MIRA
INFORM REPORT
|
Report Date : |
24.01.2012 |
IDENTIFICATION DETAILS
|
Name : |
TIMKEN INDIA LIMITED (w.e.f. 16.07.1999) |
|
|
|
|
Formerly Known
As : |
TATA TIMKEN LIMITED |
|
|
|
|
Registered
Office : |
39-42, Electronic City, Phase II, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.12.2010 |
|
|
|
|
Date of
Incorporation : |
12.12.1996 |
|
|
|
|
Com. Reg. No.: |
08-048230 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.637.209
millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29130KA1996PLC048230 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BLRT01413G |
|
|
|
|
Legal Form : |
A Public Limited
Liability Company. The company’s shares are listed on the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is into
manufacture and distribution of Tapered Roller Bearings, Components and accessories
for the Automotive Sector and the Railway Industry. It also provides
maintenance contract services. |
|
|
|
|
No. of Employees
: |
587
(Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (59) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 15224000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
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 normal business dealings at usual trade terms and
conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
39-42, Electronic City, Phase II, |
|
Tel. No.: |
91-80-41362000 |
|
Fax No.: |
91-80-41362010/ 28521039 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
At P.O. Tathwade, Taluka Mulshi-Pune, Pune – 411 033, |
|
|
|
|
Factory : |
Bara, P.O. Agrico, |
|
Tel. No.: |
91-657-2210293 |
|
Fax No.: |
91-657-2210290 |
|
|
|
|
Regional Sales Office : |
Located at: v
v
Kolkata v
Pune v
|
DIRECTORS
As on 10.02.2011
|
Name : |
Mr. James R. Menning |
|
Designation : |
Chairman |
|
Date of Birth/
Age : |
06.11.1959 |
|
Qualifications : |
v Bachelor Degree in
Computer Science and Business Management from v Masters of
Business Administration from the |
|
Expertise in
specific functional areas : |
v Computer
Science, Information Technology v General
Management |
|
Date of Appointment
: |
28.10.2010 |
|
|
|
|
Name : |
Mr. Ajay K. Das |
|
Designation : |
Managing
Director |
|
|
|
|
Name : |
Mr. Niroop Mahanty |
|
Designation : |
Director |
|
Date of Birth/
Age : |
12.01.1950 |
|
Qualifications : |
v BA (Hons.) – v MBA – |
|
Expertise in
specific functional areas : |
v Human Resources v General
Management |
|
Date of
Appointment : |
24.04.2004 |
|
List of public companies
in which outside Directorship held as on 31 December 2010 : |
v Steel City Press
Limited v Kalinga Aquatics
Limited |
|
Chairman /
Member of the Committees of the Board of the Companies on which he is a
Director as on 31 December 2010 : |
v Timken India Limited
- Chairman – Remuneration Committee v Timken India
Limited - Chairman – Investors Grievance Committee v Timken India
Limited - Member - Audit Committee |
|
|
|
|
Name : |
Mr. J.S. Pathak |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. P.S. Dasgupta |
|
Designation : |
Director |
|
Date of Birth/
Age : |
30.06.1955 |
|
Qualifications : |
v Bachelor of Law,
Faculty of Law, v BA, Econ (Hons.) v Post Graduate
Diploma in Corporate Laws and Labour Laws - Indian Law Institute, |
|
Expertise in
specific functional areas : |
v Legal Profession v General
Management |
|
Date of
Appointment : |
28.04.2006 |
|
List of public
companies in which outside Directorship held as on 31 December 2010 : |
v Cummins India
Limited v Otis Elevator
Company India Limited v Maral Overseas
Limited v Bhilwara
Technical Textiles Limited v Tricone Projects
India Limited v Asian Hotels
(North) Limited |
|
Chairman /
Member of the Committees of the Board of the Companies on which he is a
Director as on 31 December 2010 : |
v Timken India
Limited - Chairman - Audit Committee v Bhilwara
Technical Textiles Limited - Chairman - Shareholders / Investors Grievance
Committee v Cummins India
Limited - Member - Finance and Audit Committee v Cummins India Limited
- Member - Shareholders / Investors Grievance Committee v Tricone Projects
India Private Limited - Member - Audit Committee v Otis Elevator
Company I. Limited - Member - Audit Committee v Otis Elevator
Company I. Limited - Member - Shareholders / Investors Grievance Committee v Timken India
Limited - Member - Remuneration Committee v Maral Overseas
Limited - Member - Audit Committee v Maral Overseas
Limited - Member - Remuneration Committee |
|
|
|
|
Name : |
Mr. S. Rangarajan |
|
Designation : |
Director |
|
|
|
|
Audit Committee : |
Mr. P.S. Dasgupta – Chairman Mr. N. Mahanty Mr. J.S. Pathak Mr. S. Rangarajan |
|
|
|
|
Remuneration Committee : |
Mr. N. Mahanty – Chairman Mr. P.S. Dasgupta Mr. J.S. Pathak |
|
|
|
|
Investors Grievance Committee : |
Mr. N. Mahanty – Chairman Mr. Ajay K. Das Mr. S. Rangarajan |
KEY EXECUTIVES
|
Name : |
Soumitra Hazra |
|
Designation : |
Company Secretary and Chief-Compliance |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2011
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
50,999,988 |
80.02 |
|
|
50,999,988 |
80.02 |
|
Total shareholding of Promoter and Promoter Group (A) |
50,999,988 |
80.02 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2,295,788 |
3.60 |
|
|
8,568 |
0.01 |
|
|
795,187 |
1.25 |
|
|
3,099,543 |
4.86 |
|
|
|
|
|
|
1,039,470 |
1.63 |
|
|
|
|
|
|
7,607,144 |
11.94 |
|
|
839,091 |
1.32 |
|
|
149,614 |
0.23 |
|
|
70,037 |
0.11 |
|
|
74,927 |
0.12 |
|
|
4,650 |
0.01 |
|
|
9,635,319 |
15.12 |
|
Total Public shareholding (B) |
12,734,862 |
19.98 |
|
Total (A)+(B) |
63,734,850 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
63,734,850 |
- |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Subject is into
manufacture and distribution of Tapered Roller Bearings, Components and accessories
for the Automotive Sector and the Railway Industry. It also provides
maintenance contract services. |
||||||||||||
|
|
|
||||||||||||
|
Products : |
|
PRODUCTION STATUS (AS ON 31.12.2010)
|
Particulars |
Installed
Capacity |
|
i) Standard Roller Bearings including components |
4,000,000 Nos. |
|
ii) Special Roller Bearings including components |
370,000 Nos. |
|
|
|
|
Particulars |
Production |
|
i) Standard Roller Bearings |
2,644,605 Nos. |
|
ii) Special Roller Bearings |
105,424 Nos. |
|
iii) Components (manufactured for sale) |
6,467,199 Nos. |
|
|
|
1) Licensed
Capacity is not furnished as it is not applicable in terms of Government of India's
Notification No.S.O.477(E) dated 25th July, 1991.
2) The above
installed capacity represents existing manufacturing facilities for respective
products and are certified by the Management.
3) The above
installed capacity is fixed with reference to the specific bearing size. Actual
production may vary depending on the sizes that are produced in specific year.
GENERAL INFORMATION
|
No. of Employees : |
587 (Approximately) |
|
|
|
|
Bankers : |
v
Bank of v
State Bank of |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Company Chartered Accountants |
|
Address : |
22, |
|
|
|
|
Holding Company : |
v
Timken ( v
The Timken Company, * Out of the
total shares issued, 50,999,988 fully paid-up Equity shares of Rs.10/- each
were held by The Timken Company, |
|
|
|
|
Ultimate Parent
Company : |
The Timken Company, |
|
|
|
|
Fellow
Subsidiary : |
v
Timken UK Limited v
Timken Do Brasil COM.E.IND.LTDA v
Timken v
Timken South Africa Limited v
Timken Bearing Services v
Timken v
Timken v
Yantai Timken Company Limited v
Australian Timken Proprietary Limited v
Timken Polska v
Timken ( v
Timken v
Timken ( v
Timken Gmbh v
Timken Europa v
Timken India Manufacturing Private Limited v
Timken Engineering and Research India Private
Limited v
Timken DE Mexico S A DE CV v
Jiangsu TWB Bearing Company Limited v
Timken v
Nihon Timken KK |
CAPITAL STRUCTURE
As on 31.12.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
75000000 |
Equity Shares |
Rs.10/- each |
Rs.750.000 millions |
|
2600000 |
9% Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs.260.000 millions |
|
|
Total |
|
Rs.1010.000
millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
63750000 |
Equity Shares |
Rs.10/- each |
Rs.637.500
millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
63734850 |
Equity Shares |
Rs.10/- each |
Rs.637.349
millions |
|
|
Less: Calls in Arrears - others than directors |
|
Rs.0.140
million |
|
|
Total |
|
Rs.637.209 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
637.209 |
637.208 |
637.208 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
3168.685 |
2658.111 |
2332.765 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
3805.894 |
3295.319 |
2969.973 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.037 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.037 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
3805.894 |
3295.319 |
2970.010 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
581.827 |
567.609 |
533.676 |
|
|
Capital work-in-progress (including capital advances) |
24.960 |
108.554 |
171.820 |
|
|
|
|
|
|
|
|
INVESTMENT |
2103.471 |
1690.945 |
1134.104 |
|
|
DEFERRED TAX ASSETS |
36.633 |
4.494 |
8.959 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1052.773
|
672.689 |
841.615 |
|
|
Sundry Debtors |
822.725
|
507.256 |
786.740 |
|
|
Cash & Bank Balances |
31.427
|
75.439 |
52.609 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
234.696
|
262.126 |
283.324 |
|
Total
Current Assets |
2141.621
|
1517.510 |
1964.288 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
786.387
|
483.648 |
680.745 |
|
|
Other Current Liabilities |
146.340
|
54.615 |
89.566 |
|
|
Provisions |
149.891
|
55.530 |
72.526 |
|
Total
Current Liabilities |
1082.618
|
593.793 |
842.837 |
|
|
Net Current Assets |
1059.003
|
923.717 |
1121.451 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
3805.894 |
3295.319 |
2970.010 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
|
4433.164 |
2970.799 |
3872.539 |
|
|
|
Income from Services |
196.200 |
189.588 |
172.406 |
|
|
|
Other Income |
190.389 |
145.010 |
229.392 |
|
|
|
TOTAL (A) |
4819.753 |
3305.397 |
4274.337 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
(Increase)/Decrease
in Stock of Finished Goods and Work in Progress |
(271.532) |
121.716 |
(156.608) |
|
|
|
Excise Duty & Cess on Stocks |
50.183 |
(18.890) |
2.398 |
|
|
|
Manufacturing and other expenses |
4190.230 |
2645.646 |
3538.486 |
|
|
|
Expenses Relating to Prior Period (net) |
16.029 |
0.220 |
(4.251) |
|
|
|
TOTAL (B) |
3984.910 |
2748.692 |
3380.025 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
834.843 |
556.705 |
894.312 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST (D) |
8.906 |
4.200 |
10.570 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
825.937 |
552.505 |
883.742 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
112.455 |
103.402 |
104.597 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
713.482 |
449.103 |
779.145 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
202.908 |
123.757 |
249.173 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
510.574 |
325.346 |
529.972 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2398.111 |
2072.765 |
1542.793 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
2908.685 |
2398.111 |
2072.765 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B. value of exports |
1165.770 |
1049.763 |
1523.297 |
|
|
|
Agency commission |
65.716 |
49.767 |
70.999 |
|
|
TOTAL EARNINGS |
1231.486 |
1099.530 |
1594.296 |
|
|
|
|
|
|
|
|
|
|
IMPORTS (including in
transit) |
|
|
|
|
|
|
|
Raw Materials and components |
700.323 |
218.427 |
|
|
|
|
Stores and spare parts |
32.868 |
47.950 |
|
|
|
|
Finished Products for re-sale |
155.031 |
6.801 |
257.485 |
|
|
|
Capital Goods |
15.434 |
13.886 |
90.065 |
|
|
TOTAL IMPORTS |
903.656 |
287.064 |
632.639 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
8.01 |
5.10 |
8.32 |
|
QUARTERLY RESULTS
|
PARTICULARS |
31.03.2011 |
30.06.2011 |
30.09.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Sales Turnover |
1665.700 |
1571.600 |
1652.700 |
|
Total Expenditure |
1361.300 |
1316.400 |
1461.900 |
|
PBIDT (Excl
OI) |
304.400 |
255.200 |
190.800 |
|
Other Income |
42.200 |
35.700 |
33.900 |
|
Operating
Profit |
346.600 |
290.900 |
224.700 |
|
Interest |
1.700 |
1.800 |
1.700 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
344.900 |
289.100 |
223.000 |
|
Depreciation |
26.900 |
26.800 |
27.200 |
|
Profit
Before Tax |
318.000 |
262.300 |
195.800 |
|
Tax |
88.200 |
75.100 |
52.900 |
|
Reported PAT |
0.000 |
0.000 |
0.000 |
|
Extraordinary Items |
229.800 |
187.200 |
142.900 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
0.000 |
0.000 |
0.000 |
|
|
229.800 |
187.200 |
142.900 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2010 |
31.12.2009 |
31.12.2008 |
|
PAT / Total Income |
(%) |
10.59
|
9.84 |
12.40 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.09
|
15.12 |
20.12 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
26.20
|
21.54 |
31.19 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19
|
0.14 |
0.26 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.28
|
0.18 |
0.28 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.98
|
2.56 |
2.33 |
LOCAL AGENCY FURTHER INFORMATION
NATURE OF
OPERATIONS
Subject is into
manufacture and distribution of Tapered Roller Bearings, Components and
accessories for the Automotive Sector and the Railway Industry. It also
provides maintenance contract services.
FINANCIAL RESULTS
During the year,
overall net sales grew by 46% primarily due to a 82% increase in exports
compared to 2009 and 34% growth in domestic sales to Rs.3190.000 millions
compared Rs.2371.000 millions in 2009. The Company’s Plant in
Accordingly,
Profit before tax went up by 59% to Rs.713.000 millions primarily due to volume
gain and profitability improvements through cost management.
Production at
Jamshedpur Plant in terms of equivalent bearings registered an increase of 55%
in 2010.
EXPANSION PROJECT
The Company has
decided to undertake an Expansion Project to expand its tapered roller bearing
manufacturing capacity in India by approximately 2.4 million races of up to 8
inch tapered roller bearings per annum in view of the growing demand in
construction, other off-highway vehicles, heavy trucks and other commercial
transportation systems both in India and globally. Work relating to this
project is scheduled to begin in the first quarter of 2011 and commercial
production is expected to start in the second quarter of 2011. This project
will require an estimated investment of Rs.360.000 millions.
FINANCE
Working capital
was managed well in 2010 resulting in generation of adequate cash flows.
Pending investment of such funds in suitable growth opportunities in
During the year,
the Company did not borrow any fund to meet its working capital or other needs
and ended the year debt-free – both secured and unsecured.
MANAGEMENT
DISCUSSION AND ANALYSIS
Bearing Industry
Structure and Development
The Indian economy
emerged from the global downturn with a robust 8.5% growth in 2010. Most of the
companies have used the downturn to make them lean and although it has been a
somewhat painful process, the future looks more promising. While the Indian
consumers maintained their spending even in the downturn, the capital
investments were put on hold by many companies. This impacted the industrial
segments. As the government increases its thrust on the infrastructure build,
the economic growth will accelerate.
The current size
of anti-friction bearings market inclusive of imports would be approximately
Rs.55 billion. With rapid industrialization, the Indian bearings industry has
more than doubled over the last five years and has registered annual gains well
above both the regional and global averages. With increased infrastructure and
industrialization spends, this trend should continue into the next five years
as well.
The prospects of
the bearing industry are directly linked to the performance of two key sectors
viz., automotive and infrastructure. The bearing industry comprises mainly ball
and roller bearings. In
Business Review
The Company
manufactures Tapered Roller Bearings in its Jamshedpur Plant. These bearings
cater to medium and heavy trucks, off highway markets in
During the year,
the Company achieved a net sales of Rs.4629.000 millions – an increase of 46%
over 2009. Such an increase in net sales could be made possible due to an 82%
increase in export sales accompanied by a 34% increase in domestic sales. The
Company’s Plant in
The Company’s
product portfolio has been diversifying with continued emphasis on value added
products and services. In 2010, the Company launched a new line of spherical
roller bearing, steel housed units and elastomeric and steel couplings designed
specially to maximize speed, precision and efficiency in machine tool
applications.
Leveraging the
Timken Technology Centre at
Opportunities,
Threats and Outlook
As Indian
infrastructure develops and the industry modernises, there are opportunities
opening up for the bearings industry. A rough estimate of Indian bearings
market pegs at around Rs. 55 billion with growth rates percentage expected in
teens for next few years creating significant opportunities for their Company.
Innovation has
become the key word and experts are already working on new possibilities. It is
felt that conventional systems have evolved to the point where further
refinements can only result in modest performance and capacity gains. As a
result, it is felt that the future will witness technologies which help in
efficient ways to create, transfer and control power. These technologies can
have endless societal impacts, from improved energy efficiency that saves
businesses and consumers money to reduced emissions that help sustain their
environment.
There is an
increasing trend of designing and manufacturing of heavy industrial equipments
in
Customers are asking
for more competitiveness and responsiveness from bearing industry, which would
require companies to regionalize production bases closer to customers.
With development
in infrastructure sector in
Bearing industry
also faces the issues of increased cost of production due to the rise in price
of inputs especially steel. On the other hand, cost-competitiveness due to
higher import duties on raw materials (steel tubes, steel bars, grinding
wheels, etc) also acts as a constraint.
Counterfeit
products also pose a threat to the industry. Low quality duplicate bearings not
only lead to crucial downtime for customers but also tarnish the quality and
brand value of superior manufacturers. Efforts have to be taken by
manufacturers to educate customers on the importance of using genuine high
quality bearings. Counterfeiting also violates intellectual property, such as
patents and trademarks.
Because
counterfeits look like and are marketed like genuine, premium-brand products,
it usually takes a trained expert to identify them. Premium manufacturers
invest continuously to develop their technology and improve the quality and
value of their products. When counterfeiters copy the look of industrial
bearings – and apply respected brand names that aren’t theirs – they are
infringing upon the rights of the manufacturer. The World Bearing Association (WBA)
has launched an awareness campaign to inform about safety hazards arising from
counterfeit bearings. Their initiative is aimed at sensitizing the public on
the dangers associated with counterfeits.
CONTINGENT
LIABILITIES NOT PROVIDED FOR:
|
Particulars |
31.12.2010 (Rs. in
millions) |
|
A. Demands
raised by Sales Tax/Income Tax/Excise authorities |
|
|
i) Demand of
sales tax for non-availability/non-consideration by Assessing Officer of
various sales tax declaration forms. |
225.219 |
|
ii) Demand of
sales tax on account of non-deduction of various allowances and consequent
enhancement of Gross turnover. |
2.018 |
|
iii) Demand of
sales tax on method of valuation of Goods. |
1.222 |
|
iv) Demand for
Denial of Input Credit |
2.426 |
|
v) Demand of
Additional Income Tax due to non-consideration of TDS Certificates by the
Assessing Officer. |
Nil |
|
vi) Demand of
Income Tax due to disallowance of certain business expenses and incentives by
the Assessing Officer. |
73.714 |
|
vii) Demand of
excise duty on CVD credit for imported components of railway bearings. |
5.245 |
|
viii) Denial of
Cenvat credit of service tax on outward transportation of goods beyond the
place of removal |
1.441 |
|
B. Other Claims against
the Company not acknowledged as debts |
|
|
i) Demand
towards ESI contribution on employees at Kolkata office of the Company. The
Company has contested on the applicability of ESI for such employees and the issue
is pending before the Assistant Regional Director, ESI Corporation, Kolkata. |
0.614 |
|
ii) Demands
arising out of suits filed by Shareholders on account of short/non refund of
Application Money for which shares have not been allotted and/or non-receipt
of Share Certificates etc. Company’s appeals against these issues are pending
before relevant District Forums/State Commission/Civil Courts. |
0.508 |
|
iii) Claims for
recovery arising out of suit filed by a contractor before the Calcutta High
Court |
5.800 |
Based on
discussions with the solicitors/favourable decisions in similar cases/legal
opinions taken by the Company, the management believes that the Company has a good
chance of success in above-mentioned cases (both under (A) and (B) categories)
and hence, no provision there against is considered necessary.
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30 SEPTEMBER 2011
(Rs.
in millions)
|
Particulars |
Quarter ended September 30 (Unaudlted) |
Nine-months ended September 30 (Unaudlted) |
|
|
2011 |
2011 |
|
1. a) Net Sales / Income from Operations |
1631.600 |
4840.500 |
|
b) Other Operating Income |
21.100 |
49.400 |
|
Total Income |
1652.700 |
4889.900 |
|
2. Expenditure |
|
|
|
(a) (Increase)/decrease in stock-in-trade and work- in-progress |
(129.400) |
(316.100) |
|
(b) Consumption of raw materials |
825.500 |
2391.700 |
|
(c) Purchase of traded goods |
194.700 |
599.000 |
|
(d) Employee Cost |
136.500 |
381.800 |
|
(e) Depreciation |
27.200 |
81.000 |
|
(f) Other expenditure |
434.600 |
1084.000 |
|
(g) Total |
1489.100 |
4221.400 |
|
3. Profit from
Operations before Other Income, Interest and Tax (1-2) |
163.600 |
668.500 |
|
4. Other Income |
33.900 |
112.800 |
|
5. Profit before
Interest and Tax (3+4) |
197.500 |
781.300 |
|
6. Interest |
1.700 |
5.200 |
|
7. Prior period Expense (Net) |
-- |
-- |
|
8. Profit after
Interest but before Tax (5-6-7) |
195.800 |
776.100 |
|
9. Tax Expense - Current |
46.800 |
216.000 |
|
- Deferred |
6.100 |
0.200 |
|
|
52.900 |
216.200 |
|
|
|
|
|
10. Net Profit
for the period (8-9) |
142.900 |
559.900 |
|
11. Paid-up share capital - Equity (of Rs. 10/- each) |
637.200 |
637.200 |
|
12. Reserves as per balance sheet of previous accounting year |
N.A. |
N.A. |
|
13. Earnings per Share (Basic and Diluted) Rs. * |
2.24 |
8.78 |
|
14. Aggregate of Public Shareholding |
|
|
|
(a) Number of Shares |
12734862 |
12734862 |
|
(b) Percentage of Shareholding |
19.98 |
19.98 |
|
15. Promoters and promoter group shareholdings |
|
|
|
(a) Pledged / Encumbered |
|
|
|
(i) Number of Shares |
Nil |
Nil |
|
(ii) Percentage of shares (as a % of total shareholding of promoter
and promoter group) |
N.A. |
N.A. |
|
(iii) Percentage of shares (as a % of total share capital of the
Company) |
N.A. |
N.A. |
|
(b) Non-encumbered |
|
|
|
(i) Number of Shares |
50999988 |
50999988 |
|
(ii) Percentage of shares (as a % of total shareholding of promoter
and promoter group) |
100.00% |
100.00% |
|
(iii) Percentage of shares (as a % of total share capital of the
Company) |
80.02% |
80.02% |
* Not Annualised
Notes:
1. The Company manufactures bearings and related components which is
single business segment. Accordingly, no separate segment information is
furnished.
2. No investor query remained unresolved as on 30 June 2011. 103
investor queries were received and disposed during the quarter ended 30
September 2011.
3. There were no exceptional / extra ordinary items during the
respective periods reported above.
4. Previous year’s / periods’ figures have been regrouped, wherever
necessary.
5. The above results have been reviewed by the Audit Committee and
approved by the Board of Directors of the Company at their respective meetings
held on 7 November 2011.
6. The Statutory Auditors have carried out the Limited Review of the
results for the quarter ended 30 September 2011.
7. The Board of Directors at its meeting held on 7 November 2011 has
declared to pay Interim Dividend of Rs.20/- per share of Rs.10/- for the
financial year. The dividend will be payable on or after 22 November 2011.
FIXED ASSETS:
v
Buildings
v
Plant and Machinery (Including Tools)
v
Office Equipment
v
Computers
v
Furniture and Fixtures
v
Vehicles
WEBSITE DETAILS:
COMPANY PROFILE:
Subject (previously known as Tata Timken), a
joint venture between Tata Iron and Steel (TISCO) and
BUSINESS DESCRIPTION
Subject is into manufacture and distribution of tapered
roller bearings, Components and accessories for the automotive sector and the
railway industry. It also provides maintenance contract services. It is
primarily engaged in manufacture, sale and export for sale of antifriction
bearings, components and related parts. The Company is also engaged in import
and purchase for resale and act as a sales agent for the products manufactured
by the timken Company. The Company manufactures tapered roller bearings in its
PRESS RELASES:
CHANGE
OF ACCOUNTING YEAR
19 August 2011
India, August 19 -- Timken India Limited has informed BSE that the Board of Directors of the Company at its meeting held on August 05, 2011, has decided to change the Accounting Year of the Company from Calendar Year (January to December) to Financial Year (April to March) in the manner given below:- Preparation of Annual Accounts covering 15 months - January 2011 to March 2012 - to be followed by Statutory Audit and Annual General Meeting before July 20, 2012.
SPURT
IN VOLUME
13 July 2011
TIMKEN
CREATES
05 November 2011
Global Banking News-November 5, 2011--Timken Creates
ENP Newswire - 05 November 2011
Release date- 02112011 - CANTON, Ohio - The Timken Company (NYSE: TKR) has gone mobile with its online auto-aftermarket catalog site, with new applications designed for iPhone mobile digital device, Android device and Blackberry smartphone.
The development of these mobile applications enhances the ability of professional technicians and 'do-it-yourselfers' to do the job right the first time. Through these applications, users can search for Timken products by year/make/model, part number, or even an industry part number. In addition, the app offers convenient access to torque specifications for Timken products, as added earlier this year to TimkenInfo.com. Available torque specs cover axle nuts, flange bolts and wheel studs.
'Our customers tell us training and easy access to information are two of the most important things we can provide beyond quality products themselves,' said Barry Harris, Timken's manager of global strategy, marketing and cataloging. 'We want Timken to be the trusted source for professional technicians to find technical information about today's toughest bearing and seal questions.'
About The Timken
Company
The Timken Company (NYSE: TKR; www.timken.com) keeps the world turning with innovative friction management and power transmission products and services that are critical to help hard-working machinery perform efficiently and reliably. With sales of $4.1 billion in 2010 and 20,000 people operating from locations in 30 countries, Timken is Where You Turn for better performance.
YouTube and Android are trademarks of Google, Inc. iPhone and iPad are registered trademarks of Apple, Inc. Blackberry is a registered trademark of Research in Motion Limited.
UNITED
STATES: TIMKEN CO APPOINTS EFRAIN J. TORRES AS DIRECTOR OF AEROSPACE
TRANSMISSIONS
28 October 2011
The Timken Company stated that it has appointed Efrain J. Torres as director of aerospace transmissions for the company s aerospace and defense business.
In his new position, Torres will be based in
Torres holds more than 18 years of experience in managing
manufacturing facilities and most recently worked as vice president and general
manager of operations on an expatriate assignment in
He holds his bachelor's degree in industrial engineering
from
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government official
or a family member or close business associate of a Government official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.50.24 |
|
|
1 |
Rs.78.13 |
|
Euro |
1 |
Rs.64.79 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--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 |
|
59 |
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.