MIRA
INFORM REPORT
|
Report Date : |
30.03.2011 |
IDENTIFICATION DETAILS
|
Name : |
NRB BEARING LIMITED |
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Registered
Office : |
Dhannur, 15, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
30.06.1965 |
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Com. Reg. No.: |
11-13251 |
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CIN No.: [Company Identification
No.] |
L29130MH1965PLC013251 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
PNEN04047B |
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PAN No.: [Permanent Account No.] |
AAACN3479P |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufacturer of Bearings. |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (72) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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Maximum Credit Limit : |
USD 7500000 |
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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 a well established and reputed company having fine track.
Available information indicates high financial responsibility of the company
and its management. Trade relations are reported as fair. Business is active.
Payments are reported as usually correct and as per commitments. The company can be considered good for any normal business dealings. It can be considered regarded as a promising business partners in a
medium to long-run. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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|
A1 |
A1 |
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Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
Dhannur, 15, |
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Tel. No.: |
91-22-22664160/ 22664998 |
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Fax No.: |
91-22-22660412/ 22679850 |
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E-Mail : |
marketing@nrbbearings.co.in k.mohan@nrbbearings.co.in |
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Website : |
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Corporate Office/ Factory 1 : |
2nd |
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Tel. No.: |
91-22-22664160/ 22664998 |
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Fax No.: |
91-22-22660412/ 22679850 |
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Factory 2: |
E-40, MIDC, Industrial Area, Chikalthana, |
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Factory 3: |
C-6, Additional MIDC Industrial Area, Jalna – 431203, |
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Factory 4: |
E-72 MIDC, Waluj, |
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Factory 5: |
A-5, Uppal Industrial Estate, |
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Factory 6: |
Plot No.33, Sector – II, SIDCUL IIE, Pantnagar, Udhamsingh Nagar,
Uttarakhand – 263153, |
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Branches : |
Located at: ·
Kolkata ·
·
·
Chennai ·
·
Gurgaon ·
·
·
Noida ·
Pune ·
·
·
Thane ·
Pantnagar ·
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DIRECTORS
|
Name : |
Mr. Trilochan Singh Sahney |
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Designation : |
Chairman and Managing Director |
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Qualification : |
MA |
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Name : |
Dr. P D Ojha |
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Designation : |
Director |
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Name : |
Dr. (Ms.) Kala S Pant |
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Designation : |
Director |
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Name : |
Mrs. Harshbeena S. Zaveri |
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Designation : |
Director |
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Qualification : |
AB, |
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Name : |
Mr. Keki M Elavia |
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Designation : |
Director |
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Name : |
Mr. Devesh S Sahney |
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Designation : |
Director |
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Name : |
Mr. Anand N Desai |
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Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Satish C Rangani |
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Designation : |
Senior Vice President and Company Secretary |
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MANAGEMENT TEAM |
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Name : |
Mr. Asimendra Chaudhary |
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Designation : |
Senior Vice President – Manufacturing Operations |
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Name : |
Mr. Heinz H Kamping |
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Designation : |
Vice President – Internatinal Business Development |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2010
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A)
Shareholding of Promoter and Promoter Group |
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33,586,607 |
34.65 |
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37,755,640 |
38.95 |
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71,342,247 |
73.61 |
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Total
shareholding of Promoter and Promoter Group (A) |
71,342,247 |
73.61 |
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(B)
Public Shareholding |
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4,477,000 |
4.62 |
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11,720 |
0.01 |
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7,640,200 |
7.88 |
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12,128,920 |
12.51 |
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6,574,843 |
6.78 |
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6,133,884 |
6.33 |
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396,382 |
0.41 |
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346,324 |
0.36 |
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162,002 |
0.17 |
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10,000 |
0.01 |
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173,922 |
0.18 |
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400 |
- |
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13,451,433 |
13.88 |
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Total
Public shareholding (B) |
25,580,353 |
26.39 |
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Total
(A)+(B) |
96,922,600 |
100.00 |
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(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) |
96,922,600 |
- |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs. 0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturer of Bearings. |
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Products : |
·
Needle Cages And
Roller Cages ·
Needle Bushes ( Drawn
Cup Roller Bearings ) ·
Bearing Wth
Cage-Guided Needles ·
Full Complement Needle Bearings |
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Exports : |
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Countries : |
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Imports : |
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Countries : |
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Terms : |
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Selling : |
Credit (30-45 days) |
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Purchasing : |
Credit (60-90 days) |
PRODUCTION STATUS
As on 31.03.2010
|
Particulars |
Unit |
|
Installed
Capacity |
Actual
Production |
|
Loose Needle Rollers |
No. in 000’s |
|
3429120 |
2251647 |
|
Needle Roller Bushes and cages |
No. in 000’s |
|
67294 |
50903 |
|
Ball and Roller Bearings |
No. in 000’s |
|
31930 |
24301 |
|
Automobile Components |
No. in 000’s |
|
5000 |
3638 |
Notes:
i)
Licenced capacity has not
been shown as the industry has been delicensed.
ii)
Installed capacity is as certified
by the Chairman and Managing Director and has been accepted by the auditors
without verification, this being a technical matter.
iii)
Production includes
following quantities produced for captive consumption:
a)
Loose Needle Rollers-
1511433 Nos. in thousands (for the year ended 31.03.2009: 1219625 Nos. in
thousands)
b)
Needle Roller Bushes and
cages – 1794 Nos. in thousands (for the year ended 31.03.2009: 487 Nos. in
thousands)
GENERAL INFORMATION
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Customers : |
OEM’s |
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No. of Employees : |
1456 (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 : |
Deloitte Haskins and Sells Chartered Accountant |
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Name : |
A Ferguson and Company Chartered Accountant |
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Address : |
12, |
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Tel. No.: |
91-22-66679000 |
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Fax No.: |
91-22-66679025 |
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Subsidiaries : |
SNL Bearing Limited NRB Bearings ( |
CAPITAL STRUCTURE
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
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|
50000000 |
Equity Shares |
Rs. 2/- each |
Rs. 100.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
48461300 |
Equity Shares |
Rs. 2/- each |
Rs. 96.923
Millions |
Note:
1)
45500 Equity shares of
Rs. 2 each have been allotted as fully paid-up pursuant to contracts without
payments having been received in cash.
2)
41563300 Equity shares of
Rs. 2 each have been allotted as fully paid-up by way of bonus shares by capitalization
of general reserve and capital reserve.
3)
38000 Equity Shares of
Rs. 2 each are allotted to the members of erstwhile Sahney Steel and Press
Works Limited on its amalgamation with the company on April 01, 1991
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 |
|
|
|
|
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1] Share Capital |
96.923 |
96.923 |
96.923 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
1779.179 |
1648.110 |
1709.260 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
1876.102 |
1745.033 |
1806.183 |
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LOAN FUNDS |
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1] Secured Loans |
346.206 |
736.876 |
437.162 |
|
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2] Unsecured Loans |
463.310 |
561.383 |
642.053 |
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TOTAL BORROWING |
809.516 |
1298.259 |
1079.215 |
|
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DEFERRED TAX LIABILITIES |
127.990 |
125.583 |
119.337 |
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TOTAL |
2813.608 |
3168.875 |
3004.735 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1524.529 |
1599.353 |
1560.789 |
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Capital work-in-progress |
13.403 |
15.802 |
46.456 |
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INVESTMENT |
179.270 |
179.270 |
178.145 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
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Inventories |
805.561
|
894.685 |
828.579 |
|
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Sundry Debtors |
745.651
|
721.628 |
844.508 |
|
|
Cash & Bank Balances |
46.867
|
41.806 |
59.631 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
225.673
|
180.959 |
231.175 |
|
Total
Current Assets |
1823.752
|
1839.078 |
1963.893 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
537.230
|
|
578.385 |
|
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Other Current Liabilities |
25.035
|
13.519 |
|
|
|
Provisions |
165.081
|
122.065 |
166.163 |
|
Total
Current Liabilities |
727.346
|
464.628 |
744.548 |
|
|
Net Current Assets |
1096.406
|
1374.450 |
1219.345 |
|
|
|
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|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2813.608 |
3168.875 |
3004.735 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
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SALES |
|
|
|
|
|
|
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Income |
3466.052 |
2884.226 |
3214.237 |
|
|
|
Other Income |
87.166 |
53.457 |
70.532 |
|
|
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TOTAL (A) |
3553.218 |
2937.683 |
3284.769 |
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Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material, Components and packaging material consumed |
1185.766 |
1085.821 |
1059.380 |
|
|
|
Stores and Spares consumed |
357.276 |
333.192 |
319.012 |
|
|
|
Processing charges |
170.652 |
166.245 |
107.570 |
|
|
|
Power and Fuel |
150.279 |
138.731 |
131.671 |
|
|
|
Employee costs |
620.616 |
549.518 |
537.301 |
|
|
|
Repairs |
28.654 |
48.183 |
57.052 |
|
|
|
Other Expenses |
287.104 |
353.575 |
320.402 |
|
|
|
Increase/ Decrease in stock |
109.238 |
[110.871] |
0.000 |
|
|
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TOTAL (B) |
2909.585 |
2564.394 |
2532.388 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
643.633 |
373.289 |
752.381 |
|
|
|
|
|
|
|
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|
Less |
FINANCIAL
EXPENSES (D) |
76.687 |
87.736 |
179.684 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
566.946 |
285.553 |
572.697 |
|
|
|
|
|
|
|
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|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
195.450 |
193.947 |
54.335 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
371.496 |
91.606 |
518.362 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
127.407 |
48.974 |
183.237 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
244.089 |
42.632 |
335.125 |
|
|
|
|
|
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
204.047 |
257.131 |
NA |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed final dividend |
96.923 |
77.538 |
NA |
|
|
|
Additional income-tax on distributed
profits |
16.097 |
13.178 |
NA |
|
|
|
Transfer to general reserve |
24.409 |
5.000 |
NA |
|
|
|
Transfer to debenture redemption reserve |
33.333 |
0.000 |
NA |
|
|
BALANCE CARRIED
TO THE B/S |
277.374 |
204.047 |
NA |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
264.503 |
441.852 |
NA |
|
|
|
Commission Earnings |
4.922 |
4.368 |
NA |
|
|
|
Reimbursement of insurance and freight on exports |
6.187 |
7.769 |
NA |
|
|
TOTAL EARNINGS |
275.612 |
453.989 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
309.785 |
340.255 |
238.393 |
|
|
|
Stores & Spares |
61.838 |
44.114 |
40.174 |
|
|
|
Capital Goods |
71.193 |
18.983 |
188.222 |
|
|
TOTAL IMPORTS |
442.816 |
403.352 |
466.789 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
5.04 |
0.88 |
-- |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 1st
Quarter |
30.09.2010 2nd
Quarter |
31.12.2010 3rd
Quarter |
|
Net Sales |
1004.900 |
1169.500 |
1205.000 |
|
Total Expenditure |
785.700 |
898.400 |
929.000 |
|
PBIDT (Excl OI) |
219.200 |
271.100 |
276.000 |
|
Other Income |
26.700 |
3.700 |
4.000 |
|
Operating Profit |
245.900 |
274.800 |
280.000 |
|
Interest |
12.100 |
11.800 |
12.300 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
233.800 |
263.000 |
267.700 |
|
Depreciation |
54.500 |
56.900 |
57.700 |
|
Profit Before Tax |
179.300 |
206.100 |
210.000 |
|
Tax |
58.000 |
66.300 |
67.100 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
121.300 |
139.800 |
142.900 |
|
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 |
121.300 |
139.800 |
142.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
6.87
|
1.45 |
10.20 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.72
|
3.18 |
16.13 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
11.10
|
2.92 |
14.71 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.20
|
0.05 |
0.29 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.82
|
1.01 |
1.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.51
|
3.96 |
2.64 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
NRB Bearings, an Indo-French JV venture between
OPERATIONS / OUTLOOK:
Sales (net of excise duty) for the year ended 31st
March, 2010 were Rs. 3466.000 Millions as against Rs.2884.200
Millions in the previous year, an
increase of 20.2%. Profit before tax (PBT) was at Rs.371.400
Millions as compared to Rs.91.600 Millions
in 2008-09, up by 305.46%. After providing for current and
deferred taxes, the Profit after
tax (PAT) was Rs.244.089 Millions (Rs.42.632 Millions in 2008-09), up by
472.55%.
2009-10 began with uncertainty
created by the worldwide financial crisis.
The Indian economy, though a domestic driven economy,
echoed the global shock, resulting in an overall
slowdown in business volumes in the
initial quarters. Timely and
exigent steps taken by governments across the
world, and successive stimufus packages from the Indian government,
helped restore growth and rebuild investor confidence, by creating an
atmosphere conducive to investment and growth.
The company has managed a satisfactory performance in a fairly challenging environment and returned to the level of profitability as
achieved in the recent past.
At present, in the midst of a new business year, the
market outlook for
The demand scenario looks upbeat and will provide
them an
opportunity to further exploit
the potential to reap good returns. There are some caveats
- input prices are increasing
leading to inflationary pressures and
input
demand-supply mismatch caused by the unexpected surge in user
requirements, are causes for
concern. The management is taking cognizance
of these challenges and is geared
to face them.
As required under the new Accounting Standards, related party
transactions, calculations of earnings per share, provision of deferred tax
liability and consolidated accounts of
the company and its subsidiaries are made a
part of the Annual Report.
SUBSIDIARIES AND
JOINT VENTURE COMPANY:
As of 31st March, 2010 the
company has two subsidiaries viz. SNL
Bearings Limited (SNL) and NRB Bearings (
SNL Bearings, in which the company holds 68.78% equity,
has reported a lower PAT of Rs.0.500 Million (previous
year Rs.10.000 Million). These results are after accounting the
payment of Rs 19.500 Millions
towards VRS implemented
by the company during the year. The
company management has been able to
stabilize its production volumes at higher levels during the last two
quarters of the last fiscal and look
forward with cautious optimism to improved
financial results during the current year.
NRB Bearings (
Schneeberger (
MANAGEMENT DISCUSSION
AND ANALYSIS
BUSINESS REVIEW:
The company is in the ball and roller bearing business
and is
the only manufacturer in
Fiscal 2009-10 began with
Despite the recent
slowdown in economic growth the
Indian economy has rebounded within a short period. With the
economy on a high growth path and with
a young population with
increasing disposable incomes, the
Indian automotive industry is
expected to provide
significant growth
opportunities.
The company is investing
significant resources towards expansion
of its technological and product
development capabilities to actively
participate in such growth. The company is also actively scouting
overseas markets to supplement and
strengthen its domestic market.
The WTO and
the FTA negotiations with
ASEAN, SAARC and
the Mercosur countries are
likely to lead to lower tariffs in many
of the companies target export markets. This could provide a
significant opportunities to generate
larger volumes from export sales and build
on the company's strategic emphasis for development
of exports.
The impact of the recessionary pressures has been
minimal on the
rural economy. Agriculture will
continue to be the priority area for
government as
FINANCIALS:
In 2009-10, turnover, net of
excise duty, increased by 20.2% to Rs.3466.000 Millions from Rs.2884.200
Millions. Domestic sales increased by 31.1%
from Rs.2442.400 Millions to
Rs.3201.600 Millions while exports declined by 40% to Rs.264.500 Millions from
Rs. 441.800 Millions.
The table below sets forth the key expense items as a
percentage of net revenues
for 2008-09 and 2009-10. The relentless increase in global steel prices sharply increased costs of
materials consumed and partially negated
the operational efficiencies and cost
cutting initiatives. The growth in volumes
and productivity improvements
led to Employee
costs moving downwards.
SEGMENT WISE
PERFORMANCE:
The company has only one significant reportable segment of ball and roller
bearings as the primary business segment. The assets and liabilities of the
company are all expended towards this business segment.
OPPORTUNITIES AND
THREATS:
OPPORTUNITIES:
- Road infrastructure development has been lagging
in the Eleventh Five Year Plan with the achievement being
only 2.5 km of new road every day. The Government has recently reaffirmed its
commitment to enhance this to 20 km and
with the Union Minister aggressively pushing this agenda it is expected to give
impetus to people movement and to movement of goods by reducing per
tonne-km transportation costs.
With the consequential linkage
to the industry, it should be a
big demand booster,
- As part of its fiscal stimulus
package the Government has already made clear its continuing focus on
infrastructure - from power and oil and gas
to roads,ports and airports.
As per planning
commission estimates, the Government has planned investments of USD 33 billion for
the oil and gas sector,
USD 40 billion for improving road and railway infrastructure, USD 18
billion for ports and USD 10 billion for airports, aggregating USD 100 billion.
This infrastructure spending
will lead to
growth in the manufacturing sector.
- As per the study of the
Engineering Export Promotion Council and E
and Y ,
- Over the past few years the company has focused on implementing
best-in-class production systems,
technology development, slashing cost
while upgrading quality and scaling up of its manufacturing facilities.
The company has already
established its credentials as a
cost-effective, reliable
supplier to marquee global OEMs
in
A vibrant domestic auto industry is vital for the
growth of the
Indian economy and the Government has already initiated various
support measures. There is renewed
confidence about a revival of demand. With a wide product
range and enhanced manufacturing
capacities already in place, the company
is in a position to take advantage of this revival.
THREATS:
- Spurious / counterfeit product supplies of inferior quality and which
are unsafe and unreliable in use, continue to attract the
price- conscious replacement market which accounts for 25- 30% of the
total demand for the industry, in
spite of industry-wide efforts to
thwart the unscrupulous suppliers. In cooperation with
competent agencies and BRBMA, the company is working actively to book the
culprits.
- Loss of import tariff
protection, as the government seems ready
to cut duties from
the prevailing rates
of 60% on CKD units
and 106% for completely built units. With lower
tariffs in
- In tandem with the growth witnessed by the auto
sector in
- Given the increased relative
attractiveness of emerging markets such
as
- Availability of
finance is one
of the most
significant factors
influencing demand for vehicles and tractors. Around 95%
of commercial vehicles and
tractors, 65%-75% of 2 wheelers
and passenger cars
are financed through loans.
Bankers have to overcome their
risk-aversion for the auto sector
in terms of both cost of financing and availability.
To weather the tough times, coupled with a strategic operational focus,
the company shall tap all emerging
opportunities, leverage its wide range of products
and its Engineering capabilities and prime
its sourcing and
purchasing capabilities. The
company remains committed towards
continuous process improvements
through implementing TPM and other latest
techniques in production, quality and process management.
HUMAN RESOURCE AND INDUSTRIAL
RELATIONS:
During the year, the company has
entered into three year prospective wage
settlements with its
workmen at the Hyderabad,
Thane and Waluj
(Bush assembly) plants -wage
rise and incentive payment
has been linked
to overall production volume
increase + per man output
in a shift.
At Chikalthane, the union had challenged management action and had approached the
At Waluj and Jalna plants the current settlements
have expired. The IR
teams have been discussing with the unions and impressing on them the need for
their co- operation in improving
productivity levels at all plants, without which the company would be
unable to retain its competitive edge as a
global supplier. The company expects to finalise production linked wage settlements shortly.
The primary focus of IR during the current year will continue to be
on the engaging, motivating
and improving the
productivity of blue
collar employees.
Integrated HR systems,
from fresh talent
acquisition to performance orientation and individual development, are being
initiated to create and build a quality
talent pipeline.
Performance orientation
- being introduced
through the Performance Evaluation. This will facilitate
organization structure clarification,
and establishment of a framework
for individual development, career pathing, succession planning and reward
management.
Individual development - special in-house customized leadership
development programmes, targeted at mid management levels have been conducted
with this objective, the focus areas
being learning the inter-disciplinary
approach to organizational issues and learning to manage people
One of the core strengths of the
company is the strong bonding employees have always
had with the company. Changes
both within and outside
the company bring to the fore the changing aspirations of
the employees. To preserve this core strength, employee
engagement levels are being monitored and
where necessary actions taken to
reinforce people bonding with
the company.
Permanent employees directly
employed by the company currently total
1550 nos.
Contingent
Liabilities not provided for:
|
Particulars |
31.03.2010 Rs.
In Millions |
|
a) Income tax |
37.892 |
|
b) Sales Tax |
11.808 |
|
c) Customs Duty |
15.887 |
|
d) Bank Guarantee |
1.315 |
|
e) Corporate guarantees issued on behalf of subsidiary companies |
177.028 |
UNAUDIATED
FINANCIAL RESULTS FOR THE QUARTER ENDED 31ST DECEMBER, 2010
(Rs. In Millions)
|
Particulars |
Quarter Ended |
Year to Date |
|
|
Current period 31.12.2010 |
Current period 31.12.2010 |
|
Unaudiated |
Unaudited |
|
|
1. Income |
|
|
|
a) Net Sales/ Income form operations |
1189.000 |
3338.700 |
|
b) Other operating income |
16.000 |
43.000 |
|
Total Income (1a to 1b) |
1205.000 |
3381.700 |
|
2. Expenditure |
|
|
|
a) Increase/ decrease in stock-in-trade and
work-in-progress |
(76.700) |
(94.200) |
|
b) Consumption of raw materials, components,
packing materials and processing charges |
520.800 |
1374.900 |
|
c) Purchase of traded goods |
7.200 |
9.600 |
|
d) Consumption of stores and spares |
123.500 |
326.700 |
|
e) Employee Cost |
190.000 |
552.600 |
|
f) Foreign exchange gain/ Loss |
2.300 |
3.000 |
|
g) Depreciation |
57.700 |
169.100 |
|
h) Other Expenditure |
161.900 |
438.800 |
|
Total Expenditure ( 2a to 2h) |
986.700 |
2780.500 |
|
3. Profit form operations before other
Income, Interest and exceptional items ( 1-2) |
218.300 |
601.200 |
|
4. Other Income |
4.000 |
9.600 |
|
5. Profit before Interest and Exceptional
item (3+4) |
222.300 |
610.800 |
|
6. Interest |
12.300 |
36.200 |
|
7. Profit after Interest but before
exceptional items ( 5-6) |
210.000 |
574.600 |
|
8. Exceptional Item |
-- |
(20.800) |
|
9. Profit from ordinary activities before
tax (7-8) |
210.000 |
595.400 |
|
10. Tax Expenses |
67.100 |
191.400 |
|
11. Net Profit form ordinary activities
after tax (9-10) |
142.900 |
404.000 |
|
12. Extraordinary items (Net of tax
expenses) |
-- |
-- |
|
13. Net Profit for the period (11-12) |
142.900 |
404.000 |
|
14. Paid-up equity share capital (Face value of the share Rs. 2/-) |
193.800 |
193.800 |
|
15. Reserves excluding revaluation reserves
as per balance sheet of previous year |
-- |
-- |
|
16. Earning per share (EPS) |
|
|
|
a) Basic and diluted EPS before extraordinary
items for the period and for the previous year (not anuallised) |
1.47 |
4.17 |
|
b) Basic and Diluted EPs after extraordinary
items for the period and for the previous (not annuallised) (Rs.) |
1.47 |
4.17 |
|
17. Public Shareholding |
|
|
|
- Number of Shares |
25580353 |
25580353 |
|
- Percentage of Shareholding |
26.39 |
26.39 |
|
18. Promoters and promoter group
shareholding |
|
|
|
a) Pledged encumbered |
|
|
|
- Number of Shares |
0.000 |
0.000 |
|
- Percentage of share (as a % of total
shareholding of promoter and promoter group) |
- |
- |
|
- Percentage of Share (as a % total share
capital of the company) |
- |
- |
|
b) Non-encumbered |
|
|
|
- Number of Shares |
71342247 |
71342247 |
|
- Percentage of share (as a % of total shareholding
of promoter and promoter group) |
100.00 |
100.00 |
|
- Percentage of Share (as a % total share
capital of the company) |
73.61 |
73.61 |
Note:
- The above results
were reviewed by the Audit Committee at their meeting held on 28th
January, 2011 and were approved at the meeting of the Board of Directors
held on the same day. These results have been subjected to a Limited
Review by the statutory auditors of the company.
- The Company
has allotted bonus shares in the ratio of 1:1 based on the shareholdings
as per record date of 6th September, 2010 by capitalising the Share
Premium Account. This has resulted in increase in issued and paid up
equity share capital from Rs.96.900 millions to Rs.193.800 millions.
Accordingly, the Earnings Per Share for the quarter/year to date 31st
December, 2009 and year ended 31st March, 2010 have been reworked to give
the effect of bonus shares in accordance with Accounting Standard 20 (AS
20) - ‘Earnings per share’.
- Exceptional
items for the year to date 31st December, 2010 and for the year to date
31st December, 2009 mainly consists of profit on sale of a flat and profit
on sale of land respectively.
- As the
company’s activity falls within a single segment viz.bearings and the
safes substantially being in the domestic market the disclosure
requirements of Accounting Standard 17, “Segment Reporting is not
applicable.
- The Auditors Report
for the year ended 31st March, 2010 has been qualified regarding
managerial remuneration of Rs.4.426 millions paid during the year 2008-09,
in excess of specified limits, pending approval of the Central Government.
The said approval for waiver in respect of the Wholetime Director for
Rs.1.545 millions is pending and expected to be received.
- Figures for
the previous periods have been regrouped / restated where necessary.
- Number of
investor complaints - (a) pending at the beginning of the quarter-nil; (b)
received during the quarter - nil; (c) attended during the quarter - nil;
and (d) pending at the end of the quarter-nil.
Fixed Assets:
·
·
·
Building and Flats
·
Plant and Machinery
·
Furniture, Fixtures and
equipments
·
Electrical Installations
·
Vehicles
AS PER WEBSITE
History and
Milestones:
Incorporated at Mumbai in 1965 as
“Needle Roller Bearing Company Limited” an Indo-French Joint Venture with
“Nadella - France”, NRB became the first Company to manufacture Needle Roller
Bearings in
1966
– The first plant was setup at
Thane, in
1975
– A larger manufacturing plant
was set up at Thane.
1980
– A new plant was setup at
Agency Division was setup to offer a wide range of imported bearings and allied
products to NRB customers.
1982
– A General Bearing Plant was
set up at Jalna, in
1990
– Name of the company was
changed to “NRB Bearings Limited.”
1991
– To keep pace with the
expanding range and demand, a new plant was set up at Waluj in
1995
– NRB Bearings became a 'Public
Limited Company' and got listed at “Bombay Stock Exchange.”
2000
– Set up a state of art
“Engineering and Design Centre” at Thane Plant to move closer towards becoming
a "Total Bearing Solution Provider."
Acquired SNL Bearings (formerly known as Shriram Needle
Bearing Industries Limited).
NRB Bearings Limited was awarded the Corporate QS-9000 Certification by TUV
Management Services (GMBH).
2003
– Developed " Rocker-Arm
Bearings " and soon became the market leader in the category.
2007
– The “Engineering and
2008
– NRB established a 100 %
subsidiary - 'NRB Bearings Thailand Limited' at
Inaugurated its new plant at Pantnagar in Uttarakhand.
ASSOCIATED
COMPANIES:
SNL Bearings Limited
Shriram Needle Bearing Industries
Limited ( SNL), promoted by the leading
Indian business house, Shriram Group, was established in 1983 in
SNL Bearings Limited ( formerly Shriram Needle Bearing Industries Limited) was
acquired by NRB on 1st June, 2000. SNL has successfully developed and
introduced cage guided drawn cup needle bearings, connecting rod needle cages
for piston pin and crank pin along with other types and ranges of needle
bearings.
SNL enjoys a large market share of Original Equipment Manufacturers ( OEMs),
producing motorcycles, scooters, cars and trucks in India, and has made
successful in-roads into the motorcycles, chainsaws, handtools and other
industrial markets worldwide with established customers in USA, Italy, UK,
Portugal, France, Indonesia, Malaysia, Taiwan, Singapore, Thailand, Vietnam,
Phillipines, Kenya and U.A.E.
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.44.67 |
|
|
1 |
Rs.71.62 |
|
Euro |
1 |
Rs.63.09 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
|
72 |
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.