MIRA
INFORM REPORT
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Report Date : |
04.05.2007 |
IDENTIFICATION DETAILS
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Name : |
SAI SERVICE STATION LIMITED |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
09.08.1985 |
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Com. Reg. No.: |
37099 |
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CIN No.: [Company
Identification No.] |
L60210MH1985PLC037099 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
PNES10918F |
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PAN No.: [Permanent
Account No.] |
AABCS4998M |
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Legal Form : |
Public limited liability company. Company’s Shares are listed on Stock
Exchange. |
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Line of Business : |
Authorised dealer for Maruti Udyog and Bajaj Auto
vehicles. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
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 1600000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having satisfactory
track. Directors are reported as experienced and respectable businessmen.
Trade relations are reported as fair. Business is active. Payments are
usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office : |
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Tel. No.: |
91-20-4111520 / 4111521 |
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Fax No.: |
91-20-27145264 |
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Website : |
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Corporate Office : |
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Sales Offices & Service Centres
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Located at : Pune Mumbai |
DIRECTORS
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Name : |
Mr. Yogendra P. Trivedi |
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Designation : |
Chairman |
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Name : |
Mr. Shridhars Kalmadi |
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Designation : |
Managing Director |
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Name : |
Mr. Mukesh S. Kalmadi |
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Designation : |
Jt. Managing Director |
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Name : |
Mr. Suresh S. Kalmadi |
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Designation : |
Wholetime Director |
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Name : |
Mr. Sadananda R. Shetty |
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Designation : |
Director |
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Name : |
Mr. Kushal S. Hegde |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. T. Y. Thok |
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Designation : |
Company Secretary & General Manager
Taxation |
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Name : |
Mr. D. S. Tatke |
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Designation : |
General Manager - Finance & Accounts |
SHAREHOLDING PATTERN
As on 31.03.2007
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Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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Shareholding of
Promoter and Promoter Group |
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Indian |
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Individuals/ Hindu
Undivided Family |
2812063 |
69.04 % |
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Bodies Corporate |
700 |
0.02 % |
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Public
Shareholding |
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1. Institutions |
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Mutual Funds/ UTI |
4000 |
0.10 % |
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Financial
Institutions Banks |
2900 |
0.07 % |
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Foreign
Institutional |
115048 |
2.82 % |
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2.
Non-Institutions |
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Bodies Corporate |
407688 |
10.02 % |
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Individuals Individual shareholders holding nomnial share capital
upto Rs. 0.1 Millions |
430089 |
10.57 % |
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ii. Individual shareholders holding nominal share capital in excess
of Rs. 0.1Millions |
193149 |
4.74 % |
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Any Other |
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(specify) |
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Clearing Member |
1823 |
0.04 % |
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Market maker |
192 |
0.00 % |
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Foreign Company |
40800 |
1.00 % |
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NRI (repatriate) |
54263 |
1.33 % |
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NRI
(non-repatriate) |
850 |
0.02 % |
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Independent
Director |
400 |
0.01 % |
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HUF's |
9049 |
0.22 % |
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TOTAL |
4073014 |
100.00 % |
BUSINESS DETAILS
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Line of Business : |
Authorised dealer for Maruti Udyog and Bajaj Auto
vehicles. |
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Products : |
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GENERAL INFORMATION
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Bankers : |
Ř
Bank of Ř
State Bank of Ř
Bank of |
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Facilities : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
Joshi & Sahney Chartered Accountants |
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Subsidiaries : |
Ř
SES Technologies Limited - Upto 6th February
2006. Ř
Sai Service Spares and Accessories Limited |
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Associates : |
Ř
Sai Service Agency ( Ř
Shri Sai Service Station Ř
Sai Accessories Ř
Sai Sales & Services Ř
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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50,00,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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40,73,014 |
Equity Shares |
Rs. 10/- each |
Rs. 40.730
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 |
40.730 |
40.730 |
40.700 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
362.846 |
356.636 |
346.500 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
403.576 |
397.366 |
387.200 |
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LOAN FUNDS |
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1] Secured Loans |
423.429 |
394.896 |
267.100 |
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2] Unsecured Loans |
87.597 |
106.740 |
75.500 |
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TOTAL BORROWING |
511.026 |
501.636 |
342.600 |
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DEFERRED TAX LIABILITIES |
0.000 |
3.119 |
0.000 |
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TOTAL |
914.602 |
902.121 |
729.800 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
177.131 |
157.807 |
212.400 |
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Capital work-in-progress |
30.691 |
11.947 |
6.100 |
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INVESTMENT |
2.909 |
148.721 |
156.400 |
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DEFERREX TAX ASSETS |
13.238 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
666.394
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514.974 |
406.200 |
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Sundry Debtors |
339.772
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222.324 |
190.900 |
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Cash & Bank Balances |
40.688
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16.423 |
22.200 |
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Other Current Assets |
27.404
|
15.230 |
0.000 |
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Loans & Advances |
66.539
|
60.759 |
96.900 |
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Total
Current Assets |
1140.797
|
829.710 |
716.200 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
414.564
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238.078 |
355.800 |
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Provisions |
35.600
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7.986 |
5.500 |
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Total
Current Liabilities |
450.164
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246.064 |
361.300 |
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Net Current Assets |
690.633
|
583.646 |
354.900 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
1.400 |
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TOTAL |
914.602 |
902.121 |
729.800 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover |
7245.114 |
5970.662 |
4862.800 |
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Other Income |
9.673 |
14.040 |
11.300 |
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Total Income |
7254.787 |
5984.702 |
4874.100 |
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Profit/(Loss) Before Tax |
70.364 |
28.808 |
20.600 |
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Provision for Taxation |
40.603 |
11.426 |
8.800 |
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Profit/(Loss) After Tax |
29.761 |
17.382 |
11.800 |
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Expenditures : |
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Cost of Goods Sold |
6597.262 |
5445.548 |
0.000 |
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General Expenses |
438.996 |
383.460 |
0.000 |
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Loss on |
70.316 |
0.000 |
0.000 |
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Interest |
43.866 |
39.675 |
0.000 |
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Depreciation/Amortisation
|
34.313 |
82.542 |
0.000 |
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Less : Transfer
from Revaluation Reserve |
0.330 |
0.330 |
0.000 |
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Raw
Materials |
0.000 |
0.000 |
4391.200
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Excise
Duty |
0.000 |
0.000 |
2.700
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Power
& Fuel Cost |
0.000 |
0.000 |
6.300
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Other
Manufacturing Expenses |
0.000 |
0.000 |
10.500
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Employee
Cost |
0.000 |
0.000 |
113.700
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Selling
and Administration Expenses |
0.000 |
0.000 |
178.800
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Miscellaneous
Expenses |
0.000 |
0.000 |
69.500
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Interest
& Financial Charges |
0.000 |
0.000 |
56.600
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Depreciation
|
0.000 |
0.000 |
25.000
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Total Expenditure |
7184.423 |
5950.895 |
4854.300 |
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QUARTERLY RESULTS
|
PARTICULARS |
30.06.2006 |
30.09.2006 |
31.12.2006 |
|
Type |
1st
Qtr |
2nd
Qtr |
3rd
Qtr |
|
Sales
Turnover |
1681.700 |
1987.800 |
2404.000 |
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Other
Income |
2.700 |
1.600 |
19.100 |
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Total
Income |
1684.400 |
1989.400 |
2423.100 |
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Total
Expenditure |
1641.600 |
1912.100 |
2345.300 |
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Operating
Profit |
42.800 |
77.300 |
77.800 |
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Interest |
10.900 |
8.900 |
14.200 |
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Gross
Profit |
31.900 |
68.400 |
63.600 |
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Depreciation |
9.900 |
12.500 |
15.100 |
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Tax |
7.700 |
23.700 |
12.800 |
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Reported
PAT |
13.700 |
29.100 |
38.400 |
Notes
200606
Quarter 1 –
EPS is basic and Diluted. 1. The Above results have been
taken on record by the Board of Directors at its meeting held on 29.07.2006. 2.
Previous year/quarter figures have been regrouped/reclassified wherever
necessary. 3. The Company opeartes in 2/3/4 wheeler segment only, hence no
seperate segmentwise reporting is given. 4. The Number of Investor complaints
pending at the beginning of the quarter were Nil, received during the quarter
2. Resolved during the quarter 2 and balance Nil at the end of the quarter.
200609
Quarter 2 –
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 Nil Complaints disposed off
during the quarter Nil Complaints unresolved at the end of the quarter Nil 1.
The above results have been taken on record by the Board of Directors at its
meeting held on October 27, 2006. 2. Previous year / quarters figures have been
regrouped / reclassified wherever necessary. 3. The Company operates only in
2/3/4 wheeler segment, hence no separate segmentwise reporting is given.
200612
Quarter 3 –
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 03 Complaints disposed off
during the quarter 03 Complaints unresolved at the end of the quarter Nil 1.
The above results have been taken on record by the Board of Directors at its
meeting held on January 30, 2007. 2. Previous year / quarter?s figures have
been regrouped / reclassified wherever necessary. 3. The Company operates only
in 2/3/4 wheeler segment, hence no separate segmentwise reporting is given.
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt-Equity
Ratio |
1.29 |
1.10 |
0.83 |
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Long
Term Debt-Equity Ratio |
0.73 |
0.51 |
0.28 |
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Current
Ratio |
1.75 |
1.45 |
1.21 |
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TURNOVER
RATIOS |
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Fixed
Assets |
22.87 |
18.38 |
13.62 |
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Inventory |
12.27 |
12.97 |
11.79 |
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Debtors |
25.77 |
28.90 |
28.05 |
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Interest
Cover Ratio |
4.04 |
1.67 |
1.93 |
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Operating
Profit Margin(%) |
3.04 |
2.58 |
2.76 |
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Profit
Before Interest And Tax Margin(%) |
2.57 |
1.20 |
2.25 |
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Cash
Profit Margin(%) |
1.12 |
1.67 |
1.22 |
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Adjusted
Net Profit Margin(%) |
0.65 |
0.29 |
0.71 |
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Return
On Capital Employed(%) |
20.67 |
8.91 |
15.88 |
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Return
On Net Worth(%) |
11.94 |
4.52 |
9.14 |
STOCK PRICES
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Face Value |
Rs.10.00/- |
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High |
Rs.191.10/- |
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Low |
Rs.180.00/- |
LOCAL AGENCY FURTHER INFORMATION
FIXED ASSETS
Ř
Land Freehold
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Land Leasehold
Ř
Buildings
Ř
Plant & Machinery
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Furniture & Fittings
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Vehicles
HISTORY
Incorporated in Aug.'85 as a private limited company, Sai Service
Station (SSSL) became a public limited company w.e.f. Jan.'94. Promoted by
Sridhar Kalmadi, the company is an authorised dealer for Maruti Udyog and Bajaj
Auto vehicles. Besides showrooms, it has full-fledged service stations in Pune,
Maruti Udyog allowed the company to open a co-dealership in
In 1995-96, the company has successfully completed and opened newultra modern
showroom at Cantonment area in Pune. Company has set-up a Joint Venture Non
Banking Finance Company at Pune with Sumitomo Corporation of
During 1998-99, the company entered into the business of Tourism to capture the
market arising due to infrastructural developments in the country and
particularly in
The company has bagged the following awards in the year 1999-2000;* First in
Platinum Award for Sales Service and Spares Performance on All India basis.*
Second highest spares counter sales award in Category `A'.* Star Award for
overall performance in spares on All India basis.With addition of Kerala dealership
which was awarded by Maruti Udyog Limited for the excellent performance over
the last two years. Also during the year the company has introduced 12 premium
buses made by their own Autorola Bus Division.
OPERATIONAL PERFORMANCE
Inspite of intense competition, the company has achieved a total turnover of
Rs. 7254.787 Millions for the year under review as against Rs.5984.702 Millions
in the last year showing 21.22% growth over last year. Profit after tax has
gone up from Rs.17.382 Millions to Rs. 29.762 Millions. The Directors are
pleased to inform you that this year also, Maruti Division has been bestowed
with various awards in sales, service & spare parts. Bajaj division has too
performed well as compared to last year.
Business Overview & Industry Structure
The Automobile Industry is one of the core industries of Indian Economy and is
evolving to replicate those of developed countries. The Indian economy
witnessed a 8.4% growth in F.Y. 2005-06 as compared to 7.5% in previous year.
This coupled with rapid automobile market expansion. While brands and
technology of the vehicles are important, the product price, discount
structure, after sales service are other key factors that differentiates one
product from others. The manufacturing Companies are coming with most upgraded
version of its products based on latest technologies and likings of the
customers. During the year 2005-06, Maruti Udyog Limited launched Maruti Swift,
a new generation car. It has been ranked First amongst six nations
Company's other principal Bajaj Auto Limited has also launched Bajaj Platina
with new fascinating colours, which has received a good response from the
market. its other products like Pulsar DTS-I, Discover, CT-100 launched earlier
also got tremendous support in the urban and rural markets.
Discussion on financial performance with respect to operational
performance.
The Company's financial performance continued to improve during the Financial
year under review owing to good volume growth as well as cost reduction
efforts. Presently Company operates in only one segment i.e. sales and service
of two, three and four wheelers. Company showed a remarkable growth in sales
and service of vehicles. The summarized sales, service and profit figures for
the financial year 2005-06 are as follows.
Sales & Service Income Rs. 7254.787 Millions from Operations
Profit before tax Rs. 70.364 Millions
AS PER WEBSITE
Sai
Service Station Limited
Mr
Sridhar Kalmadi & Mr Mukesh Kalmadi incorporated Sai Service Station on 9th
August 1985 as a Private Limited Company. By virtue of its turnover it became a
deemed Public Limited Company in 1988. Sai Service Station Limited was
subsequently converted into a Public Limited in 1994 & came out with a
Public Issue of Rs.245.000 Millions.
The
company is presently listed on the Mumbai Stock Exchange.
The
company was appointed as a dealer for Maruti Udyog Limited in 1985 and for
Bajaj Auto Limited in 1986.
Sai Service controls a large market share for these vehicles
in the areas it represents till date they have 158141 happy customers. Sai
Service was also appointed a dealer for Mahindra & Mahindra Jeeps in 1994.
Sai
Service is professionally managed Multi product, Multilocational Company with
ISO 9002 certification. It has set up service stations equipped with most
modern computerized equipment and manned by experienced and qualified
automobile engineers. The service stations are located in Mumbai, Pune,
The
company has also diversified into related activities like Used Cars & would
shortly starting TRUE VALUE OUTLET in Mumbai & Pune .
Sai is 3's
Sai is
3's Sales, Service, Spares Dealership of Maruti vehicle .It is one of
the largest network of dealership in Maharashtra (Pune,
Being
a multilocational dealership the total sales volume at all location is 13000
vehicles per year.
The
service station is attached to these outlets for customers convince.
They
have also satellite workshops, which are spread over, in the cities where the
dealerships are located. Workshops are handled by skilled labor that is trained
by Maruti Udyog LimitedAll these workshops are having modern facilities to help
diagnose problems in the vehicle at the quickest.
Service of Maruti Vehicles
Highest customers satisfaction in J.D.POWER.
SAI
Service as part of its Maruti franchise, has state-of-the-art workshops, and is
geared to service the entire range of Maruti Vehicles. In addition, Genuine
Spares are used for all requirements during service and could also be bough
across the counter.
The service team comprises of Works Manger, Service
Advisors, Service supervisors and Mechanics, who have received training Centers
located, in India
Benefits that the customers would be assured of :
Ř
Modern equipment to help quick diagnose
problems in the vehicle.
Ř
The safety of using genuine spare
parts.
Ř
Fully automated paint booth for quality
paint job.
Ř
The facility of breakdown and quick
repair cell.
Ř
The facility of opting for an Annual
Maintenance Contract.
Ř
Free pick and drop facility at
respective workshops.
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 records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.40.90 |
|
|
1 |
Rs.81.29 |
|
Euro |
1 |
Rs.55.47 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
51 |
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 |
|