1. Summary Information
|
|
|
Country |
|
|
Company Name |
SUNDRAM
FASTENERS LIMITED |
Principal Name 1 |
Mr. Suresh Krishna |
|
Status |
Good |
Principal Name 2 |
Ms. Arathi Krishna |
|
|
|
Registration # |
18-004943 |
|
Street Address |
98-A, Dr.
Radhakrishnan Salai, 7th Floor, Mylapore, Chennai – 600 004, |
||
|
Established Date |
10.12.1962 |
SIC Code |
-- |
|
Telephone# |
91-44-28478500 |
Business Style 1 |
Manufacturer |
|
Fax # |
91-44-28478510 /
28478508 |
Business Style 2 |
- |
|
Homepage |
Product Name 1 |
Fasteners |
|
|
# of employees |
1800
(Approximately) |
Product Name 2 |
Cold
Extruded |
|
Paid up capital |
Rs.210,128,370/- |
Product Name 3 |
Powder
Metal Parts |
|
Shareholders |
Promoter
and Promoter Group –
49.53% Public
shareholding – 50.47% |
Banking |
United Bank of |
|
Public Limited Corp. |
Yes |
Business Period |
49 Years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
A
(58) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Subsidiary
|
|
Sundram Fasteners Investments Limited |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
5,152,205,000 |
Current Liabilities |
2,063,773,000 |
|
Inventories |
2,869,311,000 |
Long-term Liabilities |
7,496,135,000 |
|
Fixed Assets |
6,078,092,000 |
Other Liabilities |
914,259,000 |
|
Deferred Assets |
-- |
Total Liabilities |
10,474,167,000 |
|
Invest& other Assets |
1,924,055,000 |
Retained Earnings |
5,339,368,000 |
|
|
|
Net Worth |
5,549,496,000 |
|
Total Assets |
16,023,663,000 |
Total Liab. & Equity |
16,023,663,000 |
|
Total Assets (Previous Year) |
13,159,440,000 |
|
|
|
P/L Statement as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Total Income |
18,131,014,000 |
Net Profit |
1,051,770,000 |
|
Total Income (Previous yr) |
1,336,600,900 |
Net Profit(Prev.yr) |
754,285,000 |
MIRA
INFORM REPORT
|
Report Date : |
14.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
SUNDRAM FASTENERS LIMITED |
|
|
|
|
Registered Office : |
98-A, Dr. Radhakrishnan Salai, 7th Floor, Mylapore, Chennai
– 600 004, Tamilnadu |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2011 |
|
|
|
|
Date of Incorporation : |
10.12.1962 |
|
|
|
|
Com. Reg. No.: |
18-004943 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.210.128 Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L35999TN1962PLC004943 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHES00555C / CHES17415G |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACS8779D / AAACS8779D |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The company shares are listed on
stock exchanges. |
|
|
|
|
Line of Business : |
Manufacturer
of Fasteners,
Cold Extruded and Powder Metal Parts, Radiator Caps, and Gear Shifters. |
|
|
|
|
No. of Employees
: |
1800 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (58) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 22000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and a reputed company having fine track.
Directors are reported to be experienced an 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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
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/ Corporate
Headquarters : |
98-A, Dr. Radhakrishnan Salai, 7th Floor, Mylapore, Chennai
– 600 004, |
|
Tel. No.: |
91-44-28478500 |
|
Fax No.: |
91-44-28478510 / 28478508 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory (In |
Padi, Chennai-600050, Ghengleput District, |
|
Tel No.: |
91-44-26258460 |
|
Fad No.: |
91-44-26357052 |
|
E mail: |
|
|
|
|
|
Factory (In |
Krishnapuram, Aviyur-626160, Virudhunagar District, |
|
|
|
|
Factory (In |
Mittamandagapet
Village-605106, Villupuram District, Tamilnadu, India |
|
|
|
|
Factory (In |
47/2, |
|
Tel No.: |
91-44-26272231/ 55512231 |
|
Fad No.: |
91-44-26272696 |
|
E mail: |
|
|
|
|
|
Factory (In |
SIPCOT Industrial Complex, Gummidipoondi-601021, |
|
|
|
|
Factory (In |
Auto Ancillary SEZ, |
|
|
|
|
Factories (In |
Tamilnadu: Harita, Hosur-635109, |
|
Tel No.: |
91-4344-276651 |
|
Fad No.: |
91-4344-276082 |
|
E mail: |
|
|
|
|
|
Factory (In |
Puducherry Korkadu, Nettapakkam Commune, Bahur Taluk, Puducherry-605110 |
|
|
|
|
Factory (In |
Andhra Pradesh Bonthapally Village-502313, Medak District |
|
|
|
|
Factory (In |
Uttarakhand Patnagar,
Itegrated Industrial Estate, Rudrapur, District Udam Singh Nagar,
Uttarakhand-263153 |
|
|
|
|
Factory (In |
Tamilnadu: Ambattur, Hosur, |
|
|
|
|
Factories (Outside |
Sundaram Fasteners ( |
|
|
|
|
Factories (Outside |
Cramlington Precision Forge Limited, |
|
|
|
|
Factories (Outside |
Sundram RBI Sdn, |
|
|
|
|
Factories (Outside |
Peiner Umformetechnik |
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. Suresh Krishna |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Ms. Arathi Krishna |
|
Designation : |
Joint Managing Director |
|
|
|
|
Name : |
Ms. Arundathi Krishna |
|
Designation : |
Whole time Director |
|
|
|
|
Name : |
Mr. K Ramesh |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Venu Srinivasan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. V Narayanan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R Srinivasan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R Ramakrishnan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. C V Karthik Narayanan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. M Raghupathy IAS |
|
Designation : |
Director (Retired) |
|
|
|
|
Name : |
Mr. V.G Jaganathan |
|
Designation : |
Executive Director |
|
|
|
|
Name : |
Mr. Sampathkumar Moorthy |
|
Designation : |
Executive Director |
KEY EXECUTIVES
|
Name : |
Mr. V.G Jaganathan |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2012
|
Category
of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
104,085,280 |
49.53 |
|
|
104,085,280 |
49.53 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
104,085,280 |
49.53 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
24,296,530 |
11.56 |
|
|
8,113,638 |
3.86 |
|
|
10,856,901 |
5.17 |
|
|
1,009,343 |
0.48 |
|
|
44,276,412 |
21.07 |
|
|
|
|
|
|
3,751,041 |
1.79 |
|
|
|
|
|
|
48,157,290 |
22.92 |
|
|
9,668,573 |
4.60 |
|
|
189,774 |
0.09 |
|
|
17,168 |
0.01 |
|
|
4,650 |
- |
|
|
167,956 |
0.08 |
|
|
61766,678 |
29.39 |
|
Total Public shareholding (B) |
106,043,090 |
50.47 |
|
Total (A)+(B) |
210,128,370 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
210,128,370 |
100.00 |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 million BUSINESS DETAILS
|
Line of Business : |
Manufacturer
of Fasteners,
Cold Extruded and Powder Metal Parts, Radiator Caps, and Gear Shifters. |
||||||||||||||
|
|
|
||||||||||||||
|
Product: |
v
Fasteners v
Radiator Caps v
Powder Metal Parts v
Cold Extruded Parts v
Hot Forged Parts v
Pumps and Assemblies
|
PRODUCTION STATUS (As on 31.03.2011)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
High tensile fasteners |
MT |
71435 |
61304 |
|
Automotive and other miscellaneous cold formed/extruded
parts/Precision formed gears |
MT |
4600 |
4321 |
|
Powder metal parts |
MT |
9100 |
5554 |
|
Iron powder |
MT |
8000 |
893 |
|
Radiator caps |
Nos. |
100 |
72 |
|
Gear shifters |
Nos. |
- |
113 |
|
|
Nos. |
50000 |
14360 |
|
Hot and warm forged parts |
MT |
6000 |
368 |
|
Shafts |
Nos. |
1350000 |
1226187 |
|
Hubs |
Nos. |
1350000 |
1361844 |
|
Pump Assemblies (Water /Oil/Fuel Pumps) |
Nos. |
- |
5401179 |
GENERAL INFORMATION
|
No. of Employees
: |
1800 (Approximately) |
||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||
|
Bankers : |
v
United Bank of v
State Bank of v Standard Chartered Bank v HDFC Bank Limited v ICICI Bank Limited v Canara Bank |
||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||
|
Facilities: |
|
||||||||||||||||||||||||||||||
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Sundaram and Srinivasan Chartered Accountants |
|
Address : |
New No. 4 (Old No. 23), |
|
|
|
|
Subsidiaries : |
v
Sundram Fasteners Investments Limited, Chennai v
Cramlington Precision Forge Limited, v
Sundram RBI Sdn. Bhd, v
Upasana Engineering Limited, Chennai v
Sundram Fasteners ( v
Sundram Non-Conventional Energy Systems Limited,
Chennai v
Sundram Bleistahl Limited, Chennai v
Sundram International Inc, v
TVS Peiner Services, GmbH (formerly Peiner
Logistik GmbH), v
Peine, v
Peiner Umformtechnik GmbH, Peine, v
PUT Grundstücks GmbH, Peine, |
|
|
|
|
Associates : |
v
TVS Infotech Limited, Chennai v
TVS Infotech Inc, v
TV Sundram Iyengar and Sons Limited, v
Southern Roadways Limited, |
|
|
|
|
|
v
Upasana Finance Limited, Chennai |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
250,000,000 |
Equity Shares |
Re.1/- each |
Rs.250.000 millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
210,128,370 |
Equity Shares |
Re.1/- each |
Rs.210.128
millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
210,128,370 |
Equity Shares |
Re.1/- each |
Rs.210.128
millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
210.128 |
210.128 |
210.128 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
5339.368 |
4591.417 |
4062.134 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
5549.496 |
4801.545 |
4272.262 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
6496.632 |
3693.885 |
4611.949 |
|
|
2] Unsecured Loans |
999.503 |
1985.202 |
2061.844 |
|
|
TOTAL BORROWING |
7496.135 |
5679.087 |
6673.793 |
|
|
DEFERRED TAX LIABILITIES |
863.308 |
813.670 |
747.047 |
|
|
|
|
|
|
|
|
TOTAL |
13908.939 |
11294.302 |
11693.102 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
6078.092 |
5601.393 |
5418.913 |
|
|
Capital work-in-progress |
500.381 |
196.408 |
260.848 |
|
|
|
|
|
|
|
|
INVESTMENT |
1423.674 |
1423.943 |
1424.530 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
2869.311
|
2095.264
|
2214.908
|
|
|
Sundry Debtors |
3645.453
|
2603.674
|
2349.345
|
|
|
Cash & Bank Balances |
85.889
|
50.323
|
107.772
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
1420.863
|
1188.435
|
1156.834
|
|
Total
Current Assets |
8021.516
|
5937.696
|
5828.859
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1847.045
|
1668.539
|
1001.334
|
|
|
Other Current Liabilities |
216.728
|
151.806
|
198.624
|
|
|
Provisions |
50.951
|
44.793
|
40.090
|
|
Total
Current Liabilities |
2114.724
|
1865.138
|
1240.048
|
|
|
Net Current Assets |
5906.792
|
4072.558
|
4588.811
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
13908.939 |
11294.302 |
11693.102 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
18083.940 |
13338.606 |
12621.944 |
|
|
|
Other Income |
47.074 |
27.403 |
34.410 |
|
|
|
TOTAL (A) |
18131.014 |
13366.009 |
12656.354 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Materials, Components consumed,
work-in-process and finished goods |
8388.884 |
6247.475 |
6013.885 |
|
|
|
Salaries and Wages, Stores consumed and
other expenses |
7457.702 |
5415.260 |
5004.639 |
|
|
|
TOTAL (B) |
15846.586 |
11662.735 |
11018.524 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
2284.428 |
1703.274 |
1637.830 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
296.605 |
149.963 |
991.988 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1987.823 |
1553.311 |
645.842 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
545.372 |
474.840 |
422.328 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1442.451 |
1078.471 |
223.514 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
390.681 |
324.186 |
68.664 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1051.770 |
754.285 |
154.850 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
293.921 |
264.638 |
230.982 |
|
|
|
|
|
|
|
|
|
|
Income
Tax (Paid)/ Refund relating to earlier years |
2.487 |
(4.152) |
19.220 |
|
|
|
Transfer
from Investments Allowance Reserve (utilized) Account |
-- |
-- |
2.506 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend Paid |
115.571 |
84.051 |
-- |
|
|
|
Tax on Interim Dividend |
19.195 |
14.285 |
-- |
|
|
|
Interim Dividend Payable |
147.090 |
105.064 |
105.064 |
|
|
|
Tax on Interim Dividend Payable |
24.450 |
17.450 |
17.856 |
|
|
|
Transfer to General Reserve |
700.000 |
500.000 |
20.000 |
|
|
BALANCE CARRIED
TO THE B/S |
1348.178 |
293.921 |
264.638 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
4802.956 |
3321.529 |
4291.253 |
|
|
|
Claims Received |
0.000 |
0.260 |
2.989 |
|
|
|
Other |
0.000 |
10.513 |
4.900 |
|
|
TOTAL EARNINGS |
4802.956 |
3332.302 |
4299.142 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
3197.677 |
1403.799 |
2341.673 |
|
|
|
Components & Spares Parts |
104.101 |
486.752 |
521.472 |
|
|
|
Capital Goods |
379.944 |
92.944 |
344.194 |
|
|
|
Tools Steel, Tools, Gauges etc |
330.955 |
92.250 |
84.207 |
|
|
|
Others |
1.420 |
12.855 |
4.574 |
|
|
TOTAL IMPORTS |
4014.097 |
2088.600 |
3296.12 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
5.02 |
3.57 |
0.83 |
|
|
|
Diluted |
5.02 |
3.57 |
0.83 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 1st Quarter |
30.09.2011 2nd
Quarter |
31.12.2011 3rd
Quarter |
|
Net Sales |
5218.500 |
5455.700 |
5312.700 |
|
Total Expenditure |
4495.600 |
4948.000 |
4750.400 |
|
PBIDT (Excl OI) |
722.900 |
507.700 |
565.300 |
|
Other Income |
1.500 |
1.700 |
5.500 |
|
Operating Profit |
724.40 |
509.400 |
570.800 |
|
Interest |
71.100 |
87.100 |
81.600 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
653.300 |
422.300 |
489.200 |
|
Depreciation |
153.000 |
162.900 |
158.000 |
|
Profit Before Tax |
500.300 |
259.400 |
331.200 |
|
Tax |
151.000 |
75.100 |
82.800 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
349.300 |
184.300 |
248.400 |
|
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 |
349.300 |
184.300 |
248.400 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
5.80
|
5.64
|
1.22
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.98
|
8.09
|
1.77
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
10.23
|
9.35
|
1.99
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.26
|
0.22
|
0.05
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.73
|
1.57
|
1.85
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.79
|
3.18
|
4.70
|
LOCAL AGENCY FURTHER INFORMATION
|
Available
in Report [Yes/No] |
|
|
Year
of Establishment |
Yes |
|
Locality
of the Firm |
Yes |
|
Construction
of the firm |
Yes |
|
Premises
details |
Yes |
|
Type
of Business |
Yes |
|
Line
of Business |
Yes |
|
Promoters
background |
Yes |
|
No.
of Employees |
Yes |
|
Name
of Person Contacted |
Yes |
|
Designation
of contact person |
Yes |
|
Turnover
of firm for last three years |
Yes |
|
Profitability
for last three years |
Yes |
|
Reasons
for variation <> 20% |
- |
|
Estimation
for coming financial year |
Yes |
|
Capital
the business |
Yes |
|
Details
of sister concerns |
Yes |
|
Major
Suppliers |
No |
|
Major
Customers |
No |
|
Payment
Terms |
Yes |
|
Export
/ Import Details [If Applicable] |
No |
|
Market
Information |
- |
|
Litigations
that the firm / promoter involved in |
- |
|
Banking
Details |
Yes |
|
Banking
Facility Details |
Yes |
|
Conduct
of the banking account |
- |
|
Buyer
visit details |
- |
|
Financials,
if provided |
Yes |
|
Incorporation
details, if applicable |
Yes |
|
Last
accounts filed at ROC |
Yes |
|
Major
Shareholders, if applicable |
Yes |
HISTORY:
Subject, a TVS Group company is one of the leading auto component
manufacturers in
Sales and Profits
The Company recorded total Net Sales and other income of Rs.18131.000
Millions for the year ended March 31, 2011 as against Rs.13366.000 Millions
achieved during the previous year. The export sale was at Rs.4803.000 Millions
as against Rs.3321.500 Millions in the previous year. The Profit after tax was
higher at Rs.1054.300 Millions as against Rs.750.100 Millions in the previous
year.
The Company continues to be a net foreign exchange earner for the
fourteenth year in succession.
Business Overview
Indian gross domestic product and the Index of Industrial Production
registered a growth of 8.6% (7.2%) and 7.8% (10.4%) respectively, reflecting
the strong fundamentals of Indian economy.
The global economy showed signs of slow recovery with emerging economies
registering a sizable growth, while developed economies responded slowly to
stimulus packages implemented during the period of economic meltdown. The
During 2010-11, the manufacturing sector in
The domestic market showed a record growth. There has been a perceptible
shift in the type of production of Medium and Heavy commercial vehicles to
larger and multi-axle vehicles. In the case of Light commercial vehicles, there
has been a shift to smaller vehicles with low haulage capacities. Sales of cars,
utility vehicles, MPVs, LCVs and two-wheelers grew throughout the year due to
introduction of new models and entry of new manufacturers. Increase in
disposable incomes and need for personal transportation combined with
availability of finance contributed to a strong growth of passenger vehicles.
There was an improvement in the sales of passenger cars during 2010 in
the
Domestic Sales
Domestic sales increased to Rs.13280.000 millions from Rs.10020.000
millions, a growth of 32%. Demand from automotive OEMs was buoyant throughout
the year. Aftermarket sales also showed growth as confidence levels of dealers
improved resulting in higher off-take and stocking. During the year, the
Company started bulk supply of shimless tappets to Maruti-Suzuki India Limited
for use in their new K-series engines. The Company also commenced bulk supply
of parts to Tata Motors Limited for use in their Nano vehicles.
Exports
The
Financial
Performance
Improved market conditions resulted in higher sales in all the units of
the Company. Raw material prices increased steadily during the year. Thanks to
a strong demand, the Company was able to recover a part of the increase from
its customers. Input costs rose across the board, especially of petroleum based
products. Non-availability of power due to scheduled power-cuts up to 30% and
unscheduled power outages forced the Company to purchase power and resort to
self generation at higher costs. Wages increased as dearness allowance
increased in line with the cost of living index. Impact of long term wage
settlements for unionised employees at various factories and revision in pay
levels for non-unionised employees in line with the market added to Employee
costs. The Company continued to be under pressure due to rising manufacturing
costs. Freight rates increased sharply in line with increase in cost of diesel
and other inputs related to the transportation industry.
The Company continues to adopt Total Productive Maintenance (TPM)
practices in order to achieve a reasonable control over other operating
expenses.
During the year, PBIDT (Profit before interest, foreign exchange
fluctuation, depreciation and tax) was higher at Rs.2284.400 millions as
against Rs.1703.300 millions in the previous year.
Steady rise in demand for the Company’s products resulted in additional
investments in working capital. The Company made substantial investments in
creation of capacities for new products and additional capacities for
manufacture of existing products to meet projected demand from domestic and
international customers. These investments resulted in additional interest
costs. Tight money policies followed by Reserve Bank of
Depreciation was higher at Rs.545.400 millions (Rs.474.800 millions) on
account of increased capital expenditure incurred over the recent years.
Profit before tax was higher at Rs.1442.500 millions (Rs.1078.500
millions). Profit after tax amounted to Rs.1054.300 millions (Rs.750.100
millions).
Foreign
Subsidiaries
Sundram Fasteners (
Sales and other income during the year 2010 amounted to RMB 86.425 million
(Rs.584.231 millions) as against RMB 45.583 million (Rs.322.732 millions)
during 2009. The operations resulted in a net profit of RMB 4.964 million (Rs
33.621 millions) as against a loss of RMB 1.137 million (Rs.6.176 millions)) in
2009.
The business environment for SFZL’s products appears to be encouraging.
New products for existing customers and addition of new customers will enable
SFZL to post sizable net profits in the coming years. SFZL has retained
certifications according to ISO/TS 16949-2002 and ISO 9000-2000.
The company has so far invested USD 13 million (Rs.568.760 millions) in
the Equity capital.
German operations are carried out through 100% subsidiary companies viz.
Peiner Umformtechnik GmbH Peiner), TVS
Peiner Services GmbH (TVSP) and PUT Grundstucks GmbH (PUTG). Peiner
manufactures a wide range of standard and special fasteners catering to the
automotive, industrial and construction sectors. TVSP is engaged in providing
warehousing and logistical services. PUTG owns the land and buildings from
where Peiner operates. The Company has invested Euro 8.724 million (Rs.482.212
millions).
Revenues during the year 2010 amounted to Euro 57.407 million
(Rs.3458.226 millions) as against Euro 45.182 million (Rs.3048.000 millions) during
2009. While there has been a vast improvement over the previous year, the
operations resulted in a loss before depreciation and taxes of Euro 0.102
million (Rs.6.208 millions) as against loss of Euro 2.337 million (Rs.155.913
millions) during 2009. Loss after taxes amounts to Euro 1.241 million
(Rs.74.338 millions) during 2010 as against Euro 3.611 million (Rs.241.349
millions) during 2009.
Uncertain economic conditions prevailing in
Cramlington Precision Forge Limited (CPFL)
Sales and other income during the year 2010 amounted to GBP 6.235
million (Rs.438.924 millions) as against GBP 3.225 million (Rs.244.225
millions) during 2009. CPFL made a net profit of GBP 0.375 million (Rs.26.580
millions) as against loss of GBP 0.332 million (Rs.24.954 millions) during
2009.
CPFL generated additional sales through new products introduced in late
2009. Relentless cost reduction measures and restructuring helped in achieving
a remarkable turn-around during 2010. As the orders in the pipeline will help
further improve capacity utilisation, the outlook for 2011 is encouraging.
Indian
Subsidiaries
Upasana
Engineering Limited
Upasana Engineering Limited (UEL), a 100% subsidiary is engaged in the
manufacture of spokes and nipples, dies and tools, automotive components and
cold extruded components. During the year, Sales and other income increased to
Rs.628.274 millions from Rs.398.933 millions in the previous year, an increase
of 57%. Domestic Sales increased to Rs.523.971 millions from Rs.352.717
millions in the previous year. Export Sales increased to Rs.99.964 millions
from Rs.44.893 millions. Profit after Tax amounted to Rs.33.344 millions as
against a net loss of Rs.0.915 million in the previous year.
UEL’s facility at Hosur for manufacture of cold extruded components has
steadily improved its production and sales. With the demand picking up in
domestic and European markets, UEL will show substantial improvement in
performance over the next few years.
Sundram Bleistahl
Limited
Sundram Bleistahl Limited (SBL) is engaged in manufacture of sintered
valve guides at its 100% export oriented unit at Hosur, Tamilnadu. Bleistahl
Produktions GmbH and Co KG holds 24%. SBL caters to the needs of Bleistahl
Productions GmbH and Co KG in
The Company has invested Rs.53.200 millions towards 76% of the Equity
capital of the subsidiary.
Prospects
Global automobile sector is expected to emerge out of a period of
negative growth though slowly. Indian market is poised for growth as government
spending on infrastructure and agriculture will provide the impetus. Growth in
middle class population and higher disposable incomes will result in changing
lifestyles creating additional demand for consumer durables and vehicles for
transportation. Introduction of new fuel-efficient models of vehicles will
create additional demand. Multinational vehicle manufacturers including new
entrants will, to be cost-effective, need to localize their procurement of
parts as the volumes improve. Long term prospects for the auto-component
industry appear to be good.
CONTINGENT
LIABILITIES
|
Particulars |
31.03.2011 (Rs. in millions) |
31.03.2010 (Rs. in millions) |
|
On letters of guarantee The Company has given guarantees to fulfill various obligations of
Cramlington Precision Forge Limited, UK and Sundram Fasteners (Zhejiang)
Limited, People’s Republic of China, whollyowned subsidiaries of the Company
the amount of which is to the extent of non-fulfilment of obligations of the
subsidiaries which is not ascertainable. |
147.472 |
106.028 |
|
On letters of credit |
17.188 |
332.880 |
|
On guarantee issued to Housing Development Finance Corporation on behalf of employees |
0.601 |
1.343 |
|
Bills discounted |
0.000 |
563.726 |
|
On partly paid shares of the Adyar Property Holding Company Limited |
0.001 |
0.001 |
|
Claims against the Company not acknowledged as debts |
0.000 |
0.254 |
|
Estimated contingent liability for stamp duty in respect of leased land at Uttarkhand |
0.362 |
0.362 |
UNAUDITED STANDALONE FINANCIAL RESULTS
FOR THE QUARTER AND HALF YEAR ENDED 31.12.2011
(Rs.
in millions)
|
Particulars |
Quarter Ended |
Half Year Ended |
Nine Month Ended |
|
31.12.2011 |
30.09.2011 |
31.12.2011 |
|
|
Unaudited |
Unaudited |
Unaudited |
|
|
1 a. Sales |
|
|
|
|
- Domestic |
3995.100 |
4198.500 |
12291.400 |
|
Less: Excise Duty |
368.100 |
386.600 |
1133.700 |
|
Sub Total |
3627.000 |
3811.900 |
11157.700 |
|
- Exports |
1684.900 |
1640.100 |
4820.600 |
|
Total Net Sales |
5311.900 |
5452.000 |
15978.300 |
|
b. Other Operating Income |
3.800 |
3.700 |
11.600 |
|
Total Income (a+ b) |
5315.700 |
5455.700 |
15989.900 |
|
2. Expenditure |
|
|
|
|
Increase)/Decrease in stock in trade and work in progress |
(74.300) |
(104.400) |
(268.400) |
|
Consumption of Materials |
2535.200 |
2680.500 |
7829.200 |
|
Employee Cost |
476.600 |
474.400 |
1397.900 |
|
Stores and Tools Consumed |
577.600 |
597.200 |
1727.100 |
|
Depreciation and Amortisation |
158.000 |
162.900 |
473.900 |
|
Other Expenses |
980.900 |
1015.100 |
2924.600 |
|
Total |
4654.000 |
4825.700 |
14084.300 |
|
Profit/(Loss) from Operations before Other Income, Interest and
Exceptional Items |
661.700 |
630.000 |
1905.600 |
|
Other Income |
5.500 |
1.700 |
8.700 |
|
Profit/(Loss) before Interest and Exceptional Items |
667.200 |
631.700 |
1914.300 |
|
Interest |
81.600 |
87.100 |
239.800 |
|
Foreign exchange (Gain)/ Loss on loans |
254.400 |
285.200 |
583.600 |
|
Profit/(Loss) from Ordinary Activities before Tax |
331.200 |
259.400 |
1090.900 |
|
Exceptional Items |
- |
- |
- |
|
Profit/(Loss) from Ordinary Activities before Tax |
331.200 |
259.400 |
1090.900 |
|
Tax expense |
82.800 |
75.100 |
308.900 |
|
Net Profit/ (Loss) from Ordinary Activities after Tax |
248.400 |
184.300 |
782.000 |
|
Paid - up Equity Share Capital (Face value of Re.1/- each) |
210.100 |
210.100 |
210.100 |
|
Earnings Per Share (Rs.) |
|
|
|
|
(Basic and Diluted not annualised) |
|
|
|
|
- Before Extraordinary Items |
1.18 |
0.88 |
3.72 |
|
- After Extraordinary Items |
1.18 |
0.88 |
3.72 |
|
Public shareholding |
|
|
|
|
-Number of shares |
106043090 |
106043090 |
106043090 |
|
- Percentage of shareholding |
50.47 |
50.47 |
50.47 |
|
Promoters and Promoter Group Share holding |
|
|
|
|
a) Pledged / Encumbered |
|
|
|
|
- Number of Shares |
|
|
|
|
- Percentage of shares (as a % of the total shareholding
of promoter and promoter group) |
|
|
|
|
Percentage of shares (as a % of the total share capital of
the company) |
|
|
|
|
b) Non - Encumbered |
|
|
|
|
- Number of Shares |
104085280 |
104085280 |
104085280 |
|
Percentage of shares (as a % of the total shareholding of
promoter and promoter group) |
100.00 |
100.00 |
100.00 |
|
Percentage of shares (as a % of the total share capital of
the company) |
49.53 |
49.53 |
49.53 |
Note:
1. The above financial results were reviewed and recommended by the audit committee and thereafter approved by the Board Directors at its meeting held on 09.02.2012. As required under clause 41 of the listing agreement, Limited review of the above mentioned results has been completed by the auditors and the report of the company and the report of the same has been placed before the board.
2. The company operated in only one segment.
3. Number of investor complaints for the quarter ended 31st December 2011: Beginning – Nil, Received -4, Disposed off -3, and pending -1.
4. The Board of Directors has decided to pay first interim dividend of Rs.0.60 per share (60%) for the financial year ending 31st March 2012 to the members/beneficial owners as on the Record Date i.e. 17th February2012.
5. No provision has been made in the books of account with regard to the value of damages caused to assets in the unit at Mitta Mandagapattu, Villupura District and Korkadu, Puducherr due to “Thane Cyclone” as the Company has adequately insured its assets. The Company is in the process of filing insurance claim for compensation.
FIXED ASSETS
v
Aircraft
v
Land
v
Buildings
v
Plant and Machinery
v
Furniture, Fixtures and Office Equipments
v
Vehicles
v
Technical Know-how
WEBSITE DETAILS:
BUSINESS DESCRIPTION
Subject is an India-based company. The Company is a manufacturer of
automotive components. Its principal products include screws, bolts, nuts,
washers of iron and steel; other articles of iron and steel forged or stamped
but not further worked; parts and accessories of vehicles, such as sintered
levers and bearing races; water pump assembly, oil pump assembly and fuel pump
assembly; clutch parts and pulleys, and valve parts. The Company’s radiator
caps product range includes metal and nylon cap assemblies for original
equipment manufacturers (OEMs) for the replacement market through retail
customers. Its hot forged products include connecting rods, lug gears for
motorcycles, fan hubs, bevel gears and fuel injection pump parts. The Company’s
customers include AM General, Fiat, Ford, MAN, Maruti Suzuki, Mitsubishi
Motors, Arvin Meritor, Ashok Leyland, Toyota Kirloskar, Mahindra and Mahindra
and Hyundai. The Company is part of the TVS Group. For the fiscal year ended 31
March 2010, Subject's revenues decreased 5% to RS17.19B. Net income increased
52% to RS475.3M. Revenues reflect a decrease in income from operations and
lower income from export sales. Net income also reflects a decrease in
consumption of raw materials, a fall in salaries and wages expense, a decrease
in interest expense and presence of exchange gain vs. a loss.
Manufacture and marketing of high tensile fasteners, cold formed and
extruded automotive and other miscellaneous parts, power metal parts,
automotive components, precision formed gears, iron powder, radiator caps and
socket head cap screws. The flagship company of the TVS Group. Other Motor
Vehicle Parts Manufacturing.
BOARD OF DIRECTORS
Ms. Arathi Krishna
Ms. Arathi Krishna serves as Joint Managing Director, Executive Director
of Subject She served as Executive Director of the Company. She completed her Master
of Arts (MA) in Economics at the
Shri. C. V.
Karthik Narayanan
Shri. C. V. Karthik Narayanan is Non-Executive Independent Director of
Subject. He holds Bachelor of Engineering. He has managerial experience
spanning over 45 years in the automobile industry. He was past President of
Association of Indian Automobile Manufacturers and Automotive Research
Association of India. He was also past Chairman of Association of Indian
Engineering Industry — Southern Region, now Confederation of Indian Industry
(CIJ). Presently, he is National Council Member of CII.
Shri. V. Narayanan
Shri. V. Narayanan is Independent Non-executive Director of Subject He
holds M.Sc (Chem) from
Shri. R.
Ramakrishnan
Shri. R. Ramakrishnan is Non-Executive Independent Director of Subject
he holds Bachelor of Science from
Shri. R. Srinivasan
Shri. R. Srinivasan is Non-Executive Independent Director of Subject He
is an Engineering Graduate and has managerial experience spanning over 38
years. He has been associated with subject, as Director since March 1995.
PRESS RELEASES
Key Highlights
EBIDTA grew by 38% to Rs.2390.000 Millions from Rs.1730.000 Millions.
9Months Exports record impressive YoY growth of 35% to Rs.4820.000 Millions; Domestic market grew by 14 % resulting overall growth of revenues by 20% on a YoY basis to Rs.16000.000 Millions.
Sales and other income of Sundram Fasteners Limited, increased by 20% to Rs.15998.600 Millions for the nine months ended December 31, 2011 as against Rs.13370.700 Millions achieved during the same period in the previous year.
Export sales for the period was Rs.4820.600 Millions (Rs.3571.100 Millions) an increase of 35%. Domestic sales, net of excise duties, was at Rs.11157.700 Millions (Rs.9782.700 Millions) has registered an increase of 14%.
Operating expenses were at Rs.13610.400 Millions (Rs.11637.400 Millions).
Gross Profit before interest, depreciation and provision for taxation increased by 38% to Rs.2388.200 Millions during the period (Rs.1733.300 Millions), despite pressure on margin due to increase in costs.
Interest charges for the nine months amounted to Rs239.800 Millions (Rs158.100 Millions). Foreign exchange fluctuations resulted in a charge of Rs.583.600 Millions as against a charge of Rs58.000 Millions last year on account of rapid depreciation in rupee vis-ŕ-vis US dollar. A major portion of the exchange fluctuation loss relates to long term loans and has no immediate impact on cash flows as it is merely a book adjustment arising out of restatement as on 31st December, 2011.
Depreciation for the nine months was Rs.473.900 Millions (Rs.406.700 Millions). The provision for taxes was at Rs.308.900 Millions (Rs.296.300 Millions).
Earnings per share (on face value of Re 1 per share) for the nine months amounted to Rs.37.200 (Rs.38.700).
The Directors have declared an Interim Dividend of Re. 0.60 per share (face value Re 1 each). The interim dividend and dividend distribution tax will absorb a total amount of Rs.146.500 Millions.
26 July 2011
India, July 26 -- In the next five years, the country will encourage all
these industries from anywhere in the world, said Bai Xuezhu, Director of
Research, China Executive Leadership Academy (CELAP).
Making his presentation at a seminar on 'Doing Business with
SUNDRAM FASTENERS LIMITED RECEIVES PATENT FOR A DOUBLE LAYER EXHAUST
POWDER METALLURGY VALVE SEATS AND PROCESS FOR MANUFACTURE THEREOF
28 November 2011
Sundram Fasteners Limited had filed patent application number
79/MAS/2001 for a double layer exhaust powder metallurgy valve seats and
process for manufacture thereof on Jan. 29, 2001. The inventors of the patent
are Sakaranarayanan Ashok and Nagarajan Ramesh.
The International classification number is C22C33/02.
According to the Controller General of Patents, Designs and Trade Marks,
"The present invention relates to a Double Layer Exhaust Powder Metallurgy
Valve Seats for gasoline engines of automotive having uniform distribution of
metal carbides, said valve seats comprising; a. a valve side composition having
Cu 0.9-1.4% + C 1-1.5% + W 0.75-1.25% + Mo 0.7-1.2% + Cr 0.5-1% + V 2.5-3.5% +
Co 0.2- 2.5% (HSS alloy) + Fe 7586% + 2% of other metals having a high wear
resistance; and b. a Cylinder side composition having Cu 0.7-1.3% + C 0.6-1.2%
+ Cr 0.6-1.2% + Fe 91-96% + I % of other metals having high creep resistance.
The Valve seats having applications in gasoline engine automotive that require
a high surface resistance and high temperature tolerance and the present
invention also relates to a process for the manufacture of the said parts using
Powder Metallurgy technology with a novel composition of metals."
About the Company
Sundram Fasteners Limited is a part of the US $5 billion TVS Group,
headquartered in
LUCAS INDUSTRIES PUBLIC LIMITED COMPANY RECEIVES PATENT FOR AN ELECTRIC POWER
STEERING SYSTEM
25 November 2011
Lucas Industries Public Limited Co had filed patent application number
2600/DEL/1998 for an electric power steering system on August 31, 1998.
The International classification number is F16H1/00.
According to the Controller General of Patents, Designs and Trade Marks,
"Apparatus for removing the backlash and free-play present between a worm
and worm wheel in the gearbox of an electric power assisted steering system.
The worm is provided on an output shaft from an electric motor and the wheel is
provided on another separate shaft (possibly the steering column). The wheel is
fixed relative to a housing, and the worm is fixed relative to the housing
through at least a first and second support assembly. The first support
assembly is provided at the end of the output shaft distal from the motor and
comprises an eccentric bush which can be rotated to adjust the radial position
of the output shaft and hence worm gear. The second support assembly allows for
angular movement of the output shaft. The first support assembly may be
manually rotated or may automatically rotate under a spring force to adjust the
amount of free-play."
About the Company
Lucas - TVS established in 1961 as a joint venture between Lucas UK and
T V Sundram Iyengar and Sons (TVS), India to manufacture Automotive Electrical
Systems. Lucas-TVS is the Leader in Auto Electricals in
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.51.42 |
|
|
1 |
Rs.81.93 |
|
Euro |
1 |
Rs.67.67 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
58 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.