MIRA
INFORM REPORT
|
Report Date : |
14.03.2008 |
IDENTIFICATION
DETAILS
|
Name : |
GOEL STEEL COMPANY |
|
|
|
|
Registered Office : |
10, Vanier Street, Chennai 600001, Tamilnadu, India |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as on) : |
31.03.2007 |
|
|
|
|
Date of Incorporation : |
1973 |
|
|
|
|
Com. Reg. No.: |
0060990/HBRIV |
|
|
|
|
IEC No.: |
0499003276 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHEG07088E |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAGFG0504M |
|
|
|
|
Legal Form : |
Partnership Concern with an unlimited liability of the partners. |
|
|
|
|
Line of Business : |
Trader and Importer of Tools Alloy Steel Bars. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 242588 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an old established concern having satisfactory track. Partners are experienced, respectable and resourceful businessmen. Their trade relations are fair. Payments are correct and as per commitments. The concern can be considered good for any normal business dealings. It can be regarded as a promising business partner in a medium to long – run |
INFORMATION PARTED
BY
|
Name : |
Mr. Pankaj Goel |
|
Designation : |
Partner |
|
Contact No.: |
91-9841076981 |
|
Date : |
06.03.2008 |
LOCATIONS
|
Registered Office : |
10, Vanier Street, Chennai 600001, Tamilnadu, India |
|
Tel No.: |
91-44-26254814 |
|
|
|
|
Warehouse/ Unit/ Factory: |
89-A, M.T.H. Road, Ambattur Industrial Estate, Chennai – 600 058, Tamilnadu, India |
|
Tel. No.: |
91-44-26254814/ 8583/9359/26247034 |
|
Fax No.: |
91-44-26254707 |
|
Mobile No.: |
91-9841046187/ 9841076981 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
14000 Sq.ft |
|
Location : |
Owned |
|
|
|
|
Warehouse/ Unit/ Factory: |
N.H.4, Irungattukottai Village, Parrycorner Taluk, Chennai – 602 105, Tamilnadu |
|
Tel No: |
91-44-27156-301/302 |
|
Area : |
55000 Sq.ft |
|
Location : |
Rented |
PARTNERS
|
Name : |
Mr. Puranmal Goel |
|
Designation : |
Partner |
|
Address : |
No.1, 4th
Cross Street, Sterling Road, Chennai – 600 034, Tamilnadu, India |
|
Age : |
72 Years |
|
Qualification : |
LLB, Diploma. Mech |
|
Experience : |
40 Years |
|
|
|
|
Name : |
Mr. Pankaj Goel |
|
Designation : |
Partner |
|
Address : |
No.1, 4th
Cross Street, Sterling Road, Chennai – 600 034, Tamilnadu, India |
|
Age : |
34 Years |
|
Qualification : |
MMS |
|
Experience : |
14 Years |
|
|
|
|
Name : |
Mr. Sanjay Goel |
|
Designation : |
Partner |
|
Address : |
No.1, 4th
Cross Street, Sterling Road, Chennai – 600 034, Tamilnadu, India |
|
Age : |
32 Years |
|
Qualification : |
MBA |
|
Experience : |
10 Years |
BUSINESS DETAILS
|
Line of Business : |
Trader and Importer of Tools Alloy Steel Bars. |
|
|
|
|
Agencies Held : |
Manufacturer of high speed steel and cold work steel for Tamilnadu
|
|
|
|
|
Imports from: |
|
|
Countries : |
· Germany · Japan · Austria · Slovenia ·
Singapore |
|
|
|
|
Terms : |
|
|
Selling : |
L/C, Cash and Credit (30, 60, 90 days) |
|
|
|
|
Purchasing : |
L/C, Cash and Credit (30, 60, 90 days) |
GENERAL
INFORMATION
|
Customers : |
|
|
|
|
|
No. of Employees : |
50 (15 – Office and 35 – Factory) |
|
|
|
|
Bankers : |
156, Linghi Chetty Street, Chennai – 600 001, Tamilnadu |
|
|
|
|
Facilities : |
The concern enjoys credit limits of Rs.10.000 millions from its bankers |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Goel Anil and Company Chartered Accountant |
|
Address : |
No.84/85, Waltax Road, Chennai – 60003, Tamilnadu, India |
|
Tel No.: |
91-44-45124336 |
|
Membership: |
Hindustan Chamber of Commerce |
|
|
|
|
Associates/Subsidiaries : |
89-A, NTH Road, Chennai – 600 058, Tamilnadu -Trading of Alloy Steel
89-A, NTH Road, Chennai – 600 058, Tamilnadu -Engineering and Machining |
CAPITAL STRUCTURE
|
Capital Investment : |
|
|
Owned : |
Rs.60.647millions |
|
Borrowed : |
- |
|
Total : |
Rs.60.647millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
PARTNERS FUNDS |
|
|
|
|
|
1] Partners Capital |
60.647 |
37.123 |
15.301 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
60.647 |
37.123 |
15.301 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
4.524 |
3.755 |
0.000 |
|
|
2] Unsecured Loans |
8.083 |
7.469 |
0.000 |
|
|
TOTAL BORROWING |
12.607 |
11.224 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
17.543 |
|
|
|
|
|
|
|
|
TOTAL |
73.254 |
48.347 |
32.844 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
17.061 |
7.945 |
8.082 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.079 |
0.079 |
0.171 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
28.112
|
14.686 |
12.980 |
|
|
Sundry Debtors |
91.301
|
72.998 |
51.507 |
|
|
Cash & Bank Balances |
0.164
|
0.092 |
5.955 |
|
|
Other Current Assets |
11.827
|
6.700 |
0.000 |
|
|
Loans & Advances |
1.329
|
1.226 |
4.935 |
|
Total
Current Assets |
132.733
|
95.702 |
75.377 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
73.462
|
54.898 |
49.939 |
|
|
Provisions |
3.157
|
0.481 |
0.847 |
|
Total
Current Liabilities |
76.619
|
55.379 |
50.786 |
|
|
Net Current Assets |
56.114
|
40.323 |
24.591 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
73.254 |
48.347 |
32.844 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
409.539 |
356.892 |
244.754 |
|
|
Other Income |
0.111 |
0.105 |
0.000 |
|
|
Total Income |
409.650 |
356.997 |
244.754 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
22.996 |
18.842 |
8.965 |
|
|
Provision for Taxation |
0.000 |
0.000 |
0.000 |
|
|
Profit/(Loss) After Tax |
22.996 |
18.842 |
8.965 |
|
|
|
|
|
|
|
|
Import Value |
204.141 |
186.532 |
87.335 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Cost of Goods Sold |
343.121 |
307.988 |
0.000 |
|
|
Interests |
5.681 |
3.698 |
0.000 |
|
|
Administrative and Selling Expenses |
35.697 |
25.484 |
0.000 |
|
|
Depreciation |
2.155 |
0.985 |
0.000 |
|
|
Other Expenditure |
0.000 |
0.000 |
235.789 |
|
Total Expenditure |
386.654 |
338.155 |
235.789 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
5.61 |
5.28 |
3.66 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.61 |
5.28 |
3.66 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
15.35 |
18.18 |
10.74 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.38 |
0.51 |
0.58 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.47 |
1.79 |
3.31 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.73 |
1.73 |
1.48 |
Expected Sales (2007 – 08) Rs. 500.000
millions
LOCAL AGENCY
FURTHER INFORMATION
Trade Reference:
- GKW Limited
Manufacturer of high speed steel and cold work steel for Tamilnadu
- Region.
- Saar Stahl Export GmbH, Germany
- Hitachi, Japan
- Bohler International, Vienna, Austria
- Thyssen
- Ravans
- Lohman Cost
- Edelsthahl GmbH, Germany
- J. P. Schuemacher, Germany
- Intersteel International, Germany
- Gloria Heavy Industries, Taiwan
- J. P. Schuemacher, Germany
- Saar Stahl Export, Germany
PROFILE:
Subject was established in the year 1973 with sole aim of serving tool rooms with quality tool steel at reasonable price and they are glad to have achieved a fair degree of success with numerous satisfied customers. They are happy to state that they have retained most of their customers and also expanded the list in the last 30 years.
Tool Steel technologically has been constantly upgraded to improve tool life and cost effectiveness. Various parameters are employed to manufacture cleaner and pure tool steels to reduce downtime and increase tool life and dimensional accuracies. They keep pace with this development and have added these upgraded steels in their stocking program to serve their high quality demanding customers with quick deliveries.
The customer inventory build up of these tool steels is reduced to minimum thus the money so saved can more profitably be employed to production augmentation.
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. 40.44 |
|
UK Pound |
1 |
Rs. 82.06 |
|
Euro |
1 |
Rs. 62.90 |
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/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|