MIRA INFORM REPORT

 

 

Report Date :

21.06.2011

 

IDENTIFICATION DETAILS

 

Name :

SHREE RAMKRISHNA EXPORT

 

 

Registered Office :

214, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Year of Establishment :

1976

 

 

Capital Investment / Paid-up Capital :

Rs.5233.863 Millions

 

 

Legal Form :

Partnership Concern with an Unlimited Liability of the Partners

 

 

Line of Business :

Manufacturer and Exporter of Diamonds.

 

 

No. of Employees :

3000 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (53)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 20900000

 

 

Status :

Good

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an old and well established partnership concern having fine track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments.

 

The concern 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 – June 30, 2010

 

Country Name

Previous Rating

(01.04.2010)

Current Rating

(30.06.2010)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INFORMATION PARTED BY

 

Name :

Mr. Rajeev

Designation :

Chief Financial Officer

Date :

13.06.2011

 

 

LOCATIONS

 

Registered Office/Head Office :

214, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra, India

Tel. No.:

91-22-40405555

Mobile No.:

91-9820281535 (Mr. Rajeev)

Fax No.:

91-22-23633846

E-Mail :

rajiv@srkexport.in

info@srkexport.in

Website :

http://srkexport.in 

Location :

Owned

 

 

Jewelry Unit :

Jewel Goldi : Mumbai

GJ-9, SDF VII, SEEPZ, Andheri (East), Mumbai – 400096, Maharashtra, India

Tel No. : 91-22-42308888

Fax No. : 91-22-66936655

E-Mail : info@jewelgoldi.com

 

Jewel Goldi (India) Mumbai

E/317, Floral Deck Plaza, Central Road, MIDC, Andheri (East), Mumbai – 400093, Maharashtra, India

Tel. No. : 91-22-42316666

Fax No. : 91-22-42316677

E-Mail : jgi@jewelgoldi.com

 

Jewel Goldi (NY) : Inc New York

2 West, 46th Street, Suite # 1108, New York – 10036, USA

Tel. No. : 1-212-3983050

Fax No. : 1-212-3983051

E-Mail : sales@jewelgoldi.com

 

 

Branch :

99, Gayatri Darshan, Vastadevdi Road, Katargam, Surat – 395004, Gujarat, India

Tel. No.:

91-261-4040555

Fax No.:

91-261-2537246

E-Mail :

surat@srkexport.in

 

 

PARTNERS

 

Name :

Mr. Jayanti Narola

Designation :

Partner

 

 

Name :

Mr. Rahul Dholakia

Designation :

Partner

 

 

Name :

Mr. Govind Dholakia

Designation :

Partner

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajeev Shah

Designation :

Chief Financial Officer

 

 

Name :

Mr. Arjan Dholakia

Designation :

Administration and Maintenance

 

 

Name :

Mr. Nirav Mandir

Designation :

Head – Human Resource

 

 

Name :

Mr. Ishver Dholakia

Designation :

General Manager – Grading

 

 

Name :

Mr. K. D. Narola

Designation :

General Manager – Production

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Diamonds.

 

 

Exports :

 

Products :

Diamonds

Countries :
  • Hong Kong
  • China

 

 

Terms :

 

Purchasing :

Depend

 

 

GENERAL INFORMATION

 

Customers :
  • Wholesalers
  • Retailers
  • End users

 

 

No. of Employees :

3000 (Approximately)

 

 

Bankers :

State Bank of India, Opera House Branch, Mumbai – 400004, Maharashtra, India

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Suresh Surana and Associates

Chartered Accountant

Address :

13th Floor, Bakhtawar, 229, Nariman Point, Mumbai – 400021, Maharashtra, India

Tel. No.:

91-22-66515570

Fax No.:

91-22-22875771

E-Mail :

emails@ss-associates.com

 

 

CAPITAL STRUCTURE

As on 31.03.2011

 

Capital Investment :

 

Owned :

Rs.1868.202 Millions

Borrowed :

Rs.3365.661 Millions

Total :

Rs.5233.863 Millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Partner’s Capital

 

1868.202

1536.743

2] Reserves & Surplus

 

0.000

0.000

3] (Accumulated Losses)

 

0.000

0.000

NETWORTH

 

1868.202

1536.743

LOAN FUNDS

 

 

 

1] Secured Loans

 

3365.661

2031.723

2] Unsecured Loans

 

0.000

0.000

TOTAL BORROWING

 

3365.661

2031.723

DEFERRED TAX LIABILITIES

 

0.000

0.000

 

 

 

 

TOTAL

 

5233.863

3568.466

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

417.695

390.512

Capital work-in-progress

 

213.486

0.000

 

 

 

 

INVESTMENT

 

93.461

3.461

DEFERREX TAX ASSETS

 

1.655

1.939

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

3560.650

2829.288

 

Sundry Debtors
 

2259.815

1214.460

 

Cash & Bank Balances
 

116.366

64.951

 

Other Current Assets
 

2.368

2.847

 

Loans & Advances
 

671.748

415.079

Total Current Assets
 

6610.947

4526.625

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 

1725.316

1045.106

 

Provisions
 

378.065

308.965

Total Current Liabilities
 

2103.381

1354.071

Net Current Assets
 

4507.566

3172.554

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

5233.863

3568.466

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

 

16693.571

13748.758

 

 

Other Income

 

4.257

186.241

 

 

TOTAL                                     (A)

 

16697.828

13934.999

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials

 

15546.480

11621.500

 

 

Employees remuneration and benefits

 

108.244

89.630

 

 

Manufacturing and other  expenses

 

715.050

551.228

 

 

Selling and distribution expenses

 

345.913

257.944

 

 

Remunerations to partners

 

4.500

4.500

 

 

Increase / (Decrease) in stock

 

(746.405)

722.238

 

 

TOTAL                                     (B)

 

15973.782

13247.040

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

 

724.046

687.959

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

 

84.569

125.929

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

 

639.477

562.030

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

73.215

67.397

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

 

566.262

494.633

 

 

 

 

 

Less

TAX                                                                  (H)

 

179.784

160.366

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

 

386.478

334.267

 

 

 

 

 

 

Prior period income / (expenses) – net

 

(0.071)

0.427

 

 

 

 

 

 

Excess / (Short) provision for income tax relating to earlier years (net)

 

(0.052)

0.051

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Amount transferred to partners capital account

 

386.355

334.745

 

BALANCE CARRIED TO THE B/S

 

0.000

0.000

 

The above information has been parted by Mr. Rajeev

 

Note : Sole Proprietory and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2011

31.03.2010

PAT / Total Income

(%)
 

2.31

2.40

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
 

3.39

3.60

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
 

8.06

10.06

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
 

0.30

0.32

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

2.93

2.20

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

3.14

3.34

 

 

LOCAL AGENCY FURTHER INFORMATION

 

WEBSITE DETAILS

 

Company Profile

 

Subject is one of India’s leading diamond manufacturers. They combine the finesse of art with the cutting edge of technology, to produce the finest diamonds for customers.         

           

Their vast experience, meticulous attention to detail, and technological superiority help them produce excellent quality diamonds, ranging from 0.30 to 10.00 carats in weight and D to J colors and almost all clarity and shape. Founded in 1976 by Govind Dholakia, the company today has a 5,000 strong dedicated and talented workforce.

 

Their investment in the best possible equipment - including Laser Machines, Auto Bruters, Maxi Bruters and Auto Sliders - helps ensure that they always produce flawless diamonds. Each and every gem passes through the stringent testing of high-tech machines and diamond experts. 

 

Superior quality diamonds, in-house R and D strengths, ethical practices, marketing expertise, and service-oriented approach have made them a favourite with jewelry manufacturers, retail traders, chain stores and small independent stores. All have come to rely on them as a trusted partner.       

           

In 2003

They established their own jewelry outlet, Jewel Goldi, at SEEPZ, Mumbai, to make diamond-studded jewelry for international markets. The next year they set up Jewel Goldi India, at MIDC, Mumbai, to cater to the domestic market. Their commitment to excellence, capability to respond to the ever changing needs of their customers, advanced technology and continuous product innovation has helped them remain competitive in this challenging market. 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.44.99

UK Pound

1

Rs.72.60

Euro

1

Rs.64.01

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

7

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

5

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

53

 

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

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.