MIRA
INFORM REPORT
|
Report Date : |
15.06.2011 |
IDENTIFICATION DETAILS
|
Name : |
TEMPTATION FOODS LIMITED |
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Registered
Office : |
4, Unity House, 2nd Floor, 8, Mama Paramanand Road,
Opposite State Banks of India, Opera House, Mumbai – 400 004, Maharashtra |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
06.03.1991 |
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Com. Reg. No.: |
11-060643 |
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Capital
Investment / Paid-up Capital : |
Rs.251.421
millions |
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|
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CIN No.: [Company Identification
No.] |
L99999MH1991PLC060643 |
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|
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMT06581B |
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Legal Form : |
A Public Limited
Liability Company. Company’s shares are listed on Stock Exchanges. |
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Line of Business
: |
Dealing in Fresh and Frozen Foods. |
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No. of Employees
: |
165 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 13127000 |
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Status : |
Good |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having fine track. General
financial position is good. Trade relations are reported as fair. Business is
active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION DECLINED BY
Management non-cooperative
LOCATIONS
|
Registered/ Corporate Office : |
4, Unity House, 2nd Floor, 8, Mama Paramanand Road,
Opposite State Banks of India, Opera House, Mumbai – 400 004, Maharashtra,
India |
|
Tel. No.: |
91-22-67404000/ 23686030 |
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Fax No.: |
91-22-67404050/ 23695438 |
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E-Mail : |
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Website : |
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Factory 1 : |
Plot No.C-2,
MIDC, Jejuri, Taluka Purandar, District Pune – 412 302, |
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Tel. No.: |
91-2115-253372/ 253610/ 254166 |
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Fax No.: |
91-2115-254166/ 253610 |
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Factory 2 : |
Village and Post Office Rathdhana, |
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Tel. No.: |
91-130-3290430 |
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Fax No.: |
91-130-2325312 |
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Factory 3 : |
136, K.M. Stone,
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DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Vinit Kumar |
|
Designation : |
Chairman and Managing Director |
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Date of Birth/Age : |
45 Years |
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Qualification : |
BE (Electrical and Commercial) MBA |
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Experience : |
20 Years |
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Date of Appointment : |
26.10.2007 |
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Name : |
Ms Bhairavi Goswami |
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Designation : |
Non-Executive Director |
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Name : |
Dr. (Ms.) Kala Pant |
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Designation : |
Non-Executive Director |
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Name : |
Ms. Elizabeth Harrington |
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Designation : |
Non-Executive Director |
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Name : |
Dr. Sanjay Kaushik |
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Designation : |
Non-Executive Director |
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Name : |
Mr. E. David Ellington |
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Designation : |
Non-Executive Director |
KEY EXECUTIVES
|
Name : |
Mr. Nimish Thakore |
|
Designation : |
President – Corporate Affairs and Company Secretary |
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Date of Birth/Age : |
50 Years |
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Qualification : |
F.C.A., A.C.S. B.Com (Hons) |
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Experience : |
26 Years |
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Date of Appointment : |
21.08.2007 |
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Name : |
Ms. Shubhangi Shinde |
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Designation : |
Head Accounting and
Internal Controls |
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Name : |
Mr. Shyam Mahale |
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Designation : |
President – Corporate
Planning |
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Name : |
Mr. Deendayal Khandelwal |
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Designation : |
National Purchase Head (Agri/Non
Agri) |
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Name : |
Mr. Milind Kanade |
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Designation : |
Business Head |
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Name : |
Mr. Nimesh Shah |
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Designation : |
Head Corporate QA and
Food Safety Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2011
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding
of Promoter and Promoter Group |
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4,237,780 |
10.47 |
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|
4,237,780 |
10.47 |
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Total
shareholding of Promoter and Promoter Group (A) |
4,237,780 |
10.47 |
|
(B) Public
Shareholding |
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|
|
|
|
|
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|
1,800 |
- |
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|
40,000 |
0.10 |
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|
41,800 |
0.10 |
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|
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14,148,245 |
34.97 |
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|
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9,174,535 |
22.68 |
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11,881,351 |
29.37 |
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973,389 |
2.41 |
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|
526,751 |
1.30 |
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|
1,300 |
- |
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|
300,528 |
0.74 |
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|
144,810 |
0.36 |
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36,177,520 |
89.42 |
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Total Public shareholding
(B) |
36,219,320 |
89.53 |
|
Total (A)+(B) |
40,457,100 |
100.00 |
|
(C) Shares held
by Custodians and against which Depository Receipts have been issued |
- |
- |
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- |
- |
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- |
- |
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- |
- |
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Total
(A)+(B)+(C) |
40,457,100 |
- |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 million BUSINESS DETAILS
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Line of Business : |
Dealing in Fresh and Frozen Foods. |
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Products : |
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Brand Names : |
v “EVERFRESH” v “DELIKA” v “KAREN ANAND” |
PRODUCTION STATUS (AS ON 31.03.2010)
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity* |
Actual
Production** |
|
Fresh and Frozen Foods |
MT |
70,000.00 |
70,000.00 |
199,580.37 |
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* The installed capacity is as certified by the management.
** A part of the production is outsourced from other plants depending
upon requirements.
GENERAL INFORMATION
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Customers : |
v
Taj SATS v
Ambassador v
Oberoi v
Dinshaws v
Metro v
Shoprite v
Big Apple v
Spencers v
Reliance Fresh v
Spinach v
Food Bazaar |
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No. of Employees : |
165 (Approximately) |
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Bankers : |
v
ICICI Bank Limited v
Bank of v
United Bank of v
HDFC Bank Limited v
Punjab National Bank |
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Facilities : |
Notes: Pre/Post Shipment
Credit Facility and the Working Capital Demand Loan are secured by charge on
the current assets of the company, both present and future, charge on the
immovable and movable assets, present and future, and Corporate Guarantee by
the Promoter Company (Venture Business Advisors Private Limited). Working Capital
Loan from Punjab National Bank is secured by first pari passu charge on
current assets, present and future, charge on all movable fixed assets both
present and future and Corporate Guarantee given by the Promoter. Cash Credit
facility from United Bank of Overdraft
facility from Yes Bank is secured by hypothecation of the Fixed Deposit
Receipt. Factoring
Facility with SBI Global Factors Limited is secured by charge on fixed
Assets, receivables, charge on immovable properties, pledge of the shares of
the Company held by the Promoter and Corporate Guarantee given by the
Promoter. Margin Funding
Facilities are secured by the pledge of the shares of the company which have
been acquired by utilizing the facilities and, in certain cases, by the
pledge of the shares of the Company held by the Promoter. Vehicle loans
from Tata Capital Limited and Reliance Capital Limited are secured by
hypothecation of the specific vehicles.
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Banking
Relations : |
-- |
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Statutory
Auditors : |
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Name : |
Sharp and Tannan Chartered Accountants |
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Address : |
Ravindra Annex,
194, Churchgate Reclamation, |
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Internal
Auditors : |
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Name : |
R. G. Mehta and Company Chartered Accountants |
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Address : |
B-203, Suchita Enclave, Maharashtra Nagar, Borivali (W), Mumbai - 400
092, |
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Company under
same Management : |
v
Venture Business Advisors Private Limited v
Delika Foods Private Limited |
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Wholly Owned Subsidiary
Company : |
v
Temptation Foods International Limited, v
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Subsidiary
Company : |
v
Temptation Foods FZE, Sharjah, UAE. |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
75000000 |
Equity Shares |
Rs.10/- each |
Rs.750.000 millions |
|
|
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|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
25142100 |
Equity Shares |
Rs.10/- each |
Rs.251.421
millions |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
251.421 |
251.421 |
251.421 |
|
|
2] Reserves & Surplus |
3030.212 |
2153.061 |
1575.574 |
|
|
3] Share / Convertible Warrants Application Money |
0.000 |
146.000 |
204.562 |
|
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
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NETWORTH |
3281.633 |
2550.482 |
2031.557 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1655.750 |
1018.333 |
2.383 |
|
|
2] Unsecured Loans |
115.169 |
68.815 |
0.369 |
|
|
TOTAL BORROWING |
1770.919 |
1087.148 |
2.752 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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|
|
|
|
|
|
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TOTAL |
5052.552 |
3637.630 |
2034.309 |
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APPLICATION OF FUNDS |
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|
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|
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|
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FIXED ASSETS [Net Block] |
1171.664 |
952.193 |
712.949 |
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Capital work-in-progress |
72.586 |
32.586 |
12.828 |
|
|
|
|
|
|
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|
INVESTMENT |
64.887 |
280.986 |
1.855 |
|
|
DEFERREX TAX ASSETS |
60.796 |
42.633 |
1.356 |
|
|
|
|
|
|
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|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
711.211
|
600.661 |
330.172
|
|
|
Sundry Debtors |
3749.562
|
2593.568 |
703.189
|
|
|
Cash & Bank Balances |
88.249
|
14.188 |
12.881
|
|
|
Other Current Assets |
0.000
|
0.000 |
0.000
|
|
|
Loans & Advances |
318.435
|
345.603 |
610.480
|
|
Total
Current Assets |
4867.457
|
3554.020 |
1656.722 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
883.902 |
1083.061 |
217.450 |
|
|
Other Current Liabilities |
76.642
|
68.882 |
93.867
|
|
|
Provisions |
224.294
|
72.845 |
40.084
|
|
Total
Current Liabilities |
1184.838
|
1224.788 |
351.401
|
|
|
Net Current Assets |
3682.619
|
2329.232 |
1305.321
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
5052.552 |
3637.630 |
2034.309 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
12766.479 |
8700.741 |
3280.477 |
|
|
|
Other Income |
21.535 |
19.066 |
14.304 |
|
|
|
TOTAL (A) |
12788.014 |
8719.807 |
3294.781 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing Expenses |
11400.979 |
7849.549 |
3028.461 |
|
|
|
Decrease / (Increase) in Finished Goods |
(119.560) |
(261.238) |
(184.018) |
|
|
|
Administrative Expenses |
244.144 |
247.914 |
87.233 |
|
|
|
Selling and Distribution Expenses |
67.269 |
117.195 |
43.112 |
|
|
|
Extraordinary Item |
119.589 |
25.191 |
0.000 |
|
|
|
TOTAL (B) |
11712.421 |
7978.611 |
2974.788 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1075.593 |
741.196 |
319.993 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST &
FINANCIAL EXPENSES (D) |
211.088 |
109.865 |
0.468 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
864.505 |
631.331 |
319.525 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
113.261 |
81.336 |
45.927 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
751.244 |
549.995 |
273.598 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
121.794 |
23.039 |
35.542 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
629.450 |
526.956 |
238.056 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
681.496 |
172.174 |
(65.882) |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend |
-- |
15.070 |
-- |
|
|
|
Proposed Final Dividend |
18.856 |
-- |
-- |
|
|
|
Dividend Distribution Tax |
3.205 |
2.564 |
-- |
|
|
BALANCE CARRIED
TO THE B/S |
1288.885 |
681.496 |
172.174 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Fresh & Frozen Foods
(FOB basis) |
4.565 |
350.862 |
305.117 |
|
|
TOTAL EARNINGS |
4.565 |
350.862 |
305.117 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
- Basic |
25.04 |
20.96 |
11.42 |
|
|
|
- Diluted |
25.04 |
20.94 |
11.27 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
3555.820 |
3495.020 |
2551.540 |
|
Total Expenditure |
3217.530 |
3163.680 |
2366.670 |
|
PBIDT (Excl OI) |
338.290 |
331.340 |
184.870 |
|
Other Income |
0.050 |
0.090 |
0.150 |
|
Operating Profit |
338.350 |
331.430 |
185.010 |
|
Interest |
63.660 |
65.170 |
48.640 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
274.690 |
266.260 |
136.370 |
|
Depreciation |
36.320 |
38.690 |
41.580 |
|
Profit Before Tax |
238.370 |
227.560 |
94.790 |
|
Tax |
47.510 |
45.360 |
16.030 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
190.860 |
182.200 |
78.770 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
190.860 |
182.200 |
78.770 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
4.92
|
6.04 |
7.23 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.88
|
6.32 |
8.34 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
12.44
|
12.21 |
11.55 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.23
|
0.22 |
0.13 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.90
|
0.91 |
0.17 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
4.11
|
2.90 |
4.71 |
LOCAL AGENCY FURTHER INFORMATION
Details of Sundry Creditors:
|
Particulars |
31.03.2010 (Rs. in millions) |
31.03.2009 (Rs. in millions) |
31.03.2008 (Rs. in millions) |
|
Sundry
Creditors: |
|
|
|
|
Due to Micro and Small enterprises |
-- |
-- |
-- |
|
Due to Others |
883.902 |
1083.061 |
217.450 |
|
|
883.902 |
1083.061 |
217.450 |
Mr. Vinit Kumar
Chairman and Managing
Director
Mr. Vinit Kumar is the Chairman and Managing Director of subject. He represents the promoters - Mumbai based Indigo Group of Companies.
Mr. Vinit Kumar, BE (Electronics and Communication) and MBA, is a first generation technocrat entrepreneur, with over 22 years of experience of Business and Industry. He has been at the forefront in the development of the Frozen Fruits and Vegetables segment in the Indian food processing industry. He is the driving force behind subject’s growth in recent years and all new business initiatives.
Dr. (Ms.) Kala Pant
Non-Executive Director
Dr (Ms) Kala Pant, BSc, PhD in Banking and Transport, has
rich and vast experience in the Banking Industry. She has been a member of the
Boards of several Banks in
Ms. Elizabeth
Harrington
Non-Executive
Director
Ms Elizabeth Harrington, AB (Cornell); is CEO of Harrington
Global and an international management consultant well known for achieving
rapid growth, increasing profits and competitive advantage through innovative
strategies. She is a board member of the Chicago Mercantile Exchange and has
been Board member of American Advertising Federation, Better Business Bureau,
Metropolitan Family Services of Chicago, Cornell University President’s Council
and Mayor of Chicago’s Shanghai Sister Cities Commission. She has published
several papers on
Mr. E. David
Ellington
Non-Executive
Director
Mr. E David Ellington, BA (History), MA (Comparative
Politics), JD (Law) is an expert in Fund Management and international corporate
and tax law. He is currently Managing Director of Emory Capital Group LLC, a
international advisory firm, headquartered in the
Ms. B. Goswami
Non-Executive
Director
Ms Bhairavi Goswami, BA, is a renowned expert in media, marketing and advertising.
Dr. S. Kaushik
Non-Executive Director
Dr. Sanjay Kaushik, a veteran in international trade, holds a masters and a PhD in management. He is the latest addition to subject’s Board. He heads an international trading organization, with a focus on food, energy conservation, infrastructure and IT. He has won many international laurels for his outstanding contributions in the chosen fields. He has authored several books, including one on a former Prime Minister of India.
Operations
During the year, the Company has shown sterling performance in as much as the sales turnover has increased from Rs.8700.740 millions in 2008-09 to Rs.12766.480 millions in 2009-10, representing an increase of about 46.73% and the profit after tax has gone up from Rs.526.950 millions to Rs.629.450 millions representing an increase of about 19.45%.
Business Prospects
In spite of recessionary trends, the Company has achieved a robust growth in sales and margins were safeguarded by initiating backward integration and enhancing production capacities thereby increasing scale of production and controlling the processing costs.
The production of all processes food products were brought under one roof at its Jejuri Plant from the outsourced units, so as to have better control over quality.
Good monsoon coupled with global recovery augurs well for the business and the Company has ambitious plans in the coming year, with emphasis on expansion by introducing several new variants in all the product segments- sauces, conserves, mayonnaise to cater to the mass market and to re launch the existing product range in attractive packs to consolidate the premium image in the niche market.
Temptation Foods Fze
(‘Fze’)
The company has incorporated a company by the name of Temptation Foods FZE (‘FZE’), limited by shares, in the Sharjah Airport Free Trade Zone, of which it is likely to hold 51% of the equity share capital.
Temptation Foods FZE (‘FZE’), is intended to be used as a special purpose vehicle for acquisitions of business overseas and /or for raising of funds overseas.
Temptation Foods
International Limited
The Company had incorporated Temptation Foods International Limited (TFIL), in the British Virgin Islands (BVI). The Company currently envisages that the purpose for which TFIL is formed may not materialize now and hence Company did not pay BVI Annual License Fees. As the said fees are not paid, the above said Company has been stuck off from the BVI Government Register and hence it is not a subsidiary of the company. As per BVI laws, company can be restored at anytime up to ten years after the strike off date by paying prescribed fees. As and when required the Company will restore the name of above said company.
Disinvestment in the
Shares of Kohinoor Foods Limited (KFL)
Keeping in view the declining market price of equity shares of KFL, the Company decided to disinvest/sell the shares of KFL, in order to prevent further loss to the Company. By selling the said equity shares of KFL, the company suffered a loss of Rs.119.589 millions. The Directors of the Company had visualized an appreciation in price and consequential profits, but due to adverse market scenario, the same did not materialize.
MANAGEMENT DISCUSSION
AND ANALYSIS
Subject’s business consists of frozen food and processed food. The Company processes and individually quick freezes fruits, vegetables and marine food.
Subject’s other products are conserves, jams, marmalade, sauces, mayonnaise, salad dressings and honey.
During the year, the Company has also forayed into the
agri-infrastructure industry, initially with a major stake a
THE INDIAN FOOD
PROCESSING INDUSTRY
The food processing industry is one of the largest in
The largest component of household consumption expenditure
is food and food products.
However, the scenario is rapidly changing, nationally and
internationally. In the domestic market, with growing urbanization, burgeoning
middle class, rising income, emergence of organized retailing, the consumer
mindset and preferences are evolving towards value-added, packaged and branded
products. The international scenario for processed and packaged fruits and
vegetables is also undergoing a remarkable shift.
Domestic and international demand for processed foods, especially frozen foods, is increasing exponentially. Over the years, the domestic frozen F and V grew around 10-12% annually, which is expected to gain further momentum when modern retail chains penetrate the Tier II and Tier III cities.
THE MARINE FOOD
INDUSTRY
BUSINESS OVERVIEW
Competitive Strengths
of subject
v
Subject enjoys a locational advantage as all
plants are located near the raw material sources. The raw materials are sourced
from North and West regions. Subject has a plant in North India at Sonepat and
in
v Strong brand equity and a wide products variety
v Wide geographic coverage with international presence
v Use of modern technologies and processes
v Strategic relationships with customers, suppliers and supply chain vendors
v Professionally managed and experienced management team
PERFORMANCE REVIEW OF
SUBJECT DURING 2009-10
The Company continued to achieve record growths in all business segments, for the fourth year in a row, with production, procurement and sales volumes and values recording substantial jumps.
FROZEN FRUITS AND
VEGETABLES
The Company continued its position as the largest player in the domestic frozen fruits and vegetables business in the country, with a Rs.8479.450 millions sales turnover.
Since its acquisition of the Everfresh Brand, subject has religiously increased the product range to include several new frozen fruits and vegetables. Subject has scaled up operations manifold, including outsourcing of productions to units in raw material producing areas. While green peas and sweet corn continue to constitute a bulk of this business, other products are also gradually gaining popularity. The Company expects to be able to continue to grow this business segment, in terms of gross revenue and net revenue.
PROCESSED FOODS
BUSINESS
The Company bought the business of Karen Anand’s Gourmet Kitchen late last year, including the Karen Anand brand, covering a wide range of conserves, jams, sauces, mayonnaise and dressings.
The brand, known for high end, quality products, has been positioned to cater to the premium segment in the processed food market.
During the year, the Company introduced an economy range of jams, sauces and other products under the Everfresh brand to cater to the mass market. It has also introduced packaged honey under this brand in select markets, which received encouraging response.
The Company expects the processed food business to grow significantly in the coming years, as the sales and distribution synergies between Karen Anand and Everfresh come into play and with the proposed addition of new and more value-added products to the range.
On the whole, during the current year, the Company increased its total income to Rs.12788.020 millions from Rs.8719.810 millions in 2008-09, registering a 47% year-on-year growth. Its PBIDT surged to Rs.1075.590 millions from Rs.741.200 millions in 2008-09, registering a 45.11% year-on-year growth. The Company’s PAT jumped to Rs.629.450 millions from Rs.526.950 millions in 2008-09, registering a 19.45% year-on-year growth.
NEW INITIATIVES
As a part of the Company’s philosophy of growth in related areas, the Company has decided to complement its strong capabilities in the Food Processing Sector, by creating an equally strong capability in the backward linkages for the Food processing sector i.e. the post harvest agri infrastructure sector.
Under this initiative, the Company has acquired a major
stake in a
The Company is in advanced stages of acquisition of similar
stakes in more
The initiative is intended to equip the Company with strong capabilities and flexibility to capture value, across the value chain. The Company expects to leverage further on this capability for further forays in this business.
CONTINGENT LIABILITIES: (As on 31.03.2010)
a) Claims against
the Company not acknowledged as debts: Rs.1.073 millions.
b) Counter
guarantees given to a bank on account of guarantees given by them to Value
Added Tax authorities: Rs.2.884 millions.
c) Estimated
amount of contracts remaining to be executed on capital account and not
provided for (net of advances) Rs.60.000 millions.
FIXED ASSETS:
Owned Assets
Tangible Assets:
v
v
v Plant and Machinery
v Office Equipments
v Computers
v Furniture and Fixture
Intangible Assets:
v Computer Software
v Brand and Trademarks
Leased Assets:
v
v
Vehicles
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.44.77 |
|
|
1 |
Rs.73.45 |
|
Euro |
1 |
Rs.64.55 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
51 |
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.