MIRA
INFORM REPORT
|
Report Date : |
21.01.2012 |
IDENTIFICATION DETAILS
|
Name : |
JAY BHARAT MARUTI LIMITED |
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Registered
Office : |
601, Hemkunt Chambers, 89 Nehru Place, New Delhi – 110019 |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
19.03.1987 |
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Com. Reg. No.: |
55-027342 |
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Capital
Investment / Paid-up Capital : |
Rs.108.250 Millions |
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CIN No.: [Company Identification
No.] |
L29130DL1987PLC027342 |
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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
: |
The company is engaged in the business of auto components for
automobiles. |
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No. of Employees
: |
3310 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (56) |
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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 5000000 |
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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 leading supplier of auto components to Maruti Suzuki
Limited. It is a well established company having fine track records. Trade relations
are reported as fair. Business is active. Payments are reported to be regular
and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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A1 |
A1 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
601, Hemkunt Chambers, 89, Nehru Place, New Delhi –
110019, India |
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Tel. No.: |
91-11-26427104-6 |
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Fax No.: |
91-11-26427100 |
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E-Mail : |
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Website : |
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Factory 1 : |
Plot No. 5, Maruti Joint Venture Complex,, Gurgaon –
122015, Haryana, India |
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Factory 2 : |
Sector
36, Mohammadpur Jharsa, Near Khandsa Village, Gurgaon – 122001, Haryana,
India |
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Plant 3 : |
Plot
No.15 and 22, Sector - 3A, Maruti Supplier Park, IMT Manesar, Gurgaon –
122050, Haryana, India |
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. S. K. Arya |
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Designation : |
Chairman and Managing Director |
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Name : |
Mr. U. C. Agarwal |
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Designation : |
Director |
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Name : |
Mr. D. P. Agarwal |
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Designation : |
Director |
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Name : |
Mr. R. Dayal, |
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Designation : |
MSIL Nominee |
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Name : |
Mr. Achintya Karati |
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Designation : |
Director |
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Name : |
Mr. Nishant Arya |
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Designation : |
Director |
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Name : |
Mr. Anand Swaroop |
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Designation : |
President and CFO |
KEY EXECUTIVES
|
Name : |
Mr. S. Kartik |
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Designation : |
Company Secretary and Compliance Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2011
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding
of promoters and Promoter Group |
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|
1. Indian |
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Individuals / Hindu Undivided Family |
3163850 |
14.61 |
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Bodies Corporate |
9516350 |
43.96 |
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Sub Total |
12680200 |
58.57 |
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2. Foreign |
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Total Shareholding
of Promoter and Promoter Group (A) |
12680200 |
58.57 |
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(B) Public
Shareholding |
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1. Institutions |
|
|
|
Mutual Funds / UTI |
7800 |
0.04 |
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Financial Institutions / Banks |
1200 |
0.01 |
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Central Government/State Government |
400 |
-- |
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Insurance Companies |
1000 |
-- |
|
Foreign Institutional Investors |
2129 |
0.01 |
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Sub Total (B) |
12529 |
0.06 |
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2. Non
Institutions |
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Bodies Corporate |
4518088 |
20.87 |
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Individual shareholders holding nominal share capital up to Rs. 0.100
million |
2830728 |
13.07 |
|
Individual shareholders holding nominal share capital in excess of Rs.
0.100 million |
1388711 |
6.41 |
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Any other
(Specify) |
219744 |
1.01 |
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NRIs/OCBs |
219744 |
1.01 |
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Sub Total |
8957271 |
41.37 |
|
Total Public
Shareholding (B) |
8969800 |
41.43 |
|
Total (A)+(B) |
21650000 |
100.00 |
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(C) shares held
by custodians and against which depository receipts have been issued |
-- |
-- |
|
Total
(A)+(B)+(C) |
21650000 |
-- |
BUSINESS DETAILS
|
Line of Business : |
The company is engaged in the business of auto components for
automobiles |
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Products : |
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PRODUCTION STATUS AS ON 31.03.2011
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Particulars |
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Installed
Capacity |
Actual
Production |
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Sheet Metal components,* |
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NOS. |
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Assemblies and sub assemblies |
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60000 MT |
37881832* |
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Muffler assemblies |
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- |
868315 |
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Fuel Neck (Nos.) |
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- |
1170144 |
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Rear Axle (Nos.) |
|
1280000 |
755517 |
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Dies and Tools (Nos.) |
|
1160000 |
67 |
Notes:
* Includes components
produced on job work 3713464 Nos. (Previous year 2576814 Nos.) excludes
components produced for interplant 21877831 nos. (previous year 16428667 nos.
respectively)
** On 3 shift basis
GENERAL INFORMATION
|
No. of Employees : |
3310 (Approximately) |
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Bankers : |
·
Standard Chartered Bank ·
IndusInd Bank ·
DBS Bank ·
Canara Bank ·
The Bank of Tokyo Mitsubishi UFJ ·
Limited ·
ICICI Bank Limited ·
Citi Bank N. A. ·
YES Bank Limited |
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Facilities : |
Notes: * Secured by
first charge on book debts, stock and other current assets of the company
ranking pari passu inter-se between the company’s bankers and are further
secured by second charge on fixed assets of the company. ** Secured by
first and exclusive charge on the fixed assets purchased / to be purchased
out of loan facility of the company finance by bank, Rs.446.000 Millions
(P.Y. NIL) further secured by hypothecation of existing plant and machinery
of the company with 0.50 cover including, without limitation, its movable
plant and machinery, furniture and fixture, equipment, computer hardware, computer
software, machinery spares, tools and accessories and others movables. *** Loans from Banks and Non-Banking Financial Companies, secured by
hypothecation of vehicles financed. |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Mehra Goel and Company Chartered Accountants |
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Internal Auditors : |
Sahni Natrajan and Bahl Chartered Accountants |
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Associates: |
Maruti Suzuki India Limited |
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Enterprises over
which Key Management Personnel and their relatives are able to exercise
significant influence : |
·
Jay Bharat Exhaust System Limited ·
JBM Industries Limited ·
Neel Metal Products Limited ·
JBM Auto Limited |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
24000000 |
Equity Shares |
Rs.5/- each |
Rs.120.000 Millions |
|
3000000 |
Preference Shares |
Rs.10/- each |
Rs.30.000 Millions |
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Total |
|
Rs.150.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
21650000* |
Equity Shares |
Rs.5/- each |
Rs.108.250
Millions |
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|
* Includes 10825000 issued as bonus shares out of general reserve
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
108.250 |
108.250 |
108.250 |
|
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
1145.323 |
812.598 |
640.491 |
|
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
1253.573 |
920.848 |
748.741 |
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LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1078.252 |
516.342 |
640.462 |
|
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
1078.252 |
516.342 |
640.462 |
|
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DEFERRED TAX LIABILITIES |
165.964 |
211.340 |
280.378 |
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TOTAL |
2497.789 |
1648.530 |
1669.581 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
2442.235 |
2012.871 |
1830.672 |
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Capital work-in-progress |
289.759 |
9.989 |
87.560 |
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INVESTMENT |
23.856 |
23.856 |
23.856 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
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Inventories |
526.479
|
321.034
|
270.061 |
|
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Sundry Debtors |
519.941
|
465.435
|
420.402 |
|
|
Cash & Bank Balances |
6.257
|
11.298
|
5.170 |
|
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Other Current Assets |
0.000
|
0.000
|
0.000 |
|
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Loans & Advances |
327.537
|
242.297
|
251.595 |
|
Total
Current Assets |
1380.214
|
1040.064
|
947.228 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1393.533
|
1256.189
|
1033.199 |
|
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Other Current Liabilities |
168.446
|
130.961
|
160.175 |
|
|
Provisions |
76.296
|
51.100
|
26.361 |
|
Total
Current Liabilities |
1638.275
|
1438.250
|
1219.735 |
|
|
Net Current Assets |
(258.061)
|
(398.186)
|
(272.507) |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2497.789 |
1648.530 |
1669.581 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
10602.918 |
8032.100 |
6917.264 |
|
|
|
Other Income |
55.702 |
23.109 |
28.632 |
|
|
|
TOTAL (A) |
10658.620 |
8055.209 |
6945.896 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Consumed |
8514.430 |
6323.815 |
5601.482 |
|
|
|
Employee remuneration and Benefits |
546.929 |
413.077 |
350.360 |
|
|
|
Manufacturing, Administrative and other expenses |
612.821 |
501.285 |
425.349 |
|
|
|
Increase/ Decrease in stocks |
(75.887) |
(14.699) |
(33.873) |
|
|
|
TOTAL (B) |
9598.293 |
7223.478 |
6343.318 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1060.327 |
831.731 |
602.578 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
143.036 |
122.736 |
96.526 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
917.291 |
708.995 |
506.052 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
350.858 |
380.830 |
343.604 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
566.433 |
328.165 |
162.448 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
183.384 |
118.063 |
58.840 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H)
(I) |
383.049 |
210.102 |
103.608 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
691.223 |
541.616 |
480.837 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
40.000 |
22.500 |
17.500 |
|
|
|
Proposed Dividend |
43.300 |
32.475 |
21.650 |
|
|
|
Tax on Dividend |
7.024 |
5.520 |
3.679 |
|
|
BALANCE CARRIED
TO THE B/S |
983.948 |
691.223 |
541.616 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of exports |
0.000 |
0.000 |
0.896 |
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
186.267 |
147.244 |
158.154 |
|
|
|
Stores & Spares |
0.961 |
6.368 |
2.754 |
|
|
|
Capital Goods |
474.221 |
47.812 |
176.895 |
|
|
TOTAL IMPORTS |
661.449 |
201.424 |
337.803 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
17.69 |
9.70 |
4.61 |
|
QUARTERLY RESULTS
(
Rs. In Millions)
|
PARTICULARS |
|
30.06.2011 |
30.09.2011 |
31.12.2011 |
|
|
|
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
|
|
UnAudited |
UnAudited |
UnAudited
|
|
Net Sales |
|
2601.920 |
2412.040 |
2401.630 |
|
Total Expenditure |
|
2395.740 |
2245.620 |
2222.580 |
|
PBIDT (Excl OI) |
|
206.180 |
166.420 |
179.050 |
|
Other Income |
|
5.770 |
4.690 |
1.430 |
|
Operating Profit |
|
211.950 |
171.110 |
180.480 |
|
Interest |
|
46.520 |
56.400 |
69.730 |
|
Exceptional Items |
|
0.000 |
0.000 |
0.000 |
|
PBDT |
|
165.430 |
114.710 |
110.750 |
|
Depreciation |
|
83.860 |
92.260 |
88.620 |
|
Profit Before Tax |
|
81.570 |
22.440 |
22.130 |
|
Tax |
|
26.300 |
7.200 |
7.160 |
|
Provisions and contingencies |
|
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
|
55.270 |
15.240 |
14.970 |
|
Extraordinary Items |
|
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
|
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
|
0.000 |
0.000 |
0.000 |
|
Net Profit |
|
55.270 |
15.240 |
14.970 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
3.59
|
2.60
|
1.49 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.34
|
4.08
|
2.34 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.82
|
10.74
|
5.84 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.45
|
0.35
|
0.21 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.17
|
2.12
|
2.48 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.84
|
0.72
|
0.77 |
LOCAL AGENCY FURTHER INFORMATION
BUSINESS PERFORMANCE
This has been a momentous year for the Company
as it crossed another milestone of Rs.10,000 Million in Turnover. The Company’s
performance has been truly impressive and this was possible only due to
meticulous planning, proper identification of deliverables and then chalking
out a perfect strategy towards achieving the deliverables.
Net Sales for the year was Rs.10603 Million as
against Rs.8032 Million in the previous year, showing a growth of 32% (YoY).
Profit After Tax (PAT) grew at an impressive rate of 82.38 % (YoY), increasing
from Rs.210 Million in the previous year to Rs.383 Million in 2010-2011.
Earnings per Share (EPS) increased from Rs.9.70/- per share in the previous
year to Rs.17.69/- per share in 2010-2011, an increase of 82.37 % (YoY).
The automobile industry is seen as a sunrise
industry, and their esteemed Joint Venture Partner, Maruti Suzuki India Limited
(MSIL) is breaking all records in production as well as in sales, and the
Company being in perfect sync with the growth of MSIL, the Management is
optimistic that the Company will grow leaps and bounds in times to come.
MANAGEMENT DISCUSSION AND ANALYSIS
The Company is operating in the automobile
sector catering to the needs of Original Equipment Manufacturers (OEMs),
manufacturing and supplying automobile parts like sheet metal components, Body
in White (BIW), Skin Panels, Exhaust, Axle Assemblies, Fuel Neck Fillers, Jigs
and Fixtures and Welded Assemblies.
Their main Customer is M/s Maruti Suzuki India
Limited (MSIL).
GLOBAL ECONOMIC OVERVIEW
The economic recovery continues around the
globe, more or less as predicted and the world economy has come to a stage of
adjustment and reform with emerging markets on the path of rapid development.
As per the report of IMF, the world economy is
expected to grow at about 4˝ percent a year in both 2011 and 2012.
The recovery, however, remains unbalanced. In
most advanced economies, output is still far below potential. Unemployment is
high, and low growth implies that it will remain so for many years to come. The
crisis itself has led to a dramatic deterioration in fiscal positions, forcing
a shift to fiscal consolidation while not eliminating market worries about
fiscal sustainability.
ASIA PACIFIC SCENARIO
Asia Pacific Economies, particularly those hit
by natural disasters during the initial months of 2011, registered mixed
economic performance.
Where Japan’s economy shrank at an annual rate
of 3.7 percent in the first quarter, tipping the country into a recession, as
the March 11 earthquake and tsunami disrupted to production and prompted
consumers cut back on spending, Investment-led growth was helping Australia
recover from floods.
New Zealand, which also suffered a devastating
earthquake earlier in the year, showed a considerable rise in dairy exports.
THE INDIAN SCENARIO
As per the reported estimates of Centre for
Monitoring Indian Economy (CMIE), the real GDP of Indian Economy has grown by
9.2 per cent in fiscal 2010-11, though the Central Statistical Organisation
(CSO) has pegged the growth rate at 8.6 per cent.
Further, as per CMIE estimates, the
performance of Indian Economy is expected to be robust in 2011-12 with real GDP
expected to grow by 8.8% in 2011-12.
The growth in industrial production will be
driven by a rise in consumption demand and investment demand. Consumption
demand, in turn, will be driven by a rise in corporate wages, fresh employment
generation and lower inflation. Compared year-on-year, Corporate India is
expected to spend 14.7 per cent more on salaries and wages in 2011-12.
Investment demand is expected to be buoyant because more and more projects are
moving into the implementation stage.
However, apart from the feel good factors,
various negative factors which may decelerate the growth must also be kept in
mind such as:
(i) High Inflation
Though food inflation has come down from
double digits, it is still a cause of concern. Though the Reserve Bank of India
has hiked a numerous times its short-term lending and borrowing rates, the
effect on rising prices has not been as desired by the government.
(ii) Slow Reform Movement – Growth Prospects
Looking Bleak!
Reforms for growth during the initial phase of
UPA ruling were satisfactory but they continue to laggard due to various issues
and factors. Wide spread corruption ranging from commonwealth games to
allotment of 2G spectrum came into light causing major embarrassment.
(iii) Slowdown in Corporate Earnings –
Impacted by higher operating costs!
High inflation and rising interest rates
scenario affects corporate profitability. Higher input costs leads to squeeze
in corporate margins at operating level or a spill-over to final consumers.
(iv) Ballooning Current Account Deficit – A
real cause of concern!
The high current account deficit coupled with
large fiscal deficit is a cause of concern and requires fiscal prudence and
financial discipline in spending to contain them.
(v) Industrial Growth – Indicate Weakness!
As can be seen from below chart, weakness in
industrial production trend continues with IIP registering a growth of 7.8
percent during April-February 2010-11 as against a growth of 10.0 percent seen
during April-February 2009-10. Performance of the mining and manufacturing
sectors has been particularly weak.
(vi) Rising Interest Rates – Renders working
conditions costly!
The Reserve Bank of India (RBI) has since March
2010, hiked eight times, its short-term lending and borrowing rates to combat
rising prices, which increase the cost of borrowing for Corporate and stall
expansion projects.
BUSINESS OVERVIEW
During the year, the business environment had
mixed feelings and reactions as consumer sentiments were low, which although
did not deteriorate demand for goods and services much. All segments within the
Industry adopted the cautious approach and chose to tread the middle path of
sustaining at least a minimum average growth in this turbulent time.
However, there was a double digit growth in
the Automobile Sector during the year 2010-11.
As per the figures released by Society of
Indian Automobile Manufacturers (SIAM), the cumulative sales data for
April-March 2011 shows domestic sales growth of 26.17 percent over same period
last year. A brief on the sale of automotive Industry is as under:
DOMESTIC SALES
Passenger Vehicles segment grew at 29.16
percent during April-March 2011 over same period last year. Passenger Cars grew
by 29.73 percent, Utility Vehicles grew by 18.87 percent and Multi-Purpose
Vehicles grew by 42.10 percent in this period.
Medium and Heavy Commercial Vehicles (M and
HCVs) registered growth of 31.78 percent and Light Commercial Vehicles grew at
22.88 percent.
Three Wheelers sales recorded a growth rate of
19.44 percent in April-March 2011. Goods Carriers registered growth of 9.45
percent.
EXPORTS
During April-March 2011, overall automobile
exports registered a growth rate of 29.64 percent. Passenger Vehicles
registered a growth rate of 1.64 percent in this period. Commercial Vehicles,
Three Wheelers and Two Wheelers segments recorded growth of 69.51 percent,
55.86 percent and 35.04 percent respectively during April-March 2011.
BUSINESS PERFORMANCE
The Company achieved decent growth in revenue
and crossed the milestone of Rs.10000.000 Millions turnover by clocking Net
Sales of Rs.10,603 Million as compared to Rs.8,032 Million in the previous
year, an increase of 32% YoY.
The Company’s esteemed Joint Venture Partner,
MSIL, registered notable rise in sales with 12,71,005 vehicles registering a
growth of 24.80% and the Company is moving in a perfect sync with it.
Increase in Sales coupled with continuous
improvement in operational efficiencies has contributed to better financial
parameters Turnover increased from Rs.8,055 Million to Rs.10,659 Million, an
increase of 32.32 % YoY.
Profit After Tax (PAT) increased from Rs.210
Million in the previous year to Rs.383 Million in 2010-2011, an increase of 82.38%
(YoY).
Earnings per Share (EPS) increased from
Rs.9.70/- per share in the previous year to Rs.17.69/- per share in 2010-2011,
an increase of 82.37% (YoY).
Net worth increased to Rs.1254 Million as
against to Rs.921 Million in the previous year
Contingent Liabilities not provided for (As on 31.03.2011):
- Guarantees issued by Banks for letters of
credit – Rs.56.136 Millions
- Central Excise (net of amount paid under
protest) – Rs.321.901 Millions
- Service tax – Rs.1.211 Millions
- Income Tax Demand – Rs.86.209 Millions
- External development charges amounting to
Rs.15.282 Millions claimed by the Director Town and Country Planning,
Government of Haryana, relating to Company’s property situated at Mohammadpur,
Jharsa, Sector-36, Gurgaon. The company has deposited 25% of the claim
amounting to Rs.3.820 Millions (P.Y.Rs.3.820 Millions) during the financial
year 2004-05.
The Supreme Court of India vide its order
dated 6th October, 2010 allowed the company to make a fresh representation to
Director Town and Country Planning, Haryana and if not satisfied with the order
of Director TCP, is free to approach High Court. As directed by the Hon’ble
Supreme Court, the Company made representation to TCP in the stipulated time
and has also received the order. The company is not satisfied with the order of
Town and Country Planning and approaching High Court shortly against the order.
No provision for the balance amount is considered necessary by the company.
FIXED ASSETS
·
Land Freehold
·
Land Leasehold
·
Building
·
Plant and Machinery
·
Furniture, Fixtures and
Office Equipments
·
Computer and Computer
Systems
·
Vehicles
·
Technical Knowhow
·
Computer Software
BUSINESS DESCRIPTION
Subject is an India-based company. The Company is engaged in the
business of auto components for automobiles. Its product range includes welded
assemblies, rearaxes, fuel neck fillers and exhaust systems. Its customers
include Maruti Suzuki, Eicher Motors and Mahindra. During the fiscal year ended
March 31, 2010, the Company produced 29765,350 assemblies and sub assemblies;
1110,737 muffler assemblies; 757,920 fuel neck; 715,132 rear axle, and 118 dies
and tools. For the nine months ended 31 December 2010, Jay Bharat Maruti
Limited's revenues increased 34% to RS7.59B. Net income totaled to RS262.9M from
RS131.6M. Revenues reflect an increase in income from operations and higher
other income. Net income also reflects a fall in depreciation expenses and
improved profit from operations. Jay Bharat Maruti Limited. is engaged in the
business of manufacturing of auto components for automobiles.
BOARD OF DIRECTORS
S. K. Arya
(Chairman of the Board, Managing Director)
Mr. S. K. Arya serves as Chairman of the Board, Managing Director of subject.
He is promoter of the Company and associated with the Company since
incorporation. Mr. Arya is actively associated with the automobile industry and
under his leadership, the Company has done extremely well. Mr. Arya has been
bestowed with various awards for his contribution to automotive and engineering
industry viz: National Unity Award in 1991, Gem of India Award in 1992, Udyog
Ratan Award in 1993, Entrepreneur for the Year Award in 1994, PIE Foundation
Award in 2001 for his tremendous contribution to the engineering industry,
Udyog Ratan Award in 2005 and Haryana Ratan Award in 2005. Mr. S. K. Arya is
Member of CII- Northern Region Council and is Member of Executive Committee of
ACMA. Mr. Arya is Ex-Chairman of SME Sub-Committee of CII - Northern Region,
Ex-Chairman of CII - Haryana State Council, Ex- Member of PHDCCI Management
Committee, Ex- Co-Chairman of Haryana Committee of PHDCCI and Ex-Chairman of
Sheet Metal and Chassis parts panel of ACMA. With the concerted and untiring
efforts of Mr. Arya, the Company got various accolades and recognitions. Mr. S.
K. Arya is Chairman of JBM Auto Limited and also hold directorships in various
other companies.
D. P.Agarwal
(Independent Non-Executive Director)
Mr. D. P.Agarwal is an Independent Non-Executive Director of subject
since 1991. He is The Chairman and Managing Director of Transport Corporation
of India Limited.(TCI), India’s logistics service provider transporting more
than 1% of India’s GDP. His charismatic leadership has forged a dedicated, corimitted
and enthusiastic team at TCI. He is associated with FICCI, PHDCCI, CII, AN
India Motor Transport Congress, All India Transporter’s Welfare Association and
Management Development Institute (Advisory Board of Centre for Supply Chain
Management). With a motive to service to society, he continues to focus in
Social Services through TCI Foundation.
Uday Chand Agarwal
(Independent Non-Executive Director)
Mr. Uday Chand Agarwal is an Independent Non-Executive Director of
subject since 1989. Mr. U. C. Agarwal is a retired lAS Officer. Immediately
after retirement from lAS, he was appointed as Central Vigilance Commissioner
(CVC) for the period 1985-88. Prior to becoming CVC, Mr. U. C. Agarwal had
served in various important assignments at State and Central Government levels
like as Secretary, Union Ministry of Economic Coordination for Infrastructure
Sectors; Secretary, Union Ministry of Personnel and Administrative Reforms etc.
at Central Level and as Agricultural Production Commissioner, Mining Commissioner,
Chairman, Orissa Mining Corporation and Chairman, Orissa Industrial Development
Corporation etc. at State level. Mr. Agarwal had visited many foreign countries
and International and UN Organizations viz. UN Headquarter, Harward and Boston
University, World Bank, IMF, UNICEF, UNESCO etc. He was Vice Chairman of the
Asia Pacific Development Centre (Kuala Lumpur). He had also held senior
positions in a number of high level committees of Govt. of India. He serves as
Director of Maharashtra Seamless Limited.
Nishant Arya
(Non-Executive Director)
Mr. Nishant Arya serves as Non-Executive Director of subject. He has
completed his bachelors degree in business administration from Bradford
University, U. K. He has also completed a course in Business development and
strategy from the London School of Economics. Mr. Nishant Arya is also Director
on the Board of Neel Metal Products Limited, Neel Metal Fanalca Environment
Management Private Limited, JBM MA Automotive Private Limited, ANS Steel Tubes
Limited.
PRESS RELEASES
Jay Bharat Maruti Limited Recommends Dividend
Jay Bharat Maruti Limited announced that the Board of
Directors of the Company at its meeting held on April 15, 2011, has recommended
a dividend of INR2.00 per share (40%) on 21,650,000 fully paid-up equity shares
of INR5 each of the Company for Financial Year 2010-11.
Financial Results and
Limited Review for Dec 31, 2011
India, January 16 -- Jay Bharat Maruti Limited has informed BSE about the Financial Results and a copy of the Limited Review Report for the period ended December 31, 2011. India, Jan. 16 -- Jay Bharat Maruti Limited has informed BSE about the Financial Results and a copy of the Limited Review Report for the period ended December 31, 2011. India, Jan. 16 -- Jay Bharat Maruti Limited has informed BSE about the Financial Results and a copy of the Limited Review Report for the period ended December 31, 2011. India, Jan. 16 -- Jay Bharat Maruti Limited has informed BSE about the Financial Results and a copy of the Limited Review Report for the period ended December 31, 2011.
Benchmarks pare losses to
trade above neutral line
India, January 04 -- Indian equities pared off losses to trade in green above neutral line in the late afternoon session as investors started accumulating blue chip front line counters. Traders were seen piling up position in PSU, Capital Goods and Metal sector while selling was witnessed in Auto, TECk and FMCG sector. However, market men were still reluctant as concerns over the euro zone's huge refinancing needs persist ahead of German and Portugal's bond auction but some encouraging comments and actions from Prime Ministers Mario Monti in Italy and Mariano Rajoy in Spain build the hopes. L and T and BHEL from Capital Goods space were seen trading firm in green helping the markets edge higher. SAIL, Hindalco, Sesa Goa, Tata Steel and Sterlite from Metal pack were trading in green giving the much needed support. However, Bajaj Auto, MandM and Hero Moto Corp from Auto pack were seen trading in red driving the markets down. In the scrip specific development, JBM Auto and Jay Bharat Maruti were trading firm after the JBM group acquired 51% stake in UK-based engineering services company Tesco GO for an undisclosed sum to strengthen its domestic and global business. Kingfisher Airlines was trading weak in red on reports that the Central Board of Excise and Customs reportedly warned the cash-strapped airliner of appropriate legal action if it fails to pay service tax dues by January 6, 2012. On the global front, all Asian markets traded on a mix note while the European markets were too trading in mix. Back home, the NSE Nifty and BSE Sensex were trading above their psychological 4,750 and 15,900 levels, respectively. The market breadth on BSE was dominantly in favor of advances in the ratio of 1496:1060 while 120 scrips remained unchanged. The BSE Sensex is currently trading at 15,964.53 up by 25.17 points or 0.16% after trading as high as 16,004.69 and as low as 15,839.70. There were 16 stocks advancing against 14 declines on the index. The broader indices were trading on an optimistic note; the BSE Mid cap index gained 0.60% while Small cap rose 0.30%.On the BSE sectoral space, PSU up 1.45%, Capital Goods up 1.35%, Metal up 1.13%, Bankex up 1.00% and Power up 0.92% were the major gainers while Auto down 0.61%, TECk down 0.35%, FMCG down 0.34% and IT down 0.02% were the only losers in the space. Tata Motors up 3.71%, ICICI Bank up 2.84%, BHEL up 2.64%, Hindalco Industries up 2.12% and Tata Steel up 1.41% were the major gainers on the Sensex, while Bajaj Auto down 4.56%, M and M down 3.53%, Hero Motor down 2.45%, HUL down 2.23% and Bharti Airtel down 2.01% were the major losers in the index. Meanwhile, service sector activity in India improved in the month of December as the sector grew at the fastest pace since July on the back of strong new business and output growth. The encouraging service sector report came a day after manufacturing activity data showed that the sector resiliently bounced in the month of December as it accelerated at a swiftest pace in last six months, highlighting the fact that the Indian private sector output registered strong growth in the last month of 2011.According to the seasonally adjusted HSBC Business Activity Index, the service sector accelerated to 54.2 in December, as against 53.2 in the previous month of 2011. A figure above 50 signals expansion in production while, a number below 50 indicates contraction. Though the service sector growth in the month under review remained lower than the long-run series average, however, the purchasing managers' index (PMI) reading for the services sector, which measures the overall health of the sector, suggested that activity saw strongest improvement in business conditions in last five months. After showing signs of cooling and even slipping to a two and a half year low of 49.1 in October, the service sector has bounced back as new orders increased for the thirty-second straight month in December while outstanding business also rose after remaining broadly unchanged in the last two months. Besides, employment in the sector too rose in the month after six straight months of showing job losses. But, the rate of input cost inflation grew deeper as it rose at the fastest rate in four months, remained stubbornly above the long-run series average. Thus, the strong Manufacturing and Service sector PMI have propelled the HSBC Composite Index, which covers both the manufacturing and service sectors, to 54.7 in the 2011's last month, higher from 52.3 seen in November 2011. However, concerns over slowing domestic economic condition amid uncertainty over global growth prospects still pose potential downside risks for the sectors. The S and P CNX Nifty is currently trading at 4,765.40, higher by 0.10 points after trading as high as 4,782.85 and as low as 4,733.05. There were 23 stocks advancing against 27 declines on the index. The top gainers on the Nifty were HCL Tech up 4.39%, Tata Motors up 3.53%, ICICI Bank up 2.44%, BHEL up 2.32% and SAIL up 2.27%.Bajaj Auto down 4.37%, ACC down 3.27%, M and M down 3.24%, Ambuja Cement down 2.71% and Bharti Airtel down 2.34% were the top losers on the index. Asian markets were trading mixed; Jakarta Composite surged 1.12%, Nikkei 225 soared 1.24%, Straits Times advanced 0.66% and Taiwan Weighted gained 0.42%. On the flipside, Shanghai Composite plunged 0.27%, Hang Seng shed 0.80% and Seoul Composite declined 0.49%.The European markets traded on a mix note, France's CAC 40 dropped 0.60%, Germany's DAX shed 0.24% and Britain's FTSE 100 ascended 0.13%.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] 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.50.33 |
|
|
1 |
Rs.77.97 |
|
Euro |
1 |
Rs.65.31 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
56 |
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.