MIRA
INFORM REPORT
|
Report Date : |
08.11.2008 |
IDENTIFICATION
DETAILS
|
Name : |
MIRC ELECTRONICS LIMITED |
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Registered Office : |
Onida House, G 1, MIDC, Mahakali Caves Road, Andheri (East), Mumbai – 400093,
Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
01.01.1981 |
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Com. Reg. No.: |
023637 |
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CIN No.: [Company
Identification No.] |
L32300MH1981PLC023637 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMM21150D |
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PAN No.: [Permanent
Account No.] |
AAACM8055A |
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Legal Form : |
A Public limited liability Company. The company’s Shares are listed on
the stock Exchanges. |
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Line of Business : |
Manufacturing of
Television Sets, Video Cassettes, Video Cassette Recorders, Audio and Compact
Disc Players |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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Maximum Credit Limit : |
USD 12000000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an old
established company and brand owners of ONIDA for their television and consumer
durable products. Business shows steady sales but profit margin is under
tremendous pressure. Thus company’s payment behaviours has been affected.
Trade relations are fair. However, the
company can be considered small to mediocre business dealings at usual trade
terms and conditions. |
LOCATIONS
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Registered Office : |
Onida House, G-1,
MIDC, Mahakali Caves Road, Andheri (East), Mumbai - 400093, Maharashtra,
India. |
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Tel. No.: |
91-22-28200435 /
56975777 |
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Fax No.: |
91-22-28384499 /
28325068 |
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E-Mail : |
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Website : |
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Factory 1 : |
Village Kudus, Bhiwadi Wada Road, Taluka Wada, Thane – 421312, Maharashtra,
India |
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Factory 2 : |
B-204/205, Phase – II, Noida – 201305,
India |
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Factory 3 : |
Khasra No. 158, Vill. Raipur, Pargana,
Bhagwanpur, Roorkee, District Haridwar, Uttaranchal, India |
DIRECTORS
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Name : |
Mr. Gulu L.
Mirchandani |
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Designation : |
Chairman &
Managing Director |
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Qualification : |
B.E. (Mechanical) |
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Other Directorship |
He was President
of ‘Consumer Electronics and TV Manufacturers Association’ and Chairman of
the Bombay Chapter of the World Presidents’ Organisation (WPO) |
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Name : |
Mr. Vijay J.
Mansukhani |
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Designation : |
Whole-time
Director |
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Qualification : |
Graduate from the
College of Marine Engineering, Mumbai |
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Experienced: |
30 Years |
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Other Directorship |
He is the
Managing Director of Adino Telecom Limited, a joint venture with Enkay Telecommunications
(India) Limited |
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Name : |
Mr. Manoj K.
Maheshwari |
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Designation : |
Director |
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Qualification : |
B.Sc.(Chemistry)
and Post Graduate in Industrial Management |
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Name : |
Mr. Vimal
Bhandari |
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Designation : |
Director |
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Qualification : |
Chartered
Accountant |
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Other Directorship |
He is currently
An Executive Director on the Board of Infrastructure Leasing and Financial
Services Limited |
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Name : |
Mr. Harsh
Mariwala |
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Designation : |
Director |
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Qualification : |
B.Com |
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Other Directorship |
He is the
Chairman and Managing Director of Marico Industries Limited, and is also on
the board of various Public Limited Companies |
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Name : |
Mr. Gautam Doshi |
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Designation : |
Director |
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Qualification : |
Chartered
Accountant |
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Other Directorship |
He is the
Director of Ambit Corporate Finance Re. Limited |
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Name : |
Mr. Ranjan Kapur |
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Designation : |
Director |
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Qualification : |
Masters – English
from Delhi University and degree is Advbanced Studies from Advertising
Agencies Association of America |
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Other Directorship : |
He is thr
Director of Pedilite Industries Limited, Abbott India Limited, Hitech Plast
Limited, MIC Electronics Limited, Nimbus Communications Limited. |
KEY EXECUTIVES
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Name : |
Mr. Vinod Verma |
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Designation : |
Company Secretary |
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Name : |
Mr. Anoop Pillai |
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Designation : |
Company Secretary |
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Name : |
Mr. G. Sundar |
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Designation : |
Chief Executive
Officer |
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Name : |
Mr. Satrajit Ray |
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Designation : |
Chief Financial
Officer |
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Name : |
Mr. S.
Ravishankar |
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Designation : |
Chief Tencjology
Officer – Audio Visual |
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Name : |
Mr. Bhupinder Godara
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Designation : |
Chief Technology
Officer – Home Appliamnces |
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Name : |
Mr. C. R. Talati |
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Designation : |
Vice President –
Operation |
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Name : |
Mr. Kirti Sen |
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Designation : |
Vice President –
Himan Resources |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 30.09.2008)
|
Category Code |
Category of shareholder |
Total Number of shares |
Total shareholding as a percentage of total number of shares |
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(A) |
Shareholding of Promoter and Promoter Group |
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(1) |
Indian |
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(a) |
Individuals / Hindu undivided family |
1793231 |
1.26 |
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(b) |
Bodies Corporate |
76352590 |
53.77 |
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Sub-Total (A) (1) |
78145821 |
55.03 |
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(2) |
Foreign |
- |
- |
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Sub-Total (A) (2) |
- |
- |
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Total shareholding of Promoter and Promoter Group (A) = (A) (1) + (A)
(2) |
78145821 |
55.03 |
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(B) |
Public shareholding |
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(1) |
Institutions |
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(a) |
Mutual Funds / Axis |
2700 |
0.00 |
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(b) |
Financial Institutions / Banks |
47408 |
0.03 |
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(c) |
Insurance Companies |
2583585 |
1.82 |
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(d) |
Foreign Institutional Investors |
6707746 |
4.73 |
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Sub –Total (B)
(1) |
9341439 |
6.58 |
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(2) |
Non-Institutions |
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(a) |
Bodies Corporate |
12610690 |
8.88 |
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(b) |
Individuals |
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i. Individuals shareholders holding nominal share
capital upto Rs. 0.100 million |
35383400 |
24.92 |
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Ii. Individual shareholders holding nominal
share capital in excess of Rs. 0.100 million |
4247057 |
2.99 |
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(c) |
Any other (specify) |
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i. Clearing Members |
1512593 |
1.07 |
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ii. Non-Resident Indians |
758439 |
0.53 |
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iii. Trusts |
145 |
0.00 |
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Sub –Total (B) (2) |
54512324 |
38.39 |
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Total Public shareholding (B) = (B) (1) + (B) (2) |
63853763 |
44.97 |
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GRAND TOTAL (A) + (B) + (C) |
141999584 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturing of
Television Sets, Video Cassettes, Video Cassette Recorders, Audio and Compact
Disc Players |
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Products : |
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Brand Names : |
IGO |
PRODUCTION STATUS
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Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
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Televisions |
Nos. |
2300000 |
3000000 |
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Washing Machines |
Nos. |
780000 |
380000 |
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Air-Conditioners |
Nos. |
300000 |
100000 |
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Television
Components and Spares |
Nos. |
NA |
NA |
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Electronic
Turners |
Nos. |
3720000 |
3720000 |
GENERAL
INFORMATION
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No. of Employees : |
2000 |
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Bankers : |
v State Bank of India v Canara Bank v SBI Commercial & International Bank
Limited v IDBI Bank Limited v HDFC Bank Limited v The South Indian Bank Limited |
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Facilities : |
Of the above Rs.1027.226 (Previous year : Rs.512.627 is repayable
within one year) Notes : 1) Cash Credit is secured by first pari passu
charge in favour of the bankers by hypothecation of Company’s current assets
and by second charge on the Company’s immovable and movable properties and
further secured by the corporate guarantee of the Holding Company. 2) Long Term Loan from State Bank of India is
secured by first charge by way of mortgage on Company’s Fixed Assets at Wada
factory.
Of the above Rs.408.400
(Previous year : Rs.455.200 is repayable within one year) |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
N. M. Raiji and Company Chartered
Accountants |
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Associates/Subsidiaries : |
v Akasaka Electronics Limited v Imercius Technologies India Limited |
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Holding Company : |
Guviso Holdings Private Limited |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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150000000 |
Equity shares |
Rs.1/- each |
Rs.150.000 millions |
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2000000 |
Preference Shares |
Rs.100/- each |
Rs.200.000 millions |
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Total |
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Rs.350.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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141999584 |
Equity Shares |
Rs.1/- each |
Rs.141.999
millions |
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Less : Calls in
arrears |
|
0.064 millions |
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Total |
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Rs.141.935 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
141.935 |
141.935 |
141.935 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
2400.519 |
2220.794 |
2012.768 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
2542.454 |
2362.729 |
2154.703 |
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LOAN FUNDS |
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1] Secured Loans |
1037.226 |
1163.646 |
1354.496 |
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2] Unsecured Loans |
958.400 |
455.200 |
307.450 |
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TOTAL BORROWING |
1995.626 |
1618.846 |
1661.946 |
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DEFERRED TAX LIABILITIES |
168.940 |
195.549 |
194.118 |
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TOTAL |
4707.020 |
4177.124 |
4010.767 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1897.363 |
2060.506 |
2067.492 |
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Capital work-in-progress |
19.380 |
1.288 |
0.101 |
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INVESTMENT |
260.018 |
259.977 |
211.353 |
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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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|
|
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Inventories |
2925.709
|
2303.451 |
1748.806 |
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Sundry Debtors |
1336.880
|
1042.146 |
1131.171 |
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Cash & Bank Balances |
194.605
|
167.571 |
367.242 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
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Loans & Advances |
799.797
|
764.269 |
469.153 |
|
Total
Current Assets |
5256.991
|
4277.437 |
3716.372 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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|
Current Liabilities |
2533.382
|
2393.732 |
1828.915 |
|
|
Provisions |
193.350
|
28.352 |
155.636 |
|
Total
Current Liabilities |
2726.732
|
2422.084 |
1984.551 |
|
|
Net Current Assets |
2530.259
|
1855.353 |
1731.821 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
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TOTAL |
4707.020 |
4177.124 |
4010.767 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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|
Sales Turnover |
15283.839 |
15139.027 |
9413.265 |
|
|
Other Income |
36.961 |
40.649 |
0.000 |
|
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Total Income |
15320.800 |
15179.676 |
9413.265 |
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Profit/(Loss) Before Tax |
405.512 |
514.159 |
531.799 |
|
|
Provision for Taxation |
59.655 |
173.007 |
93.760 |
|
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Profit/(Loss) After Tax |
345.857 |
341.152 |
438.039 |
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Earnings in Foreign Currency : |
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Export Earnings |
278.750 |
272.247 |
303.010 |
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Imports : |
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Raw Materials |
5403.532 |
3204.878 |
0.000 |
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Capital Goods |
55.827 |
59.091 |
0.000 |
|
Total Imports |
5459.359 |
3263.969 |
1613.638 |
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Expenditures : |
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Cost of Goods Sold |
5421.960 |
5450.053 |
0.000 |
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Personnel Expenses |
660.022 |
660.736 |
0.000 |
|
|
Financial Expenses |
231.828 |
202.802 |
0.000 |
|
|
Raw Material Consumed |
6382.222 |
6143.327 |
0.000 |
|
|
Increase/(Decrease) in Finished Goods |
(169.799) |
(84.729) |
0.000 |
|
|
Depreciation & Amortization |
239.357 |
197.393 |
0.000 |
|
|
Other Expenditure |
2149.698 |
2095.935 |
0.000 |
|
Total Expenditure |
14915.288 |
14665.517 |
8744.873 |
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QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2008 1st Quarter |
30.09.2008 2nd Quarter |
|
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|
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Sales Turnover |
|
3913.900 |
3419.300 |
|
Other Income |
|
2.300 |
12.100 |
|
Total Income |
|
3916.200 |
3431.400 |
|
Total Expenditure |
|
3700.100 |
3304.100 |
|
Operating Profile |
|
216.100 |
127.300 |
|
Interests |
|
59.000 |
67.800 |
|
Gross Profit |
|
157.100 |
59.500 |
|
Depreciation |
|
47.500 |
48.300 |
|
Tax |
|
21.600 |
2.500 |
|
Reported PAT |
|
88.000 |
8.700 |
KEY RATIOS
|
PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
|
Debt-Equity
Ratio |
0.74 |
0.73 |
0.9 |
|
Long
Term Debt-Equity Ratio |
0.41 |
0.41 |
0.71 |
|
Current
Ratio |
1.34 |
1.28 |
1.52 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed
Assets |
4.84 |
4.99 |
4.34 |
|
Inventory |
6.33 |
8.15 |
7.9 |
|
Debtors |
13.91 |
15.19 |
13.17 |
|
Interest
Cover Ratio |
2.75 |
3.52 |
3.83 |
|
Operating
Profit Margin (%) |
5.3 |
5.54 |
6.77 |
|
Profit
Before Interest And Tax Margin (%) |
3.85 |
4.34 |
5.09 |
|
Cash
Profit Margin (%) |
3.54 |
3.26 |
4.13 |
|
Adjusted
Net Profit Margin (%) |
2.09 |
2.07 |
2.45 |
|
Return
On Capital Employed (%) |
14.96 |
18.38 |
17.55 |
|
Return
On Net Worth (%) |
14.1 |
15.1 |
15.99 |
LOCAL AGENCY
FURTHER INFORMATION
History
Incorporated as a private limited company by Gulu Mirchandani,
Vijay Mansukhani and Sonu Mirchandani of the Onida group, MIRC Electronics
manufactures the well-known Onida brand of colour televisions (CTVs) and video
cassette recorders. Other group companies are Onida Saka, Onida Savak and
Monica Electronics.
MEL tapped the capital market to finance its CTV expansion, and diversification
into the audio segment. Commercial production at the expanded capacity started
from Jul.'95. The company has opened Onida Arcades, exclusive retail shops, and
introduced state-of-the-art wide-vision TVs and audio systems. MEL was awarded
the ISO 9001 certification during 1994-95
The company concentrated on reinforcing and improving the penetration of its
sales and after sales support infrastructure. During 1997-98, the company came
out with a new range of products christened 'Techno Value', which has been
launched with considerable success. In 1998-99, it introduced the WEBCRUISER -
the world's first internet TV, the trendy TV and PIP in the 25" segment.
In 1999-2000, the company introduced multi-coloured Candy in the 14 inch TV
segment.
In the fiscal 2001, it came out with 29KY Thunder series which was
amongst the first 650 watt television set in the world and has embarked on the
process to launch a plasma display tube television in collaboration with
Fujitsu. With effect from 1st April,2001 Onida Infotech Serivces Ltd was merged
with MIRC Electronics Ltd. In 2001-02 it had launched the 29 inch Home
Theatre,the first to convert a mono recording into a 5.1 output surround sound.
Financial performance:
During the financial year 2007-08, the turnover of the
Company stood at Rs.16550.000 millions as against Rs.16510.000 millions in the
previous year. The profit before tax stood at Rs.405.000 millions as against
Rs.514.200 millions in the previous financial year. The profit after tax for
the financial year ended March 31, 2008 stood at Rs.345.900 millions as against
Rs.341.200 millions in the previous financial year. The directors are confident
of improving their performance in the ensuing year. In this direction the
company has launched an exclusive world class LCD under the XARIA range. The
company has also added to its product portfolio state-of-the art Onida Mobile
Phones. These initiaves taken by the management are likely to accelerate the
pace of growth of the company and consequently its performance in the coming
years.
Susidiary
Company
The audited statement of accounts of Company’s
subsidiary viz. Akasaka Electronics Limited together with the Report of Directors
and Auditors as required under section 212 of the Companies Act, 1956.
Industry Structure and developments
The electronics industry in India is going
through a dynamic change and the Indian consumer is a direct recipient of this
change. Curved is out and slim is in be it in Digital Audio Players or Digital
Televisions.
The LCD television segment id showing an
exponential growth in the Indian market and is fast becoming the new face of
the television market worldwide. According to available industry figures,
global LCD market is stated to be around 92 million units in 2008. It is
estimated to grow by over 15% this year to touch around 115 million units in
2009 and touch 139 million in 2010. The burgeoning LCD sales can be attributed
to the growing cost efficiencies in LCD panels enhancing the cost
competitiveness, technology advancement in this sector and the benefits
communicated to customers. All of these are in turn, serving to fuel the
consumer interest in this category.
The consumer durable sector is poised for a
quantum leap over the next few years, thanks to the improving technology,
falling prices due to competition, aggressive marketing initiatives and
declining import tariffs.
Future Outlook
The worldwide electronics industry is experiencing
phenomenal and remarkable changes these days. It is distinguished by fast
technological advances and has grown rapidly than most other industries over
the past 30 years. Voluminous production is slowly and gradually moving towards
low cost destinations, which in turn are the markets which offer the most long
term potential. In today’s age of competition , electronic products
manufacturers are under constant pressure to develop new and innovative
products in shorter time cycles, at reduced cost, and with improved quality.
The global electronics industry is driven by
demand for the products, which are durable, lighter, cheaper and better than
the ones they replace. To meet up the growing market demands, industry is
slowly and gradually shifting its base to Asia Pacific countries, which is now
the prominent source of electronic goods and is soon going to turn out to be
the primary destination for consumer electronics. There is an estimation that
within 20 years, two thirds of the electronics industry will be four times as
big as today and half of it will move into Asia.
The Company has extended its offerings under
the Onida Brand across products, as well as geographical boundaries. The
Company expects to increase its presence in these products and emerge as a
leading solutions provider for electronic home improvement goods. The Company
has also introduced a high-tech world class LCD which is considered the best in
the industry.
The company has also positioned IGO-its
exclusive brand customized for the rural market, which is growing aggressively
at a pace of 25% annually.
Operational and Financial performance
During the financial year 2007-08, the
turnover of the Company increased from Rs.16509.900 millions in the previous
year to Rs.16550.600 millions. The profit before tax stood at Rs.405.500
millions as against Rs.514.200 millions in the previous financial year. The
profit after tax for the financial year ended March 31, 2008 stood at
Rs.345.900 millions as against Rs.341.200 millions in the previous financial
year.
Contingent Liabilities (Rs. In
Million)
|
Particulars |
31.03.2008 |
|
Guarantees given to Bank against which Rs.
Nil (Previous year Rs. Nil) has been deposited as margin money |
12.349 |
|
Guarantees given to bank on behalf of
subsidiary companies Akasaka Electronics Limited |
187.000 |
|
Income tax demands in respect of which
appeals have been filed |
206.480 |
|
Excise and Custom Duty in respect of which
appeals have been filed |
33.939 |
|
Claims made against the Company not
acknowledged as debts |
496.002 |
Standalone Audited Financial Result for the Quarter Ended 30th
September, 2008
|
Particulars |
30.09.2008 (Rs. In
Millions) |
|
|
|
|
1. A] Net Sales/ Income from Operations |
7333.200 |
|
B] Other Operating Income |
9.800 |
|
|
|
|
2.Expenditure |
|
|
A] Increase/(Decrease) in Stock in Trade and
work in progress |
(397.900) |
|
B] Consumption of Raw Material |
3145.100 |
|
C] Cost of Traded Goods |
2882.000 |
|
D] Employees Cost |
357.000 |
|
E] Depreciation |
95.800 |
|
F] Other Expenditure |
1018.000 |
|
|
|
|
Total |
7100.000 |
|
|
|
|
3.Profit from Operations before other
income, interests and exceptional items (1-2) |
243.000 |
|
4.Other Income |
4.600 |
|
5.Profit before interests and exceptional
items (3+4) |
247.600 |
|
6. Interests |
126.800 |
|
7.Profit after interests but before
exceptional items (5-6) |
120.800 |
|
8. Exceptional items |
- |
|
9.Profit/ (Loss) from Ordinary Activities
before tax (7-8) |
120.800 |
|
10. Tax Expense |
24.100 |
|
11. Profit/ (Loss) from Ordinary Activities after tax
(9-10) |
96.700 |
|
12. Extraordinary Item (Net of Tax Expenses Rs.Nil) |
- |
|
13. Net Profit / (Loss) for the Period (11-12) |
96.700 |
|
14. Paid-up Equity Share Capital (Face Value per share
Re.1) |
141.900 |
|
15. Reserves excluding Revaluation Reserves |
- |
|
16. Earnings Per Share (EPS) Basic and Diluted EPS before and after Extraordinary Items
(Rs.) |
0.068 |
|
17. Public Shareholding |
|
|
Number of Shares |
63853763 |
|
Percentage of Shareholding |
45.27% |
Notes:
- The above
results as reviewed by the Audit Committee have been taken on record at
the meeting of the Board of Directors held on 23rd October, 2008.
- Other
Operating Income consists of Sales Tax Refund of earlier years
- The Company
has proposed a scheme for the amalgamation of its Holding Company, Guviso
Holdings Private Limited with itself w.e.f. 15th July, 2008 and is in the
process of obtaining necessary approvals. The effect of the said scheme
has not been given in the accounts.
- The company
is mainly engaged in Consumer Durables business, which as per Accounting
Standard (AS 17) “Segment Reporting” is considered the only reportable
segment. There is no separately identifiable geographical segment.
- Previous
period’s figures have been rearranged / regrouped wherever necessary.
- Status of
shareholder complaints received during the quarter ended 30th September,
2008
|
Complaints pending as at 1st July, 2008 |
Nil |
|
Complaints received during the quarter ended 30th
September, 2008 |
57 |
|
Complaints resolved during the quarter ended 30th
September, 2008 |
57 |
|
Complaints pending as at 30th September, 2008 |
Nil |
Fixed Assets
·
R and D Software
·
Leasehold land
·
Freehold land
·
Buildings
·
Plant and Machinery and Electrical Fittings
·
Furniture, Fixtures and Equipments
·
Motor Vehicles
·
R and D - Building
·
R and D- Plant and Machinery and Electrical Fittings
·
R and D – Furniture, Fixture and Equipments
Website Details:
Profile
Subject is the
maker of the Onida brand of TVs has grown a number of connectivity options in its
backyard. There are VSAT links, leased lines, VPN links, ISDN links, RF (Radio
Frequency) links, and dial up links. The company is now able to share its SAP
R/3 data among 140 users across 38 locations nationwide without the fear of
losing valuable transaction and operations data in a communications breakdown.
Since MEL runs an
ERP which demands data be available all the time and has users sprinkled in
multiple locations nationwide, it had to ensure multiple connectivity options.
And the initiative has paid off very well.
Subject was founded
in 1981 and began computerization five years ago by deploying LANs at various
locations with CAT 5 structured cabling. RF links were deployed in a couple of
years between its offices in Mumbai and Thane to share information.
The RF links
connect the HO (Head Office) to two locations in Mumbai, the Mumbai branch
office and the Onida Infotech building. Bandwidth of the RF links is 1.5 Mbps
and they are backed up with dialup links. The RF equipment includes wireless
transceivers and wireless modems from Wi-LAN.
The Company uses
HCL Infinet’s network to support a 64 Mbps leased line which connect to 20
branch offices nationwide. Each link is backed up with 128K ISDN links. The
company also uses the service provider’s VPN for security. A firewall sits
between the mail server at the HO and the Internet. A 128K DSL and a back up 64K DSL link help make the connection.
The Company earlier
had a PAMA link between the HO and the New Delhi office. It has recently migrated
the link to a VPN. The bandwidth is 32 Kbps and will soon be doubled due to
expected higher data traffic.
Exports
Onida with its Sales and Marketing office in Dubai reported a 215 per cent
export growth in two years, setting the base for an increased robust
international presence.
The shipments to the Gulf contribute almost 65 per cent of Onida's export
revenue, while shipments to the fast growing East African market (Uganda,
Tanzania, Kenya and Ethiopia) and the SAARC countries accounted for 16 per cent
of export revenues.
Home Theatres and DVD players have been introduced in these markets to
strengthen the Onida brand presence. These products have customized models with
local language user interfaces in line with its geographies of focus. Onida
models are now available with Arabic, Persian and Russian OSD (menu).
Onida products have been favored by hypermarkets like Lu Lu Centres,
Carrefours, Geants and Dasmans in GCC countries.
In addition to the Gulf countries ONIDA has now a sizeable presence in Russia,
Ukraine and neighboring CIS countries. ONIDA has already crossed 100000 mark in
CTV exports to Russia in a span of just 2 years and plans to grow in these
markets at a much faster pace.
Apart from Television Exports to Russia, Onida also exports DVD Players and
High end LCD Televisions.
Export Plans
Onida plans to expand its international presence by:
- Developing a
production facility in the CIS countries.
- Launching
Home Theatre Systems, Microwave Ovens, Vacuum Cleaners and Washing
machines in the CIS markets in the near future.
- Launching the
"Onida" range in Nigeria, Yemen and Iran.
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.47.76 |
|
UK Pound |
1 |
Rs.74.87 |
|
Euro |
1 |
Rs.60.81 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
35 |
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 |
|