MIRA
INFORM REPORT
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Report Date : |
13.09.2007 |
IDENTIFICATION DETAILS
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Name : |
SHRI DINESH MILLS LIMITED |
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Registered Office : |
P. O. Box No.
2501, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
01.07.1935 |
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Com. Reg. No.: |
494 |
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CIN No.: [Company
Identification No.] |
L17110GJ1935PLC000494 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BRDS02584B |
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PAN No.: [Permanent
Account No.] |
AADCS3115Q |
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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 : |
Manufacturers and Exporters of Worsted Fabrics (Men’s Wear), paper
makers felts and industrial textiles. |
RATING & COMMENTS
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MIRA’s Rating : |
Aa |
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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 2600000 |
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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 fine track
records. Directors are reported and 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 / Plant: |
P. O. Box No.
2501, |
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Tel. No.: |
91 – 265 – 2330060
To 2330065 |
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Fax No.: |
91 – 265 – 2336195 |
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E-Mail : |
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Website : |
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Plant : |
Village: Bhadkodra, Ankleshwar, District: Bharuch, |
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E-Mail: |
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Factory : |
Ø
Ø Ankleshwar Ø
Platewel |
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Branches: |
v Mumbai Office Mr. N. K. Pitkar v Mr. A. Kesavan v Mr. V. G.
Muttinamui v Kolkata Office Mr. Animesh
Banerjee |
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E-mail Addresses
of Executives |
CMD : upendra@dineshmills.com GM(Felt sales) : kprawal@dineshmills.com GM (Prdn. Felt) : vspatel@dineshmills.com GM (Prdn.Suitings) : abtewary@dineshmills.com GM (Export) : spurohit@dineshmills.com Sr.GM (Fin) : mcdesai@dineshmills.com GM (Comm.&IR) : sunil@dineshmills.com Presidnet (Sales) : vnsrinivsan@dineshmills.com Manager (Purchase) : rathakkar@dineshmills.com Secretarial Manager (EDP) : dbpatel@dineshmills.com |
DIRECTORS
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Name : |
Mr. Upendrabhai M Patel |
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Designation : |
Chairman And Managing Director |
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Date of Birth/Age : |
76 years |
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Qualification : |
B.Sc. (Hons.), Mumbai;
MBA ( |
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Experience : |
52 years |
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Date of Appointment : |
28.08.1951 |
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Name : |
Mr. Bharatbhai U Patel |
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Designation : |
Managing Director |
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Date of Birth/Age : |
50 years |
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Qualification : |
B. Text., MBA ( |
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Experience : |
30 years |
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Date of Appointment : |
12.05.1973 |
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Name : |
Mr. Nimishbhai U Patel |
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Designation : |
Executive Director |
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Date of Birth/Age : |
38 years |
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Qualification : |
BBA, MBA-Finance ( |
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Experience : |
12 years |
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Date of Appointment : |
01.12.1990 |
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Name : |
Mr. Ranjitsinh P Gaekwad |
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Designation : |
Director |
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Name : |
Mr. Atulbhai G Shroff |
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Designation : |
Director |
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Name : |
Mr. Jal R Patel |
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Designation : |
Director |
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Name : |
Mr. H N Elavia |
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Designation : |
Director |
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Name : |
Mr. Ambubhai T Patel |
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Designation : |
Director |
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Name : |
M.R Tanujbhai M Patel |
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Designation : |
Director |
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Name : |
Mr. J B Sojitra |
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Designation : |
Director |
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Name : |
Mr. Pankajbhai M. Kadakia |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. J B Sojitra |
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Designation : |
Company Secretary |
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E-Mail: |
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Name : |
Mr. Sudhir Purohit |
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Designation : |
General Manager |
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E-Mail: |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. Upendrabhai M. Patel |
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43987 |
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Mr. Bharatbhai U. Patel |
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32784 |
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Mr. Nimishbhai U. Patel |
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35242 |
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Ms. Miraben U. Patel |
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21980 |
Shareholding pattern as on 31st March, 2007
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Sr. No. |
Category |
No. of Shares
Held |
Percentage of
Holding |
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1 |
Directors and relatives (Promoters) |
228273 |
43.25 |
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2 |
Mutual funds (UTI) |
1 |
0.00 |
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3 |
Banks |
408 |
0.08 |
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4 |
Institutionas |
Nil |
Nil |
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5 |
Foreign institutional investors |
Nil |
Nil |
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6 |
Non – resident Indians |
6832 |
1.29 |
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7 |
Others |
292236 |
55.37 |
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Total |
527750 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of Worsted Fabrics (Men’s Wear), paper
makers felts and industrial textiles. |
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Products : |
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Exports : |
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Products : |
v Suitings v
Felts |
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Countries : |
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Imports : |
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Products : |
v State-of-the-art Machinery v Merino wools v
Synthetic Fibres and Monofilament Yarns |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash or Credit |
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Purchasing : |
Cash or Credit |
GENERAL INFORMATION
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Customers : |
v Wholesalers v Retailers v End Users v
Dealers |
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No. of Employees : |
Total 1154 (227 in office, 927 in factory) |
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Bankers : |
Ø
Bank of Ø
Central Bank of Ø
Indian Overseas Bank |
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Facilities : |
SECURED LOAN (As
on 31.03.2007)
UNSECURED LOANS
(As on 31.03.2007)
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
Dalal and Shah Chartered Accountants |
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Address : |
Mumbai, |
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Tel. No.: |
91-79-26576161 |
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Fax No.: |
91-79-26576262 |
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Collaborators : |
Albany International Inc. |
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Associates/Subsidiaries : |
Ø Dinesh Platechem Limited Address: Line of Business : Electroplating Chemicals Ø Dinesh Petrochemicals Limited Ø Dinesh Machines Limited Ø Dinesh Draka Optical Fibre Limited Ø McGean Rohco Dinesh Limited Ø Dinesh Remedies Limited |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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950,000 |
Equity Shares |
Rs. 100.00 each |
Rs. 95.000 millions |
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50,000 |
Unclassified Shares |
Rs. 100.00 each |
Rs. 5.000 millions |
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Total |
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Rs. 100.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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528000 |
Equity Shares |
Rs. 100.00 each |
Rs. 52.800 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
52.800 |
52.800 |
52.800 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
619.000 |
489.400 |
414.700 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
671.800 |
542.200 |
467.500 |
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LOAN FUNDS |
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1] Secured Loans |
188.300 |
148.200 |
149.800 |
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2] Unsecured Loans |
51.000 |
47.900 |
38.900 |
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TOTAL BORROWING |
239.300 |
196.100 |
188.700 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
911.100 |
738.300 |
656.200 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
436.700 |
328.900 |
341.100 |
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Capital work-in-progress |
0.000 |
0.000 |
13.400 |
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INVESTMENT |
212.500 |
155.000 |
122.600 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
231.300
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251.900 |
196.500 |
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Sundry Debtors |
73.600
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64.100 |
64.800 |
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Cash & Bank Balances |
212.900
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191.600 |
87.200 |
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Other Current Assets |
0.000
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0.000 |
0.000 |
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Loans & Advances |
53.000
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108.600 |
113.000 |
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Total
Current Assets |
570.800
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616.200 |
461.500 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
282.800
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283.800 |
227.200 |
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Provisions |
26.100
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78.000 |
55.200 |
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Total
Current Liabilities |
308.900
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361.800 |
282.400 |
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Net Current Assets |
261.900
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254.400 |
179.100 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
911.100 |
738.300 |
656.200 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
755.600 |
687.400 |
593.800 |
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Other Income |
28.800 |
25.900 |
26.400 |
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Stock Adjustments |
(14.000) |
39.000 |
(0.200) |
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Total Income |
770.400 |
752.300 |
620.000 |
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Profit/(Loss) Before Tax |
144.700 |
129.300 |
56.000 |
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Provision for Taxation |
48.800 |
43.300 |
20.600 |
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Profit/(Loss) After Tax |
95.900 |
86.000 |
35.400 |
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Export Value |
55.351 |
60.300 |
NA |
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Imports : |
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Raw Materials |
89.976 |
127.594 |
NA |
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Capital Goods |
65.439 |
1.582 |
NA |
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Total Imports |
155.415 |
129.176 |
NA |
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Expenditures : |
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Raw Materials |
171.900 |
198.100 |
162.900 |
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Excise Duty |
30.600 |
27.900 |
26.200 |
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Power and Fuel Cost |
25.700 |
29.500 |
49.200 |
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Other Manufacturing Expenses |
61.100 |
61.100 |
51.000 |
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Employee Cost |
155.000 |
138.900 |
121.900 |
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Selling and Administration Expenses |
106.900 |
101.700 |
106.100 |
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Miscellaneous Expenses |
18.500 |
16.500 |
18.600 |
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Interest and Financial Charges |
19.100 |
15.400 |
8.800 |
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Depreciation |
36.900 |
33.900 |
19.300 |
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Total Expenditure |
625.700 |
623.000 |
564.000 |
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QUARTERLY RESULTS
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PARTICULARS |
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30.06.2007 (1st
Quarter) |
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Sales Turnover |
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163.100 |
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Other Income |
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7.100 |
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Total Income |
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170.200 |
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Total Expenditure |
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123.900 |
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Operating Profit |
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46.300 |
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Interest |
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5.300 |
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Gross Profit |
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41.000 |
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Depreciation |
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10.700 |
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Tax |
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6.300 |
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Reported PAT |
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26.000 |
200706 Quarter 1
Notes Expenditure Includes (Increase)/Decrease in stock in
Trade Rs (16.10) million Consumption of Raw Material Rs 55.00 million Staff Cost
Rs 38.50 million Power, Fuel and Water Rs 8.60 million Other expenditure Rs
37.90 million Tax Includes Provision for Current Tax Rs 6.10 million Deferred
Tax Rs (2.00) million Fringe Benefit Tax Rs 0.20 million EPS is Basic and
Diluted Status of Investor Complaints for the quarter ended June 30, 2007
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 Company has one business
segment ' 'Textiles'. 2. The above unaudited Financial Results duly reviewed by
the Audit Committee were approved by the Board of Directors at the meeting held
on July 31, 2007. 3. Previous period figures have been regrouped wherever necessary.
4. The statutory auditors of the company have carried out a Limited Review of
the financial statements for the quarter ended June 30, 2007. 5. The
performance of the 1st quarter is not representative of the full year's
performance. 6. The company has implemented AS-15 (Revised) Employee's Benefit
issued by the Institute of Chartered Accountants of India with effect from
April 01, 2007 and has made necessary provision for the quarter. However,
Impact of transitional liability is being ascertained and necessary adjustment,
if any, will be done at the end of the year.
KEY RATIOS
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PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Debt-Equity Ratio |
|
0.36
|
0.38 |
0.27 |
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Long Term Debt-Equity Ratio |
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0.36
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0.38 |
0.27 |
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Current Ratio |
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1.76
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1.67 |
1.68 |
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TURNOVER RATIOS |
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Fixed Assets |
|
0.64
|
0.63 |
0.60 |
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Inventory |
|
3.13
|
3.07 |
2.79 |
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Debtors |
|
10.97
|
10.67 |
10.12 |
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Interest Cover Ratio |
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8.58
|
9.40 |
7.36 |
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Operating Profit Margin |
(%) |
26.56
|
25.98 |
14.16 |
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Profit Before Interest And Tax Margin |
(%) |
21.68
|
21.05 |
10.91 |
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Cash Profit Margin |
(%) |
17.58
|
17.44 |
9.21 |
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Adjusted Net Profit Margin |
(%) |
12.69
|
12.51 |
5.96 |
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Return On Capital Employed |
(%) |
19.86
|
20.75 |
11.34 |
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Return On Net Worth |
(%) |
15.80
|
17.03 |
7.86 |
STOCK PRICES
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Face Value |
Rs. 100.00 |
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High |
Rs. 1149.95 |
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Low |
Rs. 1140.00 |
LOCAL AGENCY FURTHER INFORMATION
Incorporated in 1935 in Vadodara, today subject is a name to
reckon with in the world of woolen suiting.
It has also diversified into manufacture of paper-makers' felts, industrial
fabrics and basic chemicals, electroplating, etc. For felt, it has a technical
collaboration with Albany International,
During 1996-97, Indian paper industries were in painful crises due to rise in
input costs and stiff increase in imports of finished paper. Crises in the
paper industry continued especially on account of reduction in the customs duty
of imported papers which has been reduced to 20% from 65%. During 1997-98, a
joint venture Company has been formed under the title of McGean Rohco Dinesh
Pvt Ltd. The shareholders have approved the Assets Transfer Agreement for the
sale of the Platewel division to the said joint venture company, where the
company will be holding majority 51% share. M/s McGean Rohco Inc will be
holding the remaining 49% share. The said joint venture company will be able to
not only upgrade its technology to international level but will also enable it
to expand and diversify number of products in the said field of Metal finishing
chemicals.
The joint venture Company has started functioning from 1.4.1999.
It is in Trade terms
with:-
Ø Altop Industries
Ø Bakulesh Fabricators
Ø Chemishell
Ø Hetal Printer
Ø Industrial Equipment company
Ø Industrial Moulders
Ø Jayesh Printery
Ø Jayeshree Engineering Works
Ø Jay Trading Company
Ø Jay Timbers
Ø Mini Traders
Ø Neelmech Engineering Works
Ø Pendy Rubber Component
Ø Tinco Metal Works
Ø United Industrial Corporation
Ø
Yale Industries
Fixed
Assets:
Ø Land (Freehold and Leasehold)
Ø Buildings
Ø Drainage Installation
Ø Tubewell and Water Works
Ø Plant and Machinery
Ø Electrical Installations
Ø Furniture
Ø Dead Stock
Ø Vehicles
Management Discussion and Analysis
Overall Review of Operations
During the year under review, sales turnover
increased to Rs. 755.600 millions and net profit has also been increased to Rs.
95.900 millions as compared to Rs. 687.400 millions and Rs. 86.100 millions
respectively of the previous year. Profitability has been improved due to
higher Sales Turnover, saving in power cost due to installation of wind mills
and various steps taken by the management to improve performance of the
company.
As per policy of the company, new machineries
have been added at
Domestic demand of paper is increasing due to
major improvement in literacy rate and spending on education. They are,
therefore, hopeful for continued growth in sales turnover of Felt.
During the year under review, Hon’ble high
Court of
Dinesh Remedies Limited (DRL) has become a
materially unlisted Subsidiary Company during the year under review and
therefore, Shri. H N Elavia an Independent Director of the Company has been
nominated as Director on the Board of Directors of DRL. DRL after getting all
statutory permission and licences has started manufacturing of Empty Hard
Gelating Capsules Shells, I P w.e.f. 21.11.2006 with two capsule manufacturing
machines. The remaining two capsule manufacturing machines have been imported
and the same are under installation. Barring unforeseen circumstances, they are
hopeful to produce and market quality Hard Gelatin Capsule shells, I P
initially in the Domestic market.
Exports
During the year under review, they could
export suiting amounting to Rs. 59.100 millions as compared to Rs. 67.200
millions of the previous year. Due to stiff competition from
Discussion on Financial Performance with Respect of Operational
Performance
|
Highlights |
2006-07 |
2005-06 |
Percentage
Change |
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(Rs. in
Millions) |
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|
755.600 |
687.400 |
10.00 |
|
Operating Profit (PBDIT) |
200.700 |
178.800 |
12.00 |
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Depreciation |
36.900 |
33.900 |
09.00 |
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Interest |
19.100 |
15.400 |
24.00 |
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Profit Before Tax |
144.700 |
129.500 |
12.00 |
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Tax |
48.800 |
43.400 |
12.00 |
|
Net Profit |
95.900 |
86.100 |
11.00 |
Website details attached:
Profile
Shri Dinesh Mills is a composite textile mill with
very strong presence in the textile industry for more than 60 yrs;
Manufacturing worsted fabrics (men's wear), paper maker’s felts and industrial
textiles.
They have scouring and combing plants, top
dyeing, worsted and woollen spinning, shuttle less weaving and complete fabric
finishing range for woollen and worsted fabrics.
Shri Dinesh mills markets different products
and its marketing set up is divided for different product segments.
At Shri Dinesh, they have products for:-
1)
General Consumers - Men's wear
2)
Industrial Consumers
(a)Paper Maker's Felt
(b)Industrial Textiles
Their definition for quality is "As
perceived by customer". They believe in up gradation of manufacturing
facilities, quality developments and management process besides development of
human resources.
Message from Chairman
Subject is the first woolen mill in
Stared as a woolen blanket manufacturer, they
have become a leading name in men's wear suiting and proven their worth in the
field of paper makers Felt - a Hi Tech Industrial Fabric and also varieties of
other Industrial Fabrics, both for wet and dry filtration as well as Geo
Textiles.
Research and Development
R & D centre of Shri Dinesh is responsible
for product and Process Development and Absorption of Technologies, either in
terms of Machinery's process, or Raw materials.
R & D centre extends customer service,
through its customer services laboratory. CSL has all required Instruments and
Expertise to carry out Testing/ Analysis of Papermakers felts on the Running
paper M/c. itself. This service helps Shri Dinesh to continuously monitor and
improve design aspects of paper maker's felts. On the other side, such Analysis
helps paper mills to identify corrective actions to be taken on their paper
machines. Similar customer services are also rendered to Industrial filter
fabric supplied by Shri Dinesh through unique testing apparatus. Many of such
apparatus has been Design developed by this R & D centre itself.
R & D centre of Shri Dinesh Mills
continuously monitors latest technological developments, in terms of machinery
and Raw materials. It also does the same function in terms of dyes. Chemicals
and Auxiliaries. In present days of
competitiveness, R & D has taken the responsibility of continuously
evaluating and monitoring techno --- economically viable materials, as a
regular and basic function. R & D also undertake all activities related to
quality improvement, and motoring and ensuring strict incoming material quality
checking System. Lastly, R & D has certain pioneering development
activities in its Account, Namely - Design development and actual field trials
of geotextiles, a fabric used in civil engineering, in almost all shapers of
civil engineering, namely - Railways, Roadways, Airports, Earthen Dams, Canals,
River/Sea erosion control etc. certain "Air Filters" and "Dust collector" Bags were
successfully developed by R & D with different End use "functional
requirements" like water Repellent, Oil Repellent, Flame Retard, High Temp
-Resistant-Antistatic High Resistant -etc.
Export
For International market they have been manufacturing
and exporting Worsted fabrics to various overseas markets since last 30 Years.
They maintain the highest standards of quality to meet the requirements of
their discerning customers. They are exporting their products to various
countries / continents i.e.
Various products are available in 100% Wool,
Polyester/Wool blends, Wool+lycra, Natural Stretch etc. Wool microns used vary
from 19 to 23 Micron. Yarn counts range from 2/44 to 2/66 Nm. They can also
produce fabrics to meet the specific requirements of customers within the
product-range offered.
Group Companies
Introduction
MeGean Rohco Dinesh Ltd. (MRDL) was
incorporated as Private Limited Company on 23rd February 1998 so as to form the
joint venture between MeGean-Rohco Inc. U.S.A. (MRI) and Shri Dinesh Ltd.
(Dinesh) with 49:51 % Equity partnership to manufacture Metal surface finishing
chemicals with technical know how of MRI. Accordingly, erstwhile Platewel
Processes and Chemicals, a division of subject was hived off to the MRDL w.e.f.
1st April, 1999.
As MRI had sold its worldwide business rights
to Atotech Inc;
The company is a Board Managed public limited
company having paid up Equity share capital of Rs. 2, 10,000.00 of which 98 %
are held by subject. At present, the company is engaged in Contract
Manufacturing of metal Finishing Products for Atotech India Ltd. under the
supply Agreement executed subsequent to Business transfer Agreement.
FUTURE PLANS
The Company is actively perusing plan to
engage in custom manufacture as it possesses the required infrastructure to
manufacture Speciality Chemical in large and small batch sizes. The Company is
having 28,508 sq. meters of open land with construction of 5603=24 sq. meters.
The Factory is also equipped with effluent treatment plant.
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. 40.49 |
|
|
1 |
Rs. 82.38 |
|
Euro |
1 |
Rs. 56.14 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
|
72 |
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 |
|