MIRA
INFORM REPORT
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Report Date : |
10.10.2008 |
IDENTIFICATION
DETAILS
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Name : |
INDIA TUBE MILLS AND METAL LIMITED |
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Registered Office : |
L B Shastri Marg, Vikhroli BBD Gate, Mumbai 400083, Maharashtra. |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
24.06.1948 |
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Com. Reg. No.: |
006425 |
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CIN No.: [Company
Identification No.] |
U29130MH1948PLC006425 |
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Legal Form : |
Public Limited Liability Company |
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Line of Business : |
Manufacturer of industrial Machinery and Equipments like Chemical Equipments,
Pressure vessels, Cryogenic Equipments, Heat Exchangers, Petrochemical
Equipments and Industrial Turnkey Projects. |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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Maximum Credit Limit : |
USD 937500 |
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Status : |
Good |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed company having fine track. Financial position is good. Payments are correct and as per
commitment. The company can be considered good for any normal business dealings at
usual trade terms and conditions. The company can be regarded as a promises business partner in medium
to long run. |
LOCATIONS
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Registered Office : |
L B Shastri Marg, Vikhroli BBD Gate, Mumbai 400083, Maharashtra. |
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Tel. No.: |
91-22-25781541 |
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Fax No.: |
91-22-25784443 |
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E-Mail : |
Itm3@vsnl.com, Itm@itmprojects.com |
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Website: |
www.itmprojects.com |
DIRECTORS
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Name : |
Mr. Darshan C Aggarwal |
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Designation : |
Managing Director |
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Name : |
Mr. Vijay B Aggarwal |
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Designation : |
Director |
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Name : |
Mr. Vijay O Aggarwal |
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Designation : |
Director |
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Name : |
Mr. Ravinder S Aggarwal |
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Designation : |
Director |
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Name : |
Mr. Anil B Aggarwal |
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Designation : |
Director |
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Name : |
MR. Sanjeev K Aggarwal |
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Designation : |
Director |
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Name : |
Mr. Chandemohan D Aggarwal. |
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Designation : |
Director |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of industrial Machinery and Equipments like Chemical
Equipments, Pressure vessels, Cryogenic Equipments, Heat Exchangers, Petrochemical
Equipments and Industrial Turnkey Projects. |
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GENERAL
INFORMATION
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No. of Employees : |
150 |
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Bankers : |
·
CITI BANK NA, Dr. D N Road, Mumbai 400001, Maharashtra. ·
Punjab National Bank, 12/14, Veer Nariman Road, Mumbai 400023,
Maharashtra. |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
P. C. Mehra and Company. Chartered Accountant |
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Associates/Subsidiaries : |
WIREFORMS LIMITED |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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2000000 |
Equity Shares |
Rs. 10/- Each |
20.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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1500000 |
Equity Shares |
Rs. 10/-
Each |
15.000
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
15.000 |
15.000 |
15.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
172.500 |
153.800 |
129.400 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
187.500 |
168.800 |
144.400 |
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LOAN FUNDS |
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1] Secured Loans |
0.800 |
1.600 |
0.900 |
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2] Unsecured Loans |
26.000 |
21.400 |
19.700 |
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TOTAL BORROWING |
26.800 |
23.000 |
20.600 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
214.300 |
191.800 |
165.000 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
21.800 |
19.600 |
19.300 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.600 |
0.600 |
0.700 |
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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 |
87.200
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66.900 |
134.400 |
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Sundry Debtors |
85.700
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88.100 |
69.100 |
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Cash & Bank Balances |
33.600
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42.800 |
14.200 |
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Other Current Assets |
0.000
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0.000 |
0.000 |
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Loans & Advances |
10.200
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6.300 |
8.700 |
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Total
Current Assets |
216.700
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204.100 |
226.400 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
24.400
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30.400 |
79.300 |
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Provisions |
1.400
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4.000 |
5.000 |
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Total
Current Liabilities |
25.800
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34.400 |
84.300 |
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Net Current Assets |
190.900
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169.700 |
142.100 |
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MISCELLANEOUS EXPENSES |
1.000 |
1.900 |
2.900 |
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TOTAL |
214.300 |
191.800 |
165.000 |
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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 |
471.200 |
493.000 |
461.000 |
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Other Income |
11.300 |
16.000 |
7.700 |
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Total Income |
482.500 |
509.000 |
468.700 |
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Profit/(Loss) Before Tax |
37.000 |
38.500 |
23.900 |
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Provision for Taxation |
13.100 |
10.700 |
9.000 |
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Profit/(Loss) After Tax |
23.900 |
27.800 |
14.900 |
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Expenditures : |
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Manufacturing Expenses |
50.200 |
56.100 |
72.600 |
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Administrative Expenses |
56.700 |
47.600 |
39.900 |
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Raw Material Consumed |
305.700 |
254.000 |
293.500 |
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Excise Duty |
7.600 |
11.800 |
3.400 |
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Increase/(Decrease) in Finished Goods |
(22.600) |
55.500 |
(3.500) |
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Miscellaneous Expenses |
1.800 |
1.800 |
1.600 |
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Interest |
4.700 |
3.500 |
2.400 |
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Employee cost |
31.600 |
30.600 |
26.600 |
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Power & Fuel |
6.100 |
6.000 |
4.900 |
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Depreciation & Amortization |
3.700 |
3.600 |
3.400 |
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Other Expenditure |
0.000 |
0.000 |
0.000 |
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Total Expenditure |
445.500 |
470.500 |
444.800 |
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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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Debt- Equity Ratio |
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0.14
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0.14 |
0.08 |
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Long term Debt-Equity Ratio |
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0.14
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0.14 |
0.08 |
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Current Ratio |
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6.99
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3.63 |
2.51 |
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Fixed Assets |
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4.72
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5.06 |
4.79 |
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Inventory |
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6.12
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4.90 |
3.71 |
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Debtors |
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5.42
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6.27 |
7.73 |
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Interest Cover Ratio |
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8.87
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9.37 |
10.96 |
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Operating Profit Margin |
(%) |
9.63
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7.38 |
6.44 |
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Profit Before Interest And Tax Margin |
(%) |
8.85
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6.65 |
5.70 |
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Cash Profit Margin |
(%) |
5.86
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5.01 |
3.97 |
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Adjusted Net Profit Margin |
(%) |
5.07
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4.28 |
3.23 |
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Return On Capital Employed |
(%) |
20.68
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18.64 |
18.16 |
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Return On Net Worth |
(%) |
13.42
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13.47 |
10.87 |
LOCAL AGENCY
FURTHER INFORMATION
History :
Subject was incorporated in 1948 and it has
became a deemed public company in 1991.
The company is manufacturing bright bars and
fabrication of structural tanks and vessels at its works in Mumbai.
Operations/Working Results:
During the year, both Bright Bars Division and
Structural Division reported improved performance. However, the overall
turnover was slightly lower as compared to the previous year due to the fact
that income from job work and other related operations declined considerably as
there was no spare capacity available for undertaking such jobs.
Website Details Attached:
ITM Projects Division ( Group Company Of India Tube Mills and
Metal Industries Limited )
Promoted 60 years ago subject ( Projects
division) popularly known as subject is a pioneer in the construction of field
erected storage tanks, traversed over six decades emerging successfully as an
Engineering, procurement and construction company, having achieved ISO 9001-200, certification for its
operations.
Since inception subject is successfully
executing projects on EPIC basis, in Construction of field Erected Storage
Tanks for Oil, Gas, Petroleum Products, Cryogenic Storage system for Ethylene,
LPG, Ammonia, etc., for Refineries, Petrochemicals, Fertilizer and Energy
sector with emphasis on quality and timely completion of projects.
Subject is also a pioneer in heavy fabrication
with manufacturing facility at Vikroli in Mumbai, manufacturing pressure
Vessels, process columns, Heat exchangers, Structural Fabrication and various
other custom built process Equipments.
Subject believes that its employees are its
core asset. Ever challenging work environment, Supported through team
collaboration keeps the HR asset constantly motivated.
Subject is one of the leading companies to
execute mega Storage Tank Projects and is positioned as an efficient and
trustworthy company by clients throughout India for High Quality and Timely
completions of projects.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.48.74 |
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UK Pound |
1 |
Rs.85.19 |
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Euro |
1 |
Rs.66.12 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
8 |
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PAID-UP CAPITAL |
1~10 |
8 |
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OPERATING SCALE |
1~10 |
8 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
8 |
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--PROFITABILIRY |
1~10 |
8 |
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--LIQUIDITY |
1~10 |
8 |
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--LEVERAGE |
1~10 |
8 |
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--RESERVES |
1~10 |
8 |
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--CREDIT LINES |
1~10 |
8 |
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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 |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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72 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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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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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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