MIRA
INFORM REPORT
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Report Date : |
01.04.2011 |
IDENTIFICATION DETAILS
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Correct Name : |
IST LIMITED |
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Registered Office : |
Dharuhera Industrial Complex, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
31.08.1976 |
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Com. Reg. No.: |
05-008316 |
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CIN No.: [Company
Identification No.] |
L33301DL1976PLC008316 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
RTK100477B |
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Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
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Line of Business : |
Manufacturers of Precision Turned, Milled, Drilled Components and stamping
for industries. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (54) |
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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 5074000 |
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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 company having satisfactory track. Trade
relations are fair. Financial position is satisfactory. Payments are usually
correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. The company is doing well. Nothing adverse reported. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
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Registered Office/ Factory : |
Dharuhera Industrial Complex, |
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Tel. No.: |
91-124-4005090, 4005091, 4005092 , 4005093, 4005094 |
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Fax No.: |
91-124-2360895 |
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E-Mail : |
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Website : |
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Corporate and Head Office : |
A-23, New Office Complex, Defence Colony, New Delhi-110024, |
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Tel. No.: |
91-11-24694291/24694292/24617319
/ 24632287 |
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Fax No.: |
91-11-24625694 |
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E-Mail : |
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Factory 1 : |
E-54, N.D.S.E. Part I, |
DIRECTORS
As on 08.09.2010
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Name : |
Air Marshal (Retd.) D. Keelor |
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Designation : |
Chairman |
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Name : |
Brig. (Retd.) G.S. Sawhney |
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Designation : |
Director |
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Name : |
Mr. A. N. Mukherjee |
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Designation : |
Director |
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Name : |
Mr. Mayur Gupta |
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Designation : |
Managing Director |
KEY EXECUTIVES
|
Name : |
Mr. Sandeep Gupta |
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Designation : |
Company Secretary |
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Name : |
D. N. Tulshyan |
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Designation : |
General Manager (Finance) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding
of promoters and Promoter Group |
|
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|
1. Indian |
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Bodies Corporate |
1460531 |
25.04 |
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2. Foreign |
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Bodies Corporate |
2913221 |
49.95 |
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Sub Total (A)
(1) |
4373752 |
74.99 |
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(B) Public
Shareholding |
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1. Institutions |
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Financial Institutions / Banks |
300 |
0.01 |
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Sub Total (B)
(1) |
300 |
0.01 |
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2. Non
Institutions |
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Bodies Corporate |
514298 |
8.82 |
|
Individual shareholders holding nominal share capital up to Rs. 0.100
million |
883058 |
15.14 |
|
Individual shareholders holding nominal share capital in excess of Rs.
0.100 million |
54912 |
0.94 |
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Non Residents |
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NRIs / OCBs |
3878 |
0.07 |
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Clearing Members |
1858 |
0.03 |
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Sub Total (B)
(2) |
5736 |
0.10 |
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(B) = (B) (1) +
(B) (2) |
1458004 |
25.01 |
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Shares
held by custodians and against which depository receipts have been
issued (C) |
0 |
0.00 |
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Total (A) + (B) +(C) |
5832056 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers of Precision Turned, Milled, Drilled Components and
stamping for industries. |
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Export |
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Countries : |
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GENERAL INFORMATION
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Customers : |
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Bankers : |
v
State Bank of v
ICICI Bank Limited |
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Facilities : |
-- |
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Banking
Relations : |
Satisfactory |
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Auditors : |
O.P. Dadu and Company Chartered Accountants |
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Associates : |
v GPC Technology Limited (Galaxy Power Cables Limited) v Delight Marketing Company Private Limited v Delux Investments Private Limited v Tarangani Investments Limited v Galaxy Mercantiles Limited v Lubetec India Limited v Antique Investment Company Limited v Galaxy International Hotels Limited v
v 1ST Technology Infrastructure Private Limited v Gupta International Investment Company Limited v
1ST Steel and Power Limited. |
CAPITAL STRUCTURE
As on 08.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
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|
10,000,000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 millions |
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Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
5,832,056 |
Equity Shares |
Rs.10/- each |
Rs.58.320
millions |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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|
SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
58.500 |
58.500 |
58.500 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
1210.100 |
1192.400 |
1175.000 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
1268.600 |
1250.900 |
1233.500 |
|
|
LOAN FUNDS |
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|
1] Secured Loans |
0.000 |
0.200 |
9.200 |
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2] Unsecured Loans |
0.000 |
0.000 |
49.000 |
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TOTAL BORROWING |
0.000 |
0.200 |
58.200 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
1268.600 |
1251.100 |
1291.700 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
146.100 |
171.300 |
93.400 |
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Capital work-in-progress |
7.700 |
0.300 |
0.000 |
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INVESTMENT |
73.000 |
72.900 |
62.000 |
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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 |
45.500
|
43.100 |
53.100 |
|
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Sundry Debtors |
18.500
|
25.600 |
78.600 |
|
|
Cash & Bank Balances |
6.800
|
9.000 |
11.000 |
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Other Current Assets |
141.900
|
0.200 |
0.100 |
|
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Loans & Advances |
881.700
|
1021.100 |
1104.900 |
|
Total
Current Assets |
1094.400
|
1099.000 |
1247.700 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
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Current Liabilities |
26.800
|
49.200 |
71.100 |
|
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Provisions |
25.800
|
43.200 |
40.300 |
|
Total
Current Liabilities |
52.600
|
92.400 |
111.400 |
|
|
Net Current Assets |
1041.800
|
1006.600 |
1136.300 |
|
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
1268.600 |
1251.100 |
1291.700 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Income |
189.600 |
190.500 |
200.800 |
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Other Income |
5.500 |
1.200 |
3.600 |
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TOTAL (A) |
195.100 |
191.700 |
204.400 |
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Less |
EXPENSES |
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Raw Material |
70.000 |
56.500 |
97.700 |
|
|
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Power and Fuel Cost |
9.100 |
8.200 |
10.100 |
|
|
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Employee Cost |
51.900 |
47.400 |
47.000 |
|
|
|
Other Manufacturing Expenses |
1.600 |
1.900 |
2.100 |
|
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Selling and Administrative Expenses |
17.200 |
24.100 |
20.700 |
|
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Misc. Expenses |
5.600 |
4.400 |
4.900 |
|
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Stock Adjustment |
3.300 |
8.600 |
(21.100) |
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TOTAL (B) |
158.700 |
151.100 |
161.400 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
36.400 |
40.600 |
43.000 |
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Less |
FINANCIAL
EXPENSES (D) |
0.500 |
6.000 |
3.500 |
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|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
35.900 |
34.600 |
39.500 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
8.000 |
5.500 |
5.400 |
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PROFIT BEFORE
TAX (E-F) (G) |
27.900 |
29.100 |
34.100 |
|
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|
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Less |
TAX (I) |
10.200 |
11.700 |
11.500 |
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PROFIT AFTER TAX
(G-I) (J) |
17.700 |
17.400 |
22.600 |
|
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|
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|
Earnings Per
Share (Rs.) |
3.03 |
2.98 |
3.88 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Sales Turnover |
46.020 |
54.010 |
50.840 |
|
Total Expenditure |
37.230 |
43.450 |
35.880 |
|
PBIDT (Excl
OI) |
8.790 |
10.560 |
14.960 |
|
Other Income |
2.320 |
3.150 |
5.700 |
|
Operating
Profit |
11.110 |
13.710 |
20.650 |
|
Interest |
0.020 |
0.050 |
0.020 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
11.090 |
13.660 |
20.630 |
|
Depreciation |
2.440 |
3.000 |
2.730 |
|
Profit
Before Tax |
8.650 |
10.660 |
17.900 |
|
Tax |
3.080 |
3.020 |
5.530 |
|
Reported PAT |
5.570 |
7.640 |
12.370 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
5.570 |
7.640 |
12.370 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
9.07
|
9.08 |
11.06 |
|
|
|
|
|
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|
Net Profit Margin (PBT/Sales) |
(%) |
14.72
|
15.28 |
16.98 |
|
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.25
|
2.29 |
2.54 |
|
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Return on Investment (ROI) (PBT/Networth) |
|
0.02
|
0.02 |
0.03 |
|
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|
Debt Equity Ratio (Total Liability/Networth) |
|
0.04
|
0.07 |
0.14 |
|
|
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|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
20.81
|
11.89 |
11.20 |
LOCAL AGENCY FURTHER INFORMATION
History
Indo Swiss Time Limited (IST) was incorporated as a public limited company on 31.08.1976 to carry on the business of manufacture, design, import and export of watches and watch parts, components, cases and other ancillary products.
It bean operations in 1977 by assembly of watches with imported components. It began manufacturing components in March 1979.
In April 1980, the company issued shares to the public to part finance a project to manufacture different kinds of wrist watches.
However due to a shift in customer preference to quartz watches and competition from Illegally imported watches there was down turn in the market for mechanical and automatic watches manufactured by IST. To remedy this situation, IST diversified into manufacturing precision components for defence applications in 1989 and further into manufacture of components for electronic/medical dental instruments for the export market in February 1993.
Apart from a brief period of labour unrest in January-February 1991, the employer-employee relations in the company have been very cordial.
OPERATIONS OF THE
COMPANY
The primary operations of the company are now manufacturing components for exports. The components manufactured are high quality precision components used in electronic, medical and dental instrument. The company had developed the components to meet the exacting standards required of its international customers and has been able to secure repeat orders from its buyers. In the year ended 31 March 1994 the company recorded export sales of more than Rs. 39.500 millions.
IST is also manufacturing precision components for the Ministry of Defence. Used in various applications the components require a high level of precision and quality. The quality of ST's products has been appreciated by the Ministry of Defence. Sales to the Ministry of Defence in year 1993-94 were Rs. 12.713 millions.
2006
-I S T Limited has informed
that the Company has entered into Supplemental Agreement with Unitech Limited.,
for development of Software/IT Park on 28.419 acres instead of 13.35 acres.
FINANCIAL RESULTS
The turnover of the Company during the year was Rs. 196.943 Million as against Rs. 203.018 Million in the previous
year. The profit before tax during the
year was Rs.28.126 million as against Rs. 28.673 Million in the previous year. The profit after tax was Rs.
17.671 Million as against Rs. 17.385 Million in the previous year.
The effort by the management towards cost control and diversifying activities of the company continue
unabatedly.
DIRECTORS
In accordance with the provisions of the Companies Act, 1956 and Articles of Association of the Company
Shri A.N. Mukherjee retires by rotation and is eligible for re-appointment.
The tenure of Shri Mayur Gupta as Managing Director is proposed to be extended for a further period of two years w.e.f. 1st October, 2010.
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 31.12.2010
(Rs.in million)
|
Particulars |
3 Months Ended 31.12.2010 |
Quarter Ended 31.12.2010 |
|
Operating Income |
|
|
|
Gross sales / Income from Operations |
|
|
|
Less: Excise Duty / Sale Tax recovered |
|
|
|
a) Net Sales / Income from Operations |
50.835 |
150.868 |
|
b) Other Operating Income |
0.000 |
0.000 |
|
Total Operating Income |
50.835 |
150.868 |
|
Expenditure |
|
|
|
(a) (Increase)/decrease in Stock in Trade |
(5.403) |
(12.408) |
|
(b) Consumption of Raw Materials |
12.038 |
37.432 |
|
(c) Employees Cost |
14.641 |
43.083 |
|
(d) Depreciation |
2.732 |
8.168 |
|
(e) Other Expenditure |
14.601 |
48.454 |
|
Total Expenditure |
38.609 |
124.729 |
|
Profit / (Loss) From Operations before other Income Interest & Exceptional Items |
12.226 |
26.139 |
|
Other Income |
5.697 |
11.166 |
|
Profit/(Loss) before Interest and Exceptional items |
17.923 |
37.305 |
|
Interest |
0.019 |
0.094 |
|
Profit / (Loss) after interest before Exceptional items |
17.904 |
37.211 |
|
Deferred Interest |
0.000 |
0.000 |
|
Net Profit/(Loss) after exceptional item |
17.904 |
37.211 |
|
Tax Expenses |
5.534 |
11.634 |
|
Net Profit/(Loss) after tax |
12.370 |
25.577 |
|
Paid Up Equity Share Capital ( Face Value of the share Rs.10/- each ) |
58.468 |
58.468 |
|
Public Share
Holding |
|
|
|
Number of Shares |
1468304 |
1468304 |
|
Percentage of Shareholding |
25.00 |
25.00 |
|
Promoters and Promoter group share holding |
|
|
|
a) Pledged / Encumbered |
|
|
|
b) Non-encumbered |
|
|
|
- Number of Shares |
4373752 |
4373752 |
|
- Percentage of Share (as a % of the total shareholding of promoter and promoter group) |
100.00 |
100.00 |
|
- Percentage of Share (as a % of the total share capital of the company) |
75.00 |
75.00 |
Note :
v
the above results have been reviewed by audit
committee and approved by the board of directors of the company in its meeting held
on 14.02.2011
v
the auditor of company have carried out limited
review of the aforementioned unaudited financial results in terms of clause 41
of the listing agreement.
v
Total no. of investor complaints pending at the
beginning of the quarter 2, received during the quarter 5, disposed of during
the quarter 7 and pending at the end of the quarter nine
v
Figures have been regrouped wherever necessary.
Fixed Assets
v
v
Building
v
Plant and Machinery
v
Furniture and Office Equipments
v
Vehicles.
WEBSITE
DETAILS :
v
High Precision manufacturing facilities
ISO/TS 16949:2000 and ISO 14001
accreditation from TUV Germany.
v
Variety of Turned, Milled, Drilled jobs
and Stampings on Swiss and German plant with in-house designing, tooling, surface
and heat treatment
120000 sq. mtrs. (30 Acres) of lush green industrial estate 5 Kms. from
12000 sq. mtrs. (120,000 SFT) covered area, mostly Air-Conditioned.
v
45,000 sq. mtrs. of lush green industrial estate
45 Kms. from New
v Connected Power Load 750 KW.
v
Self-Generation capacity for Power 600 KVA.
v Expansion Projects under execution for Auto Components / Assemblies at Bawal (40,000 sq.mtrs.) and Manesar (9000 sq.mtrs.), Haryana
v Diversification through Collaborations, Joint Ventures or Technology Transfer Agreements for new products.
Products
:
v
Automotive Transmission Parts
v
Carburettor Parts
v
Fuel Injection Equipment and. Parts.
v
Precision Components and Assemblies for
Communication Equipment and Office Products.
Consumer Durable and White Goods
Oral Care Products
Instrumentation and Engineering Goods.
v
Dental and Orthopeadic Screws
They
manufacture Precision Turned, Milled, Drilled Components and stampings for the
following Industries
·
Auto Component Industry
·
White Goods Industry
·
Consumer Goods Industry
·
Dentel and Orthopeadic Implants
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.44.65 |
|
|
1 |
Rs.71.92 |
|
Euro |
1 |
Rs.63.24 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
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 |
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 |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.