MIRA
INFORM REPORT
|
Report Date : |
21.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
HYDERABAD CHEMICALS LIMITED |
|
|
|
|
Formerly Known
As : |
HYDERABAD CHEMICAL SUPPLIES PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
4-3-377, |
|
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|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2010 |
|
|
|
|
Date of
Incorporation : |
30.01.1954 |
|
|
|
|
Com. Reg. No.: |
000736 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.3.000
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U24230AP195PLC000736 |
|
|
|
|
Legal Form : |
A closely held Public Limited Liability Company. |
|
|
|
|
Line of Business
: |
Manufacturer of Chemicals and Pesticides. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
A (58) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavorable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 3771240 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
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|
Litigation : |
Clear |
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|
Comments : |
Subject is a well established and a reputed company having fine track.
Financial position of the company appears to be sound. Trade relations are reported
as fair. Business is active. Payments are reported to be regular and as per
commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
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 : |
4-3-377, |
|
Tel. No.: |
91-40-24756927 |
|
Fax No.: |
91-40-23772599 |
|
E-Mail : |
|
|
|
|
|
Factory 1 : |
A 24/25, APIE Balanagar, Hyderabad-500037, |
|
Tel. No.: |
91-40-23773906/23772651/247556927 |
|
Fax No.: |
91-40-23772595 |
DIRECTORS
As on 31.03.2010
|
Name : |
Mr. Nellore Sukumar |
|
Designation : |
Managing Director |
|
Address : |
6-3-883 / A /10, |
|
Date of Birth/Age : |
02.10.1951 |
|
Date of Appointment : |
11.06.1990 |
|
|
|
|
Name : |
Mr. Dipesh Kantisen Shroff |
|
Designation : |
Director |
|
Address : |
39 Sanket Hatkesh Society, No.6 N S Road Juhu, No.6, Ville Parle
(West), Mumbai-400056, |
|
Date of Birth/Age : |
03.02.1960 |
|
Date of Appointment : |
21.11.2003 |
|
|
|
|
Name : |
Mrs. Shruti Atul Shroff |
|
Designation : |
Director |
|
Address : |
7, Charotar Society, |
|
Date of Birth/Age : |
24.09.1950 |
|
Date of Appointment : |
21.11.2003 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 18.08.2010
|
Names of Shareholders |
|
No. of Shares |
|
Dipesh kantisen Shroff |
|
28680 |
|
N Sukumar, |
|
26100 |
|
Shruti Atul Shroff |
|
31180 |
|
Preeti Dipesh Shroff |
|
10000 |
|
Chanda Kantisen Shroff |
|
15000 |
|
Chanda Kantisen Shroff |
|
15000 |
|
|
|
20020 |
|
|
|
5000 |
|
N Ram Chaitanya |
|
5000 |
|
Atul Govindji Shroff |
|
15000 |
|
Atul Govindji Shroff |
|
9000 |
|
Anshul Amrish Bhatia |
|
3000 |
|
|
|
15000 |
|
Usha Ashwin Shroff |
|
15000 |
|
Hrishit Ashwin Shriff |
|
18000 |
|
Sanjay K Gandhi |
|
8150 |
|
Shaila shashikumar Shroff |
|
3000 |
|
Maya K Gandh |
|
9950 |
|
Jyotsna Jyoti Bhatt |
|
15000 |
|
Ramesh Chandra Premji |
|
3000 |
|
Nilima J Gandhi |
|
1500 |
|
JJyotindra K. Gandhi |
|
7200 |
|
G. Sarana Basappa |
|
300 |
|
B Mallesh |
|
300 |
|
Narendra K. Gandhi |
|
5220 |
|
K. Durga Prasad |
|
300 |
|
B Bellard, Malkajgiri |
|
600 |
|
P. S. N. Murith |
|
600 |
|
B Sulochana |
|
600 |
|
Parag J Gandhi |
|
300 |
|
K. Simhachalam |
|
600 |
|
S. Mallesh |
|
300 |
|
L. Simhachalam |
|
600 |
|
Lalubhai Sisodia |
|
600 |
|
P. Ashappa |
|
300 |
|
P. Vijaya Lakshmi |
|
300 |
|
V. S. Sastry |
|
600 |
|
Hiral T Dayal |
|
3000 |
|
G. Padmavathi |
|
600 |
|
I. Janaki |
|
100 |
|
Ranjan Kishor Shroff |
|
3000 |
|
|
|
3000 |
|
|
|
|
|
Total |
|
300000 |
As On 31.03.2010
|
Category |
Percentage |
|
Directors or relatives of Directors |
60.00 |
|
Other top fifty shareholders |
40.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Chemicals and Pesticides. |
PRODUCTION STATUS
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Agro Chemicals and Pesticides |
MT/KL |
12200 |
10837 |
|
Wind Powder |
MT/KL |
7.40MW |
129.11 KWH Lakhs |
NOTE:
- Installed capacity has been certified by the management on which the
auditor relied.
- Material purchased in bulk to meet repacked sales is included in
production.
GENERAL INFORMATION
|
Bankers : |
State Bank Of |
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Facilities : |
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Banking Relations : |
-- |
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Auditors : |
|
|
Name : |
Raju and Prasad Chartered Accountant |
|
Address : |
401, Diamond House, Amrutha Hills, Punjagutta, |
|
Tel. No.: |
91-40-23410404 |
|
Fax No.: |
91-40-23410403 |
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E-Mail : |
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|
Subsidiaries : |
CIN No.: U24239AP1990PTC011356
CIN No.: U01112AP2009PLC063224 |
CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
1000000 |
Equity Shares |
Rs.10/- each |
Rs.1.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
300000 |
Equity Shares |
Rs.10/- each |
Rs.3.000
Millions |
NOTE:
- Out of the above shares 216 shares of
Rs.100/- each were allotted to the vendor Dr. Ramesh Gandhi, pursuant to
the contact without payment being received in cash which were concerted into
2160 equity shares of Rs.10/- each.
- Out of the above 200000 Equity share of
Rs.10/- each fully paid up ware allotted by way of bonus shares by
capitalization of General Reserve.
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 |
3.000 |
3.000 |
3.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
939.810 |
811.822 |
684.895 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
942.810 |
814.822 |
687.895 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
3.506 |
39.222 |
54.064 |
|
|
2] Unsecured Loans |
30.817 |
31.262 |
31.262 |
|
|
TOTAL BORROWING |
34.323 |
70.484 |
85.326 |
|
|
DEFERRED TAX LIABILITIES |
57.416 |
58.904 |
56.691 |
|
|
|
|
|
|
|
|
TOTAL |
1034.549 |
944.210 |
829.912 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
337.308 |
361.854 |
377.699 |
|
|
Capital work-in-progress |
15.192 |
0.075 |
0.500 |
|
|
|
|
|
|
|
|
INVESTMENT |
46.756 |
36.756 |
36.771 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
389.218
|
396.473 |
378.054 |
|
|
Sundry Debtors |
187.314
|
162.752 |
141.272 |
|
|
Cash & Bank Balances |
122.881
|
81.999 |
53.786 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
292.162
|
255.207 |
238.198 |
|
Total
Current Assets |
991.575
|
896.431 |
811.310 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
97.209
|
130.887 |
211.865 |
|
|
Other Current Liabilities |
152.995
|
146.396 |
34.237 |
|
|
Provisions |
106.078
|
73.622 |
150.266 |
|
Total
Current Liabilities |
356.282
|
350.905 |
396.368 |
|
|
Net Current Assets |
635.293
|
545.525 |
414.942 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1034.549 |
944.210 |
829.912 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
|
1932.120 |
1925.163 |
1652.811 |
|
|
|
Other Income |
69.147 |
48.087 |
47.406 |
|
|
|
TOTAL
(A) |
2001.267 |
1973.250 |
1700.217 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing and other Expenses |
1766.608 |
1804.004 |
1488.101 |
|
|
|
Increase/ (Decrease) in stock |
18.009 |
(41.702) |
32.243 |
|
|
|
TOTAL (B) |
1784.617 |
1762.302 |
1520.344 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
216.650 |
210.948 |
179.873 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
3.845 |
5.647 |
8.627 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
212.805 |
205.301 |
171.246 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
29.513 |
30.222 |
30.538 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
183.292 |
175.079 |
140.708 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
(1.488) |
2.213 |
32.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
154.057 |
151.241 |
107.908 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
48.779 |
21.852 |
18.993 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
120.000 |
100.000 |
87.500 |
|
|
|
Proposed Final Dividend |
16.500 |
15.000 |
10.500 |
|
|
|
Dividend |
6.000 |
6.000 |
4.500 |
|
|
|
Tax on Dividend |
3.569 |
3.314 |
2.549 |
|
|
BALANCE CARRIED
TO THE B/S |
56.767 |
48.779 |
21.852 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
514.00 |
504.00 |
-- |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
7.70
|
7.66 |
6.35 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
9.49
|
9.09 |
8.51 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.79
|
13.91 |
11.83 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19
|
0.21 |
0.20 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.41
|
0.52 |
0.70 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.78
|
2.55 |
2.04 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONAL REVIEW
OVERVIEW
The financial year 2009-10 started off with a disturbing note on account of worst ever drought during the last 30 years. This has resulted in steep drop in demand for Pesticides in the Khariff season. Though there was some improvement in Rabi season it was not possible to cover the deficit in the sales of Agrochemicals ultimately resulting in 10% drop at the macro level in Revenue terms.
PERFORMANCE
The year 2009-10 was a year of consolidation for Hyderabad
Chemicals Limited and the subsidiaries
The consolidation during the year 2009-10 and new technical manufacturing facility being commissioned at Humnabad 1 in August 2010 coupled with proposed expansion of Wind Assets during current year and improved outlook for Seeds together are expected to herald growth in sales and profitability in the coming years.
HYDERABAD CHEMICALS
LIMITED
The performance of the company has been satisfactory during
the year under review. Sales have marginally improved from Rs.1920.000 millions
to Rs.1930.000 millions. The profit before Tax stood at Rs.183.000 millions as
against Rs.175.000 millions in the previous year. The profit after tax was
Rs.154.000 millions as against Rs.151.000 millions in the previous year.
FORM 8
|
Corporate
identity number of the company |
U24230AP1954PLC000736 |
|
Name of the
company |
HYDERABAD
CHEMICALS LIMITED |
|
Address of the registered
office or of the principal place of
business in |
4-3-377, |
|
This form is for |
Modification of
charge |
|
Type of charge |
Others |
|
Particular of
charge holder |
STATE BANK OF |
|
Nature of
instrument creating charge |
Supplemental Deed
of Guarantee for overall limit |
|
Date of
instrument Creating the charge |
19/08/2010 |
|
Amount secured by
the charge |
Rs.188.000
Millions |
|
Brief of the principal
terms an conditions and extent and operation of the charge |
Terms of
Repayment Repayable on
demand Extent and
Operation of the charge Corporate
Guarantee |
|
Short particulars
of the property charged |
Corporate
Guarantee for the working capital limits availed by M/s Hyderabad Chemical
Products Limited from State Bank of |
|
Particulars of
the present modification |
Corporate Guarantee
given to Hyderabad Chemical Products Limited increased to Rs.188.000 Millions |
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.44.93 |
|
|
1 |
Rs.72.92 |
|
Euro |
1 |
Rs.64.34 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
58 |
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.