MIRA INFORM REPORT

 

 

Report Date :

28.09.2011

 

IDENTIFICATION DETAILS

 

Name :

ABB LIMITED

 

 

Registered Office :

2nd Floor, East Wing Khanija Bhawan, 49, Race Course Road, Bangalore – 560 001, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

24.12.1949

 

 

Com. Reg. No.:

08-032923

 

 

Capital Investment / Paid-up Capital :

Rs.423.817 millions

 

 

CIN No.:

[Company Identification No.]

L32202KA1949PLC032923

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMA19181B

 

 

PAN No.:

[Permanent Account No.]

AAACA3834B

 

 

Legal Form :

A Public Limited Liability Company. The Company's Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

Manufacturing of switchgears, pollution and environment control equipments and motors/alternators/generators. It is also into manufacture of electrical items such as motors, transformers, etc.

 

 

No. of Employees :

5535 (approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Aa (75)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

Large

 

 

Maximum Credit Limit :

USD 97000000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established and reputed company having fine track. Financial position of the company appears to be sound. Fundamentals are strong and healthy. Directors are reported to be experienced and respectable businessmen. 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)

India

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 :

2nd Floor, East Wing Khanija Bhawan, 49, Race Course Road, Bangalore – 560 001, Karnataka, India

Tel. No.:

91-80-22949150/54

Fax No.:

91-80-22949148

E-Mail :

ashay.khandwala@in.abb.com

b.gururaj@in.abb.com 

Website:

http://www.abb.co/in

 

 

Corporate Office:

Plot No. Street No. 17, Nashik – 422 007, Maharashtra, India

 

 

Factory:
  • Nos. 5 and 6, Peenya Industrial Estate, Phase II, Bangalore - 560 058, Karnataka, India

 

  • P. O. and Village Jalkhura, Budge Trunk Road, Maheshtala, District South 24 Paraganas - 743 352, West Bengal, India

 

  • Plot No. 22A, Shah Industrial Estate, Off Veera Desai Road, Andheri (West), Mumbai - 400 053, Maharashtra, India

 

  • Plot No. 79, Street No. 17, MIDC Industrial Estate, Satpur, Nashik - 422 007, Maharashtra, India

 

  • Maneja, Vadodara - 390 013, Gujarat, India

 

  • 32, Industrial Area, Faridabad - 121 001, Haryana, India

 

  • Village Numbal, 110, Poonamalle High Road, Chennai - 600 077, Tamilnadu, India

 

 

Marketing and Service

Centre:

Located at :

 

  • Chandigarh
  • Delhi
  • Jaipur
  • Udaipur
  • Vadodara
  • Mumbai
  • Pune
  • Bangalore
  • Coimbatore
  • Kochi
  • Lucknow
  • Kanpur
  • Bhopal
  • Nagpur
  • Hyderabad
  • Chennai
  • Visakhapatnam
  • Bhubaneshwar
  • Kolkata
  • Jamshedpur.

 

 

Branch Offices :

Located at –

 

  • Ahmedabad
  • Bhubaneswar
  • Coimbatore
  • Dehradun
  • Hyderabad
  • Jaipur
  • Jamshedpur
  • Kochi
  • Lucknow
  • Ludhiana
  • Nagpur
  • Pune
  • Thiruvananthapuram
  • Visakhapatnam

 

 

Regional Offices :

Located at –

 

  • Bangalore
  • Bhopal
  • Chandigarh
  • Chennai
  • Delhi
  • Kolkata
  • Mumbai
  • Raipur

 

 

Manufacturing Units :

Bangalore

  • 23, KHB Light Industrial Area, Bangalore, Karnataka, India

Tel. No.: 91-80-22949725

 

  • 538, 4th Phase, Peenya Industrial Area, Bangalore, Karnataka, India

Tel. No.: 91-80-22949660

 

  • Plot No.5 and 6, 2nd Phase, Rajanagar Industrial Estate, Bangalore, Karnataka, India

Tel. No.: 90-80-22949449 / 22949650 to 70

 

 

Faridabad

  • 14, Mathura Road, Faridabad, India

Tel. No.: 91-129-2275592

 

  • 32, Industrial Area, Faridabad, India

Tel. No.: 91-129-5023001 to 05

 

 

Halol

  • Halol-Champaner Road, Halol, Gujarat, India

Tel. No.: 91-2676-220999

 

 

Haridwar

  • Integrated Industrial Estate, Haridwar, India

Tel. No.: 91-1334-235447/50

 

 

Mumbai

  • 22A, Shah Industrial Estate, Mumbai, Maharashtra, India

Tel. No.: 91-22-66717272/73/74

 

 

Vadodara

  • Maneja, Vadodara, India

Tel. No.: 91-265-2642141/42 

 

 

DIRECTORS

 

As On 31.12.2010

 

Name :

Mr. Gary Steel

Designation :

Chairman

 

 

Name :

Mr. Bazmi R. Husain

Designation :

Managing Director  (w.e.f. 01.01.2011)

 

 

Name :

Mr. Biplab Majumder

Designation :

Vice Chairman and Managing Director

(upto 31.12.2010 and director (w.e.f. 01.01.2011)

 

 

Name :

Mr. N. S. Raghavan

Designation :

Independent Director

 

 

Name :

Mr. Darius E Udwadia

Designation :

Independent Director

 

 

Name :

Mr. Nasser Munjee

Designation :

Independent Director

 

 

Name :

Mr. Peter Leupp

Designation :

Director

 

 

Name :

Mr. Arun Kanti Dasgupta

Designation :

Independent Director

Other Directorship :

1) Life Insurance Corporation of India

2) Mahindra and Mahindra Limited

3) Grasim Industries Limited

4) LIC Cards Services Limited

 

 

Name :

Mr. Francis Duggan

Designation :

Director

 

 

KEY EXECUTIVES

 

Name :

Mr. B. Gururaj

Designation :

Company Secretary

 

 

Name :

Mr. Bazmi R. Husain

Designation :

Country Manager

 

 

Name :

Mr. Amlan Datta Majumdar

Designation :

Chief Financial Officer

 

 

Name :

Mr. Raja Radhakrishnan

Designation :

Head - Human Resources

 

 

Name :

Mrs. Juliane Lenzner

Designation :

Head - Corporate Communications and Investor Relations

 

 

Name :

Mr. N. Venu

Designation :

Head - Sales and Marketing

 

 

Name :

Mr. S. Karun

Designation :

Head - Service and EHS

 

 

Name :

Mr. Ranjan De

Designation :

Head - Institutional Sales

 

 

Name :

Mr. Madhav Vemuri

Designation :

Head - Corporate Research

 

 

Name :

Mr. GNV Subba Rao

Designation :

Head - Process Automation

 

 

Name :

Mr. Pitamber Shivnani

Designation :

Head - Power Products

 

 

Name :

Mr. Prakash Nayak

Designation :

Head - Power Systems

 

 

Name :

Mr. Tommy Andreasson

Designation :

Head - Low Voltage Products

 

 

Name :

Mr. R. Narayanan

Designation :

Head - Discrete Automation and Motion

 

 

CORPORATE MANAGEMENT COMMITTEE :

Mr. Bazmi R. Husain

Mr. Amlan Datta Majumdar

Mr. B. Gururaj

Mr. GNV Subba Rao

Mr. Juliane Lenzner

Mr. Madhav Vemuri

Mr. N. Venu

Mr. Pitamber Shivnani

Mr. Prakash Nayak

Mr. R. Narayanan

Mr. Raja Radhakrishnan

Mr. Ranjan De

Mr. S. Karun

Mr. Tommy Andreasson

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 30.06.2011)

 

Names of Shareholders

No. of Shares

Percentage of Holding

 

 

 

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

--

--

 

 

 

(2) Foreign

 

 

Bodies Corporate

158,931,282

75.00

Sub Total

158,931,282

75.00

 

 

 

Total shareholding of Promoter and Promoter Group (A)

158,931,282

75.00

 

 

 

(B) Public Shareholding

 

 

(1) Institutions

 

 

Mutual Funds / UTI

2,074,386

0.98

Financial Institutions / Banks

24,267,980

11.45

Foreign Institutional Investors

6,849,002

3.23

Sub Total

33,191,368

15.66

 

 

 

(2) Non-Institutions

 

 

Bodies Corporate

1,502,555

0.71

 

 

 

Individuals

 

 

Individual shareholders holding nominal share capital up to Rs.0.100 Million

17,487,950

8.25

Individual shareholders holding nominal share capital in excess of Rs.0.100 Million

344,035

0.16

 

 

 

Any Others (Specify)

451,185

0.21

Directors & their Relatives & Friends

3,500

-

Non Resident Indians

327,678

0.15

Trusts

53,246

0.03

Clearing Members

66,761

0.03

Sub Total

19,785,725

9.34

 

 

 

Total Public shareholding (B)

52,977,093

25.00

 

 

 

Total (A)+(B)

211,908,375

100.00

 

 

 

(C) Shares held by Custodians and against which Depository Receipts have been issued

-

-

(1) Promoter and Promoter Group

-

-

(2) Public

-

-

Sub Total

-

-

 

 

 

Total (A)+(B)+(C)

211,908,375

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of switchgears, pollution and environment control equipments and motors/alternators/generators. It is also into manufacture of electrical items such as motors, transformers, etc.

 

 

Products :

Product Description

 

ITC Code

Switchgears of all types

83.35

Transformers

85.04

Electronic Control and Supply Units for Variable Speed Drives and other applications

85.04

 

 

PRODUCTION STATUS (AS ON 31.12.2010)

 

Particulars

Unit

Installed Capacity

Actual Production

 

 

 

 

 

Motors and other machines

HP

4389000

4021646

Switchgear of all types

Nos.

17229216

10528361

PLCC Equipment

Nos.

3500

2696

Multiplexures

Nos.

100

25

Telemetering Equipments

Nos.

150

9

Turbochargers

Nos.

650

504

 Transformers

MVA

20410

12356

Electronic Control and Supply Units for Variable Speed Drivers and other applications

Nos.

102958

45147

Mini Computer/Microprocessor based Systems

Value Rs. in ‘000

4701000

2016170

Power Capacitors of all types

MVAR

7280

6210

Robotics

Nos.

74

56

Gas Analyzers and Systems

Nos.

400

299

Process Control Instruments

Nos.

45000

29088

 

 

GENERAL INFORMATION

 

No. of Employees :

5535 (approximately)

 

 

Bankers :

·         AXIS Bank Limited

·         Canara Bank

·         Citibank N.A.

·         DBS Bank Limited

·         Deutsche Bank AG

·         HDFC Bank Limited

·         ICICI Bank Limited

·         IDBI Bank Limited

·         State Bank of India

·         Standard Chartered Bank

·         The Hongkong and Shanghai Banking Corporation Limited

·         The Royal Bank of Scotland N.V.

·         Union Bank of India

·         YES BANK Limited

 

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

S. R. Batliboi and Company

Chartered Accountants

 

 

Subsidiary

·         ABB (China) Limited, Beijing, China

·         ABB LV Installation Materials Company Limited, Beijing, China

·         ABB (Hong Kong) Limited, Hong Kong

·         ABB Malaysia Sdn Bhd., Subang Jaya, Malaysia

·         ABB (Pty) Limited, Gaborone, Botswana

·         ABB Management Services Limited, Zurich, Switzerland

·         ABB A/S, Skovlunde, Denmark

·         ABB Mexico S.A. de C.V., Tlalnepantla, Mexico

·         ABB AB, Västerĺs, Sweden

·         ABB N.V., Zaventem, Belgium

·         ABB AG, Mannheim, Germany

·         ABB Near East Trading Limited, Amman, Jordan

·         ABB AS, Billingstad, Norway

·         ABB Oy, Helsinki, Finland

·         ABB AS, Tallinn, Estonia

·         ABB Power Systems and Automation Technology S.A.E, Cairo, Egypt

·         ABB Australia Pty Limited, Sydney, Australia

·         ABB Pte. Limited, Singapore, Singapore

·         ABB Automation GmbH, Mannheim, Germany

·         ABB Qatar LLC., Doha, Qatar

·         ABB Automation Products GmbH, Ladenburg, Germany

·         ABB Research Limited, Zurich, Switzerland

·         ABB Azerbaijan LLC, Baku, Azerbaijan

·         ABB S.A. de CV, San Salvador, El Salvador

·         ABB Bailey Beijing Engineering Company Limited, Beijing, China

·         ABB S.A., Buenos Aires, Argentina

·         ABB Beijing Drive Systems Company Limited, Beijing, China

·         ABB S.A., Casablanca, Morocco

·         ABB Bomem Inc., Quebec, Canada

·         ABB S.A., Lima, Peru

·         ABB BV, Rotterdam, Netherlands

·         ABB S.A., Panama, Panama

·         ABB Capital, B.V., Amsterdam, Netherlands

·         ABB S.A., Rueil-Malmaison, France

·         ABB Chongqing Transformer Company Limited, Chongqing, China

·         ABB S.A., Santiago, Chile

·         ABB CL Logistic S.A., Montevideo, Uruguay

·         ABB S.p.A., Milan, Italy

·         ABB Contracting Company Limited, Riyadh, Saudi Arabia

·         ABB s.r.o., Prague, Czech Republic

·         ABB d.o.o., Belgrade, Serbia

·         ABB Schweiz AG, Baden, Switzerland

·         ABB D.o.o., Ljubljana, Slovenia

·         ABB Sécheron S.A., Satigny, Switzerland

·         ABB Electrical Industries Limited, Riyadh, Saudi Arabia

·         ABB Service (Private) Limited, Harare, Zimbabwe

·         ABB Electrical Machines Limited, Shanghai, China

·         ABB Service Company Limited, Al Khobar, Saudi Arabia

·         ABB Electroengineering Limited, Moscow, Russian Federation

·         ABB Shanghai Motors Company Limited, Shanghai, China

·         ABB Elektrik Sanayi A.S., Istanbul, Turkey

·         ABB South Africa (Pty) Limited, Modderfontein, South Africa

·         ABB Engg. Technologies Co. (KSCC), Safat, Kuwait

·         ABB Sp. zo.o., Warsaw, Poland

·         ABB Engineering (Shanghai) Limited, Shanghai, China

·         ABB SRL, Bucharest, Romania

·         ABB Engineering Trading and Service Limited, Budapest, Hungary

·         ABB Stotz-Kontakt GmbH, Heidelberg, Germany

·         ABB ESAP Limited, St. Peter's Port, Guernsey

·         ABB Technologies S.A., Dakar, Senegal

·         ABB France SAS, Rueil Malmaison cedex, France

·         ABB Technologies W.L.L., Bahrain, Bahrain

·         ABB FZ-LLC, Dubai, United Arab Emirates

·         ABB Technology AB, Västeras, Sweden

·         ABB Global Industries and Services Limited, Bangalore, India

·         ABB Technology Limited, Zurich, Switzerland

·         ABB Global Marketing FZ LLC, Dubai, United Arab Emirates

·         ABB Technology SA, Abidjan, Cote D'Ivoire

·         ABB High Voltage Switchgear (Xiamen) Company Limited, Xiamen, China

·         ABB Transmission and Distribution Automation Equipment (Xiamen) Company Limited, Xiamen, China

·         ABB High Voltage Switchgear Company Limited, Beijing, China

·         ABB Holding AS, Billingstad, Norway

·         ABB Transmission and Distribution Limited, Abu Dhabi, United Arab Emirates

·         ABB Holdings (Pty) Limited, Sunninghill, South Africa

·         ABB Trasmissione and Distribuzione S.p.A., in liquidazione, Milan,Italy

·         ABB Holdings Sdn. Bhd., Subang Jaya, Malaysia

·         ABB Turbo Systems (Hong Kong) Limited, Hong Kong, Hong Kong

·         ABB Inc., Norwalk CT, United States of America

·         ABB Turbochargers S.A.E., Suez, Egypt

·         ABB Inc., St. Laurent, Quebec, Canada

·         ABB Turbo-Systems AG, Baden, Switzerland

·         ABB Industries (L.L.C.), Dubai, United Arab Emirates

·         ABB UAB, Vilnius, Lithuania

·         ABB Industries FZ, Dubai, United Arab Emirates

·         ABB Xiamen Electrical Controlgear Company Limited, Xiamen, China

·         ABB Information Systems Limited, Zurich, Switzerland

·         ABB Instrumentation Limited, Warrington, United Kingdom

·         ABB Xiamen Switchgear Company Limited, Xiamen, China

·         ABB International Marketing Limited, Zurich, Switzerland

·         ABB Xi'an Power Capacitor Company Limited, Xi'an, China

·         ABB Intra AG, Zurich, Switzerland

·         ABB Xinhui Low Voltage Switchgear Company Limited, Xinhui , China

·         ABB Jiangjin Turbo Systems Company Limited, Chongqing, China

·         ABB, Inc., Paranaque, Metro Manila, Philippines

·         ABB K.K., Tokyo, Japan

·         ABB, s.r.o., Bratislava, Slovakia

·         ABB Limited, Auckland, New Zealand

·         ABBNG Limited, Lagos, Nigeria

·         ABB Limited, Bangkok, Thailand

·         Asea Brown Boveri (Pty) Limited, Windhoek, Namibia

·         ABB Limited, Nairobi, Kenya

·         Asea Brown Boveri Electrica SGPS (Angola) Limitada, Luanda, Angola

·         ABB Limited, Warrington, United Kingdom

·         Asea Brown Boveri Limited, Port Louis, Mauritius

·         ABB LLC,, Al Hamriya, Oman

·         Asea Brown Boveri Ltda., Bogotá, Colombia

·         ABB LLP., Almaty, Kazakhstan

·         Asea Brown Boveri Ltda., La Paz, Bolivia

·         ABB Logistics Center Europe GmbH, Menden, Germany

·         Asea Brown Boveri S.A., Madrid, Spain

·         ABB Limited, Dublin, Ireland

·         Asea Brown Boveri S.A., Metamorphossis Attica, Greece

·         ABB Limited, Hanoi, Vietnam

·         Asea Brown Boveri S.A.E., Cairo, Egypt

·         ABB Limited, Kiev, Ukraine

·         Busch-Jaeger Elektro GmbH, Mannheim/Lüdenscheid, Germany

·         ABB Limited, Lusaka, Zambia Electrical Materials Center, Riyadh, Saudi Arabia

·         ABB Limited, Moscow, Russian Federation PT

·         ABB Installation Materials, Jakarta, Indonesia

·         ABB Limited, Seoul, Korea, Republic Of Korea PT

·         ABB Jasa Indonesia, Jakarta, Indonesia

·         ABB Limited, Taipei, Taiwan, Province Of China PT

·         ABB Sakti Industri, Jakarta, Indonesia

·         ABB Limited, Zagreb, Croatia PT

·         ABB Transmission and Distribution, Jakarta, Indonesia

·         ABB Limited, Osasco, Brazil

·         Pucaro Elektro-Isolierstoffe GmbH, Roigheim, Germany

·         Turbo Systems United Company Limited, Tokyo, Japan

 

 

Membership :

Confederation of Indian Industry

 

 

Holding company :

ABB Asea Brown Boveri Limited, Zurich

 

 

CAPITAL STRUCTURE

 

AS ON 31.12.2010

 

Authorized Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

212500000

Equity Shares

Rs.2/- each

Rs.425.000 Millions

750000

11% Redeemable 10 year, Cumulative Preference Shares

Rs.100/- each

Rs.75.000 Millions

 

 

 

 

 

TOTAL

 

Rs.500.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

211908375

Equity Shares

Rs.2/- each

Rs.423.817 millions

 

 

 

 

 

Notes:

 

Share Capital Includes:

 

a)       46185525 Equity Shares of Rs.2 each allotted as fully paid up at par, pursuant to contracts for consideration other than cash.

b)       1000000 equity shares of Rs.2 each issued to the holders of 40000-8.57% cumulative preference shares of Rs.100 each on cancellation of the preference shares in terms of Scheme of Compromise between the Company and its preference/equity shareholders in 1988

c)       42219465 and 51772945 equity shares of Rs.2 each issued as fully paid up bonus shares by capitalization of General Reserve Account and Securities Premium Account respectively

d)       146390952 equity shares of Rs.2 each are held by ABB Asea Brown Boveri Limited, Zurich, Switzerland, the holding company and 12540330 equity shares of Rs.2 each are held By ABB Norden Holdings AB, Sweden, a subsidiary of the holding company.

 

 

 

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.12.2010

31.12.2009

31.12.2008

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

423.817

423.817

423.800

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

23813.219

23813.515

20765.700

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

24237.036

24237.332

21189.500

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

0.200

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

0.000

0.000

0.200

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

24237.036

24237.332

21189.700

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

7660.842

6731.296

5458.300

Capital work-in-progress

576.965

1163.391

1375.200

 

 

 

 

INVESTMENT

167.958

168.792

611.200

DEFERREX TAX ASSETS

45.966

0.966

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
6978.526
7294.061
6426.500

 

Sundry Debtors
29259.657
28577.298
29758.900

 

Cash & Bank Balances
5871.250
5241.405
3482.300

 

Other Current Assets
3611.195
3203.027
0.000

 

Loans & Advances
3541.588
3176.861
7789.100

Total Current Assets
49262.216
47492.652
47456.800

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditor
16401.756
14784.204
32115.500

 

Other Current Liabilities
15228.721
15085.122
 

 

Provisions
1846.434

1450.439
1596.300

Total Current Liabilities
33476.911
31319.765
33711.800

Net Current Assets
15785.305
16172.887
13745.000

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

24237.036

24237.332

21189.700

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.12.2010

31.12.2009

 

31.12.2008

 

SALES

 

 

 

 

 

Income

62871.118

62372.014

73402.400

 

 

Other Income

855.236

725.696

1304.200

 

 

TOTAL                                     (A)

63726.354

63097.710

74706.600

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Raw Material Consumed

48020.949

45178.728

20835.000

 

 

Personnel Expenses

4901.126

3892.346

0.000

 

 

Increase/(Decrease) in Finished Goods

0.000

0.000

(737.800)

 

 

Other Expenditure

9111.441

8026.815

45416.400

 

 

Expenses Capitalized

0.000

(15.473)

0.000

 

 

TOTAL                                     (B)

62033.516

57082.416

65513.600

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

1692.838

6015.294

9193.000

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

173.927

256.242

493.800

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

1518.911

5759.052

8699.200

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

516.608

485.058

366.800

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

1002.303

5273.994

8332.400

 

 

 

 

 

Less

TAX                                                                  (H)

370.000

1727.603

2858.300

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

632.303

3546.391

5474.100

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

607.178

556.632

--

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

200.000

3000.000

--

 

 

Proposed Dividend

423.817

423.817

--

 

 

Corporate Dividend Tax

70.391

72.028

--

]

 

Corporate Dividend Tax 2009

(1.637)

0.000

--

 

BALANCE CARRIED TO THE B/S

546.910

607.178

--

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export of goods

9315.239

8201.205

NA

 

 

Goods supplied/services rendered locally against foreign exchange remittances

661.455

8.597

NA

 

 

Erection & Other Services

209.769

427.058

NA

 

 

Other Income

254.205

132.661

NA

 

TOTAL EARNINGS

10440.668

8769.521

NA

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials and Components including Spares

10321.908

11030.965

NA

 

 

Finished Goods

2139.614

2301.267

NA

 

 

Capital Goods including Technical Know-how

208.838

232.0211

NA

 

 

Project items

5541.720

6455.914

NA

 

TOTAL IMPORTS

18212.080

20020.1671

NA

 

 

 

 

 

 

Earnings Per Share (Rs.)

2.98

16.74

129.17

 

 

QUARTERLY RESULTS

 

PARTICULARS

 

 

31.03.2011

30.06.2011

Type

 

1st Quarter

2nd Quarter

 Sales Turnover

 

17930.520

17125.250

 Total Expenditure

 

16943.450

16270.380

 PBIDT (Excl OI)

 

987.070

854.870

 Other Income

 

74.490

65.130

 Operating Profit

 

1061.560

920.000

 Interest

 

39.970

66.520

 Exceptional Items

 

0.000

0.000

 PBDT

 

1021.590

853.480

 Depreciation

 

144.150

264.280

 Profit Before Tax

 

877.450

589.200

 Tax

 

281.990

202.000

 Reported PAT

 

0.000

0.000

Extraordinary Items       

 

595.460

387.200

Prior Period Expenses

 

0.000

0.000

Other Adjustments

 

0.000

0.000

Net Profit

 

0.000

0.000

 

 

595.460

387.200

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.12.2010

31.12.2009

31.12.2008

PAT / Total Income

(%)
0.99

5.62

7.33

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
1.59

8.46

11.35

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
1.76

9.73

1.41

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.04

0.22

6.18

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
1.38

1.29

0.39

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
1.47

1.52

15.75

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Performance Review:

 

Orders received during the year at Rs.63,496 million were 27% lower as compared to Rs.86,847 million in the previous year. Order backlog at the end of 2010 was at the same level of Rs.84,362 million compared to Rs.84,787 million at the end of the previous year.

 

Sales and other income for the year were marginally higher by 1% at Rs.63,726 million compared to Rs.63,098 million in the previous year. Revenues of all the segments were higher than the previous year except Power Products and Process Automation which saw a negative growth of 9% and 8% respectively.

 

Profit before tax for the year was lower at Rs.1,002 million as compared to Rs.5,274 million in the previous year, mainly on account of exit costs of rural electrification business, strategic orders with lower margin, higher input costs witnessed by the industry and adverse impact from fair valuation of forward foreign exchange and embedded derivative contracts.

 

Profit after tax at Rs.632 million for the year has reduced by 82% compared to Rs.3,546 million in the previous year. Earning per equity share of face value of Rs.2/- correspondingly decreased to Rs.2.98 compared to Rs16.74 in the previous year.

 

 

BOARD OF DIRECTORS:

 

Mr. Bernhard Jucker was appointed as an Alternate Director for Mr. Peter Leupp during the period from April 30, 2010 to July 29, 2010 when Mr. Leupp was a Director.

 

Mr. Biplab Majumder, Vice Chairman and Managing Director of the Company resigned and his resignation was accepted by the Board from the close of office hours on December 31, 2010.

 

The Directors place on record their appreciation of the valuable services rendered by the above Directors during their tenure as Alternate Director and Managing Director of the Company respectively.

 

Mr. Majumder was appointed as an Additional Director effective January 1, 2011. He holds office upto the date of this Annual General Meeting. He does not wish to seek reappointment.

 

Mr. Bazmi R. Husain was appointed as an Additional Director. He was also appointed as the Managing Director of the Company with effect from January 1, 2011, subject to approval of the share holders in general meeting.

 

Mr. Arun Kanti Dasgupta, Director of the Company is due to retire by rotation at this Annual General Meeting and is eligible for re-appointment.

 

Mr. Gary Steel was appointed as a Director of the Company with effect from February 20, 2009, in the casual vacancy caused by the resignation of Mr. Ravi Uppal. Since Mr. Ravi Uppal would have retired by rotation at this Annual General Meeting had he not resigned, Mr. Gary Steel would also cease to hold the office of Director at this Annual General Meeting, pursuant to Section 262 of the Companies Act, 1956 and is eligible for reappointment as a Director.

 

 

 

MANAGEMENT'S DISCUSSION AND ANALYSIS

 

OPERATING RESULTS OF THE COMPANY:

 

During the year 2010, the Company secured orders of Rs.63,496 million, compared to highest ever level of Rs.86,847 million in the previous year. Booking of certain high value orders in the previous year, competitive market environment, management’s decision to be selective based on credit and other risks for certain opportunities, de-logging of certain non-moving orders in non-core businesses upon foreclosure and delay in decisions by the customers accounted for lower order receipt during the year 2010. Company’s order backlog at the end of the year stood at Rs.84,362 million thereby providing significant revenue visibility for the coming year.

 

Revenues during the year were at Rs.63,726 million as compared to Rs.63,098 million in the previous year. Lower short-cycle orders, decision to exit from rural electrification business of power systems segment and longer execution schedule of large value project orders resulted in marginal growth of revenues during the year.

 

Profit before tax for the year was lower at Rs.1,002 million as compared to Rs.5,274 million in the previous year, mainly on account of exit costs of rural electrification business, strategic orders with lower margin, higher input costs witnessed by the industry and adverse impact from fair valuation of forward foreign exchange and embedded derivative contracts. During the year, management continued to pursue several cost optimisation measures which along with lower interest expenses partially helped in reducing the above impact. Net profit after tax stood at Rs.632 million.

 

During the year, the Company has successfully commissioned certain new manufacturing facilities, completed planned expansion projects and continued to expand its range of offerings along with introducing several new products. Investment in fixed assets during the year was Rs.1,044 million.

                  

 

OUTLOOK FOR THE COMPANY:

 

ABB Group demonstrated its higher engagement and confidence in the Indian market and its Indian operations by increasing its shareholding from 52.11% to 75% during the year. The Company expects the investment in power and other infrastructure sectors in India to continue. With growing robust domestic economy, comfortable order backlog position, potential for increase in exports, adequate manufacturing and engineering capabilities coupled with access to state-of-art global technologies, management is confident, barring unforseen circumstances, of sustainable profitable growth of the Company in coming years.

 

 

FINANCE:

 

Interest rates after remaining stable in initial part of the year have started rising in the later part of the year. Liquidity position of the Company was comfortable and the Company remained debt free. Company remained focused on its working capital management. Interest expenses during the year reduced to Rs.174 million compared to Rs.256 million in the previous year. Interest income from placement of temporary surplus funds as fixed deposits with the banks increased significantly on account of higher surplus fund and increase in interest rates to Rs.91 million as compared to Rs.11 million in the previous year. Net cash position (cash and bank balances less loan fund) at the end of the year was higher at Rs.5,871 million compared to Rs.5,241 million at the end of the previous year. The Company continued its policy to hedge all its foreign currency exposures for imports and exports to protect contract margins. As in the past, Company has maintained excellent relationship with major banks operating in India and was able to avail and negotiate favourable terms for various banking facilities.

 

 

CONTINGENT LIABILITIES

 

Particulars

31.12.2010

31.12.2009

 

 

(Rs. In Millions)

 

 

 

Claims against the Company not acknowledged as debts in respect of sales tax, excise and other matters

2956.464

1685.368

 

 

 

Bills discounted

The above excludes bills co-accepted by the customers’ bankers/guaranteed by the State Governments Rs.0.051 Million

--

--

 

 

 

Income tax matters in dispute

110.936

130.379

 

 

 

The Company does not expect any reimbursements in respect of the above contingent liabilities and it is not practicable to estimate the timings of cash outflows, if any, in respect of matters above pending resolution of the arbitration / appellate proceedings.

 

 

Fixed Assets:

 

·         Freehold land

·         Leasehold Land

·         Leasehold Improvements

·         Factory Buildings

·         Other Building

·         Residential Quarters

·         Plant and Machinery

·         Furniture and Fixture

·         Vehicle

 

 

WEBSITE DETAILS:

 

ABB India introduction

 

As one of the world’s leading engineering companies, Subject helps customers to use electrical power effectively and to increase industrial productivity in a sustainable way. The Subject Group of companies operates in over 100 countries and employs about 120,000 people.

 

Subject operations in India include 14 manufacturing facilities with over 7500 employees. Customers are served through an extensive countrywide presence with more than 18 marketing offices, 8 service centers, 3 logistics warehouses and a network of over 800 channel partners. The Subject Group is increasingly leveraging the Indian operations for projects, products, services, engineering and R and D.

 

 

NEWS:

 

ABB selected to provide link worth $900 million for power superhighway in India

 

Zurich, Switzerland, 23.03.2011 - Multi-terminal ultrahigh-voltage direct current system will have record 8,000 MW capacity

 

ABB, the leading power and automation technology group, has been selected by Power Grid Corporation of India Limited (PGCIL) to deliver an ultrahigh-voltage transmission system, worth about $900 million. The link will supply hydropower from northeastern India to the city of Agra over a distance of 1,728 kilometers.

 

ABB has been chosen to execute the North-East Agra transmission project together with BHEL (Bharat Heavy Electricals Limited), a leading Indian government-owned power company that will deliver the remainder of the project worth more than $1.1 billion in total. The order will be booked on completion of financing requirements.

 

The ultrahigh-voltage direct current (UHVDC) link operating at 800 kilovolts (kV) will have a converter capacity of 8,000 megawatts (MW), the highest ever built. When operating at full capacity, the link will be able to supply enough electricity to serve 90 million people based on average national consumption. Using ultrahigh-voltage minimizes transmission losses and improves efficiency.

 

“The North-East Agra transmission link sets a new standard in ultrahigh-voltage power transmission and underlines ABB’s global leadership in HVDC technology,” said Peter Leupp, head of ABB’s Power Systems division. ”We are pleased to continue supporting India in the development of its power infrastructure.”

 

The system will be the world’s first UHVDC link with three converter stations: Two “sending” stations will convert power from AC to DC for transmission over a single power line that will pass through the narrow Siliguri Corridor and deliver electricity to the third, “receiving” station in Agra where it will be converted back into AC for distribution to end users.

 

The multi-terminal solution considerably reduces costs compared to the alternative of running separate power links from multiple hydropower plants to Agra. The project will be executed on a turnkey basis including design, system engineering, supply, installation and commissioning. This is ABB’s second multi-terminal HVDC link: The first was constructed in North America in 1990-92.

 

UHVDC transmission is a development of HVDC, a technology pioneered by ABB more than 50 years ago, and represents the biggest capacity and efficiency leap in over two decades. ABB is a world leader in HVDC transmission technology, with many pioneering achievements and over 70 HVDC projects around the world with a combined transmission capacity around 60,000 MW.

 

ABB (www.abb.com) is a leader in power and automation technologies that enable utility and industry customers to improve their performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 124,000 people.

 

 

 

 

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.49.18

UK Pound

1

Rs.76.65

Euro

1

Rs.66.63

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

8

OPERATING SCALE

1~10

8

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

9

--PROFITABILIRY

1~10

9

--LIQUIDITY

1~10

9

--LEVERAGE

1~10

8

--RESERVES

1~10

9

--CREDIT LINES

1~10

8

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

YES

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

75

 

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

 

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.