MIRA INFORM REPORT
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Report Date : |
19.04.2011 |
IDENTIFICATION DETAILS
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Name : |
CITIZEN INDUSTRIES LIMITED |
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Registered Office : |
No. 401, Sarthak Complex, Behind Urja House, Near |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Year of Incorporation : |
07.08.1995 |
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Com. Reg. No.: |
04-027009 |
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CIN No.: [Company
Identification No.] |
U29190GJ1995PLC027009 |
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IEC No.: |
0896001458 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
AHMC00356G |
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PAN No.: [Permanent
Account No.] |
AAACC7814P |
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Legal Form : |
A Closely held Public Limited Liability Company. |
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Line of Business : |
Manufacturer
of Air Handling Unit. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (50) |
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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 680000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having fine track. Financial
position of the company appears to be sound. Trade relations are reported as
fair. Business is active. Payments are reported to be regular and as per
commitments. The company can be considered normal for business dealings at usual
trade terms and condition. |
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
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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 |
INFORMATION PARTED BY
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Name : |
Mrs. Rajani |
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Designation : |
Accountant |
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Date : |
15.04.2011 |
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LOCATIONS
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Registered Office : |
No. 401, Sarthak Complex, Behind Urja House, Near |
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Tel. No.: |
91-79-26445155 / 26431869 |
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Fax No.: |
91-79-26565642 |
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E-Mail : |
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Website : |
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Location : |
Owned |
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Factory : |
636, Laxmi Industrial Estate, Village Rakanpur, Santej, |
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Tel. No.: |
91-2764-286373 / 286650 |
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Fax No.: |
91-2764-286374 |
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E-Mail : |
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Location : |
Owned |
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Branches : |
106 First Cross, Hal III Stage, Banglore-560075 |
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Tel. No.: |
91-80-41154546 |
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Location : |
Rented |
DIRECTORS
As on : 30.09.2010
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Name : |
Mr. Kamalesh Rasiklal Mehta |
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Designation : |
Managing Director |
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Address : |
14, Darshan Society, Near |
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Date of Birth/Age : |
05.07.1959 |
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Qualification : |
B.E. Chemical |
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Date of Appointment : |
07.08.1995 |
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DIN No. |
00238024 |
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Name : |
Mr. Prafulbhai Kantilal Patel |
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Designation : |
Whole time Director |
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Address : |
4/B, Tulip Bungalows, Thaltej, Ahmedabad-380054, |
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Date of Birth/Age : |
21.03.1962 |
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Date of Appointment : |
07.08.1995 |
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DIN No. |
00412852 |
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Name : |
Mr. Arvind Shivlal Patel |
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Designation : |
Director |
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Address : |
1021, Kolleblvde, Secaucus, N. J. 07094 (U.S.A) |
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Date of Birth/Age : |
06.01.1957 |
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Date of Appointment : |
02.11.1995 |
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DIN No. |
00413004 |
KEY EXECUTIVES
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Name : |
Mrs. Rajani |
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Designation : |
Accountant |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on : 30.09.2010
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Names of Shareholders |
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No. of Shares |
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Mr. Kamalesh Rasiklal Mehta |
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131800 |
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Mr. Rasiklal S. Mehta |
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1000 |
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Mr. Praful Kantilal Patel |
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132500 |
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Mr. Kantilal V. Patel |
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1000 |
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Mr. Arvindbha Shivlal Patel |
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133300 |
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Mr. Hareshbhai P. Kamdar |
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1000 |
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Mrs. Nirmala A. Shah |
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1000 |
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Total |
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401600 |
As on : 30.09.2010
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Category |
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Percentage |
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Directors or relatives of directors |
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99.50 |
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Other |
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0.50 |
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Total
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer
of Air Handling Unit. |
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Products : |
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Exports : |
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Products : |
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Countries : |
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Imports : |
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Products : |
Raw Material |
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Country : |
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Terms : |
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Purchasing : |
Cash, Credit (30 / 60 days ) |
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Selling : |
Cash, Credit (30 / 60 days ) |
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PRODUCTION STATUS (AS ON : 31.03.2010)
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Particulars |
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Unit |
Actual
Production |
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AHU and Ventilation Unit and Components Parts |
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Nos. |
1874 |
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GENERAL INFORMATION
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Customers : |
End Users |
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No. of Employees : |
400 ( Approximately) |
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Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Anil N. Shah and company Chartered Accountants |
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Address : |
201-205, Sarthak Complex, B/H Urja House, C. G. Road, Navrangpura,
Ahmedabad-380009, Gujarat, India |
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Tel. No.: |
91-79-26446107 / 26430497 / 40076107 |
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Mobile No.: |
91-9825174950 / 9327004626 |
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Fax No.: |
91-79-26446107 / 26430497 / 40076107 |
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E-Mail : |
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Associates/Subsidiaries : |
Citizen Coil Company Private Limited |
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CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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1000000 |
Equity Share |
Rs.10/- Each |
Rs. 10.000 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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401600 |
Equity Share |
Rs.10/- Each |
Rs. 4.016
Millions |
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FINANCIAL DATA
[All figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
4.016 |
4.016 |
4.016 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
165.227 |
137.430 |
109.224 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
169.243 |
141.446 |
113.240 |
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LOAN FUNDS |
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1] Secured Loans |
41.418 |
26.906 |
16.915 |
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2] Unsecured Loans |
2.900 |
2.900 |
2.900 |
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TOTAL BORROWING |
44.318 |
29.806 |
19.815 |
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DEFERRED TAX LIABILITIES |
3.486 |
2.944 |
1.376 |
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DEFERRED PAYMENT LIABILITIES |
4.032 |
2.027 |
0.320 |
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TOTAL |
221.079 |
176.223 |
134.752 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
114.208 |
77.150 |
28.945 |
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Capital work-in-progress |
0.084 |
0.946 |
9.057 |
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INVESTMENT |
12.819 |
12.819 |
22.819 |
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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 |
59.929
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53.756
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33.595 |
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Sundry Debtors |
44.445
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50.485
|
45.853 |
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Cash & Bank Balances |
9.817
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4.942
|
5.768 |
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Other Current Assets |
0.000
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0.000
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0.000 |
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Loans & Advances |
24.690
|
34.614
|
20.801 |
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Total
Current Assets |
138.881
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143.797
|
106.017 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
26.992
|
42.274
|
20.687 |
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Provisions |
17.921
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16.215
|
11.399 |
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Total
Current Liabilities |
44.913
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58.489
|
32.086 |
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Net Current Assets |
93.968
|
85.308
|
73.931 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
221.079 |
176.223 |
134.752 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Income |
270.176 |
241.810 |
168.064 |
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Other Income |
2.141 |
3.444 |
1.572 |
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TOTAL (A) |
272.317 |
245.254 |
169.636 |
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Less |
EXPENSES |
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Raw material Consumed |
159.781 |
137.151 |
99.951 |
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Manufacturing, Administrative and other Expenses |
52.201 |
44.204 |
33.041 |
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Increase / Decrease in Stock |
(7.455) |
2.579 |
(2.895) |
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TOTAL (B) |
204.527 |
183.934 |
130.097 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
67.790 |
61.321 |
39.539 |
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Less |
FINANCIAL
EXPENSES (D) |
5.555 |
3.619 |
2.167 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
62.235 |
57.701 |
37.372 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
12.582 |
6.228 |
4.391 |
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PROFIT BEFORE
TAX (E-F) (G) |
49.653 |
51.473 |
32.981 |
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Less |
TAX (I) |
16.797 |
18.126 |
11.585 |
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PROFIT AFTER TAX
(G-I) (J) |
32.856 |
33.347 |
21.396 |
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Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
109.730 |
88.524 |
77.967 |
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Less |
APPROPRIATIONS |
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Transfer to General Reserve |
7.000 |
7.000 |
7.000 |
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Dividend |
0.682 |
0.546 |
0.546 |
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Tax on Dividend |
4.016 |
3.212 |
3.212 |
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BALANCE CARRIED
TO THE B/S |
130.527 |
109.730 |
88.524 |
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EARNINGS IN
FOREIGN CURRENCY |
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Export Earnings |
3.808 |
0.138 |
0.302 |
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TOTAL EARNINGS |
3.808 |
0.138 |
0.302 |
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Earnings Per
Share (Rs.) |
80.91 |
79.59 |
53.07 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
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PAT / Total Income |
(%) |
12.06 |
13.60 |
12.61 |
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Net Profit Margin (PBT/Sales) |
(%) |
18.37 |
21.15 |
19.62 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
19.61 |
23.14 |
24.44 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.29 |
0.36 |
0.29 |
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Debt Equity Ratio (Total Liability/Networth) |
|
0.52 |
0.62 |
0.46 |
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Current Ratio (Current Asset/Current Liability) |
|
3.09 |
2.46 |
3.30 |
LOCAL AGENCY FURTHER INFORMATION
NOTE :
Registered Office of
the company has been shifted No. 301, Sarthak Complex, Behind Urja House,
FORM 8
Bankers Charges
Report as per Registry
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Name of the company |
Citizen Industries Limited |
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Presented By |
Mr. Kamlesh R.
Mehta |
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1) Date and description of instrument creating the change |
25.07.1997. No
instrument was executed. Memorandum or entry of equitable mortgage dated
25.07.1997 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 9.000
Millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
First charge on
the movable property of the company situated at Block no. 636 / P. Rakanpur.
District- Kadi, Taluka- Mehsana by way of equitable mortgage. The whole of
company’s immovable property fittings, fixture, electrical installations
erection, structure, goes downs present or future. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
First charge over
the immovable property of the company to cover the limits of Rs. 9.000 Millions
sanctioned by the bank. Rate of Interest – cash credit 16.50% medium term
loan 18.25% cash Credit repayable on demand. Medium term loan 5 years. |
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5) Name and Address and description of the person entitled to the charge. |
State Bank of |
OPERATIONS
During the year, for the first time, the company has entered in export
market and has initially achieved sales of Rs. 270.177 Millions including of
export sales and have made profit or Rs. 32.403 Millions after providing
depreciation of Rs. 12.592 Millions.
TRADE REFERENCE :
- Citizal Industry
FIXED ASSETS
- Land
- Plant
and Machinery
- Electrical
Installation
- Dies and Tools
- Furniture
and Fixture
- Computer
- Office
Equipments
- Vehicles
AS PER WEB DETAILS
PROFILE
The founder Director and Chief Executive Officer of Citizen Group Mr. Kamalesh Mehta established a Small Scale industry in 1986 for manufacturing of Fan Coil Units and Air-Conditioning Equipment for domestic application. Mr. Mehta acquired the work experience for 6 years in the field of marketing, designing and installation of air-conditioning equipment prior to starting his own industry.
Within a short span, in 1990 the group established another unit for the manufacturing of Air Handling Units with larger manufacturing setup. In 1992, one more factory was established for the manufacturing of Cooling and Heating Coils.
Considering continuous rise in demand and addition in product range, the group felt the necessity for larger manufacturing facility. In 1997, the group established a larger factory of about 4,000 sq.mt in approximately 10,000 sq.mt. Land area forming a closely held public limited company. To minimize the product cost and to have better control over quality, company installed all necessary manufacturing facility in-house. Also to have better command over production activities, the operations were centralized merging two smaller units with the new one.
In 1999 Citizen Group ventured into another product line, close to its original business of HVAC equipment. The group started the manufacturing of equipment related to Lab environment acquiring a property of approximately 3,500 sq.mt. Built up area. All the products manufactured in the new line are unique in technology and highly appreciated by users.
Today, the group has full-fledged large manufacturing facilities at three locations and fully equipped administration and marketing office at the most prime location of city. Citizen group is providing employment to more than 270 people with fast growing turnover.
Sky is the limit......both the major factories of the group has now initiated the actions for 100% expansion. New facilities are scheduled to be in operation by September 2005. Citizen group is enjoying good reputation all over the country.
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. 44.27 |
|
|
1 |
Rs. 72.08 |
|
Euro |
1 |
Rs. 63.66 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
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 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
|
TOTAL |
|
50 |
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.