MIRA
INFORM REPORT
|
Report Date : |
29.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
GATI LIMITED |
|
|
|
|
Registered Office : |
1-7-293, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
30.06.2010 |
|
|
|
|
Date of Incorporation : |
25.04.1995 |
|
|
|
|
Com. Reg. No.: |
01-20121 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 170.310 millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L63011AP1995PLC020121 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
HYDG00628F |
|
|
|
|
Legal Form : |
Public Limited
Liability Company. The company’s
shares are listed on the Stock Exchanges. |
|
|
|
|
Line of Business : |
Logistics, Express Cargo and Shipping Services. |
|
|
|
|
No. of Employees
: |
2876 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (64) |
|
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 12000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and a reputed company having
satisfactory 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.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
1-7-293, |
|
Tel. No.: |
91-40-27844284/
27843788 |
|
Fax No.: |
91-40-27894284 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
No : |
|
Tel. No.: |
(0065) 6396 8867 |
|
E-Mail : |
|
|
|
|
|
Distributor Centre: |
Located at: ·
Gurgaon ·
·
Ambala ·
·
·
Kolkata ·
Guwahati ·
Mumbai ·
·
Jaipur ·
·
·
Chennai ·
·
·
Ahmedabad ·
Pune |
|
|
|
|
Branches : |
North Zonal
Office Plot No. 268,
Udyog Vihar, Phase IV, Gurgaon – 122016, Tel :
91-124-2644284 Fax :
91-124-2644220 West Zonal Office 1st Floor, D-390, TTC Industrial Area, Near IOC Terminal,
Turbhe, Navi Mumbai - 400 713, Tel :
91-22-27612210/27630192/27630196 Fax :
91-22-27689605 Peenya Industrial Area, Phase – 1, Tel: 91-80-23725110/23725111/23725112 Fax :
91-80-23710220 e-mail: cord_retail_south@gati.com
P-18, Kolkata-700 088. Tel:
91-33-24010342/24010415/24017488 Fax :
91-33-24017403 e-mail: incharge_cs_kol@gati.com INTERNATIONAL OFFICE
Tel : (65)
65874284/63968724 Fax :(65)
63968867/62955817 e-mail: infosin@gati.coms Gati Hong Kong Limited 8/B., Tel : 852- 28505111 Fax: 852- 28505344 / 28505355 HP : 852 94715975 e-mail: infohkg@gati.com Gati Cargo
Express (
Tel:
(008621) 61042706-810 Fax:
(008621) 61042709 HP:
13311870157 e-mail: infochina@gati.com. 74,The Tel: (0094) 11 5549834/5554284 Hp: +94 779034421. e-mail: infocmb@gati.com
Room B-405, Tel. No.: (0086) 10 65831275 Fax No.: (0086) 10 59271809 HP: (0086) 13906424585 e-mail.: infochina@gati.com Gati Middle Building No. 6WB
Office No. 247, 2nd Floor, Tel. No.: 971-4-6091914 Fax No.: 971-4-6091915 HP : 971-50-8703711/9692198
Gati Holdings Limited 3rd
Floor, Tel. No.: 852-28505111 Fax No.: 852-28505355 HP: 852-9471-5975 e-mail: infohkg@gati.com Room 2606, A
Mansion, Tel. No.: (0086) 532 66775981 e-mail: infochina@gati.com Gati 309, Kumari Marg,
Opposite MES Gate, Tripureswor, Tel. No.: 977-1-4256599/4229890 Fax No.: 977-1-4225336 e-mail: ser_dept_ktm@gati.com Gati Thailand Limited 333 Moo 9, A P Tel. No.: 66 (0) 2 7458400-3 Fax no.: 66 (0) 2 7458445 HP : 66-8-6-3964786 e-mail.: infothailand@gati.com |
DIRECTORS
As on 30.06.2010
|
Name : |
Mr. K. L. Chugh |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Mahendra
Agarwal |
|
Designation : |
Managing Director
and Chief Executive Officer |
|
|
|
|
Name : |
Mr. Himmat Singh
Lagad |
|
Designation : |
Executive Director |
|
Qualification: |
B.E. (Electronics) |
|
Date of Appointment: |
01.12.2009 |
|
|
|
|
Name : |
Dr. Ram S.
Tarneja |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. P.S. Reddy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N. Srinivasan |
|
Designation : |
Independent
Director |
|
Qualification: |
FCA |
|
Date of Appointment: |
18.10.2000 |
|
Other Directorship: |
|
|
|
|
|
Name : |
Mr. T.S. Rao |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Sunil Kumar
Alagh |
|
Designation : |
Director |
|
Qualification: |
Graduate in Economics (Hons) and MBA from IIM, |
|
Date of Appointment: |
22.04.2004 |
|
Other Directorship: |
|
|
|
|
|
Name : |
Mr. Anoop Kishore
Seth |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. VSN Raju |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Mr. Saurav Banerjee |
|
Designation : |
Chief Finance Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
4,656,690 |
5.47 |
|
|
28,102,228 |
33.00 |
|
|
9,000,000 |
10.57 |
|
|
9,000,000 |
10.57 |
|
|
41,758,918 |
49.04 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
41,758,918 |
49.04 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
30,000 |
0.04 |
|
|
63,880 |
0.08 |
|
|
2,532,278 |
2.97 |
|
|
2,626,158 |
3.08 |
|
|
|
|
|
|
6,670,363 |
7.83 |
|
|
|
|
|
|
11,472,985 |
13.47 |
|
|
7,767,350 |
9.12 |
|
|
14,859,126 |
17.45 |
|
|
458,501 |
0.54 |
|
|
3,871,000 |
4.55 |
|
|
52,505 |
0.06 |
|
|
10,477,120 |
12.30 |
|
|
40,769,824 |
47.88 |
|
Total Public shareholding (B) |
43,395,982 |
50.96 |
|
Total (A)+(B) |
85,154,900 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
85,154,900 |
100.00 |
(1)
Indian
Individuals
/ Hindu Undivided Family
TrustsBUSINESS DETAILS
|
Line of Business : |
Logistics, Express Cargo and Shipping Services. |
|
|
|
|
Services: |
Express Distribution and Supply Chain and Shipping Services |
GENERAL INFORMATION
|
Customers : |
v
Sony v
Hitachy v
LG v
Samsung v
Nokia v
Electrolux v
Titan v
Onida v
Hindustan Lever Limited v
Dabur v
DS Group v
Cummins v
NCR v
Ingram Micro v
Havell’s v
3M v
ABB v
Data Craft v
Siemens v
JCB v
Schneider Electric v
Asian Paints v
ICI v
Tata v
IFTEX v
SICPA India Limited v
Nicholas Piramal v
Cipla v
Alembic v
Unichem Laboratories Limited v
Emcure v
Novartis v
Dr. Riddy’s v
Aurobindo Pharma Limited v
Cadila Pharmaceuticals Limited v
INTAS v
Sun Pharmaceuticals Industries Limited v
Shantha Biotechnics v
Torrent v
Wipro v
HCL v
HP Invent v
D - Link v
E-sys Information Technologies Limited v
Zenith v
Intex v
Pantaloon Retail India Limited v
RBK v
Axis Bank v
HDFC Bank v
Gini and Jony v
Ashima v
Hero Honda v
Honda The Power of Dreams v
Tata Motors v
Mahindra v
Ashok Leylands v
Fiat v
MICO v
Eicher |
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|
No. of Employees : |
2876 (Approximately) |
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|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
Ř
State
Bank of Ř
ICICI
Bank Limited Ř
Axis
Bank Limited |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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|
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Facilities : |
Secured Loans (Rs. in millions)
*Also guaranteed by the Managing Director (Promoter) of the company. Unsecured Loans
(Rs. in millions)
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
R. S. Agarwala
and Company Chartered
Accountants |
|
|
|
|
Associates: |
v
TCI Finances limited v
Gati Intellect Systems Limited v
Giri Roadlines and Commercial Trading Private
limited v
Jubilee Commercials and Trading Private limited v
Gati Infrastructure Limited v
Gati Shipping Limited v
Gati Cargo Management Services Limited v
TCI Hi-ways Private Limited v
TCI Industries Limited v
Mahendra Kumar Agarwal and Sons (HUF) v
ITAG Infrastructire Limited v
ITAG Business Solutions Limited v
Gati ( |
|
|
|
|
Subsidiaries : |
v
Gati Holdings Limited v
Gati Asia Pacific Pte Limited v
Gati Hong Kong Limited v
Gati China Holdings limited v
Gati Middle East FZE Limited v
Gati Cargo Express ( v
Gati Japan Limited v
Newatia Commercial and Trading Private Limited v
Trymbak Commercial and Trading Private Limited v
Ocimum Commercial and Trading Private Limited v
Sumeru Commercial and Trading Private Limited v
Kausar India Limited v
Gati Import Export Trading Limited v
Zen Cargo Movers Private Limited v
REDSUN Supply Chain Solutions Limited |
CAPITAL STRUCTURE
As on 30.06.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
100000000 |
Equity Shares |
Rs. 2/- each |
Rs. 200.000 millions |
|
1000000 |
Redeemable Preference Shares |
Rs. 100/- each |
Rs. 100.000 millions |
|
|
|
|
|
|
|
Total |
|
Rs. 300.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
85154900 |
Equity Shares |
Rs. 2/- each |
Rs. 170.310
Millions |
|
|
|
|
|
Of the above :
125,09,495 shares were allotted for consideration other than cash as per
the Scheme of Arrangement.
139,27,500 shares were issued as fully paid bonus shares by
capitalization of share premium
During the year
following shares were issued:
278,850 shares of Rs.2/- each on vesting of Employees Stock Options
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
30.06.2010 |
30.06.2009 |
30.06.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
170.310 |
169.752 |
169.311 |
|
|
2] Share Warrents |
176.384 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2669.784 |
2607.658 |
2868.510 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
3016.478 |
2777.410 |
3037.821 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
2968.596 |
3316.797 |
1120.867 |
|
|
2] Unsecured Loans |
1568.627 |
1384.261 |
1117.336 |
|
|
TOTAL BORROWING |
4537.223 |
4701.058 |
2238.203 |
|
|
DEFERRED TAX LIABILITIES |
84.845 |
81.179 |
74.837 |
|
|
|
|
|
|
|
|
TOTAL |
7638.546 |
7559.647 |
5350.861 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
4072.060 |
4330.688 |
2399.429 |
|
|
Capital work-in-progress |
355.318 |
359.784 |
629.529 |
|
|
|
|
|
|
|
|
FOREIGN CURENCY MONETARY ITEM TRANSLATION DIFFERENCE |
6.655 |
27.589 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
706.261 |
657.787 |
558.043 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
102.422 |
45.425 |
27.614 |
|
|
Sundry Debtors |
1330.225 |
1076.314 |
1109.841 |
|
|
Cash & Bank Balances |
127.561 |
133.385 |
122.343 |
|
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
|
Loans & Advances |
1771.695 |
1503.156 |
1371.836 |
|
Total
Current Assets |
3331.903 |
2758.280 |
2631.634 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
249.526 |
|
489.137 |
|
|
Other Current Liabilities |
228.592 |
212.725 |
|
|
|
Provisions |
355.533 |
212.867 |
378.637 |
|
Total
Current Liabilities |
833.651 |
574.483 |
867.774 |
|
|
Net Current Assets |
2498.252 |
2183.797 |
1763.860 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
7638.546 |
7559.647 |
5350.861 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.06.2010 |
30.06.2009 |
30.06.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
7447.243 |
6180.791 |
5520.674 |
|
|
|
Other Income |
66.840 |
122.470 |
234.424 |
|
|
|
TOTAL (A) |
7514.083 |
6303.261 |
5755.098 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Operating Expenses |
4879.631 |
4155.792 |
3661.328 |
|
|
|
Personnel Expenses |
891.330 |
805.134 |
703.066 |
|
|
|
Administrative Expenses |
696.375 |
628.276 |
525.339 |
|
|
|
Advertisement Expenses |
0.000 |
0.000 |
84.079 |
|
|
|
Repairs and Maintenance Expenses |
122.512 |
77.332 |
73.057 |
|
|
|
Other Expenditure |
0.000 |
0.000 |
150.825 |
|
|
|
Managerial Remuneration |
21.187 |
3.430 |
0.000 |
|
|
|
Auditors’ Remuneration |
1.970 |
1.715 |
0.000 |
|
|
|
Bad Debts and irrecoverable Balances Written off |
40.024 |
16.246 |
0.000 |
|
|
|
Exceptional Item |
0.000 |
(168.783) |
0.000 |
|
|
|
TOTAL (B) |
6653.029 |
5856.708 |
5197.694 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
861.054 |
446.553 |
557.404 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
430.917 |
354.123 |
97.292 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
430.137 |
92.430 |
460.112 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
238.682 |
230.070 |
145.746 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
191.455 |
(137.640) |
314.366 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
40.358 |
12.939 |
76.563 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
151.097 |
(150.579) |
237.803 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(74.906) |
85.767 |
-- |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
15.110 |
0.000 |
-- |
|
|
|
Proposed Dividend |
34.062 |
0.000 |
-- |
|
|
|
Tax on Dividend |
5.657 |
0.000 |
-- |
|
|
|
Tonnage Tax Reserve |
0.000 |
10.094 |
-- |
|
|
BALANCE CARRIED
TO THE B/S |
21.362 |
(74.906) |
-- |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
620.613 |
396.660 |
NA |
|
|
TOTAL EARNINGS |
620.613 |
396.660 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Stores & Spares |
14.410 |
13.392 |
NA |
|
|
|
Capital Goods |
0.000 |
810.152 |
NA |
|
|
TOTAL IMPORTS |
14.410 |
823.544 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
1.78 |
(1.78) |
2.99 |
|
|
|
Diluted |
1.62 |
(1.65) |
2.88 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.09.2010 (1st
Quarter) |
31.12.2010 (2nd
Quarter) |
31.03.2011 (3rd
Quarter) |
|
Net Sales |
2264.600 |
2251.600 |
2286.900 |
|
Total Expenditure |
2041.600 |
2036.100 |
2037.900 |
|
PBIDT (Excl OI) |
223.000 |
215.500 |
249.000 |
|
Other Income |
1.000 |
1.000 |
0.900 |
|
Operating Profit |
224.000 |
216.500 |
249.900 |
|
Interest |
109.300 |
116.000 |
133.600 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
114.700 |
100.50 |
116.300 |
|
Depreciation |
53.500 |
52.800 |
51.800 |
|
Profit Before Tax |
61.200 |
47.700 |
64.500 |
|
Tax |
23.700 |
15.900 |
28.500 |
|
Provisions and contingencies |
0.00 |
0.000 |
0.000 |
|
Profit After Tax |
37.500 |
31.800 |
36.000 |
|
Extraordinary Items |
0.000 |
0.00 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
37.500 |
31.800 |
36.000 |
KEY RATIOS
|
PARTICULARS |
|
30.06.2010 |
30.06.2009 |
30.06.2008 |
|
PAT / Total Income |
(%) |
2.01
|
[2.39] |
4.13 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.57
|
[2.23] |
5.69 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.59
|
[1.94] |
6.25 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.06
|
[0.05] |
0.10 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.78
|
1.90 |
1.02 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.99
|
4.80 |
3.03 |
LOCAL AGENCY FURTHER INFORMATION
REVIEW OF
OPERATIONS
During the year, the company achieved a turnover of Rs. 7447.200
Millions, as against Rs. 6180.800 Millions in the previous year, showing a
growth of 20.49%. The strategy to focus on creating further value to the
customers and on streamlining the operational costs, enabled the Company to
achieve improvement in EBIDTA margin to 11.6% (9.9% in 2008-09). The company
has recorded a profit before tax of Rs. 191.500 Millions and profit after tax
of Rs. 151.100 Millions as against loss before and after tax of Rs. 137.600
Millions and Rs. 150.600 Millions respectively in the previous year.
At consolidated level, the Company recorded a turnover of Rs. 9261.100
Millions as against Rs. 7904.100 Millions in the previous year. Further,
consolidated profit before Tax was Rs. 160.200 Millions (loss before tax of Rs.
176.100 Millions in 2008-09) and consolidated profit after tax for the year was
Rs. 95.000 Millions (Net loss of Rs. 186.600 Millions in 2008-09).
EXPRESS
DISTRIBUTION AND SUPPLY CHAIN (EDSC)
The year 2009-10 was a challenging year for the Company. However, given
concentrated efforts of the team, and a keenly focused growth strategy, the
company has been able to achieve an impressive growth that is higher than the
industry growth in many of the verticals that it operates. During the year, the
Company’s EDSC division achieved a revenue of Rs. 6520.000 Millions as against
Rs. 5250.000 Millions in the previous year recording a growth of 24% and Profit
before tax and interest of Rs. 710.000 Millions as against Rs. 320.000 Millions
in the previous year showing an improvement of 122%.
The company surpassed its previous record of handling 33 mn packages to
43 mn packages with an increase in total weight carried from 1500 tonnes per
day, in the previous year, to 2100 tonnes per day, in the year 2009-10.
During the year, the company extended its reach by opening 8 new depots,
operating through a total number of 432 depots, reaching 20,000 locations
across the country. The company extended its infrastructure at strategic
locations to cater to its growth.
The company has continued to provide an extensive road, air and rail
network to its clients. Railway utilization has been increased by 30% over the
previous year. Along with 193 company owned vehicles the company engaged 1,072
vendor vehicles to operate its road network. A Network Monitoring Centre was
established to monitor the fleet movement using VTS technology, offering
service of excellent quality to its customers.
The company increased the value added services it offers to its clients
especially in the area of information and inventory management in the fast
growing retail and telecommunication sectors. The company worked with its
clients and branched into vendor management and reverse logistics, taking the
company closer to its vision of becoming the most preferred Integrated
Logistics Service Provider in
COAST-TO-COAST
The economic turbulence had its biggest impact on the company’s Shipping
business. With the reduction of global inventories, Shipping came under
pressure as global rates collapsed. During the year, the Company’s shipping
division achieved a revenue of Rs. 932.300 Millions as against Rs. 934.900
Millions in the previous year recording a marginal degrowth. The Profit before
tax and interest decreased by 89% to Rs. 20.800
Millions from Rs. 197.600 Millions in the previous year. The company’s
Shipping team continued to also battle numerous operational issues which
together with the global economic impact, led to disappointing results for the
year. Not deterred by the adverse circumstances, the Management team of the
Shipping division is committed to an extremely focused execution plan to bring
about a turnaround on the operational front. The Board of Directors reviewed
both the strategic and operational plans of the Shipping division and its fit
to the core business and recommended to transfer the Shipping division into a
subsidiary Company.
GATI INTERNATIONAL
AND SUBSIDIARIES
The company, through its parent subsidiary Gati Holdings, registered in
For the financial year 2010-11, they have projected a revenue growth of
50% in
In the year, the Company further strengthened its partnership with agent
in Europe- Maurice Ward and Co. They have also opened the own offices in
In order to enhance the visibility in SAARC region they entered into a
Memorandum of Understanding with Express International,
They are confident that with the very strong positive steps being taken
by the management of the company they would enhance the market share and emerge
as one of the preferred integrated logistics and supply chain service providers
for the customers in the Asia Pacific Region.
During the year, the name of one of the subsidiaries “Gati Skyways
Limited” has been changed to REDSUN Supply Chain Solutions Limited Kausar India
Limited, a subsidiary of the Company was delisted from the
IT INITIATIVES:
The Company continues to invest to attain global quality in IT
infrastructure. During the year, they have implemented successfully a high end
Vehicle Tracking Solution (VTS) which provides information by the minute. This
has been implemented on all the Service and
The Network Monitoring Cell monitors the fleet 24 x 7 using this VTS
system resulting in pro-active action thus increasing the service level and
customer satisfaction.
The Company has strengthened communication capabilities by setting up
Video Conference facility at all the Express Distribution Centres, Zonal Head
Quarters and other major strategic administrative offices. It has also enhanced
the features in the mobility solution and Business Intelligence tool to cater
to the sales and service team requirement to focus on business trend and KPI
improvements.
ACCOUNTS OF
SUBSIDIARIES
The Company has obtained approval from the Ministry of Corporate
Affairs, New Delhi under section 212(8) of the Companies Act, 1956 vide their
letter no. 47/475/2010-CL III dated 10/06/2010 for exemption from attaching
individual annual accounts of all the Indian and International subsidiaries for
the year ended June 30, 2010. Copies of these annual accounts and related
information will be made available on the website: www.gati.com and also on
request. The annual accounts of the subsidiary companies will be available at
the registered office of the company and also at the venue during the Annual
General Meeting. The financial information as required in the above referred
approval for each subsidiary is published at the end of the consolidated
financial statements in the Annual Report.
ABRIDGED ANNUAL
ACCOUNTS
As in last year and in accordance with the SEBI Guidelines and the
Companies Act, 1956, abridged standalone and consolidated annual accounts for
the year ended June 30, 2010 are being circulated while detailed accounts will
be made available on request and also at the venue of the Annual General
Meeting.
AI-GATI
ARBITRATION:
The Company has entered into an Arbitration Proceeding with the National
Aviation Company of India Limited ("NACIL") in respect of certain
disputes that had arisen between the Company and NACIL arising out of the Wet
Lease Agreement that the Company had entered into with NACIL in the year 2007.
The Company had raised claims on NACIL in respect of the continuous breaches
committed by it during the tenure of the Wet Lease Agreement. NACIL has in turn
also raised certain counter claims on the Company in the proceedings. The
disputes are pending. No orders have been passed against the Company nor have
any claims been adjudicated in the matter as on date in the said proceedings.
FUTURE PROSPECTS:
In the very competitive world, Industry is changing globally, demanding
change and new solutions from the Logistics Industry. In response the company
is changing. Global re-alignment to market needs and customer demands is
necessary. The business has to move down the line from B2B to now B2C.
In the next five years, the company plans to launch a strong network on
E-Commerce trade so Gati becomes a preferential provider of ground services.
On the services side, they plan to launch a slew of new service
offerings which will put the company in the premium segment. The launch of the
company’s new division, Redsun, will now allow them to offer a full range of
supply chain solutions and technologies which will differentiate them in the
market place from being a pure play Distribution company to a full fledged
Supply Chain Solutions and knowledge company, attracting new customers and
creating a new tomorrow.
ACCOUNTING POLICY
The company has exercised the option under Companies (Accounting
Standard) Amendment Rules 2009 relating to AS 11 and accordingly, appropriate
adjustments have been made in the value of fixed assets and also the treatment
of exchange gain/loss. The net impact of such changes have been disclosed in
the financial statements.
EQUITY SHARE
CAPITAL
The Company has allotted 278,850 Equity Shares of Rs. 2/- each to the
employees under the Company's Employee Stock Option Scheme at Rs. 31.20 per
share at a cash premium of Rs. 29.20 per share. Consequently as on June 30,
2010, the Company’s Share capital stood at Rs. 170.300 Millions comprising of
85,154,900 equity shares of Rs. 2/- each fully paid up as compared to Rs.
169.800 Millions comprising of 84,876,050 equity shares of Rs. 2/- each, in the
previous year.
MANAGEMENT
DISCUSSION AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENT
The global logistics market is valued at US $4 trillion with an 8%
growth over the previous year. The Indian logistics industry is estimated at
125 billion
Logistics in the Indian context would mean providing services such as transportation,
warehousing, distribution, order and inventory management. Logistics costs in
The current market size for the trucking logistics is 50 billion dollars
with around 2.5-3 million trucks moving within the country per day.
Transporters with a fleet less than or equal to five trucks constitute a
share of around 80% of the total revenue in 2009-10 with the scenario not being
very different from 2008-09. About 2 trillion
The overall logistics scenario looks quite encouraging with the road
freight industry witnessing a year on year growth rate of 20%. Similarly the
rail and air freight industry grew by 15% in 2009-10. Meanwhile, the sea
freight industry growth rate has been 18% and the express logistics and supply
chain logistics promising an enterprising growth of 35%.
OPPORTUNITIES
The Indian Economy is on the up-tick evident from factors such as IIP
growth of 16.7% for February'10, 15.1% for March'10, 17.6% in April'10 and
11.5% for May’10. The annual GDP of the country shall witness an overall growth
of 7.5% in 2009-10. For the subsequent years, GDP growth has been projected at
8.5%. As a fact, imports jumped by 43.3% and exports jumped by 36.2% in April compared
to previous months.
According to the CRISIL-ETIG database, the Indian logistics (3PL)
industry is also on uptick as forecasts predict a CAGR of 27% till 2013- 14 and
contribution of organized logistics is expected to grow from 7% (2010) to 12%
(2013).
The logistics industry contributed to around 13% of GDP in 2009-10
against 11% in 2008-09 and 12% in 2007-08. Media, healthcare, banking,
automobiles and consumer durables have been identified as the top sectors
emerging as well.
The Indian warehousing sector has enormous potential as it is poised to
be valued at US $55 billion by 2010-11 with around 45 million sq ft warehousing
space to be developed. About 110 logistics parks shall come up over an area of
3500 acres in next two years. Also, the introduction of concessional import
duty of 5% would help setting up mechanized handling systems and pallet racking
systems/ cold storage for food grains.
Infrastructure development is another aspect fueling growth. The
government plans to invest US $ 17bn in transport infrastructure. It also plans
to create trade related infrastructure, infrastructure for Commonwealth games
in 2010, envisaging world-class infrastructure for warehousing of various
products. Another dimension of development are the FTWZ's (Free trade
warehousing zones), which would enable supply chain / logistics to function
much more efficiently by removing the cargo bottlenecks witnessed at the
Integrated Container Depots (ICDs).
Moreover, projects such as the green fields project, national highways
development, national maritime program, introduction of freight corridors in
rails shall add fuel to the growth.
CONSTRAINTS AND
CHALLENGES
- Given the highly unorganized nature of the logistics industry, the
foremost challenge facing the logistics companies in
- Following consolidation is the fragmented nature of the industry.
There are multiple service providers with limited expertise but they want to be
the entire value chain. Having no end-to-end service providers leads to an
integrator type of an arrangement and impacts margins.
- Another aspect is infrastructure. The country's poor logistics
infrastructure pushes up logistics costs compared to other countries. This
affects
- Projects such as development of extensive road network with hinterland
connectivity, rapid implementation of the dedicated rail freight corridors,
capacity expansion beyond major ports sector and establishment of modern cargo
handling facilities at airports are some of the challenges before the growth of
the domestic logistics industry.
BUSINESS THREATS, RISKS
AND THEIR MITIGATION
The year 2009-10 for
Unorganized trucking industry, high taxation, high input material costs,
inadequate road infrastructure (which allows a truck to cover only 250-400 km a
day compared with 700-800 km a day in developed regions such as the US and
Europe), limited investments are some of the challenges identified in this
sector.
Being a dominant player, Gati faces competition from both domestic as
well as international players. However, Gati's wide reach, competitive cost and
wide range of competitive solutions has helped in mitigating the impact of
industry risk factors. Gati plans to strengthen the IT support by launching initiatives
such as third party software, IT help desks, paperless office concepts and real
time data management systems to eliminate redundancies to some extent.
BUSINESS OVERVIEW
AND DISCUSSION ON FINANCIAL PERFORMANCE
During the year, the company has achieved a turnover of Rs. 7447.200
Millions, as against Rs. 6180.800 Millions in the previous year. Following are
the segment wise revenue figures of the Company for the year:
(Rs.
in Millions)
|
Division |
2009-10 |
2008-09 |
|
Express Distribution and Supply Chain |
6515.000 |
5245.800 |
|
Coast-to-Coast (Shipping) |
932.300 |
934.90 |
|
Other Income |
66.800 |
122.500 |
|
Total |
7514.100 |
6303.300 |
The Company has recommended 20% dividend during the year.
The financial performance of the company during the year 2009-10 was
encouraging with the company having registered significant growth across key
parameters. Income earned during the year was Rs. 7510.000 Millions resulting
in an overall growth of 19% over the previous year income of Rs. 6300.000
Millions. The Express Distribution and Supply Chain division earned an income
of Rs. 6520.000 Millions during the year, recording a growth of 24% over the
previous year income of Rs. 5250.000 Millions, The shipping division maintained
the income at Rs. 930.000 Millions as compared to the income of Rs. 930.000
Millions during the previous year. This was primarily on account of the slump
that was witnessed globally in the shipping industry. The overall expenses including
the operating expenses, as a percentage of freight income, were well controlled
to record a decrease of 2%. EBITDA increased from Rs. 620.000 Millions in
previous year to Rs. 860.000 Millions during the year thereby recording an
increase of 40%. The company registered a profit after tax of Rs. 151.100
Millions as compared to a loss of Rs. 150.600 Millions for the previous year.
AWARDS AND
ACCOLADES:
·
Gati Limited has established, documented and
implemented a Quality Management System as per ISO 9001: 2008 Standards. Now
Gati is an ISO 9001: 2008 Certified Company.
·
Gati has been awarded the NASSCOM - CNBC "IT
User Award - 2009" for the Logistics Vertical.
·
Gati Chief Information Officer, Mr. G S Ravikumar
has been awarded the "Champion CIO Award" in 2009 for less than
Rs.10000.00 Millions companies in
·
Gati Chief Information Officer, Mr. G S Ravikumar
has also been awarded the "CIO - Ingenious 100" in Aug'09 organized
by CIO Magazine (IDG Media Group)
INTERNAL
MANAGEMENT CONTROL SYSTEMS AND THEIR ADEQUACY
As a diversified enterprise, the company provides services at a number
of locations across
FIXED ASSETS
Owned Assets Tangible
v
v
v Buildings
v Vehicles
v Plant and Machinery
v Computers
v Ships
v Furniture and Fittings
v Office Equipments
Intangible Assets
v Computer Software
Leased Assets
v Ship taken on finance lease
AS PER WEBSITE DETAILS
COMPANY PROFILE
Subject is a pioneer and leader in the Express Distribution
and Supply Chain Solutions in
Having started as a cargo management company in 1989,
subject has grown into an organization with more than 3500 employees and a
turnover of Rs 5760.000 millions covering 603 out of 611 districts in
Subject was also the first to run the millenium parcel express train in October 2001 between Mumbai and Kolkata with 10 VPUs. The initiative to run a parcel express train between KYN (Mumbai) and NGC (Guwahati) was again taken by Gati - this is a classic example of PPP (Public Private Partnership).
The subject advantage of seamless connectivity across air,
road, ocean an
Subject shipping division, subject Coast to Coast based at
Chennai, with two decades of experience in the industry has many firsts to its
credit: first in operating direct service to Yangon; first in operating a
direct container service from
Subject business model is well aligned with the customers’ need, which is why the core businesses have grown to meet the evolving needs of the customer, and this has resulted in consolidation of services and in the development of core and critical infrastructure, thus propelling Gati to the forefront in the logistics segment.
BOARD OF DIRECTORS
Mr. K L Chugh
Mr. Chugh was the Chairman of the ITC Group from November 1991 to December 1995. On his retirement he was honored with the title of Chairman Emeritus - ITC.
Prior to joining ITC in 1971, Mr. Chugh - a Mechanical
Engineer from
Mr. Chugh set up the ITC Bhadrachalam Paperboards Limited in
the tribal area of Andhra Pradesh. Leading a young team, Mr. Chugh implemented
this large project in record time with no cost over-runs. The company has since
received numerous awards in recognition of its excellent working and has grown
to become
Mr. Chugh was appointed a Director on the Central Board of
Reserve Bank of
He is presently Chairman of Gati Limited Director of Sandhar
Auto Industries, Urban Mass Transit Co., Fozal Small Hydro Power, and Spice
Telecom; and Member of Board of Governors of the Indian Institute of
Management,
Mr. Chugh's current interests are management consulting, renewable energy and education.
He is 51 years of age
and is an MBA from
Dr. Ram S Tarneja
Dr. Ram S Tarneja is holding Ph.D degree from
Prior to joining Bennet Coleman and Company Limited., in 1970, he was Director
of Personnel of a Group Companies in Kolkotta for about 10 years. He was
Director of Graduate Department of Business Administration,
Dr. Tarneja has considerable amount of pioneering work to his credit on
subjects like professional management and Corporeate Governance. He is also on
the Board of NESCO Limited, Otis Elevator Company (India) Limited, Jolly Board
Limited, Bharat Gears Limited, Phillips Carbon Black Limited, Housing
Development Finance Corporation Limited, Transcorp International Limited,
Phoenix Township Limited, SOWIL Limited M-Givo Limited. He is the Chairman of
Audit Committee of Bharat Gears Limited, Bennet Coleman and Company Limited.
and Engineering Projects (India) Limited, a member of Otis Elevator India
Company Limited, and Transcorp International Limited He is also the Chairman of
Remuneration Committee of Givo Limited and Chairman of Investors Grievance
Committee of HDFC Limited.
Mr. N. Srinivasan is
a commerce graduate and has been a fellow member of the Institute of Chartered
Accountants of India since 1955. He was the Chairman of Fraser and Ross,
Chartered Accountants, with head Office in Chennai and branches at
Mr. T S Rao
Mr. T. S. Rao, IPS (Retd) was topped
He was the President of Andhra Pradesh Shuttle Badminton
Association for eight years and also Chairman of Roots Education Society,
Dr. P. Sudhakar Reddy
is a well-known cardiologist, humanitarian, social activist and is recognized
as the Creator of the
Mr. Sunil Kumar Alagh is a graduate in Economics (Hons) and
an MBA from IIM,
Mr. Anoop holds a
Masters of Management Studies, Finance from the Birla Institute of Technology
and Science, Pilani. Mr.Anoop is presently the Director of AMP Capital
Investors. Apart from this, he is also Director in Bhartiya Sammruddhi Finance
Limited, Bhartiya Sammruddhi Investment and Consulting Services Limited and
Indian Gramees Services.
Mr. Anoop's experience of nearly 27 years in the finance field covers major
organisations like Infrastructure Development Finance Company, Bechtel
Enterprises Inc., Reliance Industries Limited., Standard Chartered Bank (
Mr. Harry Himmat
Lagad is currently serving as President, Integrated Supply Chain Solutions, a Business
Unit of Brightstar Corporation, based out of
With a career spanning over 25 years in Business Management, Harry Himmat
Lagad, is an astute business Leader, who has successfully headed Supply Chain
functions, Manufacturing, Sales, Business Development and General Management
portfolios across a variety of industry verticals, from Plastics, Photographic
Goods, Engineering, Sporting Goods, Footwear and Clothing, Consumer
Electronics, Telecom and Timber. His work has carried him across almost all
continents, with various stints in
Harry is well recognized within the Supply Chain industry globally and was
recently chosen as the Top 100 Supply Chain Professionals in Asia Pacific. He
travels and lectures extensively on Supply Chain and Leadership. He is a
Executive Council Member on the Advisory Board of Supply Chain Asia, a member
of Logistics Management Institute of
MILE STONES
From inception, they at subject have
been obsessed with providing the best possible service. This obsession has not
only led to dramatic changes in the business, but has also resulted in setting
new benchmarks for the industry. Here are some snapshots of the story:
Cargo
industry gets a shake up
Subject is born as Gati Cargo Management Services
1989 –
1995
Revolutionary ideas
Subject offers a money back guarantee on cargo services. On time and intact.
Else you get the money back.
Subject offers cash-on-delivery for convenience of customers.
A toll-free number for customers is introduced for the first time in
Subject
already having the largest surface network, ties-up with Indian Airlines,
Logistics is the name of the game
Subject introduces the concept of third party logistics (3PL).Subsequently it
offers complete logistics and supply chain management solutions
Extending the range
Subject extends its service range by launching Suvidha — a courier service.
Since then, Suvidha has been relaunched as Zipp
Improving the reach
Subject expands into SAARC countries, ties up with
Training and development needs
The P.D. Agarwal Development Centre is set up in Pune exclsuively for employee
training and development
Millenium Parcel Express
Subject launches the first exclusive cargo train between Mumbai
and Kolkata in association with Indian Railway
Gati Nagar is reborn
After the
The customer votes
Subject bags the Voice of Customer Award for "The Best
Logistics Company 2003" in a survey conducted by Frost and Sullivan
A smarter way to work
Subject simplifies internal work processes for faster and better communication.
India-centric global reach
Subject sets up base in
Automation rules
Subject introduces mechanise
State-of-the-art
Mechantronic warehouses with APL racking and modern handling equipment in major
cities across
Subject was given the Champion CIO award for less than Rs. 10000.000 millions
category of the Enterprise Connect Award- 2005
Subject was awarded the Amity HR-excellence award in 2005
Awarded
the 'Best Logistics Partner' by HCL Infosystems.
Awarded Consumer SuperBrand status in the logistics category for 2006-2007
Nominated for NDTV ' Business leadership Awards ' 2006 in logistics category
10th October 2006 Gati rolls outs its corporate transformation exercise
UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER ENDED 31st
MARCH 2010
(Rs. in millions)
|
Particulars |
Quarter Ended |
Nine Months
Ended |
|
31.03.2011 |
31.03.2011 |
|
|
|
|
|
|
Net Sales/
Income from Operations |
2268.600 |
6759.000 |
|
Other Operating
Income |
18.300 |
44.200 |
|
Total Income |
2286.900 |
6803.200 |
|
Expenditure |
|
|
|
Operating
Expenses |
1539.300 |
4632.100 |
|
Employees Cost |
254.700 |
761.800 |
|
Administrative
Expenses |
216.100 |
639.200 |
|
Repairs and
Maintenance Expenses |
27.800 |
82.600 |
|
Depreciation |
51.800 |
158.100 |
|
Total |
2089.700 |
6273.800 |
|
Profit from
operations before other income, Interest, Exceptional Items and Tax |
197.200 |
529.400 |
|
Other Income |
0.900 |
2.900 |
|
Interest (Net) |
133.600 |
358.900 |
|
Profit / (Loss)
before Tax |
64.500 |
173.400 |
|
Tax Expense |
28.500 |
68.100 |
|
Net Profit /
(Loss) |
36.000 |
105.300 |
|
Paid-up share capital
( Face value of the share Rs. 2/- each) |
172.000 |
172.000 |
|
Reserves
excluding Revaluation Reserve as per balance sheet of previous accounting
year |
2722.300 |
2722.300 |
|
Earning Per
Share (EPS) |
|
|
|
- Basic EPS (Rs) |
0.42 |
1.22 |
|
- Diluted EPS
(Rs) |
0.35 |
1.01 |
|
Public
Shareholding |
|
|
|
- No. of Shares |
43395982 |
43395982 |
|
- Percentage of
shareholding |
50.46 |
50.46 |
|
Promoter and
Promoter Group Shareholding |
|
|
|
a) Pledged/
Encumbered |
|
|
|
- No. of shares |
38001700 |
38001700 |
|
- Percentage of
shares (as a % of the total shareholding of Promoter and Promoter group) |
89.19 |
89.19 |
|
- Percentage of
shares ( as a % of total share capital of the company) |
49.19 |
49.19 |
|
b) Non
encumbered |
|
|
|
- No. of shares |
4607218 |
4607218 |
|
- Percentage of
shares (as a % of the total shareholding of Promoter and Promoter group) |
10.81 |
10.81 |
|
- Percentage of
shares ( as a % of total share capital of the company) |
5.36 |
5.36 |
Notes:
1.
During the quarter 850000 shares of Rs. 2 each at a
premium of Rs. 56 per share, were allotted to Mr. Mahendra Agarwal. One of the
promoters of the company on preferential basis upon conversion of convertible
warrants. The paid up share of the company shall increase to Rs. 172009800.
2.
Pursuant to the Company exercising option
permissible under Accounting Standard 11 "Effect of changes in Foreign
Exchange Ratesn effective from July 1, 2007, the profit after tax for the period
is less by Rs. 9.682 millions and fixed assets lower by Rs.6.143 Millions.
3.
Company has raised an Arbitral dispute with the
National Aviation Company of India Limited q8NACIL") in respect of certain
disputes that had arisen between the Company and NAClL arising out of the Wet
Lease Agreement, the Company had entered into with NAClL in the year 2007.
NAClL invoked the Bank guarantee of Rs. 300.000 Millions in 2009. The Company
had raised claims on NAClL in respect of the continuous breaches committed by
it during the tenure of the Wet Lease Agreement. NAClL has in turn raised
certain counter claims on the Company in the proceedings, which are disputed.
The disputes are pending adjudication. No orders have been passed against the
Company nor have any claims been adjudicated in the mailer as on date in the
said proceedings. Based on the opinion of the Company's Attorney, no provision
is considered necessary by the Management at this stage. The Statutory
Auditors. in their Limited Review Report have stated their inability to express
an opinion in the above mailer,
4.
3178980 options under Employee Stock Options
Schemes were outstanding as on March 31,2010.
5.
Tax expense for the current quarter represents
Current Tax, Tonnage Tax and Deterred Tax and net of MAT Credit.
SEGMENT WISE
REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. in millions)
|
Particulars |
Quarter Ended |
Nine Months
Ended |
|
31.03.2011 |
31.03.2011 |
|
|
|
|
|
|
Segment Revenue
(Net Sales/ Income from each segment) |
|
|
|
Express
distribution and supply chain |
2005.800 |
5972.900 |
|
Coast to Coast
(Shipping) |
264.300 |
789.900 |
|
Less: Inter Segment
Revenues |
1.500 |
3.800 |
|
Net Sales /
Income from Operations |
2268.600 |
6766.600 |
|
|
|
|
|
Segment Results (Profit (+) / Loss (-) before tax and interest from each segment) |
|
|
|
Express
Distribution and Supply Chain |
266.700 |
704.900 |
|
Coast to Coast
(Shipping) |
5.900 |
23.600 |
|
Total |
272.600 |
728.500 |
|
Less Interest
(Net of Income) |
(133.600) |
(358.900) |
|
Other
Unallocable Expenditure net Off |
(74.500) |
(196.200) |
|
Total Profit/
(Loss) Before Tax |
|
|
|
|
|
|
|
Capital Employed |
|
|
|
(Segment Assets
– Segment Liabilities) |
|
|
|
Express
Distribution and Supply Chain |
306.500 |
306.500 |
|
Coast to Coast
(Shipping) |
2087.100 |
2087.100 |
|
Unallocated |
969.200 |
969.200 |
|
|
|
|
|
Total |
3362.800 |
3362.800 |
6. The previous
period figures have been regrouped I rearranged wherever necessary to make them
comparable.
7. A limited
review of the above financial results has been carried out by the Statutory
Auditors.
8. The above financial
results have been reviewed by the Audit Committee and approved by the Board of
Directors at their Meeting held on April 30th, 2011.
9. During quarter
18750000 shares of face value Rs. 101- each held by the company in Gati
Infrastructure Limited
were swapped for
an equal number of shares of the same value, in Amrit Jal venture Limited, its
holding Company
10. During the
quarter ended March 31, 2011, the Company was allotted 3,40,000 shares of US$ I
each by Gati
Holdings Limited,
Mauritius), wholly owned subsidiary Further, the Company invested Rs. 5.000
Millions in Gati
Import Export
Trading Limited, wholly owned subsidiary, as share application money.
11. 5 complaints
received from investors during the quarter have been resolved. There were no complaints
outstanding at the
beginning or at the end of the quarter.
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. |
|
|
1 |
Rs. |
|
Euro |
1 |
Rs. |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
64 |
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.