MIRA
INFORM REPORT
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Report Date : |
12.04.2012 |
IDENTIFICATION DETAILS
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Name : |
ANSAL PROPERTIES AND INFRASTRUCTURE LIMITED (w.e.f. 17.12.2004) |
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Formerly Known
As : |
ANSAL PROPERTIES AND INDUSTRIES LIMITED (w.e.f. 25.10.1975) ANSAL AND SAIGAL PROPERTIES PRIVATE LIMITED |
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Registered
Office : |
115, Ansal Bhawan, 16, Kasturba Gandhi Marg, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
30.06.1967 |
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Com. Reg. No.: |
55-004759 |
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Capital
Investment / Paid-up Capital : |
Rs.787.024 Millions |
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CIN No.: [Company Identification
No.] |
L45101DL1967PLC004759 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
DELA00436C |
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Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
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Line of Business
: |
Subject is engaged in construction and maintenance, and also acts as
real estate developers |
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No. of Employees
: |
950 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
A (60) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 63000000 |
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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, a well established and a reputed company having
good track. Directors are reported as 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 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 – September 30, 2011
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Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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A1 |
A1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
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Registered Office : |
115, Ansal Bhawan, 16, Kasturba Gandhi Marg, |
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Tel. No.: |
91-11-23353550 (24 Lines) / 66302272 - 73 / 66302265 – 66 (Corporate
Sales) |
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Mobile No.: |
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Fax No.: |
91-11-23322009 (HR and Administration) / 23738310 (General) / 66302873
(Sales) / 66302855 (Project) / 66302871 (Accounts and Finance) |
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E-Mail : |
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Website : |
DIRECTORS
As on 31.03.2011
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Name : |
Mr. Sushil Ansal |
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Designation : |
Chairman & Whole Time Director |
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Name : |
Mr. Pranav Ansal |
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Designation : |
Vice Chairman & Managing Director |
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Name : |
Mr. Anil Kumar |
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Designation : |
Joint Managing Director & Chief Executive Officer |
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Name : |
Mr. Vijay Jindal |
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Designation : |
Joint Managing Director |
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Name : |
Mr. D. N. Davar |
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Designation : |
Director |
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Name : |
Dr. R. C. Vaish |
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Designation : |
Director |
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Name : |
Dr. Prem Singh Rana |
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Designation : |
Director |
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Name : |
Mr. Rahul C. Kirloskar |
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Designation : |
Director |
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Name : |
Mr. Lalit Bhasin |
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Designation : |
Director |
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Name : |
Mr. P. R. Khanna |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. Amitav Ganguly |
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Designation : |
President (Corporate Affairs) and Group Company Secretary |
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Audit Committee
Members |
Mr. D. N. Davar (Chairman) Dr. R. C. Vaish (Vice Chairman) Mr. P. R. Khanna (Member) |
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Name : |
Mr. Lalit Rustagi |
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Designation : |
Sr. Vice President (Finance and Accounts) and CFO |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2011
|
Category
of Shareholders |
No. of Shares |
Percentage |
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(A) Shareholding of Promoter and Promoter Group |
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Individuals / Hindu Undivided Family |
48,245,604 |
30.65 |
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Bodies Corporate |
24,889,134 |
15.81 |
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Sub Total |
73,134,738 |
46.46 |
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Total shareholding of Promoter and Promoter Group (A) |
73,134,738 |
46.46 |
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(B) Public Shareholding |
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Mutual Funds/UTI |
1,400 |
-- |
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2,153,801 |
1.37 |
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Insurance Companies |
2,292,677 |
1.46 |
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Foreign Institutional Investors |
31,171,622 |
19.81 |
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35,619,500 |
22.63 |
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18,288,338 |
11.63 |
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12,522,159 |
8.87 |
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11,693,191 |
7.43 |
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4,672,735 |
2.97 |
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Non Resident Indians |
674,802 |
0.43 |
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Overseas Corporate Bodies |
11 |
-- |
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Clearing Members |
32,149 |
0.02 |
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Hindu Undivided Families |
3,748,849 |
2.38 |
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Director & their Relatives
& Friends |
215,924 |
0.14 |
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Trusts |
1,000 |
-- |
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47,176,423 |
30.90 |
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Total Public shareholding (B) |
82,795,923 |
53.54 |
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Total (A)+(B) |
155,930,661 |
100.00 |
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(C) Shares held by Custodians and against which
Depository Receipts have been issued |
-- |
-- |
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Total (A)+(B)+(C) |
155,930,661 |
100.00 |
(1) Indian
(2)
Individual shareholders holding nominal share
capital up to Rs.0.100 millionBUSINESS DETAILS
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Line of Business : |
Subject is engaged in construction and maintenance, and also acts as
real estate developers |
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Products : |
Real Estate Development Promotion and Investment |
GENERAL INFORMATION
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No. of Employees : |
950 (Approximately) |
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Bankers : |
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Facilities : |
(Rs.
In Millions)
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Banking
Relations : |
-- |
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Financial
Institutions : |
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Auditors : |
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Name : |
S. S. Kothari Mehta and Company Chartered Accountants |
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Address : |
146-149, Tribhuvan Complex Ishwar Nagar, |
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Tel No. : |
91-11-4670888 |
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Fax No, : |
91-11-66628889 |
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E-Mail : |
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Subsidiaries: |
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Step Down
Subsidiaries: |
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Joint Venture
Company : |
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Associates: |
(Formerly Prime Maxi Mall Management Private Limited)
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Associates in which
there is “Significant Influence” |
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CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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240000000 |
Equity Shares |
Rs.5/- each |
Rs.1200.000 Millions |
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3000000 |
Preference Shares |
Rs.100/- each |
Rs.300.000 Millions |
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Total |
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Rs.1500.000
Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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157404876 |
Equity Shares |
Rs.5/- each |
Rs.787.024
Millions |
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Notes:
- 1,50,07,125 Equity Shares of Rs.10/- each and 5,67,50,550 Equity Shares of Rs.5/- each have been issued in earlier years as fully paid up Bonus Shares by capitalisation of Securities Premium / General Reserve.
- During the year company has allotted 85,50,000 Equity Shares of Rs.5 each fully paid up at a premium of Rs.77.50 Per Share to five identified resident investors on preferential issue basis and 2,57,26,291 Equity Shares of Rs.5/- each, fully paid up, to the QIB's under Qualified Instutions Placement, in terms of Chapter VIII of SEBI(Issue of Capital and Disclosue Requirements) Regulations, 2009 at a price of Rs.89.95 per Equity Share(Rs.5-/ towards face value and Rs.84.95 towards premium).
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
787.024 |
615.643 |
567.506 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
15034.213 |
11613.003 |
10652.156 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
15821.237 |
12228.646 |
11219.662 |
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LOAN FUNDS |
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1] Secured Loans |
12679.705 |
12698.563 |
11109.917 |
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2] Unsecured Loans |
912.916 |
831.239 |
600.594 |
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TOTAL BORROWING |
13592.621 |
13529.802 |
11710.511 |
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DEFERRED TAX LIABILITIES |
29.272 |
40.185 |
0.000 |
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TOTAL |
29443.130 |
25798.633 |
22930.173 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1037.441 |
1050.722 |
1161.445 |
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Capital work-in-progress |
8.811 |
0.000 |
0.000 |
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INVESTMENT |
2154.172 |
1597.231 |
1596.720 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
47.550 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
22406.491
|
20013.693 |
16524.596 |
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Sundry Debtors |
7250.004
|
5332.866 |
4368.255 |
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Cash & Bank Balances |
967.951
|
867.092 |
843.718 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
12648.399
|
9576.908 |
9057.676 |
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Total
Current Assets |
43272.845
|
35790.559 |
30794.245 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
8280.275
|
6755.879 |
3783.206 |
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Other Current Liabilities |
8298.292
|
5625.598 |
6651.703 |
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Provisions |
451.572
|
258.402 |
234.878 |
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Total
Current Liabilities |
17030.139
|
12639.879 |
10669.787 |
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Net Current Assets |
26242.706
|
23150.680 |
20124.458 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
29443.130 |
25798.633 |
22930.173 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
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Income |
10949.045 |
7755.882 |
7182.195 |
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Other Income |
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TOTAL |
10949.045 |
7755.882 |
7182.195 |
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Less |
EXPENSES |
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Office Expenses |
286.434 |
(123.361) |
(1545.842) |
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Administrative Expenses |
6999.258 |
4566.202 |
5811.482 |
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Advertising Expenses |
2406.915 |
2314.933 |
2148.563 |
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Prior Period Adjustments (Net) |
(3.709) |
(9.875) |
6.217 |
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TOTAL |
9688.898 |
6747899 |
6420.420 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
1260.147 |
1007.983 |
761.775 |
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Less/ Add |
DEPRECIATION/
AMORTISATION |
90.603 |
85.797 |
103.798 |
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PROFIT BEFORE
TAX |
1169.544 |
922.186 |
657.977 |
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Less |
TAX |
408.021 |
248.957 |
135.825 |
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PROFIT AFTER TAX
|
761.523 |
673.229 |
522.152 |
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Add |
Debenture
Redemption Reserve Reversed |
540.000 |
0.000 |
0.000 |
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Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
840.623 |
594.168 |
888.412 |
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Less |
APPROPRIATIONS |
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Transfer to General Reserve |
0.000 |
100.000 |
500.000 |
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Proposed Dividend |
78.702 |
65.839 |
56.751 |
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Dividend Distribution Tax |
13.071 |
10.935 |
9.645 |
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Transfer to Debenture Redemption Reserve |
0.000 |
250.000 |
250.000 |
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BALANCE CARRIED
TO THE B/S |
2050.373 |
840.623 |
594.168 |
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Earnings Per
Share (Rs.) |
5.40 |
5.74 |
4.52 |
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QUARTERLY /
SUMMARISED RESULTS
|
PARTICULARS |
30.06.2011 1st
Quarter |
30.09.2011 2nd
Quarter |
31.12.2011 3rd
Quarter |
|
Net Sales |
2781.500 |
2803.200 |
1906.500 |
|
Total Expenditure |
2000.500 |
2018.500 |
2078.000 |
|
PBIDT (Excl OI) |
781.000 |
784.700 |
(171.500) |
|
Other Income |
40.100 |
32.800 |
36.000 |
|
Operating Profit |
821.100 |
817.500 |
(135.500) |
|
Interest |
198.500 |
206.300 |
186.400 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
622.600 |
611.200 |
(321.900) |
|
Depreciation |
24.800 |
23.400 |
23.600 |
|
Profit Before Tax |
597.800 |
587.800 |
(345.500) |
|
Tax |
66.600 |
94.500 |
(110.400) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
531.200 |
493.300 |
(235.100) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
531.200 |
493.300 |
(235.100) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
6.96
|
8.68 |
7.27 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
2.64
|
2.50 |
2.06 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.08 |
0.06 |
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Debt Equity Ratio (Total Liability/Networth) |
|
1.94
|
2.14 |
1.99 |
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Current Ratio (Current Asset/Current Liability) |
|
2.54
|
2.83 |
2.87 |
LOCAL AGENCY FURTHER INFORMATION
|
Check List by Info Agents |
Available in Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
Yes |
|
5) Type of Business |
Yes |
|
6) Line of Business• |
Yes |
|
7) Promoter’s background |
Yes |
|
8) No. of employees |
Yes |
|
9) Name of person contacted |
No |
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10) Designation of contact person |
No |
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11) Turnover of firm for last two years |
Yes |
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12) Profitability for last three years |
Yes |
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13) Reasons for variation <> 20% |
-- |
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14) Estimation for coming financial year |
No |
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15) Capital in the business |
Yes |
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16) Details of sister concerns |
Yes |
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17) Major suppliers |
No |
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18) Major customers |
No |
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19) Payments terms |
No |
|
20) Export / Import details (if applicable) |
No |
|
21) Market information |
-- |
|
22) Litigations that the firm / promoter |
-- |
|
23) Banking Details |
Yes |
|
24) Banking facility details |
Yes |
|
25) Conduct of the banking account |
-- |
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26) Buyer visit details |
-- |
|
27) Financials, if provided |
Yes |
|
28) Incorporation details, if applicable |
Yes |
|
29) Last accounts filed at ROC |
Yes |
|
30) Major Shareholders, if available |
Yes |
CONTINGENT LIABILITIES:
Rs. In Millions
|
Particulars |
31.03.2011 |
31.03.2010 |
|
Claims by customers /ex-employees for interest, damages etc |
191.931 |
191.500 |
|
Claims by local Authorities for Ground Rent |
29.100 |
29.100 |
|
Income/Wealth Tax demand disputed by the Company. |
|
|
|
a) On completion of regular assessment |
81.583 |
78.200 |
|
b) On completion of block assessment |
188.400 |
188.400 |
|
Guarantees given by the Company to Banks/ Financial Institutions/ Others for loans taken by other Group Companies |
2330.874 |
3467.300 |
|
Service Tax / Sales Tax Demand disputed by the Company (Demand already deposited of Rs.30.016 Millions) |
57.522 |
112.100 |
OPERATIONS
Net Profit for the year 2010-11 stood at Rs.761.500 Millions as against Rs.673.200 Millions in the year 2009-10. The total turnover including other income for the year 2010-11 stood at Rs.10949.000 Millions, as compared to Rs.7755.900 Millions for the year 2009-10. In the current year no amount has been transferred to General Reserve.
BUSINESS
The Company is one of the leading real estate developers in
The Management's Discussion and Analysis Report forming part of the Directors' Report gives a detailed overview about the general economic scenario of the Global and the Indian economy and particularly the realty sector in the Country, including the unprecedented downturn and signs of revival, and beyond, which has and shall have impact on the nature of Company's business and generally in the classes of business in which the Company has interest. With the gradual upturn happening, the Company has ambitious growth plans to be achieved by way of establishing new and expansion of existing real estate activities.
Real Estates Business
Historically, the real estate sector in India was unorganized and characterized by various factors that impeded organized dealing, such as the absence of a centralized title registry providing title guarantee, lack of uniformity in local laws and their application, non availability of bank financing, high interest rates and transfer taxes and the lack of transparency in transaction values, however, in recent years, the real estate sector in India has been marked by a trend towards greater organisation and transparency accompanied by various regulatory reforms.
The Company has at present, projects under assorted stages of implementation across residential, commercial, retail, SEZ and Industrial Parks segments. Townships form the major portion of the land bank and real estate development plans. About 19 integrated townships, including two Hi-Tech Townships, have components of realty segments, such as residential, which will be in majority, commercial, retail and social infrastructure - such as educational institutions, hospitals, clubs, etc.
Mention of some of the projects in the process of various stages of development in these States, has been made in the Management's Discussion and Analysis Report
Affordable Housings /
Mid Income Housings
Everyone has a dream of having his /her own house,
therefore, making a home or owning a home is one of the most important events
in one's life and the Company plays a leading role to focus on affordable
housing. The importance of affordable housing is undeniable. The growth of economy,
the following recession and its gradual revival have taught lesson to both the
suppliers and the consumers. Affordability can be counted as a consumer's
ability to purchase, and, the Company strongly believes that affordable housing
is a subject that needs to be tackled with utmost priority. In the recent
times, the Company has launched various independent houses and apartments under
Affordable and Mid Income housing segment in the States of Rajasthan, Uttar
Pradesh and Haryana, which have received good response from the customers
proving that affordable / Mid Income housing concepts are attractive in the
large middle-income market segment. The Company's focus continues in this
segment, particularly in key cities in
Townships
Townships development is a trend that is portraying a new face of Indian real estate. A trend that has played an essential role in opening the floodgates for the development of integrated townships across the Country that offer their residents the promise of a quality lifestyle tailored to suit every budget.
This has brought in the FDIs with more and more foreign
entities investing in such projects.
Townships form the majority of real estate developments of the Company and are driven by the demand for high quality residential properties within easy reach of city centres and transport links. Some of the significant projects under development are as follows:-
Hi-Tech
The Company is developing a Hi-Tech Residential Township,
This Hi-Tech Township proposes to offer residential plots, group housings, independent luxury villas, shop cum office complex, shopping malls, office space, non-polluting industries, schools, educational institutes, medical centres, professional educational zones, entertainment parks, tourist parks, clubs, hotels and also offer fully equipped health and recreational centres.
This Township has also planned to have 18-hole championship international standard golf course spread over 338 acres of land, designed by Dr. Martin Hawtree, U.K, a world renowned name behind more than 750 golf courses across the globe. This Township will provide fine mix of conveniences within the Township
Some reputed institutions and business centres have already
started operating or they are in the process of being operative shortly which
includes Ansal Terchnical Campus,
Some residential clusters are already alive and people are
shifting in the built houses which have added the attraction for this new
project. The Express-way connecting
The Company is pleased to state that it has offered for
possession about 1044 residential plots and about 119 builtup units of this
ambitious Hi-Tech Township in
Hi-Tech Township-
SUSHANT MEGAPOLIS, Dadri, adjoining Greater Noida
The Government of Uttar Pradesh has awarded the Project for
development of a Hi-Tech Township to the Consortium led by the Company. The
Consortium has set up Ansal Hi-Tech Townships Limited (Ansal Hi-Tech) as the
Special Purpose Vehicle to implement the Project. This Township is being
developed on an area admeasuring 2,504 acres under the brand “SUSHANT
MEGAPOLIS” having saleable area of about 77 million square feet. The Company
has planned to develop the project in four stages with all the facilities
pertaining to sports & recreation, medical and education including golf
course. Megapolis is well connected with
The first phase of the development of the project is underway. About 700 acres of land have already been acquired out of the total land area under planning of 2504 acres.
Megapolis is gifted with five natural lakes and a grand
canal, which enhance the township's beauty. It will offer one of the finest
18-hole international golf courses in
This township Project will be a perfect blend of nature's glory, modern infrastructure, elegance and luxury.
Integrated
Township-Golf Link, Mohali
The Company is developing an integrated township in Mohali,
{
Integrated
Township-Esencia, Gurgaon
The Company is all set to achieve one more first with the
launch of the 'Esencia' township project, in Sector 67 & 67A, Gurgaon with
the objective of creating eco-friendly and environmentally sustainable living.
This township project has been registered as the pilot project for green rating
for integrated development by GRIHA(Green Rating for Integrated Habitat
Assessment), in
Landscaping is an integral part of life at Esencia. With an aim to create a sustainable green cover with minimal maintenance, the landscaping at Esencia is planned around carefully designed parks and open areas.
Integrated
Township-Ghaziabad (Aquapolis)
The Company is developing a joint venture project named Aquapolis, in Ghaziabad (U.P), located near Hapur by- Pass, which is about 127 acres of township having a saleable area of about 5.01 million square feet.
Aquapolis will provide latest world-class designs with all the amenities.
Other Integrated
Townships
The Company's other integrated townships are Sushant City, Ajmer, Sushant City, Jaipur, Sushant City, Jodhpur, Sushant City, Meerut and others. The facilities in these townships include health centres, shopping complexes, schools, parks, community centres and underground parking systems.
Power/ Infrastructure Project
The Company had commissioned a 12MW Wind Power Project in
Company had entered into a power purchase agreement with Gujarat Urja Vikas Nigam Limited for the sale of electricity produced at its Wind Farm for a period of 20 years. Over the last five years, this project is working satisfactorily.
MANAGEMENT'S
DISCUSSION AND ANALYSIS
1. INDUSTRYSTRUCTURE AND
DEVELOPMENT
Indian Real Estate
Sector
Real Estate is fast growing sectors in
The Real Estate industry has significant linkages with several other sectors of the economy and over 250 associated industries. One Rupee invested in this sector results in 78 paise being added to the GDP of the State. A unit increase in expenditure in this sector has a multiplier effect and the capacity to generate income as high as five times. If the economy grows at the rate of 10% the housing sector has the capacity to grow at 14% and generate 3.2 million new jobs over a decade.
2. GOVERNMENT
INITIATIVES
·
Role of
Government in developing the Indian real estate sector
The positive outlook of Indian government is the key factor
behind the rise of the Indian Real Estate sector- the second largest employer
after agriculture in
·
Some
proposed plans
Various reforms to streamline the real estate sector with Real Estate Management (Regulation and Control) Bill, which is expected to establish a regulatory agency is due for introduction in the system. Some of the proposed plans are as follows:
- tax-breaks and exemptions;
- streamlining and increased harmonization of registration and stamp duty rates across the country;
- Liberalization of the economy to allow foreign investment, allowing REIT and REMF structures to channel investment into real estate and permitting even small investors to participate in property development.
·
HOUSING
Housing, constitutes about 85-90% of the total Indian
Reality space. The market remains fundamentally bullish in this sector because
the primary drivers for the sector still remain strong. As per the new report
of “Indian Housing Sector Analysis", the real estate sector in
Housing industry in
·
Affordable
Housing
Everyone has a dream of having his /her own house, so making a home or owning a home is one of the most important event in one's life.The importance of affordable housing is undeniable. Affordability can be counted as a consumer's ability to purchase, and, currently, the major constituents of the Indian housing industry are the affordable houses which target especially the low income groups and economically weaker class.
The development of affordable housing is a central growth
area, which has remained relatively insulated from the fall in demand for real
estate projects in
To address the acute housing shortage, the Ministry of Housing and Urban Poverty Alleviation has been emphasizing on “Affordable Housing for All”.
·
Other
Housing
The medium housing segment is also witnessing tremendous growth, especially in Tier-I and Tier-II cities. Besides, luxury housing is also expected to witness significant growth in coming years as this market segment is comparatively very small and has huge potential for further developments. As far as super luxury housing segment is concerned, latest industry trends and developments are skewed towards the segment. MNCs have again begun hiring expat employees who are provided with the luxury housing benefits. Additionally, high net worth NRIs are also propelling demand for luxury housing in the country. Both these factors are expected to sustain the growth of luxury housing segment in long run.
The Company has at present projects under various stages of
implementation across residential, commercial, retail, SEZ and Industrial Parks
segments. Townships form the major portion of the land bank and real estate
development plans. The Company focuses on mixed use development, particularly
in residential projects, and, has a leading position in the affordable housing
segment, particularly in key cities of northern
3.
TOWNSHIPDEVELOPMENT
The perception of township has recognized its existence in the trend for staying with growing demand for luxury apartments in integrated townships. The shifting necessities and standard of living of India's residential property buyers, who have much more than just a simple home on their thoughts, when they decide to buy that dream house.
The Company is developing and promoting townships which are fully integrated residential communities incorporating their own internal road networks, green belts and parks, etc., which are often linked to trunk sources outside the township's boundaries but can, in more remote areas, be sustained from within the township itself.
Townships form the majority of real estate developments of the Company and are driven by the demand for high quality residential properties within easy reach of city centers and transport links.
Some of the significant projects under development are
"
The Company till now has developed and delivered about 232 million square feet out of which 40 million square feet is out of the current land reserves of 312 million square feet.
4. COMMERCIAL
After agricultural sector, it is the real estate sector that
contributes majorly to the economic development of the country. This sector is
expected to grow at almost 30% rate and touch $180 billion in 2020. Where
housing sector is contributing 5-6% towards the GDP of the country; the
commercial sector is not far behind. There is a substantial increase in the
commercial sector, which has paved a path for much-needed infrastructural
growth of
The Company's commercial real estate business includes developing and constructing high rise office blocks and IT/ITES parks. Commercial space offerings are a mix of “built to suit” offices, customized facilities and pure multi-tenanted facilities. These projects attract tenants who, in turn, may have significant growth plans. The commercial business model of the Company involves either the leasing or the outright sale of there developed properties, determined on a case by case basis. However, significant improvement in this segment, on a short time horizon, may not materialize.
5. RETAIL
Retailing is one of the pillars of the economy in
The Company has actively pursued contemporary retailing
development by building one of the first shopping malls of NCR,
The Company's malls have good quality tenant profile, including established and anchor tenants, and are characterized by better design, high quality infrastructure as well as leisure and entertainment amenities such as cinema complexes, food courts and restaurants. The location of shopping malls and tenant mix are adjusted to market preferences.
The Company's retail business model includes both the leasing and sale of retail developments. In the past, the Company had sold out its units in retail segment, generally prior to construction completion on installment sales. For future, the Company is planning to retain ownership of many of the retail developments. Notwithstanding sale of mall retail units, the Company generally retains mall management, as well as the ownership of key common areas, in order to control the quality of the retail space and maintain an appropriate mix of tenants.
6. FACILITIES
MANAGEMENT
The discipline of facility management and the role of facility managers in particular are evolving to the extent that many managers have to operate at two levels: strategic-tactical and operational. In the former case, it is the responsibility of the owner and in the latter it is the role of a facility manager to ensure proper operation of all aspects of a building to create an optimal, safe and cost effective environment for the occupants to function.
The
Company ensures that proficient facilities management services which cover
operations such as parking management, horticulture management, power
distribution, back-up power generation, central air conditioning, janitorial
services, security services, pest control, fire detection and solid waste
disposal, are provided in order to preserve its brand name and reputation.
These are provided for townships, residential, commercial and retail business
lines by an established property management company.
7. SPECIAL ECONOMIC ZONES
(SEZ) AND INDUSTRIAL PARKS
The
Company has got two IT/ITES SEZs and one Agro SEZ notified by Government of
India.
IT/ITES
parks are areas with a high concentration of commercial office space,
specifically targeting IT and ITES companies. Specific tax exemptions and other
incentives are available for developers and customers of IT/ITES parks. An
industrial park, on the other hand, is an area zoned and planned for the
purpose of industrial development.
IT/ITES
parks may form part of the Hi-Tech cities, which the Company is developing, and
also form part of other integrated townships to be developed on a stand-alone
basis.
8. OPPORTUNITIES
The
long term view on the Indian Real Estate industry is positive, as fundamental
demand drivers such as increasing urbanization, favourable demographics, growth
of the service sector, and rising incomes are still intact.
Indian
Real Estate has good potential for demand in almost every sector especially in
commercial, residential, hospitality, healthcare, retail & industrial. This
is growing at a pace of almost 30 percent per year. The bulk of construction
activity about 80% is dedicated to housing, while the rest is commercial,
including offices, malls, hotels and hospitals.
Demand-supply
gap in affordable housing exists, with demand fuelled by tax incentive and a
growing middle class with higher savings. Increasing demand for commercial and
office space especially from the rapidly growing Retail, IT/ITES and
Hospitality Sectors etc., also exists.
The
Real Estate Sector in
- More housing units in
cities and towns because of growing urbanization, burgeoning middle class,
and increased disposable income, easy availability on housing finance and
tax incentives;
- Demand for office
premises by growing industry;
- Demand for commercial
space by growing retail segment;
- Demand for multiplexes
by evolving entertainment sectors;
- Demand for
hotels/resorts by growing tourism;
- SEZs by various
sectors;
- Better infrastructure
by the growing Indian economy through all its sectors;
- Office premises by
growing IT/ITES.
Investment
opportunities exist in almost every segment ofthe Business. Several factors are
expected to contribute to the rapid growth in the Real Estate.
- Over 20 million new
housing units will require in next 4 years;
- Commercial space for
organized retailing;
- Hotels &
Hospitality-over40,000 to 50,000 new rooms will be required in next 5
years;
- According to eleventh
five year plan (2007-2012), the housing shortages in urban areas is
estimated at 24.7 million units, out of which more than 88% is in the
economically weaker section (EWS). Meanwhile , the housing shortage in
rural areas is estimated at 47.4 million units. For the Plan period , the
total housing requirement (including backlog) is estimated at 26.5 million
units. This provides real estate developers with ample growth
opportunities, as unmet demand remains significant;
- Growth of service
sector and organised retail increasing urbanisation, rising income levels,
contracting household sizes and the easy availability of home loans are
the key growth drivers ofthe Industry;
PERFORMANCE
The Company currently operates in a range of business
verticals such as
Besides being in NCR, the Company has spread its arms across
four North Indian States i.e. Uttar Pradesh, Haryana, Rajasthan &
The Company has total land reserve of about 10136 acres out
of which about 43% is in NCR. The Company intends to take advantage of
Some of the projects in the process of various stages of development are as follows:-
Projects in the State
of
Housing
Aquapolis,
Group Housing - ETA- II, Greater Noida
Megapolis (Hi-Tech City) Dadri, Greater Noida
Commercial
Shopping Square,
Shopping Square, Sec-A,
Retail/ Industrial
Park / Other
Ansal Plaza Mall, Greater Noida
IT Park, Greater Noida (The Corpus)
Ansal Plaza Mall,
Projects in the State
of
Housing
Sushant Royal, Karnal
Sushant Homez, Sonepat
Sushant Homez, Panipat
Valley View Estate, Gawalpahari
Esencia, Sector -67 & 67A, Gurgaon
Group Housing (IVY-I), Gurgaon
Greenescape, Sonepat
The Fernhill, Gurgaon
Commercial
Sushant Corporate Plaza, Gurgaon
Palam Corporate Plaza, Gurgaon (Palam Vihar)
Palam Triangle, Gurgaon (Palam Vihar)
Retail/ Industrial
Park / Other
Ansal Plaza-Palam Vihar, Gurgaon
ITSEZ, Badshahpur
Agro SEZ, Murthal, Sonepat
The Palms, Gurgaon (Entertainment / Hospitality)
Industrial Park, Pathredi
Projects in the State
of
Housing
Sushant Lok,
Anand Lok, Jaipur
Abhilasha Homes, Jaipur,
Commercial
Sushant Haat,
Sushant Haat,
Projects in the State
of
Housing
Palm Grove, Mohali
Golf links-1, Mohali(Residential Plots, Exclusive Floors, Luxury Floors, Happy Homes)
Golf Link-II, Mohali(Residential Plots,
Sushant Estates,
Commercial
Aerodrome,
City Centre, Mohali
The
Retail/ Industrial
Park / Other
Boulevard,
PROSPECT &
OUTLOOK
The Company has already undertaken / is under the process of launching, on its own/ through joint ventures / associates, the projects in various States like Rajasthan, Haryana, U.P, Punjab, NCR regions. It is in the process of developing many Integrated Townships. The Company is committed to take on more and more challenging tasks in its areas of operations with increased focus and dedication in the coming years.
The Company is committed to provide the residents of these cities with world-class real estate solutions. The said Projects and the following Townships are expected to yield high visibility, prestige and profitability to the Company:-
a) The
Company has launched the “Esencia” township project in Sector 67 & 67 Aof
Gurgaon, Haryana with the objective of creating eco-friendly and
environmentally sustainable living. The total developable area is about 220
acres. This township project has been registered as the pilot project for green
rating for integrated development by GRIHA (Green Rating for Integrated Habitat
Assessment), in
b) Hi-Tech
c) This
Township is being developed on an area admeasuring 2504 acres under the brand
“SUSHANT MEGAPOLIS” having saleable area of about 77 million square feet
.Hi-Tech Township, Megapolis, in Dadri, U.P, will be a model project in the
National Capital Region and will be a self sustained township with multiple
avenues for employment generation and trade facilities available within the
vicinity. Megapolis is very well connected with
The following Projects are also expected to bestow positive outlook and profitability to the Company:-
a) The
Company is developing an integrated township in Mohali, {
b) Another Project at Gurgaon of Industrial Park having a total project area of about 112 acres with more than 50 acres of industrial plots offered for industrial units to operate various specified industries. This Project provides an ideal location for industries and usher the Company in the arena of Industrial Parks.
The Company believes that affordable housing segment faces a
supply-demand mismatch and it is a subject that needs to be tackled with utmost
priority. In the recent times, the Company has launched various independent
houses and apartments under Affordable and Mid Income housing segment in the
States of Rajasthan, Uttar Pradesh and Haryana.The Company's focus continues on
affordable housing segment, particularly in key cities in
The Company's strategy of focus on smaller cities or better known as Tier-II cities, has proved to be a correct vision perceived on a long term basis considering both i.e. its performance and its priority in development of the Nation.
The Company continues to emphasize and build upon its well
acknowledged brand image of “
Customers' satisfaction being the priority of the Company, all efforts are being made to use the best of construction, architecture and allied inputs, both from highly reputed national and international Companies to provide superlative quality products to customers at all the times. Sensing the need for the focus on quality & timely delivery, the Company has tied up with reputed construction contractors and other expert service providers. Moreover, the Company has constituted an internal committee with a retired High Court Judge as its chairman to look into the customer issues, legal / otherwise.
The Company has also tied up with well known Banks / Institutions for providing facility of subvention scheme to its customers. This will help the customers, who desire to obtain housing loan for buying the properties of the Company, through easier fund flow outgo on their loan liability. It is expected that with this facility more and more customers will avail this scheme with corresponding benefits to both the customers and the Company.
OPERATING RESULTS OF
THE COMPANY
- Overview
The Financial Statements have been prepared in compliance
with the requirements of the Companies Act, 1956, guidelines issued by
Securities and Exchange Board of India (SEBI) and Generally Accepted Accounting
Principles (GAAP) in
- Net Profit
The Company's net profit for the year ended the 31st March, 2011 stood at Rs.1080.500 Millions on a consolidated basis, compared to Rs.710.100 Millions of Financial Year ended 31st March, 2010, registering a robust growth of 52%. The total income in Financial Year 2010-11 stood at Rs.12906.800 Millions on a consolidated basis, as against Rs.8889.200 Millions in Financial 2009-10.
Net Profit for the year 2010-11, on standalone basis, also increased by 13% to Rs.761.500 Millions from Rs.673.200 Millions in the previous year. This represents 6.95% and 8.68% of the total income for the year ended the 31st March, 2011 and the 31stMarch, 2010.
- Earning Per Share (EPS)
Basic Earning Per Share {EPS}, on a consolidated basis, of the Company has also increased by 26% during the year to Rs.7.22 per share from Rs.5.49 per share in the previous year. The outstanding shares used in computing
the basic EPS increased from 12,31,28,585 for the year ended the 31st March, 2010 to 15,74,04,876 for the year ended 31st March, 2011.
WEBSITE DETAILS:
PRESS RELEASE
August 11, 2011
NEW DELHI, India, August 11, 2011 – Ansal Properties and
Infrastructure Limited (referred
Commenting on the results and performance, Mr. Pranav Ansal,
Vice Chairman and Managing Direc
[“During the Quarter, the company has registered a growth of
~16% in its consolidated revenues. However, there was a decrease in the profit
which was primarily due
FINANCIAL HIGHLIGHTS
|
|
Standalone |
Consolidated |
||||||
|
(Rs. In Millions) |
Quarter 1 |
y-o-y |
Full Year |
Quarter 1 |
y-o-y |
Full Year |
||
|
|
FY 2012 |
FY 2011 |
Growth (%) |
FY 2011 |
FY 2012 |
FY 2011 |
Growth (%) |
FY 2011 |
|
Sales and Operating Income |
2781.500 |
2203.800 |
26.2 |
10771.700 |
2970.100 |
2551.200 |
16.42 |
12571.300 |
|
EBITDA |
781.000 |
792.500 |
(1.44) |
1999.200 |
544.800 |
743.000 |
(26.67) |
2421.100 |
|
EBITDA Margin (%) |
28.08 |
35.96 |
|
18.56 |
18.34% |
29.12% |
|
19.26 |
|
Net Income |
531.200 |
368.100 |
44.33 |
761.500 |
217.800 |
368.600 |
(409.100) |
1014.800 |
|
Net Income Margin (%) |
18.83 |
16.46 |
|
6.97 |
7.26 |
13.51 |
|
7.88 |
|
Basic EPS (Rs) |
3.37 |
2.96 |
|
5.40 |
1.38 |
3.12 |
|
7.22 |
OPERATIONAL
HIGHLIGHTS
- During the current quarter, the
Company has transferred part of the Trunk Infrastructure Assets in one of
the Integrated Hi-Tech Township projects in Uttar Pradesh,
- Total
sales booked in Q1 FY2012 are in excess of ~8.5 million sq ft, aggregating
- Total area sold till Q1 FY2012 ~98.16 million sq ft out of the current gross land reserves.
- ~
41.70 million sq ft has been delivered till Q1 FY 12 out of current area
sold from
- Achieved average price realization of Rs.~1,166 per sq ft during Q1 FY2012
- Robust collections from current and previous sales accounted for an increase of more than 70% over the collections during the 1st Quarter of last financial year.
- During the quarter the Company has launched an area of ~8 million Sft across various asset classes out of which the Company has sold an area of ~3.2 million Sft which is also included in the overall sales of more than 8 million Sft sales during the quarter.
STRATEGIC OUTLOOK
The company will continue
COMPANY BACKGROUND
Ansal is a leading real estate developer in
Ansals are primarily focused on mid housing segment of the
residential property market, particularly in key cities in northern
The Company is currently developing on 19
UNAUDITED FINANCIAL RESULTS
FOR THE QUARTER/NINE MONTHS ENDED 31 ST DECEMBER, 2011
Re. In Millions
|
Particulars
|
Quarter Ended |
Nine Months Ended |
|
|
|
Unaudited
31.12.2011 |
Unaudited 30.09.2011 |
Unaudited
31.12.2011 |
|
(a) Net Sales / Income from operations |
1779.800 |
2390.200 |
645.400 |
|
(b) Surplus on transfer of Infra Assets to Subsidiary Company |
0.000 |
283.400 |
700.600 |
|
(c) Other Operating Income |
126.700 |
129.600 |
388.600 |
|
Total Income |
1906.500 |
2803.200 |
7542.600 |
|
|
|
|
|
|
Expenditure |
|
|
|
|
a) (Increase) / Decrease in stock in trade and work in
progress |
83.300 |
67.800 |
233.800 |
|
b) Consumption of raw materials |
1537.600 |
1492.400 |
4537.100 |
|
d) Employees cost |
100.300 |
146.200 |
397.200 |
|
e) Depreciation |
23.600 |
23.400 |
71.800 |
|
f) Other expenditure |
356.800 |
312.100 |
92890.000 |
|
Total |
2101.600 |
2041.500 |
6168.800 |
|
|
|
|
|
|
Profit from operations before other income, interest and
exceptional Items |
(195.100) |
761.300 |
1373.800 |
|
Other income |
36.000 |
32.800 |
101.500 |
|
Profit before interest and exceptional Items |
(159.100) |
7.94.100 |
1475.300 |
|
Interest / Finance charges |
186.400 |
2 06.300 |
635.200 |
|
Profit
after Interest but before Exceptional Items |
(345.500) |
5,67.800 |
840.100 |
|
Exceptional Items
- |
-- |
-- |
-- |
|
Profit
(+)/Loss(-) from Oridinary Activities before tax |
(345.500) |
567.800 |
840.100 |
|
Tax expense |
(73.300) |
108.800 |
155.900 |
|
Vat Credit entitlement |
37.100 |
14.300 |
105.200 |
|
Net
Profit (+)/Loss(-) from Ordinary Activities after tax |
(235.100) |
493.300 |
789.400 |
|
Extraordinary Items (net of tax expenses) |
-- |
-- |
-- |
|
Net Profit (+) / Loss (-) for the year period |
(235.100) |
493.300 |
789.400 |
|
Paid up equity share capital (Face value of Rs.10/- per
share) |
787.000 |
787.000 |
787.000 |
|
Reserves excluding revaluation reserves |
-- |
-- |
-- |
|
Earnings per share (EPS) |
|
|
|
|
(a)
Basic and diluted EPS before Extraordinary items for the
period, for the year to date and for the previous
year (not to be annualised) |
(1.49) |
3.13 |
5.02 |
|
(b)
Basic and diluted EPS before Extraordinary items for
the period, for the year to date and for the previous
year (not to be annualised) |
(1.49) |
3.13 |
5.02 |
|
Public shareholding |
|
|
|
|
Number of
shares* |
84,270,138 |
84,295,833 |
84,270,138 |
|
Percentage
of shareholding |
53.54 |
53.55 |
53.54 |
|
|
|
|
|
|
Promoters and Promoters group Shareholding- |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
Number of shares |
56,757,034 |
71,457,034 |
56,757,034 |
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
77.61 |
97.14 |
77.61 |
|
Percentage of shares (as a % of total share capital of the
company) |
36.06 |
45.40 |
36.06 |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
Number of shares |
16,377,704 |
1,652,009 |
16,377,704 |
|
Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
22.39 |
2.26 |
22.39 |
|
Percentage of shares (as a % of total share capital of the
company) |
10.40 |
1.05 |
10.40 |
Notes
1) The previous period / year's figures have been regrouped wherever necessary.
2) Having regard to the integrated nature of real estate development business and the parameters of Accounting Standard-17 issued by Centra! Government under Companies Accounting Standards Rules, 2006, the operations of the company are within single segment. The generation of electricity by the company's windmill project does not qualify as a reporting segment as per the said standards.
3) In the Audit Reports on Accounts for the year ended March 31, 2011 and Limited Review Reports for the quarter ended June 30, 2011, September 30, 2011 and December 31, 2011, the auditors have made certain observations/qualifications. The Management's response to these observations/qualifications are as under:-
i) During the period the company has not claimed any exemption under section 80 IA of the Income Tax Act, 1961 Exemption amounting to Rs.344.800 Millions has been claimed upto the period ended March 31, 2011 under section 80 IA of the Income Tax Act, 1961 being tax profits arising out of sale of Industrial Park units, pending the notification of the same by Central Board of Direct Taxes. Also the company has taken opinion from a senior counsel that its application satisfies all the conditions specified in the said Scheme of Industrial Park, Further the company has submitted all the documents as desired by the referred authority during the period and the matter is pending with CBDT
ii) During the previous two quarters, the Company has transferred part of the Trunk Infrastructure Assets in one of the Integrated Hi-Tech Township projects in Uttar Pradesh, to a wholly owned Infra Subsidiary Company vide an agreement dated 15th June 2011 on the basis of fair valuation by a certified valuer. The obligation of further development, maintenance and charging for the same now lies with the subsidiary company. Resultant surplus of Rs.700.600 Millions on transfer of such Infrastructure Assets, being the difference between the book value and transfer value has been recognised during the first two quarters. Further, pursuant to AS-21 which deals with Consolidated Financial Statements, such surplus has been eliminated in the consolidated financial results owing to the gains remaining unrealised in this intra - group transaction.
iii) The Auditors of the Company have drawn attention to the fact that the Company is carrying project inventory of Rs.1678.500 Millions for Group Housing Project in Greater Noida. Due to downward trend in the market, the Greater Noida Industrial Development Authority (GNIDA) announced a Scheme whereby the developers have an option to accept project on a smaller piece of land equivalent to the amount paid and surrender balance project land subject to certain conditions. The management had applied to the Authority conveying its intention to develop the project under this Scheme and has got its approval. The matter is under consideration and appropriate adjustment will be made when the final decision has been taken by GNIDA.
iv) With respect to comments of the Auditors on advances aggregating to Rs.1453.200 Millions given to land owning companies/collaborators/others for purchase of land and comments on its recoverability / adjustment, the management is of the view that such advances are given in respect of ongoing transactions and are regarded as being in the normal course of business.
v) The Auditors of the company have drawn attention that the company has not considered borrowing costs to be incurred in future in general for determining the project revenues, project inventory and debtors. The management is of the view that the amount of this item cannot be determined at this stage.
vi) The company has, during the year ended March 31, 2010, changed its accounting policy in respect of accounting for certain costs in the nature of administration and selling costs by charging them off to Profit & Loss against the earlier policy of treating them as part of project cost for determining project inventory, revenue and debtors The management is of the view that expenditure of such nature incurred in earlier years and considered as part of project inventories under Projects/ Contract work in progress upto 31st March 2009 has been carried forward as such
Fixed Assets
- Land Freehold
- Office and Residential Premises
- Plant and Machinery
- Furniture and Fixtures
- Office Equipments
- Air Conditioning Plant and Air Conditioners
- Vehicle
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.51.55 |
|
|
1 |
Rs.81.95 |
|
Euro |
1 |
Rs.67.57 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
60 |
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 |
- |
S
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.