MIRA
INFORM REPORT
|
Report Date : |
08.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
BAJAJ HINDUSTHAN LIMITED BAJAJ ECO-TEC PRODUCTS LIMITED AMALGAMATED WITH BAJAJ HINDUSTHAN
LIMITED |
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Registered
Office : |
Bajaj Bhavan, 2nd Floor, Jamnalal Bajaj Marg, 226, Nariman
Point, Mumbai - 400021, |
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Country : |
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Financials (as on)
: |
30.09.2011 |
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Date of
Incorporation : |
24.11.1931 |
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Com. Reg. No.: |
11-001797 |
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Capital
Investment / Paid-up Capital : |
Rs. 228.400 millions |
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CIN No.: [Company Identification
No.] |
L15420MH1931PLC001797 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMB11307C |
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PAN No.: [Permanent Account No.] |
AAACB4351J |
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Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturer of Sugar and Ethanol. |
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No. of Employees
: |
7245 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
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 |
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Maximum Credit Limit : |
USD 125000000 |
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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 a part of the ‘Bajaj Group’ It is India’s number one sugar
and ethanol manufacturing company. It is an old, well established and reputed company having fine track.
It is Increased its sales turnover considerably during 2011. Profitability of
the company appears to be low. However, financial position of the company appears to be sound. The
directors are reported as well experienced, knowledgeable and respectable
businessmen. Trade relations are reported to be trustworthy. Business is highly
active. Payments are reported to be regular and as per commitments. The company can be considered good 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 – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
A (Long Term Bank Facilities ) |
|
Rating Explanation |
Adequate degree of safety and low credit
risk. |
|
Date |
01.02.2012 |
|
Rating Agency Name |
CARE |
|
Rating |
A1+ (Short Term Bank Facilities ) |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
01.02.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
Bajaj Bhavan, 2nd Floor, Jamnalal Bajaj Marg, 226, Nariman
Point, Mumbai - 400021, |
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Tel. No.: |
91-22-22023626 |
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Fax No.: |
91-22-22022238 |
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E-Mail : |
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Website : |
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Corporate Office : |
Bajaj Bhawan, B-10, Sector 3, Jamnalal Bajaj Marg, Noida - 201 301,
NCR |
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Tel. No.: |
91-120-2543939 / 40, 2543942-48, 4045555 |
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Fax No.: |
91-120-2543949 |
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Regional Offices : |
B-2/355, Vishal Khand – 2, Gomti Nagar, |
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Tel. No.: |
91-522-2303712 / 2396529 |
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Fax No.: |
91-522-2396489 |
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Factory : |
Lakhimpur Kheri
District Golagokarannath Unit Tel: 91-5876-233754 /
55 / 233758 / 233403 Fax: 91-5876-233401 Palia Kalan Unit Tel: 91-5871-233410
/ 233346 / 49 Fax: 91-5871-233664 Khambharkhera Unit Tel: 91-5872-231626 Fax: 91-5872-252752 Pilibhit District Barkhera Unit Tel: 91-5881-228811/
13/ 14/ 15 Fax: 91-5881-228812 Meerut District
– Kinauni Unit: Kaithwari Link Road Village: Kinauni Meerut – 250502, Uttar Pradesh,
India Tel: 91-121-2418829
/ 30 Fax: 91-121-2418828 Gangnauli Unit Tel: 91-132-2729890/
91/ 3097878 Fax: 91-132-2766304 Muzaffarnagar
District Thanabhawan Unit Tel: 91-1398-233607
/ 233457 Bhaisana Unit Tel: 91-1392-235068
/ 235069 / 235070 Bijnore District
Bilai Unit Tel: 91-134-2275650
/ 2230163 District Basti Rudauli Unit, Village: Athadama,
P.O. Rudauli, District Basti -
272 151, Uttar Pradesh, India Tel : 91-5542-206791 Fax : 91-5542-275667 District Gonda Kundarkhi Unit, Village: Kundarkhi – Kastua, P.O. Govindpura, District
Gonda - 271 301, Uttar Pradesh, India Tel : 91-5262-265185 Fax : 91-5262-265180 Distict Utraula Utraula Unit, Village: Itai Maida Tehsil : Utraula Dist. Balrampur
(U.P.) Shahjahanpur District,
Maqsoodapur Unit Tehsil Powayan
Tel : 91-5881-306400 Shahjahanpur
District Maqsoodapur Unit Tehsil Powayan Tel No.: 91-5881-306400 District Deoria Pratappur Unit, Village : Mairwa
P.O. Pratappur District Deoria - 274 703 Uttar Pradesh, India Tel : 91-5566-285023
/26 Fax : 91-5566-285086 |
DIRECTORS
As on 30.09.2011
|
Name : |
Mr. Shishir Bajaj |
|
Designation : |
Chairman and Managing Director (Promoter) |
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Brief: |
Mr. Shishir Bajaj, Chairman and Managing Director of the Company, belongs to the promoter - Bajaj Group. After completing his MBA from New York University majoring in finance, Mr. Bajaj joined the Company in 1974 and since then has been been shouldering the overall responsibility of the Company. He is holding the position of Managing Director of the Company since July 1988. |
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Name : |
Mr. Kushagra Bajaj |
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Designation : |
Joint Managing Director (Promoter) |
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Brief: |
Mr. Kushagra Nayan Bajaj is the Jt. Managing Director of the Company. A Bachelor of Science in Economics, Political Philosophy and Finance from the Carnegie Mellon University, Pittsburgh, USA, he earned his Master of Science in Marketing from the Northwestern University, Chicago, USA. Mr. Bajaj was Chief Executive of the Company between August 2001 and April 2007, responsible for overall operations. |
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Name : |
Mr. D. S. Mehta |
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Designation : |
Non-Executive Director |
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Brief: |
Mr. D S Mehta has been on the Board of Bajaj Hindusthan Ltd since January 1986. He holds directorship in various other Bajaj group companies. He graduated with an honours degree in commerce from Mumbai University and he is an alumnus of Sydenham College. He is a fellow member of both the Institute of Chartered Accountants of India and the Institute of Company Secretaries of India. He has been associated with the Bajaj group of companies since 1966 and has more than 30 years experience in corporate law, taxation, finance and investment. |
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Name : |
Mr. M. L. Apte |
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Designation : |
Non-Executive Director (Independent) |
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Brief: |
Mr. M.L. Apte, an industrialist having interest in sugar business is associated with Bajaj Hindusthan Limited. as Director for over 33 years. A former Sheriff of Mumbai, he was also a former President of Maharashtra Chamber of Commerce, Bombay Chamber of Commerce, Cricket Club of India, Indian Sugar Mills Association, Member of the Indian Cotton Mills Federation and former Chairman of the Textiles Committee. He is currently the Chairman of the Apte Group of Companies and a Director of Grasim Industries Limited. and Tata Asset Management Private Limited |
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Name : |
Mr. R. V. Ruia |
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Designation : |
Non-Executive Director (Independent) |
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Brief: |
Mr. Ravindrakumar V Ruia is the Executive Director of the Dawn Mills Company Limited and is actively associated with the day-today affairs of Dawn Apparels Limited, subsidiary of the Dawn Mills Co. Ltd. as its Director. Mr. Ruia joined the Board of Bajaj Hindusthan Ltd. in April 2001. He is also a Director of Special Paints Ltd., Sigma Paints (Karnataka) Ltd. apart from various other Ruia group companies. He is also Committee Member of The Bombay Mill owners' Association, Indian Cotton Mills Federation and Bombay Textile Research Association and is associated with various public charity trusts as Trustee. |
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Name : |
Mr. Alok Krishna Agarwal |
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Designation : |
Non-Executive Director (Independent) |
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Brief: |
Mr. Alok Krishna Agarwal has been a member of Board of Directors of Bajaj Hindusthan Limited since April 2007. He is the founder managing partner of Juris Consultus, New Delhi. He was admitted to the Bar Council of India in 1988. He is an associate member of the Bar Council of Delhi, the Supreme Court Bar Association, the International Bar Association, the Indo American Chamber of Commerce and Federation of Indian Chambers of Commerce and Industry. |
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Name : |
Mr. D. K. Shukla |
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Designation : |
Non-Executive Director (Independent) |
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Brief: |
Mr. Dinesh Kumar Shukla, is a B. A. and M. S. W. He retired as an Executive Director (Personnel) in February, 2003 from Life Insurance Corporation of India (LIC). During his tenure with LIC, he occupied positions like Regional Manager - Marketing, Group Pension and Superannuation Schemes of LIC at Kolkata (Eastern Zone) as well as In-charge of 3 LIC divisions viz. Raipur, Jabalpur and Bhopal. Mr. Shukla has been associated with the company as nominee of LIC since October, 2001 and also as a member of the Audit Committee. After withdrawal of his nomination by LIC in November, 2008, Mr. Shukla has been re-inducted as a director of the Company in December, 2008. |
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Name : |
Dr. Sanjeev Kumar |
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Designation : |
Director (Corporate and Legal Affairs) |
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Brief: |
Dr. Sanjeev Kumar, Director (Corporate and Legal Affairs) has been a member of Bajaj Hindusthan Limited since March 2009. He was formerly the Group President of corporate and legal of the Company since June 2004. He obtained a Masters in Commerce in 1979, a Doctorate in 1996, an LL.B. in 2001, a Diploma in intellectual property rights laws in 2001 and a Diploma in Literature. In addition, Dr. Sanjeev Kumar has been a Cost Accountant since 1981 and a Company Secretary since 1982. Dr. Sanjeev Kumar has approximately 26 years of professional experience. |
KEY EXECUTIVES
|
Name : |
Mr. Pradeep Parakh |
|
Designation : |
Group President (GRC) and Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2012
|
Category
of Shareholders |
No. of Shares |
Percentage |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
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|
29654338 |
4.65 |
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|
191343955 |
30.00 |
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|
73932473 |
11.59 |
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|
73932473 |
11.59 |
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|
294930766 |
46.24 |
|
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|
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Total shareholding of Promoter and Promoter Group (A) |
294930766 |
46.24 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
6900 |
0.00 |
|
|
47401879 |
7.43 |
|
|
4500 |
0.00 |
|
|
43470216 |
6.82 |
|
|
66983446 |
10.50 |
|
|
157866941 |
24.75 |
|
|
|
|
|
|
57097172 |
8.95 |
|
|
|
|
|
|
79443241 |
12.46 |
|
|
12558478 |
1.97 |
|
|
35927713 |
5.63 |
|
|
33817550 |
5.30 |
|
|
190400 |
0.03 |
|
|
1909152 |
0.30 |
|
|
10611 |
0.00 |
|
|
185026604 |
29.01 |
|
Total Public shareholding (B) |
342893545 |
53.76 |
|
Total (A)+(B) |
637824311 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
1575600 |
0.00 |
|
|
1575600 |
0.00 |
|
Total (A)+(B)+(C) |
639399911 |
0.00 |
(1) Indian
Individuals / Hindu Undivided Family
TrustsBUSINESS DETAILS
|
Line of Business : |
Manufacturer of Sugar and Ethanol. |
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Products : |
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PRODUCTION STATUS
PRODUCTION STATUS (As on 30.09.2011
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Sugar |
Kilo Litres |
NA |
136000 |
1037882 |
|
Alcohol |
Kilo Litres |
235000 |
800# |
89059 |
|
Power |
M.W. |
NA |
362 |
556578 |
|
Molasses* |
M.Tonnes |
NA |
NA |
519391 |
GENERAL INFORMATION
|
No. of Employees : |
7245 (Approximately) |
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Bankers : |
· Allahabad Bank · Central Bank of India · Corporation Bank · HDFC Bank Limited · IDBI Bank Limited · Oriental Bank of Commerce · Punjab National Bank · State Bank of India · State Bank of Patiala ·
Yes Bank Limited |
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Facilities : |
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Banking
Relations : |
-- |
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Statutory Auditors: |
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Name : |
Chaturvedi and Shah Chartered Accountants |
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Cost Auditors: |
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|
Name : |
B.J. D. Nanabhoy and Company Cost Accountants |
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|
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International
Accountants: |
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|
Name : |
B S R and Company Chartered Accountants |
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|
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Subsidiaries : |
·
Bajaj Eco-Tec Products Limited ·
Bajaj Aviation Private Limited ·
Bajaj Energy Private Limited ·
Bajaj International Participações Ltda., Brazil ·
Bajaj Hindusthan (Singapore) Pte. Limited,
Singapore ·
Lalitpur Power Generation Company Ltd.(w.e.f.
December 10, 2010) ·
Bajaj Power Generation Private Limited. (w.e.f.
December 20, 2010) |
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|
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Associates: |
·
Bajaj E-biz Private Limited |
CAPITAL STRUCTURE
After 11.02.2012
Authorised Capital : Rs. Rs.1800.000 millions
Issued Subscribed & Paid-up Capital : Rs. 639.400 millions
As on 30.09.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1800000000 |
Equity Shares |
Rs.1/- each |
Rs.1800.000 millions |
|
|
|
|
|
Issued
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
685071333 |
Equity Shares |
Rs.1/- each |
Rs. 685.100 millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
228357111 |
Equity Shares |
Rs.1/- each |
Rs. 228.400 millions |
|
|
|
|
|
|
|
|
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|
Note:
(i) 5,31,00,000 (5,31,00,000) Equity Shares were allotted as fully paid Bonus Shares by way of Capitalisation of Reserves.
(ii) 3,70,00,000 (Nil) Equity
Shares have been allotted to the members of erstwhile Bajaj Hindusthan Sugar
and Industries Limited pursuant to Scheme of Amalgamation.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
228.400 |
191.400 |
176.900 |
|
|
2] Equity share suspense |
0.000 |
37.000 |
0.000 |
|
|
3] Equity Warrant |
0.000 |
0.000 |
189.000 |
|
|
4] Stock Options Outstanding |
153.000 |
153.000 |
0.000 |
|
|
5] Reserves & Surplus |
31017.700 |
30988.200 |
22570.800 |
|
|
6] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
31399.100 |
31369.600 |
22936.700 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
50649.600 |
44297.700 |
19567.300 |
|
|
2] Unsecured Loans |
1318.500 |
11133.600 |
11184.200 |
|
|
TOTAL BORROWING |
51968.100 |
55431.300 |
30751.500 |
|
|
DEFERRED TAX LIABILITIES |
877.400 |
834.300 |
1080.400 |
|
|
|
|
|
|
|
|
TOTAL |
84244.600 |
87635.200 |
54768.600 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
53896.400 |
54799.100 |
26325.000 |
|
|
Capital work-in-progress |
274.200 |
912.800 |
1312.800 |
|
|
|
|
|
|
|
|
INVESTMENT |
13438.400 |
11133.900 |
5491.100 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
4678.200 |
19213.600 |
8004.500 |
|
|
Sundry Debtors |
2482.000 |
1631.000 |
285.700 |
|
|
Cash & Bank Balances |
5850.900 |
4792.000 |
1123.500 |
|
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
|
Loans & Advances |
17311.200 |
14242.100 |
20930.500 |
|
Total
Current Assets |
30322.300 |
39878.700 |
30344.200 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
12935.200 |
16990.000 |
8732.800 |
|
|
Other Current Liabilities |
334.500
|
179.500 |
(1902.500) |
|
|
Provisions |
417.000 |
1919.800 |
1874.200 |
|
Total
Current Liabilities |
13686.700
|
19089.300 |
8704.500 |
|
|
Net Current Assets |
16635.600
|
20789.400 |
21639.700 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
84244.600 |
87635.200 |
54768.600 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
48504.000 |
28736.000 |
15837.400 |
|
|
|
Other Income |
687.500 |
1553.800 |
2311.500 |
|
|
|
TOTAL (A) |
49191.500 |
30289.800 |
18148.900 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Consumed |
27393.800 |
27656.400 |
8167.600 |
|
|
|
Manpower Cost |
1703.500 |
1468.200 |
1208.300 |
|
|
|
Other Expenditure |
2776.600 |
2462.700 |
1382.800 |
|
|
|
Increase/(Decrease) in Finished Goods |
8659.600 |
(7435.700) |
1437.300 |
|
|
|
TOTAL (B) |
40533.500 |
24151.600 |
12196.000 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
8658.000 |
6138.200 |
5952.900 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
5159.500 |
3013.400 |
1870.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3498.500 |
3124.800 |
4082.100 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
3309.100 |
2574.400 |
2022.100 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
189.400 |
550.400 |
2060.000 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
69.400 |
32.900 |
497.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
120.000 |
517.500 |
1562.300 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1785.800 |
790.000 |
65.300 |
|
|
|
|
|
|
|
|
|
|
Dividend paid of earlier year |
(25.900) |
(10.200) |
0.000 |
|
|
|
Corporate Dividend Tax on Dividend paid |
(4.300) |
(1.700) |
0.000 |
|
|
|
Debenture Redemption Reserve (No longer required) |
662.500 |
750.000 |
0.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
Reserve for Molasses Storage
Tanks |
3.100 |
3.300 |
1.600 |
|
|
|
|
Transfer to General Reserve |
90.100 |
100.300 |
400.000 |
|
|
|
Debenture Redemption Reserve |
0.000 |
0.000 |
275.000 |
|
|
|
Proposed Dividend |
91.400 |
134.000 |
123.800 |
|
|
|
Corporate Tax on Proposed Dividend |
14.800 |
22.200 |
21.000 |
|
|
BALANCE CARRIED
TO THE B/S |
2338.700 |
1785.800 |
790.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods on F.O.B. basis |
6439.500 |
0.000 |
41.300 |
|
|
|
Others |
6.000 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
6445.500 |
0.000 |
41.300 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
0.000 |
12089.800 |
2932.600 |
|
|
TOTAL IMPORTS |
0.000 |
12089.800 |
2932.600 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.53 |
2.51 |
9.39 |
|
QUARTERLY RESULTS
Rs.
In Millions
|
PARTICULARS |
31.12.2011 Unaudited |
31.03.2012 Unaudited |
30.06.2012 Unaudited |
30.09.2012 Unaudited |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
6178.000 |
12261.600 |
13430.900 |
11281.000 |
|
Total Expenditure |
4933.400 |
10393.300 |
12251.300 |
10470.700 |
|
PBIDT (Excl OI) |
1244.600 |
1868.300 |
1179.600 |
810.300 |
|
Other Income |
12.600 |
321.500 |
26.100 |
176.100 |
|
Operating Profit |
1257.200 |
2189.800 |
1205.700 |
986.400 |
|
Interest |
1131.100 |
1335.800 |
1463.000 |
1434.200 |
|
PBDT |
126.100 |
854.000 |
(257.300) |
(447.800) |
|
Depreciation |
849.800 |
849.700 |
836.800 |
951.900 |
|
Profit Before Tax |
(723.700) |
4.300 |
(1094.100) |
(1399.700) |
|
Tax |
(279.400) |
(83.500) |
(329.000) |
(175.600) |
|
Profit After Tax |
(444.300) |
87.800 |
(765.100) |
(1224.100) |
|
Net Profit |
(444.300) |
87.800 |
(765.100) |
(1224.100) |
KEY RATIOS
|
PARTICULARS |
|
30.09.2011 |
30.09.2010 |
30.09.2009 |
|
PAT / Total Income |
(%) |
0.24
|
1.71 |
8.60 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.39
|
1.91 |
13.00 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.22
|
0.58 |
36.33 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.01
|
0.02 |
0.01 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.09
|
2.37 |
2.66 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.22
|
2.08 |
3.49 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
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 |
No |
|
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 |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
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 |
No |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
No |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director,
if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
FINANCIAL RESULTS
On a stand-alone basis the Company achieved a turnover of Rs.49191.500 million as compared to Rs. 30289.800 million in the previous year. The Profit after tax stood at Rs.120.000 million as compared to the profit of Rs. 517.500 million on the previous year. On consolidated basis, the turnover including other income is Rs.50819.000 million as compared to Rs.33406.800 millions in the previous year. The Profit after tax and minority interest is ` 214.500 millions as against Rs.440.300 millions in the previous year. The financial and operating results for current financial year are not strictly comparable with those of previous financial year 2009-10 to the extent that current financial year includes figures pertaining to the erstwhile subsidiary Bajaj Hindusthan Sugar and Industries Limited (BHSIL) for full year, however in the previous year these were of six months period ended September 30, 2010, viz. from the Appointed Date as April 01, 2010 to September 30, 2010 consequent upon the merger of BHSIL with the Company as approved by Hon’ble High Court of Judicature at Bombay vide Order dated November 26, 2010.
OPERATION:
The Company continues to be the number one sugar and ethanol manufacturing company in India with its fourteen sugar plants having an aggregate sugarcane crushing capacity of 1,36,000 TCD, six distilleries having aggregate capacity to produce Industrial Alcohol of 800 kilolitres per day and fourteen cogeneration plants having a total power generation capacity of 428 MW.
Sugar
The operations during the financial year ended September 30, 2011 at all the sugar plants were satisfactory. During the financial year 2010-11, the Company crushed 10.220 MMT of Sugarcane and processed 0.089 MMT of raw sugar. The recovery of sugar from sugarcane was at 9.31% as against 9.24% in the previous year owing to better quality of sugarcane crop and certain other favourable factors. The Company produced 951,757 MT Sugar from Sugarcane and 86,125 MT Sugar from raw sugar and 519,391 MT Molasses during the financial year 2010-11. The Company sold 1,374,407 MT of Sugar as against 926,966 MT during the previous year, registering an increase of 48%. The Company also sold 96,497 MT of Molasses as against 54,602 MT in the previous year, registering an increase of 76%.
Distillery
During the year, Industrial Alcohol / Ethanol production was lower at 89,059 KL as compared to 94,719 KL in the previous year. Alcohol/Ethanol sales during the year were higher at 124,366 KL as against 63,123 KL during the previous year, reporting an increase of 97%.
Power
The operations of power generation were smooth at all of their fourteen sugar plants. While most of the power generated by them continued to be used captively to run their plants, the surplus power was sold to the Uttar Pradesh State grid.
Power generation was higher at 556,578 MW as compared to 448,901 MW in the previous year recording a growth of 24%, largely due to higher quantum of bagasse available from the crushing of sugarcane. The Company exported 175,842 MW of power during the year as against 130,635 MW during the previous year, reporting an increase of 35%. The average price at which they sold their surplus power was approximately ` 4,109 per 1000 units.
Subsidiaries’
Operations
Bajaj Eco-Tec
Products Limited
Bajaj Eco-Tec Products Limited (BEPL), is a Wholly Owned Subsidiary of Bajaj Hindusthan Limited engaged in manufacture of Medium Density Fibre (MDF) boards and Particle boards from sugarcane bagasse.During the financial year ended March 31, 2011 BEPL recorded a turnover (sales and other income) of Rs. 1603.700 millions as against Rs.1546.300 millions during the previous year. The Net Loss after tax for the year was Rs. 495.300 millions as against Rs. 505.700 millions recorded during the previous year. Operating margins of the Company were under pressure due to increase in cost of raw materials, coupled with increase in cost of power and fuel and competitive pricing policy adopted by other manufacturers in the market.
Bajaj Aviation
Private Limited
Bajaj Aviation Private Limited (BAPL), is a Wholly Owned Subsidiary of Bajaj Eco-Tec Products Limited and therefore is a subsidiary of the Company. During the year ended September 30, 2011, BAPL generated a turnover including other income of Rs.0.99 millions and posted Net Loss of after tax Rs. 15.300 millions.
Bajaj Energy Private
Limited
Bajaj Energy Private Limited (BEnPL), is implementing project for thermal power generating capacity of 450 MW (2 X 45 MW X 5) comprising of two turbines of 45 MW each at five locations at Khamberkhera, Barkhera, Maqsoodapur, Kundarki and Utraula in the State of Uttar Pradesh at a project cost of Rs.23200.000 millions funded by way of debt to equity mix of 3:1.
BHL has subscribed equity to the tune of Rs.1378.100 millions equivalent to 51% of the paid up capital of BEnPL. BHL has further paid Rs. 260.000 millions towards equity against which shares are yet to be allotted.
Three projects at Khamberkhera, Barkhera and Maqsoodpur have started commercial operation and exporting power to grid. Two projects at Kundarki and Utraula will be up and running during January 2012.
Lalitpur Power
Generation Company Limited
The Company was awarded 1,980 MW (3X660 MW) mega thermal power project at Lalitpur, Uttar Pradesh which is being implemented through Lalitpur Power Generation Company Limited (LPGCL), SPV created for this purpose. The estimated cost of project is Rs. 120000.000 millions
LPGCL has entered into a facility agreement dated August 24, 2011 with syndicate of lenders for term loan financing of Rs. 88860.000 millions
Out of the total estimated land requirement of 1,320 acres, LPGCL has already acquired 1,220 acres and acquisition of balance 100 acres of land is expected to be achieved shortly. LPGCL has also obtained clearances from Irrigation Department, Ministry of Environment and Forest (MoEF) and Uttar Pradesh Pollution Control Board (UPPCB). The Boiler Turbine Generators (BTG) and Balance of Plant (BoP) orders through International Competitive Bidding route have also been placed.
LPGCL’s application for domestic coal supply duly recommended by Central Electricity Authority and Ministry of Power is submitted to Ministry of Coal, and shall be taken up in the next Standing Linkage Committee meeting. The Company has also made arrangements for procuring imported coal from Indonesia.
In July 2011, LPGCL had issued and allotted 6182500 equity shares of ` 10/- each to the Company and to other promoter group companies. Till date BHL has invested an aggregate of Rs. 2349.800 millions in LPGCL.
Bajaj Power
Generation Private Limited
The Company was awarded another 1,980 MW (3 x 660 MW) mega thermal power project at Bargarh, district Chitrakoot, Uttar Pradesh which shall be implemented through another SPV – Bajaj Power Generation Private Limited (BPGPL), a subsidiary of the Company. The estimated cost of project will be around Rs.120000.000 millions. BHL at present holds entire paid up share capital of the said Company. The Company has applied for an environmental clearance from the Ministry of Environment and Forests which is yet to receive the terms of reference.
Bajaj Internacional
Participações Limitada (Subsidiary in Brazil)
Since no operations in this Wholly Owned Subsidiary (WOS) was started, the Company initiated steps of winding up of its operations. Against an investment of US $ 1.01 million in equity capital of this subsidiary, the repatriation of entire capital has been accomplished during the year. In addition, BHL had received a sum of US$ 0.13 million as dividend lying as accumulated interest/ other income in the said Company.
Bajaj Hindusthan
(Singapore) Private Limited (Subsidiary in Singapore)
Bajaj Hindusthan (Singapore) Pte. Limited, a Wholly Owned Subsidiary of the Company in Singapore has commenced operations of Trading in Commodities like Sugar etc. In its maiden year of commercial operation ended March 31, 2011, the company achived a turnover including other income of US$ 73.23 million and posted a net loss after taxation of US$ 4.29 million.
Global Scenario
Sugar Year 2011 (SY 2011) witnessed increased production of sugar across the globe to 161.4 million MT, an increase of 5.3% primarily driven by an increase of around 5.5 million MT in India alone.
During SY2011, Brazil output was revised downwards several times by UNICA and other leading sugar research agencies and this led to a speculative propelled rise in sugar prices by over 25% in the second half of SY2011 which as of date has corrected sharply. Given the increasing trend of sugar production and an estimated 167 million MT production in SY2012, it is unlikely that sugar prices will have any upward buoyancy over the next year. This is despite the fact that Brazil, SY2011 has seen a rise in the production of sugar across all major sugar producing and consuming countries. This trend is likely to continue in SY2012 despite reduction in sugar output from Brazil. The table below summarises the World Sugar Balance:
the largest producer is expected to have lower sugar production due to adverse weather conditions, better ethanol pricing and logistics issues. The lower production from Brazil is likely to be offset by higher output from India, Australia and notably Thailand which is expected to produce a record 10 million MT. On the other hand, the European Union is likely to witness reduced imports as large importing countries such as Russia is expected to have better beet sugar output.
Global Sugar Prices
The world sugar market continues to experience considerable price volatility. The world indicator price for raw sugar witnessed a succession of peaks and downward corrections in 2010 before soaring to a 30- year high of USD 36.08 cts/lb (USD 795.4/t) in February 2011. Market fundamentals driving volatile prices were large global sugar deficits in the previous two seasons and adverse weather in a number of countries that reduced the size of the expected rebound in production to higher prices. World sugar stocks, which had already been drawn down, fell to their lowest level in 20 years in 2010-11, supporting higher as well as more volatile market price.
Outlook
Given the much faster rebound of production, global stock to consumption ratio (a key indicator of health of the sugar industry) is expected to rise in the near term impacting global prices with a negative bias.
Brazil is expected to consolidate its position as the leading global exporter and will account for over 55% of global trade and over 63% of all additional sugar exports by the close of the projection period. While the bulk of Brazil’s exports will continue to comprise high quality raw sugar, which is likely to increase to 21 million MT in 2020-21, the composition of trade will also start to favour white sugar shipments which grow by 50% and amount to over 12 million MT in the same period. The growing concentration of global sugar exports is not without risks for sugar users as world export supplies depend increasingly on the growing conditions of a single country. This may be another factor, in addition to production cycles in Asia, which contributes to future market volatility. A possible counterweight is that a majority of Brazil’s sugarcane will continue to be used for ethanol production and many mills have the capacity to produce both sugar and ethanol. Brazil also remains the only exporter that can switch 5-10% of milling capacity between sugar and ethanol production within a year in response to changes in relative profitability between the two end uses. This flexibility should help assure sugar production and export availabilities, when relative prices periodically favour sugar over ethanol production.
Another important feature will be the influence of India on global sugar prices. As India’s exportable surplus increases as it happened in SY2010 is likely in SY2011, global prices will have a downward pressure.
II. Indian Scenario
As is typical of the Indian sugar industry, production continues to be largely influenced by the level of sugarcane production which in turn is dependent on the minimum support prices of sugarcane be it State Advised Price (SAP) or the Fair and Remunerative Price As per Government, the opening stock at the beginning of 2010-11 is 49.80 lakh tonnes.
The difference in
ISMA figures and government figures is on account of:
(i) 5 lakh tonnes BIS sugar reprocession in 2009-10 sugar year.
(ii) 4.13 lakh tonnes released for export although only 2.35 lakh tonnes were exported.
(iii) 1 lakh tonne difference in imported sugar during 2008-09 & 2009-10.
Given the remunerative cane prices, sugarcane acreage has increased and is likely to result in increased sugar production to around 26 million MT in SY2012 resulting in total exportable surplus of 9.98 million MT. Even if India were to export 3 million MT, the closing inventories would be quite high at 6.98 million MT.
(FRP). Given the high sugarcane price set, sugar cane production and consequently sugar production in India has rebounded in SY2011 to around 24.5 million MT from 19 million MT in the previous year.
Industry Drivers:
The Performance of
the Industry mainly depends on :
1. External factors
a. Availability of sugarcane
b. Sugarcane prices
c. Government policy
d. Sugar prices
2. Internal factors
a. Plant size and location
b. Plant efficiency
c. Value addition from by-products
d. Financial Management
External Factors
a. Availability of
Sugarcane
The following table gives the annual area under cultivation and sugarcane production :
The total area under cane is estimated to increase to 5,079,000 hectares according to ISMA which substantiates our
view of a likely sugar production of around 26 million MT in SY2012.
Area under sugarcane has consecutively declined by 5% in Sugar Season 2009-10 and 15% in Sugar Season 2008- 09. This decline was mainly due to crop switching by farmers on account of higher Minimum Support Price received by them for alternate crops. This trend reversed in SY2010 and continued to increase in SY2011. Yield per hectare has improved marginally from 66 tonnes per hectare to 68 tonnes per hectare. The following table gives the annual state-wise area under cultivation.
There is a notable increase in cane acreage in Maharashtra (6.2%) and Uttar Pradesh (5.98%), the two largest sugar producing states of India.
b. Sugarcane prices
Sugarcane is the main raw material in the production of sugar and accounts for around 65-70% of the cost of production. Financial performance therefore has a high co-relation to cane prices. Any increase in the sugarcane price adversely impacts profitability. Minimum price of sugarcane are regulated by the Government and upper side by market demand-supply. The Central Government decides the minimum price called the Fair and Remunerative Price (FRP), which is the basis for minimum price to be paid by the sugar mills to purchase cane from farmers across the country. The FRP was based on the recommendations of the
Commission for Agricultural Costs and Prices. FRP was fixed at ` 129.84 per qtl. for sugar season 2009-10 and is linked to a base sugar recovery of 9.50% subject to premium of `1.37 per qtl. for every 0.1% increase in recovery.
The FRP announced for the sugar season 2010-11 is ` 139.12 per quintal linked to recovery of 9.5% subject to premium of ` 1.46 per quintal for every 0.1% increase in recovery. SAP fixed by UP State Government is ` 205 per qtl. for the same period. On November 8, 2011, the Uttar Pradesh Government announced a hike in sugarcane SAP for the crushing season 2011- 12 by ` 35 a quintal. The price of ` 240 per quintal is substantially higher than the Central Government’s FRP of ` 145 per quintal of cane for the season 2011-12.
The SAP hike is a blow to the millers in U.P., who are already making a loss of almost ` 2-3 a kilo due to higher cost of production of sugar. Presently the exmill price of sugar is hovering around ` 28.50 a kg. in Uttar Pradesh. If mills have to pay a price of ` 240 per quintal to the farmers, then the ex-mill price will have
to be somewhere between ` 33-34 a kg.
c. Government Policy
Sugar being an essential commodity and having weightage (1.74%) in the WPI 2004-05 base, is highly regulated industry wherein 9 different legislations controlling cane pricing, external trade and control on sugar, molasses that can be sold in the open market.
Domestic sugar sales are regulated by the Central Government which decides how much a mill can sell in the open market i.e. free sale quota and how much is to be released by the mills for distribution through the public distribution system i.e. levy quota which is presently at 10%. This levy quota was 20% till season 2009-10. For season 2010-11, it is again revised as 10%
Levy and 90% Free. In view of SMP being replaced by FRP, the levy price will also undergo a revision and now levy sugar price may be calculated by taking FRP as a base instead of SMP. Levy sugar prices are usually lower than market prices. Sugar sales are subject to release orders from time to time. Few of government policies announced during the season 2010-11 are briefed below:
Cane and Sugar Policy
The Central Government has announced several policy measures during the year under review as well as for the future. The salient features of the sugar policy measures are:-
1. Restrictions ton export of sugar. During the year, 1 million tonne sugar only was allowed to be exported and that too in two tranches. This denied the industry the benefit of spurt in international sugar prices which went as high as 32.57 cents per pound in February 2011.
2. Stock holding limit on sugar. While on the one hand the institutional customers were not allowed to hold stock of sugar beyond their ninety days’ consumption, they were allowed to import sugar without any restriction. This led to lesser offtake of sugar and softening of the prices.
3. The Government continued its policy to impose 10% levy obligation for the Public Distribution System (PDS) on the domestic sugar mills which was procured at a price lower by ` 1000/qtl as compared to the market price.
4. The levy price fixed for 2010-11 was ` 1863.47/qtl in Uttar Pradesh.
5. UP Government has, through a November 8, 2011 order, announced a ` 35-40 per quintal increase in the State Advised Price (SAP) of sugarcane for the year 2011-12. Landed cost of cane (inclusive of basic SAP, purchase tax, society commissions
and inward freight costs) shall be around ` 260/qtl.
The rise in cane price shall affect the cost of sugar manufacturing and reduce the margins. Mills are now required to pay farmers at least ` 240 per qtl for general variety of cane, and ` 250 per quintal for early maturing varieties that have higher recovery against ` 205 and ` 210 per qtl respectively during the last season. The higher cane price shall mean the cost of production to increase by about ` 3.60 per kg (taking into account a recovery of 9.5%). The sustainability of the mills at such a high price is possible only if the sugar price gets hiked.
6. On November 22, 2011, the Central Government allowed export of a million tonne of sugar under Open General Licence for the 2011-12 crop marketing year that started in October and also lifted the stock holding limit on the sweetener from November 30, 2011. The export would help improve the industry`s cash flow by ` 2,800-2,900 crore, considering an average ex-mill price of ` 2,800-2,900 per quintal which will be utilised in making payment to sugarcane farmers and reduce inventory carrying cost. The withdrawal of holding limits will generate demand for stocking purposes. However, it is very unlikely that mills would make hefty profits after this export decision, since international prices had also softened.
Ethanol Policy
As per ISMA, about 580 million litres of fuel ethanol supplies were contracted for the Oct.-Sep. 2011-12 blending seasons. Against this, nationwide E-5 mandate, targeted by the Central Government, would require 1 billion litres. Currently, there are apprehensions that sufficient ethanol is available for fuel purposes because of requirements from the beverage and chemicals industry and restrictions imposed by certain sugarcane producing states on movement of ethanol/spirits. d. Sugar Prices Sugar realisations have remained below the cost of production for three quarters in a row. Increased sugar production and restrictions on exports have created a surplus in domestic markets. The outlook, especially on the price front, is not likely to be very positive as the 2011-12 season is expected to see an even higher production, which is likely to serve to keep prices low.
Internal Factors
a. Plant Size and
Location
As with any other industry, size is of vital importance in the sugar industry. Large size will enable mills to take advantage of economies of scale and reduce cost of production.
Sugar plants need to be located in an area where adequate sugarcane is available. It is also vital that the mill is able to attract a high percentage of cane for crushing out of the total cane grown in the area. Sugarcane is bulky and also needs to be crushed as soon as it is harvested. Hence, it is important that the plants
are located close to cane farms.
b. Plant Efficiency
Sugar recovery is one of the major factors affecting financial performance. Even a small increase in recovery level could have a significant impact on the profitability of a company. Sugar recovery inter-alia depends on internal plant efficiencies, time taken by the mill to crush cane from the time it is harvested, processing losses etc. Factors like development of infrastructure around the plant, maintenance of plant and machinery also helps in obtaining higher recoveries.
c. Value Addition
from By-products
Optimal utilisation of by-products is another key variable in company performance. Integrated sugar mills which produce Alcohol and Power are more likely to perform Bagasse and Molasses. By opting for an integrated model, mills earn a higher margin due to higher value addition and partially mitigate risk arising out of a down turn in sugar business.
d. Financial
Management
Sugar industry is highly working capital intensive. Sugar operations are seasonal in nature. Crushing operations last for an average of around 125 days, whereas sale of sugar is throughout the year. However, crushing duration varies across the country depending on cane availability etc. In UP for instance, crushing is done around 150 – 160 days in a year from October till April. Working capital is therefore required during the crushing season and gets liquidated out of sales proceeds. Efficient working capital management lowers interest cost and improves profitability.
Ethanol Opportunity
In order to exploit the opportunity thrown open by Government of India decision to allow blending of Ethanol with petrol at 5% level, they increased their Ethanol production capacity from 60 KL/day to 800 KL/day. The Company has been one of the largest supplier of Ethanol in country for blending purpose and had supplied the years 2006-2009 to Public sector oil companies.
Government of India has fixed interim basic price of Rs.27 per Litre as against last price of Rs.21.50 per Litre. The Company certainly sees big potential in Ethanol blending programme due to benefits attached to it like boost to farming / rural community, value addition to by-product of Sugar Industry Molasses, curb on pollution, less dependence on fossil fuels, cut of import bill, etc. As per the Bio-Fuel policy, Government has plans to increase the blending percentage from current level of 5% to 20% by the year 2017.
Other than Ethanol for blending purpose, they have equally good presence in market for sale of Alcohol for industrial and potable use. They maintain product-mix of alcohol (means sale of Alcohol for potable, Industrial, blending) such that they get the optimum realisation on their product.
UNAUDITED
FINANCIAL RESULTS FOR THE SECOND QUARTER ENDED 30.06.2012
|
|
Particulars |
3 Month Ended |
Preceding 3 Month Ended |
Current Year Ended |
|
30.09.2012 |
30.06.2012 |
30.09.2012 |
||
|
Unaudited |
Unaudited |
Unaudited |
||
|
1. |
Income from operations |
|
|
|
|
|
(a) Net Sales / income from operations (Net of excise duty) |
11235.800 |
13296.100 |
42106.500 |
|
|
(b) Other operating income |
45.200 |
134.800 |
519.800 |
|
|
Total Income from operations (net) |
11281.000 |
13430.900 |
42626.300 |
|
2. |
Expenses |
|
|
|
|
|
a) Purchases and materials consumed @ |
1906.000 |
781.600 |
33660.100 |
|
|
b) Changes in inventories of finished goods, work in progress and stock in trade |
7539.200 |
11167.100 |
(579.700) |
|
|
c) Employee benefits expense |
530.900 |
388.500 |
1919.300 |
|
|
d) Depreciation and amortisation expense |
951.900 |
836.800 |
3488.200 |
|
|
e) Increase/(decrease) of excise duty on inventories |
(239.000) |
(498.400) |
(26.400) |
|
|
f) Other expenses |
733.600 |
412.500 |
3075.400 |
|
|
Total expenses |
11422.600 |
13088.100 |
41536.900 |
|
3. |
Profit/ (Loss) from operations before other income, finance costs and exceptional items (1-2) |
(141.600) |
342.800 |
1089.400 |
|
4. |
Other income |
176.100 |
26.100 |
1061.500 |
|
5. |
Profit/ (Loss) from ordinary activities before finance costs and exceptional items (3+4) |
34.500 |
368.900 |
2150.900 |
|
6. |
Finance costs (net) |
1434.200 |
1463.000 |
5364.100 |
|
7. |
Profit/ (Loss) from ordinary activities after finance costs but before exceptional items (5-6) |
(1399.700) |
(1094.100) |
(3213.200) |
|
8. |
Exceptional items |
- |
- |
- |
|
9. |
Profit / (Loss) from ordinary activities before tax (7-8) |
(1399.700) |
(1094.100) |
(3213.200) |
|
10. |
Tax expense |
(175.600) |
(329.000) |
(867.500) |
|
11. |
Net Profit / (Loss) from ordinary activities after tax (9-10) |
(1224.100) |
(765.100) |
(2345.700) |
|
12. |
Extraordinary items (net of tax expense Rs. Nil) |
- |
|
- |
|
13. |
Net Profit / (Loss) for the period (11-12) |
(1224.100) |
(765.100) |
(2345.700) |
|
14. |
Paid-up equity share capital (Face Value - Re.1/- per share) |
639.400 |
639.400 |
639.400 |
|
15. |
Reserves excluding Revaluation Reserve as per balance sheet of previous accounting year |
|
|
40303.400 |
|
16 (i) |
Earnings per share (EPS) ( before extraordinary items) (of Re.1/- each) (not annualised) |
|
|
|
|
|
(a) Basic |
(2.02) |
(1.29) |
(3.87) |
|
|
(b) Diluted |
(2.02) |
(1.29) |
(3.87) |
|
16 (ii) |
Earnings per share (EPS) ( after extraordinary items) (of Re.1/- each) (not annualised) |
|
|
|
|
|
(a) Basic |
(2.02) |
(1.29) |
(3.87) |
|
|
(b) Diluted |
(2.02) |
(1.29) |
(3.87) |
|
|
|
|
|
|
|
A. |
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1. |
Public shareholding |
|
|
|
|
|
- Number of shares |
342,893,545 |
342,883,545 |
342,893,545 |
|
|
- Percentage of Shareholding |
53.63% |
53.63% |
53.63% |
|
2. |
Promoters and Promoter Group Shareholding 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 |
294,930,766 |
294,930,766 |
294,930,766 |
|
|
- 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) |
46.13% |
46.13% |
46.13% |
|
|
Particulars |
3 Month Ended |
|
30.09.2012 |
||
|
B. |
INVESTOR COMPLAINTS |
|
|
|
Pending at the beginning of the quarter |
-- |
|
|
Received during the quarter |
8 |
|
|
Disposed off during the quarter |
8 |
|
|
Remaining unresolved at the end of the quarter |
--- |
SEGMENT
– WISE REVENUE, RESULT AND CAPITAL EMPLOYED FOR THE PERIOD ENDED 30.09.2012
(Rs. In Millions)
|
|
Particulars |
3 Month Ended |
Preceding 3 Month Ended |
Current Year Ended |
|
30.09.2012 |
30.06.2012 |
30.09.2012 |
||
|
Unaudited |
Unaudited |
Unaudited |
||
|
1. |
Segment Revenue |
|
|
|
|
|
a. Sugar |
7539.600 |
12206.600 |
36043.800 |
|
|
b. Distillery |
1554.200 |
1259.600 |
4192.500 |
|
|
c. Power |
30.000 |
485.300 |
3374.500 |
|
|
d. Others |
2196.900 |
- |
2196.900 |
|
|
Total |
11320.700 |
13951.500 |
45807.700 |
|
|
Less : Inter- segment Revenue |
84.900 |
655.400 |
3701.200 |
|
|
Net Sales / Income from operations |
11235.800 |
13296.100 |
42106.500 |
|
2. |
Segment Results
(Profit/(Loss) before tax and interest) |
|
|
|
|
|
a. Sugar |
(277.000) |
(364.000) |
(2444.500) |
|
|
b. Distillery |
510.200 |
483.100 |
1502.500 |
|
|
c. Power |
(40.300) |
352.400 |
2757.200 |
|
|
d. Others |
(108.600) |
- |
(108.600) |
|
|
Total |
84.300 |
471.500 |
1706.600 |
|
|
Less: (i) Finance cost (net) |
1434.200 |
1463.000 |
5364.100 |
|
|
(ii) Other Un-allocable Expenditure net off Un-allocable Income |
49.800 |
102.600 |
(444.300) |
|
|
Total Profit / (Loss) before Tax |
(1399.700) |
(1094.100) |
(3213.200) |
|
3. |
Capital Employed
(Segment Assets-Segment Liabilities) |
|
|
|
|
|
a. Sugar |
52153.400 |
56753.400 |
52153.400 |
|
|
b. Distillery |
4816.600 |
5703.500 |
4816.600 |
|
|
c. Power |
5879.100 |
6597.100 |
5879.100 |
|
|
d. Others |
3015.100 |
- |
3015.100 |
|
|
e. Unallocated |
32159.400 |
37700.800 |
32159.400 |
|
|
Total |
98023.600 |
106754.800 |
98023.600 |
Notes:
1. The Board of Directors have recommended a dividend of 10% (Rs. 0.10 per share) on the Equity Shares of the face value of Re.1/- each, subject to the approval of shareholders.
2. Given the seasonal nature of Industry, the results of any quarter may not be a true and/or proportionate reflection of the annual performance of the Company.
3. Out of the Rights Issue proceeds of Rs.14797.500 Millions concluded in October 2011, an aggregate sum of Rs.14537.300 Millions has been utilised towards objects of the issue upto September 30, 2012. Pending utilisation, the balance proceeds have been temporarily used to reduce the exposure of working capital borrowings from banks, which will be redrawn as and when necessary to meet the obligations as per the object of the issue. The Monitoring Agency appointed by the Company has submitted its report for the half year ended September 30, 2012.
4. Pursuant to the Scheme of Amalgamation ("the Scheme") under Sections 391 to 394 of the Companies Act, 1956, the Hon'ble High Court of Bombay pronounced an Order on September 14, 2012, sanctioning the Scheme of Amalgamation of Bajaj Eco-Tec Products Limited (BEPL or amalgamating company), a wholly owned subsidiary company with the Company with effect from the appointed date 1st April, 2012. BEPL is engaged in the business of manufacturing of bagasse based boards. The Scheme became effective on October 01, 2012 upon filing the said Order with the Registrar of Companies, Maharashtra, Mumbai as required under Section 394(3) of the Companies Act, 1956.The due effect of the Scheme was given in the financial statement for the year ended September 30, 2012. Hence the current quarter/ year figures are not comparable with the previous period figures.
5. Statement of assets and liabilities as at the year ended on September 30, 2012 is provided below:
(Rs. In Millions)
|
Particulars |
Standalone |
|
|
|
As at Current year end 30.09.2012 |
|
|
A. EQUITY AND
LIABILITIES |
|
|
|
1. Shareholders'
funds |
|
|
|
(a) |
Share capital |
639.400 |
|
(b) |
Reserves & surplus |
40303.400 |
|
|
Sub-total- Shareholders' funds |
40942.800 |
|
|
|
|
|
2. Minority
interest |
- |
|
|
|
|
|
|
3. Non-current
liabilities |
|
|
|
(a) |
Long-term borrowings |
15006.900 |
|
(b) |
Deferred tax liabilities (net) |
- |
|
(c) |
Other long-term liabilities |
- |
|
(d) |
Long-term provisions |
318.400 |
|
|
Sub-total-
Non-current liabilities |
15325.300 |
|
|
|
|
|
4. Current
liabilities |
|
|
|
(a) |
Short-term borrowings |
32863.000 |
|
(b) |
Trade payables |
2364.000 |
|
(c) |
Other current liabilities |
10349.600 |
|
(d) |
Short-term provisions |
128.300 |
|
|
Sub-total- Current
liabilities |
45704.900 |
|
|
|
|
|
|
TOTAL- EQUITY AND
LIABILITIES |
101973.000 |
|
|
|
|
|
B. ASSETS |
|
|
|
1. Non-current
assets |
|
|
|
(a) |
Fixed assets |
54272.500 |
|
(b) |
Non-current investments |
16003.600 |
|
(c) |
Deferred tax assets (net) |
- |
|
(c) |
Long-term loans & advances |
921.100 |
|
(d) |
Other non-current assets |
16.800 |
|
|
Sub-total-
Non-current assets |
71214.000 |
|
|
|
|
|
2. Current assets |
|
|
|
(a) |
Current investments |
- |
|
(b) |
Inventories |
5582.400 |
|
(c) |
Trade receivables |
1920.200 |
|
(d) |
Cash and bank balances |
1803.000 |
|
(e) |
Short-term loans and advances |
17358.200 |
|
(f) |
Other current assets |
4095.200 |
|
|
Sub-total- Current
assets |
30759.000 |
|
|
|
|
|
|
TOTAL- ASSETS |
101973.000 |
6. The above results have been reviewed by the audit committee and approved by the Board of Directors at their respective meetings held on November 26, 2012.
7. The figures of the current quarter ended September 30, 2012 are balancing figures after deducting 9 months published figures as on June 30, 2012 from the audited annual figures for the year ended September 30, 2012. Previous periods/year figures have been regrouped/ re-arranged/ reworked/ restated whereever necessary to conform to the classification of current period
WEBSITE DETAILS:
PROFILE
Subject, a part of the 'Bajaj Group', is India's Number One sugar and ethanol manufacturing company, headquartered at Mumbai (Maharashtra), India.
The Company has fourteen sugar plants, which are all located in the northern Indian state of Uttar Pradesh (UP): Golagokarannath, PaliaKalan and Khambarkhera (district LakhimpurKheri), Barkhera (district Pilibhit), Kinauni (district Meerut), Gangnauli (district Saharanpur), Thanabhavan and Budhana (district Muzaffarnagar), Bilai (district Bijnore), Maqsoodapur (district Shahjahanpur), Pratappur (district Deoria), Rudauli (district Basti), Kundarkhi (district Gonda) and Utraula (district Balrampur). These plants have an aggregate sugarcane crushing capacity of 136,000 tcd (tonnes crushed per day) and a distillery capacity to produce 800,000 litres of alcohol per day.
Subject is India’s largest ethanol producer. It is the pioneer of India’s fuel ethanol programme. Subject is currently producing 38 million litres of ethanol in a year. In anticipation of emerging market demand, the Company has increased its ethanol manufacturing capacity to nearly 218 million litres per year.
Subject generates close to 430 MW of power from the bagasse produced in its sugar mills. After meeting its own energy needs, Subject has a surplus of around 100 MW. The Company supplies a significant part of this surplus power to the UP state grid. BHL recently embarked upon the expansion of its power generation capacity by 450 MW through the setting up of new coal based power plants of 90 MW each in the vicinity of 5 of its existing sugar units. These new projects have been commissioned successfully at an aggregate project cost of around Rs. 23 billion.
Besides this, through a Consortium, the Company, in a major diversification move, has also embarked on developing two mega thermal power projects in UP, each of which will produce 1,980 megawatts of power, ready for commissioning by around 2014-15.
Subject’s wholly owned subsidiary, Bajaj Eco-tec Products Limited (BEPL), produces environment-friendly Medium Density Fibre Boards (MDF) and Particle Boards (PB), both from its bagasse waste. Both MDF and PB are invaluable substitutes for wood in construction and furnishing. The manufacturing of MDF and PB has been a trail-blazing venture in India. It will protect and preserve India’s forests from commercial exploitation by the construction and furniture industries. A 50,000 cubic metre MDF plant saves one lakh mature trees from being cut down in a year.
BEPL is among the very few units in the world to manufacture MDF and PB that is completely wood-free. Its three Units, put together, turns out 210,000 cubic metres of MDF and Particle Boards in a year. This will prevent the felling of an estimated 420,000 fully matured trees annually.
PRESS RELEASE:
PRAJ INDUSTRIES,
BAJAJ HINDUSTHAN SHREE RENUKA SUGAR RISE ON WIDENED ETHANOL BLENDING
23 NOVEMBER, 2012
Shares in biofuels technology company Praj Industries Ltd and sugar firms Bajaj Hindusthan Ltd and Shree Renuka Sugar rallied after the government said it wanted to extend ethanol blending with petrol to all states in the country from present 13 states.
The decision is expected to improve demand for ethanol, which sugar factories produce as a bi-product. The Union ministry of petroleum and natural gas will issue a notification to the oil marketing companies to implement ethanol blending across all states effective Dec. 1 2012, a government statement said.
Shares in Praj industries rose 10.14 per cent. Bajaj Hindustan gained 1.13 per cent while Shree Renuka Sugars rose 1 per cent.
BAJAJ HINDUSTHAN
LIMITED - UPDATES ON SCHEME OF AMALGAMATION
14 SEPTEMBER, 2012
With reference to the earlier announcement dated September 14, 2012, regarding the Hon?ble High Court of Judicature at Bombay vide its Order dated September 14, 2012 had sanctioned the Scheme of Amalgamation of Bajaj Eco - Tee Products Limited (BETPL) with Bajaj Hindustan Limited (BHL), Bajaj Hindusthan Limited has now informed BSE that Certified Copy of the aforesaid Order has been filed with the Registrar of Companies, Maharashtra, Mumbai for registration pursuant to Section 394(3) of the Companies Act, 1956 on October 01, 2012. BETPL has also filed the Certified Copy of the Order on October 01, 2012 and accordingly the Scheme has become effective on October 01, 2012 with Appointed Date being April 01, 2012. Consequently, BETPL stands dissolved without winding-up with effect from October 01, 2012.
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 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.54.20 |
|
|
1 |
Rs.87.00 |
|
Euro |
1 |
Rs.70.22 |
INFORMATION DETAILS
|
Report Prepared
by : |
BSN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
66 |
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.