MIRA
INFORM REPORT
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Report Date : |
25.11.2008 |
IDENTIFICATION DETAILS
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Name : |
C M SMITH AND SONS LIMITED |
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Registered Office : |
Dashrath Wadi, Court Road, Nadiad, District- Kheda, Nadiad – 387001, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
01.06.1998 |
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Com. Reg. No.: |
04-34205 |
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CIN No.: [Company
Identification No.] |
U17297GJ1998PLC034205 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BRDC00366C |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer of Auto Parts |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 400000 |
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Status : |
Good |
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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 having satisfactory track. Trade
relations are fair. Financial position is satisfactory. Payments are reported
as slow but correct. The company can be considered good for normal business dealings at
usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
Dashrath Wadi, Court Road, Nadiad, District- Kheda, Nadiad – 387001, |
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Tel. No.: |
91-268-2567285/ 2566061 |
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Mobile No.: |
91-9825222333 (Mr. Ashwin Smith) 91-9327111333 (Mr. Mr. Svapnesh Parikh) 91-9327111888 (Mr. V. A. Soni) |
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Fax No.: |
91-268-2550094 |
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E-Mail : |
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Website : |
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Corporate Office/ Factory : |
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Tel. No.: |
91-2716-296353 |
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Plant Office : |
Nadiad Plant
Pune Plant
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DIRECTORS
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Name : |
Mr. Ashwin Smith |
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Designation : |
Director |
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Address : |
Madhukunj, Alkapuri, |
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Date of Birth/Age : |
10.02.1962 |
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Date of Appointment : |
01.06.1998 |
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Name : |
Mr. Ratilal C. Smith |
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Designation : |
Director |
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Address : |
Madhukunj, Alkapuri, |
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Date of Birth/Age : |
16.03.1930 |
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Date of Appointment : |
01.06.1998 |
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Name : |
Mr. Madhuben R. Smith |
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Designation : |
Director |
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Address : |
Madhukunj, Alkapuri, |
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Date of Birth/Age : |
08.08.1934 |
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Date of Appointment : |
30.06.2007 |
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Name : |
Mr. Rashmin Ashwin Smith |
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Designation : |
Director |
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Address : |
Madhukunj, Alkapuri, |
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Date of Birth/Age : |
08.05.1990 |
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Date of Appointment : |
02.06.2008 |
KEY EXECUTIVES
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Name : |
Mr. Svapnesh Parikh |
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Designation : |
Senior Manager (Sales and New Project) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(As on 29.09.2007)
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Names of Shareholders |
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No. of Shares |
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Ratilal C. Smith |
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700000 |
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R. C. Smith – HUF |
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15000 |
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Madhuben R. Smith |
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525000 |
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Ashwin Smith |
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15000 |
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A. R. Smith – HUF |
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470000 |
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D. R. Smith – HUF |
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50000 |
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Nita A. Smith |
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225000 |
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Total |
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2000000 |
(As on 30.09.2007)
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Category |
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Percentage |
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Directors or relatives of directors |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Auto Parts |
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Products : |
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GENERAL INFORMATION
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Customers : |
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No. of Employees : |
400 |
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Bankers : |
Uttarsanda Branch, Panchayat Office, Uttarsanda – 387370,
Nadiad Branch, N K N Road, Nadiad – 387001,
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Facilities : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Manubhai and Company Chartered Accountant |
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Address : |
2nd Floor, B Wing Premium House, Near Gadhigram Rly Station
Navarangpura, Ahmedabad – 380009, |
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Name : |
Mr. Dhiren Shah and Company Chartered Accountant |
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Address : |
2nd Floor, |
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Tel No.: |
91-268-26420854/ 26423324/ 26445013 |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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2000000 |
Equity Shares |
Rs.10/- each |
Rs.20.000
Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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2000000 |
Equity Shares |
Rs.10/- each |
Rs.20.000
Millions |
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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 |
20.000 |
20.000 |
20.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
52.081 |
36.245 |
21.604 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
72.081 |
56.245 |
41.604 |
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LOAN FUNDS |
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1] Secured Loans |
110.844 |
32.475 |
16.783 |
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2] Unsecured Loans |
23.297 |
10.837 |
13.745 |
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TOTAL BORROWING |
134.141 |
43.312 |
30.528 |
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DEFERRED TAX LIABILITIES |
9.490 |
0.000 |
0.000 |
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TOTAL |
215.712 |
99.557 |
72.132 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
112.590 |
62.625 |
45.394 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.262 |
0.262 |
1.622 |
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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 |
25.098
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16.882 |
17.698 |
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Sundry Debtors |
65.024
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31.509 |
25.342 |
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Cash & Bank Balances |
36.812
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17.912 |
0.323 |
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Other Current Assets |
0.000
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0.000 |
0.000 |
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Loans & Advances |
87.670
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25.521 |
26.785 |
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Total
Current Assets |
214.604
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91.824 |
70.148 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
94.736
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48.673 |
35.805 |
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Provisions |
17.008
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6.481 |
9.227 |
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Total
Current Liabilities |
111.744
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55.154 |
45.032 |
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Net Current Assets |
102.860
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36.670 |
25.116 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
215.712 |
99.557 |
72.132 |
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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 |
596.775 |
369.393 |
323.276 |
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Other Income |
2.766 |
0.899 |
1.083 |
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Total Income |
599.541 |
370.292 |
324.359 |
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Profit/(Loss) Before Tax |
35.458 |
21.284 |
18.614 |
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Provision for Taxation |
12.870 |
6.643 |
6.343 |
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Profit/(Loss) After Tax |
22.588 |
14.641 |
12.271 |
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Export Value |
53.971 |
34.330 |
NA |
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Expenditures : |
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Cost of Materials |
323.360 |
195.339 |
173.226 |
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Manufacturing and Administrative Expenses |
228.883 |
148.141 |
125.899 |
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Prior Period Adjustment |
0.272 |
(0.030) |
0.000 |
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Interest |
6.666 |
2.555 |
3.512 |
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Depreciation & Amortization |
4.902 |
3.003 |
3.108 |
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Total Expenditure |
564.083 |
349.008 |
305.745 |
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KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
3.77
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3.95 |
3.78 |
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Net Profit Margin (PBT/Sales) |
(%) |
5.94
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5.76 |
5.76 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
10.84
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13.78 |
16.11 |
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Return on Investment (ROI) (PBT/Networth) |
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0.49
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0.38 |
0.45 |
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Debt Equity Ratio (Total Liability/Networth) |
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3.41
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1.75 |
1.82 |
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Current Ratio (Current Asset/Current Liability) |
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1.92
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1.66 |
1.56 |
LOCAL AGENCY FURTHER INFORMATION
FORM 8:
|
Corporate identity
number of the company |
U17297GJ1998PLC034205 |
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Name of the
company |
C M SMITH AND SONS LIMITED |
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Address of the
registered office or of the principal place of business in |
District- Kheda, Nadiad – 387001, |
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This form is for |
Creation of Charge |
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Type of charge |
Immovable
Property |
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Particular of
charge holder |
Bank of Uttarsanda Branch, Panchayat Office, Uttarsanda – 387370, |
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Nature of
instrument creating charge |
Memorandum of
Entry |
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Date of
instrument Creating the charge |
05.01.2007 |
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Amount secured by
the charge |
Rs.75.000
Millions |
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Brief of the principal
terms an conditions and extent and operation of the charge |
Rate of
Interests: BPLR I.E. 10.5% Terms of
Repayment: Repayable on
Demand Margin: 25% On Stock 40% On Book Debts Extent and
Operation of the charge: Created charge on
immovable properties i.e. land, |
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Particulars of
the property charged |
Non-Agricultural
Land situated Nadiad Kakarkhad pati bearing S. No.236/2 (Acre 3.3 Gunthas)
and S No.2364/8/C, Paiky (Acre 0.9 Gunthas) S. No.2375 (Acre 0.12 Gunthas) S.
No. 2384/A ( |
FIXED ASSETS:
- Land
- Building
- Plant and
Machinery
- Office Equipment
- Furniture and
Fixture
- Vehicles]
- Capital Work
in Progress
WEBSITE DETAILS
BUSINESS
- Established
in 1943
- OEM supplies
since 1957
- Foundry -
Machine shop combined since inception. (Fully machined parts)
- Major supplier
of fully machined parts to almost all OEMs in
- Two fully
mechanized foundry with automatic sand plant and supported by full fledge
modern inspection facilities like Spectro, Image Analyzer,
Tensile, Elongation, Simulation etc.
- Highly sophisticated
machine-shop equipped with worlds best
branded VMC, HMC, VTL and
- Presently
catering requirements for Passenger Cars, Utility Vehicles,
Light-Medium- Heavy & Multi Axle Vehicles, Trailer parts,
Engineering Industries etc.
- Highly
experienced and expertise in parts like Brake Discs (Ventilated &
Solid), Brake Drums, Hubs, Cylinder Blocks, Gear Box Housings,
Clutch & Flywheel Housings, Timing Gear Housings, Bell
Housings, Intermediate Housings, Adapter Plates, Spoker Wheels,
etc.
- Producing
Gray Cast Iron and Ductile Iron (Nodular Iron).
- Presently
Catering Export Market at
- Major
Customers Like Tata Motors Limited (Pune,
TECHNOLOGY
AVAILABLE
MACHINE SHOP:
Complete final finishing on fully computerised VMC/ HMC/
VTL/
FOUNDRY:
Fully automatic EIRICH (Germany) sand plant with online sand checking facility
like moisture controller and compactability tester, Simpson (USA) sand cooler,
DISA Moulding line (Flask Moulding) supported by Spectro Test, Simulation, Auto
micro Image Analyzer, Pressure Test etc.
PLANNED
AND WILL BE AVAILABLE FROM FEBRUARY 2007 AT PUNE
FOUNDRY:
- All
equipments are fully computerized
- Fritz Hans
berg (
(Prefill - Shoot - Squeeze -
High Pressure)
- Eirich (
- Simpson
(U.S.A) Cooler (Mixture Cooler with moisture controller)
- Pressurised
Pouring facility
- Fritz Hans
berg (
MACHINE
SHOP:
Complete machining on fully computerized VMC/ HMC/ VTL/
STRENGTH:
- Unique
combination of foundry and machine shop, capable of machining of
high accuracy with ultimate inspection facility.
- Hi-tech
machine shop consisting more than 40 CNC - VMC/HMC and turning centers
(controlled from central computer - DNC)
- Highly experienced
and qualified manpower to produce & deliver best quality parts to
customer since last more than 6 decades.
- Fully
equipped standard room with CMM and many other facilities to support
machine shop comprehensively.
- Complete support
facility like :
- Grinding
- Dynamic balancing checking
- Leak test / pressure test
- Machined parts cleaning machines
- Special shrink wrap packing machine for cost effective packing
- Highly
consistent foundry with "DISA" Moulding facility @ 30 moulds
each per hour with 3 sets of Moulding machines (30 x 3 = 90 moulds
per hour.
- World reputed
"EIRICH" sand plant with on line inspection of sand moisture
and compactability.
- Complete
inspection support of Spectro, image analyzer, magna flux tester, casting
simulation software and many other hi-tech inspection
facilities.
- Capable to
manufacture any metallurgical specification and machining inquiries
with complete inspection and tests required as per drawing or from
good sample falling in their scope.
ACHIEVEMENT:
- Appreciation letter from Eicher
Motors Limited, (Pithampur) and Fairfield Mfg. Inc. (USA) for competitiveness in CQD (Cost,
Quality & Delivery).
- Appreciation letters from Tata
motors limited for exceptionally fast developments of any
part.
- 1st OE parts foundry cum machine shop Company in
- Continued business since more than 40 years with Mahindra & Mahindra
Limited, (Mumbai) and Tata Motors Limited
- Provided technical collaboration for 2 foundry plants out of
- 100 % Parts supplied to all OEM's declared DOL status due to highly
consistent quality.
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.50.09 |
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|
1 |
Rs.74.90 |
|
Euro |
1 |
Rs.63.40 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
54 |
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 |
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