-141017%2003-May-2011_files/image002.jpg){kind=small}
1. Summary Information
|
|
|
Country |
|
|
Company Name |
GOKALDAS EXPORTS LIMITED |
Principal Name 1 |
Mr. Madanlal J
Hinduja |
|
Status |
Good |
Principal Name 2 |
Mr. Rajendra J
Hinduja |
|
|
|
Registration # |
08-33475 |
|
Street Address |
70, |
||
|
Established Date |
01.03.2004 |
SIC Code |
-- |
|
Telephone# |
91-80-41272200/ 22223600/
1/ 2/ 22237654/ 6984/ 51272215 |
Business Style 1 |
Manufacturer |
|
Fax # |
91-80-22274869/
22277497/ 41272200 |
Business Style 2 |
Exporter |
|
Homepage |
Product Name 1 |
Textile |
|
|
# of employees |
52000 |
Product Name 2 |
Readymade
Garments |
|
Paid up capital |
Rs.171,880,000
/- |
Product Name 3 |
Knit Wears |
|
Shareholders |
Promoters Holding (88.27%) Public Shareholding ( 11.73%) |
Banking |
Canara Bank |
|
Public Limited Corp. |
YES |
Business Period |
7 Years |
|
IPO |
YES |
International Ins. |
- |
|
Public |
YES |
Rating |
A (61) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Subsidiary
Company |
|
All Colour Garments Private Limited |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2010 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
2,291,862,000 |
Current Liabilities |
798,931,000 |
|
Inventories |
3,707,945,000 |
Long-term Liabilities |
3,448,991,000 |
|
Fixed Assets |
2,328,596,000 |
Other Liabilities |
67,634,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
4,315,556,000 |
|
Invest& other Assets |
588,337,000 |
Retained Earnings |
4,429,304,000 |
|
|
|
Net Worth |
4,601,184,000 |
|
Total Assets |
8,916,740,000 |
Total Liab. & Equity |
8,916,740,000 |
|
Total Assets (Previous Year) |
9,041,475,000 |
|
|
|
P/L Statement as of |
31.03.2010 |
(Unit: Indian Rs.) |
|
|
Sales |
10,687,426,000 |
Net Profit/ Loss |
[19,323,000] |
|
Sales(Previous yr) |
10,934,027,000 |
Net Profit(Prev.yr) |
33,647,000 |
MIRA
INFORM REPORT
|
Report Date : |
03.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
GOKALDAS EXPORTS LIMITED SRI |
|
|
|
|
Registered Office : |
70, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2010 |
|
|
|
|
Date of Incorporation : |
01.03.2004 |
|
|
|
|
Com. Reg. No.: |
08-33475 |
|
|
|
|
CIN No.: [Company
Identification No.] |
L18101KA2004PLC033475 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
BLRG03671D |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AACCG0890N |
|
|
|
|
Legal Form : |
A Public Limited Liability
Company. The Company’s Shares are Listed on the Stock Exchange. |
|
|
|
|
Line of Business : |
Manufacturers,
Importers and Exporters of Textiles, Readymade Garments, Knit Wears, etc. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (61) |
|
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 |
|
Maximum Credit Limit : |
USD 18000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established company having a fine track. Financial
positions of the company is good. Directors are reported as experienced and
respectable businessmen. Their trade relations are fair. Business is active.
Payments are regular as per commitments. The company can be considered good for normal 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 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered
Office : |
70, |
|
Tel. No.: |
91-80-41272200/ 22223600/
1/ 2/ 22237654/ 6984/ 51272215 |
|
Fax No.: |
91-80-22274869/
22277497/ 41272200 |
|
Email: |
|
|
Website : |
|
|
|
|
|
Factory : |
Located At:
|
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Madanlal J
Hinduja |
|
Designation : |
Chairman |
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Rajendra J
Hinduja |
|
Designation : |
Managing Director
|
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Dinesh J
Hinduja |
|
Designation : |
Whole Time
Director |
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Akhilesh Krishna Gupta |
|
Designation : |
Director |
|
Qualification : |
M. B. A. |
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Mathew Cyriac |
|
Designation : |
Director |
|
Qualification : |
M. B. A. |
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Prince Asirvatham |
|
Designation : |
Independent Director |
|
Qualification : |
Chartered Accountant |
|
Other
Directorship : |
Guardian Risk
Advisors Private Limited `` |
|
|
|
|
Name : |
Mr. J M Mehta |
|
Designation : |
Independent Director |
|
Other
Directorship : |
|
|
|
|
|
Name : |
Mr. Partha Sankar |
|
Designation : |
Independent Director |
|
Qualification : |
M. B. A. |
|
|
|
|
Name : |
Mr. N. Ranga Chary |
|
Designation : |
Independent Director |
|
Qualification : |
FCA, FICWA, FCS |
|
|
|
|
Name : |
Mr. Arun K.
Thaiagarajan |
|
Designation : |
Independent
Director |
|
Other
Directorship : |
|
KEY EXECUTIVES
|
Name : |
Mr. Bimlendu
Kumar |
|
Designation : |
Company Secretary
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(As on
31.03.2011)
|
Category
of Shareholders |
No of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
6,875,202 |
20.00 |
|
|
6,875,202 |
20.00 |
|
|
|
|
|
|
23,469,242 |
68.27 |
|
|
23,469,242 |
68.27 |
|
Total shareholding of Promoter and Promoter Group (A) |
30,344,444 |
88.27 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
299,484 |
0.87 |
|
|
299,484 |
0.87 |
|
|
|
|
|
|
2,583,227 |
7.51 |
|
|
|
|
|
|
1,031,665 |
3.00 |
|
|
92,000 |
0.27 |
|
|
25,180 |
0.07 |
|
|
21,772 |
0.06 |
|
|
15 |
- |
|
|
3,393 |
0.01 |
|
|
3,732,072 |
10.86 |
|
Total Public shareholding (B) |
4,031,556 |
11.73 |
|
Total (A)+(B) |
34,376,000 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
34,376,000 |
100.00 |
-141017%2003-May-2011_files/image004.gif){kind=small}
(1) Indian-141017%2003-May-2011_files/image005.gif){kind=small}
Individuals / Hindu Undivided Family-141017%2003-May-2011_files/image006.gif){kind=small}
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacturers, Importers
and Exporters of Textiles, Readymade Garments, Knit Wears, etc. |
||||||||
|
|
|
||||||||
|
Products : |
|
||||||||
|
|
|
||||||||
|
Exports : |
|
||||||||
|
Countries : |
|
PRODUCTION
STATUS (As on 31.03.2010)
|
Particulars |
Unit |
Actual Production |
|
|
|
|
|
Readymade Garments |
|
|
|
Own Production |
PCS |
4828953 |
|
Through Job Workers |
PCS |
23839047 |
GENERAL INFORMATION
|
Suppliers : |
|
|||||||||||||||
|
|
|
|||||||||||||||
|
Customers : |
|
|||||||||||||||
|
|
|
|||||||||||||||
|
No. of Employees : |
52000
(Approximately) |
|||||||||||||||
|
|
|
|||||||||||||||
|
Bankers : |
Ph:91-80-2215925
|
|||||||||||||||
|
|
|
|||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
Good |
|
|
|
|
Auditors 1: |
S. R. Batliboi and Company Chartered
Accountants |
|
Address: |
|
|
Tel. No.: |
91-80-22265202 |
|
|
|
|
Auditors 2: |
Girish Murthy and
Kumar Chartered
Accountants |
|
Address: |
4502, |
|
|
|
|
Memberships : |
Apparel and
Leather Promotion Council |
|
|
|
|
Associates/Subsidiaries : |
|
|
|
|
|
Immediate Holding Company: |
|
|
|
|
|
Ultimate Holding
Company: |
|
|
|
|
|
Partnership Firm |
|
CAPITAL STRUCTURE
As on 31.03.2010
Authorised
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
40000000 |
Equity Shares |
Rs.5/- each |
Rs.200.000
millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
34376000 |
Equity Shares |
Rs.5/- each |
Rs.171.880
millions |
Of the above:
i. 23,469,242 (2009: 23,469,242) equity shares of Rs.5/-
each are held by Blackstone FP Capital Partners (
ii. 7,126,000 (2009: 7,126,000) equity shares of Rs.5/- each
have been allotted as fully paid-up pursuant to a scheme of amalgamation
without payment being received in cash.
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 |
171.880 |
171.880 |
171.880 |
|
|
2] Share Application Money |
0.00 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
4429.304 |
4257.772 |
4341.565 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
4601.184 |
4429.652 |
4513.445 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
3448.991 |
3629.478 |
3443.868 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
3448.991 |
3629.478 |
3443.868 |
|
|
DEFERRED TAX LIABILITIES |
45.679 |
71.678 |
73.737 |
|
|
|
|
|
|
|
|
TOTAL |
8095.854 |
8130.808 |
8031.05 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
2328.596 |
2353.793 |
2462.604 |
|
|
Capital work-in-progress |
27.394 |
178.497 |
168.473 |
|
|
|
|
|
|
|
|
INVESTMENT |
560.943 |
560.523 |
547.228 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
3707.945
|
4308.807
|
4069.006 |
|
|
Sundry Debtors |
968.128
|
688.347
|
803.483 |
|
|
Cash & Bank Balances |
219.602
|
44.539
|
45.943 |
|
|
Other Current Assets |
518.480
|
261.589
|
257.624 |
|
|
Loans & Advances |
585.652
|
645.380
|
654.095 |
|
Total
Current Assets |
5999.807
|
5948.662
|
5830.151 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
590.863
|
678.387
|
|
|
|
Other Current Liabilities |
208.068
|
205.994
|
|
|
|
Provisions |
21.955
|
26.286
|
92.131 |
|
Total
Current Liabilities |
820.886
|
910.667
|
977.406 |
|
|
Net Current Assets |
5178.921
|
5037.995
|
4852.745 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
8095.854 |
8130.808 |
8031.050 |
|
-141017%2003-May-2011_files/image007.gif){kind=small}
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
10687.426 |
10934.027 |
10025.653 |
|
|
|
Other Income |
864.191 |
815.393 |
680.238 |
|
|
|
TOTAL (A) |
11551.617 |
11749.420 |
10705.891 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Consumed |
6547.858 |
5806.408 |
5416.926 |
|
|
|
Other Manufacturing and Operating Expenses |
2908.425 |
3201.149 |
3052.913 |
|
|
|
Personnel Costs |
907.188 |
793.565 |
728.658 |
|
|
|
Selling and Administrative Expenses |
589.850 |
514.023 |
474.763 |
|
|
|
Exchange Difference (Net) |
(5.156) |
706.030 |
(188.726) |
|
|
|
Power and Fuel Cost |
0.000 |
0.000 |
0.000 |
|
|
|
Employee Cost |
0.000 |
0.000 |
0.000 |
|
|
|
Miscellaneous Expenses |
0.000 |
0.000 |
82.863 |
|
|
|
TOTAL (B) |
10948.165 |
11021.175 |
9567.397 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
653.500 |
728.245 |
1138.494 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES/ INTEREST (D) |
346.312 |
351.033 |
305.210 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
307.200 |
377.212 |
833.284 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
352.463 |
342.712 |
321.247 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(45.323) |
34.500 |
512.037 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(26.000) |
0.853 |
35.950 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
(19.323) |
33.647 |
476.087 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1808.755 |
1775.108 |
|
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
1789.432 |
1808.755 |
1775.108 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
9541.649 |
10048.082 |
9443.185 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1531.058 |
1847.423 |
2331.384 |
|
|
|
Stores & Spares |
7.234 |
3.553 |
5.830 |
|
|
|
Capital Goods |
31.153 |
47.739 |
113.385 |
|
|
TOTAL IMPORTS |
1569.445 |
1898.715 |
2450.599 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.56 |
0.98 |
13.85 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2010 1st
Quarter |
30.09.2010 2nd
Quarter |
31.03.2010 3rd
Quarter |
|
Net Sales |
2632.950 |
2790.340 |
2988.890 |
|
Total Expenditure |
2711.620 |
2923.380 |
3020.850 |
|
PBIDT (Excl OI) |
(78.670) |
(133.040) |
(31.960) |
|
Other Income |
34.790 |
33.800 |
40.230 |
|
Operating Profit |
-43.890 |
(99.250) |
8.270 |
|
Interest |
96.730 |
84.200 |
89.260 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
(140.610) |
(183.440) |
(80.990) |
|
Depreciation |
82.320 |
87.620 |
86.220 |
|
Profit Before Tax |
(222.930) |
(271.060) |
(167.210) |
|
Tax |
(45.680) |
0.000 |
0.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
(177.250) |
(271.060) |
(167.210) |
|
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 |
(177.250) |
(271.060) |
(167.210) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
[0.17]
|
0.29
|
4.45 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
[0.42]
|
0.32
|
5.11 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
[0.54]
|
0.42
|
6.17 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
[0.01]
|
0.01
|
0.11 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.93
|
1.02
|
0.98 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
7.31
|
6.53
|
5.96 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY
Subject was incorporated in 1979. Subject is a major player in the readymade garment industry across the globe. The company which is an ISO 9001:2000 Certified Company is one of the largest manufacturer/exporter of Outerwear, Blazers and Pants (Formal and Casuals), Shorts, Shirts, Blouses, Denim Wear, Swim Wear, Active and Sports Wear.
The subsidiaries of the company are Madhin Trading Private Limited, Magenta Trading Private Limited, Rafter Trading Private Limited, Reflextion Trading Private Limited, Deejay Trading Private Limited, Rishikesh Apparels Limited, Vignesh Apparels Private Limited, SNS Clothing Private Limited, Seven Hills Clothing Private Limited,, Glamour wear Apparels Private Limited, Rajdin Apparels and All Colour Garments Private Limited.
Gokaldas Exports Private Limited and Unique Creations (
During 2004-05 the company has set up three new factories
each at Bommasandra Industrial Area,
The expansion programme at Chennai,
Operations Review The global textile and clothing trade has undergone a sea-change in
recent times. The economic recession in
major importing countries last year and the
gradual revival of the business
optimism in the first few months of
the current year have paved the way for consolidation in major
producing countries like
There is no doubt that a number
of macro issues are ailing the
apparel export industry today, like,
a) Escalating cotton fabric
prices which are more than 40% higher than a few months ago.
b) Appreciating currency against
both USD and the Euro, which have seen 4.2% and 10% hardening respectively,
since January 1, 2010. See Graphs F and G.
c) Rising wage rates.
d) Shortage of labour as NREGA scheme takes a toll.
e) Government apathy, with no relief or support directly to the
industry.
Combined together, these
immediate concerns have
affected the
competitiveness of the industry by around 25%.
Corporate
Governance:
The Company believes that Corporate Governance is a voluntary code of
self-discipline. In line with this philosophy, it follows healthy Corporate
Governance practices and reports to the shareholders the progress made on the
various measures undertaken. The
Directors have reported the initiatives
on Corporate Governance adopted by the Company in the section 'Corporate
Governance' in the Annual Report. The
Auditor's Certificate confirming the compliance of the Corporate Governance
requirements by the company is attached to the Report on Corporate Governance.
MANAGEMENT
DISCUSSION AND ANALYSIS
Introduction:
Gokaldas Exports Limited
(GEL) is the largest and one of
the leading exporter of
apparel in
The principal products that GEL produces are outer wear and bottom wear. Outerwear includes both sports wear and
winter wear and bottom wear include casual pants, chinos, linen trousers, denim
jeans etc. The following graph shows
the product mix for the year 2009-10:
Industry Structure
and Developments:
The Indian economy
has weathered the storm unleashed
by the financial crisis. However, the impact of this
crisis is different on various sectors.
Industries that depend on overseas markets (exporters) have continued to
be subdued whereas those that depend on domestic demand have fared well.
They, as export industry, belong to the former category and are still
getting out from the hangover of last year's economic slowdown.
The after effects from last year's economic slowdown continue to
weigh on the business.
Global retail sales are still subdued and will take some months more to
come back to old levels. Consumer spending in both
European markets is sluggish and though the recession is 'officially'
over in most markets, their economic
growth is marginal. Pricing pressures are dominating the markets. All the
buyers have got used to cheaper prices
offered during the global crisis and are
unwilling to reverse this trend. Their
obvious answer has been that their retail prices have not improved. In the
textile and apparel industry, the order book position has improved but the prices are maintained at the
same old lower levels.
Cheaper countries like
The Government of India has withdrawn the 2% subvention which was
given to the textile
and apparel sector and this also has resulted in making
the prices uncompetitive.
Opportunities and
Threats
The
Outlook:
Buyers are trying to reduce their Chinese exposure and are moving
to other Asian countries.
Operating Results
/ Financial Highlights:
The financial statements
have been prepared
in compliance with
the requirements of the Companies
Act, 1956 and generally accepted
accounting principles (GAAP) in
During the year, the Company has achieved a revenue of
Rs. 11551.617 Millions, out of
which 82.56 % is in the form of foreign exchange. Loss before tax is
at Rs. 45.323 Millions and net
loss after tax stood at Rs.
19.323 Millions. The low profit margin is mainly due to increase in the
raw material cost. Graphical
representation of revenues
from various geographical locations / countries:
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 31.12.2010
(Rs. in millions)
|
Particulars |
Quarter
Ended |
Quarter
Ended |
|
31.12.2010 |
31.12.2010 |
|
|
Unaudited |
Unaudited |
|
|
|
|
|
|
1. a) Net Sales/Income From Operation |
2840.497 |
7958.319 |
|
b) Other Operating Income |
148.391 |
453.853 |
|
Total |
2988.888 |
8412.172 |
|
2. Expenditure |
|
|
|
a)(Increase)/Decrease in stock in trade work in progress |
(28.594) |
285.542 |
|
b)Consumption of raw materials |
1790.172 |
4632.779 |
|
c)Employee Cost |
253.117 |
776.604 |
|
d) Job Work Charges |
690.480 |
2116.898 |
|
e)Depreciation |
86.221 |
256.710 |
|
f)Other Expenditure |
315.676 |
716.935 |
|
Total |
3107.072 |
8785.468 |
|
|
|
|
|
3. Profit for operations before other
Income, Interest and Exceptional items ( 1-2 ) |
(118.184) |
(499.838) |
|
4. Other Income |
3.348 |
12.180 |
|
5. Profit from operations before
other Income, Interest and Exceptional items ( 3+4 ) |
(114.836) |
(487.658) |
|
6. Interest |
89.260 |
270.185 |
|
7. Exchange Difference (Net) |
(36.882) |
(96.638) |
|
8. Profit after Interest but before
Exceptional items ( 5-6-7) |
(167.214) |
(661.205) |
|
9. Exceptional items |
- |
- |
|
10. Profit (+)/Loss(-)
from Ordinary Activities before Tax ( 8-9) |
(167.214) |
(661.205) |
|
11. Tax Expenses A) Income Tax |
- |
1.732 |
|
B) Deferred Tax |
- |
- |
|
C) Fringe benefit tax |
- |
2.015 |
|
12. Net Profit (+)/Loss(-)
from Ordinary Activities after Tax (10-11 ) |
(167.214) |
(661.526) |
|
13. Extraordinary items |
- |
- |
|
14. Net Profit
(+)/Loss(-) for the period (12-13) |
(167.214) |
(661.526) |
|
15. Paid Up-Equity Share Capital (Face Value of Rs.5/- each) |
171.880 |
171.880 |
|
16.Reserve Excluding, Revaluation Reserve as per balance of previous
accounting year |
- |
-- |
|
17. Earnings per shares (EPS) face value of Rs.5/ each a) Basic and Diluted before extraordinary items |
(4.86) |
(17.91) |
|
b) Basic and Diluted after extraordinary items |
(4.86) |
(17.91) |
|
18. Aggregate of Public Shareholdings |
|
|
|
No. of Shares |
4031556 |
4031556 |
|
Percentage of Shareholding |
11.73% |
11.73% |
|
19.Promoter and
Promoter Group Shareholding |
|
|
|
a) Pledged /
Encumbered |
|
|
|
- Number of
Shares |
Nil |
Nil |
|
- Percentage of
Shares (as a % of total shareholding of promoter and promoter group) |
Nil |
Nil |
|
- Percentage of
Shares (as a o/o of total share capital of the Company) |
Nil |
Nil |
|
b)
Non-Encumbered |
|
|
|
- Number of
Shares |
30344444 |
30344444 |
|
- Percentage of
Shares (as a % of total shareholding of promoter and promoter group) |
100.00% |
100.00% |
|
- Percentage of
Shares (as a o/o of total share capital of the Company) |
88.27% |
88.27% |
NOTES:
1) The above results were reviewed by the Audit Committee and approved by the Board of Directors August 03, 2011. A limited review has been conducted by the joint auditors.
2) The company did not have any investor complaints pending as on April 01, 2010 and as on 30.06.2.010 one investor complaint was received during the quarter ended 31.12.2010
3) The company operates in a single business segment of manufacture and sale of garments. As such, no further disclosures are required.
4) Un-audited consolidate results for the quarter ended 31.12.2010
|
Particulars |
For the year ended 31.12.2010 |
For the year ended 31.12.2010 |
|
Net sales / Income from Operations |
2866.198 |
7985.815 |
|
Net Profit After Tax |
166.158 |
611.467 |
|
Earnings Per Shares (Basic) |
(0.486) |
(1.779) |
Performance review
and Annual Results of Financial Year 2009-10 and Q4 of 2009-10
For the Financial Year 2009-10, Gokaldas Exports Limited has posted a top
line of Rs 11550.000 Millions, as against 11740.000 Millions of Last Year,
thereby showing a reduction of 1.6%.
The profit after tax has reduced from Rs 33.600 Millions to a loss o Rs
19.300 Millions.
The last quarter has been especially tough, considering,
a. Higher cotton fabric process
b. Acute pricing pressures from US and European markets.
c. Higher wages paid in comparison to the last year.
d. Volatile Indian Rupee situation.
Delayed cotton fabric supplies have resulted in airlifting the goods to
destinations at a heavy cost.
While comparing Q4 of the last year with present year, there is an
increase of Rs 200.000 Millions in the top line, i.e. Rs 2900.000 Millions Vs.
Rs 2700.000 Millions. However in this quarter Q4 there is a loss of Rs 220.000
Millions as against a profit of Rs 1.100 Million when compared to the same
quarter last year. About Rs 95.000 Millions of additional airfreight has been
paid in this quarter which is very un usual, in addition a provision of Rs
105.000 Millions has been made for inventory related expenses and certain non
recurring expenses.
The apparel export industry has been adversely affected by,
a. General recessionary conditions still prevail in
b. Added to this pricing pressures, the high cotton prices, appreciating
Rupee and high wage costs have adversely affected the performance of the
Company.
Though in the US Markets the volumes are increasing, they find that the
European businesswill be definitely affected due to the Euro zone economic
crisis triggered by the monetarysituation in
The order position for Q1 and Q2 of 2010-11 totals to Rs 450 Cr, which
is quite normal atthis time of the year.
Efforts are in progress to get better prices from customers which can in
turn give a prop to the bottom line.
FIXED
ASSETS
- Buildings
- Leasehold Improvements
- Plant and Machinery
- Electrical Equipments
- Office Equipments
- Furniture and Fixtures
- Computers
- Vehicles
WEBSITE DETAILS:
PROFILE:
Subject is a major player in the readymade garment industry across the
globe. They are a well established Indian manufacturer and exporter
successfully meeting the demands of global readymade garment markets. Their
facilities, technology and standards of performance meet international
paradigms. They honor and preserve their heritage of leadership.
A quick overview about them:
- Incorporated
in 1979, based in Bengaluru (
- Recipients of highest awards in the segment, since 1980
- One
of
- 46
fully equipped, modern, manufacturing factories, all based in and around
- Specialists in manufacture of Outerwear, Blazers and Pants (Formal and Casuals), Shorts, Shirts, Blouses, Denim Wear, Swim Wear, Active and Sports Wear
- An ISO 9001:2008 Certified Company
- Capacity to produce and export 3 million Woven and million Knit apparel per month
- 47,000 skilled and highly skilled employees
- A full fledged in-house design team creating and developing exciting collections each season
Modern production facility :
- Fully integrated in-house screen design and development center with a capacity of developing 100,000 garments a day
- Printing unit installed with state-of-the-art automatic machines A well oiled Laundry, fully equipped with automatic machinery and has the processing capacity of over 150,000 garments a day
- Polyfill manufacturing plant with a production capacity of over 400,000 yards per month, ranging between 40-360gsm
- Highly sophisticated quilting unit equipped with computerized quilting machines processing over 500,000 yards per month
- Embroidery unit installed with 100 multi-head embroidery machines producing appliqués, badges, simple and complex embroideries, fulfilling a requirement of 2,00,000 pieces per day
- Elastic manufacturing unit - capacity of over 50,000 meters a day
- Woven and Bungee Cord making unit capacity of 40,000 meters per day
- Carton manufacturing unit
AWARDS:
The recognition gained by subject is epitomized by each and
every single award bestowed on it - the highest in
|
Year |
Award |
Awarded By Govt. And Other Indian
Institutions |
|
2007 |
Successful execution during on-site development Trips |
NIKE |
|
2006-07 |
Achievement award for outstanding export performance. |
Apparel Export Promotion Council |
|
2005,06
and 07 |
Consistently achieving an On-Time delivery performance of
99% for fiscal year 2005,2006,2007 |
NIKE |
|
2005-06 |
Apex Golden Scale Trophy “The Exporter of the Year – Woven
Apparel” |
Clothing Manufacturers Association of |
|
2005-06 |
Achievement award for outstanding export performance. |
Apparel Export Promotion Council |
|
2005 |
Golden Scale Trophy “The Exporter of the Year” Global
Exports Apex award 2005 |
Clothing Manufacturers Association of |
|
2005
March |
Export Excellence Award |
|
|
2004 |
Highest Exports Award for Non-Quota Market |
Confederation of Indian Apparel Exporters, Mumbai (Fifth
International Fashion Awards) |
|
2004 |
Exporter of the year - Golden Scale Trophy |
Clothing Manufacturers Association Of |
|
2002-03 |
Highest Award for Exports - Non-Quota Exports |
Confederation of Indian Apparel Exporters, Mumbai |
|
Highest Exports Award for Non-Quota Market |
Confederation of Indian Apparel Exporters, Mumbai |
|
|
Best Performance Award |
Council of International Awards |
|
|
2002 |
Highest Award for Non-Quota Exports and Silver Trophy for
Global Exports |
Clothing Manufacturers Association of |
|
2001-02 |
Award for Highest Exporter in Non-Quota Market |
Confederation of Indian Apparel Exporters, Mumbai |
|
Silver Trophy for Second Largest Global Exports |
Clothing Manufacturers Association of |
|
|
Highest Exports Award for Non-Quota Countries |
Clothing Manufacturers Association of |
|
|
Award for Top Exporter |
|
|
|
Export Award - 2002 |
Federation of Karnataka Chamber of Commerce And
Industries, |
|
|
2000-01 |
Award for Top Exporter |
|
|
Certificate of merit for Outstanding Export Performance |
The Clothing Manufacturers Association of |
|
|
Award for highest Exporter in Non-Quota Markets |
Confederation of Indian Apparel Exporters, Mumbai |
|
|
2000 |
Award for Second Largest Exports in Woven Garments |
Apparel Export Promotion Council Ministry of Textiles,
Government Of |
|
Silver Trophy for Highest Exports in Global Exports |
Apparel Export Promotion Council Ministry of Textiles,
Government Of |
|
|
1999-2000 |
Gold Trophy for highest exports for Global Exports |
Clothing Manufacturers Association of |
|
Award for Highest Export Performance Readymade Garments
Government of |
Federation of Indian Exporters Associations, |
|
|
Award for Highest Exports to Non-Quota Countries |
Clothing Manufacturers Association of |
|
|
1996-2000 |
Best Export Award - Gold (4 years continuous award) |
Government of Karnataka |
|
1999 |
Award for Second Highest in Non-Quota |
Apparel Export Promotion Council |
|
Exports and Award for Highest Exports to Non-Quota
Countries |
Ministry of Textiles, Government of |
|
|
1998-99 |
Award for Highest Exports - for Group Turnover |
Confederation of Indian Apparel Exporters, Mumbai |
|
Highest Exporter Award for Woven Garments |
Confederation of Indian Apparel Exporters, Mumbai |
|
|
Highest Exporter Award |
Clothing Manufacturers Association of |
|
|
1998 |
Silver Trophy for Largest Exports in Woven Garments |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1997 |
Highest Exports Award |
Clothing Manufacturers Association of |
|
1996-97 |
Award for Highest Exports to Non-Quota Countries and Award
for Second Largest Exporter in Global Exports |
Clothing Manufacturers Association of |
|
Award for Highest Exports in Global Exports and Award for
Highest Exports to Non-quota Countries |
Clothing Manufacturers Association of Mumbai |
|
|
Silver Trophy for Second Highest Exports in Global Exports
and Gold Trophy for Highest Exports to Non-Quota Countries |
Clothing Manufacturers Association of |
|
|
1996 |
Award for Second Highest Exports in Global Exports and
Award for Highest Exports in Woven Garments Exports |
Apparel Export Promotion Council Ministry of Textiles,
Government Of |
|
Top Exports Award - Global Exports and Gold Trophy for
Exports to Non-Quota Markets |
Apparel Export Promotion Council Ministry of Textiles,
Government Of |
|
|
1995-96 |
Gold Trophy for Highest Global Exports |
Clothing Manufacturers Association of |
|
Gold Trophy for Exports to Non-quota countries and
Non-quota items to Quota countries |
Clothing Manufacturers Association of |
|
|
Best Manufacturer Export Award - Gold |
Government of Karnataka |
|
|
1994-95 |
Award for Highest Exports - Global Exports |
Clothing Manufacturers Association of |
|
Award for Highest Exports - to quota countries and
non-quota items to quota countries |
Clothing Manufacturers Association of |
|
|
Best Manufacturer Export Award - Gold |
Government of Karnataka |
|
|
1994 |
Highest Export Award - Woven Garments |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1993-94 |
Top Award for Apparel Exports. |
Government of Karnataka |
|
Award for Highest Global Exports |
Clothing Manufacturers Association of |
|
|
Highest Export Award - Woven Garments and for Global
Exports |
Apparel Export Promotion Council Ministry Of Textiles,
Government of |
|
|
1992-93 |
Award for Top Performer |
Government of Karnataka - Readymade Garments Exports |
|
1992 |
Gold Trophy for Highest Global Exports and Silver Trophy for
Second Highest Exports of Woven Garments |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1990-91 |
Silver Trophy - for Global Exports |
Apparel Export Promotion Council, Ministry of Textiles,
Government of |
|
Silver Trophy - for Global Exports |
Clothing Manufacturers Association of |
|
|
1991 |
Award for Highest Global Exports |
Apparel Export Promotion Council, Ministry of Textiles,
Government of |
|
1988 |
Silver Trophy - for Global Exports |
The Clothing Manufacturers Association of |
|
Gold Trophy for outstanding export performance |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
|
1986 |
Export Performance Award - Global Exports |
Clothing Manufacturers Association of |
|
Award for Second Highest Exports |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
|
1985 |
Award for Global Exports and General Currency Area |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1984 |
Award for General Currency Area |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1983 |
Award for Second Highest Exports |
Clothing Manufacturers Association of |
|
1982 |
Award for Highest Global Exports. |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
1981-82 |
Top Exporter Award |
Apparel Export Promotion Council Ministry of Textiles,
Government of |
|
Gold Trophy - for Highest Exports. |
Garments Exporters Association, New |
|
|
1981 |
Award for Highest Global Exports. |
Clothing Manufacturers Association of |
|
1980-81 |
Outstanding Export Award for Cotton Handloom Readymade
garments |
The Handloom Export Promotion Council |
FOUNDER:
Subject established in 1979, is the brainchild of visionary,
The Late Jhamandas H. Hinduja. His faculty to plan, execute and manage resulted
in the phenomenal growth that has taken place. Moreover, he possessed the all-round
expertise in business administration, banking, finance, trade and commerce,
thereby creating with these facets, a strong foundation for the generations to
come.
BOARD OF DIRECTORS
The people who guide subject are those who understand the
most infinitesimal details of the garment industry. Professional to the core
and backed by decades of experience, the core management team is highly
innovative and visionary in approach.
Madanlal J. Hinduja – Chairman
Fabric Design and Supply
He is the man behind the wheel as far as creating, designing
and developing new fabrics goes. He is responsible for conceiving new and
modern innovations in weaving, dyeing and processing fabrics for use in the
manufacture of garments for export. It is with such prowess, that subject
assures customers that if they can think it, subject can stitch it.
Rajendra J. Hinduja - Managing Director
Finance, General Administration,
Shipping and H.R.
He is the brain behind the planning of quotas, total
operation of shipping, forwarding, customs clearance, documents, banking,
finance and imports. Tasks of these nature call for extreme professionalism,
efficiency and alacrity in decision making and the high levels of productivity
and profitable results speak for his ability to deliver.
Dinesh J. Hinduja - Whole Time Director
Marketing and Production
With his ability for speedy
decision making, he controls the company's 48 manufacturing units that employee
over 48000 employees and produce 2 million garments of various styles per month.
He also overlooks designing, tyling and building up collections of high fashion
garments for each season and marketing the goods produced at the production
units. All these are tasks that require extreme foresight and a sharp eye for
detail.
Akhilesh Krishna Gupta – Director
He is a B Tech and MBA with 26 years of work experience in
various capacities; he has worked as Senior Vice President and Chief Financial
Officer of Krauses Sofa and after that as Chief Financial Officer and Chief
Operating Officer of Stylus Inc. Later, he served as CEO - Corporate
Development for Reliance Industries Limited and Reliance Infocomm Limited.
Later he joined Blackstone group and presently he is Senior Managing Director
and Chairman of Blackstone
He is also on the Board of the Allcargo Global Logistics Limited and Nagarjuna
Construction Company Limited
Mathew Cyriac – Director
He is a B Tech and MBA, and having rich experience in the
investment banking division of Bank of America. He also served as Head - Corporate
Development Strategy of IGATE Global Solutions Limited. Currently he is working
with Blackstone India Group as Principal - Corporate Private Equity Group.
He is also on the Board of MTAR Technologies Private Limited
and Emcure Pharmaceutical Limited.
Arun K Thiagarajan - Independent Director
Mr. Thiagarajan started his career with ASIA AB Vesteras,
He is also in the Board of GMR Infrastructure Limited, GMR Energy Limited, ING
Vysya Bank Limited, Alstom Projects India Limited, Krone Communications
Limited, PSI Data Systems Limited, IDEA Cellular Limited, Cable Corporation of
India Limited, TTK Prestige Limited, Birla Technologies Limited.
Prince Asirvatham - Independent Director
He is Chartered Accountant with 28 years of experience. He
worked as group Treasurer and Head of Merger and Acquisition of Hindustan Liver
Limited. Mr. Prince Asirvatham worked in
He has promoted Guardian Risk Advisors Private Limited, a business engaged in
promoting aspirational management of personal financial assets.
J H Mehta - Independent Director
Mr. Mehta worked for Hindustan Unilever Limited, from 1974
to 2005. He has handled a variety of businesses as a profit centre head and his
last assignment was executive director for the ice creams business for
He is also in the Board of Kerala Ayurveda Limited, Ayurvedagram Heritage
Wellness Centre Private Limited, TAG Media Network Private Limited, and Global
Agri System Private Limited.
Vivek M. Hinduja
Marketing and Import
Co-ordination
His enthusiasm and smart marketing skills reflect in the
growing number of customers. He is responsible for developing and implementing
practical solutions to effectively enable client contact in the global market
place. He understands global requirements of fabric, style and quality and
overlooks related functions such as fabric sourcing, production, import
co-ordination, buyer-seller interaction, among others.
Ashwin R. Hinduja
Factory Co-ordination and
Production
Youthful ideas and a fresh outlook to productivity are his
forte. His portfolio of tasks includes being responsible for factory
co-ordination and production. On a day-to-day basis, he monitors and regulates
quality delivery dates. In addition, Ashwin aids and assists the rest of the
management team in strategic decision making and planning.
Gaurav D. Hinduja
Marketing Co-ordination
After intensive training that started virtually from the
stitching floors, Gaurav's skills have been honed to understand the intricacies
of garment manufacturing and marketing. He brings with him youthful enthusiasm,
fresh ideas and innovative marketing strategies that have already shown
results. He has now acquired the requisite hands-on experience that is required
to run the business.
FUTURE
INITIATIVES:
They lead keeping in mind the current market trends and the
emerging requirements all over the world. Therefore, they have chartered their
growth plan accordingly. They have streamlined their manufacturing capabilities
for mass production. They have integrated them with automated manufacturing
systems with ERP, which enables real time production management and gears them
for the challenging future.
A few of their group companies are 100% export units with capabilities of mass
production. They have the license to import duty-free fabrics and accessories
from all over the world for re-export. These factories are specially equipped
to handle wool production. Effective from 2005, they are fully geared to handle
additional orders, post quota regime.
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.44.30 |
|
|
1 |
Rs.73.90 |
|
Euro |
1 |
Rs.65.57 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
61 |
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.