MIRA
INFORM REPORT
|
Report Date : |
14.03.2011 |
Note:
The Correct name of the Alembic Limited
IDENTIFICATION DETAILS
|
Name : |
ALEMBIC LIMITED
(w.e.f 31.05.1999) |
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Formerly Known As : |
Alembic Chemical Works Company
LIMITED |
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Registered Office : |
Alembic Road, Vadodara – 390 033, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
30.07.1907 |
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Com. Reg. No.: |
04-0033 |
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CIN No.: [Company
Identification No.] |
L26100GJ1907PLC000033 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BRDA00819A |
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PAN No.: [Permanent
Account No.] |
AABCA7950P |
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Legal Form : |
Public Limited
Liability Company. The company's shares are listed on the Stock Exchanges. |
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Line of Business : |
Manufacture and sell bulk drugs and pharmaceutical
formulations in human and animal healthcare. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (64) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit Limit : |
USD 12000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an established
company having fine track. Financial position of the company appears to be
sound. Trade relations are reported as fiar. Business is active. Payments are
reported to be regular and as per commitments. The company can
be considered good for business dealings at usual trade terms and conditions.
|
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INFORMATION DENIED BY
|
Name : |
Mr. Samir Patel |
|
Designation : |
Finance |
LOCATIONS
|
Registered Office / Factory 1 : |
Alembic Road, Vadodara – 390 033, |
|
Tel. No.: |
91-265-2284074 /
75 / 2280550 / 2280880 / 3053333 |
|
Fax No.: |
91-265-2280331/2228293/2281229
/ 2282506/2282934/2281508/ 2282506 |
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E-Mail : |
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Website : |
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Factory 2 : |
Panpharm
(Formulation Division), Panelav, Taluka Halol, District Panchmahals – 389
350, |
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Factory 3 : |
Plot No. 21, 22, EPIP – Phase I Jharmajri, Baddi, Tehsil – Nalagarh,
District Solan, |
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Factory 4 : |
Village Karakhadi, Taluka: Padra, District |
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Branch Office : |
2nd floor,
Prime Corporate Park, Behind ITC Grand Maratha Sheraton, |
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Tel. No.: |
91-22-30611698 |
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Fax No.: |
91-22-30611682 |
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Chirayu Ramanbhai Amin |
|
Designation : |
Chairman and Managing Director |
|
Address : |
F-10/192, |
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Qualification
: |
B. Sc., MBA |
|
Date of
Appointment : |
01.05.1983 |
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Name : |
Mrs. Malika Chirayu Amin |
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Designation : |
Whole Time Director |
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Address : |
F-10/192, |
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Qualification
: |
M.A. |
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Date of
Appointment : |
02.07.1988 |
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|
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|
Name : |
Dr. Babubhai Rambahi Patel |
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Designation : |
Director |
|
Address : |
Opposite Brahman Sabha Hall, |
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Qualification
: |
M.A., MRCP EDIN. |
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|
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|
Name : |
Mr. Pranav Natverlal Parikh |
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Designation : |
Director |
|
Address : |
Laxmi Mills Estate, |
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Qualification
: |
B. Com., Bus. Admn. |
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|
|
Name : |
Mr. K. G. Ramanathan |
|
Designation : |
Director |
|
Address : |
192, Jolly Maker 3, 119, Cuffe Parade, Mumbai – 400 005, |
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Qualification
: |
P G (Physics) and IAS |
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|
|
|
Name : |
Mr. Paresh M. Saraiya |
|
Designation : |
Director |
|
Date of
Appointment : |
31.01.2007 |
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|
|
|
Name : |
Mr. Pranav Amin |
|
Designation : |
Director and President – International Business |
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Date of
Appointment : |
31.01.2007 |
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|
Name : |
Mr. Rajkumar Baheti |
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Designation : |
Director, President – Finance and Company Secretary |
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|
Name : |
Mr. Milin Mehta |
|
Designation : |
Director (w.e.f 30.03.2010) |
KEY EXECUTIVES
|
Name : |
Mr. Samir Patel |
|
Designation : |
Finance |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
|
Category of
Shareholder |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
13,416,635 |
10.05 |
|
|
71,336,190 |
53.43 |
|
|
84,752,825 |
63.48 |
|
|
|
|
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Total shareholding of Promoter and Promoter Group (A) |
84,752,825 |
63.48 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2,096,513 |
1.57 |
|
|
1,388,259 |
1.04 |
|
|
11,971,311 |
8.97 |
|
|
15,456,083 |
11.58 |
|
|
|
|
|
|
3,207,041 |
2.40 |
|
|
|
|
|
|
24,772,699 |
18.55 |
|
|
4,191,412 |
3.14 |
|
|
1,135,854 |
0.85 |
|
|
241,685 |
0.18 |
|
|
861,044 |
0.64 |
|
|
750 |
- |
|
|
32,375 |
0.02 |
|
|
33,307,006 |
24.95 |
|
Total Public shareholding (B) |
48,763,089 |
36.52 |
|
Total (A)+(B) |
133,515,914 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
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|
- |
- |
|
Total (A)+(B)+(C) |
133,515,914 |
- |
(1)
Indian
Individuals
/ Hindu Undivided Family
Individual
shareholders holding nominal share capital up to Rs. 0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacture and sell bulk drugs and pharmaceutical
formulations in human and animal healthcare. |
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Products : |
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PRODUCTION STATUS (As on 31.03.2010)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Bulk Drugs and Chemical and Intermediates |
MMU/ MT |
# |
2925.792 |
|
Formulations: |
|
|
|
|
a) Tablets and
capsules |
Million Nos. |
4653.000 |
2680.765 |
|
b) Injectables |
Million Nos. |
*** |
76227 |
|
c) Oral
Preparation and Ointments |
M.T. |
10182.616 |
8400.505 |
|
Others: |
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|
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Electric Power
Generation |
M.W. |
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|
- Wind Mill |
|
5.00 |
** |
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- Co-Generation
Plant @ |
|
12.60 |
(**) |
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|
|
(17.60) |
|
Notes:
* Including production on loan licence
basis, captive consumption, samples and purchases of finished products.
** Entire generation of electricity is for
captive consumption only.
# Installed Capacity: The Installed
capacity is flexible as the plant is versatile .enabling the Company to produce
in different capacity and therefore, it varies depending upon the product
programme.
@ The Company has filed necessary
Memorandum with Secretariate of Industrial Approval for generating electricity.
*** Entire production is on loan license
basis.
GENERAL INFORMATION
|
No. of Employees : |
4058
(approximately) |
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Bankers : |
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Facilities : |
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Banking
Relations : |
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Auditors : |
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Name : |
K. S. Aiyar and
Company Chartered
Accountants |
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Address : |
Laxmi Estate No. F – 07/08, |
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Group of Companies : |
· Shreno Limited (Glass Division) · Paushak Limited · Shreno Limited (Engineering Division) |
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Subsidiary: |
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Associates: |
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CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
225000000 |
Equity Shares |
Rs. 2/- each |
Rs.450.000 Millions |
|
500000 |
Redeemable
Cumulative Preference Shares |
Rs. 100/- each |
Rs. 50.000 Millions |
|
|
Total |
|
Rs.500.000
Millions |
Issued, Subscribed
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
138464270 |
Equity Shares |
Rs. 2/- each |
Rs. 276.929 Millions |
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
133515914 |
Equity Shares |
Rs. 2/- each |
Rs. 267.031 Millions |
|
9365 |
Forfeited Equity Shares |
Rs. 2/- each |
Rs. 0.009 millions |
|
|
Total |
|
Rs.267.040 millions |
Of the above :
1. 6,39,300 Equity Shares of Rs.2/- each (Previous Year 6,39,300 Equity Shares
of Rs.2/- each) have been allotted as fully paid up pursuant to contract
without payment being received in cash.
2. 9,20,36,620 Equity Shares of Rs. 2/- each (Previous Year 9,20,36,620
Equity Shares of Rs.2/- each) have been allotted as fully paid up Bonus Shares
by Capitalisation of Rs. 0.700 Million/- from Share Premium Account, Rs.168.350
Millions/- from Capital Redemption Reserve and Rs.15.023 Millions/- from
General Reserve.
3. 33,45,450 Equity shares of Rs. 2/- each (Previous Year 33,45,450 and
7,24,240 of Rs.2/- each) fully paid, were alloted to the and
7,24,240 Shareholders of erstwhile Neomer Limited, and
Darshak Limited, respectively, pursuant to the Scheme of amalgamation /
merger without payment being received in cash.
4. In terms of decision of the Board of Directors dated November 14,
2008 the Company offered to buy back its equity shares of face value of Rs.2/-
each, upto a maximum amount of Rs.330.000 Millions at a maximum price of
Rs.55/- per share through the methodology of “Open market purchases through
stock exchanges” using the electronic trading facilities of the Bombay Stock
Exchange Limited (BSE) and the National Stock Exchange of India Limited (NSE).
After completion of regulatory formalities, the Company commenced the buy back
on 08.12. 2008.
Till 13/11/2009 (Completion date of buy back programme), the Company
bought back 49,38,991 equity shares (about 82% of targeted buyback of 60,00,000
shares) at an average price of Rs.39.93 for a total consideration of
Rs.197.202 Millions which is about 60% of the total buy-back size of
Rs.330.000 Millions. In terms of provisions of Section 77A of the Companies
Act, 1956 and SEBI (Buy-back of Securities) Regulations, 1998. The Company has
extinguished all the bought back shares. All the necessary formalities for
completion of buy-back programme have been complied with.
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 |
267.040 |
274.393 |
276.919 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves &
Surplus |
2890.293 |
2995.513 |
3136.735 |
|
|
4] (Accumulated
Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
3157.333 |
3269.906 |
3413.654 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
2493.130 |
2157.634 |
2775.469 |
|
|
2] Unsecured
Loans |
1590.627 |
2596.774 |
1459.212 |
|
TOTAL BORROWING
|
4083.757 |
4754.408 |
4234.681 |
|
|
DEFERRED TAX
LIABILITIES |
138.405 |
64.107 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
7379.495 |
8088.421 |
7648.335 |
|
|
|
|
|
|
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APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
3931.846 |
4047.795 |
3666.210 |
|
Capital work-in-progress
|
38.972 |
71.629 |
219.556 |
|
|
|
|
|
|
|
INVESTMENT
|
84.918 |
84.462 |
140.580 |
|
DEFERREX TAX ASSETS
|
0.000 |
0.000 |
48.276 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
2449.493
|
2383.889
|
2028.120
|
|
|
Sundry Debtors
|
1861.193
|
1989.025
|
2305.394
|
|
|
Cash & Bank Balances
|
20.829
|
163.111
|
186.564
|
|
|
Other Current Assets
|
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances
|
1254.443
|
1268.011
|
863.780
|
Total Current Assets
|
5585.958
|
5804.036
|
5383.858
|
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Sundry Creditors
|
1868.185
|
1587.477
|
1368.834
|
|
|
Other Current Liabilities
|
204.234
|
189.671
|
153.023
|
|
|
Provisions
|
189.780
|
142.353
|
288.288
|
Total Current Liabilities
|
2262.199
|
1919.501
|
1810.145
|
|
Net Current Assets
|
3323.759
|
3884.535
|
3573.713
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
7379.495 |
8088.421 |
7648.335 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
10215.129 |
11019.656 |
10032.493 |
|
|
|
Other Income |
43.001 |
51.404 |
117.591 |
|
|
|
TOTAL (A) |
10258.130 |
11071.060 |
10150.084 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Material Consumption |
3505.101 |
4331.323 |
|
|
|
|
Purchase of Finished Goods |
1173.658 |
1386.145 |
|
|
|
|
Excise Duty |
56.473 |
78.804 |
|
|
|
|
Manufacturing Expenses |
778.161 |
902.550 |
|
|
|
|
Employee’s Expenses |
1454.677 |
1316.920 |
8355.835 |
|
|
|
Research and Development Expenses |
432.680 |
403.000 |
|
|
|
|
Marketing and Distribution Expenses |
921.607 |
871.203 |
|
|
|
|
Others |
947.409 |
822.859 |
|
|
|
|
Increase/ Decrease in Stock |
22.098 |
[307.269] |
|
|
|
|
Foreign Exchange Difference |
0.000 |
350.717 |
|
|
|
|
TOTAL (B) |
9291.864 |
10156.252 |
8355.835 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
966.266 |
914.808 |
1794.249 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
300.533 |
400.613 |
330.543 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
665.733 |
514.195 |
1463.706 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
430.190 |
383.056 |
327.672 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
235.543 |
131.139 |
1136.034 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
28.702 |
58.314 |
14.109 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
206.841 |
72.825 |
1121.925 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
723.615 |
797.276 |
NA |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Debenture Redemption Reserve |
79.170 |
75.000 |
NA |
|
|
|
Dividend – Equity Shares |
66.758 |
54.877 |
NA |
|
|
|
Corporate Dividend Tax – Equity Shares |
11.346 |
9.326 |
NA |
|
|
|
Reversal of Provision of Dividend – Buy
back shares |
0.630 |
0.000 |
NA |
|
|
|
Reversal of Provision of Corporate
Dividend Tax- Buy Back Share |
0.107 |
0.000 |
NA |
|
|
|
General Reserve |
20.684 |
7.283 |
NA |
|
|
BALANCE CARRIED TO
THE B/S |
751.761 |
723.615 |
NA |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
3125.537 |
4272.553 |
2939.828 |
|
|
TOTAL EARNINGS |
3125.537 |
4272.553 |
2939.828 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1024.188 |
1763.194 |
NA |
|
|
|
Stores & Spares |
25.253 |
32.536 |
NA |
|
|
|
Capital Goods |
5.912 |
17.667 |
NA |
|
|
TOTAL IMPORTS |
1055.353 |
1813.397 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
|
|
|
|
|
|
- Before
Non-Recurring Items |
1.53 |
0.53 |
8.10 |
|
|
|
- After
Non-Recurring Items |
|
|
|
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 |
30.09.2010 |
31.12.2010 |
|
|
1st
Quarter |
2nd
Quarter |
3rd Quarter |
|
Net Sales |
2590.600 |
3545.700 |
3587.700 |
|
Total Expenditure |
2340.300 |
3108.600 |
2991.900 |
|
PBIDT (Excl OI) |
250.300 |
437.100 |
595.800 |
|
Other Income |
6.100 |
8.000 |
6.500 |
|
Operating Profit |
256.400 |
445.100 |
602.300 |
|
Interest |
44.100 |
66.400 |
79.100 |
|
Exceptional Items |
0.000 |
0.000 |
-36.900 |
|
PBDT |
212.300 |
378.700 |
486.300 |
|
Depreciation |
110.300 |
115.500 |
113.900 |
|
Profit Before Tax |
102.000 |
263.200 |
372.400 |
|
Tax |
20.300 |
49.400 |
58.500 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
81.700 |
213.800 |
313.900 |
|
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 |
81.700 |
213.800 |
313.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
2.02
|
0.66 |
11.05 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.31
|
1.19 |
11.32 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.47
|
1.33 |
12.55 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.04 |
0.33 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.01
|
2.04 |
1.77 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.47
|
3.02 |
2.97 |
LOCAL AGENCY FURTHER INFORMATION
sundry creditors details:-
(Rs.in Millions)
|
Particulars |
31.03.2010 |
3.1.03.2009 |
31.03.2008 |
|
Sundry Creditors |
|
|
|
|
Creditors: Dues to Micro and Small
Enterprises |
2.946 |
0.346 |
8.883 |
|
Other Creditors |
1865.239 |
1587.131 |
1359.951 |
|
Total |
1868.185 |
1587.477 |
1368.834 |
HISTORY
One of the oldest pharmaceutical companies in
In 1995, the veterinary division of the company was tied up with the animal
health division of Hindustan Ciba-Giegy to export eight veterinary products to
Ciba (
The Bulk Drug unit of Darshak Limited was amalgamated with
the company with the approval of High court of Gujarat and the legal
formalities was also completed w.e.f. 16.09.2002. As per the scheme, the
shareholders of Darshak Limited was allotted shares in the ratio of 6 shares of
Alembic for every 100 shares of Darshak Limited The company has got the
ISO-9002 and ISO-14001 certification during 2002-03.
Alembic has finalised a major business restructuring plan under which it will
create a new division for cardiovascular and diabetic drugs while hiving of
some odd brands into a franchisee company for their marketing. The company has
introduced novel anti diabetic product Nateglinide in the brand name of
NATELIDE. The company plans to set up R and D Centre at Vadodara covering 7500
square metres. The facility would consist of Chemistry, Analytical and
Biological Laboratories. In order to make more significant in Generic market
and also to make it US FDA qualified the company made a investment at its
Panelav plant. This facility is expected to be inspected in the first quarter
of 2004.
During March 2004 the company has issued bonus equity shares to its
shareholders in the ratio of 2:1. The company has increased the installed
capacity of Tablets and Capsules and Oral Preparation and Ointments by 900
Million Nos and 3528 MT respectively during the year 2004-05 and with this
expansion the total installed capacity of Tablets and Capsules and Oral
Preparation and Ointments has increased to 4058 Million Nos and 9462.616 MT
respectively.
During 2004-05 the company has launched 23 new products including line
extensions to expand its product portfolio. Further the company has launched
ZERO a new generation, no calories, Sucralose Based Sugar Substitute which gave
entry for the company into the high-growth lifestyle OTC product segment.
The company has set up a formulation manufacturing facility at Baddi in
Himachal Pradesh with a capital investment of Rs.280 Millions spread over 19000
sq. mtrs and the plant has 900 million tablets and 600 million liquid oral
bottles production capacity annually. Further the company has invested Rs.216
Millions for a new 120000 sq.ft R and D facility.
In 2006, The Company has increased the installed capacity of
Tablets and Capsules and Oral Preparation and Ointments by 595 Million Nos and
720 MT respectively during the year 2005-06 and with this expansion the total
installed capacity of Tablets and Capsules and Oral Preparation and Ointments
has increased to 4653 Million Nos and 10182.616 MT respectively.
Operations:
The Company’s standalone Gross Sales including export incentives were
Rs.10320.000 Millions for the year ended 31.03.2010 as compared to Rs.11200.000
Millions for the previous year, which shows a de-growth of 8% over previous
year. The Profit before Interest, Depreciation, foreign exchange gain and
losses, Non-recurring Income and expenses and Taxes was Rs.966.200
Millions for the year as compared to Rs. 1265.600 Millions for the previous
year.
During the year, the interest and financing cost was Rs.300.500 Millions
as compared to Rs. 400.600 Millions in previous year. The Company posted Profit
after tax of Rs. 206.800 Millions for the year as compared to Rs. 72.900
Millions for the previous year.
The Company has registered a consolidated gross sales of Rs.11490.000
Millions for the year as compared to Rs. 11340.000 Millions for the previous
year ended on 31.03.2009. The consolidated Profit, before providing for
Interest, Depreciation, Non-recurring Income, expenses and Taxes, was
Rs.1168.800 Millions for the year as compared to Rs. 1303.800 Millions for the
previous year. The Company has made a consolidated profit after tax of
Rs.395.400 Millions for the year, as compared to Rs. 108.200 Millions for the
year previous year.
(i) Domestic
Formulation Sales:
Sales of Domestic formulations for the year ended 31.03.2010 is
Rs.5849.000 Millions as compared to Rs. 5542.000 Millions for the previous year
ended on 31.03.2009, and reported a growth of 6%.
(ii) Export
Formulations:
The sales of export formulations was Rs.1477.600 Millions for the year
ended 31.03.2010 as compared to Rs. 1196.500 Millions in the previous year
ended 31.03.2009, registering a growth of 24% over previous year. The above
sales include sales to Regulatory Market for Rs.1020.000 Millions for the year
ended 31.03.2010 as compared to Rs. 720.000 Millions in previous year ended on 31.03.2009.
(iii) Domestic API
Sales:
The domestic sales of API was Rs.1186.500 Millions for the year ended on
31.03.2010 as compared to Rs. 1241.100 Millions for the previous year ended on
31.03.2009, and reported a de-growth of 4%, largely due to pricing pressure on
Pen-G.
(iv) Export API:
The export sales of API was Rs.2859.800 Millions for the year ended on
31.03.2010 as compared to Rs.3253.900 Millions for the previous year and
reported a de-growth of 12%.
Fixed Deposits
The fixed deposits including those from shareholders as on 31.03.2010
amounted to Rs.497.000 Millions. Unclaimed deposits of Rs.2.589 Millions from
119 depositors have been transferred to current liabilities, out of this, no
deposits have since been repaid or renewed at the option of depositors and no
instruction have been received so far and if not claimed in future, it shall be
deposited in the ‘Investors Education
and Protection Fund’ in due
course, as per the provisions of the Companies Act, 1956.
Buy back of Equity
Shares:
The buy-back program which was commenced by the Company from December 8,
2008, was completed on 14th November, 2009 as per the terms of the Public Announcement.
Till 13th November, 2009 (Completion date of buy
back programme), the Company bought back49,38,991 equity shares (about
82% of targeted buyback of 60,00,000 shares) at an average price of Rs.39.93
for a total consideration of Rs.197.202 Millions which is about 60% of the
total buy-back size of Rs.330.000 Millions. In terms of provisions of Section
77A of the Companies Act, 1956 and SEBI (Buy-back of Securities) Regulations,
1998,the Company has extinguished all the bought back shares. All the necessary
formalities for completion of buy back programme have been complied with.
Issue and
allotment of Nonconvertible Debentures of Rs. 500.000 Millions:
During the year, the Company had allotted Secured Non-convertible
Debentures of face value of Rs.1.000 Million each on private placement basis to
various Banks and General Insurance Corporation for total amount of Rs.500.000
Millions for general corporate purpose. The said NCDs have been listed on the
Bombay Stock Exchange.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT
INDUSTRY
PERSPECTIVE
The Indian Pharma Industry has been resilient to the economic
challenges. The Country is holding its ground in the midst of the current
global financial crisis. Indian Pharmaceutical industry grew at healthy 18% in last
year and is poised for a growth of 13-14% in next three years according to
forecast of ORG IMS.
The Indian economy is expected to emerge as the fastest growing economy
by 2013 and to be the 3rd largest economy by 2050 (Source: BRICs Report,
Goldman Sachs). The GDP growth will be driven by both exports and domestic
consumption.
The current spending on healthcare [public and private] is estimated at
6% of GDP and expected to increase to 10% of GDP by 2016. The market remains
dominated by acute therapies; however chronic segments such as Cardio Vascular,
Diabetes, Central Nervous System and specialty segments like Oncology are
growing faster than the market.
The Global pharmaceutical Industry is witnessing a growing importance of
generics. Global pharmaceutical market intelligence company IMS Health believes
the Indian generic manufacturers will grow at a faster clip as drugs worth
approximately $20 billion in annual sales will face patent expiry in 2011. In
fact, with nearly $105 billion worth of patent-protected drugs to go off-patent
(including 30 of the best selling US patent-protected drugs) by 2012, Indian
generic manufacturers are positioning themselves to offer generic versions of
these drugs. With drugs going off patent each year, generics represent a major
outsourcing opportunity for pharmaceutical producers in
DOMESTIC
FORMULATION BUSINESS:
The domestic formulation business is a very critical component of
Alembic’s business. Alembic has built an important relationship with doctors
and is known as the leading company in Macrolides as well as other acute
therapies. Alembic has now made a mark in some specialized therapies such as
Diabetology, Cardiology and Gynaecology as well.
Alembic undertook a massive restructuring exercise which started in
Q1FY09. The benefit of this is visible through recent ORG rankings where the
trend is positive and is reflected in ORG sales data. Company recorded
secondary sales growth of 25% against Industry growth of 18%. The market share
grew to 1.91% against 1.81%.(as per ORG-IMS-March, 2010).
The objective of the massive restructuring was to increase market share,
intense focus on customer coverage with customer centric activities, build
robust secondary sales and focus on conversion and consolidation targets on a
continuous basis. The positive impact of the same is evident from the ORG
numbers rolled out throughout the year. However, the Company did not achieve
primary sales target due to adjustment in trade inventory. The Company is
confident of posting better performance on domestic formulations in the ensuing
quarters.
INTERNATIONAL
BUSINESS:
Alembic’s export formulation business to regulatory markets of US,
Alembic typically shares the investment and return with the marketing
partners and this helps de-risk its ANDA programme and reduces the upfront
investment in the development stage. While Alembic’s contract manufacturing
business continue to do well, concern, however, was on account of low priced imports
of Penicillin
originating from
FINANCE:
The Company has registered a consolidated total income of Rs.11407.700
Millions for the year as compared to Rs. 11201.600 Millions for the previous
year ended on 31.03.2009.The consolidated Profit, before providing for
Interest, Depreciation, Non-recurring Income, expenses and Taxes, was
Rs.1168.800 Millions for the year as compared to Rs. 1303.800 Millions for the
previous year. The Company has made a consolidated profit after tax of
Rs.395.400 Millions for the year, as compared to Rs. 108.200 Millions for the
previous year
OUTLOOK:
It has been witnessed by the domestic pharmaceutical industry that with
increase in GDP and per capita income, more customers are able to afford
organized healthcare. This is very important and advantageous for a company
like Alembic which has strength in the acute therapy segments since
Alembic has started the consolidation process for its product line in the
lifestyle disease segment also and is registering growth. It is also looking at
various other high growth and niche areas in the domestic segment. Alembic has
had a history of having a very good equity with its customers and has
successfully built up quite a few large brands.
With
markets. Alembic has strived to show excellence in both these areas in
development as well as manufacturing. It is a focused approach on these two
which will give Alembic’s Future plans a fillip
HUMAN RESOURCE
INTERVENTION IN 2009-10:
Reinforcing performance orientation and building human capital have been
the focus of the company during the year. Efforts of improving effectiveness
and efficiency of the employees without loosing the “human sensitivity” have
been the challengewhich has been successfully navigated though during the
period.
Cutting across businesses and levels, the company has been able to
permeate the company objective to down the line objective which is critical for
aligning the employees’ efforts and stakeholders’ expectations. Periodic
reviews and corrective measures were undertaken primarily to encourage and set
directions for the employees. To institutionalize the performance orientation,
the rewards have been directly aligned to contribution and performance.
The company has undertaken multi pronged approach towards developing
employees’ capabilities to manage existing and future business requirements.
The company has institutionalized ‘Talent Screening Workshop” which serves the
dual purpose of providing challenging assignments and career opportunities to
employees and internal sourcing options and retention strategy for the company.
The process of building functional and managerial capabilities of employees has
been taken not only by the training cell, but also owned by line managers and
superiors.
The endeavor of placing the most appropriate talent at the right
position has been successfully achieved as the Company has continued to attract
the best talent in all areas. In coming years, the efforts will be to have
workforce architecture which will have the right mix of internal and lateral
talents to take the company to newer heights.
Fixed AssetS:-
- Buildings
- Employees Quarters
- Plant and Machinery
- R and D Equipment
- Furniture and Fixtures
- Office Machinery
- Vehicles
AS PER WEBSITE
Profile
Subject - 100 Years
of Excellence In Healthcare!
ISO-9002 and
ISO-14001 certified
Alembic at a Glance
Everything they do
at Alembic revolves around extending and improving the quality of life with
products that span the entire lifecycle. As an integrated pharmaceutical
company they share collaborative and symbiotic relationships with preferred
business partners, all of whom reflect there business ethics, trust and
transparency and quality standards.
Commitment to Health
Alembic started in 1907 and now it is Asia's most respected integrated
pharmaceutical company with manufacturing facilities in
Needless to say, Alembic has a turnover and growth rate that takes it into the
top bracket of Indian pharmaceutical companies with a series of brands among
the top five in their respective categories.
Alembic is a certified ISO-9002 ,ISO-14001 and ISO 27001 company with
manufacturing practices and facilities that conform to WHO-GMP guidelines
ensuing that every Alembic product meets the most stringent quality standards.
No wonder, then, Alembic can be found improving the quality of life in over 75
countries around the world.
Alembic is spreading its wings now to regulatory markets both in respect of API
and Formulation .
Commitment to Life
They are committed
to make the world a better place to live in and they strive to achieve this
goal through there educational, environmental and personal healthcare programs.
- Environment
They consider the protection of the environment as there direct
responsibility and all there processes and technologies incorporate this feature.
A clean and a green environment is an absolute necessity and they ensure this
by using state-of-the-art Effluent Treatment Plant for all the waste generated.
There sprawling green campus houses a large percentage of there employees. They
actively support and fund various environmental organizations in their crusade
to make this place a better world to live in.
- Healthcare
They have promoted the Bhailal Amin Trust that manages one of the most
successful hospitals in the state of
- Education
Education is the cradle of a successful developing nation and they are
committed to it by managing an educational trust.
Milestone
Alembic has been building high standards in the Indian pharmaceutical industry for almost a hundred years. Please travel with us through the years...
- DMFs total filed to 32 . ANDAs total filed 19 and get approval for 4.
- Acquisition of Dabur Non On-Cology 24 Brands.
- Entered into licensing agreement for its Novel Drug Delivery Platform for Keppra® XR (Levetiracetam Extended Release Tablets) with UCB
- Acquisition of Non-Oncology Business of M/s Dabur Pharma Ltd
- Acquisition of API Plant at Tal; Karakhadi, Dist Vadodara
- Launched ZERO Brand
- Commissioning of Baddi Plant.
- Launched BioArc Research Solution
- Taken over the Bulk Drugs Unit of Darshak Limited.
- Started
manufacturing facility at Village Bhimpore,
- Launched Generic Division.
- Inaugurated Cephalosporin – C manufacturing facility by Mr. Suresh Prabhu – Honourable Union Minister of Chemicals and Fertilizers, GoI.
- Achieved ISO 14001 Certificate.
- Achieved ISO 9002 Certificate for its manufacturing facilities.
- Launched Clarithro – A brand of Clarithromycin.
- Launched Azithral Liquid
- Launched Roxid Liquid.
- Received Award for ‘Excellence in Environment Preservation and Pollution Control’ by FGI.
- Received Award for ‘Excellence in Environment Preservation and Pollution Control’ by FGI.
- Launched Azithral – A brand of Azithromycin.
- Received Second Chemexcil Award.
- Large Scale production of 6-APA (6 - Amino Penicillanic Acid) using immobilized enzyme.
- Launched Roxid – A brand of Roxithromycin.
- Received First Chemexcil Award.
- Started
manufacturing Ampicillin,
- R and D was approved by DSIR, GoI.
- Started Manufacturing Kanamycin by fermentation.
- Launched Althrocin – A brand of Erythromycin.
- A major break through as the Company started manufacturing Erythromycin.
- Received Dr. P.C. Ray Award for Quality.
- Started Manufacturing Streptomycin.
- Bulk Manufacturing of Vitamins B12 by fermentation.
- Inaugurated Penicillin plant by Late Mr. Lal Bahadur Shastri.
- Started R and D Activity.
- Started manufacturing Cough Syrup, Vitamins, tonics and Sulphur Drugs.
- Started manufacturing Chemicals and Vegetable Ghee
- Established
a Sales Office in
- Branch
Office in
- Company celebrated Silver Jubilee.
- French Distillery Plant worth Rs. 0.100 Million along with machinery for Pharmaceutical purposes was installed in Vadodara.
- A
Joint Stock Company with a limited liability registered first in
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30.09.2010
(Rs.
In Millions)
|
Particulars |
Standalone |
|
|
|
Quarter Ended on 30.09.2010 (Three Months) |
Quarter Ended on 30.09.2010 (Six Months) |
|
|
|
|
|
1 (a) Net Sales / Income from Operations |
|
|
|
Domestic |
2615.200 |
4436.600 |
|
Exports |
950.400 |
1749.300 |
|
Total |
3565.600 |
6185.900 |
|
Less : Excise Duty |
27.700 |
64.900 |
|
Net Sales / Income from Operations |
3537.900 |
6121.000 |
|
(b) Other Operating Income |
7.800 |
15.300 |
|
Total Income |
3545.700 |
6136.300 |
|
2 Expenditure |
|
|
|
(a) Decrease/(increase) in stock in trade and work in progress |
(160.200) |
(219.700) |
|
(b) Consumption of Raw Materials
and Packing Materials |
1363.200 |
2436.000 |
|
(c) Purchase of traded goods |
419.300 |
693.500 |
|
(d) Employees' Cost |
460.700 |
811.000 |
|
(e) Research and Development Expense |
121.200 |
229.200 |
|
(f) Excise Duty |
68.200 |
72.100 |
|
(g) Other Expenditure |
826.200 |
1426.800 |
|
Total |
3108.600 |
5448.900 |
|
3 Profit from Operations before Other Income, Interest, Depreciation 2503 1828 9494 and Exceptional Items |
437.100 |
687.400 |
|
4 Other Income |
8.000 |
14.100 |
|
5 Profit/(Loss) before Interest, Depreciation, and
Exceptional Items |
445.100 |
701.500 |
|
6 Depreciation |
115.500 |
225.800 |
|
7 Interest (Net) |
66.400 |
110.500 |
|
8 Profit/(Loss) after Interest but before and
Exceptional Items |
263.200 |
365.200 |
|
9 Profit / (Loss) before Exceptional Items |
263.200 |
365.200 |
|
10 Exceptional Items |
-- |
-- |
|
11 Net Profit / (Loss) from Ordinary Activities before Tax |
263.200 |
365.200 |
|
12 Tax Expense |
|
|
|
Less : Provision for Wealth Tax |
0.700 |
0.700 |
|
Less : Provision for Current Tax |
49.300 |
68.200 |
|
Less/(Add) : Provision for Deferred Tax Liability/(Assets) |
(0.600) |
0.900 |
|
Add : Provision of Income Tax of earlier years written back (Net) |
0.000 |
(0.100) |
|
13 Net Profit / (Loss) from Ordinary Activities after Tax |
213.800 |
295.500 |
|
14 Paid up Equity Share Capital ( Face value of share Rs 2/- ) |
267.000 |
267.000 |
|
15 Reserves excluding Revaluation Reserve |
-- |
-- |
|
16 Debenture Redemption Reserve |
-- |
-- |
|
17 Earnings Per Share (EPS) |
|
|
|
Basic and Diluted EPS (Not Annualised) |
1.60 |
2.21 |
|
18 Debt Equity Ratio |
-- |
0.76 |
|
19 Debt Service Coverage Ratio |
-- |
2.17 |
|
20 Interest Service Coverage Ratio |
-- |
7.97 |
|
21 Public Shareholding |
|
|
|
- Number of Shares |
48763089 |
48763089 |
|
- Percentage of Shareholding |
36.52 |
36.52 |
|
22 Promoters and Promoter Group Shareholding |
|
|
|
a) Pledged / Encumbered |
-- |
-- |
|
Number of Shares |
-- |
-- |
|
Percentage of Shares (as a % of the total shareholding of promoter and
promoter group) |
-- |
-- |
|
Percentage of Shares (as a % of the total share capital of the
Company) |
|
|
|
(b) Non - Encumbered |
|
|
|
Number of Shares |
84752825 |
84752825 |
|
Percentage of Shares (as a % of the total shareholding of promoter and
promoter group) |
100.00 |
100.00 |
|
Percentage of Shares (as a % of the total share capital of the
Company) |
63.48 |
63.48 |
PRESS
RELEASE
ALEMBIC LIMITED
Consolidated
Results for quarter ended 30.06.2010
Revenues at Rs
2830.000 Millions
PBT at Rs 135.100 Millions against Rs. 122.600 Millions in PY
Editors Synopsis
• Net sales at Rs 2830.000 Millions
• Export regulatory formulation sales up by 44% to Rs. 269.700 Millions
vis-ŕ-vis Rs. 187.300 Millions
• Domestic formulations sales up 5% for the quarter ended June 30 2010
and sales at Rs. 1450.000 Millions against Rs. 1370.000 Millions in
corresponding period previous year
• Profit before tax at Rs. 135.100 Millions in Q1FY11 vis-ŕ-vis profit
of Rs. 122.600 Millions for Q1FY10
• Three ANDA filed in Q1FY11. Total filings at 31 ANDA’s.
Vadodara, 30.06.2010
Alembic Limited reported sales for the quarter ended June 30 2010 at Rs
2830.000 Millions (down by 3%) compared to Rs 2920.000 Millions in corresponding
quarter previous year, while net profit for the quarter ended 30.06.2010 is Rs.
114.800 Millions against Rs 122.500 Millions posted in corresponding quarter
last fiscal.
International
Business
International generics sales to the regulated markets grew by 44% to Rs.
269.700 Millions from Rs. 187.300 Millions over corresponding quarter last year
Export API recorded sales of Rs. 649.600 Millions against Rs. 1040.700
Millions. De-growth is on account lower order from an important customer.
Filings with USFDA till date total 31 ANDA’s and 39 DMF’s.
Domestic API increased 76% to Rs. 371.700 Millions against Rs. 210.800
Millions.
Domestic
Formulation Business
Domestic formulations posted sales of Rs. 1450.000 Millions against Rs.
1370.000 Milions registering 5% growth over the corresponding quarter of the
previous year.
Some of the speciality segments which the company entered recently is
showing good progress.
(ORG IMS - MAT
Growth %)
|
Segment |
Alembic |
Industry |
|
Gastro |
26 |
20 |
|
Cardio |
37 |
21 |
|
Diabeto |
52 |
31 |
|
Ortho |
21 |
19 |
Alembic has five brands in the list of top 300 brands of the industry
i.e. ‘Azithral’ , ‘Roxid’, ‘Althrocin’, ‘Zeet’ and ‘Wikoryl’.
Summary of total revenue
(consolidated) for the quarter is as under:
(Rs.
In Millions)
|
Particulars |
Q1 FY11 |
Q1 FY10 |
% Change |
|
Formulation |
|
|
|
|
Domestic |
1449.600 |
1374.400 |
5% |
|
Exports |
66.100 |
92.500 |
29% (-) |
|
Regulatory |
269.700 |
187.300 |
44% |
|
API |
|
|
|
|
Domestic |
371.700 |
210.800 |
76% |
|
Exports |
248.300 |
133.100 |
87% |
|
Regulatory |
401.300 |
907.600 |
56% (-) |
|
Export Incentives |
21.200 |
19.200 |
10% |
|
Total |
2827.900 |
2924.900 |
3% (-) |
The Profit
break-up for the quarter is as under:
(Rs.in
Millions)
|
|
Consolidated |
||
|
Particulars |
Q1 FY11 |
Q1 FY10 |
% Change |
|
Operating Income |
283.400 |
305.100 |
7% (-) |
|
Profit Before Tax |
135.100 |
122.600 |
10% |
|
Net Profit Tax |
114.800 |
122.500 |
6% (-) |
About Alembic
Limited
Established in 1907, Alembic Limited is a leading pharmaceutical company
in
Alembic’s manufacturing facilities are located in Vadodara and Baddi in
Himachal Pradesh. The plant at Vadodara has the largest fermentation capacity
in
Vadodara, 29th June
2010
Alembic Board Approves Demerger of Pharma Business
Alembic Limited, the pharma major, at its Board Meeting held today,
announced the re-organisation containing demerger of its core pharmaceutical
business in to a 100% subsidiary company called Alembic Pharma Limited and
reorganization of its Vadodara Undertaking. This Restructure is subject to
approval from shareholders, Stock Exchanges, other authorities and the
Honorable High Court of Gujarat.
In the scheme of arrangement approved by the Alembic Board, the Company
proposes to demerge its Domestic Formulation, International Generic and API
Business to its subsidiary company, Alembic Pharma Limited.
Alembic Limited will retain its Vadodara manufacturing facility, which
has fermentation facilities manufacturing Penicillin G and
Erythromycin Thiocyanate and other products along with the Power
infrastructure and the land assets at Vadodara.
Under the demerger scheme, the Shareholders of Alembic Limited will be
issued 1 (one) equity share having face value of Rs. 2/- each in the Resulting
Company i.e. Alembic Pharma Limited (APL) for every 1 equity share having face
value of Rs. 2/- each held by them in the Company. This will be in addition to
the equity shares already held by the shareholders in Alembic Limited. Post
demerger, Equity Share Capital of Alembic Pharma Limited will be Rs. 377.000
Millions of which Alembic Limited will hold 29.18% and the balance will be held
by shareholders of Alembic Limited.
After the demerger becomes effective, Alembic Limited will continue to
be listed and application will be made to BSE and NSE to list Alembic Pharma
Limited
The demerger will allow the two companies to focus on their respective
core businesses. Alembic Pharma Limited will become a pure pharma player with
focus on Domestic Formulation Business and International Business largely
driven by the Regulated Markets and Research
and Development activities.
Alembic Limited will continue to operate Vadodara Undertaking (including
power generating and other utilities) whose products are largely commoditized
and face competition from Chinese companies. In future, Alembic Limited will
also endeavour to develop its real estate into commercial and residential
properties subject to necessary approvals.
This re-organisation exercise will help unlock shareholders value and
also help insulate core Pharma operations from severe volatility and
uncertainty of Pen G business of Vadodara manufacturing facility.
About Alembic Limited
Established in 1907, Alembic Limited engaged in pharmaceutical business.
The company is vertically integrated with the ability to develop,
manufacture and market pharmaceutical products, pharmaceutical substances and
Intermediates. Alembic is the market leader in Macrolides segment of
anti-infective drugs in
Alembic’s manufacturing facilities are located in
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.45.21 |
|
|
1 |
Rs.72.55 |
|
Euro |
1 |
Rs.62.43 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
64 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.