MIRA
INFORM REPORT
|
Report Date : |
25.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
STRIDES ARCOLAB LIMITED |
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Registered
Office : |
201, Devavrata, Sector 17,
Vashi, Navi Mumbai – 400705, |
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Country : |
India |
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Financials (as
on) : |
31.12.2010 |
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Date of
Incorporation : |
28.06.1990 |
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Com. Reg. No.: |
11-057062 |
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Capital
Investment / Paid-up Capital : |
Rs. 577.450 millions |
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CIN No.: [Company Identification
No.] |
L24230MH1990PLC057062 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMS36534B |
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PAN No.: [Permanent Account No.] |
AADCS8104P |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares
are Listed on the Stock Exchanges. |
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Line of Business
: |
Manufacturing and marketing of all types of Bulk Drugs,
Pharmaceuticals, etc. |
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No. of Employees
: |
800 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (57) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
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 |
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Maximum Credit Limit : |
USD 56000000 |
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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 a well established and a reputed company having fine track.
Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered normal for business dealings at usual
trade terms and 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 DECLINED BY
|
Name : |
Mr. T S Rangan |
|
Designation : |
Chief Financial Officer |
|
Date : |
23.07.2011 |
LOCATIONS
|
Registered Office : |
201, Devavrata, Sector 17, Vashi,
Navi Mumbai – 400705, |
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Tel. No.: |
91-22-27895247 |
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Fax No.: |
91-22-27892924 |
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E-Mail : |
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Website : |
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Corporate Office : |
Strides House, Bilekahalli, |
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Tel. No.: |
91-80-26581343/ 44/ 57580738/
39/ 57580000/ 66580751/ 66580000/ 66580600 |
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Fax No.: |
91-80-26583538/ 4330/ 57580700/
800/ 66580800 |
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E-Mail : |
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GLOBAL PLANTS : |
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Factory 1 : |
Sterile Products Division – I Bilekahalli,
Bannerghatta Road, Bangalore 560 076, India. |
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Factory 2 : |
Penicillins Facility Estrada Doutor
Lorival Martins Beda, 926 - 968
28110-000- Donana - Campos dos Goytacazes- Rio
de Janeiro- Brazil |
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Factory 3 : |
Sterile Products Division - II Plot No. 284-A,
Bommasandra Jigani Link Road, Industrial Area, Jigani Village, Jigani, Hobli,
Anekal Taluk, Bangalore 562 106, India |
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Factory 4 : |
Strides Arcolab Polska Sp.Zo.o ul.Daniszewska
10 03-230 Warszawa NIP-813-34-15-000, Poland. |
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Factory 5 : |
Oral Dosage Form Facility - III Plot No. 9-12,
Dewan & Sons Indl. Area, Veroor, Palghar, Dist. Thane 401 404 Maharashtra,
India. |
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Factory 6 : |
Onco Therapies Limited Plot No. 284-B, Bommasandra
Jigani Link Road, Industrial Area, Jigani Village, Jigani Hobli, Anekal
Taluk, Bangalore 562 106, India |
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Factory 7 : |
Strides Vital Nigeria Limited Gate No. 02,
Ladipo Oluwole Avenue, Opposite Cocoa warehouse, Off Oba Akran Road, Ikeja
Industrial Area, Ikeja Lagos, Nigeria. |
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Factory 8 : |
Beta-lactams
Facility Bilekahalli, Bannerghatta Road, Bangalore-560076,
Karnataka, India |
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Factory 9 : |
Beltapharm SpA 20095 Cusano
MIL. (MI) - Via Stelvio, 66 Italy. |
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Factory 10 : |
Penems Facility Estrada Doutor
Lorival Martins Beda, 926 - 968 28110-000- Donana - Campos dos, Goytacazes-
Rio de Janeiro- Brazil. |
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Warehouse : |
Plot No. 62, Sector – 1, Nerul, Navi Mumbai – 400 706, |
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Global
Offices : |
Located
at : USA Tel: 00 1 609 773 5000 Fax: 00 1 732 249 0225 Website: www.stridesusa.com E-mail:info@stridesusa.com Tel (Office): (+237)343 0435 CELL) :(+237) 79 33 762 Fax : (+237) 343 6420 Website: www.stridesarco.com Australia 151-153, Clarendon Street, South Melbourne, Victoria-3205,
Australia South
Africa 4, Angus Cresent, Longmeadow East, Modderfontein-1644, |
DIRECTORS
AS ON 31.12.2010
|
Name : |
Mr. Deepak Vaidya |
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Designation : |
Chairman (Non-Executive) |
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Name : |
Mr. Arun Kumar |
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Designation : |
Executive Vice Chairman and Managing Director (Executive and
Promoter) |
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Qualification |
B.Com., PGDBM |
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Date
of Joining |
June 1990 |
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Previous
Employment |
British Pharmaceutical
Laboratories |
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Name : |
Mr. K.R. Ravishankar |
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Designation : |
Executive Director (Executive and Promoter) |
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Qualification |
B.Sc. (Part) |
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Date
of Joining |
June, 1990 |
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Previous
Employment |
Enterpreneur |
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Name : |
Mr. Virtanes Saatci |
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Designation : |
Director (Non-Executive) |
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Name : |
Mr. P M Thampi |
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Designation : |
Director |
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Name : |
Mr. Mukul Sarkar |
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Designation : |
Director |
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Name : |
Mr. Venkat S Iyer |
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Designation : |
Director |
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Name : |
Mr. M.R. Umarji |
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Designation : |
Director (Non-Executive and Independent) |
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Name : |
Mr. A.K. Nair |
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Designation : |
Director (Non-Executive and Independent) |
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Name : |
Mr. P.M. Thampi |
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Designation : |
Director (Non-Executive and Independent) |
KEY EXECUTIVES
|
Name : |
Mr. Arun Kumar |
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Designation : |
Group CEO |
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Name : |
Mr. Venkat S Iyer |
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Designation : |
Executive Director and CEO-
Agila |
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Name : |
Mr. T. S. Rangan |
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Designation : |
Group CEO |
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Name : |
Mr. Adam Levitt |
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Designation : |
CEO Americas Operations |
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Name : |
Ms. Aloka Sengupta |
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Designation : |
President, Business
Development India Operations |
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Name : |
Mr. Dennis Bastas |
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Designation : |
Founder, Managing Director and CEO-ascent Pharmaheath Limited |
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Name : |
Mr. Manish Gupta |
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Designation : |
CEO- pharma |
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Name : |
Mr. Nitin Ghadiyar |
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Designation : |
President – Brands |
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|
Name : |
Mr. Sihue B Noronha |
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Designation : |
CEO- Africa |
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Name : |
Mr. Sridhar S Rao |
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Designation : |
President, Quality Assurance |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2011
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A)
Shareholding of Promoter and Promoter Group |
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|
3427326 |
5.91 |
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12911697 |
22.25 |
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(B) Public
Shareholding |
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|
5876711 |
10.13 |
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|
219199 |
0.38 |
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4404847 |
7.59 |
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|
19454126 |
33.53 |
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|
2072185 |
3.57 |
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|
3246557 |
5.60 |
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|
2312402 |
3.99 |
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|
4099121 |
7.06 |
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|
1813265 |
3.13 |
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|
351063 |
0.61 |
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|
394075 |
0.68 |
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|
129397 |
0.22 |
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|
190000 |
0.33 |
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|
1220321 |
2.10 |
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|
1000 |
-- |
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Total
|
58024171 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 Million BUSINESS DETAILS
|
Line of Business : |
Manufacturing and marketing of all types of Bulk Drugs,
Pharmaceuticals, etc. |
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Products : |
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PRODUCTION STATUS AS ON 31.12.2010
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Soft Gelatin Plant Softgel Capsules |
Numbers
in Millions |
2645 |
-- |
|
Hard Gelatin Plant Capsules |
Numbers
in Millions |
450 |
-- |
|
Tablet Plant Tablets |
Numbers
in Millions |
2160 |
-- |
GENERAL INFORMATION
|
No. of Employees : |
800 (Approximately) |
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Bankers : |
·
Dena Bank, Navi Mumbai, ·
State Bank of ·
Corporation Bank, Navi Mumbai, ·
The South Indian Bank, Navi Mumbai, ·
Corporation Bank, Navi Mumbai, ·
Canara Bank, Navi Mumbai, ·
Industrial Development Bank of |
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Facilities : |
Notes: a)
Long term loans (other than hire purchase loans)
are secured by a pari passu first charge on all movable properties and the
immovable properties at certain facilities of the Company. Hire purchase
loans from Banks are secured by hypothecation of assets acquired there under. b)
Long term loans (other than hire purchase loans)
due within one year Rs.1225.58 Million (Previous year Rs.524.18 Million).
Hire purchase loans from banks due within one year Rs.1.58 Million (Previous
year Rs.4.78 Million). c)
Short term loans from banks are working capital
loans, which are secured by a pari passu first charge on the Company's
immovable property located at Navi Mumbai and the current assets of the
Company and by a pari passu second charge of certain other immovable
properties. d)
Some of the above loans amounting to Rs.3375
Million (Previous year Rs.1,505 Million) are guaranteed by some of the
Directors of the Company in their personal capacities. e)
Short term loans from Banks includes Bills
discounted with various Banks for Rs.480.35 Million (Previous year Rs.1044.46
Million)
Notes: a) Long term
loans from Subsidiaries due within one year Rs.480 Million (Previous year
Rs.Nil). |
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Banking
Relations : |
-- |
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Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
Address : |
Deloitte Centre, |
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Tel No.: |
91-80-66276000 |
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Fax No.: |
91-80-66276011 |
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Wholly Owned Subsidiaries : |
Direct Holding ·
Arcolab Limited SA, Switzerland ·
Strides Technology and Research Private Limited,
India ·
Agila Specialties Private Limited (formerly Strides
Specialties Private Limited), India ·
Starsmore Limited, Cyprus ·
Strides Africa Limited, British Virgin Islands ·
Strides Arcolab International Limited, U.K.
(SAIL) ·
Onco Therapies Limited, India (w.e.f. January 01,
2010) (Refer Note 10 above)* Indirect Holding ·
Pharma Strides Canada Corporation, Canada ·
Linkace Limited, Cyprus ·
Linkace Investments PTY Limited, Australia
(w.e.f. December 14, 2010) ·
Plus Farma ehf, Iceland ·
Farma Plus AS , Norway (w.e.f. July 01, 2010) ·
Strides Specialties (Holdings) Limited, Mauritius ·
Strides Specialties (Holdings) Cyprus Limited
(formerly known as Powercoast Limited), Cyprus ·
Strides Pharmaceuticals (Holdings) Limited,
Mauritius (w.e.f. January 27, 2010) ·
Strides Pharmaceuticals (Mauritius) Limited,
Mauritius (w.e.f. January 27, 2010) ·
Strides Specialty (Cyprus) Limited, Cyprus ·
Co Pharma Limited, U.K. (w.e.f. July 01, 2010) ·
Strides Arcolab Polska Sp.z o.o, Poland ·
Strides Arcolab UK Limited, U.K. ·
Agila Specialties (Malaysia) SDN BHD, Malaysia
(w.e.f. September 22, 2010) ·
Agila Especialidades Farmaceuticas Limited,
Brazil (w.e.f. June 11, 2010)* ·
Onco Laboratories Limited (formerly Powercliff
Limited), Cyprus ( w.e.f. January 01, 2010)* ·
Strides Australia Pty Limited, Australia ·
Strides Inc, USA (w.e.f. December 21, 2010) ·
Strides Farmaceutica Participacoes Limited,
Brazil (w.e.f. July 01, 2010) ·
Strides Pharma (Cyprus) Limited, Cyprus |
|
|
|
|
Other Subsidiaries : |
Direct Holding: Strides Inc. USA
(up to December 20, 2010) Onco Therapies
Limited, India (up to December 31, 2009) Indirect Holding: ·
Ascent Pharmahealth Limited, Australia ·
Ascent Pharmahealth Asia Pte Limited, Singapore ·
Beltapharm S.p.A., Italy ·
Drug Houses of Australia (Asia) Pte. Limited,
Singapore ·
Co Pharma Limited, UK (up to June 30, 2010) ·
Formule Naturelle (Pty) Limited , South Africa
(up to June 30, 2010) ·
Ascent Pharma Pty Limited (formerly known as
Genepharm Pty Limited), Australia ·
Pharmasave Australia Pty Limited, Australia ·
Strides S.A. Pharmaceuticals Pty. Limited, South
Africa ·
Inbiopro Solutions Private Limited, India (w.e.f.
November 25, 2010) ·
Ascent Pharmacy Services Pty Limited, Australia
(w.e.f. January 29, 2010) ·
Ascent Pharmaceuticals Limited (formerly known as
Genepharm (New Zealand) Limited), New Zealand ·
African Pharmaceutical Development Company,
Cameroon (w.e.f. January 01, 2010) ·
Green Cross Pharma Pte Limited, Singapore (up to
1st January 2010) ·
Ascent Pharmahealth Asia (Hong Kong) Limited
(formerly known as Strides Arcolab Hong Kong Limited), Hong Kong ·
Ascent Pharmahealth Asia (Malaysia) SDN BHD
(formerly known as Strides Arcolab Malaysia SDN. BHD), Malaysia ·
Ephos - 106 Produtos Hospitalaries Limited Me,
Brazil (w.e.f. November 2010)* ·
Ascent Pharmahealth Asia (B) SDN BHD (formerly
known as Strides Arcolab SDN BHD, Brunei) ·
Strides CIS Limited, Cyprus (formerly known as
Raycom Limited) ·
Strides Vital Nigeria Limited, Nigeria |
|
|
|
|
Joint Ventures : |
·
Akorn Strides LLC, USA ·
Onco Laboratories Limited (formerly Powercliff
Limited.)- up to December 31, 2009 ·
Sagent Strides LLC, USA |
|
|
|
|
Enterprises owned or significantly influenced by
key management personnel and relatives of key management personnel |
·
Agnus Global Holdings Private
Limited, India ·
Arcolab (India) Private Limited (merged
with Agnus Holdings Private Limited w.e.f. March 24, 2010) ·
Atma Projects, India ·
Higher Pharmatech Private Limited,
India ·
Caryl Pharma Private Limited (merged
with Agnus Holdings Pvt Ltd w.e.f. March 24, 2010) ·
Chayadeep Properties Private Limited,
India ·
Agnus Global Holdings Pte Limited,
Singapore ·
Agnus Holdings Private Limited, India ·
Fraxis Life Sciences Limited, India ·
Atma Enterprises LLP, India ·
Chayadeep Ventures LLP, India ·
Qualichem Capital LLP, India ·
Agnus Capital LLP, India ·
Triumph Ventures LLP, India ·
Mrs. Deepa Arun Kumar ·
Net Equity Ventures Private Limited (merged with
Agnus Holdings Private Limited w.e.f. March 24, 2010) ·
Nous Infosytems Private Limited, India ·
Patsys Consulting Private Limited, India ·
Sequent Scientific Limited, India ·
Sequent Research Limited , India ·
Sequent Global Holdings Limited, Mauritius ·
Sequent Scientific Limited ·
Vedic Elements Private Limited ·
Sequent Antibiotics (P) Limited, India ·
Sequent Oncolytics (P) Limited, India ·
Triumph Fincap Holdings Private Limited, India ·
Agnus IPCO Limited, BVI ·
Santo Finco Ltda, Madeira ·
Strides Italia srl, Italy ·
Keerthapathi Ravishankar - HUF ·
Mrs. K. Saraswathi ·
Mr. G.P. Pillai ·
Mr. Mohana Kumar Pillai |
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|
|
|
Associates : |
·
Aspen Venezuela CA ·
Aspen Pharma Industrial Farmaceutica, Brazil
(formerly known as Cellofarm Limited) ·
Pharmalatina Holdings Limited, Cyprus ·
Solara SA De CV, Mexico ·
Strides Latina, SA, Uruguay ·
Aspen Labs SA De CV, Mexico |
CAPITAL STRUCTURE
AS ON 31.12.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
89750000 |
Equity Shares |
Rs.10/- each |
Rs. 897.500 Millions |
|
620000 |
Cumulative Redeemable Preference Shares |
Rs. 1000/- each |
Rs. 620.000 millions |
|
|
Total |
|
Rs. 1517.500
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
57744671 |
Equity Shares |
Rs.10/- each |
Rs. 577.450
Millions |
|
i) 9,368,875
(Previous year 3,168,875) equity shares of Rs.10 each were allotted to the
Promoters and their associate companies on exercising of the Warrants. |
|||
|
ii)
3,387,979 (Previous year 3,374,455) equity shares of Rs.10 each were allotted
for consideration other than cash consequent to amalgamation and issue of
bonus shares. |
|||
AS ON 30.05.2011
Authorised Capital : Rs. 1517.500
millions.
Issued, Subscribed & Paid-up Capital : Rs. 580.242 millions.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
577.450 |
893.760 |
892.110 |
|
|
2] Share Application Money |
0.000 |
141.50 |
0.000 |
|
|
3] Reserves & Surplus |
13462.740 |
8209.500 |
2897.330 |
|
|
4] Employees stock options outstanding account |
20.860 |
34.530 |
17.890 |
|
|
5] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
14061.050 |
9279.290 |
3807.330 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
6461.360 |
5980.890 |
3737.350 |
|
|
2] Unsecured Loans |
5957.200 |
6341.500 |
7237.270 |
|
|
TOTAL
BORROWING |
12418.560 |
12322.390 |
10974.620 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
58.500 |
|
|
|
|
|
|
|
|
TOTAL |
26479.610 |
21601.680 |
14840.450 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
3115.150 |
3268.930 |
1612.630 |
|
|
Capital work-in-progress |
375.280 |
112.140 |
1454.080 |
|
|
|
|
|
|
|
|
INVESTMENT |
18200.670 |
15180.420 |
9395.800 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1293.080 |
955.030 |
869.710
|
|
|
Sundry Debtors |
1597.310 |
2075.270 |
2084.400
|
|
|
Cash & Bank Balances |
810.290 |
313.820 |
163.820
|
|
|
Other Current Assets |
145.280 |
0.000 |
778.840
|
|
|
Loans & Advances |
4654.760 |
3597.850 |
1176.280
|
|
Total Current Assets |
8500.720
|
6941.970
|
5073.050
|
|
|
Less :
CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1920.200 |
2124.910 |
1649.580
|
|
|
Other Current Liabilities |
301.180 |
81.390 |
336.380
|
|
|
Provisions |
1490.830 |
1695.480 |
709.150
|
|
Total Current Liabilities |
3712.210
|
3901.780
|
2695.110
|
|
|
Net Current Assets |
4788.510
|
3040.190
|
2377.940
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
26479.610 |
21601.680 |
14840.450 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5046.380 |
7694.420 |
5931.380 |
|
|
|
Other Income |
248.060 |
131.500 |
689.950 |
|
|
|
TOTAL |
5294.440 |
7825.920 |
6621.330 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Materials consumed |
3015.410 |
4473.360 |
3464.850 |
|
|
|
(Increase)/Decrease in stock |
(78.540) |
(119.860) |
(44.240) |
|
|
|
Personnel cost |
525.510 |
836.600 |
631.450 |
|
|
|
Operating and other expenses |
884.630 |
1367.010 |
1215.530 |
|
|
|
Reversal of Exchange
Fluctuation on Restatement of Hedged investments in earlier years |
695.680 |
0.000 |
0.000 |
|
|
|
Exchange Gain / Loss on FCCB,
ECB and forward exchange contracts & certain monetary items |
(948.030) |
(391.600) |
1841.940 |
|
|
|
Exchange Gain / Loss on
restatement of hedged investments |
0.000 |
0.000 |
(923.400) |
|
|
|
Changes in fair value of
embedded derivatives in FCCBs |
15.630 |
41.120 |
(452.210) |
|
|
|
Profit on FCCB buyback |
0.000 |
(291.170) |
0.000 |
|
|
|
Interest reversal on FCCB
buyback |
0.000 |
(79.960) |
0.000 |
|
|
|
Profit on sale of Investment |
(94.400) |
0.000 |
0.000 |
|
|
|
Provision no longer required
for diminution in value of investment |
(183.870) |
0.000 |
0.000 |
|
|
|
TOTAL |
3832.020 |
5835.500 |
5733.920 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
1462.420 |
1990.420 |
887.410 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
420.770 |
598.030 |
654.270 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
1041.650 |
1392.390 |
233.140 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
150.820 |
226.850 |
188.770 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
890.830 |
1165.540 |
44.370 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
155.210 |
110.400 |
(16.980) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
735.620 |
1055.140 |
61.350 |
|
|
|
|
|
|
|
|
|
|
Profit before
tax from discontinued Operations |
890.830 |
725.290 |
0.000 |
|
|
Less |
Tax Expenses |
155.210 |
108.940 |
0.000 |
|
|
|
Net Profit from
Continuing Operations |
735.620 |
616.350 |
0.000 |
|
|
|
|
|
|
|
|
|
|
Profit before
tax from Discontinued Operations |
0.000 |
440.250 |
0.000 |
|
|
Less |
Tax Expenses |
0.000 |
1.460 |
0.000 |
|
|
|
Net Profit From
Discontinued Operations |
0.000 |
438.790 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER
TAX |
735.620 |
1055.140 |
61.350 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
780.600 |
(47.680) |
(109.030) |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed dividend on equity shares |
91.590 |
60.320 |
0.000 |
|
|
|
Tax on proposed equity dividend |
14.980 |
10.250 |
0.000 |
|
|
|
Dividend on preferences shares |
0.000 |
88.490 |
0.000 |
|
|
|
Tax on preference dividends |
0.000 |
15.040 |
0.000 |
|
|
|
Transfer to general reserve |
36.780 |
52.760 |
0.000 |
|
|
|
Reversal of Dividend on Preference Shares
and Taxes Thereon, no longer payable |
(148.540) |
0.000 |
0.000 |
|
|
|
Transfer to Capital Redemption Reserve |
491.610 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
1029.800 |
780.600 |
(47.680) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports of Goods |
3277.190 |
5452.220 |
4629.040 |
|
|
|
Development Income |
609.680 |
834.010 |
745.630 |
|
|
|
Interest |
322.850 |
9.780 |
17.550 |
|
|
|
Local sales (proceeds received / receivable in Foreign Currency) |
0.000 |
3.440 |
386.850 |
|
|
|
Share of Profit on Sale of Product |
97.920 |
0.000 |
0.000 |
|
|
|
Other Income |
149.970 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
4457.610 |
6299.450 |
5779.070 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
612.690 |
1373.390 |
1093.500 |
|
|
|
Capital Goods |
185.550 |
129.080 |
432.620 |
|
|
|
Others |
6.450 |
225.860 |
23.670 |
|
|
TOTAL IMPORTS |
804.690 |
1728.330 |
1549.790 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
15.69 |
25.46 |
0.69 |
|
QUARTERLY RESULTS
(Rs.
In Millions)
|
PARTICULARS |
31.03.2011 |
|
Net Sales |
1279.430 |
|
Total Expenditure |
1067.610 |
|
PBIDT (Excl OI) |
211.820 |
|
Other Income |
0.000 |
|
Operating Profit |
211.820 |
|
Interest |
183.600 |
|
Exceptional Items |
172.270 |
|
PBDT |
200.490 |
|
Depreciation |
38.560 |
|
Profit Before Tax |
161.930 |
|
Tax |
34.500 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
127.430 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
127.430 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
PAT / Total Income |
(%) |
13.89
|
13.45 |
0.92
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
17.65
|
15.15 |
0.74
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.67
|
11.41 |
0.66
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.06
|
0.13 |
0.01
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.15
|
1.75 |
3.63
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.29
|
1.78 |
1.88
|
LOCAL AGENCY FURTHER INFORMATION
The Details of
Sundry Creditors:
Rs.
In Millions
|
Particulars |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
Sundry Creditors |
|
|
|
|
- Dues to Micro/Small Enterprises |
13.670 |
10.820 |
2.420 |
|
- Dues to Others |
1906.530 |
2114.090 |
1647.160 |
|
Total |
1920.200 |
2124.910 |
1649.580 |
TURNOVER AND
PROFITS
On a Standalone basis,
the total income during the year stood at Rs.5,294 Million as against Rs.4,879
Million in the previous year. The Standalone net profit is Rs.736 Million as
against a net profit of Rs.616 Million for the previous year.
BUSINESS OVERVIEW
2010 was a game
changing year for them as they saw the fructification of many of their plans in
their goal to become a global sterile powerhouse. Their partnership with Pfizer
and entry into the biologics space has strengthened and consolidated their
position in the specialty segment. Ray of Life, their critical care offering
for the domestic market, has also made significant progress with a wide range
of high quality Oncology products at an affordable price for Indian consumers.
The Company
re-branded its specialties division, Strides Specialties Private Limited as
Agila Specialties Private
Limited. The name
'Agila' was chosen to reflect the brand ethos of the Company's specialised
product offering which is smart, agile, determined and pragmatic. 'Agila'
carves out a new identity to the specialties division in the rapidly changing
segment of the healthcare industry.
The Company had a
very stable year of operation post restructuring of its business into two
divisions viz. Pharma
and Specialties.
The Key Business highlights of 2010 include:
Specialties
·
Performance boosted by new product launches in
regulated markets and additional revenue generated by new facilities
·
Significant ramp up in capacity utilization
·
Acquisition of Penem and Penicillin facility in
Campos, Brazil
·
Acquisition of complete ownership in Oncology
business
·
16 new product launches in regulated market, 5 in
USA and 11 in other regulated markets
Merger and Business Restructuring Update
The Company has successfully
completed consolidation of its operations into two different business verticals
viz
Specialties
Business, Pharmaceutical Business pursuant to the Scheme of Amalgamation
sanctioned by the Hon'ble High Court of Mumbai, Chennai and Karnataka and pursuant
to the hive-off of Specialties and Research and Development business of the
Company to Agila Specialties Private Limited, a wholly owned subsidiary of the
Company.
Medgene
Pharmaceuticals Private Limited, a wholly owned subsidiary of the Company merged
with Agila Specialties Private Limited in the Specialties Vertical pursuant to
the Order of the Hon'ble High Court of Karnataka passed on February 6, 2010.
JOINT VENTURES:
During the year, the Company restructured its US operations and
identified Strides Inc, USA as a holding entity for all its investments in US.
Consequently, the interest of the Company in Akorn-Strides LLC, USA (a 50:50 JV
between the Company and Akorn Inc., USA) and Sagent-Strides LLC, USA (a 50:50
JV between SAIL, UK and Sagent Inc., USA) have been consolidated under Strides
Inc.
MANAGEMENT
DISCUSSION AND ANALYSIS
GLOBAL PHARMACEUTICAL MARKET
The global
pharmaceutical market grew 7% to USD 837.2 Billion in FY2009 and is expected to
have registered 4-5% growth in FY2010.
GLOBAL PHARMACEUTICAL TRENDS IN FY2010
·
Generic drugs segment i.e., therapeutic equivalents
of patented or innovative drugs, continued to evolve, as a number of branded
products lost their patent protection during the year
·
Increased focus on specialty-driven therapies,
especially HIV therapies, oncology products, and biologics
·
High volume sales of antipsychotics, lipid
regulators, proton pump inhibitors and antidepressants
·
Fewer products won regulatory approval, with
approvals being received for diseases like acute coronary syndrome, diabetes,
rheumatoid arthritis, cancer and meningitis
·
Shift in growth from regulated markets to
pharmerging markets
·
Higher government investments and increased private
sector funding on healthcare
·
Globally, the manufacturing capacity for injectable
products was limited during the year, particularly for lyophilised products
·
Partnerships between Western and Indian drug makers
·
The global injectable market stood at USD 200
Billion in the year FY2009
PHARMA TRENDS 2011 AND BEYOND
The growth of
generics has outpaced the growth of branded products the world over. Drugs with
sales of more than USD 120 Billion are expected to go off patent in the next 3
years, which will increase the demand of generics and lower their prices. Its
sales are expected to skyrocket to more than USD 30 Billion in FY2011 all over
the world, especially in the major
regulated markets.
The global market
for APIs is being transformed as biologic ingredients are increasingly being
used in drugs. Biologic ingredients are set to grow 12-15% per year to reach
USD 12 Billion by FY2011. Injectables, oncology, biosimilars, anti-diabetic
drugs and cardiovascular medicines, especially anti-hypertensive drugs, are
expected to see the fastest growth in FY2011
Patents of
Oncology Injectables, currently worth USD 8.3 Billion, are set to expire by
FY2015. Scarcity value in the Injectables space is leading to consolidation.
Stricter regulations will be implemented soon, especially in the arena of
pricing, as pricing pressure is not expected to ease in the near future.
Hence, the key growth and sustainability factors
summed up are:
·
Faster drug development
·
Cutting down costs
·
High growth in emerging markets
·
Regulatory Compliance
·
Entry of Biosimilars
·
Mergers and Acquisitions
·
Big Pharma Convergence
GLOBAL PHARMA INDUSTRY CHALLENGES
·
Increasing competition in generic segment
·
Declining research and development (R&D) productivity
i.e., the number of commercial launches of new innovative drugs
·
Shrinking average patent life
·
Pricing is today one of the most important issues
in the pharma world. Rising cost of new product development, spiraling
healthcare budgets and mounting governmental pressure to reduce drug prices
have forced companies to produce cheaper generic drugs
OVERVIEW
The
Company is primarily involved in two businesses, the pharmaceutical business
and the specialised sterile products business branded as Agila. The
pharmaceutical business is further divided into two product lines,
manufacturing and branded generics. The pharmaceutical business offers a wide
range of products across several major therapeutic categories, including
anti-biotics, oncology, anti-bacterials, HIV/AIDS and malaria drugs. Agila
develops and manufacture sterile products across many therapeutic areas and
formats. The Company has one of the largest lyophilisation (freeze-drying)
capacities in the world.
FINANCE REVIEW
The Company,
during the year 2008, had early adopted Accounting Standard (AS) 30 'Financial
Instruments: Recognition and Measurement' and consequential limited revisions
to other applicable Accounting Standards as
have been
announced by ICAI. Accordingly the Company changed the designation and
measurement principles for all significant assets and liabilities including
FCCBs and ECBs.
Pursuant to the
notification dated February 11, 2011 issued by The Institute of Chartered
Accountants of India regarding certain accounting treatment under AS 30, which
clarified that in case of conflict between mandatory Accounting Standards as
notified under the Companies Act,1956 and AS 30, provisions of mandatory
Accounting Standards shall prevail over. Consequently, the Company has reversed
net exchange gain of Rs. 695.68 million recognized till December 31, 2009 on
restatement of certain US Dollar denominated investments that was designated as
fair value hedge since such restatement is not in accordance with AS 13
"Accounting for Investment".
FIXED ASSETS
·
·
Leased
·
Buildings
·
Furniture and Fixtures
·
Office Equipment and Computers
·
Plant and Machinery
·
Motor Vehicles
·
Registration and Brands
·
Software Licences
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.44.37 |
|
|
1 |
Rs.72.34 |
|
Euro |
1 |
Rs.63.87 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
57 |
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.