MIRA
INFORM REPORT
|
Report Date : |
09.09.2011 |
IDENTIFICATION DETAILS
|
Name : |
ION EXCHANGE INDIA LIMITED |
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Registered Office : |
ION House, |
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Country : |
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Financials (as on) : |
31.03.2011 |
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Date of Incorporation : |
06.03.1964 |
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Com. Reg. No.: |
11-14258 |
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Capital
Investment / Paid-up Capital : |
Rs.134.259
Millions |
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CIN No.: [Company
Identification No.] |
L74999MH1964PLC014258 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMI04982F |
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PAN No.: [Permanent
Account No.] |
AAACI1726L |
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Legal Form : |
Public limited liability company. The company’s shares are listed on the Stock
Exchanges |
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Line of Business : |
Manufacture and sale of ion exchange resins, water
treatment plants and chemical additives |
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No. of Employees : |
940 Approximately |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 5893668 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having fine track. Financial
position of the company is good. Trade relations are reported as fair. Business
is active. Payments are reported to be regular and 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 |
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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 / Corporate Office : |
ION House, |
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Tel. No.: |
91-22-24939520 / 523 / 525 / 31 / 32/24938737 / 39890909 |
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Fax No.: |
91-22-24938737 |
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E-Mail : |
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Website : |
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Factory 1 : |
581-12-13, GIDC, Ankleshwar Industries Estate, Ankleshwar – 393002,
Bharuch, |
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Factory 2 : |
R – 14, TTC, MIDC, Near |
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Tel. No.: |
91) 22 3989 0909/ 3047 2400 |
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Fax No.: |
91) 22 2769 7918 |
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E-Mail : |
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Head Office : |
6-3-659, 1st Floor, |
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Regional Offices: |
Located at :-
˛ Kolkata,
˛ Chennai, Tamilnadu ˛ ˛ Mumbai, |
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Overseas Office : |
·
Pune, Tel. 91-212-27124284 / 27124062
Tel. 91-22-27632466/67/68 Fax 91-22-27631122 |
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Branches : |
Located at :-
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DIRECTORS
AS ON 31.03.2011
|
Name : |
Mr. G. S. Ranganathan |
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Designation : |
Chairman |
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Name : |
Mr. R. Sharma |
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Designation : |
Vice Chairman and Managing Director |
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Name : |
Mr. M. R. Menon |
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Designation : |
Director |
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Name : |
Mr. D. G. Rao |
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Designation : |
Director |
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Name : |
Dr. V. N. Gupchup |
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Designation : |
Director |
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Name : |
Mr. M P Patni |
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Designation : |
Director |
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Name : |
Mr. T. M. M. Nambiar |
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Designation : |
Director |
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Name : |
Mr. A K Marfatia |
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Designation : |
Director |
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Name : |
Mr. P Sampathkumar |
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Designation : |
Additional Director |
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Name : |
Mr. Dinesh Sharma |
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Designation : |
Director |
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Name : |
Mr. Aankur Patni |
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Designation : |
Director |
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Name : |
Mrs.K J Udeshi |
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Designation : |
Additional Director |
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Name : |
Mr. Shishir Tamotia |
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Designation : |
Director |
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Name : |
Mr. Abhiram Seth |
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Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Milind Puranik |
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Designation : |
Company Secretary |
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Name : |
Mr. N M Ranadive |
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Designation : |
Vice President – Finance |
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Name : |
Dr. S. V. Mahendale |
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Designation : |
Vice President – Resin and Membrane
Division |
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Name : |
Mr. S. N. Iyenger |
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Designation : |
Vice President – Standard Systems |
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Name : |
Mr. A. Mohapatra |
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Designation : |
Vice President-HRD |
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Name : |
Mr. A. Popat |
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Designation : |
Vice President-Corporate Marketing |
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Name : |
Mr. L V Keshav |
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Designation : |
Vice President-Rand D, Corporate Quality
and Environment Management |
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Name : |
Mr. R. S. Rajan |
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Designation : |
Vice President-Consumer Products |
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Name : |
Mr. Anil Khera |
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Designation : |
Vice President Chemicals Division |
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Name : |
Mr. J.P. Pathare |
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Designation : |
Vice President International Division |
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Name |
Mr. Jayant Pimpale |
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Designation |
Vice President Materials |
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Name |
Mr. Sridharan Mahadevan |
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Designation |
Vice President Human Resources |
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Name |
Mr. Manoj G. Shivdasani |
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Designation |
Vice President Projects |
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Name |
Mr. Souvik Ghosh |
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Designation |
Vice President Heavy Industry Segement |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2011
|
Category of
Shareholder |
Total No. of
Shares |
% of total No.
of Shares |
|
|
|
|
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
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|
2,229,921 |
16.50 |
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|
614,958 |
4.55 |
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|
2,672,514 |
19.78 |
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|
2,672,514 |
19.78 |
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|
5,517,393 |
40.83 |
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|
|
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Total
shareholding of Promoter and Promoter Group (A) |
5,517,393 |
40.83 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
102,605 |
0.76 |
|
|
410 |
- |
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|
194,730 |
1.44 |
|
|
156 |
- |
|
|
297,901 |
2.20 |
|
|
|
|
|
|
1,187,579 |
8.79 |
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|
|
|
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|
3,589,627 |
26.57 |
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|
2,719,486 |
20.13 |
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|
199,825 |
1.48 |
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|
1,010 |
0.01 |
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|
198,815 |
1.47 |
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|
7,696,517 |
56.96 |
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Total Public
shareholding (B) |
7,994,418 |
59.17 |
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Total (A)+(B) |
13,511,811 |
100.00 |
|
(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) |
13,511,811 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
TrustsBUSINESS DETAILS
|
Line of Business : |
Manufacture and sale of ion exchange resins, water
treatment plants and chemical additives |
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Products : |
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PRODUCTION STATUS AS ON 31.03.2011
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Ion Exchange Resins |
M3 |
13200 |
13505 |
|
Water Treatment Plants |
Nos. |
NA |
52926 |
|
Chemical Additives |
Tonnes |
10000 |
10918 |
Note:
- Installed capacities mentioned above have been determined based on
single shift by the company’s technical officials and have been accepted by
the auditors without verification, as it is a technical matter.
- There are licenses for other items for which there are no
manufactured goods.
- Due to innumerable types of consumer products manufactured by the
company, quantitative information has not been furnished.
- Sales quantity of ion exchange resins, chemical additives and water
treatment plants include quantity utilized for captive consumptions.
GENERAL INFORMATION
|
No. of Employees : |
940 Approximately |
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Bankers : |
Ř
Bank of Ř
Canara Bank Ř
State Bank of Ř
Axis Bank Limited Ř
Punjab National Bank Ř
EXIM Bank Ř
Indian Overseas Bank Ř
Export-Import Bank of Ř
Indian overseas Bank |
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Facilities : |
(Rs. in Million)
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
S. R. Batliboi and Company Chartered Accountants |
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Advocate and
Solicitors : |
Crawford Bayley and Company |
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Membership : |
Confederation of Indian
Industry |
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Joint Venture : |
·
Ion Exchange Waterleau Limited |
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Subsidiaries : |
·
Ion Exchange Enviro Farms Limited ·
Watercare Investments (India) Limited ·
Aqua Investments (India) Limited ·
Ion Exchange Asia Pacific Pte. Limited, Singapore ·
Ion Exchange Asia Pacific (Thailand) Limited ·
IEI Environmental Management (M) Sdn. Bhd.,
Malaysia ·
Ion Exchange Environment Management (BD) Limited,
Bangladesh ·
Ion Exchange Infrastructure Limited ·
Ion Exchange LLC, USA ·
Ion Exchange and Company LLC, Oman ·
Ion Exchange WTS (Bangladesh) Limited |
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|
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Associates: |
·
Ion Exchange Services Limited ·
Aquanomics Systems Limited ·
IEI Water-Tech (M) Sdn. Bhd., Malaysia * ·
Astha Technical Services Limited ·
Total Water Management Services (I) Limited ·
Ion Exchange Financial Products Private Limited * ·
Global Composites and Structurals Limited |
* Associate Companies of Subsidiaries
CAPITAL STRUCTURE
AS ON 31.03.2009
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
13425911 |
Equity Shares |
Rs.10/- each |
Rs.134.259
Millions |
Note:
Of the above:
1. 10,000 (2009-2010 : 10,000) Equity Shares of Rs. 10 each are allotted
as fully paid-up, pursuant to a contract, for consideration other than cash.
2. 20,65,184 (2009-2010 : 20,65,184) Equity Shares of Rs. 10 each are
allotted as fully paid-up Bonus Shares by capitalisation of Revenue Reserve/
Share Premium.
3. 9,600 (2009-2010 : 9,600) Equity Shares of Rs. 10 each, fully
paid-up, have been allotted to the shareholders of erstwhile Hydranautics
Membranes India Limited (HMIL) at the meeting of Board of Directors held on
15th May 2000, pursuant to the Scheme of Amalgamation of the erstwhile HMIL
with the Company.
4. 6,71,700 (2009-2010 : 6,66,700) Equity Shares, 5,78,675 (2009-2010 :
5,78,675) Equity Shares, 7,28,000 (2009-2010 : 7,14,500) Equity Shares and
7,01,950 (2009-2010 : 20,400) Equity Shares have been allotted to the directors
and employees under Employees Stock Options Scheme – ESOS - 2001, ESOS - 2003,
ESOS - 2005 and ESOS - 2008 respectively upto 31st March 2011.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
134.259 |
127.258 |
126.924 |
|
|
2] Stock Options Outstanding |
27.975 |
43.214 |
30.683 |
|
|
3] Reserves & Surplus |
1311.183 |
1174.557 |
1128.620 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
1473.417 |
1345.029 |
1286.227 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
136.720 |
376.342 |
549.585 |
|
|
2] Unsecured Loans |
260.843 |
130.558 |
239.024 |
|
|
TOTAL BORROWING |
397.563 |
506.900 |
788.609 |
|
|
DEFERRED TAX LIABILITIES |
45.095 |
35.839 |
33.359 |
|
|
|
|
|
|
|
|
TOTAL |
1916.075 |
1887.768 |
2108.194 |
|
|
|
|
|
|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
568.225 |
583.621 |
636.249 |
|
|
Capital work-in-progress |
14.725 |
4.819 |
5.663 |
|
|
|
|
|
|
|
|
INVESTMENT |
299.392 |
254.389 |
102.414 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
384.165
|
393.546
|
376.001
|
|
|
Sundry Debtors |
2655.595
|
2395.544
|
2129.553
|
|
|
Cash & Bank Balances |
168.646
|
99.831
|
57.479
|
|
|
Other Current Assets |
2.043
|
2.796
|
2.493
|
|
|
Loans & Advances |
597.335
|
635.697
|
812.705
|
|
Total
Current Assets |
3807.784
|
3527.414
|
3378.231
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
2074.273
|
1804.911
|
1457.345
|
|
|
Other Current Liabilities |
602.224
|
609.744
|
500.162
|
|
|
Provisions |
97.554
|
67.820
|
56.856
|
|
Total
Current Liabilities |
2774.051
|
2482.475
|
2014.363
|
|
|
Net Current Assets |
1033.733
|
1044.939
|
1363.868
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1916.075 |
1887.768 |
2108.194 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5706.891 |
5002.737 |
4269.905 |
|
|
|
Other Income |
92.449 |
48.344 |
94.872 |
|
|
|
TOTAL (A) |
5799.340 |
5051.081 |
4364.777 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of goods sold |
4128.259 |
3533.092 |
2959.030 |
|
|
|
Operation and other expenses |
1357.524 |
1266.346 |
1212.347 |
|
|
|
TOTAL (B) |
5485.783 |
4799.438 |
4171.377 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
313.557 |
251.643 |
193.400 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES/ INTEREST (D) |
59.629 |
91.304 |
101.838 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
253.928 |
160.339 |
91.562 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
59.974 |
58.236 |
54.199 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
193.954 |
102.103 |
37.363 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
72.656 |
35.981 |
22.926 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
121.298 |
66.122 |
14.437 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
240.382 |
200.007 |
200.499 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
12.200 |
3.400 |
0.000 |
|
|
|
Proposed Final Dividend |
26.851 |
19.088 |
0.000 |
|
|
|
Tax on Dividend |
4.459 |
3.244 |
0.000 |
|
|
|
Dividend |
0.929 |
0.013 |
14.849 |
|
|
|
Tax on Dividend |
0.015 |
0.002 |
0.078 |
|
|
BALANCE CARRIED
TO THE B/S |
317.226 |
240.382 |
200.008 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods on FOB basis |
910.647 |
746.988 |
972.015 |
|
|
|
Freight and other recoveries |
7.025 |
6.637 |
13.269 |
|
|
|
Commission received |
0.000 |
0.000 |
0.638 |
|
|
TOTAL EARNINGS |
|
|
985.922 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
661.178 |
485.969 |
490.746 |
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
9.13 |
-- |
1.13 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
|
|
1st
Quarter |
|
Net Sales |
1329.400 |
|
Total Expenditure |
1262.100 |
|
PBIDT (Excl OI) |
67.300 |
|
Other Income |
10.600 |
|
Operating Profit |
77.900 |
|
Interest |
14.500 |
|
Exceptional Items |
0.000 |
|
PBDT |
63.400 |
|
Depreciation |
15.400 |
|
Profit Before Tax |
48.000 |
|
Tax |
15.500 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
32.500 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
32.500 |
KEY RATIOS
|
PARTICULARS |
|
31.3.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
2.09
|
1.30
|
0.33
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
3.39
|
2.04
|
0.87
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.43
|
2.48
|
0.93
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.13
|
0.07
|
0.03
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.18
|
2.24
|
2.18
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.37
|
1.42
|
1.68
|
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Subject, a leader in Indian water treatment Industry offers
total water management solutions for Industry, Homes and Communities. It is one
of the very few companies in the world with a range of technologies, products
and services that cover the entire spectrum of water and waste-water treatment.
A subsidiary of British Permutit till 1985, it became a wholly Indian company
when Permutit divested its holdings.
Subject has three decades of experience in the manufacture of ion exchange
resins and in the design and supply of treatment plants for water, process
liquid and waste water. The company which concentrated more on Industrial
sector occupies top slot in this sector. The company has also entered domestic
household segment with its well known Zero-B brand of drinking water purifiers
and water conditioners. Further it also entered public health sector, urban and
rural, for infrastructural and community level drinking water treatment.
Its product range includes water, process liquid and waste water treatment as
well as recycling plants, using various physico-chemical processes for setting,
clarification, filteration, disinfection, membrane and ion exchange technology,
ion exchange resins, polymers and polyelectrolytes for water and non-water
processes; boiler, cooling water and fireside treatment chemicals; Zero-B
(bacteria) water purifiers which provides bacteria-free drinking water instantly
and electro chlorinators for disinfecting water.
More than 2000 plants have been supplied in
The company has licensing agreements with some of the best known specialist
water treatment companies in the
The company provides comprehensive consultancy services including water
management surveys and detailed project reports, apart from a range of
technical services.
The company recently commissioned a second resin factory for anion manufacture.
The company has diversified into financial services through IEL Finance, a
subsidiary, which provides a wide spectrum of services in fund and fee-based
areas. Ion Exchange Enviro Farms, another subsidiary is into commercial
horticulture. On 19th Jan.'98, Ion Exchange Demag Limited, a 50:50
joint-venture between Ion Exchange (I) and Mannesmann Demag of Germany was
incorporated.
Hydronautics Membranes India Limited and Ion Exchange Finance Limited (a
subsidiary of the Company) was amalgamated with the Company. The Company has
also decided to merge the businesses of Ion Exchange Environmental Services
Limited (both 100 % subsidiaries) with the company to rationalise operations,
reduce costs and increase profitability.
The company is planning to develop Oil Field Chemicals, Refinery Process
Chemicals, Chemicals for Pulp & Paper Mills and Ion Exchangers.
OPERATIONS
During the financial
year ended 31st March, 2011, the net profit after tax of the company was Rs.
121.3 millions, an increase of 83.5% over the previous year’s net profit after
tax of Rs. 66.100 millions. The turnover was higher at Rs. 5910 millions as
compared to Rs. 5140 millions of the previous year, showing an increase of 15%.
FUTURE OUTLOOK
Indian economy is
seeing major investment in water and environment related Infrastructure. They
expect the momentum of such investments to pickup over coming years and the
company should benefit from this. Increased awareness and more stringent
regulations on pollution control and water conservation are also leading to
increased opportunities in the industry which the company will benefit from.
While it is expected that with continued focus of Government on development and
growth the Indian economy would grow at a good pace but rising inflation and
global economic slowdown may act as hindrances. The Company has expanded its
ability to serve the need of customers for the entire environment management
solution portfolio. Thus the Company along with its joint ventures and
subsidiaries offer solutions in the field of water, waste water, solid waste,
air and renewable energy to diverse set of customers ranging from
Infrastructure to household. Increased focus and improved efficiencies which
will be brought about by recent restructuring initiatives are expected to
result in significant improvement in financial performance of the Company. The
company looks at the future with cautious optimism.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT:
The Indian economy
performed in line with most expectations mainly due to large investment in
Power and Infrastructure projects. This led to higher investment in all industrial
segments during the last year. Given the significant gap in the infrastructure
demand and supply for water and sanitation facilities, the water treatment
industry is poised for decent growth over a sustainable period. The company is
uniquely placed to realize the growth opportunity with its ability to offer
wide range of technological solutions and services in this field. Fresh water
sources are under tremendous pressure due to rapid industrialization, growing
population and increasing pollution. Large investment planned in power plants
will further put stress on the fresh water availability for dinking and
agriculture. This has necessitated conservation of fresh water resources and
put thrust on recycling the waste water. Stringent pollution control norms have
forced the industry to consider zero discharge. Use of sea water into potable
water by desalination is being actively considered to augment dinking water
supplies, as well as for industrial use. This offers good growth prospects to
the Company, with its proven track record of successful design and installation
of recycle and sea water desalination plants in India and abroad. With more
industries and public utilities looking at outsourcing of water and environment
management, this is another growth opportunity for the Company which has most
extensive service, infrastructure and technological capability to offer
comprehensive services in this specialized area. Competition is also expected
to increase as number of multinational companies have entered in India looking
at the large business potential in water sector. However the company is
confident of maintaining its growth by improving cost competitiveness and
efficiency in execution of projects. The overall outlook appears positive and
the management remains confident of profitable growth in the long term.
B. HIGHLIGHTS OF
PERFORMANCE
Gross turnover for
the year 2010-2011 was Rs. 5910 millions. Profit after tax was Rs.121.300
millions as compared to Rs. 66.100 millions in the previous year. The Turnover
for the year jumped by 15%. However, the profit after Tax showed a marked
improvement of more than 80 %.
C. SEGMENTWISE
OPERATIONAL PERFORMANCE
The business of
the company can be segmented into:
1. Engineering
2. Chemicals
3. Consumer
Products
Engineering
In this segment
the Company designs, manufactures and sells medium and large size equipment for
water and waste water treatment plants. The segment achieved turnover of Rs.
3620 millions compared to Rs. 3270 millions for the previous year. This segment
continues to grow at a healthy rate particularly in light of increased
investments in infrastructure projects and power plants. Margins were under
pressure due to rising input costs. This segment is expected to grow at healthy
rate as the company has a good order bank.
Chemicals
The segment
achieved turnover of Rs.1510 millions compared to Rs. 1200 millions of the
previous year. During the year sales in domestic markets improved while
continuing exports of resins to US, Europe and South East Asia. The Company is
developing new customers in far east Korea and Japan. Good margin growth is
seen in water treatment chemical business, but the margins in resin business
were under pressure due to steep increase in cost of key raw materials. The
launch of new products in mining and refinery process treatment as well as new
applications developed for speciality resins, are likely to give significant
growth in the coming years. The outlook for this segment is positive.
Consumer Products
The segment
achieved a turnover of Rs. 820 millions as compared to Rs.710 millions of the
previous year. The segment improved business volume with 19.4% growth in the
domestic segment. The Service business continued to grow for the fourth year in
a row though the growth rate declined to 9.3%. However, the consolidation of
the service initiatives improved the satisfaction levels of their customers
significantly in the course of the year. In the year under review, the domestic
water purifier business continued to attract new entrants resulting in intense
competition and ever-changing dynamics in the market place. The focus was on
increasing the productivity of the models by reducing the number of SKUs and
consolidating the product portfolio. At the same time, the research/reengineering
efforts continued to get new products / solutions ready for the next year. The
Company continues to invest in its “Zero B” brand which has survived the
onslaught from aggressive new players in
the category. The brand was recognized as “Best Complete Domestic Water
Solutions Provider” by Water Digest Awards in association with UNESCO, WQA and
PHDCCI. The brand has received the Water Digest Award for the fifth consecutive
year. The operating structure of the Division has been reoriented to
efficiently tap the ever-increasing opportunities in the market and to nurture
long-term relationships with existing / potential customers. In the current
year, the thrust will be on improving the Brand recall and increasing the
market share, through improved productivity of the sales channels and enhanced
customer services as well as popularization of its specialised products. With
greater focus in the “Hospitality and Health Care” sector in the Institutional
segment and “Retail” as well as ‘Direct Sales’ business in the Home segment,
the Division aims for a bright future with decent growth in sales as well as
profitability. They continue to adapt their technologies and products to suit
the specific needs of the Rural consumers and contribute towards creating
awareness of safe drinking water and sanitation. During the year under review,
there was a renewed focus on increasing their presence in the rural market,
home to 70% of India’s population. This was undertaken by creating awareness
about safe drinking water and sanitation amongst rural consumers, developing a
sustainable distribution network and partnering with the Government, Non
Government Organizations (NGOs) and the local trade. In the current year, the
thrust will be on increasing their penetration and reach in rural India.
Exports
During the year
under review, Company has achieved export turnover of Rs. 910 millions. Inspite
of the economical recession in few countries and the turmoil in the Middle East, company was able to attain growth of nearly
22% in the international market. In the current year company plans to
consolidate its presence in the African and Middle East market and is confident
to maintain planned growth.
Fixed Assets:
Ř Land Including
Ř Property Rights
Ř Buildings on
Ř Buildings on
Ř Ownership Blocks
Ř Ownership Flat in
Leasehold
Ř Premises - DDA
Ř Plant and Machinery
Ř Vehicles
Ř Furniture, Fixture and Office Equipments
Ř
Leased
Assets
AS PER WEBSITE DETAILS:
PROFILE:
Subject pioneered water treatment in
If
they're at the forefront of the water management industry, it's because of a
sustained focus on:
- Technological
advancement through R and D - innovation is their hallmark as their numerous patents testify
- Affiliations
with the best specialist water treatment companies internationally.
- Human
resource development - melding technology with people trained to manage it
responsibly.
- Above all,
commitment to customer care, that goes far beyond the sale. Technical
service support is a key component of their solutions bouquet and their
service network is the largest in the Indian water treatment industry.
Total Water Management
They use their wide range of processes with an integrated approach
to deliver total solutions for every market - household, institutional,
commercial, industrial and public water supplies, urban and rural, in India and
overseas. Comprehensive services such as O and M and BOO/T enable us to meet
customer needs totally, offering end benefit conveniently and economically,
with single source responsibility.
Quality and Environmental Assurance
All operating units of the company are ISO 9001:2000 certified. Theirs was the
first subject resin manufacturing company in
The Widest Range Internationally
- Pretreatment,
process water/liquid treatment, waste water treatment, water recycle and
product recovery using various physico-chemical processes for settling,
clarification, filtration, and disinfecton, membrane and ion exchange
technology.
- Ion exchange
resins, membranes, polymers and polyelectrolytes for water and speciality
non-water applications
- Boiler and
cooling water treatment chemicals
- Fireside
chemicals and fuel additives
- Process
chemicals for sugar and paper manufacture
- Specialised
systems for removal of excessive fluoride, arsenic, iron and nitrates from
water. These along with disinfection systems have been adapted to rural
needs.
- Domestic and
institutional drinking water purifiers and water conditioners; central
drinking water treatment systems.
- Sewage
treatment and recycle systems
- Comprehensive
services - rehabilitation and automation of plant, BOO/T, O&M,
consultancy, operator training, design engineering and project management.
Hallmarks of Value Creation
- Strategic
concept-to-completion guidance and consultancy
- 360o
turnkey water management
- Assured
supply and quality of water
- Superior
price performance ratios and production efficiencies
- Single point
responsibility enabling greater customer focus on core business
- Lower cost
and effective use of capital employed
- Creative
ownership options
- Environmentally
responsive solutions
Over 4 decades of experience
In its 40 years of experience, the company has provided
installations for diverse industries in
Reverse Osmosis System for TV picture
tube company:
- More than
35,000 plants in
- Over 400
major installations at thermal and nuclear power stations, fertiliser
factories, refineries, petrochemical and other industries.
- Over US$30
million worth projects in
- Exports of
equipment, ion exchange resins, membranes and water treatment chemicals to
Japan, South East Asia, USA, Europe, Africa, Egypt, Middle East, Russia,
Bangladesh, Nepal, Mauritius and Sri Lanka
Alliances
Subject has associations with some of the best known specialist water
treatment companies in the world through which they have acquired
state-of-the-art technologies.
INTERNATIONAL ASSOCIATES
|
Licensing Agreements with |
||
|
|
|
Packaged Sewage Treatment Plant |
|
Elf Antar SA |
|
Oil Separators/Coalescers and
Drum Skimmers |
|
Eutech Instruments |
|
Water Quality Monitoring
Instruments |
|
Polymetrics |
|
Standard Reverse Osmosis System. |
|
Nordic Water Products |
|
Continuous Sand Filters |
|
Representative Agreements |
||
|
Triogen |
|
UV Sterilisers |
|
Ozonia |
|
Ozonators |
Joint Ventures
With Waterleau Belgium:
Environmental technologies and services encompassing liquid and gaseous
effluents, bio-solids and solid waste , air pollution control and recovery of energy
from waste from muncipal and industrial segments.
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.46.18 |
|
|
1 |
Rs.73.64 |
|
Euro |
1 |
Rs.64.95 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
51 |
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 |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.