MIRA
INFORM REPORT
|
Report Date : |
17.10.2007 |
IDENTIFICATION DETAILS
|
Name : |
WIPRO LIMITED |
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Registered Office : |
Doddakannelli, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
10.07.1996 |
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Com. Reg. No.: |
08-20800 |
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CIN No.: [Company
Identification No.] |
L99999KA1996PLC020800 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRW00415C |
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Legal Form : |
Public Limited
Liability Company. The company’s
shares are listed on the Stock Exchanges. |
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Line of Business : |
Software exports,
software & services, consumer care, lighting and healthcare. Providing services
of IT and IS consulting for E-business transformation, electronic commerce,
web enabling, data warehousing and customer relation's management. |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 372676000 |
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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
well-established and reputed company having excellent track. Available information indicates high financial
responsibility of the company.
Financial position is good.
Payments are always correct and as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions |
LOCATIONS
|
Registered/Corporate
Office : |
Doddakannelli, |
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Tel. No.: |
91-80-28440011 |
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Fax No.: |
91-80-28440054 |
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E-Mail : |
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Website : |
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Software
Technology Parks: |
·
·
Chennai,
Tamilnadu ·
Secunderabad,
Andhra Pradesh ·
Pune,
·
Gurgaon,
Haryana ·
·
Mumbai,
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Factory : |
> > S B Towers, 88, M > 608-610, > > 271-27 1 A, Sri Ganesh Complex,
068, > 26, Sri Chamundi Complex, Madivala
II, Bommanahalli, Hosur Main
Road, > No. l, 2, 3, 4 and 54/1, Survey No.
201/C, Madivala III,
068, > No. l, 2, 3, 4 and 54/1, Survey No.
201/C, Madivala III (Research &
Development), > No. 1 , 2, 3, 4 and 54/3, Survey No.-
201/C, Madivala IV,
560 068, > 3rd Floor,
Road, > Subramanya Arcade, > K-3 1 2, Koramangala Industrial
Layout, > V Block, Koramangala, > >
Road, > No.92, 2nd
561 229, > S. No. 70/1, 2, 3, 4(P) &. 84/1,
2, 3,
Hobli, ' > Capitale, 552 &. 555, Anna Salai,
Teynampet, Chennai, Tamilnadu > 475A, Shollinganallur,
600 019, Tamilnadu > 111, Mount Road, Guindy, Chennai -
600 032, Tamilnadu > No. 105, Guindy, > > > 239, Okhla Industrial Estate, > Plot No.27/28, Phase IV, Udyog Vihar,
Gurgaon - 122 016 > Plot No. 281,Phase II, Udyog Vihar,
Gurgaon - 122 106, Haryana > No. 480-481, Udyog Vihar, Phase-Ill,
Gurgoan - 122015, Haryana > S. No. 203/1,
District, > Survey Nos. 64, Serilingampali
Mandal, Madhapur,
033 > > Plot No. 1, 7, 8 & 9, Block-DM,
Sector- V, Saltlake, Kolkata - 700 091, > 146/147, Mettagalli Industrial Area,
Mettagalli, > Vashi, Navi Mumbai, Mumbai, > Plot No. 2, MIDC, > 1-8-448,
016 |
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Overseas
Offices : |
1300, Tel. No. :
91-650-3163555 Fax No. : 91-650-3163467 Mimet House, Tel. No. : +44
[020] 70873770 Fax No. : +44
[020] 72625360 Tel. No. : +81
[45] 650 3950 Fax No. : +81
[45] 650 3951 Wipro Technologies
1995, El Camino
Real, Tel. No.: (408)
249 6345 Fax No.: (408)
6157174 / 6157178 15455 N. W., Tel. No.: (503)
4390825 Fax No.: (503)
4398426 10655 N. E., 4th
Street, Suite 400, Bellevue, WA 98004, USA Tel. No.: (425)
4553486 Fax No.: (425)
6880973 833, Tel. No.: (972)
6716130 Fax No.: (972)
6716134 2432, W. Tel. No.: (602)
8705780 Extn.: 101 100, W. 22nd
Street, Tel. No.: (630)
8899860 Fax No.: (630)
8899187 8901, Tel. No.: (952)
9489683 Fax No.: (952)
9489684 12081, Tel. No.: 303-254
2457 Fax No.: 720-244
4872 Tel. No.: 978-372
9531 Fax No.: 978-372
9560 345, Buckland
Hills, Dr. Suite 7213, Tel. No.: 860-644
3657 Fax No.: 860-644
3667 220, Tel. No.: (732)
4650401 Fax No.: (732)
4650420 Top Floor, 2432, Room no. 1064,
Hatanpaankatu 1 (Kulma-Sarvis), Web Campus, Kaistrasse,
101 |
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Branches : |
Wipro Infotech Software & Service
88,
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DIRECTORS
|
Name : |
Mr. Azim Hashmi
Premji |
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Designation : |
Chairman |
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Date of
Appointment : |
01.09.1968 |
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Name : |
Dr. Ashok Ganguly |
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Designation : |
Chairman, ICICI
OneSource Limited. Former Chairman, ICI India Limited |
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Date of
Appointment : |
01.01.1999 |
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Name : |
Mr. B. C.
Prabhakar |
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Designation : |
Practitioner of Law |
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Date of
Appointment : |
20.02.1997 |
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Name : |
Mr. Vivek Paul |
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Designation : |
Vice Chairman and Executive Officer |
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Date of Appointment
: |
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Name : |
Mr. Narayan
Vaghul |
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Designation : |
Chairman, ICICI Bonk Limited |
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Date of
Appointment : |
09.06.1997 |
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Name : |
Professor Eisuke
Sakakibara |
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Designation : |
Professor of Economics,
Keio Universityjapan |
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Date of
Appointment : |
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|
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Name : |
Mr. P. M. Sinha |
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Designation : |
Former Chairman, PepsiCo |
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Date of
Appointment : |
01.01.2002 |
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|
|
|
Name : |
Dr. Jagdish N Sheth |
|
Designation : |
Professor of
Marketing, |
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Date of
Appointment : |
01.01.1999 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2007
|
|
NO. OF SHARES
|
PERCENTAGE (%)
|
Promoters ' Holdings
|
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|
Promoters |
|
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|
Promoters in his
capacity as partner of Partnership firms |
975520800 |
66.86 |
|
Promoter in his
capacity as director of Private Limited Companies |
128137800 |
8.78 |
|
Promoter in his
individual capacity |
57477660 |
3.94 |
|
Sub Total |
161136260 |
79.58 |
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Non
Promoter's Holdings
|
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Mutual Funds and
UTI |
11573694 |
0.79 |
|
Banks, Financial
Institutions and Insurance Companies |
845249 |
0.06 |
|
FIIs |
76756010 |
5.26 |
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Others
|
|
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Private Corporate
Bodies |
66497511 |
2.33 |
|
Indian Public |
98139449 |
6.88 |
|
NRIs / OCBs |
14944157 |
1.05 |
|
Directors and
Relatives |
23000 |
0.00 |
|
Trusts |
8007415 |
0.56 |
|
ADR’s |
21484797 |
1.51 |
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Sub Total |
175737481 |
12.33 |
|
Total |
1459113115 |
100.00 |
BUSINESS DETAILS
|
Line of
Business : |
Software exports,
software & services, consumer care, lighting and healthcare. Providing
services of IT and IS consulting for E-business transformation, electronic
commerce, web enabling, data warehousing and customer relation's management. |
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Products : |
Item code no (ITC
Code) 84713010 Product
description
Personal Computer ii) Item code no
(ITC Code) 85249113 Product description I.T. Software iii) Item code no
(ITC Code) 15162011 Product description
Vegetable fats and oils (Edible
Grade) |
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Exports to : |
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Imports from : |
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PRODUCTION STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
|
Vanaspati/Hydrogenated oils |
TPA |
144000 |
45000 |
5257 Tons |
|
Toilet soaps |
TPA |
64000 |
47930 |
38404Tons |
|
Leather shoe uppers, leather shoes and
allied articles |
Pairs / Nos. [1000s] p.a. in millions |
750 |
750 |
375 |
|
Fatty acids |
TPA |
20000 |
20000 |
20767 Tons |
|
Glycerine |
TPA |
2000 |
1800 |
919 Tons |
|
GLS lamps |
000s |
50000 |
50000 |
-- |
|
TL shells |
000s |
12694 |
12694 |
-- |
|
Fluorescent tube lights |
000s |
10694 |
10694 |
9283 |
|
CFL |
Nos. in 000s |
6658 |
6658 |
-- |
|
Mini computers/micro processor based systems
and data communication systems |
NPA |
180000 |
180000 |
104748 Nos. |
GENERAL INFORMATION
|
Suppliers : |
Ř
Atco
Controls India Private Limited Ř
Arya
Filaments Private Limited Ř
Bhargava
Rotopack Private Limited Ř
Bombay
Oil Seals Company Ř
Capart
Industries Private Limited Ř
Everlite
Corporation Ř
Exerlite
Industries Ř
Fluo-Lite
Private Limited Ř
Glostar
Electricals Private Limited Ř
Har-Hal
Plastic Engineering Private Limited Ř
Infocontral
Systems Inc. Ř
Karthiks Ř
Kay
Pee Industries Ř
Kasa
Luminaties Private Limited Ř
Ř
Meet
Engineering Private Limited Ř
Mercury
Lamps Private Limited Ř
Prachi
Industries Ř
Prospects
Industries Ř
Ř
R C
Industries Ř
Regal
Luminaries Ř
Rotam
Commercials Ř
Sandesh
Electricals Ř
SOBO
Technology Ř
Ř
Starlite
Components Limited Ř
Sujatha
Wood Industries Ř
Superstars Ř
Triumph
Pack Private Limited Ř
Ujas
Electricals Private Limited Ř
Unilux Ř
Unique
Wires Private Limited Ř
Vijay
Halo Coils Private Limited Ř
Vijay
Litetronics Comp Limited Ř
Vossloh-Schabe
India Private Limited |
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Customers : |
Ř
3COM Ř
ABN
Amro Ř
Alcatel Ř
Allianz
Church & General Ř
Analog
Devices Ř
Aristasoft Ř
AT
& T Ř
Baxter Ř
BSI Ř
BT Ř
Cisco Ř
Compaq Ř
ContentGuard Ř
Corel Ř
Cox
& Kings Ř
Daiwa Ř
Energy.com Ř
Epson Ř
Ericsson Ř
Esupportnow.com Ř
Farmers
insurance Ř
Franklin
Templeton Ř
Fujitsu Ř
General
Motors Ř
Genuity Ř
Geoutilities.com Ř
Home
Depot Ř
HP Ř
IBM Ř
Ř
JP
Morgan Ř
KPN Ř
Lucent Ř
Magneti
Marelli Ř
Marconi Ř
Menlo
Logistics Ř
Microsoft Ř
Mitsubishi Ř
Morgan
Stanley Ř
NCR Ř
NEC Ř
Newbridge Ř
Nike Ř
Nortel Ř
Npower Ř
NTL Ř
OTIS Ř
PacifiCorp Ř
Pepco
Energy Services Ř
Pindar Ř
Seagate Ř
Sharp Ř
Skandia Ř
Sonera Ř
Sony Ř
Spice Ř
Sun Ř
Sunquest Ř
Telstra Ř
Ř
Ř
Thomas
Cook Ř
Trafalgar
Tours Ř
Transco Ř
Tufts
Healthplan Ř
TIBCO Ř
United
Technologies Ř
US
Wireless Ř
VLSI Ř
Weyerhaeuser Ř
Winterthus |
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No. of
Employees : |
14000 |
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Bankers : |
Ř
Canara
Bank, Ř
State
Bank of Ř
Citibank
N.A., Ř
American
Express Banking Corporation, |
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Facilities : |
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Banking
Relations : |
Satisfactory |
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|
|
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Auditors : |
|
|
Name : |
N. M. Raiji &
Company Chartered Accountants |
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|
|
|
Subsidiaries : |
ł Wipro ł Enthink Inc. ł Wipro Inc. ł Wipro Chandrlka
Limited ł Wipro Trademarks
Holding Limited ł Wipro Travel
Services Limited ł Wipro Fluid Power
Limited ł Wipro HealthCare
IT Limited ł Wipro BPO
Solutions Limited ł Wipro Holdings ( ł Wipro Holdings UK
Limited ł Wipro
Technologies ( ł Wipro Shanghai
Limited ł Wipro Consumer
Care Limited ł Cygnus Nigri
Investments Private Limited ł
Wipro
Infrastructure Engineering Limited ł
Spectramind
Inc ł
mPower
software Services Inc. ł
mPower
Software Services ( ł
Mpact
Technologies Services Private Limited ł
BVPENTE
Beteiligungsverwaltung GMBH ł
New
Logic Technologies AG ł
New
Logic Technologies Inc. ł
New
Logic Technologies SARL ł
New
Logic Technologies S.A. ł
Wipro
Equity Reward Trust |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1650000000 |
Equity Shares |
Rs. 2 each |
Rs. 3300.000
millions |
|
25000000 |
10.25% Redeemable Cumulative Preference Shares |
Rs. 10/- each |
Rs. 250.000
millions |
|
|
Total
|
|
Rs.
3550.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1425754267 |
Equity Shares |
Rs. 2 each |
Rs. 2851.510
millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF
FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
SHAREHOLDERS FUNDS
|
|
|
|
|
1] Share Capital |
2918.000 |
2851.510 |
1407.140 |
|
2] Share Application Money |
0.000 |
74.860 |
12.050 |
|
3] Reserves & Surplus |
90251.000 |
61353.010 |
47517.290 |
NET WORTH
|
93169.000 |
64279.380 |
48936.480 |
|
|
|
|
|
|
LOAN FUNDS |
|
|
|
|
1] Secured Loans |
232.000 |
450.580 |
215.890 |
|
2] Unsecured Loans |
2148.000 |
51.030 |
405.030 |
|
TOTAL BORROWING |
2380.000 |
501.610 |
620.920 |
|
|
|
|
|
TOTAL
|
95549.000 |
64780.990 |
49557.400 |
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
16459.000 |
11182.520 |
9079.610 |
|
Capital work-in-progress |
9895.000 |
6123.580 |
2502.390 |
|
|
|
|
|
|
INVESTMENTS |
43487.000 |
34592.030 |
28595.110 |
|
Deferred Tax Assets |
0.000 |
381.380 |
318.560 |
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
Inventories |
2404.000 |
1486.510 |
1273.740 |
|
Sundry Debtors |
25823.000 |
19680.670 |
14065.140 |
|
Cash & Bank Balances |
18492.000 |
8230.020 |
5368.960 |
|
Loans & Advances |
16665.000 |
10988.170 |
5975.190 |
|
Total
Current Assets |
63384.000 |
40385.370 |
26683.030 |
|
Less : |
|
|
|
|
Current Liabilities |
30024.000 |
17768.340 |
12084.350 |
Provisions
|
7652.000 |
10115.550 |
5236.950 |
Total
Current Liabilities
|
37676.000 |
27883.890 |
17321.300 |
|
Net Current Assets |
25708.000 |
12501.480 |
9061.730 |
|
|
|
|
|
|
Miscellaneous Expenditure |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
TOTAL
|
95549.000 |
64780.990 |
49557.400 |
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
137585.000 |
102640.900 |
72761.800 |
|
|
Other Income |
2887.000 |
1524.100 |
935.300 |
|
|
Total Income |
140472.000 |
104165.000 |
73697.100 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
31762.000 |
23396.800 |
17561.800 |
|
|
Provision for Taxation |
3341.000 |
3192.000 |
2613.600 |
|
|
Profit/(Loss) After Tax |
28421.000 |
20204.800 |
14948.200 |
|
|
|
|
|
|
|
|
Import Value |
N.A |
70832.940 |
53736.900 |
|
|
|
|
|
|
|
|
Export Value |
N.A. |
3863.830 |
3237.350 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Manufacturing Expenses |
0.000 |
0.000 |
0.000 |
|
|
Raw Materials |
19753.000 |
13506.900 |
11198.500 |
|
|
Excise Duty |
746.000 |
369.700 |
430.200 |
|
|
Power & Fuel Cost |
0.000 |
864.600 |
466.300 |
|
|
Other Manufacturing Expenses |
1205.000 |
8471.600 |
4792.600 |
|
|
Employee Cost |
57645.000 |
42715.200 |
30111.600 |
|
|
Selling and Administration Expenses |
4320.000 |
9972.300 |
6012.400 |
|
|
Miscellaneous Expenses |
22234.000 |
2156.100 |
1301.200 |
|
Total
Expenditure |
105903.000 |
78056.400 |
54312.800 |
|
QUARTERLY /
SUMMARISED RESULTS
|
PARTICULARS |
|
|
30.06.2007 1st
Quarter |
|
Sales Turnover |
|
|
36791.000 |
|
Other Income |
|
|
977.000 |
|
Total Income |
|
|
37768.000 |
|
Total Expenditure |
|
|
28982.000 |
|
Operating Profit |
|
|
8786.000 |
|
Interest |
|
|
110.000 |
|
Gross Profit |
|
|
8676.000 |
|
Depreciation |
|
|
1073.000 |
|
Tax |
|
|
889.000 |
|
Reported PAT |
|
|
6714.000 |
|
|
|
|
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
Debt-Equity Ratio |
|
0.02 |
0.01 |
0.02 |
|
Long Term Debt-Equity Ratio |
|
0.02 |
0.00 |
0.01 |
|
Current Ratio |
|
1.58 |
1.46 |
1.33 |
|
TURNOVER RATIOS |
|
|
|
|
|
Fixed Assets |
|
6.86 |
4.97 |
4.70 |
|
Inventory |
|
70.73 |
74.37 |
63.42 |
|
Debtors |
|
6.05 |
6.12 |
5.90 |
|
Interest Cover Ratio |
|
442.14 |
748.50 |
316.29 |
|
Operating Profit Margin(%) |
|
25.75 |
25.67 |
26.77 |
|
Profit Before Interest And Tax Margin(%) |
|
23.14 |
22.83 |
24.21 |
|
Cash Profit Margin(%) |
|
23.27 |
22.53 |
23.10 |
|
Adjusted Net Profit Margin(%) |
|
20.66 |
19.68 |
20.54 |
|
Return On Capital Employed(%) |
|
39.73 |
41.01 |
41.15 |
|
Return On Net Worth(%) |
|
36.12 |
35.72 |
35.59 |
LOCAL AGENCY FURTHER INFORMATION
History
Subject
is one of the leading players in providing IT services & Products business
globally. Subject though started as a edible oil producer way back in 1945, under
the name Western India Vegetable Products, a private limited company has
transformed itself into leading player in FMCG and IT services & Products
business. It's FMCG business (or Subject Consumer care and Lighting) with
strong brands in baby care, toilet soaps, personal wash, personal grooming,
domestic and industrial lighting has significant presence in domestic market.
The company also has presence in manufacture of hydraulic cylinders and medical
equipments through its subsidiary i.e. Wipro Fluid Power and JV affiliate Wipro
GE Medical Systems Private respectively.
Subject provide comprehensive range of IT services, software solutions, IT
consulting, business process outsourcing and research and development services
in the areas of hardware and software design to leading companies worldwide.
This was done by combining the business/industry knowledge of domain
specialists and technical knowledge and implementation skills of delivery team
in its development centres located both in Indian and around the world. The
range of services includes IT consulting; custom application design,
development, re-engineering and maintenance, systems integration, package
implementation.
Wipro's BPO, which operated as a separate subsidiary earlier was consolidated
into Global IT services products division. The BPO provides Customer
Interaction Services, Industry Administration Services, Business Optimization
Services and Knowledge Services. The company also does Product Designing in
Hardware, System Software Development and Support services for industries like
Automotive Electronics, Computing Peripherals, Computing Platforms &
Software products, Consumer Electronics, Industrial Automation & Avionics,
Medical Devices, Mobile Devices & Application, semiconductors, Wireless
Networks, Space Communications and much more. The Company is the largest third
party R&D Service provider in the world with world's largest technology
infrastructure management practices and are among the top 3 offshore BPO
service providers by revenue.
Subject has set up an overseas design center, Odyssey 21 for undertaking
projects and product developments in advanced technologies for overseas
clients. Aviva Plc has selected Wipro Technologies as a strategic partner for
Offshore IT Outsourcing. Under the agreement, Wipro will provide a range of IT
services covering Application Development and maintenance, Package
implementation and testing. The company launched its German operations based
out of
The company has chalked out plans to expand its operations in Tamil Nadu. The
company has set up a Campus Style facility at Sholinganallur, near Chennai as
part of Phase II expansion of the Campus Development Centre.
The company has invested in building ability in Wireless Domain like Global
Standards for Mobile (GSM), Code Device Multiple Access (CDMA) and General
Packet Radio Service (GRPS) and also in GigE Mac Core, Ethernet software
solution and Residential Gateway solutions for Customer Premise
Equipment.
The FMCG business of Wipro consist of products including hydrogenated cooking
oil, soaps and toiletries, light bulbs and fluorescent tubes and lighting
accessories. The umbrella brand of the company are 'Santoor', Wipro Active line
of talcum powers, Wipro Baby Soft line of infant and child care products and
Wipro Sanjeevani line of wellness products. The brand portfolio and market
share was strengthened/expanded by acquisition of Chandrika Ayurvedic soap and
Glucovita Glucose Powder during 2004-05. The company has also launched Wipro
Sanjeevani Honey, Wipro Sanjeevani Isabgol and Wipro Safewash liquid
detergents. The capacity of Toilet Soaps was expanded by 19930 TPA to 47,930
TPA, in Mar'05. The Company has also installed CFL during '04-'05 which stood
as 6658000 Nos in March 2005.
Wipro Lighting is a major diversification of Wipro, manufacturing and marketing
lighting products for households and the commercial and Industrial markets.
Wipro has set up a wholly owned subsidiary company viz. Wipro Consumer Care
Limited. This company will be engaged in the manufacture of consumer care and
lighting products.
The business restructuring exercises of the company to derive business synergy
has resulted in birth of Wipro e-Peripherals, Wipro Fluid Power, two of its
subsidiaries. In this context Wipro Infotech and Wipro Systems were amalgamated
with Wipro in April, 1994 and Wipro Infotech spun off its peripherals services
division into a new legal entity i.e. Wipro e-Peripherals on Sep 2000. Wipro
Net has been amalgamated with the company with effect from
Continuing that the company spin-off of its Fluid Power business unit into a
separate subsidiary company effective March 1, 2002. Netkracker, which was a
subsidiary of Wipro subsequent to acquisition of equity interest of ICICI and
the Fluid Power business was combined and renamed as Wipro Fluid Power
Limited.
Five of Wipro's manufacturing and development facilities secured the ISO 9001
certification during 1994-95. In February 2001, Wipro became the first software
technology and services company in
In the fiscal 2004-05 the company has issued Bonus Shares in the ratio of 2:1
to its shareholders.
During December 2005, the
company has signed a definitive agreement to acquire mPower Inc., a
In 2006, The Honorable High Court of Karnataka has approved the Scheme of
Amalgamation for the merger of the Spectramind Limited, Bermuda, Spectramind
Limited,
The company has issued bonus Shares in the ratio of 1:1 to its
shareholders.
The company has acquired mPower Software Services Inc, a Princeton, New Jersey,
US headquartered company with development Center in Chennai and MPACT
Technology services Private Limited, based in Chennai, for an all cash
Consideration of $28 million and New Logic Technologies AG, an Austrian Firm
was acquired an all cash consideration of Euro 26 Million.
The company has signed agreement in the current financial year to effectively
acquire the target company cMango Inc., a
Subsidiary Companies:
The Company today
is a global corporation having operations in 29 countries through more than 50
subsidiary companies, a few joint ventures and associate companies. Section 212
of the Companies Act, 1956, requires that The Company attach the Directors'
Report,.Balance Sheet and Profit and Loss Account of their subsidiary
companies.
The Company believe that the Consolidated Financial Statements present a more
comprehensive picture rather than the standalone financial statements. The
Company therefore applied to the Ministry of Corporate Affairs, Government of
India and sought exemption from the requirement to present detailed financial
statements of each subsidiary. The Ministry of Corporate Affairs, Government of
India has granted the exemption.
As permitted by SEBI guidelines and Companies Act, 1956, The company has
included the abridged financial statements of Wipro Limited in this annual
report. The detailed financial statements and audit reports of Wipro Limited
and each of the subsidiaries are available for inspection at the registered
office of the Company and upon written request from a shareholder, The company
will arrange to send the full balance sheet, profit and loss account and
auditors report to the said shareholder.
Consolidated Results:
Their Sales for the current year grew by 41% to Rs.149,982 million and their
Profit for the year was Rs.29,421 million, an increase of 42% over the previous
year. Over the last 10 years, their Sales have grown at a Compounded Annual
Growth Rate (CAGR) of 25% and Profit after Tax at 46%.
Acquisitions and Joint
Ventures:
The
company has continued
to pursue the strategy of acquiring businesses which complement their service
offerings, provide access to niche skill sets and expand their presence in
select geographies. The company has a dedicated team of professionals who
identify businesses which meet their strategic requirements and are cultural
fit to Wipro. The following businesses have joined the Wipro family during the
year:
1. US based Quantech Global Services LLC and the
2. CMango - Transactions consummated in April 2006 - US based CMango Inc
and
3.
4.
5.
6. In their Consumer Care and Lighting business The company acquired
North-West Switches business from NorthWest Switchgear Ltd., a company in the
business of switches, sockets, MCBs etc. for an upfront cash consideration of
Rs.1,022 million.
7. In their Infrastructure Engineering business, The company acquired
Hydrauto Group AB ('Hydrauto') for a cash consideration of USD 31 million.
The Company partnered with Motorola, a global leader in Wireless
Communications, to form a joint venture namely WMNETSERV Limited to deliver
world-class Managed Services to telecom operators in the area of network
operations.
Wipro's R&D Activities: 2006-07:
Wipro's R&D focus has been in strengthening the portfolio of Centers
of Excellence (CoE) and Innovation projects. As part of this focus, over 500
people have been engaged across 55 CoEs and 30 Innovation projects. Their
R&D efforts have contributed nearly 8.5% of total revenues.
At Wipro, The company has institutionalized the spirit of Innovation
through their corporate Innovation initiative launched in year 2000. The company is now deriving business value
from these investments. Over the last 7 year period, The company has been able
to:
* Develop a rigorous Innovation management framework & process
comprising of Idea generation, Idea Incubation and Idea Execution.
* Develop point solutions for specific industry verticals like Retail,
Manufacturing as well as Intellectual Property (IP) components for Product
Engineering business.
* Build portfolio of solutions that span across Process, Delivery,
Business and Technology domains.
Process Innovation:
The company has pioneered in the art of adopting Lean & Six Sigma
principles for end to end software development life cycle.
Lean techniques have been applied to over 700 projects. This has resulted
in 20-30% savings in efforts and better schedule adherence.
Delivery Innovation:
Global Delivery
model and Software Factory model for standardized delivery are good examples of
their Delivery Innovations. Typical benefits of Software Factory model to their
customers are: 10-15% reduction in cycle time from demand to delivery of
solution, 15-20% cost reduction in capital and operational expenditure and 10%
increase in productivity through reusable components, tools and knowledge
banks
Business Innovation:
Innovations
under this portfolio include solution frameworks and methodologies to develop
industry specific solutions. Sample examples in this portfolio are Vendor
Managed Inventory, Retail Pharmacy, Integrated Publishing Platform, Clinical
Data Management, Data Privacy and Master Data Management.
Technology Innovation:
Innovations
under this portfolio include solutions with high IP component, which can be
delivered as a service thus giving the time to market benefit. Examples include
IP components for IEEE 1394/Fire wire, Wireless LAN, Bluetooth, Ultra Wide Band
(UWB) and DTV middleware.
Apart from solutions in above Innovation portfolio, Wipro has also
developed various collaboration and productivity platforms & tools such as
iGrid, PRISM, Deep Check and Accelerator.
The company has also initiated 4 projects under the theme of Quantum
Innovation. These projects are currently in different stages of prototype.
Centers of Excellence (CoE):
The goal of a
CoE is to create competencies in emerging areas of technologies & industry
and incubate new practices for business growth. The company currently manage 55
CoE's across different technologies and industry verticals. Some examples of
the CoE's are SOA, Virtualization, Grid Computing, Data Privacy
&Protection, IMS (IP multimedia subsystem), Remote Patient Monitoring,
Image Processing, Supply Chain, Retail In-Store, Retail Pharmacy, Automotive,
Open Source and Second Life.
Schemes of Amalgamation
The Schemes of Amalgamation of Wipro BPO
Solutions Limited (formerly Wipro Spectramind Services Limited), Spectramind
Limited, Bermuda, Spectramind Limited, Mauritius with Wipro Limited have been
approved by the Hon'ble High Court of Kamataka on April 5, 2006. The erstwhile
Wipro BPO Solutions Limited, Spectramind Limited, Bermuda and Spectramind
Limited,
Fixed Assets :
Ř
Land
Ř
Buildings
Ř
Railway siding
Ř
Plant & Machinery
Ř
Furniture, Fixture and Equipments
Ř
Vehicles
Ř
Technical Know-how
Ř
Patents, Trademarks & Rights
It also has a joint
venture with British Telecom for providing value-added network and VSAT
services.
The company has
been accredited with ISO 9001 and ISO 14001 Certification.
AS PER WEBSITE
News
Wipro appoints P R Chandrasekhar as Chief Executive –
Americas & Europe
Wipro Limited (NYSE: WIT) today
announced the appointment of P R “Sekar” Chandrasekhar as the Chief Executive
of
Under his leadership Wipro’s
European operations have consistently grown ahead of the industry, driven by wins
in a number of key deals, deepening of client engagements and expansion of
service lines, including addition of a strategic consulting unit.
In his earlier roles in Wipro, Sekar
has been responsible for Global M&A, Channel Development and the Global .Net
Business. He led Wipro’s initiatives in M&A which have bolstered Wipro’s
position as a leading Global IT services and BPO provider. He has also had a
successful stint in Wipro GE Medical Systems in Sales. Prior to joining Wipro,
Sekar was responsible for M&A for GE India.
Rich Garnick, Head of Wipro’s
America Sales has resigned after four years at Wipro. Rich has contributed to
institutionalizing the sales processes in
Commenting on this change, Mr. Azim
Premji, Chairman, Wipro Limited said, “Sekar brings in a wealth of experience,
having worked in multiple strategic and sales roles. His ability to create a
win-win with customers is further enhanced by his deep prior experience in the
Reflecting on his tenure at Wipro,
Rich Garnick said, “Wipro has grown tremendously in its ability to engage and
add value to customers, and it has been exciting to have been part of this
transformation. Given this phenomenal growth and the associated travel, I have
not been able to spend enough time with my family and there comes a time when
you need to focus on the family and that is the key driver of my decision to
leave Wipro. I am sure that the sales organization they have built will
continue to make significant progress, under the leadership of Sekar.”
Commenting on his new role, P R
Chandrasekar said, “
Rich will work with Sekar to
facilitate a smooth transition. Sekar will be relocating to the
About
Wipro
Wipro Limited is
the first PCMM Level 5 and SEI CMM Level certified IT Services Company
globally. Wipro provides comprehensive IT solutions and services, including
systems integration, Information Systems outsourcing, package implementation,
software application development and maintenance, and research and development
services to corporations globally. In the Indian market, Wipro is a leader in
providing IT solutions and services for the corporate segment in
Wipro's ADSs are listed on the New
York Stock Exchange, and its equity shares are listed in
Wipro’s complete
range of IT Services addresses the needs of both technology and business
requirements to help organizations leverage leading-edge technologies for
business improvement. 
Wipro takes charge of the IT needs of the
entire enterprise. The gamut of services extends from Enterprise Application Services
(CRM, ERP, e-Procurement and SCM), to e-Business solutions. Wipro’s enterprise
solutions have served and continue to serve clients from a range of industries
including Energy and Utilities, Finance, Telecom, and Media and Entertainment.
A Cycle of Define,
Perform, Review and Refine
The client is the world’s third largest water company, and provides clean and waste water services to over 69 million customers around the world. The client had embarked on a journey to streamline their IS operations to ensure better service delivery, improved customer relationship and closer links with business. They also wanted to move to a ‘thin’ layer of IS. This was a challenge considering that the client consists mostly of bespoke applications using a wide spectrum of technologies and functional areas that cover all the business functionality of a typical water utility.
Through a series of strategic initiatives
over a two year period, Wipro made the client realize significant cost savings
as well as remarkably improve the quality of the application estate. This was
done by following a cycle of define, perform, review and refine, for each of
the functions that Wipro was entrusted with. Wipro devised and implemented a
strategy for cost savings by leveraging on its Global Sourcing model. The
savings in the application support budget was also enabled through a system of
forecasting and reviewing service requirements with partners and third party
vendors.
They've
developed a model called "Extended Engineering” that leverages synergies
across the value chain
As product manufacturers and platform vendors across the world strive to make
better products with shorter development cycles and reduced total cost of
ownership, they at Wipro Technologies partner with them to provide
comprehensive solutions in product lifecycle management and product
realization. At Wipro, they've developed a model called "Extended
Engineering" that allows you to leverage synergies across the
value chain and progress swiftly from concept to market. They are now the
world's largest contract R&D house for telecom, auto and electronics.
Industries served
Automotive
Electronics
Computing
Peripherals
Computing
Platforms and Software Products
Consumer
Electronics
Industrial
Automation and Avionics
Medical
Devices
Semiconductors
Storage
Technologies
Telecommunication Solutions
Broadband
Optical
Networks
Space Communications
Voice and
Next-Generation Networks
Wireless
Networks and Devices
Wipro
plugs R&D Service into Innovation Networks
Wipro, the world’s
largest third party R&D services provider, has built a 10,000-strong
Product Engineering Solutions (PES) group that offers a complete range of
R&D services — from product strategy to hardware design to quality
consulting — to clients that sell electronics-based products. With more than
120 active clients in industries such as semiconductor, automotive, platforms
and peripherals, consumer electronics, and medical devices, PES revenues have
grown at 36% for the past three years. R&D services now accounts for 36% of
Wipro's total revenues. By putting its extended engineering capabilities on
play in global Innovation Networks, Wipro is making R&D services the next
battleground.
True value from
technology requires an in-depth understanding of business strategy.
Today’s businesses need
partners who can talk about strategy and technology in the same conversation.
At Wipro, they believe true value from technology requires an in-depth
understanding of business strategy. Their cross-industry consulting services
help you craft a vision for the organization and then provide a specific,
practical business and technology framework that will make that vision a
reality. Their consulting competencies spread across business, process, quality
and technology consulting.
Refining Business
Strategy
The client is an online financial services company that aggregates capital from small size investments to access large size institutional-quality private investments. The challenge was to build a private equity investment Net Market and generate a significant volume of transactions while adhering to complex and restrictive regulatory requirements and accommodating for multi-national users.
Wipro built the private equity Net Market adhering to complex and restrictive
regulatory requirements administered by the SEC and NASD and accommodating
multi-national users. Wipro achieved this through refining business strategy,
creating a new Internet-based business model, building the technology backbone
for the Net Market and providing thought leadership, business strategy, deep
technology, and user experience skills.
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.39.31 |
|
|
1 |
Rs.80.19 |
|
Euro |
1 |
Rs.55.86 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--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 |
YES |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
81 |
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. |
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 |
|