MIRA
INFORM REPORT
|
Report Date : |
29.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
GLAXOSMITHKLINE PHARMACEUTICALS LIMITED |
|
|
|
|
Registered
Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.12.2010 |
|
|
|
|
Date of
Incorporation : |
13.11.1924 |
|
|
|
|
Com. Reg. No.: |
11-001151 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.847.030 millions |
|
|
|
|
CIN No.: [Company Identification No.] |
L24239MH1924PLC001151 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMG00196A |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACG4414B |
|
|
|
|
Legal Form : |
Public Limited Liability Company. Company’s Shares are Listed on the Stock
Exchange. |
|
|
|
|
Line of Business
: |
Manufacturing and selling of pharmaceuticals, chemicals including bulk
drugs and formulations. |
|
|
|
|
No. of Employees
: |
4338 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (76) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 77232000 |
|
|
|
|
Status : |
Very Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established
and a highly reputed company having good track. Financial position of the
company appears to be sound. Trade relations are reported as fair. Business
is active. Payments are reported to be regular and as per commitments. Company can be considered
good for any normal business dealings at usual trade terms and conditions. It can be
regarded as a promising business partner in medium to long run. |
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 : |
|
|
Tel. No.: |
91-22-24933871/ 24933514/ 24959595 |
|
Fax No.: |
91-22-24935358/ 24959494 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory 1 : |
2nd
|
|
|
|
|
Factory 2 : |
Ambad,
Nashik, |
DIRECTORS
As on 14.02.2011
|
Name : |
Mr. Deepak S. Parekh |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. V. Thyagarajan |
|
Designation : |
Vice-Chairman |
|
|
|
|
Name : |
Dr. Hasit B. Joshipura |
|
Designation : |
Managing Director, Executive Director |
|
|
|
|
Name : |
Mr. R. R. Bajaaj |
|
Designation : |
Non-Executive Independent Director |
|
|
|
|
Name : |
Dr. A. Banerjee |
|
Designation : |
Executive Director - Technical, Director |
|
|
|
|
Name : |
Mr. P. V. Bhide (w.e.f.
28.10.2010) |
|
Designation : |
Non-Executive Independent Director |
|
|
|
|
Name : |
Mr. Simon Harford (w.e.f.
28.10.2010) |
|
Designation : |
Non-Retiring Non-Executive Director |
|
|
|
|
Name : |
Mr. M. B. Kapadia |
|
Designation : |
Senior
Executive Director - Finance, Corporate Communications, Secretarial and Admin.,
Whole Time Director |
|
|
|
|
Name : |
Mr. Nihal Vijaya Devadas Kaviratne |
|
Designation : |
Non-Executive Independent Director |
|
|
|
|
Name : |
Mr. V. Narayanan |
|
Designation : |
Non-Executive Independent Director |
|
|
|
|
Name : |
Mr. P. V. Nayak |
|
Designation : |
Non-Executive Independent Director |
|
|
|
|
Name : |
A. M. Nimbalkar (upto
27.04.2010) |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Ronald C. Sequeira |
|
Designation : |
Executive Director - Human Resources, Director |
|
|
|
|
Name : |
Mr. D. Sundaram |
|
Designation : |
Non-Executive Independent Director |
KEY EXECUTIVES
|
Name : |
A. A. Nadkarni |
|
Designation : |
General
Manager - Administration and Company Secretary |
|
|
|
|
MANAGEMENT TEAM : |
Managing Director Dr. H. B. Joshipura Senior Executive Directors M. B. Kapadia – Finance – Corporate Communications, Secretarial and
Administration Dr. A. Banerjee – Technical Executive Director R. C. Sequeira – Human
Resources Executive Vice-Presidents Dr. S. Joglekar – Medical and
Clinical Research M. K. Vasanth Kumar – Supply
Chain Vice-Presidents R. Bartaria – Pharmaceuticals H. Buch – Pharmaceuticals S. Khanna – Finance S. Patel – Legal and
Corporate Affairs C. T. Renganathan –
Pharmaceuticals General Manager S. Rajan – Corporate
Communications |
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 |
|
|
|
|
|
|
|
|
|
|
|
|
42,917,488 |
50.67 |
|
|
42,917,488 |
50.67 |
|
Total shareholding of Promoter and Promoter Group (A) |
42,917,488 |
50.67 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
3,611,661 |
4.26 |
|
|
9,819,715 |
11.59 |
|
|
14,235,180 |
16.81 |
|
|
27,666,556 |
32.66 |
|
|
|
|
|
|
1,673,313 |
1.98 |
|
|
|
|
|
|
11,975,540 |
14.14 |
|
|
192,213 |
0.23 |
|
|
277,907 |
0.33 |
|
|
2,395 |
- |
|
|
53,588 |
0.06 |
|
|
419 |
- |
|
|
206,963 |
0.24 |
|
|
14,542 |
0.02 |
|
|
14,118,973 |
16.67 |
|
Total Public shareholding (B) |
41,785,529 |
49.33 |
|
Total (A)+(B) |
84,703,017 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
84,703,017 |
- |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturing and
selling of pharmaceuticals, chemicals including bulk drugs and formulations. |
||||||||||||||||
|
|
|
||||||||||||||||
|
Products : |
|
PRODUCTION STATUS (AS ON 31.12.2010)
|
Particulars |
Unit |
Installed Capacity (a) (Per annum) |
|
Chemicals
(including Bulk Drugs) |
Tonnes |
184 |
|
Formulations : |
|
|
|
Liquids – Orals, Topicals and Parenterals |
Kilo Litres |
8400 |
|
Antibiotic Vials |
Thousands |
5000 |
|
Tablets and Capsules |
Million |
7150 |
|
Solids including Powders and Ointments |
Tonnes |
2600 |
(a) Installed
capacities of the formulation factories of the Company (based on a five day
week except where continuous processes are involved and on a single shift
basis) are as certified by the Management and have not been verified by the
Auditors, this being a technical matter.
|
Particulars |
Unit |
Actual Production |
|
Chemicals
(including Bulk Drugs) |
Tonnes |
8 |
|
Formulations (including Vitamin Feed Supplements)
: |
|
|
|
Liquids – Orals, Topicals and Parenterals |
Kilo Litres |
6721 |
|
Antibiotic Vials |
Thousands |
3069 |
|
Tablets and Capsules |
Million |
9344 |
|
Solids including Powders and Ointments |
Tonnes |
3135 |
|
Aerosols Cans |
Thousands |
235 |
GENERAL INFORMATION
|
No. of Employees : |
4338 (Approximately) |
|||||||||||||||
|
|
|
|||||||||||||||
|
Bankers : |
v
Bank of v Citibank N. A. v HDFC Bank Limited v
Hong Kong and Shanghai Banking Corporation
Limited, v Standard Chartered Bank v
State Bank of v
Bank of v
Deutsche Bank |
|||||||||||||||
|
|
|
|||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse
and Company Chartered
Accountants |
|
Address : |
252, Veer Savarkar Marg, |
|
|
|
|
Solicitors: |
Gagrat and
Company |
|
|
|
|
Shareholders
(the GlaxoSmithKline (GSK) Group shareholding) in the Company : |
v Glaxo Group
Limited, v Eskaylab
Limited, v Burroughs
Wellcome International Limited, v
Castleton Investment Limited, |
|
|
|
|
Holding company
/ ultimate holding company of the above shareholders * : |
v GlaxoSmithKline
plc, v GlaxoSmithKline
Finance plc, v SmithKline
Beecham plc, v Wellcome
Limited, v Wellcome
Foundation Limited, v
Wellcome Consumer Healthcare Limited, * no transactions during the year |
|
|
|
|
Subsidiary of
the Company : |
v
Biddle Sawyer Limited, a wholly owned subsidiary
of the Company |
|
|
|
|
Other related parties in the GlaxoSmithKline (GSK)
Group where common control exists and with whom the Company had transactions
during the year : |
v SmithKline
Beecham Private Limited, v GlaxoSmithKline
Pakistan Limited, v GlaxoSmithKline
Asia Private Limited, v GlaxoSmithKline
Consumer Healthcare Limited, v GlaxoSmithKline
Biologicals S.A., v GlaxoSmithKline
Services Unlimited, v Laboratoire
GlaxoSmithKline S.A.S., v GlaxoSmithKline
Pharmaceutical Sdn v GlaxoSmithKline
Export Limited, v GlaxoSmithKline
Pte Limited, v GlaxoSmithKline
Australia Pty Limited, v GlaxoSmithKline
Trading Services Limited, v GlaxoSmithKline
LLC, U.S.A v Stiefel India
Private Limited, v
US Pharmaceuticals, |
CAPITAL STRUCTURE
As on 31.12.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
90000000 |
Equity Shares |
Rs.10/- each |
Rs.900.000 millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
84707710 |
Equity Shares |
Rs.10/- each |
Rs.847.077 millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
84703017* |
Equity Shares |
Rs.10/- each |
Rs.847.030 millions |
|
|
|
|
|
* excludes 3,352 equity
shares of Rs. 10 each of erstwhile Burroughs Wellcome (
Of the above
shares:
(i) 4,29,17,488 equity
shares are held by the ultimate holding company GlaxoSmithKline plc,
(ii) 1,28,47,546
equity shares were allotted as fully paid-up pursuant to the Scheme of
Amalgamation of Burroughs Wellcome (
(iii) 1,47,00,000
equity shares were allotted as fully paid-up pursuant to the Scheme of
Arrangement for Amalgamation of SmithKline Beecham Pharmaceuticals (India)
Limited with the Company.
(iv) 4,06,87,500 equity
shares were allotted as fully paid-up bonus shares by capitalisation of share
premium and reserves.
(v) 15,00,000
equity shares were allotted as fully paid-up pursuant to contracts without
payments being received in cash.
# The Company bought back and extinguished 26,19,529 equity shares in
2005.
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 |
847.030 |
847.030 |
847.030 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
18461.080 |
16744.452 |
14563.900 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
19308.110 |
17591.482 |
15410.930 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
51.619 |
54.186 |
56.494 |
|
|
TOTAL BORROWING |
51.619 |
54.186 |
56.494 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19359.729 |
17645.668 |
15467.424 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1089.331 |
928.079 |
903.980 |
|
|
Capital work-in-progress |
87.209 |
213.573 |
99.545 |
|
|
|
|
|
|
|
|
INVESTMENT |
1603.522 |
1909.109 |
7518.737 |
|
|
DEFERREX TAX ASSETS |
563.953 |
446.924 |
295.954 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
2815.375
|
2530.169
|
2283.821 |
|
|
Sundry Debtors |
470.265
|
537.347
|
579.438
|
|
|
Cash & Bank Balances |
19480.769
|
16726.005
|
9065.399
|
|
|
Other Current Assets |
528.212
|
295.341
|
439.863
|
|
|
Loans & Advances |
1188.669
|
1055.353
|
1541.756
|
|
Total
Current Assets |
24483.290
|
21144.215
|
13910.277
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
3319.194
|
2913.753
|
2516.593
|
|
|
Other Current Liabilities |
247.914
|
252.870
|
199.402 |
|
|
Provisions |
4900.468
|
3829.609
|
4545.074
|
|
Total
Current Liabilities |
8467.576
|
6996.232
|
7261.069
|
|
|
Net Current Assets |
16015.714
|
14147.983
|
6649.208
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19359.729 |
17645.668 |
15467.424 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
21116.425 |
18707.672 |
16604.053 |
|
|
|
Other Income |
1471.072 |
1202.285 |
1185.562 |
|
|
|
TOTAL |
22587.497 |
19909.957 |
17789.615 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Materials |
7770.039 |
6922.250 |
6476.083 |
|
|
|
Operating and
Other Expenses |
5968.516 |
5239.201 |
4351.191 |
|
|
|
TOTAL |
13738.555 |
12161.451 |
10827.274 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
8848.942 |
7748.506 |
6962.341 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
176.282 |
163.686 |
163.365 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
8672.660 |
7584.820 |
6798.976 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
3035.779 |
2461.911 |
1033.286 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
5636.881 |
5122.909 |
5765.690 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
10492.341 |
8824.080 |
7598.890 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
3388.120 |
2541.090 |
3388.120 |
|
|
|
Tax on distributed profit |
532.133 |
401.267 |
575.811 |
|
|
|
Transfer to General Reserve |
563.688 |
512.291 |
576.569 |
|
|
BALANCE CARRIED
TO THE B/S |
11645.281 |
10492.341 |
8824.080 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B. value of exports including through merchant exporters |
631.309 |
714.978 |
592.671 |
|
|
|
Recovery of expenses |
3.637 |
5.130 |
6.501 |
|
|
|
Clinical research and data management |
402.179 |
439.592 |
325.369 |
|
|
|
Research and development |
28.039 |
29.441 |
28.427 |
|
|
|
Others |
14.720 |
32.825 |
9.809 |
|
|
TOTAL EARNINGS |
1079.884 |
1221.966 |
962.777 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw and packing
materials |
1036.459 |
1008.869 |
1048.312 |
|
|
|
Finished Goods |
775.445 |
730.608 |
537.682 |
|
|
|
Components and
spare parts for machinery |
1.226 |
1.554 |
1.759 |
|
|
|
Capital Goods |
9.303 |
22.259 |
52.659 |
|
|
TOTAL IMPORTS |
1822.433 |
1763.290 |
1640.412 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
66.55 |
60.48 |
68.07 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
31.03.2011 |
|
Type |
|
|
1st
Quarter |
|
Net Sales |
|
|
6098.100 |
|
Total Expenditure |
|
|
3919.600 |
|
PBIDT (Excl OI) |
|
|
2178.500 |
|
Other Income |
|
|
511.000 |
|
Operating Profit |
|
|
2689.500 |
|
Interest |
|
|
0.000 |
|
Exceptional Items |
|
|
(1858.700) |
|
PBDT |
|
|
830.800 |
|
Depreciation |
|
|
44.300 |
|
Profit Before Tax |
|
|
786.500 |
|
Tax |
|
|
781.900 |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
4.600 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
4.600 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
PAT / Total Income |
(%) |
24.96
|
25.73
|
27.96
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
41.07
|
40.54
|
40.95
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
33.91
|
34.36
|
45.89
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.45
|
0.43
|
0.44
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.44
|
0.40
|
0.47
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.89
|
3.02
|
1.92
|
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Subject has its roots dating back to when it established in
the year 1924. GSK is one of the oldest and leading research-based healthcare
and pharmaceutical company. The company's product assortment includes
prescription medicines and vaccines. The prescription medicines range across
therapeutic areas such as anti-infectives, dermatology, gynaecology, diabetes,
cardiovascular disease and respiratory diseases. The company is the market
leader in most of the therapeutic categories in which it operates and has six
products in the top 50 brands. GSK also offers a range of vaccines, for the
prevention of hepatitis A, hepatitis B, invasive disease caused by H,
influenzae, chickenpox, diphtheria, pertussis, tetanus and others. Vaccines
division is ranked first in a fast-growing vaccines market. GSK has two
manufacturing units in
MANAGEMENT DISCUSSION AND ANALYSIS
Finance and
Accounts
The Company
maintained its leadership position in the Pharmaceuticals market with Net Sales
(net of Excise Duty), registering a growth of 12.9%. Profit After Tax and
before Exceptional Items grew by 15.1%. Sales performance in all of the
Company’s diversified business units i.e. in the mass market and mass specialty
segments, dermatologicals, oncology, critical care and vaccines helped to
support sales growth. Despite significant investments in field force expansion,
Profit before investment income and tax was maintained at 35% of Net Sales.
Cash generation
from operations continues to remain favourable, driven by business performance
and management of working capital. The Company is constantly looking at ways
and means of deploying the accumulated cash balances, which remain invested
largely in Bank Deposits.
The Company has
not accepted any fixed deposits during the year. There was no outstanding
towards unclaimed deposit payable to depositors as on 31st December
2010.
Pharmaceuticals
Business Performance and Outlook
The Company
continues to enjoy a leadership position in the categories in which its
products are represented.
Mass Market
activity comprising of acute care classic brands such as Calpol, Phexin,
Cetzine, Neosporin, Cobadex CZS, Zyloric grew better than the market growth
thus having robust evolution index as per SSA-IMS reports. Zemetril, a newly
launched brand has climbed to No.1 rank in the represented category and
recently launched Parit-D, Lilo, Cefspan are progressing well and have gained
good market share.
Rural marketing activity
“REACH” registered a robust growth over last year and results from the efforts
of brand building and access to medicine are visible. The Company is on way of
expanding reach in mass markets to ensure capturing growth opportunities
available in the market.
The Mass Specialty
teams continued to record high growth and most of the key brands grew ahead of
the market thereby gaining market share. Augmentin orals crossed the
Rs.1000.000 millions mark helping Augmentin to retain the position as the No.1 anti-infective
as per IMS report. The focus on hospital and tender business paid rich
dividends with the Company further distancing itself from its nearest
competitor and remaining a strong No.1 in the hospital segment as per IMS
Hospital Audit.
The Company’s
major foray in the injectible antifungal segment saw some good entrenchment and
success of the recently launched brand Mycamine. The rest of the critical and
acute care portfolio did quite well during 2010 and is expected to grow further
in the coming years.
The Company has
entered into Oncology business in 2008 with the successful launch of drug
Tykerb. During the year the Company has taken the major step by reducing the
price by 35% and made it affordable for more number of patients which has
helped achieve growth and also received a positive response from the
Oncologists. In 2011, the Company will continue its commitment to oncology with
the introduction of innovative breakthrough products like Revolade for the
treatment of Chronic Immune Thrombocytopenia and Votrient for the treatment of
advanced metastatic Renal Cell Carcinoma.
In Cardiovascular
business the Company continues to maintain the leadership with Lanoxin and
strengthen the position with the in-licensed product Benitec from
The Dermatology
business of the Company has recorded growth well ahead of the market growth and
also continues to maintain the leadership in the segment. Topical antibiotics,
antifungal, emollients, sunscreen and acne, the key therapy segments registered
a strong growth. Betnovate range, the top brand of Dermatology portfolio
continues to grow strongly. Stiefel promoted range has started making visible
progress. Dermocalm, the calamine brand launched in second half of 2009, has
gained quick market share and is now the 3rd lead brand in the category.
The Company
continues to be a leader in the Vaccines self pay market. The company launched
Flu vaccine and continues to do well with all new launches including Rotarix.
Cervarix, a Cervical Cancer vaccine continues to grow in demand and is the
market leader in the HPV Vaccines segment (IMS Vaccines Audit September 2010).
The Company plans to launch ‘Synflorix’- Pneumococcal vaccine for kids in 2011.
New products
launched during the year included Mycamine inj (Micafungin) in-licensed from
Astellas and Parit D capsules (Rabeprazole in combination with Domperidone)
in-licensed from Eisai. Cefspan (Cefixime - oral antibiotic) was relaunched
with good success. Other branded generics launched during the year were Modvate
3 cream (Beclomethasone in combination with Clotrimazole and Neomycin) and
Modvate AF cream (Beclomethasone in combination with Clotrimazole) in
Dermatology. Formulations of Atorvastatin and Rosuvastatin tablets were
launched in Cardiology under the brand names “Lilo” and “Rosutec” respectively.
The combination of Paracetamol with Tramadol was launched under the brand name
“Calpol T”.
Exports recorded a
sales turnover of Rs.630.000 millions comprising both Bulk Drugs and
Formulations. Exports of bulk drugs were to major markets like
Manufacturing
The company
continues to invest in manufacturing capabilities and the supply network to
support growth at optimum product cost. Nashik site has delivered 300 million
Albendazole tablets to WHO as a part of the global Lymphatic Filriasis
eradication programme. Continuous improvement initiatives using lean sigma
principles and better process understanding has improved productivity at the
sites. Both Nashik and Thane manufacturing sites continue to focus on waste
reduction opportunities through optimising material usage and pack
rationalization. There was considerable focus on improving Environment, Health
and Safety and GMP compliance at both the sites during the year.
Information
Technology (IT) and Supply Chain
A mobile phone
based field activity reporting initiative piloted last year was successfully
launched during the year. The Medical representatives will now report their
activity in near real time using mobile handsets, and this is expected to
improve sales effectiveness. In support of the business initiative of process
simplification, IT enabled new processes for managing the tender business and
web portals for reaching rural medical professionals have been developed.
Focused
initiatives for Consensus Forecasting and Supply Chain Planning, aligned with
global best practices, helped to improve supply chain efficiencies. Processes
related to obsolescence management for destruction of stocks were reviewed and
strengthened, as also cold chain assurance aimed at mitigating risk. A pilot
was launched in the Southern region to provide inputs for network optimization
in a GST scenario.
Future Plan of Action:
The Pharmaceutical
R and D is planning to use software aided DOE (design of experiments) for
developing and optimizing the manufacturing process for new products.
The main area of focus
will be to use the trained resources on in-house manufacturing process
improvements and support new product launches through collaborative work with
various business partners.
The company is
privileged to have access to various research databases used worldwide and to
latest technologies developed by the GlaxoSmithKline Group
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 31ST MARCH, 2011
(Rs.
in millions)
|
Particulars |
Unaudited 3 months ended 31.03.2011 |
|
Sales |
6144.000 |
|
Less: Excise Duty on Sales |
115.000 |
|
Net Sales |
6029.000 |
|
Other Operating Income |
69.100 |
|
Income from Operations |
6098.100 |
|
Expenditure |
|
|
(Increase) / decrease in stock-in-trade and work in progress |
(199.100) |
|
Consumption of raw and packing materials |
1132.800 |
|
Purchase of traded goods |
1363.200 |
|
Total materials consumed |
2296.900 |
|
Excise duty on samples and (increase) / decrease in stock-in-trade |
7.900 |
|
Employees cost |
644.400 |
|
Depreciation |
44.300 |
|
Other expenditure |
1054.100 |
|
Expenses relating to service income |
(83.700) |
|
Total operating expenses |
1667.000 |
|
Total expenditure |
3963.900 |
|
Profit from Operations before Other Income, Interest and Exceptional
Items |
2134.200 |
|
Other Income |
180.000 |
|
Interest Income (net) |
331.000 |
|
Profit before Tax and Exceptional Items |
2645.200 |
|
Tax Expense |
|
|
Current tax (net of write back of provision for fringe benefits tax
for earlier years) |
786.700 |
|
Deferred tax |
(4.800) |
|
Total |
781.900 |
|
Net Profit after Tax before Exceptional Items |
1863.300 |
|
Exceptional Items (net of tax) |
(1858.700) |
|
Net Profit |
4.600 |
|
Paid-up Equity Share Capital (Face value per share Rs. 10) |
847.000 |
|
Reserves excluding Revaluation Reserves |
-- |
|
Earnings Per Share (EPS) |
|
|
Basic and diluted EPS before exceptional items (Rs.) |
22.0 |
|
Basic and diluted EPS after exceptional items (Rs.) |
0.1 |
|
Public Shareholding |
|
|
Number of shares |
41785529 |
|
Percentage of shareholding |
49.3% |
|
Promoters and promoter group Shareholding |
|
|
(a) Pledged/ Encumbered |
|
|
- Number of shares |
Nil |
|
- Percentage of shares (as a % of the total shareholding of promoter
and promoter group) |
Nil |
|
- Percentage of shares (as a % of the total share capital of the
company) |
Nil |
|
(b) Non-encumbered |
|
|
- Number of shares |
42917488 |
|
- Percentage of shares (as a % of the total shareholding of promoter
and promoter group) |
100% |
|
- Percentage of shares (as a % of the total share capital of the
company) |
50.7% |
Notes:
1. Net Sales of the Pharmaceuticals business grew by 12.4% during the quarter ended 31st March, 2011. Overall, Net Sales which includes domestic Pharmaceuticals and Exports have grown by 11.4% during the quarter ended 31st March, 2011.
2. The demand of Rs.717.900 millions made by the Central Government on the Company in respect of Betamethasone bulk drugs and formulations made there from during the period May 1981 to August 1987 has been under litigation for a periods panning nearly 30 years. Pursuant to the special leave petition of the Central Government in the Supreme Court of India against the Delhi High Court’s Judgment and Order dated 19th October 2001 which held in favour of the Company, the Supreme Court has, vide its Judgment and Order dated 30th March 2011, up held the demand. The Company had accrued a liability of Rs.186.800 millions in earlier years and a further provision of Rs.531.100 millions (net of tax Rs.244.500 millions note 3 below) is disclosed in Exceptional Items for the quarter ended 31st March, 2011. Based on a legal advice, the Company has filed an Application in the Supreme Court seeking, interalia, clarifications on some aspects of the Judgement and directions for recomputation of the demand. Simultaneously, the Company without prejudice to and subject to the outcome of the Application filed in the Supreme Court, has tendered as a further deposit, an amount of Rs.636.000 millions, which together with the amount of Rs.81.900 millions previously deposited with the Government, aggregates to the demand of Rs.717.900 millions made by the Government in November 1990.
In October 1996, the Government had claimed interest of Rs.1176.600 millions for the period 12th May 1981 to 17th October 1996, for which no provision was made in earlier years. The Government has vide letter dated 4th May 2011 called upon the Company to discharge the entire liability, including up to date interest calculated at 15% p.a. The Company will take such further steps as it may be legally advised in relation to the demand for interest. In the meanwhile, without prejudice to its position that interest is not payable, the Company has recognized a provision of Rs.2467.700 millions (net of tax Rs.1610.100 millions - note 3 below) in respect of the Government’s claim for interest disclosed in Exceptional Items.
3. Exceptional Items (net of tax) for the quarter ended 31st March, 2011 represent:
|
|
Rs. in millions |
|
Provision for pricing of bulk drugs and formulations (Note 2) |
)531.100) |
|
Provision for interest claim (Note 2) |
(2467.700) |
|
Expenses for rationalisation initiatives |
(6.100) |
|
Current tax for the period and for earlier years (net) |
1181.100 |
|
Deferred tax for earlier years |
(34.900) |
|
|
(1858.700) |
4. The Company has only one reportable segment which is Pharmaceuticals. Accordingly, no separate disclosures of segment information have been made.
5. There were no investor complaints pending as at the beginning of the quarter. The Company has received 17 complaints from the investors during the quarter and all of them have since been resolved, leaving no investor complaints unresolved at the end of the quarter.
6. The above Results were reviewed by the Audit Committee and were there after approved by the Board of Directors at their respective meetings held on 6th May, 2011.
7. The statutory auditors have carried out a limited review of the results for the quarter ended 31st March, 2011. The figures for 2010 have been regrouped wherever necessary to facilitate comparison.
CONTINGENT LIABILITIES NOT PROVIDED FOR:
|
Particulars |
31.12.2010 (Rs. in millions) |
|
(i) Cheques
discounted with banks |
22.069 |
|
(ii) In respect
of claims made against the Company not acknowledged as debts by the Company |
|
|
- Sales tax
matters |
259.921 |
|
- Excise matters |
43.897 |
|
- Service tax
matters |
12.920 |
|
- Labour matters |
416.507 |
|
- Other legal
matters |
106.357 |
|
which net of
current tax amount to |
560.707 |
|
(iii) Taxation
matters in respect of which appeals are pending |
|
|
- Tax on matters
in dispute |
1245.924 |
|
- Other
consequential matters (net of tax) |
37.439 |
Notes:
Future cash
outflows in respect of (i) above are dependant on the return of cheques by
banks.
Future cash outflows
in respect of (ii) and (iii) above are determinable on receipt of decisions /
judgements pending with various forums / authorities.
FIXED ASSETS
v
v
v
v
v Plant and Machinery
v Furniture and Fittings
v Vehicles
Note:
(a) Freehold
buildings include investments representing ownership of residential flats.
WEBSITE DETAILS:
PROFILE:
Established in the year 1924 in India Subject is
one of the oldest pharmaceuticals company and employs over 3500 people.
Globally, they are a USD 42 billion, leading, research-based healthcare and
pharmaceutical company. In
The Subject India product portfolio includes
prescription medicines and vaccines. The prescription medicines range across
therapeutic areas such as anti-infectives, dermatology, gynaecology, diabetes,
cardiovascular disease and respiratory diseases. The company is the market
leader in most of the therapeutic categories in which it operates. Company also
offers a range of vaccines, for the prevention of hepatitis A, hepatitis B,
invasive disease caused by H, influenzae, chickenpox, diphtheria, pertussis,
tetanus and others.
With opportunities in
Company’s best-in-class field force, backed by a
nation-wide network of stockists, ensures that the Company’s products are
readily available across the nation. Company has two manufacturing units in
Being a leader brings responsibility towards the
communities in which they operate. At company they have a Corporate Social
Responsibility program that works towards fulfilling basic healthcare,
education and other developmental needs of 15 tribal villages near Nashik. They
work with underprivileged children from the slums of Mumbai, taking care of
their developmental and health needs. Company also runs an HIV/AIDS helpline -
considered to be a pioneering effort in
Subject is committed to developing new and
effective healthcare solutions. The values on which the group was founded have
always inspired growth and will continue to do so in times to come.
BUSINESS DESCRIPTION
Subject is a research-based healthcare and pharmaceutical company. Its product portfolio includes prescription medicines and vaccines. Its prescription medicines range across therapeutic areas, such as anti-infectives, dermatology, gynaecology, diabetes, oncology, cardiovascular disease and respiratory diseases. It also offers a range of vaccines, for the prevention of hepatitis A, hepatitis B, invasive disease caused by H, influenzae, chickenpox, diphtheria, pertussis, tetanus, rotavirus, cervical cancer and others. During the year ended December 31, 2010, it launched Mycamine inj (Micafungin) in-licensed from Astellas and Parit D capsules (Rabeprazole in combination with Domperidone) in-licensed from Eisai, and Modvate 3 cream (Beclomethasone in combination with Clotrimazole and Neomycin) and Modvate AF cream (Beclomethasone in combination with Clotrimazole) in Dermatology. During 2010, Cefspan (Cefixime - oral antibiotic) was also relaunched. For the fiscal year ended 31 December 2010 subject's revenues increased 13% to RS22.82B. Net income before extraordinary items increased 16% to RS5.78B. Revenues reflect increased income from sales and higher other income. Net income also reflects a decrease in consumption of stores and spares, lower clinical trial supplies, absence of exchange loss, net and decreased provision for doubtful debts.
Manufacture, distribution and sale of ethical pharmaceuticals. The company has a formidable presence in the domestic pharmaceuticals market with a market share of above 5.9%. GSK India markets a wide range of ethical formulations and is the leader in therapeutic areas of respiratory, dermatology and vaccines, besides having a significant presence in areas of gastroenterology, dietary supplements, gynaecology, neurology, cardiovascular and intensive care. GSK India is also the undisputed leader in the animal health and fine chemicals businesses.
GlaxoSmithKline Pharmaceuticals (
Subject is a wholly owned subsidiary of GlaxoSmithKline PLC.
With a history beginning in the 1800s, GlaxoSmithKline is a pharmaceutical
company, which devotes $562,000 every hour to the process of developing new
medicines. The company produces medicines that treat six major disease
areas-asthma, virus control, infections, mental health, diabetes and digestive
conditions. In addition, it distributed more than 1.5 billion doses of vaccines
to 168 countries in both the developed and the developing world-an average of
45 doses per second. Of those vaccine doses, approximately 140 million were
doses of combination pediatric vaccines. The company has 146 products in
clinical development, including 18 vaccines. GlaxoSmithKline has a 7 percent
share of the pharmaceutical world market. It employs more than 101,000 people
worldwide, operating in 117 countries. GlaxoSmithKline is headquartered in
BOARD OF
DIRECTORS:
Deepak S. Parekh
Non-Executive
Independent Chairman of the Board- Chairman
Mr. Deepak S. Parekh serves as Non-Executive Independent Chairman of the Board of Glaxosmithkline Pharmaceutical Limited.
V. Thyagarajan
Non-Executive
Independent Vice Chairman of the Board- Vice-Chairman
Mr. V. Thyagarajan serves as Non-Executive Independent Vice Chairman of the Board of Glaxosmithkline Pharmaceutical Limited.
R. R. Bajaaj
Non-Executive
Independent Director
Mr. R. R. Bajaaj serves as a Non-Executive Independent
Director of Glaxosmithkline Pharmaceutical Limited. Mr. Bajaaj is a graduate in
Science and Law. He joined Mahindra and Mahindra Limited as Management Trainee
in 1964. He then moved on to Otis Elevator Company (India) Limited in their
Field Operations Department in 1967 and held a series of increasingly senior
roles within that Company including Head of Northern Regional Operations,
Country Head for Middle East and South East Asia countries. Mr. Bajaaj returned
to
A. Banerjee
Executive Director -
Technical, Director
Dr. A. Banerjee serves as Executive Director - Technical,
Director of Glaxosmithkline Pharmaceutical Limited. Dr. Banerjee is a Ph.D. in
Organic Chemistry and has carried out post-doctoral research at
P. V. Bhide
Non-Executive
Independent Director
Mr. P. V. Bhide is Non-Executive Independent Director of
Glaxosmithkline Pharmaceutical Limited Mr. Bhide, Science and Law graduate from
Simon Harford
Non-Retiring
Non-Executive Director
Mr. Simon Harford is Non-Retiring Non-Executive Director of
Glaxosmithkline Pharmaceutical Limited Mr. Harford is an MBA from the
Hasit B. Joshipura
Managing Director,
Executive Director
Dr. Hasit B. Joshipura serves as Managing Director and
Executive Director of Glaxosmithkline Pharmaceutical Limited. Dr. Joshipura is
a graduate in Electrical Engineering from VJTI -
M. B. Kapadia
Senior Executive
Director - Finance, Corporate Communications, Secretarial and Admin., Whole
Time Director
Mr. M. B. Kapadia serves as Senior Executive Director - Finance,
Corporate Communications, Secretarial and Admin., Whole Time Director of
Glaxosmithkline Pharmaceutical Limited He is a member of the Institute of
Chartered Accountants of India and of the Institute of Company Secretaries of
India. He has been in the service of the Company since May 1987 and has held
increasingly senior positions in the Finance and Secretarial functions. He was
elevated to the Board in 1996. He is currently Senior Executive Director in
charge of Finance, Company Secretarial, Corporate Communications and
Administration. He has total work experience of 25 years. Mr. Kapadia is a
Director of Biddle Sawyer which forms part of the GlaxoSmithKline Group
Companies in
Nihal Vijaya Devadas
Kaviratne
Non-Executive
Independent Director
Mr. Nihal Vijaya Devadas Kaviratne, CBE, serves as a
Non-Executive Independent Director of Glaxosmithkline Pharmaceutical Limited.
Mr. Kaviratne has an Honours degree in Economics from
V. Narayanan
Non-Executive
Independent Director
Mr. V. Narayanan serves as Non-Executive Independent
Director of Glaxosmithkline Pharmaceutical Limited. Mr. Narayanan has more than
50 years of experience in Management. He started his career as a Management
Trainee in Hindustan Lever Limited and held several positions in the Sales and
Marketing Division of that Company. Subsequently he was deputed to Lever
Brothers U.K. for a Senior Management Position. On his return, he joined Pond's
(
P. V. Nayak
Non-Executive
Independent Director
Mr. P. V. Nayak serves as Non-Executive Independent Director
of Glaxosmithkline Pharmaceutical Limited. Mr. Nayak graduated with combined
honours in Economics and Politics from the University of York, England. He then
read law at Gray's Inn,
Ronald C. Sequeira
Executive Director -
Human Resources, Director
Mr. Ronald C. Sequeira serves as a Executive Director -
Human Resources, Director of Glaxosmithkline Pharmaceutical Limited. Mr.
Sequeira is graduate from an alumni of
D. Sundaram
Non-Executive
Independent Director
Mr. D. Sundaram is Non-Executive Independent Director of
subject, since July 27, 2009. He is a Commerce Graduate with a Post Graduate in
Management Studies from Chennai. He is a fellow of the
PRESS RELEASES:
GLAXO ADDS NEW DRUGS TO CANCER PORTFOLIO
23 July 2011
The local unit of the
The company added two new drugs to its cancer portfolio on Friday, taking the total number of such drugs to three.
The new drugs are Revolade, a tablet for the treatment of
disorders related to reduced blood platelet count, and the kidney cancer drug Votrient.
They will cost Rs.27,000 and Rs.58,000, respectively, for a month's treatment
in
Joshipura said the company was late to enter this growing segment as its parent's research pipeline did not adequately support it. Now, it has several promising cancer drugs in the research pipeline and has also signed a a few product licensing deals with other companies to feed the cancer portfolio globally.
"We are hopeful of launching at least one new drug in this market every year, and as a global policy, GSK will follow a tier-pricing strategy for these drugs in the developing countries," he said.
"We have a team about 25 people in the oncology
division, which was expanded this year, to cover about 1,200 doctors at
present, and this size will keep growing in the coming years according to the
new launches," said C.T. Renganathan, vice-president of pharmaceuticals at
Glaxo's Indian unit.
While many cancer drugs sold by foreign companies are
expensive for most patients in
Pfizer Inc., L. Hoffmann La Roche Limited, Novartis AG, AstraZeneca Limited, Sanofi SA are the some of other foreign drug makers active in the Indian cancer market. Companies such as Roche, Pfizer and Novartis has introduced patient access programmes with fully or partially subsidized drug supply considering financial status of the patients, to tackle this pricing issue.
Glaxo has followed a country-specific pricing model, which is decided on the basis of the economic parameters of the country such as gross domestic product and per capita income, said Joshipura. Published by HT Syndication with permission from MINT.
GLAXOSMITHKLINE PHARMACEUTICALS LIMITED
ANNOUNCES LAUNCH OF TWO DRUGS
-RevoladeTM (Eltrombopag olamine tablets,) oral platelet generator for
chronic ITP -
-VotrientTM (Pazopanib Hydrochloride Tablets) for advance renal cell
carcinoma-
22 July 2011,
Mumbai:
GlaxoSmithKline Pharmaceuticals Limited today announced the launch of two drugs
RevoladeTM and VotrientTM at a press conference held in Mumbai. Both the drugs
are targeted towards specific patient categories.
RevoladeTM
(Eltrombopag) is approved for the oral treatment of thrombocytopenia (reduced
platelet count) in adults with the blood disorder chronic immune (idiopathic)
thrombocytopenic purpura (ITP) 1. It is indicated for the treatment of thrombocytopenia
in patients with chronic immune (idiopathic) thrombocytopenic purpura (ITP) who
have had an insufficient response to corticosteroids, immunoglobulins or
splenectomy. (It should be used only in patients with ITP whose degree of
thrombocytopenia and clinical condition increase the risk for bleeding. It
should not be used in an attempt to normalize platelet counts).1
Currently, there is
no data available on the occurrence of ITP in the Indian population. In the
European Union (EU), RevoladeTM has orphan drug designation. Orphan Drug
designation is given to medicines used to treat life-threatening or chronically
debilitating conditions that affect no more than five in 10,000 people in the
European Union.2
Announcing the
launch of RevoladeTM, Dr. Hasit Joshipura, Vice President South Asia and
Managing Director,
Votrient TM
(Pazopanib Hydrochloride Tablets) is indicated for advanced renal cell
carcinoma (RCC) 3, the most common type of kidney cancer4. As per estimates, in
Speaking about
VotrientTM, Dr. Joshipura added, “VotrientTM approval in
Both the drugs will
be marketed by the Oncology division of GlaxoSmithKline Pharmaceuticals
Limited.
Votrient® is
authorized for use in 27 member states of the European Union,
Eltrombopag is
authorized for use in all 27 member states of the European Union. It is
approved by USFDA and is available in the
GLAXOSMITHKLINE PHARMACEUTICALS NET SALES UP
11.4%, PROFIT AFTER TAX (BEFORE EXCEPTIONALS) GROWS BY 16% IN FIRST QUARTER OF
FY 2011
6th May 2011,
GlaxoSmithKline
Pharmaceuticals Limited has announced its financial results for the first
quarter ended 31st March 2011. Profit after tax but before Exceptional Item
grew by 16%. While the overall sales grew by 11.4%, net sales of the
pharmaceuticals business grew by 12.4%.
Commenting on the
performance during the quarter, Dr. Hasit B. Joshipura, Managing Director,
said, “All of the Company’s major business segments have registered good
growth. In particular, Vaccines and the Mass Speciality business have
registered strong double digit growth. The quarter saw the launch of two new
products, one branded generic Calpol-T in the fast growing pain segment and
Ansolar (Sunscreen Gel) a product from the Stiefel Dermatology range”.
Marketing approvals
were also received for two innovative products i.e., Votrient for renal
carcinoma and Revolade for platelet depletion. The Company expects to launch
these products in the ensuing quarter. Selling resources were strengthened by
an addition of 550 numbers during the quarter.
Exceptional Item
The demand of
Rs.717.900 millions made by the
Central Government is in respect of Betamethasone bulk drugs and formulations
made there from during the period 1981 to 1987. This was challenged by the
Company in the Delhi High Court. Additionally in 1996, the Government called
upon the Company to pay interest of Rs.1176.600 millions for the period 12th May 1981 to 17th October 1996. The original demand
was challenged by the Company before the Delhi High Court, which demand was set
aside by the High Courts’ order of 19th October 2001. Pursuant to the SLP filed
by the Government challenging the Delhi High Court Order, the Supreme Court
vide its order of 30th March 2011 has upheld the Government’s demand. The
Company has filed an application in the Supreme Court seeking inter alia clarification on
some aspects of the judgement and directions for re-computation of the demand.
The Company has accrued a liability of Rs.186.800 millions in earlier years and a further provision of
Rs. 531.100 millions (net of tax
Rs.244.500 millions) is disclosed in
Exceptional Items for the quarter ended 31st March 2011. The Company without
prejudice to and subject to the outcome of the application filed in the Supreme
Court, has tendered as a further deposit, an amount of Rs.636.000 millions, which together with the Rs.81.900 millions previously deposited with the Government,
aggregates to the demand of Rs.717.900 millions made by the Government. Additionally on 4th May 2011, the
Government has called upon the Company to discharge the entire liability,
including interest to date. While taking appropriate legal steps in relation to
the demand for interest and without prejudice to its position that interest is
not payable, the Company has recognised a provision of Rs.2467.700 millions (net of tax Rs.1610.100 millions) in respect of the Government’s claim and is
disclosed in Exceptional Items.
About GlaxoSmithKline:
GlaxoSmithKline
Pharmaceuticals Limited is a subsidiary of GlaxoSmithKline plc, one of the world's
leading research-based pharmaceutical and healthcare companies, committed to
improving the quality of human life by enabling people to do more, feel better
and live longer.
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.44.13 |
|
|
1 |
Rs.72.05 |
|
Euro |
1 |
Rs.63.33 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
76 |
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.