MIRA
INFORM REPORT
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Report Date : |
15.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
KOTHARI METALS LIMITED |
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Registered Office : |
Lords, 5th Floor, Suite # 502 7/1, Lord Sinha Road, Kolkata
– 700071, West Bengal |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
06.06.1977 |
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Com. Reg. No.: |
21 – 31033 |
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CIN No.: [Company
Identification No.] |
U28113WB1977PTC031033 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CALK01203G |
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Legal Form : |
A Closely held Public Limited Liability Company |
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Line of Business : |
Manufacturers, Exporters and Dealers in Non-Ferrous Metals and Ferro Alloys such as Nickel, Manganese Metal, Silicon Metal Magnesium Metal, Antimony Metal, Bismuth Metal, etc. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit Limit : |
USD 1082500 |
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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 company having satisfactory track. Directors are reported as experienced, respectable and resourceful businessmen. Their trade relations are reported as fair. Payments are reported as slow but correct. The company can be considered normal for business dealings at usual trade terms and conditions. |
INFORMATION PARTED
BY
|
Name : |
Mr. Soman |
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Designation : |
Import Department |
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Date : |
14.07.2008 |
LOCATIONS
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Registered Office : |
Lords, 5th Floor, Suite # 502 7/1, Lord Sinha Road, Kolkata
– 700071, West Bengal, India |
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Tel. No.: |
91-33-22828532/ 22828534/ 22827949/ 22823808 |
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Mobile No.: |
91-9830106557/ 9830241394/ 9331012753 |
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Fax No.: |
91-33-22828462 |
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E-Mail : |
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Website : |
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Area : |
1200 Sq. ft |
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Location : |
Owned |
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Ware House : |
9, Transport Depot Road, Kolkata – 700 088, West Bengal, India |
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Area : |
5000 Sq. ft. (Owned) |
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Location : |
Industrial |
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Branch Office : |
S.C.O. No. F-81, Sector - 22, At Palam Vihar Road, Gurgaon – 122 001 Haryana, India |
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Tel. No.: |
91-124-4010524/4010526/3296660 |
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Mobile No.: |
91-9350557254 |
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Fax No.: |
91-124-4010525 |
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Area : |
20000 Sq. ft. |
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Location : |
Leased |
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Branch Office : |
Shed No. S-8A, Telco Industrial Estate, Chennai – 600 060, Tamilnadu, India |
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Tel. No.: |
91-44-25590200/2559021 |
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Fax No.: |
91-44-25233129 |
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Area : |
18000 Sq. ft. |
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Location : |
Leased |
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Branch Office: |
1252, Pushpanjali apartment, 6th Floor, Suite no.602, Old Prabhadevi Road, Prabhadevi. Mumbai – 400 025, Maharashtra, India |
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Tel. No.: |
91-22-24371957 / 24313104 |
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Mobile No.: |
91-9322260696 |
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Fax No.: |
91-22-66669302 |
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Area : |
16000 Sq. ft. |
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Location : |
Leased |
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Branch Office : |
B 6/7, Okhla Industrial Area, Phase –II, New Delhi – 110 020, India |
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Tel. No.: |
91-11-41707897/ 32564679/ 40502991/ 40502992 |
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Mobile No.: |
91-9810064679 |
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Fax No.: |
91-11-41001530 |
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Area : |
20000 Sq. ft. |
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Location : |
Leased |
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Branch Office : |
Khasra No. 290, Chhaattarpur, (Dhanmill Compound) Opp. Dena Bank, New Delhi – 110 030, India |
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Tel. No.: |
91-11-31029839 |
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Branch Office : |
Located At v Bangalore v Ahmedabad v Bhiwadi v Jamshedpur v Raipur v Ludhiana v Haridwar |
DIRECTORS
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Name : |
Mr. Hansraj Kothari |
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Designation : |
Director |
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Address : |
6/1 A, Maria Street, Kolkata – 700 017, West Bengal |
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Date of Birth/Age : |
22.10.1952 |
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Qualification : |
M.Sc. |
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Experience : |
10 years |
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Name : |
Mr. Ranjit Singh Kothari |
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Designation : |
Director |
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Address : |
6/1 A, Maria Street, Kolkata – 700 017, West Bengal |
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Date of Birth/Age : |
07.10.1950 |
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Qualification : |
B. Com. |
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Experience : |
15 Years |
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Name : |
Mr. Vikash Kothari |
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Designation : |
Director |
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Address : |
3, Alipore Road, Kolkata – 700 027, West Bengal |
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Date of Birth/Age : |
11.12.1973 |
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Qualification : |
M.Sc. |
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Experience : |
8 years |
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Name : |
Mr. Vikas Kothari |
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Designation : |
Director |
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Date of Birth/Age : |
30 Years |
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Qualification : |
B.Com |
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Name : |
Mrs. Shalini Kothari |
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Designation : |
Director |
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Date of Birth/Age : |
25 Years |
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Qualification : |
B.Com |
BUSINESS DETAILS
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Line of Business : |
Manufacturers, Exporters and Dealers in Non-Ferrous Metals and Ferro Alloys such as Nickel, Manganese Metal, Silicon Metal Magnesium Metal, Antimony Metal, Bismuth Metal, etc. |
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Exports : |
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Countries : |
v UK v UAE v Russia v China v Taiwan |
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Imports : |
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Products : |
v Non- Ferrous
Metals |
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Countries : |
v China v Sutherland v Hong Kong v Russia |
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Terms : |
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Selling : |
Cash, Contract, and L/C and Credit |
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Purchasing : |
Contract, Credit, Collection through Bank and L/C |
GENERAL
INFORMATION
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Customers : |
v Wholesalers v Manufacturers v Bajaj Auto Limited v Bharat Aluminium Company Limited v Hindalco Industries Limited v National Aluminium Company Limited v The Tata Iron and Steel Company Limited v Stainless Steel and Alloy Steel Industries v Aluminium Industries/ Foundries v Alloy Steel Industries v Automobile/Cycle Industries/ Electroplating Industries v Ordanance, Defence, Mint, etc. |
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No. of Employees : |
20 |
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Bankers : |
v Andhra Bank Chowrinaee Branch, Kolkata- 10, 58, Jawaharlal Nehru Road, Kolkata – 700 071, West Bengal Facilities : Credit Limit: Rs. 20.000 Millions v State Bank of Sawrashtra 1 A, Asutosh Mukhaja Road, Kolkata- 700020 Credit Limit: 20.000 Millions v Bank of Commerce Overseas Branch 7/1, lord Sinha Road, Kolkata- 700071 Credit Limit: 0.800 Millions v
Citi Bank 41,Chowringhee
Road, Kolkata – 700 071, West Bengal, India v Oriental Bank of Commerce |
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Banking Relations
: |
Satisfactory |
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Auditors : |
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Name : |
S. A. and Associates Chartered Accountant 334/157, Jessore Road, Ground Floor, Kolkata- 700089 Tel. No.: 91-33-25220691 S M Daga and Company Chartered Accountants Kolkata |
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Associates/Subsidiaries : |
v Calcutta Multimax Private Limited Address: 7/1, lord Sinha Road, Kolkata- 700071 Line of Business: Trading v Kothari Commercial Corporation Address: 7/1, lord Sinha Road, Kolkata- 700071 Line of Business: Trading v Kothari Metal Resources Private Limited Address: 7/1, lord Sinha Road, Kolkata- 700071 Line of Business:
Metal and Alloys |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
50,00,000 |
Equity shares |
Rs. 10/- each |
Rs. 50.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
26,02,630 |
Equity shares |
Rs. 10/- each |
Rs. 26.026 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
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 |
26.000 |
26.000 |
24.900 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
190.500 |
173.500 |
155.200 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
216.500 |
199.500 |
180.100 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
3.300 |
0.000 |
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2] Unsecured Loans |
0.000 |
9.600 |
0.000 |
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TOTAL BORROWING |
0.000 |
12.900 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
216.500 |
212.400 |
180.100 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
58.500 |
57.100 |
49.200 |
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Capital work-in-progress |
1.000 |
0.200 |
1.500 |
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INVESTMENT |
3.100 |
0.400 |
0.400 |
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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 |
137.500
|
48.300 |
59.700 |
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Sundry Debtors |
370.300
|
152.100 |
128.000 |
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Cash & Bank Balances |
126.400
|
22.200 |
29.800 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
48.000
|
33.600 |
71.700 |
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Total
Current Assets |
682.200
|
256.200 |
289.200 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
505.400
|
82.200 |
145.600 |
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Provisions |
22.900
|
19.300 |
14.600 |
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Total
Current Liabilities |
528.300
|
101.500 |
160.200 |
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Net Current Assets |
153.900
|
154.700 |
129.000 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
216.500 |
212.400 |
180.100 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
3287.900 |
1541.600 |
1455.700 |
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Other Income |
14.200 |
10.100 |
12.400 |
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Total Income |
3302.100 |
1551.700 |
1458.100 |
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Profit/(Loss) Before Tax |
26.800 |
13.100 |
13.000 |
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Provision for Taxation |
9.500 |
4.900 |
5.100 |
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Profit/(Loss) After Tax |
17.300 |
8.200 |
7.900 |
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Expenditures : |
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Administrative Expenses |
30.000 |
14.900 |
22.600 |
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Increase/(Decrease) in Finished Goods |
(89.200) |
11.400 |
(31.800) |
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Salaries, Wages, Bonus, etc. |
4.500 |
3.100 |
2.400 |
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Interest |
11.000 |
4.500 |
4.900 |
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Power & Fuel |
1.000 |
0.600 |
0.700 |
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Depreciation & Amortization |
1.400 |
1.200 |
1.000 |
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Other Expenditure |
3316.600 |
1502.900 |
1445.300 |
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Total Expenditure |
3275.300 |
1538.600 |
1445.100 |
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KEY RATIOS
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
Debt-Equity Ratio |
0.04 |
0.04 |
0.00 |
|
Long Term Debt-Equity Ratio |
0.00 |
0.00 |
0.00 |
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Current Ratio |
1.46 |
1.99 |
1.81 |
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TURNOVER RATIOS |
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Fixed Assets |
88.38 |
50.30 |
56.42 |
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Inventory |
35.39 |
28.55 |
24.38 |
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Debtors |
12.59 |
11.01 |
11.37 |
|
Interest Cover Ratio |
3.44 |
3.91 |
3.65 |
|
Operating Profit Margin(%) |
1.19 |
1.22 |
1.30 |
|
Profit Before Interest And Tax Margin(%) |
1.15 |
1.14 |
1.23 |
|
Cash Profit Margin(%) |
0.57 |
0.61 |
0.61 |
|
Adjusted Net Profit Margin(%) |
0.53 |
0.53 |
0.54 |
|
Return On Capital Employed(%) |
20.57 |
10.65 |
12.01 |
|
Return On Net Worth(%) |
9.75 |
5.16 |
5.30 |
LOCAL AGENCY
FURTHER INFORMATION
Trade References
v Hindico – Nagpur
v ACC Nouon – Nagpur
v SSW – Tarapur
v MSTC Limited
v Export Promotion Commercial
v Sail
v Telco
Director’s
Comments:
Since its inception in 1977, Kothari Metals Ltd. has steadily emerged as
a leading leader in the import and supply of non-ferrous metals for providing
impetus to the overall economic growth. Over the years, the Group has
consistently given thrust in key areas of growth within the economy.
With a paid up capital of Rs.25 Million and reserves of Rs.115 Million as on date,
the company has been able to achieve a turnover of Rs.1250 Million. The main
business of Kothari Metals Ltd. is import and trading of products like Silicon
Metal, Magnesium Metal, Manganese Metal, Pure Nickel / L/C Ferro Chrome,
Antimony Metal, Calcium Silicide, Copper, Bismuth, Chromium and Misch Metal
etc. Kothari Metals Ltd. has also established offices in Mumbai, Gurgaon ,New
Delhi, Ludhiana, Rajasthan.
The group companies are engaged in the business of
warehousing, finance and investments.
Kothari Metals Ltd. will continue to play a leading role in the economic well
being of India, providing momentum, direction and support wherever the need
arises, throwing up thousands of employment opportunities and providing a spurt
in the industrial and economic growth of the entire nation.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 42.82 |
|
UK Pound |
1 |
Rs. 84.89 |
|
Euro |
1 |
Rs. 68.07 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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 |
|