Machines, - Modems (Data/Voice) Generic
Names of Principal Products/Services of the company are as under :
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Exports
to : |
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PRODUCTION STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
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Transformers,
Reactors & Accessories thereof |
KVA Nos. |
90,00,000 19,687 |
1,85,00,000 50,750 |
1,13,60,480 8.766 |
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Switchgear,
Controls Equipments & Accessories thereof |
Nos. |
72,000 |
2,01,550 |
118,417 |
|
1. Motors, Alternators & Pumps |
HP Nos. MW |
14,39,250 1,98,835 120 |
42,07,104 16,76,500 120 |
19,42,261 9,18, 907 -- |
|
2. Electrical Steel Stamping &
Laminates |
MT |
7,500 |
10,000 |
9,593 |
|
Electric
Fans, Ventilation & Pollution Control Systems |
Nos. |
10,00,000 |
28,56,000 |
17,45, 368 |
|
Lighting-Electric
Lamps |
M. Pcs. |
19.46 |
88 |
32 |
|
Communications,
Computer Systems, Software & Accessories |
Rs. Nos. Lines |
40 mils. 4,75,000 1,20,000 |
40 mils. 3,83,000 3,80,000 |
Nil 27,269 1,13,500 |
|
Other
Items |
Rs. |
-- |
100 mils. |
Nil |
|
|
Sets |
Nil |
Nil |
Nil |
|
|
Nos. |
24,00,350 |
24,05,970 |
9,18,164 |
|
|
System |
700 |
700 |
Nil |
GENERAL INFORMATION
|
Customers
: |
Ř
Ř
Ř
Siemens Limited Ř
Power Grid Corporation India Limited Ř
State Electricity Board, Mumbai, Ř
Lohia Starlinger Limited Ř
Kirloskar Bros. Limited Ř
Larsen & Toubro Limited Ř
Whirlpool India Limited Ř
Sulzer Pumps ( Ř
Boving Fouress Limited Ř
Indian Railways Ř
Municipal Corporation Ř
Jindal Steel Ř
Tata Companies Ř
Bharat Heavy Electricals Limited Ř
Alstom Power Ř
Mather & Platt ( Ř
Life Insurance Corporation Ř
Bharat Sanchar Nigam Limited Ř
BSES Limited |
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No. of
Employees : |
Around 6058 |
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Bankers
: |
v ABN Amro Bank v Bank of v Bank of v Bank of v Canara Bank v Corporation Bank v ICICI Bank v IDBI Bank Limited v Standard Chartered Bank v State Bank of v Syndicate Bank v UCO Bank v Union Bank of v Vijaya Bank |
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Banking Relations : |
Good |
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Auditors
: |
Sharp
& Tannan Chartered Accountants |
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Subsidiaries
: |
·
CG Capital & Investments Limited ·
CG-PPI Adhesive Products Limited ·
CTR Manufacturing Industries Limited ·
CG Motors Private Limited |
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Associates
: |
·
CG Newage Electrical Limited ·
CG Lucy Switchgear Limited ·
PAXONET Communications Inc. ·
Hitachi CG Motor Engineering Private Limited ·
Brook Crompton Greaves Limited ·
Power Equipment Limited, ·
Radiant Electronics Limited ·
CG Hometech Limited ·
CG Comnet Limited ·
CG Global Limited ·
CG Glass Limited ·
Ensave Devices Private Limited ·
CG Igarashi Motors Limited ·
International Components India Limited ·
CG Schlumberger Electricity Management Limited ·
CG Smith Software Private Limited ·
CG Maersk Information Technologies Private Limited ·
Karamchand Thapar (Africa) Limited, |
|
|
|
|
Memberships
: |
Confederation
of Indian Industry |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
60,000,000 |
Equity Shares |
Rs.10/- |
Rs.600.000
millions |
Issued,
Subscribed Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
52,375,116 |
Equity Shares |
Rs.10/-
|
Rs. 523.700 millions |
Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
52,366,656 |
Equity Shares |
Rs.10/- |
Rs. 523.700 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 |
523.700 |
523.700 |
523.700 |
|
|
2]
Reserves & Surplus |
4840.100 |
3564.000 |
2881.100 |
|
NETWORTH
|
5363.800 |
4087.700 |
3404.800 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
2171.200 |
2488.200 |
2537.300 |
|
|
2]
Unsecured Loans |
326.500 |
657.200 |
799.200 |
|
TOTAL
BORROWING
|
2497.700 |
3145.400 |
3336.500 |
|
|
|
|
|
|
|
TOTAL
|
7861.500 |
7233.100 |
6741.300 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
3497.100 |
3420.400 |
3575.900 |
|
Capital work-in-progress
|
140.800 |
94.600 |
108.700 |
|
|
|
|
|
|
|
INVESTMENT
|
1021.300 |
682.100 |
699.300 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
1918.100
|
1770.900
|
1742.600 |
|
|
Sundry Debtors
|
6596.400
|
5410.800
|
5268.500 |
|
|
Cash & Bank Balances
|
1251.300
|
734.200
|
761.500 |
|
|
Loans & Advances
|
1859.300
|
1095.100
|
1981.200 |
Total Current Assets
|
11625.100
|
9011.000
|
9753.800 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
7822.900
|
5818.300
|
7017.800 |
|
|
Provisions
|
599.900
|
156.700
|
378.600 |
Total Current Liabilities
|
8422.800
|
5975.000
|
7396.400 |
|
Net
Current Assets
|
3202.300
|
3036.000
|
2357.400 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
-- |
-- |
-- |
|
|
|
|
|
|
|
TOTAL
|
7861.500 |
7233.100 |
6741.300 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
28115.900 |
22171.600 |
19090.200 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
1947.800 |
1248.100 |
895.200 |
Provision for Taxation
|
317.300 |
100.300 |
186.900 |
Profit/(Loss) After Tax
|
1630.500 |
1147.800 |
708.300 |
|
|
|
|
|
Import Value
|
NA |
1431.200 |
987.700 |
|
|
|
|
|
Total Expenditure
|
25441.500 |
20923.500 |
18195.000 |
QUARTERLY
RESULTS
|
PARTICULARS |
30.06.2006 (1st Qtr.) |
30.09.2006 (2nd Qtr.) |
31.12.2006 (3rd Qtr.) |
|
Sales Turnover |
7406.200 |
8239.600 |
8130.400 |
|
Other Income |
49.300 |
94.400 |
72.300 |
|
Total Income |
7455.500 |
8334.000 |
8202.700 |
|
Total Expenditure |
6684.500 |
7504.000 |
7312.700 |
|
Operating Profit |
771.000 |
830.000 |
890.000 |
|
Interest |
52.600 |
72.400 |
77.700 |
|
Gross Profit |
718.400 |
757.600 |
812.300 |
|
Depreciation |
100.400 |
80.600 |
99.800 |
|
Tax |
179.300 |
195.400 |
202.000 |
|
Reported PAT |
363.700 |
406.600 |
454.200 |
200606 Quarter 1
Notes
EPS is Basic & 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 unaudited financial results for the quarter ended June 30, 2006,
approved at the Meeting of the Board of Directors held on July 18, 2006, are
subjected to Limited Review by the Statutory Auditors and recommended by the
Audit Committee. 2. During the quarter, the Company has subscribed 42500 equity
shares of Rs 10 each of the paid up capital in 'Malanpur Captive Power Pvt Ltd
a subsidiary engaged in the production of power along with M/s Wartsila India
Ltd and M/s SRF Ltd, the other joint venture partners. 3. With respect to
Auditors' qualifications on the Company making no provision regarding excise
and sales tax demands which aggregate to Rs 59.30 million (net of tax) (PY Rs
62.90 million) for the quarter ended June 30, 2006, the Company has filed
appeals against the orders passed, and has enough legal merits in its favour
and is confident that these demands would be dismissed in favour of the Company
and hence, no provision is considered necessary 4. The Company has provided
income tax for the current quarter at the normal rate of tax as against Minimum
Alternate Tax (MAT) in the corresponding quarter of previous year. 5. Figures
of the previous period, wherever necessary, have been regrouped and
re-classified to conform with those of the current period.
200609 Quarter 2
Notes
Expenditure Includes (Increase)/Decrease in Stock in Trade
Rs (14.80)million Consumption of Raw Materials Rs 6241.10 million Staff Cost Rs
438.20 million Other Expenditure Rs 839.50 million Tax Includes Provision for
Current Tax Rs 182.90 million Deferred Tax Rs 75.00 million Fringe Benefit Tax
Rs 12.50 million EPS is Basic & 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 02 Complaints disposed off
during the quarter 02 Complaints unresolved at the end of the quarter Nil 1.
The unaudited financial results for the quarter ended September 30, 2006 were
approved at the Meeting of the Board of Directors held on October 14, 2006,
after being recommended by the Audit Committee. The above financial results
have been compiled after subjecting financial results for Limited Review by the
Statutory Auditors of the Company. 2. With respect to Auditors qualifications
on the Company making no provision regarding excise and sales tax demands which
aggregate to Rs 59.30 million (net of tax) (Previous Year Rs 62.90 million) for
the quarter ended September 30, 2006, the Company has filed appeals against the
orders passed, and has enough legal merits in its favour and is confident that
these demands would be dismissed in favour of the Company and hence, no
provision is considered necessary. 3. Pursuant to Accounting Standard (AS) 15
(Revised)-Employee Benefits issued by the Institute of Chartered Accountants of
India being mandatory with effect from April 01, 2006, the additional
obligation of the Company as on March 31, 2006 amounting to Rs 93.90 million
has been adjusted against the general reserves in accordance with the transitional
provisions. 4. Each Equity Share of the Company having face value of Rs 10/-
each was sub-divided into 5 Equity shares of Rs 2/- each with effect from
August 19, 2006. Accordingly, the number of shares shown under non-promoter
shareholding as on September 30, 2006 represents shares of Rs 2/- as against
shares of Rs 10/- each shown for September 30, 2005 and March 31, 2006.
Further, the Earnings per share for the quarter and half-year ended September
30, 2005 and year ended March 31, 2006 have been recast to make them comparable
with the EPS of the current quarter and half year. 5. During the Quarter, the
Company has concluded an arrangement for the acquisition of Transformers, Gas
Insulated Switchgear (GIS), Rotating Machines and Contracting Businesses of
Ganz Transeelktro Villamossagi Zrt (GTV) together with the businesses of
Transverticum Kft (TV) engaged in supporting areas of design, erection &
commissioning and commercial activity with high end engineering &
substation capabilities, both units located in Hungary, at an approximate
enterprise value of Euro 35 million. 6. The Board has declared bonus shares in
the ratio of two new equity share for every five equity share of Rs 2/- each
subject to approval of members in General Meeting and the Regulatory
Authorities, as necessary. The Extra-Ordinary General Meeting to seek Members'
approval has been convened on November 23, 2006. 7. The Board has declared an
interim dividend of 20% on 261,833,280 equity shares of Rs 2/- each for the
financial year 2006-07. 8. Figures of the previous period, wherever necessary,
have been regrouped to conform with those of the current period. 9. Figures of
the previous period, wherever necessary, have been regrouped to conform with
those of current period. Notice is hereby given pursuent to section 154 of the
companies Act 1956 that the Record Date for the interim dividend will be Friday
27th October 2006 and the date for payment will be saturday, 4th Novemeber
2006. The provisional un-audited results (as per Begin GAAPs) of pauwels Group,
which are not required to be included in the half yearly results of the company
are as follows: 1st April 2006 to 30th September 2006 in Million Euros in Rs
Lacs Sales 186.40 108338 Profit before Tax 6.80 3960 Unexecuted Order Book
332.30 193897 Average exchange rate during the period Exchange rate as on
September 30, 2006
200612 Quarter 3
Notes
Expenditure Includes (Increase)/Decrease in Stock in Trade
Rs (288.60)million Consumption of Raw Materials Rs 6216.00 million Staff Cost
Rs 421.10 million Other Expenditure Rs 964.20 million Tax Includes Provision
for Current Tax Rs 197.00 million Deferred Tax Rs 56.30 million Fringe Benefit
Tax Rs 5.00 million EPS is Basic & Diluted Status of Investor Complaints
for the quarter ended December 31, 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 unaudited financial results for the quarter ended December 31, 2006 were
approved at the Meeting of the Board of Directors held on January 25, 2007,
after being recommended by the Audit Committee. The above financial results
have been compiled after subjecting financial results for Limited Review by the
Statutory Auditors of the Company. 2. With respect to Auditors' qualifications
on the Company making no provision regarding excise and sales tax demands which
aggregate to Rs 59.30 million (net of tax) (Previous Year Rs 62.90 million) for
the quarter ended December 31, 2006, the Company has filed appeals against the
orders passed, and has enough legal merits in its favour and is confident that
these demands would be dismissed in favour of the Company and hence, no
provision is considered necessary. 3. The bonus issue in the ratio of 2-for-5
as recommended by the Board of Directors was approved by the shareholders in
the Extra-ordinary General Meeting (EGM) held on November 23, 2006.
Consequently, the Board of Directors fixed the record date for the bonus issue
as December 15, 2006 and allotted 10,47,33,312 equity shares of Rs 2 each as
bonus shares on December 18, 2006. As required by AS-20, the Earnings Per Share
have been calculated for all the reporting periods after considering bonus
issue. 4. During the quarter the Company has completed all the required
formalities with respect to acquisition of Hungry- based Ganz Group, through
wholly owned subsidiary CG international B.V. 5. During the quarter the Company
has subscribed for 93,58,500 shares of Rs 10 each, amounting to Rs 93.585
million in the capital of Malanpur Captive Power Ltd, a subsidiary of the
company. 6. The Board has declared second interim dividend of 25% on
366,566,592 equity shares of Rs 2/- each for the financial year 2006-07. 7.
Figures of the previous period, wherever necessary, have been regrouped to
conform with those of the current period.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity Ratio |
0.62 |
0.90 |
1.06 |
|
Long Term Debt Equity Ratio |
0.45 |
0.50 |
0.55 |
|
Current Ratio |
1.29 |
1.15 |
1.13 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
3.40 |
2.83 |
2.39 |
|
Inventory |
14.96 |
12.64 |
10.04 |
|
Debtors |
4.60 |
4.16 |
3.68 |
|
Interest Cover Ratio |
7.84 |
6.07 |
2.94 |
|
Operating Profit Margin (%) |
9.69 |
8.62 |
8.70 |
|
Profit Before Interest and Tax Margin (%) |
8.09 |
6.73 |
6.31 |
|
Cash Profit Margin (%) |
7.51 |
7.06 |
5.68 |
|
Adjusted Net Profit Margin (%) |
5.91 |
5.17 |
3.29 |
|
Return on Capital Employed (%) |
30.20 |
21.88 |
15.66 |
|
Return on Net Worth (%) |
35.67 |
31.99 |
15.94 |
STOCK PRICES
|
Face
Value |
Rs.
10.00/- |
|
High |
Rs.
222.35 |
|
Low |
Rs.
217.00 |
LOCAL AGENCY FURTHER
INFORMATION
HISTORY
The company was incorporated on 28th April 1937
at Mumbai in
Subject was incorporated as a private limited liability
company as Crompton Parkinson (Works), it later changed to Greaves Cotton &
Crompton Parkinson in July, 1937 and subsequently after amalgamation in
January, 1966, changed its name to Crompton Greaves in August, 1966.
Subject was incorporated in the year 1937 as a 100%
subsidiary of Crompton Parkinson Limited, UK (CPL), under the name of Parkinson
Works Limited (PWL). In 1948, the L M Thapar Group company, Greaves Cotton
& Company Limited acquired 26% interest in the company, which was later
increased to 50% in 1950. In 1966, a
joint venture company (between GCCL & CPL), Greaves Cotton and Crompton
Parkinsons Limited, the sales agents of the erstwhile PWL, was amalgamated with
the PWL. The company was renamed as
Crompton Greaves Limited. The company
came out with an IPO in 1967. From a
single located company manufacturing ceiling fans and AC industrial motors,
subject has grown into a multinational, multi product company. Since 1978, CGL entered into various
technical collaboration agreements with renowned companies from
The company has collaboration with Westinghouse Electric
Corporation,
During 1996-97, Indocom Industries and Lumino Lamps were
amalgamated with the company and GDR were issued for US $ 50 millions, which
was fully subscribed at Rs. 265/- per GDR. The Kersons Manufacturing Company of
In September, 2000 the company disinvested its shareholding
in Skycell Communications for Rs. 1240 millions and recently, it completed the
transaction for sale of its low tension control gear unit in
During the year 2002 Ensave Devices Private Limited and LEC
India Software Centre Private Limited have been amalgamated with CG Maersk
Information Technology Private Limited. The company has suspended its
Capacitors Division at Pune, Informatics Division at
Biodata
Crompton Greaves (CGL) is a BM Thapar Group Company,
incorporated in Apr.'37 as a private limited company as Crompton Parkinson
(Works), it later changed to Greaves Cotton & Crompton Parkinson in Jun.'37
and subsequently after amalgamation in Jan.'66, changed its name to Crompton
Greaves in Aug.'66.
It is mainly concentrating in Power Systems, Industrial Systems and
Consumer Products and Digital business. The company is mainly engaged in the
manufacture, distribution and sale of electrical and electronic equipment/
systems. CGL's products includes Transformers, Switchgears, Motors,
Alternators, Fans, Lighting, Pumps, Electrical Steel Stamping & Laminates,
Telecom Business Solutions and Computer Systems & Software etc.
It is the market leader in number of products in the Electrical
Engineering Sector. The company is the market leader in the Transformers
Business with a market share of 18%. The company's Stampings Division and Fan
Business is a market leader with 23% market share and 21% market shares
respectively. The company enjoys market leadership for AC Motors and the second
position in AC Generators and DC Motors.
Its manufacturing base covers in 22 locations across five states (Goa,
Gujarat, Karnataka, Maharashtra and Madhya Pradesh) in
CGL designs and manufactures the widest range of Power & Distribution
Transformers and Reactors from 160 kVA to 415 kVA, 500kV Class to fulfill the
specific demands of the Power & Industrial Sector and the Railways. Further
the division has capability to manufacture transformers from 400 kVA to 900000
kVA (in a bank) 3.3 kVA to 500 Kv class. The company's LT Motors division is
the first in
During the year 2004-05 the company enhanced its installed capacity of
Transformers, Reactors & Accessories, Switchgear control equipment &
Accessories, Motors and Electric Steel Stamping & Laminates by 10,00,000
KVA, 6000 NOS, 74850 NOS, 50000 HP and 5000 MT respectively. With this
expansion the total installed capacity of Transformers, Reactors &
Accessories, Switchgear control equipment & Accessories, Motors and
Electric Steel Stamping & Laminates has increased to 1,95,00,000 KVA, 23800
NOS, 321850 NOS, 4348570 HP and 15000 MT respectively.
The Company is having Joint Venture agreement with Brook Cromption
Greaves Limited, CG Lucy Switchgear Limited and Hitachi CG Motor Engineering
Private Limited During Sep'04, the company has acquired the entire holding of
816000 shares of Rs.10 each in Hitachi CG Motor Engineering Private Limited
(HCME) which was earlier held by Hitachi Limited and consequently HCME become
the subsidiary of Crompton Greaves Limited
The company has collaboration with Westinghouse Electric Corporation, US,
for 400-kv transformers; Emile Haefely,
Indocom Industries and Lumino Lamps were amalgamated with the company
during 1996-97. The Kersons Manufacturing Company of
During May 2005 the company has completed the acquisition of the
Belgium-based Pauwels Group which is having its manufacturing facilities in
In Sep. 2000, the company disinvested its shareholding in Skycell
Communications for a consideration of Rs 760 millions to a French
multinational, Schneider Electric, thereby making a profit of Rs 300 MILLIONS
The Company has disinvested its shareholding in CG Glass Limited, CG Elin Power
Systems Limited During 2002 the company has suspended its Capacitors Division
at Pune, Informatics Division at Bangalore and Industrial Electronics Division
at Nashik.
During 2004-05, CG Capital & Investments Limited, which is a 100%
subsidiary of the Company, divested its 82.06% shareholding consisting of
228098 equity shares of Rs.100/- each in one its subsidiaries, CTR
Manufacturing Industries Limited Consequently, CG-PPI Adhesive Products Limited
is the only subsidiary of CG Capital & Investments Limited
During 2004-05 the company's LT Motors Division has commissioned an EOU
facility to manufacture AC Motors from frame 62 to 300, which will increase
capacity by a further 60000 Motors per annum. Further the Stampings Divisions
has taken a major step in capacity expansion, cost reduction and better
competitiveness by setting up an independent, 5000 MT per annum unit at
Ahmednagar. The Fans Divisions has taken steps to set up an additional facility
for manufactures of fans at Baddi in Himachal Pradesh.
The company also has Joint Ventures with different
companies listed here under :
Ř CG Glass Limited
Ř CG Programmable Solutions Private
Limited
Ř CG Igarashi Motors Limited
Ř International Components India
Limited
Ř CG PPI Adhesive Products Limited
Ř CG Schlumberger Electricity
Management Limited
Ř CG Lucy Switchgear Limited
Ř CG Smith Software Limited
Ř CoreEL Microsystems Inc.,
Ř CG Maersk Information Technologies
Limited
Ř Hitachi CG Motor Engineering Limited
Ř CG Elin Power Systems Limited
Ř CG Brook Hansen Electric Motors
Limited
Ř Power Equipment Limited,
Ř Brook Crompton Greaves Limited
Ř CG Newage Electrical Limited
Ř Paxonet Communications Inc,
The company is in trade terms with :
Ř Advance Diecast
Ř Glostar Electricals Private
Limited
Ř Ashapura Enterprises
Ř Aqua Flow
Ř Bestlite Electricals Private Limited
Ř Govik Electricals
Ř National Wire & Metal Limited
Ř Navnath Fabricators
Ř Desai & Brothers
Ř Amit Industries
Ř Anant Engineering Works
Ř Gee Cee Oswal Enterprises
Ř Rushabh Enterprises
Ř RK Lighting Private Limited
Ř Paras
Ř Paras Pump Private Limited
Ř Sundara Industries (
Ř United Industrial Components
Ř Vishgral Industries
Ř J S Engineering Works
Ř Suraj Foundries Limited
Ř Jayanti Castings Private Limited
Ř Shakti Enterprises
Ř
Ř Govik Electricals Private Limited
Ř Shailesh Engineering Company
Ř Kelin Electricals Private Limited
Ř Letter Emporium
Ř Mitsubishi Electric Corporation,
Ř Allied Signal Technologies Inc,
Ř Hyundai Heavy Industries Company
Limited,
The company
has been accredited with ISO 9001 and ISO 14001 Certifications.
The company
also received approvals from the CESI, CSA, BASEEFA and CE for some of its
products.
The company
has technical collaboration with the following :
Ř
VNIIIS,
Ř
Hitachi
Limited,
Ř
Ř
Siemens
Limited,
Ř
Mitsubishi
Electric Corporation,
Operations
The company has recorded a turnover of Rs. 27385.8 million for FY 2006, an
encouraging growth of 27.2 per cent over the turnover of Rs.21527.8 million
recorded last year. The performance is attributable to the company's additional
thrust on new markets, International businesses, innovative products and
additional capacities introduced during the year. Improvement of fixed and
working Capital efficiencies, productivity increases, value engineering
initiatives and efficient supply chain management has enabled the company reach
greater performance heights, recording a profit before tax and profit after tax
of Rs.1948 million and Rs.1630.5 million respectively, an impressive increase
of 56 per cent and 42 per cent respectively as compared with last year.
On 13 May 2005, the company acquired the Belgium-based Pauwels Group, with
manufacturing facilities in
The success with Pauwels with respect to operational and financial
efficiencies, together, with its increased market presence and future
strategies for growth, reflect the bright future that awaits the company in
unison with the Pauwels Group. Under the leadership of the respective
management teams, we have witnessed the blend of cultures and a team spirit
that has crossed geographical boundaries, to make the company a truly Global
Corporation with a formidable presence in the International transmission and
distribution business space.
Subsidiary
Companies
The company has three Indian subsidiaries viz CG
Motors Private Limited (CGM), CG Capital & Investments Limited (CG Capital)
and CG-PPI Adhesive Products Limited (CG PPI). CGM and CG Capital are 100%
subsidiaries of the company and CG PPI, being a subsidiary of CG Capital, in
terms of the provisions of the Companies Act, 1956, is also the company's
subsidiary.
To implement the Pauwels acquisition, a 100% subsidiary of the company,
Pauwels Contracting N.V.Pauwels Canada IncPauwels International N.V.Pauwels
Transformers IncPauwels Trafo Service SAPauwels Trafo Ireland Limited Pauwels
Contracting IncPauwels France SAPauwels Americas InCPauwels Nigeria Limited
Pauwels Africa (Private) Limited Pauwels Trafo Belgium N.V.PT Pauwels Trafo
Asia Pauwels Curacao N.V.Pauwels Trafo Gent N.V.Pauwels Trafo Service
N.V.
In totality, the company has 20 subsidiaries, 3 Indian and 17 foreign.
The company has obtained an exemption under Section 212 of the Companies Act,
1956, from annexing to this Report, the Annual Reports of the abovementioned 3
Indian subsidiaries and 17 foreign subsidiaries, for FY 2006. However, if any
shareholder of the company or its subsidiaries so desires, the company will
make available, the Annual accounts of the subsidiaries to them, on request.
The same will also be available for inspection at the Registered Office of the
company and of its subsidiaries, during working hours upto the date of the
Annual General Meeting.
The details of each subsidiary with respect to capital, reserves, total assets,
total liabilities, details of investment (except in case of investment in
subsidiaries), turnover, profit before taxation, provision for taxation, profit
after taxation and proposed dividend are detailed at the Annual Report.
THE ACQUISITION OF THE PAUWELS GROUP IN MAY 2005
has transformed the 69-year old Crompton Greaves Limited ('Crompton Greaves;'
CGL' or 'the company') from being a leading Indian entity to becoming a major
global player. One of the world's leaders in the transformers business with
facilities in
Future Prospect
As in all businesses, Crompton Greaves too has its concerns, of which four are
particularly important. First, the industry is suffering severely because of
sharp and sustained commodity price increases in all its raw materials and
inputs-some of which are driven by pure market forces and others because of
business combinations. That the Company has been able to increase profitability
in such an environment is testimony to its zeal in achieving best-in-class
operational efficiencies and productivity across the entire supply chain.
However, if prices continue to rise as they have in the last year, it will be increasingly
difficult to sustain, let aside increase, the current levels of
profitability.
Second, growth of the Power Systems business is closely connected to the
progress of reforms and other regulatory issues. If, for any reason, there is a
downturn in investments in power generation, transmission and distribution, it
could adversely affect the company's business-which accounts for over 64 per
cent of its consolidated revenues. Third, as the company seeks to get maximum
value through increased multi-shoring operations, its Indian facilities will
become even more dependent on the state of the country's
infrastructure-especially its ports. While there have been some improvement in
efficiencies, Indian ports are a long way from meeting minimum international
standards of efficiency, delivery and turnaround time. Any significant delay at
ports can cause serious logistic problems, hamper supply schedules and hurt
profitability.
Finally, with the company having globalised, it is now exposed to
multiple currency fluctuations. While Crompton Greaves has good treasury
operations, one cannot rule out the adverse impact of currency risks, hedges
and derivatives.
Having stated these caveats, it is a fact that there are huge
opportunities.
Introduction
For the
last sixty-eight years, Crompton Greaves (CG) has become synonymous with
electricity in
History
The history
of Crompton Greaves goes back to 1878 when Col. R.E.B. Crompton founded
R.E.B.Crompton & Company. The company merged with F.A Parkinson in the year
1927 to form Crompton Parkinson Limited, (CPL). Greaves Cotton and Co (GCC) was
appointed as their concessionaire in
Products & Services Offered
The company
is organized into three business groups viz. Power Systems, Industrial Systems,
Consumer Products. Nearly, two-thirds of its turnover accrues from products
lines in which it enjoys a leadership position. Presently, the company is
offering wide range of products such as power & industrial transformers, HT
circuit breakers, LT & HT motors, DC motors, traction motors, alternators/
generators, railway signaling equipments, lighting products, fans, pumps and
public switching, transmission and access products. In addition to offering
broad range of products, the company undertakes turnkey projects from concept
to commissioning. Apart from this, CG exports its products to more than 60
countries worldwide, which includes the emerging South-East Asian and Latin
American markets.
Thus, the
company addresses all the segments of the power industry from complex
industrial solutions to basic household requirements. The fans and lighting
businesses acquired "Superbrand" status in January 2004. It is a
unique recognition amongst the country's 134 selected brands by "Superbrands",
Pauwels Acquisition - an Indian MNC
Crompton
Greaves has completed the acquisition of the Belgium-based Pauwels on 13th May
2005. The group has manufacturing facilities in
Apart from
strengthening its foothold in the Indian market, Crompton Greaves acquisition
of the Pauwels Group and its transformer manufacturing facilities in five
countries is expected to provide a significant impetus to the company's
international presence.
The
additional turnover of approximately Rs.13800 millions of Pauwels Group for its
last financial year is expected to increase Crompton Greaves' International
business to around 50% of its turnover, making the company a force to reckon
with, in the international market.
Manufacturing, Marketing &
Servicing Network.
CG's
business operations consist of 22 manufacturing divisions spread across in
Gujarat, Maharashtra, Goa, Madhya Pradesh and Karnataka, supported by well
knitted marketing and service network through 14 branches in various states under
overall management of four regional sales offices located in
Future Outlook.
The quality
of households is enhanced when their money is invested into products such as
fans and lighting for basic comforts. Their lives are literally touched by
delight. Similarly, Crompton helps electricity boards and other utilities to reach
electricity to the last home and factory. Therefore, every individual in
All
economic indicators point towards the manufacturing sector being the future
driver of
However,
several measures that the company has already taken and its plans for the
future, together with business impact of the Pauwels acquisition, will equip
the company to respond in adequate measure to this competitive pressure.
Crompton Greaves wins
Crompton Greaves wins three India Manufacturing
Excellence Awards instituted by Frost & Sullivan. The study benchmarks CG's
manufacturing processes at its various units.
Based on the findings of the assessment, Frost
& Sullivan awarded the Gold award to the S6 & Power Quality Business,
Aurangabad unit while the Fans & Appliances Division, Bethora and the
Switchgear Complex, Nashik, were chosen for the silver Award in the Engineering
Category.
The awards ceremony was held on the same day and
Mr. AN Ravichandran, Vice-President, Fans, Mr. JG Kulkarni, Vice-President
Switchgear and Dr. R Venkatesh, General Manager S6 & Power Quality Business
received the awards on behalf of their respective Divisions.
From Crompton Greaves, 7
(seven) Best Practices were identified by Frost & Sullivan, and a
presentation on Implementation and Benefit of MOST/CGPS in improving
productivity was done by Mr. N Krishnan, General Manager Engineering
(Transformers) on 9th December 2005.
Crompton Greaves one of 21 Indian Firms to take
on the world.
A joint study by CII and Boston Consulting
Group, an internationally reputed consulting firm reveals that some of the most
feared global challengers to be growing in
A dozen rapidly developing economies
(RDEs)-including India, China, Russia, Brazil, Hungary and Turkey-are home to
about 100 companies that are tearing down old business bastions, says the
study. The study hints that the 100, with 21 Indian and 44 Chinese firms, are
only the vanguard.
The study mentions that Crompton Greaves (Thapar
Group) has made a dramatic turnaround under Gautam Thapar's leadership.
Crompton Greaves has gone through a dramatic overhaul and was now preparing to
compete globally with peers like ABB and Siemens.
The study clubs Crompton
Greaves with L&T as the emerging global challengers in the Engineering
segment and with the Bharat Forge in assuming global category leadership in
specific narrow product areas.
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. 41.18 |
|
|
1 |
Rs. 82.02 |
|
Euro |
1 |
Rs. 56.07 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP
CAPITAL |
1~10 |
6 |
|
OPERATING
SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT
LINES |
1~10 |
6 |
|
--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 |
|
52 |
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 |