MIRA
INFORM REPORT
|
Report Date : |
30.08.2011 |
IDENTIFICATION DETAILS
|
Name : |
DEEPAK SPINNERS LIMITED |
|
|
|
|
Registered
Office : |
# 121, Industrial Area, Baddi Tehsil Nalagarh, District Solan – 173
205, Himachal Pradesh |
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|
|
|
Country : |
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|
|
|
|
Financials (as
on) : |
31.03.2010 |
|
|
|
|
Date of
Incorporation : |
25.03.1982 |
|
|
|
|
Com. Reg. No.: |
06-016465 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.72.011
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L17111HP1982PLC16465 |
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|
|
|
Legal Form : |
A Public Limited Liability Company. The company’s shares are listed on
the Stock Exchange. |
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|
|
|
Line of Business
: |
Subject is engaged in Manufacture and Sale of Yarn. |
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|
|
|
No. of Employees
: |
1772 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 1755000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
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|
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|
Litigation : |
Clear |
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|
Comments : |
Subject is an established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to
be usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
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) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office/ Factory 1 : |
# 121, Industrial Area, Baddi Tehsil Nalagarh, District Solan – 173
205, |
|
Tel. No.: |
91-1795-244016/ 244017/ 244026/ 244024 |
|
Fax No.: |
91-1795-244011 |
|
E-Mail : |
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|
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|
Administrative
Office: |
SCO 16, II Floor, Sector 26, Madhya Marg, |
|
Tel. No.: |
91-172-2790973/ 2790974/ 2791272 |
|
Fax No.: |
91-172-2790975/ 2790977 |
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|
|
|
Corporate Office : |
16, |
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|
|
|
Factory 2 : |
Village: Pagara, Tehsil and District: Guna - 473 001, |
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Pradip Kumar Daga |
|
Designation : |
Chairman cum Managing Director |
|
|
|
|
Name : |
Mr. Vikram Prakash Aggarwal |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Yashwant Daga |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Pradeep Kumar Drolia |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Jagdish Narain Pathak |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mrs. Puneeta Arora |
|
Designation : |
Secretary |
|
|
|
|
Name : |
Mr. S.B. Sharda |
|
Designation : |
President |
|
|
|
|
Name : |
Mr. R.C. Rustagi |
|
Designation : |
Senior Vice President (Export and Development) |
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|
|
|
Name : |
Mr. Sudesh Tiwari |
|
Designation : |
Vice President (Technical) |
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|
|
|
Name : |
Mr. S.K. Thakur |
|
Designation : |
Vice President (Engineering) |
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|
|
|
Name : |
Mr. D.L. Yajnik |
|
Designation : |
Executive President |
|
|
|
|
Name : |
Mr. S.N. Aggarwal |
|
Designation : |
Vice President (Commercial) |
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|
|
|
Name : |
Mr. R.O. Sharma |
|
Designation : |
Vice President (Admn.) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2011
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
1,141,606 |
15.88 |
|
|
1,782,429 |
24.79 |
|
|
2,924,035 |
40.67 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
2,924,035 |
40.67 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
5,400 |
0.08 |
|
|
319,780 |
4.45 |
|
|
3,700 |
0.05 |
|
|
328,880 |
4.57 |
|
|
|
|
|
|
195,426 |
2.72 |
|
|
|
|
|
|
2,521,163 |
35.07 |
|
|
1,073,304 |
14.93 |
|
|
146,560 |
2.04 |
|
|
145,809 |
2.03 |
|
|
750 |
0.01 |
|
|
1 |
- |
|
|
3,936,453 |
54.75 |
|
Total Public shareholding (B) |
4,265,333 |
59.33 |
|
Total (A)+(B) |
7,189,368 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
7,189,368 |
- |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal share
capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Subject is engaged in Manufacture and Sale of Yarn. |
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|
Products : |
|
PRODUCTION STATUS (AS ON 31.03.2010)
|
Particulars |
|
31.03.2010 |
|
Installed Capacity (As Certified by the Management) |
|
57408 spindles |
|
|
|
|
|
Particulars |
Unit |
Actual
Production |
|
Yarn |
Kg |
17497202 !! |
|
|
|
|
!! Excludes 16314 Kg. for reprocessing
GENERAL INFORMATION
|
No. of Employees : |
1772 (Approximately) |
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Bankers : |
State Bank of |
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Facilities : |
a) Term Loans from Banks are secured by either (a) exclusive first charge on fixed assets purchased from such loans under TUFS or (b) pari-passu charge on fixed assets other than (a) above. Same are further secured by second charge either on current assets or entire other fixed assets of the Company. These loans are further secured by personal guarantee of two Directors of the Company. b) Corporate loans from Banks is secured/to be secured by way of first charge on fixed assets of the Company on pari-passu basis except assets charged exclusively for term loan under TUFS. Part of Corporate Loan is also secured/to be secured by second charge on the current assets both present and future of the Company. These loans are further secured by personal guarantee of two Directors. Rupee Corporate Loan is additionally secured by pledge of part of promoters equity shares in the Company. c) Working capital facilities from Banks are secured by first charge on current assets both present and future and additionally secured/to be secured by way of second charge on all fixed assets except assets charged exclusively for term loans under TUFS. The same is further secured by personal guarantee of two Directors of the Company. d) Other loans from bank is secured by specific charge on assets purchased. Repayable within one year Rs.0.048 Million (Previous year Rs.0.074 Million) |
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Banking
Relations : |
-- |
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Auditors : |
|
|
Name : |
Singhi and Company Chartered Accountants |
|
Address : |
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Subsidiary Company : |
DSL Hydrowatt Limited |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8000000 |
Equity Shares |
Rs.10/- each |
Rs.80.000 Millions |
|
6000000 |
Equity Shares |
Rs.10/- each |
Rs.60.000 Millions |
|
|
Total
|
|
Rs.140.000
Millions |
Issued, Subscribed:
|
No. of Shares |
Type |
Value |
Amount |
|
7212868 |
Equity Shares |
Rs.10/- each |
Rs.72.129
Millions |
|
|
|
|
|
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
7189368 |
Equity Shares |
Rs.10/- each |
Rs.71.894
Millions |
|
|
Add: Share Forfeited |
|
Rs.0.117
Million |
|
|
Total
|
|
Rs.72.011 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
72.011 |
72.011 |
72.011 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
366.691 |
475.823 |
503.207 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
438.702 |
547.834 |
575.218 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
781.409 |
797.483 |
1071.284 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.849 |
|
|
TOTAL BORROWING |
781.409 |
797.483 |
1072.133 |
|
|
DEFERRED TAX LIABILITIES |
136.970 |
151.741 |
173.281 |
|
|
|
|
|
|
|
|
TOTAL |
1357.081 |
1497.058 |
1820.632 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
750.256 |
914.359 |
1002.397 |
|
|
Capital work-in-progress |
35.038 |
6.932 |
3.555 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.499 |
0.499 |
0.499 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
276.920
|
289.025 |
366.285 |
|
|
Sundry Debtors |
181.158
|
169.037 |
317.891 |
|
|
Cash & Bank Balances |
13.149
|
12.961 |
26.548 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
216.609
|
203.863 |
231.090 |
|
Total
Current Assets |
687.836
|
674.886 |
941.814 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
92.645
|
77.838 |
104.805 |
|
|
Other Current Liabilities |
11.926
|
9.677 |
14.748 |
|
|
Provisions |
11.977
|
12.103 |
8.080 |
|
Total
Current Liabilities |
116.548
|
99.618 |
127.633 |
|
|
Net Current Assets |
571.288
|
575.268 |
814.181 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1357.081 |
1497.058 |
1820.632 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2091.168 |
1398.760 |
1967.131 |
|
|
|
Other Income |
14.417 |
18.967 |
18.302 |
|
|
|
TOTAL (A) |
2105.585 |
1417.727 |
1985.433 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Materials Consumed |
1461.113 |
930.148 |
1453.393 |
|
|
|
Manufacturing and Other Expenses |
469.932 |
328.261 |
468.228 |
|
|
|
Impairment |
85.000 |
0.000 |
0.000 |
|
|
|
Increased/ Decreased in Stock |
67.273 |
74.307 |
(67.290) |
|
|
|
TOTAL (B) |
2083.318 |
1332.716 |
1854.331 |
|
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
22.267 |
85.011 |
131.102 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
65.006 |
59.380 |
80.747 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(42.739) |
25.631 |
50.355 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
76.555 |
59.296 |
82.844 |
|
|
|
|
|
|
|
|
|
Add |
EXCEPTIONAL ITEMS |
(4.113) |
(14.894) |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
(123.407) |
(48.559) |
(32.489) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
14.275 |
21.175 |
5.720 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
(109.132) |
(27.384) |
(26.769) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
169.488 |
196.872 |
223.641 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
60.356 |
169.488 |
196.872 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of exports (Net) |
311.431 |
196.582 |
391.714 |
|
|
TOTAL EARNINGS |
311.431 |
196.582 |
391.714 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2.536 |
5.292 |
0.000 |
|
|
|
Stores & Spares |
1.990 |
1.202 |
33.736 |
|
|
|
Capital Goods |
19.822 |
0.000 |
1.513 |
|
|
TOTAL IMPORTS |
24.348 |
6.494 |
35.249 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (Rs.) |
(15.18) |
(3.81) |
NA |
|
QUARTERLY
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
31.03.2011 |
30.06.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
5th
Quarter |
|
Net Sales |
499.900 |
623.600 |
689.500 |
723.700 |
648.300 |
|
Total Expenditure |
471.900 |
581.700 |
608.600 |
664.700 |
600.200 |
|
PBIDT (Excl OI) |
28.000 |
41.900 |
80.900 |
59.000 |
48.100 |
|
Other Income |
2.300 |
3.200 |
2.600 |
10.000 |
5.300 |
|
Operating Profit |
30.300 |
45.100 |
83.500 |
69.000 |
53.400 |
|
Interest |
18.000 |
20.000 |
19.000 |
18.600 |
22.200 |
|
Exceptional Items |
(7.100) |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
5.200 |
25.100 |
64.500 |
50.400 |
31.200 |
|
Depreciation |
19.200 |
19.300 |
19.000 |
17.400 |
17.000 |
|
Profit Before Tax |
(14.000) |
5.800 |
45.500 |
33.000 |
14.200 |
|
Tax |
(3.900) |
0.900 |
24.400 |
(14.000) |
1.400 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
(10.100) |
4.900 |
21.100 |
47.000 |
12.800 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
(10.100) |
4.900 |
21.100 |
47.000 |
12.800 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(5.18)
|
(1.93) |
(1.35) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(5.90)
|
(3.47) |
(1.65) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(8.58)
|
(3.05) |
(1.67) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.28)
|
(0.09) |
(0.06) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.05
|
1.64 |
2.09 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
5.90
|
6.77 |
7.38 |
LOCAL AGENCY FURTHER INFORMATION
GENERAL REVIEW
In view of the economy showing signs of recovery, increased overseas and domestic demand, there is improvement in the performance of the Company. We hope to achieve better results in spite of devalued US dollar and Euro and rising cost of labour.
SUBSIDIARY COMPANY
M/s. DSL Hydrowatt Limited is the only subsidiary of the Company. Consolidated accounts and the Statement under Section 212 of the Companies Act, 1956
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
INDUSTRY SCENARIO
The textile industry plays vital role in Indian economy. Apart from providing one of the basic necessities of life, it contributes about 14% to industrial production, 4% to GDP (Gross Domestic Product) and 13.50% to the exchange earnings, in addition to providing direct employment to 35 million people.
The recession finally receded resulting in continuous inflow of demand for the textile products. However, this positive change has to deal with certain challenges. The high cost of raw materials is pushing up the cost of textile products. Trained manpower has become hard to come by and is getting harder to retain, making it difficult to even fully utilize their installed capacity.
OUTLOOK
The demand for textile products is improving both in the domestic as well as foreign markets. However, to improve its profitability, the textile industry must explore new areas of consumption such as non-woven disposable products like wipes, diapers etc. The problem of lack of skilled labour has also to be dealt with properly.
UNAUDITED FINANCIAL RESULTS FOR THE
QUARTER ENDED 30TH JUNE, 2011
(Rs. in millions)
|
Particulars |
For the quarter ended |
For the previous ended |
For the previous year ended |
|
30.06.2011 (Unaudited) |
30.06.2010 (Unaudited) |
31.03.2011 (Audited) |
|
|
1. (a) Net Sales / Income from operations |
647.200 |
498.600 |
2632.900 |
|
(b) Other Operating Income |
1.100 |
1.300 |
3.800 |
|
Total Income |
648.300 |
499.900 |
2636.700 |
|
|
|
|
|
|
2.
Expenditure |
|
|
|
|
a) (Increase) / Decrease in stock in trade and work in
progress |
16.600 |
(26.000) |
(68.800) |
|
b) Consumption of raw materials |
456.200 |
374.600 |
1838.300 |
|
c) Employees cost |
39.600 |
33.500 |
154.300 |
|
d) Power and Fuel |
43.100 |
55.400 |
223.900 |
|
e) Depreciation/ Impairment |
17.000 |
19.200 |
74.900 |
|
f) Other expenditure |
44.700 |
34.400 |
179.200 |
|
Total |
617.200 |
491.100 |
2401.800 |
|
|
|
|
|
|
3. Profit from operations before other income, interest
and exceptional Items (1-2) |
31.100 |
8.800 |
134.900 |
|
4. Other income |
5.300 |
2.300 |
18.100 |
|
5. Profit before interest and exceptional Items (3+4) |
36.400 |
11.100 |
183.000 |
|
6. Interest |
22.200 |
18.000 |
75.600 |
|
7.
Profit after Interest but before Exceptional Items (5-6) |
14.200 |
(6.900) |
77.400 |
|
8. Exceptional Items |
-- |
(7.100) |
(7.100) |
|
9.
Profit (+)/Loss(-) from Ordinary Activities before tax (7+8) |
14.200 |
(14.000) |
70.300 |
|
10. Tax expense – Current |
(2.800) |
-- |
(14.700) |
|
- Deferred |
1.400 |
3.900 |
7.300 |
|
11.
Net Profit (+)/Loss(-) from Ordinary Activities after tax
(9-10) |
12.800 |
(10.100) |
62.900 |
|
12. Extraordinary
Items (net of tax expenses) |
-- |
-- |
-- |
|
13. Net Profit (+) / Loss (-) for the year period (11-12) |
12.800 |
(10.100) |
62.900 |
|
14. Paid up equity share capital (Face value of Rs.10/- per share) |
72.000 |
72.000 |
72.000 |
|
15. Reserves excluding revaluation reserves as per balance
sheet of previous accounting year |
-- |
-- |
429.500 |
|
16. Earning per share (EPS) |
|
|
|
|
(a)
Basic and diluted EPS before Extraordinary items for
the period |
1.78 |
(1.39) |
8.74 |
|
(b)
Basic and diluted EPS after Extraordinary items for the period |
1.78 |
(1.39) |
8.74 |
|
17. Public shareholding |
|
|
|
|
- Number of shares |
4265333 |
4265333 |
4265333 |
|
- Percentage of shareholding |
59.34% |
59.34% |
59.34% |
|
18. Promoters and Promoters group Shareholding- |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
- Number of shares |
-- |
1389809 |
1389809 |
|
- Percentage of shares (as a % of total shareholding of
the promoter and promoter group) |
-- |
47.53% |
47.53% |
|
- Percentage of shares (as a % of total share capital of
the company) |
-- |
19.33% |
19.33% |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
- Number of shares |
2924035 |
1534226 |
1534226 |
|
- Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
100% |
52.47% |
52.47% |
|
- Percentage of shares (as a % of total share capital of
the company) |
40.66% |
21.33% |
21.33% |
Notes:
1. The above results were reviewed by the Audit Committee and approved by the Board of Directors and have been subjected to a Limited Review by the statutory auditors.
2. Shareholders’ complaints received – 1, disposed off – 1, and pending – Nil.
3. There is only one segment i.e. yarn.
4. The figures have been regrouped/ rearranged and/or recast, wherever found necessary.
CONTINGENT
LIABILITY NOT PROVIDED FOR IN RESPECT OF:
|
Particulars |
31.03.2010 (Rs.
in millions) |
31.03.2009 (Rs.
in millions) |
|
i) Bank Guarantee |
0.200 |
0.200 |
|
ii) Demand for Excise duty, being contested by the Company* |
5.708 |
4.086 |
|
iii) Demand for Income Tax, being contested by the Company (Amount deposited Rs.7.557 millions; Previous year Amount Rs 6.904 millions)* |
11.331 |
11.060 |
|
iv) Legal Cases (Employees)* |
2.100 |
-- |
*The management belives that The Company has a strong chance of success
in these cases, here no provision considered necessary.
FIXED ASSETS:
v Land
v Land (Lease Hold)
v Buildings
v Plant and Machinery
v Electrical Installation
v Office and Other
v Equipments
v Furniture and Fixtures
v Vehicles
v Tubewell
v Road and Culverts
WEBSITE DETAILS:
BUSINESS
DESCRIPTION:
Subject is an India-based company. The Company is engaged in manufacture
and sale of yarn. The Company’s product includes yarn of synthetic fiber. The
Company has two manufacturing plants, one in Madhya Pradesh and other in
Himachal Pradesh. DSL Hydrowatt Limited is the subsidiary of the Company. As of
March 31, 2010, the Company had an installed capacity of 57,408 spindles.
During the fiscal year ended March 31, 2010, the Company had a production of
17,497,202 kilograms. For the fiscal year ended 31 March 2010, Subject's
revenues totaled RS2.17B. Net loss totaled RS109.3M. Results are not comparable
as company has not reported comparable period values. Subject's principal
activity is to manufacture yarn. Its products include polyster and viscose
yarn, acrylic yarn and acrylic polyster blends. The group exports its products
to
BOARD OF
DIRECTORS:
Pradip Kumar Daga
Executive Chairman
of the Board, Chief Executive Officer, Managing Director
Shri. Pradip Kumar Daga is Executive Chairman of the Board, Chief
Executive Officer, Managing Director of Subject He has been appointed as
Managing Director and Chief Executive Officer of the Company with effect from
April 16, 2010. He holds B.Com (Hon's). He is Industrialist with varied
experience. His other Directorships include Century Textile and Ind. Limited,
Govind Sugar Mills Limited, Long View Tea Company Limited, Continental Profiles
Limited, Deepak Gears Limited, Deepak Industries Limited
Vikram Prakash
Aggarwal
Independent
Non-Executive Director
Shri. Vikram Prakash Aggarwal is Independent Non-Executive Director of
Deepak Spinner Limited He has B. Sc. (Mech.), Management from Harvard and MIT.
He is Retired Chairman and Managing Director of Spice Trading Corpn. of
Yashwant Daga
Non-Executive
Director
Shri. Yashwant Daga is Non-Executive Director of Subject He holds B.Com
(Hon's). He is Industrialist With varied experience. His other Directorships
include, HGI Industries Limited, Long View Tea Company Limited, DSL Hydrowatt
Limited, Deepak Gears Limited, Merlin Holding Private Limited, Narshingh
Holdings Private Limited, Jalpaiguri Holdings Private Limited, Contransys
Private Limited, Solding Hydrowatt Private Limited, Darjeeling Power Limited,
Mint Investments Limited
Jagdish Narain
Pathak
Independent
Non-Executive Director
Shri. Jagdish Narain Pathak is Independent Non-Executive Director of
Subject He holds MA., B.Com, CAIIB. He is also director of
PRESS RELEASES:
DISCLOSURE OF
PLEDGE SHARES
17 August 2011
Deepak Spinners Limited has informed BSE that the shares of the Company
were pledged with State Bank of
DEEPAK SPINNERS
GETS BB+ RATING FOR BANK FACILITIES FROM CARE
26 July 2011
Credit rating agency, CARE has assigned BB+ rating to Rs.747.500 millions long term bank facilities of Deepak Spinners. The rating agency has also assigned A4+ rating to Rs.120.000 millions short term bank facilities of the company. The ratings take into consideration the short track record of profitability after continuous losses over the past few years and high price volatility of the raw material. The ratings also take into account the highly working capital intensive nature of the operations and sensitivity of the textile sector with respect to the government regulations. Deepak Spinners is engaged in the manufacturing of variety of Polyester, Viscose and Acryclic Spun yarn, Grey and dyed in 100% as well as blended form.
DEEPAK SPINNERS
REPORTS NET PROFIT OF RS 21.100 MILLIONS FOR Q3
21 February 2011
Deepak Spinners has reported net profit of Rs.21.100 millions for the quarter ended December 31, 2010 against net loss of Rs 6.700 millions for the quarter ended December 31, 2009.The company has reported net sales / income from operations of Rs.688.300 millions for the quarter ended December 31, 2010 against Rs.610.600 millions for the quarter ended December 31, 2009.Deepak Spinners is one of the major exporters of blended yarn. The company manufactures synthetic blended yarns, both grey and dyed, made of polyester, viscose, acrylic, and other man-made files. Its products include polyester and viscose yarn, acrylic yarn, acrylic polyester blends and acrylic viscose blends.
DEEPAK SPINNERS
RESUMES PRODUCTION OF ITS POWER PLANT AT GUNA WORKS
19 November 2010
Deepak Spinners has resumed production of its power plant at Guna Works since November 12, 2010, which was temporarily shut down due to break down in the Turbine. Due to this break down, the operations of that unit was adversely affected. Deepak Spinners is one of the major exporters of blended yarn. The company manufactures synthetic blended yarns, both grey and dyed, made of polyester, viscose, acrylic, and other man-made files. Its products include polyester and viscose yarn, acrylic yarn, acrylic polyester blends and acrylic viscose blends.
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.45.87 |
|
|
1 |
Rs.75.15 |
|
Euro |
1 |
Rs.66.67 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
45 |
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.