MIRA INFORM REPORT
|
Report Date : |
17.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
SOLAR INDUSTRIES INDIA LIMITED (w.e.f. 17.02.2009) |
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Formerly Known
As : |
SOLAR EXPLOSIVES LIMITED |
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Registered
Office : |
11, Zade Layout, Bharat Nagar, |
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Country : |
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Financials (as
on) : |
31.03.2012 |
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Date of
Incorporation : |
24.02.1995 |
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Com. Reg. No.: |
11-085878 |
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Capital
Investment / Paid-up Capital : |
Rs.173.238
millions |
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CIN No.: [Company Identification
No.] |
L74999MH1995PLC085878 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
NGPS01592D |
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PAN No.: [Permanent Account No.] |
AACCS2132E |
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Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
Subject is engaged
in the business of manufacturing of Explosives and other is trading of
Ammonium Nitrate. |
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No. of Employees
: |
500 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
A (60) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Maximum Credit Limit : |
USD 10787000 |
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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 well established company having fine track. Financial
position of the company appears to be sound. Trade relations are reported as fair.
Business is active. Payments are reported to be regular and as per
commitments. The company can be considered good for 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 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
|
Source
: CIA |
EXTERNAL AGENCY RATING
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Rating Agency Name |
CRISIL |
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Rating |
AA- (Term Loans) |
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Rating Explanation |
High degree of safety it carry very low credit risk. |
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Date |
April, 2011 |
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Rating Agency Name |
CRISIL |
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Rating |
A1+ (Letter of credit and Bank Guarantee) |
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Rating Explanation |
Very strong degree of safety it carry lowest credit risk. |
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Date |
April, 2011 |
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.
INFORMATION DECLINED BY
|
Name : |
Mr. Preetam |
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Designation : |
Finance Head |
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Contact No.: |
91-712-2561000 |
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Date : |
15.12.2012 |
LOCATIONS
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Registered Office/ Corporate Office : |
11, Zade Layout, Bharat Nagar, |
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Tel. No.: |
91-712-2561000/ 2560010/ 2561010 |
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Fax No.: |
91-712-2560202 |
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E-Mail : |
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Website : |
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Factory 1 : |
Village-Chakdoh (Bazargaon), Tehsil-Katol, |
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Factory 2 : |
Village-Savanga |
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Factory 3 : |
Village-Khapri (Nimji), |
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Factory 4 : |
Plot No.32-37, Udyog Deep Industrial Area, District-Sidhi, Waidhan, |
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Factory 5 : |
Survey Number 101, |
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Factory 6 : |
Khasra Number 5, Village-Mudapur, Tahsil-Katgora, Korba, |
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Factory 7 : |
Plot No.967 and 1156, Mouza Manua, Tahsil-Ramgarh Cantonment,
Hazribagh, |
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Factory 8 : |
MIDC Plot Number B-11, Chandrapur (Tadali) |
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Factory 9 : |
Kandra Industrial Area, Plot Number C-32 (p) and C-33 (p), Dhanbad, |
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Factory 10 : |
Mouza Barakuria, Plot Number 2/848, P.S. Asansol (North),
Tahsil-Asansol, Burdwan, West |
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Factory 11 : |
IDCO Plot Number
27, Revenue Plot No.48(P), Village Ghontapada Industrial Estate Talcher ,
Angul, |
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Factory 12 : |
KH. No.323/2, P.H. Number 30, Mauza Chainpur, Tahsil-Manendragarh,
Koria, |
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Factory 13 : |
Survey Number 363, Kamanpur (Mandal), Village Musthyala (A)
Karimnagar, |
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Factory 14 : |
Mauza Behrapalli, Plot Number: 389 and 392, Jharsuguda, |
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Factory 15 : |
Plot Number 380(P), Khata Number 48, Mauza Borghatta, P.O. West
Bokaro, District Ramgarh, |
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Factory 16 : |
Khasra Number 975/2, Ganyar District Singrauli, |
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Factory 17 : |
Khasra Number 1459 and 1460, Village Rupaheli, Tahesil Harda, District
Bhilwara, |
DIRECTORS
As on 31.03.2012
|
Name : |
Mr. Satyanarayan Nandlal Nuwal |
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Designation : |
Chairman and Executive Director |
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Address : |
37, Kachipura, Ramdaspeth, |
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Date of Birth/Age : |
25.07.1952 |
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Date of Appointment : |
24.02.1995 |
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Name : |
Mr. Kailashchandra Nuwal |
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Designation : |
Executive Director |
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Address : |
37, Kachipura, Ramdaspeth, |
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Date of Birth/Age : |
06.07.1957 |
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Date of Appointment : |
25.10.2005 |
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Name : |
Mr. Manish Nuwal |
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Designation : |
Executive Director |
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Address : |
37, Kachipura, Ramdaspeth, |
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Date of Birth/Age : |
12.03.1974 |
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Date of Appointment : |
25.10.2008 |
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Name : |
Mr. Kundan Singh Kanahailaji Talesra |
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Designation : |
Executive Director |
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Address : |
206, |
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Date of Birth/Age : |
02.12.1944 |
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Date of Appointment : |
15.09.2000 |
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Name : |
Mr. Roomie Dara Vakil |
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Designation : |
Executive Director |
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Address : |
C-23, Vikrampuri, Secunderabad – 500 009, |
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Date of Birth/Age : |
13.02.1943 |
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Date of Appointment : |
25.10.2005 |
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Name : |
Mr. Anant Sagar Awasthi |
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Designation : |
Non-Executive Independent Director |
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Address : |
E-17, GK-III, |
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Date of Birth/Age : |
14.01.1941 |
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Date of Appointment : |
25.10.2005 |
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Name : |
Mr. Satish Chander Gupta |
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Designation : |
Non-Executive Independent Director |
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Address : |
A-1/135, Inderpur, |
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Date of Birth/Age : |
05.05.1945 |
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Date of Appointment : |
25.10.2008 |
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Name : |
Mr. Dilip Patel |
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Designation : |
Non-Executive Independent Director |
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Address : |
15, Neel Shobha 52E, |
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Date of Birth/Age : |
20.10.1947 |
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Date of Appointment : |
18.06.2008 |
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Name : |
Mr. Ajai Nigam |
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Designation : |
Non-Executive Independent Director |
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Address : |
Flat No.202, Niramalpuja Apartment, 159, Shivaji Nagar, |
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Date of Birth/Age : |
29.08.1949 |
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Date of Appointment : |
27.10.2009 |
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Name : |
Mr. Anand Kumar |
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Designation : |
Non-Executive Independent Director |
KEY EXECUTIVES
|
Name : |
Mr. Nilesh Panpaliya |
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Designation : |
Chief Financial Officer |
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Name : |
Mrs. Khushboo Pasari |
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Designation : |
Secretary |
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Address : |
57A, |
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Date of Birth/Age : |
15.03.1985 |
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Date of Appointment : |
10.10.2007 |
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Name : |
Mr. Preetam |
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Designation : |
Finance Head |
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Audit Committee : |
Mr. Anant Sagar Awasthi (Chairman) Mr. Satish Chander Gupta (Member) Mr. Dilip Patel (Member) Mr. Manish Nuwal (Member) |
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Shareholders Grievance Committee : |
Mr. Anant Sagar Awasthi
(Chairman) Mr. Kailashchandra Nuwal (Member) Mr. Kundan Singh Talesra (Member) |
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Remuneration and Compensation Committee : |
Mr. Anant Sagar Awasthi (Chairman) Mr. Satish Chander Gupta
(Member) Mr. Dilip Patel (Member) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2012
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
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(A) Shareholding of Promoter and Promoter Group |
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12979327 |
71.72 |
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|
12979327 |
71.72 |
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Total shareholding of Promoter and Promoter Group (A) |
12979327 |
71.72 |
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(B) Public Shareholding |
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|
2741117 |
15.15 |
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|
225 |
0.00 |
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|
711873 |
3.93 |
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|
201134 |
1.11 |
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|
3654349 |
20.19 |
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|
|
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|
841883 |
4.65 |
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|
|
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|
483578 |
2.67 |
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|
120029 |
0.66 |
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|
18845 |
0.10 |
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|
8366 |
0.05 |
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|
10279 |
0.06 |
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|
200 |
0.00 |
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|
1464335 |
8.09 |
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Total Public shareholding (B) |
5118684 |
28.28 |
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Total (A)+(B) |
18098011 |
100.00 |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
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Total (A)+(B)+(C) |
18098011 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged
in the business of manufacturing of Explosives and other is trading of
Ammonium Nitrate. |
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Products : |
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PRODUCTION STATUS (AS ON 31.03.2011)
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Cartridge Explosives |
M.T. |
76,590.00 |
95,700.00 |
49,859.14 |
|
Detonators |
Mn |
No 50.00 |
62.50 |
34.65 |
|
Detonating Fuse |
Mn |
Nos 75.00 |
93.00 |
56.96 |
|
PETN |
M.T. |
1,650.00 |
2,060.00 |
744.23 |
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Cast Booster |
M.T. |
1,500.00 |
1,875.00 |
269.10 |
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Specialty Chemicals |
M.T. |
2,880.00 |
2,880.00 |
1,409.06 |
|
Site Mixed (Emulsion) Explosives |
M.T. |
1,84,860.00 |
2,36,000.00 |
79,875.45 |
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Other |
M.T. |
- |
- |
991.40 51 Nos. |
GENERAL INFORMATION
|
No. of Employees : |
500 (Approximately) |
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Bankers : |
v
State Bank of v
Bank of v
Axis Bank Limited v
DBS Bank v
ICICI Bank v
HSBC Bank v
HDFC Bank Limited v
Yes Bank v
Standard Chartered Bank |
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Facilities : |
Notes: LONG TERM
BORROWINGS Term Loan
amounting to 90 Lakhs $ are secured by Exclusive charge on the tangible
movable and immovable fixed assets. The same is repayable in 7 Equal Semi
annual installment already started from 1st of January, 2012 * Maturity Profile of secured Term Loan are set out below: MATURITY PROFILE
SHORT-TERM
BORROWINGS # Working
Capital loans are secured by hypothecation of entire stocks, raw material, stock
in process, finished goods, consumables, stores and spares, book debts,
outstanding money receivables, entire current asset of company- current and
future, paripassu second charges on fixed assets, claims and bills,
receivables. |
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Banking Relations
: |
-- |
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Auditors : |
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Name : |
Gandhi Rathi and Company Chartered Accountants |
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Address : |
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Subsidiaries : |
v
Economic Explosives Limited v
Solar Mines and Minerals Limited v
Solar Mining Resources Limited v
Navbharat Coalfields Limited |
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Overseas
Subsidiaries: |
v
Solar Overseas Mauritius Limited v
Solar Explochem Mauritius Limited v
Solar v
Solar v
ILCI Patlayici Maddeler Sanayi Ve Ticaret Anonim
Sirketi v
PATSAN Pattlayici Maddeler Sanayi Ve Ticaret v
Solar Overseas Singapore Pte Limited v
Solar Nigachem Nigeria Limited v
Nigachem Nigeria Limited v
Solar Explochem Zambia Limited v
Solar Mining Services Australia Pty Limited v
Solar Nitrochemicals Limited v
PT. Solar Mining Resources v
Solar Agro Florestal LDA v
Solar Induatries Mocambique LDA v
Solar Recursos Minerals LDA v
Solar Explochem ( |
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Associates: |
v
Solar Synthetic Private Limited v
Mahakal Infrastructures Private Limited v
Mahakal Project Private Limited v
Nagpur Infrastructure Private Limited v
Solar Bhatgaon Extension Mines Private Limited v
SMS Bhatgaon Mines Extension Private Limited v
Bhatgaon Extension Mines Private Limited v
Bhatgaon Mines Private Limited v
Solar Initiating Systems Limited v
Madanpur North Coalfields Limited v
Solar Processors Limited v
Australian Explosive Technologies Group Pty
Limited v
Navbharat Fuse |
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
27000000 |
Equity Shares |
Rs.10/- each |
Rs.270.000 millions |
|
|
|
|
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
17323816 |
Equity Shares |
Rs.10/- each |
Rs.173.238
millions |
|
|
|
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|
No shares were
issued in last 5 years
Details of
Shareholders holding more than 5% Equity Shares
|
|
No.
of share |
%
held |
|
Name of
Shareholder - Percentage Held |
|
|
|
1.Satyanarayan Nuwal |
2686211 |
15.51 |
|
2. Kailashchandra Nuwal |
2637925 |
15.23 |
|
3. Nandlal Nuwal |
2082313 |
12.02 |
|
4. Indira Devi Nuwal |
1094375 |
6.32 |
|
5. Leela Devi Nuwal |
1015188 |
5.86 |
|
6. Sohan Devi Nuwal |
1015188 |
5.37 |
Reconciliation Statement
of Shares Outstanding
|
|
No.
of share |
|
Number of Shares at the beginning of the year |
17323816 |
|
Add: Issued during the year |
-- |
|
Number of Shares at the end of the year |
17323816 |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
173.238 |
173.238 |
173.238 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2523.597 |
2102.452 |
1749.964 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2696.835 |
2275.690 |
1923.202 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1653.817 |
1108.769 |
766.409 |
|
|
2] Unsecured Loans |
561.339 |
203.653 |
259.463 |
|
|
TOTAL BORROWING |
2215.156 |
1312.422 |
1025.872 |
|
|
DEFERRED TAX LIABILITIES |
150.125 |
122.177 |
101.925 |
|
|
|
|
|
|
|
|
TOTAL |
5062.116 |
3710.289 |
3050.999 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1788.696 |
1204.803 |
884.891 |
|
|
Capital work-in-progress |
194.354 |
179.623 |
158.070 |
|
|
Other Non Current Assets |
43.381 |
66.936 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
684.326 |
691.570 |
356.238 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
725.245
|
264.948 |
315.666
|
|
|
Sundry Debtors |
930.754
|
762.035 |
761.070
|
|
|
Cash & Bank Balances |
194.230
|
364.404 |
738.146
|
|
|
Other Current Assets |
579.227
|
156.482 |
0.000
|
|
|
Loans & Advances |
1150.797
|
1159.923 |
1289.281
|
|
Total
Current Assets |
3580.253
|
2707.792 |
3104.163 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
634.473
|
758.340 |
1181.623
|
|
|
Other Current Liabilities |
464.053
|
224.676 |
287.219
|
|
|
Provisions |
130.368
|
157.419 |
0.000
|
|
Total
Current Liabilities |
1228.894
|
1140.435 |
1468.842 |
|
|
Net Current Assets |
2351.359
|
1567.357 |
1635.321
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
16.479 |
|
|
|
|
|
|
|
|
TOTAL |
5062.116 |
3710.289 |
3050.999 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue From Operations |
7237.472 |
5340.060 |
4760.215 |
|
|
|
Other Income |
249.672 |
248.097 |
250.133 |
|
|
|
TOTAL (A) |
7487.144 |
5588.157 |
5010.348 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
3929.994 |
|
4335.137 |
|
|
|
Purchases of Stock in Trade |
891.442 |
626.572 |
|
|
|
|
Changes in inventories |
(18.749) |
(4.323) |
|
|
|
|
Employee Benefit Expenses |
241.482 |
188.781 |
|
|
|
|
Other Expenses |
1338.314 |
1223.030 |
|
|
|
|
Exceptional Items |
31.504 |
0.000 |
|
|
|
|
TOTAL (B) |
6413.987 |
4650.226 |
4335.137 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1073.157 |
937.931 |
675.211 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
200.881 |
114.497 |
120.104 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
872.276 |
823.434 |
555.107 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
80.477 |
66.355 |
63.200 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
791.799 |
757.079 |
491.907 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
182.939 |
254.144 |
179.254 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
608.860 |
502.935 |
312.653 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
553.838 |
351.350 |
280.573 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend |
NA |
69.295 |
60.633 |
|
|
|
Proposed Dividend |
NA |
69.295 |
60.633 |
|
|
|
Tax on Dividend |
NA |
11.857 |
20.610 |
|
|
|
General Reserve |
NA |
150.000 |
100.000 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
553.838 |
351.350 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
FOB value of exports |
561.010 |
726.702 |
413.263 |
|
|
TOTAL EARNINGS |
561.010 |
726.702 |
413.263 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
NA |
989.888 |
1478.187 |
|
|
|
Capital Goods |
NA |
0.499 |
25.582 |
|
|
TOTAL IMPORTS |
NA |
990.387 |
1503.769 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
35.15 |
29.03 |
18.05 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2012 (1st
Quarter) |
31.09.2012 (2nd
Quarter) |
|
Net Sales |
|
2257.300 |
1827.490 |
|
Total Expenditure |
|
1951.080 |
1609.960 |
|
PBIDT (Excl OI) |
|
306.220 |
217.530 |
|
Other Income |
|
52.950 |
109.250 |
|
Operating Profit |
|
359.170 |
326.780 |
|
Interest |
|
91.740 |
56.190 |
|
PBDT |
|
267.430 |
270.590 |
|
Depreciation |
|
24.600 |
25.250 |
|
Profit Before Tax |
|
242.830 |
245.350 |
|
Tax |
|
48.940 |
25.270 |
|
Profit After Tax |
|
193.890 |
220.080 |
|
Other Adjustments |
|
0.000 |
0.000 |
|
Net Profit |
|
193.890 |
220.080 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
8.13
|
9.00 |
6.24 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.94
|
14.18 |
10.33
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.75
|
19.35 |
12.33
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.29
|
0.33 |
0.26
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.28
|
1.08 |
1.30
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.91
|
2.37 |
2.11
|
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 |
Yes |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact person |
Yes |
|
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 |
Yes |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
YEAR IN RETROSPECT:
Standalone Performance
v The total revenue
of the Company for fiscal year 2012 stood at Rs.7782.087 millions as against
Rs.5704.661 millions for fiscal year 2011 showing an increase of 36.42%.
v The EBIDTA
increased by 17.78% from Rs.937.931 millions in fiscal year 2011 to Rs.1104.661
millions in fiscal year 2012.
v Profit after tax
witnessed a growth of 21.06% from Rs.502.935 millions in fiscal year 2011 to
Rs.608.860 millions in fiscal year 2012.
v The net worth of
the Company increased from Rs.2275.690 millions at the end of fiscal year 2011
to Rs.2696.835 millions at the end of fiscal year 2012.
Credit Ratings:
CRISIL has
reaffirmed its ratings of AA-/Positive (Outlook Revised from ‘Stable’) to the
various bank facilities of subject. The ratings reflect subject’s strong market
position, good operating efficiency (backed by prudent raw material procurement
policies and backward integration), and strong debt protection measures. To
arrive at its ratings, CRISIL has combined subject’s financial and business
profiles with those of its subsidiaries.
In addition to
long-term rating, CRISIL has also assigned A1+ (Reaffirmed) rating to subject
for short-term borrowing.
Subsidiary Operations:
As a purposeful
strategy, the Company carries all its business operations through several
subsidiary and associate companies which are formed either directly or as
step-down subsidiaries or in certain cases by acquisition of a majority stake
in existing enterprises.
Incorporation of
Step down Subsidiaries:-
During the year
following step down Subsidiary Company was incorporated through their step down
subsidiary Solar Overseas Netherlands B.V.:
v
Solar Explochem (
Acquisitions:-
During the year
subject has increased its holding from 51% to 100% in Solar Mining Resources
Limited.
In the year
Subject through its step down subsidiary Solar Overseas Netherlands B.V. has
increased its stake from 54% to 74.50% in Ilci Patlayici Maddeler Sanayi Ve
Ticaret Anonim Sirketi (ILCI).
During the year, Company’s
step down subsidiary, Nigachem Nigeria Limited has allotted 90,909,091
additional shares to Nigerian Shareholders. This additional allotment has
reduced the stake of Solar Overseas Netherlands Cooperatie U.A. from 70% to
55%.
Outlook
The Indian
government can express itself most powerfully through the accelerated creation
of infrastructure – power, roads, railways, ocean ports, and airports. The
inadequacy of infrastructure continues to act as a constraint for the expansion
of economic activity across the country.
They are hopeful
that the government will accelerate capacity creation in key infrastructure
areas like the coal sector, to catalyse economic activity in 2012-13 (first
year of the Twelfth Plan). Despite
However, the
future of the coal industry will depend on the investment and development of
national infrastructure, start of private mines, pricing reforms, production
growth of CIL, and structural measures to expedite the reform process.
Inadequate infrastructural development continues to curtail the expansion of
MANAGEMENT DISCUSSION AND ANALYSIS
Economic overview
India’s GDP growth
declined to 6.9% in 2011-12 largely on account of poor growth by its
manufacturing sub-sector; seven of 22 industry groups reported negative growth
between April and February 2011-12. Tardy clearences and court imposed controls
continue to dampen the growth in mining sector. However, the recent statements
by Hon’ble Prime Minister give hope that bottleneck would be removed and the
economy would be put back on its growth path.
Explosive industry overview
For countless
years, minerals extracted from the earth have provided the raw materials with
which human civilization has been built. Mining entails searching and
extracting these minerals from the earth. The explosives are vital and
indispensable to the mining of every mineral, whether it is coal, iron ore,
copper, bauxite, or any other. Worldwide explosives demand is driven by
economic development, energy and base mineral demand.
Today they rely on
explosives more than ever, in their quest for more electrical energy, better
roadways, and increased mineral harvesting. Explosives are used in mining,
infrastructure projects, building demolition and constructions, and are
profitable not only in saving time and costs, but also in terms of energy and
the reduction of air emissions as compared to mechanical means.
Classification of explosives
Explosives are
broadly classified into 3 categories viz.
Packaged Explosives: These are
explosives manufactured in a plant and is in the form of Cartridges varying in
diameter and size depending on the blasting requirement. These are mostly used
in construction sites for road building, quarrying, tunneling, small mines and
seismic exploration.
Bulk Explosives: These are essentially non-explosives system
taken on a bulk delivery vehicle to the mines site and pumped down the bore
holes as per the minig strata. It is essentially used where the scale of
blasting operation is large and large quantities have to be charged per day. It
is mainly used in major opencast mines like Coal, Iron ore, Limestone, Zinc,
etc.
Initiating Systems: Initiating
systems are basically detonators and boosters required to initiate either
Cartridge explosives or Bulk explosives. These can be in various forms like
Instanteous Detonators, Delay Detonators, Non-
Electric
Detonators, Electronic Detonators and also Detonating Cords. All these are used
for initiating Bulk explosives or Cartridge explosives.
Indian explosives industry
The Indian
explosives market is driven by increased spending and activity in the Indian
infrastructure segment. The Indian annual market of civil explosives is around
0.7 million tonnes or Rs.27500.000 millions, around 5% of the global civil
explosive consumption. This market is growing at around 6-7%, signifying
optimism for further growth.
The Indian demand
for explosives is directly proportionate to the growth in the country’s coal
mining, metal mining and infrastructure sectors. In
Downstream users
Coal: The Indian coal industry is the
fourth-largest in terms of coal reserves and third-largest in terms of coal
production globally and contributes 7.9% to the global production. Coal was
recognised as the most important source of energy for electricity generation.
Industries such as steel, cement, fertilizers and chemicals are major coal
consumers. Nearly 85% of
Power:
Metal mining:
Cement:
Road construction:
Steel:
The steel industry
feeds the needs of the country’s infrastructure, construction, automobile,
transportation and industrial sectors. Estimates suggest that the finished
steel consumption will grow at a CAGR of around 12% during FY 2012 - FY 2014.
Indian steel producers signed 222 memorandum of understanding (MoUs) with state
governments for a planned capacity addition of about 275.73 million tonnes (MT)
by 2020.
The Union Budget 2012-13
proposed a reduction in basic customs duty on plant and machinery imported for
setting up or substantial expansion of iron ore pellet plants or iron-ore
beneficiation plants from 7.5% to 2.5%. This will lead to a rise in iron ore
mining. Similarly, growth in the production of zinc, lead, bauxite and other
minerals is also expected, catalyzing the demand for explosives.
The Indian steel
sector will add 23 MT capacity largely through brownfield expansions, raising
the total capacity to 105 MT. By 2013-14,
Brief analysis of the financial statements
Gross income grew
42.45% from Rs.7242.626 millions to Rs.10316.944 millions EBDITA surged 31.56%
from Rs.1479.795 millions to Rs.1946.809 millions Net profit strengthened
33.87% from Rs.755.900 millions to Rs.1012.000 millions EPS increased 33.87%
from Rs.43.64 to Rs.58.42.
CONTINGENT
LIABILITIES AND COMMITMENTS
|
|
31.03.2012 (Rs. in
millions) |
31.03.2011 (Rs. in millions) |
|
1) In respect of counter guarantees given by Bank |
307.762 |
303.879 |
|
2) In respect of excise matters in dispute / under appeal |
48.852 |
26.171 |
|
3) In respect of Sales Tax Deferement payable as per NPV basis –
53.605 millions |
132.356 |
207.618 |
|
4) In respect of income tax matters in dispute/ under appeal |
1.824 |
1.824 |
|
5) In respect Os Sales Tax matters in dispute/ under appeal |
13.650 |
8.587 |
|
6) Duty imposed by CCI for Voilating Sec 3 of Competion Act ** |
113.400 |
0.000 |
** The Competition
Commission of India (CCI) has upheld the contention of Coal India Limited (CIL)
against explosive manufactures.
CIL had contended
by the manufactures for collective boycott of electronic reverse auction held
by CIL in January 2010 covered as violation under sec 3 of Competition Act.
CCI has fined the
ten explosives manufacturers 3% of the average of their annual turnover for the
last three financial years, for violating sec 3 of the Competition Act.
The unanimous order
of the CCI held that there was a concerted action among the explosives
manufacturers not to participate in the CIL reverse auction , which resulted in
a collective boycott of the auction and manipulation of the bidding process ,
in violation of sec 3(3)(b) of the Competition Act.
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH JUNE, 2012
Rs.
in millions
|
Particulars |
Standalone Unaudited
For the Quarter ended on 30.09.2012 |
Standalone Unaudited
For the Quarter ended on 30.06.2012 |
|
|
|
|
|
1. a) Gross Sales/Income from Operations |
1982.614 |
2452.755 |
|
Less: Excise Duty |
163.188 |
200.501 |
|
Net Sales/ Income from Operations |
1819.426 |
2252.254 |
|
(b) Other Operating Income |
8.065 |
5.050 |
|
Total Income |
1827.491 |
2257.304 |
|
|
|
|
|
2. Expenditure |
|
|
|
a) (Increase) / Decrease in stock in trade and work in progress |
(10.392) |
6.054 |
|
b) Consumption of materials |
1033.865 |
1201.712 |
|
c) Purchase of traded goods |
192.568 |
267.377 |
|
d) Employees cost |
76.379 |
76.251 |
|
e) Depreciation |
25.247 |
24.599 |
|
f) Other expenditure |
317.531 |
399.693 |
|
Total Expenditure |
1635.198 |
1975.686 |
|
|
|
|
|
3. Profit from operations before other income, interest and
exceptional Items (1-2) |
192.293 |
281.618 |
|
4. Other income |
109.246 |
52.948 |
|
5. Profit before interest and exceptional Items (3+4) |
301.539 |
334.566 |
|
6. Interest and Finance Costs |
56.188 |
91.738 |
|
7. Profit after
Interest but before Exceptional Items |
245.351 |
242.828 |
|
8. Exceptional Items |
0.000 |
0.000 |
|
9. Profit
(+)/Loss(-) from Ordinary Activities before tax |
245.351 |
242.828 |
|
10. Tax expense |
|
|
|
a. Current Tax |
19.703 |
44.966 |
|
b. Deferred Tax |
5.571 |
3.976 |
|
c. Prior Period Taxes |
0.000 |
0.000 |
|
11. Net Profit
(+)/Loss(-) from Ordinary Activities after tax |
220.077 |
193.886 |
|
12. Minority
Interest in Subsidiary Profit/Loss |
0.000 |
0.000 |
|
13. Net Profit (+) / Loss (-) for the period |
220.077 |
193.886 |
|
14. Paid up equity share capital (Face value of Rs.10/- per share) |
180.980 |
173.238 |
|
15. Reserves excluding Revaluation Reserves |
-- |
-- |
|
16. a) Basic and
diluted Earnings Per Share (Rupees) (not annualised) |
12.55 |
11.19 |
|
b) Basic and diluted
Earnings Per Share (Rupees) (Annualised) |
50.20 |
44.76 |
|
17. Public shareholding |
|
|
|
- Number of shares |
5118000.00 |
4344000.00 |
|
- Percentage of shareholding |
28.28 |
25.08 |
|
18. Promoters
and Promoters group Shareholding- |
|
|
|
a) Pledged /Encumbered |
|
|
|
- Number of shares |
0.000 |
0.000 |
|
- Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
0.000 |
0.000 |
|
- Percentage of shares (as a % of total share capital of the company) |
0.000 |
0.000 |
|
b) Non Encumbered |
|
|
|
- Number of shares |
12979327.00 |
12979327.00 |
|
- Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
100.00 |
100.00 |
|
- Percentage of shares (as a % of total share capital of the company) |
71.72 |
74.92 |
NOTES:
1. The above results have been reviewed by the Audit Committee and taken
on record by the Board of Directors at their meeting held on 5th
November, 2012.
2. The Statutory Auditors have carried out a "Limited Review"
of the results for the quarter ended on 30th September, 2012.
3. Standalone Results as on 30.09.2012 are as under
(Rs.
in millions)
|
Particulars |
Standalone Unaudited
For the Quarter ended on 30.09.2012 |
Standalone Unaudited
For the Quarter ended on 30.06.2012 |
|
Net Sales/Income from operations |
1827.491 |
2257.304 |
|
Profit Before tax |
245.351 |
242.828 |
|
Extraordinary items |
0.000 |
0.000 |
|
Profit Before tax before exceptional items |
245.351 |
242.828 |
|
Profit After tax after/ Extraordinary items |
220.077 |
193.886 |
4. Investors Complaints outstanding at the beginning of the Quarter were
Nil, Number of Complaints received and resolved during the Quarter were Nil,
Outstanding Number of Complaints at the end of the Quarter are Nil.
5.
a) The company has allotted 774195 equity shares of Rs.10/- each at a
premium of Rs.920 through private equity placement on 06th September
2012, hence the paid up capital of the company stand increase from Rs.173.238
Millions to Rs.180.980 Millions.
b) EPS is calculated on the basis of weighted average no. of shares
outstanding during the periods.
6. The company has declared the interim dividend of Rs. per share on
18098011 equity shares Rs.10 each for the financial year 2012-2013.
7. Notice is hereby given that the record date for the purpose of
interim dividend will be 17th November, 2012 and the payment date
will be 26th November, 2012.
8. Previous period figures have been regrouped/rearranged wherever
considered necessary.
9. Consolidated
results included the result of al subsidiary companies as per Accounting
Standard 21, Consolidated Financial Statement issued by ICAI New Delhi
SEGMENTWISE
REVENUE, RESULTS AND CAPITAL EMPLOYED (UNDER CLAUSE 41 OF LISTING AGREEMENT) OR
THE QUARTER ENDED 30TH JUNE, 2012
Rs.
in millions
|
Particulars |
Standalone Unaudited
For the Quarter ended on 30.09.2012 |
Standalone Unaudited
For the Quarter ended on 30.06.2012 |
|
1. Segment
Revenue |
|
|
|
a. Explosives |
1642.541 |
1985.932 |
|
b. Trading |
184.950 |
271.372 |
|
c. Others |
0.000 |
0.000 |
|
|
1827.491 |
2257.304 |
|
Less: Inter segment revenue |
0.000 |
0.000 |
|
Revenue from
Sales & other Income and exchange fluctuation gains |
1827.491 |
2257.304 |
|
2. Segment
Results |
|
|
|
Profit/(loss) (before tax and interest from each segment) |
|
|
|
a. Explosives |
189.629 |
277.018 |
|
b. Trading |
2.664 |
4.600 |
|
c. Others |
0.000 |
0.000 |
|
Total |
192.293 |
281.618 |
|
Less: |
|
|
|
(i) Interest paid |
56.188 |
91.738 |
|
(ii) Other un-allocable expenditure net off
un-allocable income |
109.246 |
(52.948) |
|
Total Profit
Before Tax |
245.351 |
242.828 |
|
3. Capital
Employed |
|
|
|
a. Explosives |
2384.287 |
1860.600 |
|
b. Trading |
0.000 |
0.000 |
|
c. Others |
0.000 |
0.000 |
|
Total |
2384.287 |
1860.600 |
FIXED ASSETS:
v
Land
v
Plot
v
Civil Construction
v
v
Plant and Machinery
v
Furniture and Fixtures
v
Office Equipment
v
Vehicles
v
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.54.39 |
|
|
1 |
Rs.87.78 |
|
Euro |
1 |
Rs.71.29 |
INFORMATION DETAILS
|
Information Gathered
by : |
PDT |
|
|
|
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
60 |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major sections
of this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.