MIRA
INFORM REPORT
|
Report Date : |
05.11.2011 |
IDENTIFICATION DETAILS
|
Name : |
NIIT LIMITED |
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Registered Office : |
B - 234, Okhla Industrial Area,
Phase – I, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
02.12.1981 |
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Com. Reg. No.: |
55-15865 |
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CIN No.: [Company
Identification No.] |
L74899DL1981PLC015865 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELP00091A |
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PAN No.: |
AAACN0085D |
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Legal Form : |
Public Limited Liability company. The company’s shares are
listed on the Stock Exchanges. |
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Line of Business : |
Subject is engaged
in Learning Solution and Software Solution Business |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 15760000 |
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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 and reputed IT educational company having fine track. It has
multi-national operations. Financial position is good. Trade relations are
fair. Payments are correct and as per commitments. The company can
be considered good for normal 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 |
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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 DENIED BY
|
Name : |
Mr. Pramod Srivastava |
|
Designation : |
Finance Manager |
|
Contact No.: |
91-124-4293000 |
|
Date : |
16.08.2010 |
LOCATIONS
|
Registered Office : |
B - 234, Okhla Industrial Area,
Phase – I, |
|
Tel. No.: |
91-11-26817341 / 26817342 / 26817343 / 41407000 |
|
Fax No.: |
91-11-26819260 / 26817344 |
|
E-Mail : |
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|
Website : |
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|
Regional
Office : |
Located at :- Ř
Mumbai, Ř Chennai, Tamilnadu Ř
Kolkata, Ř
Ř
Pune, Ř and several other places. |
|
|
|
|
Corporate
Office : |
8, Balaji Estate, Sudarshan Munjal Marg, Kalkaji, Tel. No. 91-11-26482054 / 26203300 Fax No. 91-11-26203333 / 26475892 E-Mail. raju@niitdel1.niit.co.in NIIT House, 85,
Sector 32, Institutional Area, Gurgaon-122001, E-Mail: niit.webmaster@niit.com Tel. No.:
91-124-4293000 Fax No.:
91-124-4293333 |
|
|
|
|
Branches : |
Located at :- Ř
Ř
Mumbai, Ř Chennai, Tamilnadu Ř
Ř
Kolkata, Ř
Ř
Pune, Ř
and several other places |
|
|
|
|
Overseas
Offices : |
Principal Office NIIT (
|
DIRECTORS
|
Name : |
Mr. Rajendra Singh Pawar |
|
Designation : |
Chairman & Managing Director |
|
Date of Birth/Age : |
55 years |
|
Qualification : |
B.Tech. |
|
Experience : |
34 years |
|
Date of Appointment : |
02.12.1981 |
|
Previous Employment : |
HCI Limited,
Corporate Planning Manager |
|
|
|
|
Name : |
Mr. Subroto Bhattacharya |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Amit Sharma |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Shardul Shroff |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Surendra Singh |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Sanjay Khosla |
|
Designation : |
Additional Non Executive Director & Independent Director |
|
|
|
KEY EXECUTIVES
|
Name : |
Mr. Arvind Thakur |
|
Designation : |
President |
|
|
|
|
Name : |
Mr. P. Rajendran |
|
Designation : |
Chief Executive Officer and Whole time Director |
|
Date of
Birth/Age : |
53 years |
|
Qualification
: |
B.E. |
|
Experience : |
32 years |
|
Date of
Appointment : |
01.09.1982 |
|
Previous Employment : |
Keltron Limited, Resident Manager |
|
|
|
|
Name : |
Mr. Vijay K. Thadani |
|
Designation : |
Chief Executive Officer and Whole-time Director |
|
Date of
Birth/Age : |
55 years |
|
Qualification
: |
B. Tech |
|
Experience : |
34 years |
|
Date of
Appointment : |
02.12.1981 |
|
Previous Employment : |
Keltron Limited, Branch Manager |
|
|
|
|
Name : |
Mr. Ashok Arora |
|
Designation : |
Group Chief Financial Officer |
|
|
|
|
Name : |
Mr. Praveen Jain |
|
Designation : |
Company Secretary and Legal Counsel |
|
|
|
|
Name : |
Mr. Jitender Mahajan |
|
Designation : |
Chief Financial
Officer |
|
Date of
Birth/Age : |
42 years |
|
Qualification
: |
|
|
Experience : |
18 years |
|
Date of
Appointment : |
12.03.2002 |
|
Previous Employment : |
Electrolus Kelvinator
Limited, General Manager- Corporate Accounts |
|
|
|
|
Name : |
Mr. Suren Singh Rasaily |
|
Designation : |
Executive Vice
President |
|
Date of
Birth/Age : |
47 years |
|
Qualification
: |
MBA |
|
Experience : |
24 years |
|
Date of
Appointment : |
01.04.1988 |
|
Previous Employment : |
Project 21,
Business Manager, Eastern Operations |
|
|
|
|
Name : |
Mr. L. Balasubramanion |
|
Designation : |
President, K12
Business |
|
Date of
Birth/Age : |
52 years |
|
Qualification
: |
B.E. |
|
Experience : |
32 years |
|
Date of
Appointment : |
30.11.1988 |
|
Previous Employment : |
DCM Data
Products, Regional Systems, Engineering Manager |
|
|
|
|
Name : |
Mr. Udai Singh |
|
Designation : |
Senior Vice
President, Global Design and Development |
|
Address : |
|
|
Date of
Birth/Age : |
38 years |
|
Qualification
: |
B.E., M.E. |
|
Experience : |
17 years |
|
Date of
Appointment : |
23.03.2005 |
|
Previous Employment : |
NIIT Online
Learning Limited, Whole-time Director & Chief Operating Officer |
|
|
|
|
Name : |
Mr. Santhanam Venkatesh |
|
Designation : |
Senior Vice
President- South, Individual Learning Business |
|
Date of
Birth/Age : |
43 years |
|
Qualification
: |
BBA, MBA |
|
Experience : |
21 years |
|
Date of
Appointment : |
16.04.1992 |
|
Previous Employment : |
Computer Point
Limited, Product Manager, Sales and Marketing |
|
|
|
|
Name : |
Mr. Neeraj Agarwal |
|
Designation : |
Senior Vice
President, Content & Publishing, Knowledge Solution Business |
|
Date of
Birth/Age : |
44 years |
|
Qualification
: |
B.E. |
|
Experience : |
21 years |
|
Date of
Appointment : |
15.02.1993 |
|
Previous Employment : |
KLG Consultants
Limited, Systems Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2010
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
7,229,369 |
4.38 |
|
|
48,843,539 |
29.59 |
|
|
56,072,908 |
33.96 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
56,072,908 |
33.96 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
14,809,714 |
8.97 |
|
|
38,416 |
0.02 |
|
|
702,627 |
0.43 |
|
|
46,007,306 |
27.87 |
|
|
61,558,063 |
37.29 |
|
|
|
|
|
|
13,268,864 |
8.04 |
|
|
|
|
|
|
25,197,173 |
15.26 |
|
|
4,107,624 |
2.49 |
|
|
4,890,965 |
2.96 |
|
|
3,261,636 |
1.98 |
|
|
1,606,829 |
0.97 |
|
|
22,500 |
0.01 |
|
|
47,464,626 |
28.75 |
|
Total Public shareholding (B) |
109,022,689 |
66.04 |
|
Total (A)+(B) |
165,095,597 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
Total (A)+(B)+(C) |
165,095,597 |
- |
|
|
|
|
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to BUSINESS DETAILS
|
Line of Business : |
Subject is
engaged in Learning Solution and Software Solution Business |
|
|
|
|
Products : |
Learning
solutions |
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Exports to : |
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Imports from : |
Europe and |
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Terms : |
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Selling : |
-- |
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|
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Purchasing : |
L/C |
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GENERAL INFORMATION
|
No. of Employees : |
1500
(Approximately) (Confirm by the Finance Manager – Mr. Pramod
Srivastava) |
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Bankers : |
Ř
Citibank NA, Ř Hong Kong & Shanghai Banking Corporation Limited Ř ICICI Bank Limited Ř Indian Overseas Bank Ř Lloyds Bank Plc. Ř Sakura Bank Limited Ř
Standard Chartered Grindlays
Bank Limited, Ř
Wachovia Bank of Ř BNP Paribas Ř Bank of the West |
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Facilities : |
Notes: (i) 12% Non Convertible Debentures to Life Insurance
Corporation of Redemption Date Value
to be redeemed (Rs. In Millions) 20.10.2013
166.670 20.10.2014
166.670 20.10.2015
166.670
500.100 (ii) 11.25% Non
Convertible Debentures to Indian Overseas Bank amounting to Rs. 500.000 millions are redeemable at par as follows: Redemption Date Value
to be redeemed (Rs. In Millions) 17.03.2012 100.000 17.03.2013
200.000 17.03.2014
200.000
500.000
Note: Non
Convertible Debentures held by Fortis Mutual Fund
as on 31.03.2010 amounting to Rs. 600.000 millions/- are redeemable at par on 02.07.2010. |
||||||||||||||||||||||||||||||||||||
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Banking
Relations : |
- |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse Chartered Accountants |
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|
|
|
Memberships : |
National Association of Software and Service Companies |
|
|
|
|
Associates/Subsidiaries : |
Subsidiaries 1. NIIT Online Learning Limited 2. Hole-in-the-Wall Education Limited 3. Scantech Evaluation Services Limited 4. NIIT Multimedia Limited 5. NIIT Institute of Finance Banking and Insurance Training Limited 6. NIIT Institute of Process Excellence Limited 7. Evolv Services Limited 8. NIIT Limited, 9. NIIT Antilles NV, 10. NIIT Middle East WLL, 11. NIIT 12. NIIT GC Limited (formerly NIIT TVE Limited, 13. NIIT 14. 15. 16. Wuxi NIIT Information Technology
Consulting Limited (w.e.f. June 2009) 17. Changzhou NIIT Information Technology
Consulting Limited (w.e.f. September 2009) 18. Imperia 19. PCEC NIIT Institute of Information Technology, 20. NIIT ( 21. NIIT Ventures Inc., 22. Element K Corporation, 23. Element K India Private Limited, 24. Element K ( 25. Element K Canada Inc., 26. PT NIIT Associates (parties in which the Company has
substantial interest) 1. NIIT Technologies Limited 2. NIIT GIS Limited 3. NIIT Smart Serve Limited (parties in which the Key Managerial Personnel of
the Company has interest) 1. NIIT
Institute of Information Technology 2. NIIT
Education Society 3. Pace
Industries Private Limited 4. NIIT Network
Services Limited |
CAPITAL STRUCTURE
As On 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
250000000 |
Equity Shares |
Rs. 2/- each |
Rs. 500.000 millions |
|
2500000 |
Redeemable
Preference Shares |
Rs. 100/- each |
Rs.250.000 millions |
|
|
Total |
|
Rs.750.000 millions |
Issued:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
165101597 |
Equity Shares |
Rs. 2/- each |
Rs. 330.203 Millions |
|
|
|
|
|
Subscribed
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
165095597 |
Equity Shares |
Rs. 2/- each |
Rs. 330.191 Millions |
|
|
|
|
|
Paid Up
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
165095597 |
Equity Shares |
Rs. 2/- each |
Rs. 330.191 Millions |
|
|
Forfeited Shares (amount originally paid-up) |
|
Rs. 0.006 million |
|
|
|
|
Rs. 330.197 millions |
Note Issued share capital includes 142176960
equity shares of Rs 2/- each (pervious year 142176960
equity shares if Rs. 2/- each) allocated as fully
paid up Bonus shares by way of capitalization of General reserve/share premium
account/ capital redemption reserve in 2007-2008, 1998-1999, 1994-1995,
1992-1993 and 1987-1988.
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 |
330.197 |
329.971 |
329.400 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Option Outstanding |
0.000 |
0.679 |
0.000 |
|
|
4] Reserves & Surplus |
3609.790 |
3517.359 |
3303.400 |
|
|
5] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
3939.987 |
3848.009 |
3632.800 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1065.541 |
1265.872 |
569.500 |
|
|
2] Unsecured Loans |
1440.389 |
720.861 |
243.300 |
|
|
TOTAL BORROWING |
2505.930 |
1986.733 |
812.800 |
|
|
DEFERRED TAX LIABILITIES |
1.431 |
0 |
35.600 |
|
|
|
|
|
|
|
|
TOTAL |
6447.348 |
5834.742 |
4481.200 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1820.462 |
1776.649 |
1050.500 |
|
|
Capital work-in-progress |
79.436 |
175.774 |
157.900 |
|
|
|
|
|
|
|
|
INVESTMENT |
2012.160 |
1847.973 |
1785.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
62.343 |
131.100 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
101.330
|
92.420 |
111.200 |
|
|
Sundry Debtors |
2169.738
|
1785.636 |
1279.800 |
|
|
Cash & Bank Balances |
288.683
|
399.295 |
423.800 |
|
|
Other Current Assets |
687.107
|
286.549 |
0.000 |
|
|
Loans & Advances |
1212.297
|
1510.187 |
1176.300 |
|
Total
Current Assets |
4459.155
|
4074.087 |
2991.100 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1031.068
|
1170.662 |
1310.500 |
|
|
Other Current Liabilities |
557.080
|
576.852 |
0.000 |
|
|
Provisions |
335.717
|
354.570 |
323.900 |
|
Total
Current Liabilities |
1923.865
|
2102.084 |
1634.400 |
|
|
Net Current Assets |
2535.290
|
1972.003 |
1356.700 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6447.348 |
5834.742 |
4481.200 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
6251.721 |
5456.168 |
4673.800 |
|
|
|
Other Income |
196.036 |
339.102 |
343.600 |
|
|
|
TOTAL (A) |
6447.757 |
5795.270 |
5017.400 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Personnel |
1174.176 |
1311.384 |
|
|
|
|
Development, production and Execution |
2589.508 |
1894.983 |
NA |
|
|
|
Administration and others |
959.808 |
961.006 |
|
|
|
|
Marketing |
562.888 |
482.005 |
|
|
|
|
Power & Fuel Cost |
|
|
106.500 |
|
|
|
Employee Cost |
|
|
1208.700 |
|
|
|
Other Manufacturing Expenses |
NA |
NA |
1457.600 |
|
|
|
Selling and Administration Expenses |
|
|
1253.300 |
|
|
|
Miscellaneous Expenses |
|
|
85.500 |
|
|
|
TOTAL (B) |
5286.380 |
4649.378 |
4111.600 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1161.377 |
1145.892 |
905.800 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
171.127 |
108.289 |
116.200 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
990.250 |
1037.603 |
789.600 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
541.792 |
402.413 |
358.200 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
448.458 |
635.190 |
431.400 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
136.762 |
163.085 |
103.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
311.696 |
472.105 |
327.700 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2359.718 |
2224.508 |
|
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
31.169 |
47.210 |
NA |
|
|
|
Transfer to Debenture Redemption Reserve |
202.063 |
52.063 |
|
|
|
|
Dividend |
257.108 |
237.622 |
|
|
|
BALANCE CARRIED
TO THE B/S |
2181.074 |
2359.718 |
|
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
474.805 |
499.158 |
NA |
|
|
TOTAL EARNINGS |
474.805 |
499.158 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Bought out packages/ products |
226.755 |
156.602 |
NA |
|
|
|
Capital Goods |
13.031 |
53.105 |
NA |
|
|
TOTAL IMPORTS |
239.786 |
209.707 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
1.89 |
NA |
NA |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2010 |
|
Gross Sales |
|
|
1418.400 |
|
Other Operating Income |
|
|
0.000 |
|
Other Income |
|
|
60.600 |
|
Total Income |
|
|
1479.000 |
|
Total Expenditure |
|
|
1287.400 |
|
PBIDT |
|
|
191.600 |
|
Interest |
|
|
61.400 |
|
PBDT |
|
|
130.200 |
|
Depreciation |
|
|
140.300 |
|
Tax |
|
|
0.400 |
|
Fringe Benefit Tax |
|
|
0.000 |
|
Deferred Tax |
|
|
-20.200 |
|
Reported PAT |
|
|
9.700 |
|
Extra-Ordinary Items |
|
|
0.000 |
|
Adjusted Profit After Extra Ordinary Item |
|
|
9.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
4.83
|
8.15 |
6.53 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.17
|
11.64 |
9.23 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.14
|
10.86 |
10.67 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11
|
0.17 |
0.12 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.12
|
1.06 |
0.67 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.32
|
1.94 |
1.83 |
LOCAL AGENCY FURTHER INFORMATION
Current
Liabilities:
(Rs. In millions)
|
Particulars |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
Sundry Creditors |
-- |
-- |
1310.500 |
|
- Due to micro enterprises and small enterprises |
1.007 |
0.011 |
NA |
|
Due to others |
1030.061 |
1170.661 |
NA |
|
Total |
1031.068 |
1170.672 |
1310.500 |
Overview:
NIIT is a leading Global Talent Development Corporation, building
skilled manpower pool for global industry requirements. The company which was
set up in 1981, to help the nascent IT industry overcome its human resource
challenges, has today grown to be amongst world’s leading talent development
companies offering learning solutions to Individuals, Enterprises and
Institutions across 40 countries.
NIIT’s training solutions in IT, Business Process
Outsourcing, Banking, Finance and Insurance, Executive Management Education,
and Communication and Professional Life Skills, touch five million learners
every year. NIIT’s expertise in learning content
development, training delivery and education process management make it the most
preferred training partner, worldwide
Research-based Innovation, a key driver at NIIT, has enabled the organisation to develop programs and curricula that use
cutting-edge instructional design methodologies and training delivery. NIIT’s Individual Learning Solutions include
industry-endorsed IT training programs like GNIIT, Integrated programs for
Engineers (NIIT Edgeineers) and Infrastructure
Management programmes (NIIT GlobalNet+).
For working professionals, NIIT Imperia, Centre for Advanced Learning,
brings Executive Management Education Programs from premier B-schools in
NIIT Institute of Finance Banking & Insurance (IFBI), formed by NIIT
with equity participation from ICICI Bank, offers programs for individuals and corporates in Banking, Financial Services and Insurance.
NIIT Uniqua, Centre for Process Excellence, addresses
the increasing demand for skilled workers in the business and technology
services industry by providing training programs in relevant areas. This is a
part of NIIT Institute of Process Excellence, a NIIT-Genpact
venture.
NIIT’s School Learning Solutions offers turnkey IT
integration program for schools and has provided computer – based learning in
over 12,000 government and private schools. NIIT eGuru,
is a comprehensive learning solutions for schools. To address the vast
population of underprivileged, school-aged children, NIIT launched the
Hole-in-the-Wall education initiative. Its achievements in the area of
Minimally Invasive Education earned NIIT the coveted Digital Opportunity Award,
by the World Information Technology Services Alliance (WITSA) in 2008.
NIIT’s Corporate Learning Solutions offers
integrated learning solutions, including strategic consulting, learning design,
content development, delivery, technology, assessment and learning management
to Fortune 500 companies, Universities, Technology companies, Training
corporations and Publishing houses. Element K, delivers learning solutions for
customers and partners through a tailored combination of catalog learning
products, technology, and services. The offerings include: vLab®:
hands-on labs, instructor-led courseware, comprehensive e-reference libraries,
technical journals, and KnowledgeHub™ , a hosted
learning management platform. NIIT, together with Element K, is now the first
and the best choice for comprehensive learning solutions, worldwide.
Ushering in a new model in higher education is the not-for-profit NIIT University,
established in 2009 with a vision of being the leading centre of innovation and
learning in emerging areas of the Knowledge Society. Nestled in the foothills
of Aravali, in Neemrana,
Rajasthan, the picturesque 100 acres fully residential green campus has been
developed as an institute of excellence based on the four core principles of
providing industry linked, technology based, research driven, seamless
education.
The Directors take pleasure in presenting the 27th Annual Report along with
the audited statement of accounts for the financial year ended 31.03.2010.
Global Learning
Solutions:
NIIT offers a comprehensive range of learning solutions and
services to address the needs of diverse audiences. They are today amongst
world’s leading talent development companies offering learning solutions to
individuals, enterprises and schools. They reach out to over 5 million learners
across 40 countries.
NIIT’s wide spectrum of services portfolio,
comprising a mix of global solutions with a local flavor, are prevalent across
varied domains. Driven by its vision of developing global talent, NIIT is
helping to build a pool of employable, industry-ready professionals globally.
NIIT together with Element K is the first and the best choice for comprehensive
learning solutions, worldwide.
As one of the leading training companies, they offer diverse portfolio of
programs in areas like, IT, ITES, BFSI, Management education, School education
and Professional Life Skills. NIIT’s Individual
Learning Solutions include industry-endorsed programs in IT like- GNIIT,
Integrated programs for Engineers (NIIT Edgeineers),
Infrastructure Management programs (NIIT GlobalNet+).
They provide technology-based learning solutions to leading corporates across the world. NIIT offers cutting-edge
learning solutions to Fortune 100 companies, universities, technology majors,
training corporations and publishing houses. The company’s expertise in areas
like strategic consulting, learning design, customized content, off-the-shelf
content (e-learning),training delivery, hi-end technology training, testing
& assessment, and learning management enables large organisations
to train cost effectively and efficiently. It facilitates a learning
environment that meets their existing and emerging skills requirements.
At NIIT, they are committed to deliver high end solutions with the right blend
of knowledge, skills and expertise. The gamut of services offered ensures a
complete end to end solution for training needs of corporates.
There venture in the Finance and Management Training (FMT) sector to address
the learning needs of working professionals is an extension of there forte in
IT training. NIIT Imperia, Centre for Advanced Learning, offers Executive
Management Education Programmes in association with
premier B schools in
Institute of Finance Banking & Insurance (IFBI), formed by NIIT with equity participation from ICICI Bank offers programs for individuals and corporates in Banking, Financial Services and Insurance.
Building a training manpower pool for business and technology services industry through NIIT Uniqua, Centre for Process Excellence, is another significant move by NIIT. This is a part of NIIT Institute of Process Excellence (NIPE), a NIIT-Genpact venture.
They have been working closely with global leaders in Technology to provide
training on state-of-the-art technology platforms. There strategic alliances
with partners like Adobe, Cisco, Comptia, EMC, Intel,
Microsoft, Oracle, Prometric, SAS and Sun
Microsystems ensures that the students capitalize on the latest skills and
technology trends.
NIIT’s School Learning Solutions offers turnkey IT
integration program for schools and has provided computer-based learning to
nearly 7.8 million students in over 9,500 government and private schools. They
offer complete range of solutions for schools under the NIIT eGuru portfolio. The novel solution encompasses all
the possible components required to service the present and future needs of a
school, integrated into one package.
Whether it is about imparting training in English Language & soft skills
and offering School Learning Solutions or about fostering talent in rural or
semi urban
Management Team
Rajendra S Pawar,
Chairman & Co-Founder, NIIT Group &
Founder,
Mr. Rajendra S. Pawar is Chairman and co-founder of the NIIT Group, that encompasses two businesses—NIIT Technologies Limited, the software and services arm and SUBJECT, the leading Global Talent Development Corporation.
Set up in 1981, NIIT pioneered the computer education market
in
By pioneering NIIT’s innovative franchising model, he enabled the company to unleash a wave of entrepreneurship across the globe, providing young people with the opportunity to create viable businesses centred on IT learning.
Mr. Pawar led NIIT’s
foray into the software and services market, creating NIIT Technologies, a
global IT Solutions organization. Assessed at SEI-CMMi
Level 5, NIIT Technologies serves clients across North America, Europe, Asia
and
Mr. Pawar is a member on the Prime
Minister’s National Council on Skill Development; has served on the PM’s
National Taskforce commissioned to develop
Actively involved in
Global Business Intelligence firm, Ernst & Young
conferred on Mr. Pawar its prestigious Master
Entrepreneur of the Year Award in 1999. He has also been named the IT man of
the Year by IT industry journal, Dataquest. Pawar has
been awarded ‘The Global India Splendor Award’ on the occasion of 60th year of
Known for promoting industry-academia alliances, Mr. Pawar has been working closely with the country’s well-known educational institutions. He is on the Board of Governors of India’s premier institutions- IIT Delhi, country’s first global business school, the Indian School of Business, ISB Hyderabad, IIM Bangalore and the Scindia School.
Mr. Pawar studied at the
Having revolutionized the IT Training industry, Mr. Pawar is involved in establishing an innovative model in
Higher Education. Currently a member of the Planning Commission’s Consultative
Group on Higher Education, he is deeply engaged in shaping the not-for-profit
Vijay K Thadani,
Chief Executive Office, SUBJECT
& Founder,
Mr. Vijay K. Thadani is the
Co-founder and Chief Executive Officer of NIIT ,
His vision and leadership has led in taking IT education out of the confines of a few exclusive universities and bringing it to the masses.
Mr. Thadani’s guidance led NIIT’s
Mr. Thadani is actively engaged with many Industry Associations. He is the current Chairman of the Confederation of Indian Industry (CII’s) National Committee on Education, Vice Chairman, CII Northern Region and Chairman of The National Accreditation Board for Education and Training, under the aegis of Quality Council of India. In the past, he has been the President of the Indian IT industry association (MAIT), and chaired Indian Government’s Committee on National Information Infrastructure Policy.
He serves on the Board of CompTIA,
NIIT Technologies Limited and on the Advisory Board of the Maastricht
University, Netherlands for
Mr. Thadani, along with Mr. Rajendra S Pawar, Chairman, NIIT,
is the Founder of not-for-profit,
A ‘Distinguished Alumnus’ of the premier IIT Delhi, Mr. Thadani has lectured at prestigious institutions like University of Michigan Business School, J L Kellogg Graduate School of Management and Indian Institutes of Management.
P. Rajendran,
Director & Chief Operating Officer, NIIT
Parappil Rajendran,
Director & Chief Operating Officer of NIIT joined the company at the time
of its inception in 1982 and has been a part of the core team which has
developed the organization and brought it to its present position of
international standing. NIIT, an Indian-born multinational company, is known
for many innovations in IT education.
Offering Learning and Knowledge Solutions to companies, individuals, and
institutions, NIIT is touching over 5 million learners in 40 countries
across the globe.
Mr. Rajendran an alumnus of Indian Institute of
Technology,
A people’s-person and a believer in leveraging Information Technology for HR competitiveness, he has helped NIIT emerge as one of the most preferred employers in the Indian IT Industry. The company received the 1998 National HRD Award for the best HR practices, the World HRD Congress 2000 Award for Innovative HR practices and the Delhi Management Association – Watson Wyatt Award 2004 for Excellence in Innovative HR Practice.
Mr. Rajendran has also been
actively associated with Indian industry associations like Confederation of
Indian Industry, Manufacturers’ Association of Information Technology, NASSCOM
and professional bodies like
G Raghavan,
leads NIIT’s Individual Learning
Business as President. It is his responsibility to grow the education business,
globally. Raghavan joined NIIT in 2005, after a
career spanning 25 years in sales, marketing, product management, e-business
and general management in both Global Companies like Carrier Corporation and
Ingram Micro and
He was with Carrier, the air conditioning division of United Technologies
Corporation of
As a part of his role in NIIT, Raghu serves on the
e-skills Council of South Africa and has also had the privilege of being
appointed as “Chief Consultant” for the Government of Wuxi,
China.
Raghavan holds a Post-Graduate qualification in
Management from the Indian Institute of Management, Ahmedabad
and has a bachelor’s degree from the
Dr. Smarajit Dey
is President – Strategic Initiatives, and works closely with
the Growth, Innovation and Corporate Development initiatives of the company. In
this capacity, he has been instrumental in setting-up NIIT’s
businesses in Financial Services training (the Institute for Finance, Banking
and Insurance - NIIT’s venture with equity
participation by ICICI Bank) and Executive Management Education (NIIT Imperia),
and has been involved with the initial planning for
L. Balasubramanian
a graduate in Applied Sciences from the Faculty of
Engineering,
Financial Highlights
The highlights of the Company’s
financial results for the financial year 01.04.2009 to 31.03.2010 are as
follows:
(Rs. Mn.)
NIIT Limited - Group NIIT
Limited
Particulars (Consolidated) (Stand alone)
2009-10 2008-09 2009-10 2008-09
Net Sales (Income 11,993 11,486 6,252 5,456
From operations)
Other Income 43 203 196 339
Total Income 12,036 11,689 6,448 5,795
Total Expenditure 10,797 10,549 5,457 4,758
Profit before
depreciation 1,239 1,140 990 1,037
and taxes
Depreciation 751 647 542 402
Net tax provision 108 104 136 163
Net profit before share
of Associates’ Profit & 380
389 312 472
Minority Interest
Share of Associates’ 322
309 - -
Profit and Minority
Interest
Net Profit 702 698 312 472
Basic EPS (Rs.) 4.25 4.23 1.89 2.86
Diluted EPS (Rs.) 4.25 4.23 1.89 2.86
Despite global recessionary conditions, the Company’s consolidated
income from operations has increased to
Rs.
11,993 million as against Rs. 11,486 million in the
previous year, registering a growth of 4.42% over the previous year, while Net
Profit (after Associates’ Profit) is Rs.702 million as against Rs. 698 million in the previous year.
The income from operations for the year under review for the Company on
a standalone basis increased to Rs. 6,252 million as
compared to Rs. 5,456 million in the previous year,
thereby registering a growth of 14.58% on yearly basis and Net Profit dipped
from Rs. 472 million
in the year 2008 - 09 to Rs 312 million in the
current year.
Business
Operations
The year started with widespread global economic crisis and extreme risk
aversion by customers, resulting in cut back on investment and recruitment. In this
environment, the Company focused on profitability through efficient cost
management and scale back investments. However, the environment has shown
changes in the last quarter and there were signs of global economic recovery,
strong growth projections for
During the year, the Company partnered with various globally recognized
technology companies like IBM, SAP and expanded its product portfolio by
launching various new programs like Futurz: GNIIT IMS
Track, Diploma in Finance & Accounts, ERP Training for SMB segments etc.
The Company has recently entered into a Global Partnership with Indira Gandhi National Open University (IGNOU) for
The School Learning Solutions continue to cater to the requirements of
private and government schools for IT and IT enabled education. During the
year, the Company saw an acceleration of interest by many State Governments for
providing IT education in schools. The
Company has secured two new major contracts from the states of Gujarat and
Andhra Pradesh besides the renewal of contracts for existing schools from Chhattisgarh and
In Learning Solutions for Enterprises Business, the Company improved its
margins through meticulous short term expense management, cost variabalization, as well as rationalized sales and product
investment despite overall shrinkage of training budgets by corporates.
During the year, the Company launched basic english
and professional life skills training for consumers under the brand ‘NIIT
English Plus’. The ‘English for Life’ product is designed to upgrade the skills
and employability of adolescent youth and college-going population in rural and
semi-urban markets across
Future Plans
Beside the three existing core competencies of growth of the Company in
the past i.e. Pedagogy, Technology and Partnerships, the Company will also
focus its energy on its new capabilities like new technology based delivery
models, learning libraries, school management systems etc. This will result in
scaling up customer access, improved margins and a wider global reach.
Share Capital
The Company has allotted 112,611 equity shares of Rs.
2 each to the employees under NIIT Employee Stock Option Plan 2005.
Accordingly, the paid-up share capital of the Company stands increased from Rs. 329.965 millions to Rs.
330.191 millions.
Transfer to
Reserves
In accordance with statutory provisions, the Company has transferred a
sum of Rs. 31 million to the General Reserve and Rs. 202 million to the Debenture Redemption Reserve.
Awards and
Acknowledgments
During the year under review, the Company received many recognitions at
the international and national levels. Some
of them are:
- NIIT, USA (Subsidiary of NIIT) was ranked #1 in the ‘Quality of
Service Leaders’ and positioned as #2 Service Provider in the ‘Bakers Dozen
Customer Satisfaction 2010 Ratings’- a listing brought out by the reputed HRO
Today magazine.
- Element K (Subsidiary of NIIT) received Gold Award for Green Training
by LearnX Asia Pacific Conference.
- Element K (Subsidiary of NIIT) received ‘Top 20 Leadership Training
Companies’ award by Training Industry, Inc.
- NIIT was honoured as the - ‘Most influential
IT Training brand in
-
- NIIT’s innovative ICT learning solutions
secured three awards at the ‘Digital Learning Awards’ at eINDIA
2009 Summit - India’s largest ICT event.
- NIIT was conferred ICT Gold Medal –
- NIIT was conferred the ‘Top IT Training Company Award 2009’ by Cybermedia, for the 17th successive year.
- NIIT received the Best Learning Partner award from CISCO and Microsoft
for 2009.
- NIIT received the Best Green IT Project award by PC Quest for V-lab in
2009.
Subsidiary
Companies
NIIT China (Shanghai) Limited, a step down subsidiary company, has
incorporated Wuxi NIIT Information Technology
Consulting Limited in China and further Wuxi NIIT
Information Technology Consulting Limited has incorporated Changzhou
NIIT Information Technology Consulting Limited in China during the year under
review. Consequently, these two newly incorporated companies have become step
down subsidiary companies of the Company. Further, Imperia China (
As per the provisions of Section 21 2 of the Companies Act, 1 956
(hereinafter referred to as ‘the Act’), the Company is required to attach the
Directors’ Report, Balance Sheet, Profit and Loss Account and other information
of the subsidiaries to its Balance Sheet.
The Directors believe that the audited consolidated accounts present a
full and fair picture of the state of affairs and financial conditions of the
Company and its subsidiaries, as is done globally. Hence, the Company made an
application to the Ministry of Corporate Affairs, seeking exemption from the
requirement of attaching the Directors’ Report, Balance Sheet, Profit and Loss
Account and other information of the subsidiaries to its Balance Sheet. The
approval of the Central Government has been received vide letter No. 47/1
82/201 0-CL-III dated 25.03.201 0. Accordingly, the Annual Report of the
Company does not contain separate financial statements of its subsidiaries, but
contains audited consolidated financial statement of the Company and its
subsidiaries.
However, a statement of the Company’s interest in the subsidiaries and a
summary of the financials of the subsidiaries are given along with the
consolidated accounts. The annual accounts of the subsidiaries, along with the
related information, will be made available to the Members seeking such
information at any point of time. The annual accounts of the subsidiaries are
also available for inspection for any Member/ Investor, during the business
hours, at the Registered Office of the Company and the same can be accessed
from the website of the Company i.e. www.niit.com.
Conservation of
energy
Although the operations of the Company are not energy intensive, the
management has been highly conscious of criticality of conservation of energy
at all the operational levels and efforts are made in this direction on a
continuous basis. Adequate measures have been taken to reduce energy
consumption whenever possible by using energy efficient equipments. The
requirement of disclosure of particulars with respect to conservation of energy
as prescribed in Section 21 7 (1) (e) of the Act read with the Companies
(Disclosure of Particulars in the Report of Board of Directors) Rules, 1 988,
are not applicable to the Company and hence are not provided.
b) Technology absorption
The Company realizes that in order to stay competitive and avoid
obsolescence, it would have to invest in new technology across multiple product
lines and services offered by it. Hence, the Company is making every effort to
develop methods for adapting and effectively deploying new technologies.
Foreign exchange earnings and outgo
i) Activities
relating to exports, initiatives taken to increase exports, development of new
export markets for products and services and export plans.
The Company exports customized learning content to its overseas clients
to meet their varying learning needs. The Company develops content in a
multitude of NIITs for widely varied audience.
The Company will continue to strengthen its presence in
ii) Foreign exchange earnings and
outgo
The details of foreign exchange
earnings and outgo are mentioned in Notes Nos. 11,12, 13 and 14 contained in
the Notes to Accounts (Schedule No. 20) forming part of the Balance Sheet and
Profit and Loss Account for the financial year ended 31.03.2010.
Environment
The financial year 2009-10 saw a significant shift in economic trends
from an uncertain outlook in the
beginning of the year to cautious optimism at the end of the year.
The year started with:
·
global economic turmoil with widespread fear of a
economic collapse
·
recessionary trends in many global economies
·
extreme risk aversion resulting in cut back on
investments and recruitment across sectors
The environment changed dramatically at the year end:
- there were
signs of economic recovery globally,
- strong growth
projections for
- a return of
business confidence with projections of robust recruitment across sectors
In this environment, SUBJECT (“NIIT” or “the Company”) started the year
with:
- flat to
negative year-on-year in most businesses for the first quarter
- focus on
profitability through efficient cost management and
- scale back on
investments
This altered noticeably by the year end:
- positive
growth returned in most businesses
- aggressive
push to growth and profitability as well as
- renewed focus
on new products and new initiatives
The year closed amid recovering world markets and brightening sentiment,
punctuated intermittently by the receding aftershocks of the global economic
crisis. Employment witnessed a rebound effect among rapidly developing economies
like
- Extensive
funding and policy reforms are occurring in
- Foreign
Universities Bill cleared by the Union Cabinet
- National
Commission for Higher Education and Research (NCHER) – new regulatory body
designed to replace the University Grants Commission (UGC), All India
Council for Technical Education (AICTE) and National Council for Teacher
Education (NCTE)
- Low
enrolments and high drop-out rates in school education
The government is trying to transform the education and training
scenario through the following framework to reach the planned outcomes. NIIT,
by virtue of its strengths, has a crucial role to play in the emerging
scenario.
NIT in this
Environment
NIIT is well positioned to further consolidate its leadership position
in Global Talent Development. NIIT is focused on improving academic
performance, employability and workforce productivity through its business
offerings in
Company
Performance
Over the last 5 years, the Company has shown consistent improvement in
its performance.
• Revenues have grown at a CAGR of 28 percent,
• EBITDA clocked a CAGR of 27 percent and
• PAT improved at a CAGR of 15 percent
During FY’10, the Company offered the following learning solutions:
Individual
• IT Training: the Company provided IT/ITES training to individuals
interested in pursuing a career in IT/ITES or upgrading their IT skills through
partnerships with technology companies. These programmes
were provided across
• New Businesses:
Finance & Management Training: the Company offered training programmes to individuals in banking, insurance, finance
and management. These programmes were offered through
innovative business models involving partnerships with leading banks, insurance
companies as well as leading management institutes.
BPO Training: In FY’09, the Company entered into a joint venture with Genpact to offer knowledge and training in business
processes and soft skills to address the increasing demand for skilled workers
in the business & technology services industry.
Basic English Training: the Company commenced basic English and
Professional Life skills training for individuals under the brand name NIIT
English Plus. The “English for Life” product is designed to upgrade the skills
and
employability of adolescent youth and collegegoing
population in rural and semi-urban
markets across
Online Training: the Company began offering a wide range of online
courses to working
professionals via its web site www.training.com
Schools: the Company catered to the requirements of Government and private
schools for IT education,
multimedia education for all subjects and teachers training.
Corporate: the Company provided end to end solutions, from development
to deployment, of training curriculum to Government and corporate sector.
Product offerings included Learning products, Training outsourcing and Custom
projects.
Business overview
Individual Learning Solutions
NIIT’s offerings for Individuals include IT, BFSI,
Management, BPO and English & Professional life skills. For this, NIIT has
a presence across
IT Training
The Individual Learning Solutions continued to focus on providing skill
sets to people for the IT & ITES industry thereby improving the individual
employability in the IT sector. The revenue growth of 7 percent in this
business was led by Edgeineers and IMS product lines,
with strong uptake in GNIIT enrolments towards the end of the financial year.
During FY’10, the business recorded an overall enrolment growth of 12 percent
over previous year.
As part of the growth strategy, the Company focused on the following
initiatives during FY’10:
• New products leveraging Technology Partnerships
- During the year, the Company launched new training programs in
partnership with:
• IBM – to offer training programs in IBM
technologies
• SAP – training to future SAP consultants in
world-leading business software, Enterprise Resource Planning and related
applications
IGNOU, the world's largest Open University, has entered into a Global
Partnership for
in Information Technology and Management including an Executive MBA.
• Expanded product portfolio by launching the
following programs:
• Futurz : GNIIT IMS Track
• Diploma in Finance & Accounts
• ERP Training for SMB segments
National IT Aptitude Test – The Company conducted the National IT
Aptitude Test for the sixth c o n s e c u t i v
established year. The Company saw a 40 percent increase in number of
registrations for the test which was simultaneously conducted in 22 cities
across
The closing order book was Rs. 982 million, of
which 70 percent is executable during FY’11. Despite the challenging
recruitment environment which prevailed during most of the period, the Company
saw an increase in the placements of its students by 25 percent.
During FY’10, the Company expanded its
The Company added new Cisco Learning Partner Associates (LPA) in the
Cisco channel and successfully
grew the 'Li Gong Xin Rui'
range of programs. These programs offer Sun, Microsoft, Cisco and CompTIA technology training for working professionals and
ready to enter the workforce graduates, with the aim to equip the students with
industry relevant IT and soft skills, to make them employment ready.
Other Emerging Economies
During FY’10, the Company continued to focus on select high potential
geographies. To this end, the Company strengthened its presence in
up Nigeria” as well as the first ever Global Partner Summit with participation
from 17 countries and technology partners Microsoft, Sun, Cisco and Oracle to
mark the rollout of new versions of flagship programs.
Financials of ILS - IT Training
|
Rs. Millions |
FY’10 |
FY’09 |
Change |
|
System wide Revenues |
10,163 |
9,317 |
9% |
|
Net Revenues |
4,275 |
3,982 |
7% |
|
EBITDA |
987 |
865 |
14% |
|
|
23% |
22% |
136 bps |
New Businesses
During the year, the Company consolidated its presence in Financial Services
training and Executive Management Education, with the two businesses
After successfully weathering the banking sector crisis which continued
through the first half of FY’10, IFBI rebounded strongly in the second half
when hiring returned to the sector. To exploit the full extent of the rebound
in the banking sector, IFBI broad-based its partner list by adding 16 new
institutions. During the year, IFBI increased its offerings by launching a
Diploma in Finance & Accounts as well as programs in Rural and Agri Finance training. In FY’10, IFBI entered into a
strategic alliance with Tamil Nadu Adi Dravidar Housing Development
Corporation (TAHDC) to offer career focused Post Graduate Diploma in Banking
Operations (PGDBO) to youth from underprivileged sections of society.
NIIT Imperia continued to establish its unique model of Executive
Management Education that combines programs offered by world-class management
institutes with the geographical reach made possible by NIIT’s
Synchronous Learning Technology. During the year, it signed fresh partnership
agreements with MDI Gurgaon to offer joint management
development programs, KPMG for IFRS Training, IMI for Strategic HR Management
Training & IAMI for Digital Marketing programs. It also launched new
programs in HR with IIM-L and Supply chain with IIM-C. The NIIT Institute of
Process Excellence was set up in joint participation with Genpact
in FY’09 under the brand name of NIIT UNIQUA to cater to the growing people
needs of the Global BPO/KPO industry. UNIQUA offers the industry’s most
comprehensive training curriculum for existing and prospective employees of
business services and technology companies. During FY’10, Uniqua
stabilized its own operations and began to reach out across
In FY’10, the Company launched basic English and Professional Life
skills training for individuals under the brand name NIIT English Plus. The
“English for Life” product is designed to upgrade the skills and employability
of adolescent youth and college-going population in rural and semi-urban
markets across
During FY’10, the Company began offering a wide range of online courses
to working professionals over the web site www.training.com. As it expands,
this new business represents an additional method to leverage large cros s - sect ions of the Element K content by offering it
directly to consumers around the world.
Financials of New
Businesses
|
Rs. Millions |
FY’10 |
FY’09 |
Change |
|
System wide Revenues |
379 |
406 |
-7% |
|
Net Revenues |
296 |
334 |
-11% |
|
EBITDA |
(152) |
(75) |
|
During FY’10, the New businesses recorded an order intake of Rs. 310 million. At the end of the year, the Order book
stood at Rs. 62 million. School Learning Solutions
The School Learning Solutions provides products and services for IT training
and for technology enabled learning & teaching for schools. Central &
State Governments continued their thrust to significantly expand the base of
schools providing IT education under Sarv Shiskha Abhiyan and ICT@Schools schemes. The Company saw a significant number
of tenders floated by the State governments. The Company continued with its
selective approach to these tenders and its strategy of balancing growth and
capital intensity. Of the total tenders awarded during the year, the Company
received new orders from the states of Gujarat, Andhra Pradesh besides the
renewals of contracts for existing schools from Chhattisgarh
and
Recognitions
- NIIT won 4
Platinum, 15 Gold and 3 Silver category awards in Prometric
Partner Awards 2009
- Element K
received Gold Award for Green Training by LearnX
Asia Pacific Conference
- Element K
included in Visionaries Quadrant for Leading Industry Analyst Firm’s
Corporate Learning Systems Report
- NIIT has been
honoured as the - ‘Most influential IT Training
brand in
- NIIT
- NIIT
- NIIT
- NIIT
- NIIT receives
the prestigious CIO 100 Award 2009, presented by CIO Magazine (a part of
the IDG group). The Award, in its fourth year in
- NIIT was
conferred the ‘Top IT Training Company Award 2009’ by the country’s
leading publication group Cybermedia, the
publisher of Dataquest. (NIIT has been getting this award successively for
the past 16 years, since the inception of this category).
- NIIT received
the ICT Gold Medal –
- NIIT received
the Best Learning Partner award from CISCO and Microsoft in 2009
- NIIT’s Institute of Finance, Banking and Insurance
(IFBI) was recognized as the
- NIIT received
the Best Green IT Project award by PC Quest for V-lab in 2009
- NIIT ICT
enabled Learning Solutions bagged the following awards in the digital
learning category at eIndia 2009,
- ICT Enabled
School of the Year Award – The
- Civil society
/ Development agency Initiative of the year - Hole in the Wall Education
- Government /
Policy Initiative of the year
- Implementation of Shared Computing
Technology in 5000 Govt. schools of Andhra Pradesh
- NIIT has been
accorded the Business Superbrands 2008 status for
the second time by the Superbrands Council.
- NIIT is the only Indian Education company
to be featured in “The BCG 50 Local Dynamos”.
- Slumdog Millionaire won the Oscars in 2009. The movie
was based on the book ‘Slumdog Millionaire’
(previously published as Q&A), written by Vikas
Swarup. The author credits Hole-in-the-Wall
Education Ltd. (HiWEL) as his inspiration for
the book.
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30.06.2010
|
Particulars |
|
30.06.2010 (Unaudited) |
|
Income |
|
|
|
a) Net Sales / Income from Operations |
|
1418.400 |
|
b) Other Operating Income |
|
-- |
|
Total Operating Income |
|
1418.400 |
|
Expenditure |
|
|
|
(a) (Increase)/decrease in Stock in Trade |
|
1.200 |
|
(b) Purchase of traded goods |
|
239.400 |
|
(c) Personnel Cost |
|
344.800 |
|
(d) Development, production and Execution |
|
293.400 |
|
(e) Depreciation |
|
140.300 |
|
(f) Other Expenditure |
|
408.600 |
|
Total Expenditure |
|
1427.700 |
|
Profit / (Loss) From Operations before other Income Interest & Exceptional Items |
|
(9.300) |
|
Other Income |
|
|
|
- Interest |
|
17.900 |
|
- Other Income |
|
42.700 |
|
Profit/(Loss) before Interest and Exceptional items |
|
51.300 |
|
Interest |
|
61.400 |
|
Profit / (Loss) after interest before Exceptional items |
|
(10.100) |
|
Exceptional Items |
|
-- |
|
Profit / (Loss) From
Ordinary activities before Tax |
|
(10.100) |
|
Provision for Taxation |
|
|
|
- Current |
|
0.400 |
|
- Differed |
|
(20.200) |
|
- Tax charge/ (Credit) relating to earlier years |
|
-- |
|
Net Profit/(Loss) From Ordinary activities after Tax |
|
9.700 |
|
Extraordinary Items |
|
-- |
|
Net Profit/(Loss) for the period |
|
9.700 |
|
Paid Up Equity Share Capital ( Face Value of the share Rs.10/- each ) |
|
330.200 |
|
Reserves (Excluding Revaluation Reserves) |
|
-- |
|
Public Share
Holding |
|
|
|
-Basic |
|
0.06 |
|
-Diluted |
|
0.06 |
|
Average of Public Share Holding |
|
|
|
- Number of Shares |
|
109022689 |
|
- Percentage of shareholding |
|
66.04% |
|
Promoters and Promoter group share holding |
|
|
|
a) Pledged / Encumbered |
|
|
|
- Number of Shares |
|
Nil |
|
- Percentage of share (as a % of the total shareholding of promoter and promoter group) |
|
NA |
|
- Percentage of shares(as a % of the total share capital of the company) |
|
NA |
|
b) Non-encumbered |
|
|
|
- Number of Shares |
|
56072908 |
|
- Percentage of Share (as a % of the total shareholding of promoter and promoter group) |
|
100% |
|
- Percentage of Share (as a % of the total share capital of the company) |
|
33.96% |
Notes:-
1) Development, Production & Execution
expenditure includes Course execution charges amounting to Rs.
158.800 Millions for the current quarter (corresponding quarter and previous
year Rs. 179.200 Millions and Rs.
753.800 Millions respectively). Other expenses includes advertisement expenses
amounting to Rs. 157.100 Millions for the current
quarter (corresponding quarter and previous year Rs.
152.400 Millions and Rs. 531.800 Millions
respectively).
2) During the quarter the Company has made
following long term investments in its subsidiaries:
- NIIT Institute of Process Excellence
Limited: Rs. 15.000 Millions
- NIIT Multimedia Limited: Rs 5.000 Millions
3) Under the Employee Stock Option Plan 2005
(ESOP 2005), approved by the shareholders, during the current quarter 363,350
options have lapsed and 7,237,662 Options remains unexercised under various
grants as
at quarter end.
4) The sub businesses are fully aligned to
global learning business of the Company and the same are being viewed by the
management as a single primary segment, i.e. Learning Business.
5) At the beginning of the quarter, there
was no investor complaint pending for resolution, 7 complaints were received
during the current quarter and all were resolved.
6) The figures of the previous quarter/
year, to the extent feasible, have been regrouped/ reclassified to conform to
the current quarter classification.
7) The above results have been approved and
taken on record by the Board of Directors of the Company at its meeting held on
July 21, 2010.
Fixed Assets:
- Land Free
hold
- Buildings
- Plant and
machinery
- Lease hold
improvement
- Furniture and
Fixtures
- Vehicles
- Software
- Patents
Press Release:
Q1 Net Profit up 32% YoY
Q1 PAT up 32 % YoY at Rs. 13 Cr on a Net Revenue
of Rs. 278 Cr
· School Learning Solutions records order intake
of Rs. 158 Cr; Adds 1,231 schools
· Corporate Learning Solutions records order
intake of USD 34 Mn
· China revenue grows 32% YoY
New Delhi, July 21, 2010: NIIT Limited, leading
Global Talent Corporation and
The Company’s Net Revenue stood at Rs. 278 Cr,
up 7% YoY with System Wide Revenue growing by 9% YoY to Rs. 401 Cr. The EBITDA was
at Rs. 28.7 Cr reflecting a margin of 10%.
The results were taken on
record at the meeting of the Board of Directors of NIIT Limited here today.
|
NIIT Limited :
Consolidated Financials at a Glance (in Rs Cr) |
|||
|
|
Qtr ended 30.06.2009 |
Qtr ended 30.06.2010 |
Growth |
|
Global System-wide
Revenue |
3688.00 |
4013.000 |
9% |
|
Net Revenue |
2610.000 |
2780.000 |
7% |
|
Profit After Tax |
99.000 |
130.000 |
32% |
Commenting on the company’s Q1 performance, Mr Rajendra S Pawar, Chairman NIIT Limited, said, “We are making investments in people and marketing to cater to strong hiring in IT & other service sectors.”
During the quarter NIIT launched training programs on Microsoft’s Azure platform, with a view to create talent for the fast growing cloud computing space. Under the ‘Global Partnership’ program with IGNOU, a series of ‘finishing school programs’ for enhancing employability were launched.
Corporate Learning Solutions (CLS) recorded a net revenue of Rs. 137.7 Cr. Order intake for CLS was at USD 34 Mn for the quarter as a result of significant customer wins in Learning Products and Managed Training Services. The closing order book stood at USD 93 Mn, up 15 % YoY.
Mr Vijay K. Thadani, Chief Executive Officer, NIIT Limited, said “The Corporate Training Business recorded fresh order intake of USD 34 Mn, reflecting strong customer confidence”
Individual Learning
Solution (IT) recorded a net revenue of Rs 90.8 Cr, supported by 8 % increase in global enrolments.
Placements grew at 14% YoY on the back of improving
hiring. A revenue growth of 32% was recorded in
New Businesses led by Finance &
Management Training (FMT) recorded a 122% YoY
growth in revenue. Enrolments in FMT business witnessed a growth of 125% YoY during this quarter.
School Learning Solutions (SLS) recorded a net revenue of Rs 38.4 Cr backed by fresh order intake of Rs 158.6 crores, representing an addition of 1,231 schools during the quarter. NIIT launched the ‘Mobile Science Lab’, an innovative learning solution which integrates Science Lab with classrooms.
According to Mr P Rajendran, Chief Operating
Officer, NIIT Limited, “Focused growth in private schools segment coupled
with launch of innovative products such as the
Other Highlights of Q1:
· Element K wins the Brandon Hall Silver Excellence Award for blended learning
· NIIT (US) Accepts Honors for Learning and Talent Management Solution at Bersin Impact 2010 Conference
· NIIT (US) ranks amongst Top 10 Training & Learning Business Process Outsourcing Vendor in – Black Book of Outsourcing
· NIIT Vietnam bags the ICT GOLD MEDAL, consecutively for the 5th time and ICT TOP 5 for the year 2010
· NIIT HiWEL wins the prestigious Mac Arthur Digital Media and Learning Award
· NIIT MindChampion Viswanathan Anand became the World Chess Champion for the 4th time. NIIT’s association with World Chess Champion, Viswanathan Anand, including contractual extensions, is the longest running Brand Ambassador contract in the history of Indian sport.
About NIIT
NIIT Limited, leading
Global Talent Development Corporation and Asia ’s
largest IT trainer, has impacted over 5 million students across 40 countries
through its learning and knowledge solutions.
Leading IT magazine
Dataquest has conferred upon NIIT, the ‘Top IT Training Company’ award successively
for the past 17 years, since the inception of this category. Rated among
NIIT has provided computer-based learning to over 15,000 government and private schools. The futuristic NIIT eGURU range for schools is a holistic education package that comprises of Interactive Classrooms (an embedded Teaching Learning Material, that uses elements of interactivity, automation and web links library); Math lab (technology tools that enable school students to learn and explore mathematical concepts); IT Wizard (equips the students with core computer knowledge and IT skills); and Quick School (an Education Resource Planning solution for school management).
For working
professionals, NIIT Imperia, Centre for Advanced
Learning, offers Executive Management Education Programs in association
with Indian Institutes of Management (IIMs) at Ahmedabad,
NIIT Institute of Finance Banking & Insurance (IFBI), formed by NIIT with equity participation from ICICI Bank, offers programs for individuals and corporates in Banking, Financial Services and Insurance.
NIIT Uniqua, Centre for Process Excellence, addresses the increasing demand for skilled workers in the business and technology services industry by providing training programs in relevant areas. This is a part of NIIT Institute of Process Excellence, a NIIT-Genpact venture.
NIIT’s Corporate Learning Solutions, offers integrated learning solutions (including strategic consulting, learning design, content development, delivery, technology, assessment and learning management) to Fortune 500 companies, Universities, Technology companies, Training corporations and Publishing houses.
NIIT delivers a tailored combination of catalog learning products, technology and services through Element K offerings. These include: vLab®: hands-on labs, instructor-led courseware, comprehensive e-reference libraries, technical journals, and KnowledgeHub™: hosted learning management platform. This makes NIIT the first and the best choice for comprehensive learning solutions, worldwide
NIIT to Equip Hon’ble MLAs of Chhattisgarh with IT Skills
Engages with Chhattisgarh Infotech and Biotech Promotion Society (CHiPS) to conduct training workshop for MLAs
Chhattisgarh, 31.07.2010: NIIT- leading
Global Talent Development Corporation and Asia’s largest IT trainer and CHiPS (Chhattisgarh Infotech and Biotech Promotion Society), will conduct a 2
day computer training programme for Hon’ble MLAs of Chhattisgarh Assembly. The training programme was inaugurated today by Hon’ble
Chief Minister of Chhattisgarh, Dr. Raman Singh. Also
present on the occasion were Hon’ble Parliamentary
Affairs Minister, Shri Brijmohan
Agrawal; Leader of opposition, Shri
Ravindra Choubey; Chief
Secretary, Shri P. Joyoommen;
Special Secretary to CM, Shri Aman
Singh and President NIIT School Learning Solutions, Shri
Sanjiv Pande as Guest of Honour. The launch was headed by Shri
Devendra Verma, Secretary Chhattisgarh Assembly.
The objective of
the training programme is to equip Hon’ble MLAs of Chhattisgarh Assembly with basic computer knowledge which
can help them manage their day to day official work. The training program will
facilitate them to stay updated with contemporary IT knowledge.
Speaking on the
launch of the training Program, Hon’ble Chief
Minister of Chhattisgarh Dr. Raman Singh remarked, “With India developing as a Knowledge
Society, use of Computers has become a necessity. I am confident that the
training conducted by NIIT for our MLAs will help
them embrace this tool, for taking Chhattisgarh into
a new era of development.”
Mr. Sanjiv Pande, President, NIIT
School Learning Solutions and HiWEL said, “We are delighted to offer computer training
to the Hon’ble MLAs of Chhattisgarh Assembly. The initiative taken by the State
Government will help the MLAs drive development
initiatives in their State through effective use of IT.”
NIIT has been
actively involved with the state of Chhattisgarh for
the last 5 years. The company has been conducting large Computer Education
Projects in around 1200 schools in the State to make education more impactful and interactive, through the intervention of
Information Technology.
About NIIT
NIIT Limited,
leading Global Talent Development Corporation and
Leading IT
magazine Dataquest has conferred upon NIIT, the ‘Top IT Training Company’ award
successively for the past 17 years, since the inception of this category. Rated
among
NIIT has provided
computer-based learning to over 15,000 government and private schools. The
futuristic NIIT eGURU
range for schools is a holistic education package that comprises of Interactive Classrooms (an embedded
Teaching Learning Material, that uses elements of interactivity, automation and
web links library); Math lab (technology
tools that enable school students to learn and explore mathematical concepts); IT Wizard (equips the students with
core computer knowledge and IT skills); and Quick School (an Education Resource Planning solution for school
management).
For working
professionals, NIIT Imperia, Centre
for Advanced Learning, offers Executive Management Education Programs in
association with Indian Institutes of Management (IIMs)
at Ahmedabad,
NIIT Institute of Finance Banking & Insurance (IFBI), formed by NIIT
with equity participation from ICICI Bank, offers programs for individuals and corporates in Banking, Financial Services and Insurance.
NIIT Uniqua, Centre for Process Excellence, addresses
the increasing demand for skilled workers in the business and technology
services industry by providing training programs in relevant areas. This is a
part of NIIT Institute of Process Excellence, a NIIT-Genpact
venture.
NIIT’s Corporate
Learning Solutions, offers integrated learning solutions (including strategic consulting,
learning design, content development, delivery, technology, assessment and
learning management) to Fortune 500 companies, Universities, Technology
companies, Training corporations and Publishing houses.
NIIT delivers a tailored combination of catalog learning products,
technology and services through Element K offerings. These include: vLab®: hands-on labs, instructor-led courseware,
comprehensive e-reference libraries, technical journals, and KnowledgeHub™: hosted learning management platform. This
makes NIIT the first and the best choice for comprehensive learning solutions,
worldwide.
Ushering in a new
model in higher education is the not-for-profit
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.44.84 |
|
|
1 |
Rs.69.32 |
|
Euro |
1 |
Rs.59.79 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
66 |
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.