MIRA
INFORM REPORT
|
Report Date : |
20.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
NITCO LIMITED (w.e.f. 25.08.2008) |
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Formerly Known
As : |
NITCO TILES LIMITED |
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Registered Office
: |
Nitco House, Recondo Compound, Inside Municipal Asphalt Compound, S K
Ahire Marg, Worli, Mumbai – 400 030, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
25.07.1966 |
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Com. Reg. No.: |
11-16547 |
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Capital
Investment / Paid-up Capital : |
Rs.321.236 millions |
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CIN No.: [Company Identification
No.] |
L26920MH1966PLC016547 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMN09559E |
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PAN No.: [Permanent Account No.] |
AAACN1674N |
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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
: |
Manufacturer of Ceramic Tiles, Vitrified Tiles and Marbles. |
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No. of Employees
: |
1000 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 20000000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track. The
company is incurring some losses in the current year. However, 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.
INFORMATION PARTED BY
|
Name : |
Mr. Neuton Misquitta |
|
Designation : |
Senior Account Manager |
|
Contact No.: |
91-9867553887 |
|
Date : |
18.07.2011 |
LOCATIONS
|
Registered Office : |
Nitco House, Recondo Compound, Inside Municipal Asphalt Compound, S K
Ahire Marg, Worli, Mumbai – 400 030, |
|
Tel. No.: |
91-22-66164555 |
|
Mobile No.: |
91-9867553887 (Mr. Neuton) |
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Fax No.: |
91-22-24915401 / 66164657 |
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E-Mail : |
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Website : |
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Head Office : |
86-A, 8th Floor, Maker Chambers III, Nariman Point, Mumbai
– 400 021, |
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Tel. No.: |
91-22-67521555 |
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Fax No.: |
91-22-66608248 |
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Factory 1 : |
Village Shrigaon, Post Poynad, Taluka Alibaug, District Raigad,
Alibaug – 402 108, |
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Factory 2 : |
387/2, Kharadpuda Naroli, Silvassa – 396 230, Dadra Nagar Haveli |
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Branch Office : |
All Over Located at ·
Ahmedabad ·
Alibaug ·
Raigad ·
·
·
Chennai ·
Ernakulam ·
·
·
Gurgaon ·
Guwahati ·
·
·
Mumbai ·
Jaipur ·
Kolkata ·
·
Pune ·
·
Thane |
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Pran Nath Talwar |
|
Designation : |
Chairman |
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|
Name : |
Mr. Vivek Talwar |
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Designation : |
Managing Director |
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Name : |
Ms. Poonam Talwar |
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Designation : |
Whole-time Director |
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|
Name : |
Mr. S K Bhardwaj |
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Designation : |
Director |
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|
Name : |
Mr. Atul Sud |
|
Designation : |
Director |
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Name : |
Gaurav Burman |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. B G Borkar |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2011
|
Category of Shareholders |
No. of Shares |
Total Shareholding as a % of total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
7583563 |
23.61 |
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|
7983652 |
24.85 |
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|
15567215 |
48.46 |
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|
Total shareholding of Promoter and Promoter Group (A) |
15567215 |
48.46 |
|
(B) Public Shareholding |
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|
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|
2159203 |
6.72 |
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|
7128 |
0.02 |
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|
3428974 |
10.67 |
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|
5595305 |
17.42 |
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|
|
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|
4827646 |
15.03 |
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|
|
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|
1282771 |
3.99 |
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|
3311446 |
10.31 |
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|
1539169 |
4.79 |
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|
159317 |
0.50 |
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|
1266352 |
3.94 |
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|
108200 |
0.34 |
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|
5300 |
0.02 |
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|
10961032 |
34.12 |
|
Total Public shareholding (B) |
16556337 |
51.54 |
|
Total (A)+(B) |
32123552 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
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- |
- |
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|
- |
- |
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|
- |
- |
|
Total (A)+(B)+(C) |
32123552 |
- |
(1)
Indian
Individuals
/ Hindu Undivided Family
Individual
shareholders holding nominal share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturer of Ceramic Tiles, Vitrified Tiles and Marbles. |
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Products : |
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Brand Names : |
“NITCO” |
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Exports : |
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Products : |
Ceramic Tiles |
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Countries : |
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Imports : |
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Products : |
Vitrified Tiles |
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Countries : |
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PRODUCTION STATUS AS ON 31.03.2010
(Figures
in Lakhs)
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Ceramic Floor / Wall Tiles |
MT |
NA |
1.80 |
1.18 |
|
Ceramic Floor / Wall Tiles |
Sq. mts. |
NA |
80.85 |
60.28 |
GENERAL INFORMATION
|
Customers : |
·
Dealer ·
Distributor |
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No. of Employees : |
1000 Approximately |
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Bankers : |
·
Punjab National Bank ·
State Bank of ·
State Bank of ·
Syndicate Bank |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
A Husein Noumanali and Company Chartered Accountant |
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Holding Company : |
Nitco Limited |
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Subsidiaries : |
·
Chongqing Nitco Marble Limited ·
Foshan Nitco Trading Company Limited ·
Nitco Holdings HK Company Limited ·
Nitco Realties Private Limited |
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Fellow
Subsidiaries : |
·
Feel Better Housing Private Limited ·
Ferocity Properties Private Limited ·
Glamorous Properties Private Limited ·
Max Wealth Properties Private Limited ·
Meghdoot Properties Private Limited ·
Nitco Aviation Private Limited ·
Nitco IT Parks Private Limited ·
Opera Properties Private Limited ·
Particle Boards India Limited ·
Quick-Solution Properties Private Limited ·
Roaring - Lion Properties Private Limited |
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|
|
|
Enterprises over
which Key Managerial Personnel are
able to exercise significant influence : |
·
Alpine Agro and Dairy Farms Private Limited ·
Anandshree Bombay (Holding) Private Limited ·
Aurella Estates and Investments Private Limited ·
Cosmos Realtors Private Limited ·
Delicious Properties Private Limited ·
Eden Garden Builders Private Limited ·
Enjoy Builders Private Limited ·
Lavender Properties Private Limited ·
Maharashtra Marble Company ·
Merino Realtors Private Limited ·
Nitco Construction Materials Private Limited ·
Nitco Consultants and Exports Private Limited ·
Nitco Exports ·
Nitco Paints Private Limited ·
Nitco Sales Corporation ( ·
Nitco Terrazzo Tiles Private Limited ·
Nitco Tiles ·
Nitco Tiles and Marble Industries (A) Private
Limited ·
Nitco Tiles Sales Corporation ( ·
Norita Investments Private Limited ·
·
Orchid Realtors Private Limited ·
Prakalp Properties Private Limited ·
Rangmandir Builders Private Limited ·
Rejoice Realty Private Limited ·
Rhythm Real Estates Private Limited ·
Strength Properties Private Limited ·
The Northern India Tiles Corporation ( ·
Ushakiran Builders Private Limited ·
Vivek Talwar (HUF) |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
50000000 |
Equity Shares |
Rs.10/- each |
Rs.500.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
32123552 |
Equity Shares |
Rs.10/- each |
Rs.321.236
millions |
Note:
Out of the above
equity shares 37,03,719 equity shares have been allotted pursuant to court
approved scheme of amalgamation for consideration other than cash.
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 |
321.236 |
321.236 |
321.236 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
4772.602 |
4859.670 |
4647.572 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
5093.838 |
5180.906 |
4968.808 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
3903.576 |
2011.387 |
1078.772 |
|
|
2] Unsecured Loans |
651.397 |
899.886 |
202.539 |
|
|
TOTAL BORROWING |
4554.973 |
2911.273 |
1281.311 |
|
|
DEFERRED TAX LIABILITIES |
183.005 |
183.005 |
106.365 |
|
|
|
|
|
|
|
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TOTAL |
9831.816 |
8275.184 |
6356.484 |
|
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|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
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|
FIXED ASSETS [Net Block] |
3700.568 |
3662.325 |
1831.719 |
|
|
Capital work-in-progress |
1490.617 |
659.554 |
696.856 |
|
|
|
|
|
|
|
|
INVESTMENT |
91.615 |
85.714 |
320.814 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
2689.968
|
2021.459 |
2074.168 |
|
|
Sundry Debtors |
924.998
|
1068.201 |
957.086 |
|
|
Cash & Bank Balances |
195.862
|
68.170 |
176.662 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
2834.327
|
2221.024 |
1769.965 |
|
Total
Current Assets |
6645.155
|
5378.854 |
4977.881 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1887.915 |
1340.437 |
1148.864 |
|
|
Other Current Liabilities |
208.224
|
133.243 |
207.357 |
|
|
Provisions |
0.000
|
37.583 |
114.565 |
|
Total
Current Liabilities |
2096.139
|
1511.263 |
1470.786 |
|
|
Net Current Assets |
4549.016
|
3867.591 |
3507.095 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
9831.816 |
8275.184 |
6356.484 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Net Sales |
4491.037 |
6661.457 |
6374.978 |
|
|
|
Other Income |
3.037 |
0.929 |
36.348 |
|
|
|
TOTAL (A) |
4494.074 |
6662.386 |
6411.326 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Material Cost |
2300.040 |
3867.823 |
3610.305 |
|
|
|
Stores Consumed |
48.597 |
52.896 |
49.228 |
|
|
|
Power and Fuel |
301.065 |
282.465 |
270.521 |
|
|
|
Personnel |
310.709 |
292.084 |
262.187 |
|
|
|
Manufacturing and Other Expenses |
257.754 |
253.586 |
219.503 |
|
|
|
Selling and Distribution Expenses |
995.155 |
1160.307 |
1133.839 |
|
|
|
TOTAL (B) |
4213.320 |
5909.161 |
5545.583 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
280.754 |
753.225 |
865.743 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST AND
OTHER FINANCIAL CHARGES
(D) |
156.464 |
235.564 |
139.412 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
124.290 |
517.661 |
726.331 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
211.358 |
144.099 |
109.267 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(87.068) |
373.562 |
617.064 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
0.000 |
123.881 |
106.845 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
(87.068) |
249.681 |
510.219 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1216.211 |
1104.113 |
763.017 |
|
|
|
|
|
|
|
|
|
Less |
Short Provision
for tax in earlier years |
0.000 |
0.000 |
0.629 |
|
|
|
|
|
|
|
|
|
Add |
Excess provision
for Dividend in earlier years |
0.000 |
0.000 |
6.672 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
0.000 |
32.124 |
64.247 |
|
|
|
Dividend Tax on Proposed Dividend |
0.000 |
5.459 |
10.919 |
|
|
|
Transfer to General Reserve |
0.000 |
100.000 |
100.000 |
|
|
BALANCE CARRIED
TO THE B/S |
1129.143 |
1216.211 |
1104.113 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
36.068 |
184.642 |
20.754 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Finished goods |
885.879 |
1306.252 |
2075.027 |
|
|
|
Raw Material |
126.020 |
399.078 |
199.722 |
|
|
|
Capital Goods |
271.520 |
659.738 |
4.509 |
|
|
|
Spare Parts and Components |
35.072 |
23.027 |
12.477 |
|
|
TOTAL IMPORTS |
1318.491 |
2388.095 |
2291.735 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(2.71) |
7.77 |
18.16 |
|
QUARTERLY /
SUMMARISED RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
31.03.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
1264.690 |
1571.680 |
1654.510 |
1919.430 |
|
Total Expenditure |
1142.550 |
1378.990 |
1450.930 |
1659.620 |
|
PBIDT (Excl OI) |
122.140 |
192.690 |
203.580 |
259.810 |
|
Other Income |
7.740 |
23.130 |
17.640 |
0.640 |
|
Operating Profit |
129.880 |
215.820 |
221.220 |
260.450 |
|
Interest |
56.370 |
80.100 |
84.680 |
95.680 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
73.510 |
135.720 |
136.540 |
164.770 |
|
Depreciation |
55.010 |
55.860 |
56.180 |
60.090 |
|
Profit Before Tax |
18.500 |
79.870 |
80.360 |
104.680 |
|
Tax |
6.030 |
12.110 |
9.130 |
(6.790) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
12.470 |
67.760 |
71.220 |
111.470 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
12.470 |
67.760 |
71.220 |
111.470 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(1.94)
|
3.75 |
7.96 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(1.94)
|
5.61 |
9.68 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(0.84)
|
4.13 |
9.06 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.02)
|
0.07 |
0.12 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.31
|
0.85 |
0.55 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.17
|
3.56 |
3.38 |
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF SUNDRY
CREDITORS
|
Particulars |
As
on 31.03.2010 Rs.
in millions |
As
on 31.03.2009 Rs.
in millions |
As
on 31.03.2008 Rs.
in millions |
|
Sundry Creditors |
1887.915 |
1340.437 |
1148.864 |
|
Total |
1887.915 |
1340.437 |
1148.864 |
MANAGEMENT
DISCUSSION AND ANALYSIS
THE FINANCIAL YEAR
2009-10 WAS a challenging year for the Company following a search by the
Department
of Revenue Intelligence
on the Company’s premises leading to the seizure of imported material belonging
to the Company lying at the ports and warehouses. The result of this unexpected
action was a virtual freeze on the sale of imported material for around five
months, resulting in a revenue decline by 31.03% in 2009-10 when compared with
the previous year.
The result was a
decline in the sale of vitrified tiles by 40.88% to Rs.2018.800 millions and of
marble by 42.09% to Rs.787.500 millions, which was partly offset by an increase
in the offtake of ceramic floor and wall tiles from Rs.1504.900 millions to
Rs.1847.100 millions. The result was a 62.73% decline in earnings before
interest, taxes, depreciation and amortization (EBIDTA) to Rs.280.800 millions
corresponding to an EBIDTA margin of 6.97%.
Following the
release of seized material, the Company is attractively placed to report a
revenue rebound in 2010-11 and after for the following reasons:
·
The Company is a complete flooring solution
provider (ceramic and vitrified tiles and marble).
·
The Company consistently distinguished itself from
the broad tile industry through a focus on the premium tile segment through a
combination of in-house manufacturing and selective outsourcing.
·
The Company largely focused on the retail market to
derisk from a dependence on a few institutional customers and enhance
realisations.
·
The Company consistently invested in its product
portfolio through periodic product launches.
·
The Company widened and deepened its national footprint
through the launch of 50 Le Studios (14 owned and 36 franchisee based Le Studio
Express) across Tier I and Tier II cities.
·
Pan-India sale with a network of over 800 dealers,
18 sales and marketing offices and 23 warehouses.
HIGHLIGHTS, 2009-10
Increasing production
The Company
increased its ceramic tiles production from 0.083 millions MT in 2008-09 to
0.118 millions MT in 2009-10.
Value addition
The Company
generated 76% of its revenues from the valued-added segment, higher than the
corresponding average for peer companies. The average sales realisation of
ceramic floor/wall tiles was Rs.396 per sq. mtr, for vitrified tiles Rs.482 per
sq. mtr and for marble Rs.285 per sq. ft.
Enhancing product portfolio
·
Launched the premium Naturoc gres porcelain floor
tile (600 x 600 mm), manufactured for the first time in
- Pioneered the introduction of the
600x600 mm Lapato finish tiles in
- Pioneered the introduction of a
coloured body in Lapato as well as a coloured body in glazed porcelain tile
- Pioneered the introduction of fully
polished glazed porcelain tiles
- Ventured into the manufacture of wall
tiles (250x300 mm and 600x300 mm) from September 2009 and exclusive
highlighters
Strengthening retail network
·
Retail to institutional sales at 60:40 in 2009-10
·
Maintained 50 showrooms (14 owned, 36 franchised)
in 2009-10
·
Strong base of more than 800 dealers
Real estate development
Business park in
Thane of around 2,00,000 sq. ft is nearing completion.
OUTLOOK
The Company
expects to strengthen its business through the following initiatives in
2010-11:
·
Increase showrooms to 100 Le Studios in the next
one year
·
Increase retail revenues to 70% of turnover,
enjoying 15% higher realisations than the institutional segment
·
Commission the wasteheat generation plant of 5.5 MW
·
Commission a 48 head polishing line to produce
fully polished glazed porcelain tiles for the first time in
·
Commission a world class marble processing plant in
Silvassa
·
Sustain first quality tile production at 85-90%
·
Strengthen succession planning across all teams
·
Complete automation in the area of raw material
handling
INDUSTRY OVERVIEW
Global ceramic tiles industry
The global ceramic
tile industry (worth US$36 billion) is growing at 6% annually. Production is
dominated by
Raw material cost: The cost of clay
(key input for the industry) increased following a rise in fuel costs.
Fuel cost: The increase in oil price affected input
and distribution costs.
Currency volatility: Currency
fluctuation affected global trade in the industry.
Indian economy overview
The Indian GDP of
US$1,217 (1.96% of the world economy) grew 7.4% in 2009-10 compared with 6.7%
in 2008-09 following strong fiscal stimulus, monetary easing, improving
consumer confidence, return of risk appetite and large capital inflows. The
real turnaround happened in the last quarter of 2009-10, when the economy grew
8.6%.
Encouraging highlights
·
·
·
INDIAN CERAMIC TILE INDUSTRY
Industry drivers: The Indian ceramic tile industry is
expected to register robust growth due to the following drivers:
Real estate: The US$2.8-billion FDI (2009-10) in Indian
real estate will catalyse the tile industry. The medium housing segment is
expected to grow at a CAGR of 25%, while luxury housing at 33% during 2009-13.
Commercial space: The commercial
market (including IT/ITeS, BPO, banking and financial services, pharmaceutical
and telecom) in
Retail: The US$353-billion Indian retail market is
the world’s fifth largest and expected to grow to US$543.2 billion by 2014. The
organised retail segment is likely to grow around 15% by 2015 covering 323
million sq. ft by 2012 across 400 new malls.
Healthcare: The healthcare sector is expected at US$76.4
billion in 2012-13 from US$38 billion in 2008-09 following an infrastructure development of
Rs.1,300 billion. Revenue from this sector is likely to reach 8% of the GDP
(from the current 5%) by 2012.
Hospitality: As
Affluence: The average net worth of the Indian
household is expected to grow from US$12,000 in 2007 to US$57,000 in 2017.
Moreover,
THE BUSINESS
Subject is engaged
in the manufacture and marketing of ceramic tiles (wall and floor), Naturoc
(gres porcelain tiles), vitrified tiles, marble as well as real estate
development. Revenue contribution from vitrified tiles was 43.38%, followed by
ceramics 39.70% and marble 16.92%.
Vitrified tiles: This is the largest product segment for the
Company. The Company has a sourcing arrangement with large vitrified tile
manufacturers in
Ceramic tiles: This is the second largest product segment
of the Company. Floor tiles are available in four sizes (300x300 mm, 445x445
mm, 600x300 mm and 600x600 mm) whereas wall tiles are available in two sizes
(250x300 mm and 600x300 mm) in glossy, matt, wood, metal, stone, leather and
rustic finishes. The Company launched 70 exquisite concepts across 135 SKUs
categorised into five series in 2009-10. The wall tiles were complemented with
highlighters. The average sales realisations of ceramic floor tiles increased
from Rs. 356 per
sq. mtr in 2008-09
to Rs. 396 per sq. mtr in 2009-10.
Marble: This is the third largest product segment of
the Company. Marble is imported mainly in the form of blocks and processed. The
Company markets natural and engineered marble to customers across 100 shades at
the Company’s unit at Kanjurmarg and Silvassa. The Company enjoys one of the
highest market shares of marble imports in
Naturoc: This is the newest addition to the Company
portfolio. The gres porcelain tile was manufactured for the
first time in
REVIEW OF OPERATIONS
During the year,
the Company sales were down to Rs.4653.300 millions against Rs.6746.600
millions, the previous year. A search was conducted by the Department of
Revenue Intelligence (DRI) on various premises of the Company in the month of
August 2009 to investigate certain import and export transactions and seized
all the imported materials lying at the ports and warehouses of the Company. On
the instructions of DRI, the Customs Authorities released the major imported
material during December 2009 to January 2010.
Hence sales of
imported vitrified tiles and imported marble were suspended for around 5 months
and sales of vitrified tiles were down by 40.88% to Rs.2018.800 millions
against sales of Rs.3414.400 millions in the previous year and sales of marble
were down by 42.09% to Rs.787.500 millions as compared to Rs.1359.800 millions
in the previous year. Due to lower sales, there was a loss of Rs.87.100
millions in the year against a net profit of Rs.249.700 millions in the
previous year.
CURRENT YEAR'S OUTLOOK
With the healthy
growth of the Indian economy and the industry in which the Company operates,
the Company
should be able to
improve sales and corresponding profitability in the current year.
SUBSIDIARY COMPANIES
Subsequent to the
year, the Company has invested in a marble quarry through a wholly owned
subsidiary in
UNAUDITED FINANCIAL RESULTS
FOR THE QUARTER ENDED MARCH 31, 2011.
(Rs. in Millions)
|
Particulars
|
Quarter Ended 31.03.2011 (Unaudited) |
Year Ended 31.03.2011 (Unaudited) |
|
1. Gross Sales |
2144.234 |
7285.488 |
|
2. Net Sales / Income from Operations |
1919.430 |
6405.038 |
|
3. Expenditure |
|
|
|
a. (Increase)/decrease in Stock in Trade
and Work in Progress |
(481.488) |
(879.550) |
|
b. Materials Cost |
895.583 |
2475.794 |
|
c. Purchases |
787.402 |
2510.147 |
|
d. Power & Fuel |
69.642 |
263.614 |
|
e. Employees cost |
105.166 |
348.434 |
|
f . Manufacturing and Other Expenditure |
89.838 |
317.405 |
|
g. Selling & Distribution Expenses |
191.754 |
594.529 |
|
h. Depreciation |
60.086 |
227.128 |
|
i Total Expenditure |
1717.983 |
5857.501 |
|
4. Profit /
(Loss) From Operations before other Income Interest & Exceptional Items |
201.447 |
547.537 |
|
5. Other Income |
0.644 |
16.368 |
|
6. Profit/(Loss)
before Interest and Exceptional items |
202.091 |
563.905 |
|
7. a. Interest and Other Financial Charges |
95.684 |
316.835 |
|
b. Foreign Exchange Loss/(Gain) |
1.729 |
(36.326) |
|
8. Profit/(Loss)
Before Tax |
104.678 |
283.396 |
|
9. Provision for Tax - Current Tax |
20.802 |
58.009 |
|
- MAT credit |
(20.802) |
(58.009) |
|
- Deferred Tax |
(6.790) |
20.478 |
|
|
|
|
|
10. Net Profit/(Loss) for the period |
111.468 |
262.918 |
|
|
|
|
|
11. Paid Up Equity Share Capital ( Face Value
of the share Rs.10/- per Share) |
321.236 |
321.236 |
|
12. Reserves excluding Revaluation
Reserves |
|
|
|
13. Basic & Diluted Earning Per Share
(in Rs.) * |
3.47 |
8.18 |
|
14. Public Share
Holding |
|
|
|
Number of Shares |
16556337 |
16556337 |
|
Percentage of Shareholding |
51.54 |
51.54 |
|
15. Promoters and Promoter group share holding |
|
|
|
a) Pledged / Encumbered |
|
|
|
- Number of Shares |
NIL |
NIL |
|
- Percentage of share (as a % of the total shareholding of promoter
and promoter group) |
NIL |
NIL |
|
- Percentage of shares(as a % of the total share capital of the
company) |
NIL |
NIL |
|
b) Non-encumbered |
|
|
|
- Number of Shares |
15567215 |
15567215 |
|
- Percentage of Share (as a % of the total shareholding of promoter and
promoter group) |
100 |
100 |
|
- Percentage of Share (as a % of the total share capital of the
company) |
48.46 |
48.46 |
* Not Annualised
in respect of Quarterly results.
Notes :
1.
The above financial results were reviewed by the
Audit committee and thereafter taken on record by the Board of Directors at
their meeting held on May 4, 2011 and reviewed by the Statutory auditors.
2.
The company has filed the scheme of Amalgamation of
Particle Boards India Limited (PBIL) with the company with the Hon'ble Bombay
High Court whereby the entire business of PBIL would vest with the company. The
appointed date of the scheme is April 1, 2010. Pending the sanction of the
scheme by Hon'ble Bombay High Court, no effect of the amalgamation has been
given in the results of the company.
3.
Power and Fuel figures are after netting off sale
of power generated through windmills for Rs.4.638 millions and Rs.51.836
millions for the quarter and year ended March 31, 2011 respectively
(Corresponding quarter and year ended March 31, 2010 Rs.6.500 millions and
Rs.57.152 millions respectively) and sale of power generated through Gas
Turbine of Rs.11.031 millions for the quarter and year ended March 31, 2011
(Corresponding previous quarter and year ended March 31, 2010 Rs. - NIL).
4.
The expansion at the state-of-the-art marble
processing plant at Silvassa has been completed during the quarter.
5.
Sales and PBIT for the quarter and year ended March
31, 2011 includes Rs.207.700 millions and Rs.44.890 millions respectively on
account of sale of part of Biz park at Thane,
6.
As gross income and profit from other segment are
below the norms prescribed in AS-17, separate disclosures have not been made.
7.
The number of investor complaints pending at the
beginning of the quarter were NIL. During the quarter, two investor complaints
were received and they were resolved. No investor complaint is lying unresolved
at the end of the quarter.
8.
The figures have been
regrouped/restated/reclassified/rearranged, wherever necessary, to make them
comparable.
FIXED ASSETS
·
·
·
Buildings
·
Office
Equipment
·
Plant and
Machinery
·
Electrical
Installations
·
Furniture
and Fixtures
·
Motor
Vehicles
·
Windmill
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.44.59 |
|
|
1 |
Rs.71.62 |
|
Euro |
1 |
Rs.62.78 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--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.