MIRA INFORM REPORT

 

 

Report Date :

05.07.2012

 

IDENTIFICATION DETAILS

 

Name :

ATLAS COPCO (INDIA) LIMITED

 

 

Registered Office :

Svenager, Mumbai-Pune Road, Dapodi, Pune-411012, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

28.01.1960

 

 

Com. Reg. No.:

11-020566

 

 

Capital Investment / Paid-up Capital :

Rs. 225.616 Millions

 

 

CIN No.:

[Company Identification No.]

U27106PN1960PLC020566

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNEA07306F

 

 

PAN No.:

[Permanent Account No.]

AABTA4955D

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer of oil free screw compressors having sophisticated applications in pharmaceuticals, foods, beverages

 

 

No. of Employees :

1714 (Approximately)

 

RATING & COMMENTS

 

MIRA’s Rating :

A (65)

 

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 24578000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established and reputed company having fine track. Company is listed in stock and its stocks are high. Financial position of the company appears to be sound. Trade relations are fair. Business is active. Payments are reported to be regular and as per commitment.

 

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.

 

INFORMATION DECLINED

 

Management Non Co-Operative

 

 

LOCATIONS

 

Registered Office / Corporate Office / Factory 1 / Head Office :

Svenager, Mumbai-Pune Road, Dapodi, Pune-411012, Maharashtra, India

Tel. No.:

91-20-30722222/ 39852100

Fax No.:

91-20-27147928/ 39852070/39852016

E-Mail :

anand.daga@in.atlascopco.com

investors.grievances@in.atlascopco.com

Website :

www.atlascopco.in

 

 

Factory 2 :

Plot No. 90, MIDC, Industrial Area, Satpur, Nashik-422007, Maharashtra, India

 

 

Factory 3 :

301/302 LBS Marg, Mulund (West), Mumbai – 400 080, Maharashtra, India

 

 

Factory 4 :

146/2, Sector-I, Lane 8, IDA, Phase – II, Cherlapally, Hyderabad – 500 051, Andhra Pradesh, India

 

 

Branches :

Sales Engineer:

 

Mr. Santosh Mutalik / Mr. Ajit Nerurkar

Sveanagar, Mumbai – Pune Road, Dapodi, Pune – 411 012, Maharashtra.

Tel No. 91-20-7147927

Mobile No. 91-9823098652

Fax No. 91-20-7148288

E-mail: santosh.mutalik@atlascopco.com

           ajit.nerurkar@atlascopco.com

 

 

Mr. K Sudhir

Race Course Road, Guindy, Chennai – 600 032, Tamil Nadu, India.

Tel No. 91-44-2442677

Mobile No. 91-9840095005

Fax No. 91-44-2442677

E-mail: sudhirk@satyam.net.in

 

Mr. Shiva Dhar

R-31/G, Dilshad Garden, New Delhi – 110095, India.

Tel No. 91-11-2111543

Fax No. 91-11-5505644

 

Sales Manager:

 

Tools Division:

 

 Mr. Sujit Amin

 

Sveanagar, Mumbai-Pune Road, Pune – 411 012, Maharashtra, India.

Tel No. 91-20-7147927

Mobile No. 91-9823071986

Fax No. 91-20-7148288

E-mail: sujit.amin@atlascopco.com

 

 

Distributor:

GETCO

26, Shyanoli, Mirpur Road, Dhaka 1207, Bangaladesh

E-mail: geto109@citechco.net

 

 

Services Centre:

Mr. Rupesh Patil

 

Sveanagar, Mumbai-Pune Road, Dapodi, Pune – 411 012, Maharashtra, India.

Tel No. 91-20-7147927

Fax No. 91-20-7148288

E-mail: rupesh.patil@atlascopco.com

 

Mr. T K Bharathidasan

 

Race Course Road, Guindy, Chennai – 600 032, Tamil Nadu, India.

Tel No. 91-44-2442677

Fax No. 91-44-2442677

 

DIRECTORS

 

As on 31.12.2010

 

Name :

Mr. A K Hirjee

Designation :

Chairman

 

 

Name :

Mr. F Vandenberghe

Designation :

Managing Director

 

 

Name :

Mr. H O Meyer

Designation :

Director

 

 

Name :

Ms. J. Livijn

Designation :

Director

 

 

Name :

P.Leys

Designation :

Director

 

 

Name :

Mr. D B Engineer

Designation :

Director

 

 

Name :

Mr. B K Poddar

Designation :

Director

 

 

Name :

Mr. J.K. Delvadavala

Designation :

Director (Alternate to Ms. J. Livijn)

 

 

 

KEY EXECUTIVES

 

Name :

Mr. A C Daga

Designation :

Company Secretary

 

 

Management Team:

 

Name :

Mr. R. Verstrepen

Designation :

Vice President-CT Operations

 

 

Name :

Mr. S H Ghotge

Designation :

Vice President – Holding and CFO

 

 

Name :

Mr. A Sengupta

Designation :

General Manager AC Ct Customer Centre

 

 

Name :

Mr. P.Prabhadesai

Designation :

General Manager IIBA CC

 

 

Name :

Mr. M B Patil

Designation :

General Manager Corporate – HR

 

 

Name :

Mr. C. M. Pandit

Designation :

General Manager CMT Product Company

 

 

Name :

Mr. B Mohanty

Designation :

General Manager CP CT Customer Centre

 

 

Name :

Mr. A. Coetzer

Designation :

General Manager ASAP

 

 

Name :

Mr. S. Srinivasan

Designation :

General Manager Gas and Process

 

 

Name :

Mr. U Mazumder

Designation :

General Manager Secoroc Product Company

 

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 31.03.2011

 

Names of Shareholders

No. of Shares

Percentage of Holding

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

 

 

(2) Foreign

 

 

Bodies Corporate

20,733,926

91.90

Sub Total

20,733,926

91.90

Total shareholding of Promoter and Promoter Group (A)

20,733,926

91.90

(B) Public Shareholding

 

 

(1) Institutions

 

 

Mutual Funds / UTI

4,242

0.02

Financial Institutions / Banks

1,728

0.01

Insurance Companies

340

-

Foreign Institutional Investors

87,790

0.39

Any Others (Specify)

762

-

Foreign Financial Institutions

360

-

Foreign Bank

402

-

Sub Total

94,862

0.42

(2) Non-Institutions

 

 

Bodies Corporate

127,724

0.57

Individuals

 

 

Individual shareholders holding nominal share capital up to Rs. 0.100 million

1,469,003

6.51

Individual shareholders holding nominal share capital in excess of Rs. 0.100 million

69,224

0.31

Any Others (Specify)

66,825

0.30

Trusts

50

-

Non Resident Indians

60,764

0.27

Clearing Members

6,011

0.03

Sub Total

1,732,776

7.68

Total Public shareholding (B)

1,827,638

8.10

Total (A)+(B)

22,561,564

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

-

-

(1) Promoter and Promoter Group

-

-

(2) Public

-

-

Sub Total

-

-

Total (A)+(B)+(C)

22,561,564

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of oil free screw compressors having sophisticated applications in pharmaceuticals, foods, beverages

 

 

Products :

Product Description

ITC Code

8414.40

Air Gas And Screw Compressors

8207.11

Pneumatic Tools

8414.90

Spares And Accessories

8467.89

Spares And Accessories

 

 

 

PRODUCTION STATUS 31.12.2010

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Manufactured:

 

 

 

 

Air, Gas and Screw compressors and Dryers

Nos

11500

11500

8725

Pneumatic Tools

Nos

75000

75000

43651

Rock Drilling Equipments

Nos

16900

16800

15016

Road Construction Equipments

Nos

1000

1000

234

Trading

 

 

 

 

Pneumatic Tools

Nos

NA

NA

23020

 

 

GENERAL INFORMATION

 

No. of Employees :

1714 (Approximately)

 

 

Bankers :
  • Citibank N. A.
  • Bank of India
  • Deutsche Bank
  • BNP Paribas
  • Union Bank of India
  • HDFC Bank
  • Hong Kong and Shanghai Banking Corporation

 

 

Facilities :

Secured Loan

As on

31.12.2010

(Rs. in

Millions)

As on

31.12.2009

(Rs. in

Millions)

Loans and Advances

 

 

- Term Loan*

0.000

83.333

- Cash Credit#

116.142

105.012

Total

116.142

188.345

Notes :

* Above loan from bank is secured by first pari-passu charge on all of the company’s stock in trade. Receivables and Movable plant and Machinery (both present and future)

 

# Secured by hypothecation of the company’s stock in trade and receivables (both present and future)

Unsecured Loan

As on

31.12.2010

(Rs. in

Millions)

As on

31.12.2009

(Rs. in

Millions)

Loans and Advances from Banks

 

 

- Term Loan (repayable within one year Rs. Nil (Previous Year Rs. 181.404 Millions)

 

0.000

 

550.899

- Buyer Credit (repayable within one year Rs. Nil (Previous Year Rs. 181.404 Millions)

 

0.000

 

181.404

- Book Overdraft (Short Term)

0.999

0.000

Loans and Advances from other than Banks – Sales Tax deferral

(repayable within one year Rs. Nil , Previous Year Rs. 4.071 Millions)

 

 

 

0.000

 

 

 

18.965

Loans and Advances From other Banks

(in respect of assets taken on finance lease)

(repayable with in one year Rs. 16.926 (Previous Year Rs. 11.856)

 

 

 

75.982

 

 

 

14.425

Total

 76.981

765.693

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountant

 

 

Solicitors and Advocates:

Crawford Bayley and Company, Mumbai

 

 

Holding Company  :

Atlas Copco AB, Swedan

 

 

Common Control:

·         ABAC Aria Compressa S.p.A.

·         Atlas Copco (Nanjing) Construction and Mining Equipment Limited

·         Atlas Copco (Wuxi) Exploration Equipment Limited

·         Oy Atlas Copco Rotex Ab

·         Atlas Copco ( Shenyang ) Construction and Mining Equipment Limited

·         Atlas Copco ( South East Asia ) Private Limited

·         Atlas Copco ( Thailand ) Limited

·         Atlas Copco ( Zhangjiakou ) Construction & Mining Equipment Limited

·         SPA Atlas Copco Algerie

·         Atlas Copco ASAP n.v.

·         Atlas Copco China/Hongkong limited

·         Atlas Copco Equipment Egypt S.A.E.

·         Atlas Copco Bangladesh Limited

·         Atlas Copco (Wuxi) Compressor Company limited

·         Wuxi Pneumatic Air/Gas Purity Equipment Company limited

·         Atlas Copco Application Center Europe GmbH

·         Atlas Copco Blm S.r.l

·         Atlas Copco Belgium n.v.

·         Atlas Copco Construction Tools AB, Kalmar, Sweden

·         Atlas Copco Construction Tools GmbH

·         Atlas Copco Craelius AB

·         Atlas Copco Crιpelle S.A.S., France

·         Atlas Copco Drilling Solutions Garland / Allen , USA

·         Atlas Copco Eastern Africa Limited

·         Atlas Copco Energas GmbH

·         Atlas Copco Canada Inc.

·         Atlas Copco Hurricane LLC

·         Atlas Copco Italia S.p.A

·         Atlas Copco KK

·         Atlas Copco MAI GmbH

·         Atlas Copco Mexicana, SA DE CV

·         Atlas Copco Mfg. Korea Company Limited

·         Atlas Copco Rental LLC (formerly known as Atlas Copco Prime Energy)

·         Atlas Copco Rock Drills AB

·         Atlas Copco Romania S.r.l.

·         Atlas Copco S.A.E

·         Atlas Copco S.r.o.

·         Atlas Copco Secoroc AB

·         Atlas Copco Secoroc LLC

·         Atlas Copco Taiwan Limited

·         Atlas Copco Tools and  Assembly System LLC

·         Atlas Copco Tools AB

·         Atlas Copco Tools Limited

·         Atlas Copco (Shanghai) Trading Company limited

·         Beacon Medical Products LLC

·         Ceccato Aria Compressa S.p.A.

·         Compresseurs Worthington - Creyssensac S.A.S.

·         Dynapac Brasil Industria e comercio Limited

·         Dynapac Compaction Equipment AB

·         Dynapac AB

·         Dynapac GmbH

·         Dynapac (China) Compaction and Paving Equipment Company Limited

·         Fuji Air Tools Company Limited

·         ETS Georges Renault S.A.S.

·         Greenfield AG

·         Intermech Limited

·         Liuzhou Tech Machinery Company Limited

·         Power Tools Distribution n.v.

·         Rodcraft Pneumatic Tools GmbH

·         Shanghai Tooltec Industrial Tool Company Limited

·         Vibra Techniques

·         Atlas Copco (Malaysia) Sdn. Bhd.

·         Atlas Copco (Philippines) Inc.

·         Atlas Copco CMT and CT Nigeria Limited

·         Atlas Copco Colombia Limited

·         Atlas Copco MCT GmbH

·         Atlas Copco Peruana SA

·         Atlas Copco Tanzania Limited

·         Atlas Copco Zambia Limited

·         Shenyang Ruifeng Machinery Limited

·         PT Atlas Copco Indonesia

·         Atlas Copco Nederlands BV (NLA)

·         IRMER + ELZE Kompressoren GmbH

·         Atlas Copco Middle East FZE

·         Atlas Copco Services Middle East SPC

·         Atlas Copco Compressors LLC

·         Quincy Compressor, Inc.

·         Quincy Compressor, LLC.

·         Atlas Copco Airpower n.v.

·         Atlas Copco Brasil Limited

·         Atlas Copco Comptec LLC.

·         ZAO Atlas Copco

·         Atlas Copco South Africa (Private) Limited

·         Atlas Copco BH .d.o.o

·         Atlas Copco Argentina S.A.C.I

·         Atlas Copco A.D.

·         Atlas Copco (Cyprus) Limited

·         Atlas Copco (Schweiz) AG

·         ABAC DMS Air Compressors Private limited

·         Atlas Copco Australia Private limited

·         Atlas Copco Bulgaria Eood

·         Atlas Copco Central Asia LLP

·         Atlas Copco Chilena S.A.C.

·         Atlas Copco Limited

·         Atlas Copco Construction and Mining Technique USA LLC

·         Atlas Copco Drilling Solutions LLC

·         Atlas Copco Hellas A.E.

·         Atlas Copco Polska Sp. Z.o.o.

·         Atlas Copco Forage Et Construction

·         Atlas Copco Iran AB

·         Sociedade Atlas Copco de Portugal Lda

·         Atlas Copco Mafi-Trench Company LLC

·         Atlas Copco Custom Design (formerly Tide - Air)

·         Atlas Copco Customer Finance AB

·         Atlas Copco Makinalari Imalat AS

·         LLC Atlas Copco Ukraine

 

 

CAPITAL STRUCTURE

 

As on 31.12.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

25000000

Equity Shares

Rs. 10/- each

Rs. 250.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

22561566

Equity Shares

Rs. 10/- each

Rs. 225.616 Millions

 

 

 

 

 

Notes:

 

a)       110600 (Previous Year 110600) Equity Shares allotted as fully paid-up, pursuant to a contract without payment being received in cash

 

b)       17202315 (Previous Year 17202315) Equity Shares Allotted as fully paid-up by way of bonus shares by capitalization of general Reserve and Share Premium  Account

 

 

c)       4027095 Equity Shares allotted as fully paid-up to shareholders of erstwhile Chicago Preumatic India Limited (‘CPIL’) pursuant to the Scheme of Amalgamation, without payment being received in cash

 

d)       18899360 Equity Shares held by Atlas Copco AB, the holding Company.

 

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

225.616

225.616

225.616

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

5918.972

4392.304

3837.366

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

6144.588

4617.920

4062.982

LOAN FUNDS

 

 

 

1] Secured Loans

116.142

188.345

401.436

2] Unsecured Loans

76.981

765.693

1637.668

TOTAL BORROWING

193.123

954.038

2039.104

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

6337.711

5571.958

6102.086

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

1795.748

1812.103

1837.962

Capital work-in-progress

93.167

16.173

10.383

 

 

 

 

INVESTMENT

0.000

145.045

75.037

DEFERREX TAX ASSETS

176.055

133.988

124.695

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
3291.512
2443.450
2848.243

 

Sundry Debtors
3820.651
3091.865
3375.033

 

Cash & Bank Balances
219.256
403.049
236.661

 

Other Current Assets
0.000
0.000
0.000

 

Loans & Advances
1120.408
780.513
939.333

Total Current Assets
8451.827

6718.877

7399.270

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
2169.792

1852.148
1781.778

 

Other Current Liabilities
895.433

722.190
1013.244

 

Provisions
1113.861

679.890
550.239

Total Current Liabilities
4179.086

3254.228

3345.261

Net Current Assets
4272.741
3464.649
4054.009

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

6337.711

5571.958

6102.086

 

 

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.12.2010

31.12.2009

31.12.2008

 

SALES

 

 

 

 

 

Sales of Products and Services, Revenue from Construction Contracts (Net) 

 

 

16807.306

 

 

12716.486

 

 

11706.791

 

 

Other Operating Income

71.945

67.313

1116.291

 

 

Other Income

76.606

32.353

23.045

 

 

TOTAL                                     (A)

16955.857

12816.152

12846.127

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Consumption of Raw Material and Components 

 

6687.563

 

5367.461

 

11049.311

 

 

Purchase for Resale

4266.622

2822.452

0.000

 

 

Increase/ decrease in Finished goods and work in progress stocks

 

(366.867)

 

162.059

 

0.000

 

 

employee cost

1262.190

986.672

0.000

 

 

Other Expanses

2509.577

1672.878

0.000

 

 

TOTAL                                     (B)

14359.085

11011.522

11049.311

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

2596.772

1804.630

1796.816

 

 

 

 

 

Less

FINANCIAL/INTEREST  EXPENSES                   (D)

52.594

159.132

167.332

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

2544.178

1665.498

1629.484

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

310.247

315.144

280.769

 

 

 

 

 

 

PROFIT BEFORE EXCEPTIONAL ITEMS (E-F)    (G)                                                                               

2233.931

1330.354

1348.715

 

 

 

 

 

Less/ Add

EXCEPTIONAL ITEMS                                       (H)

254.450

(16.708)

0.000

 

 

 

 

 

 

PROFIT BEFORE TAX

2488.381

1313.646

1348.715

 

 

 

 

 

Less

TAX                                                                 

823.259

466.133

511.290

 

 

 

 

 

 

PROFIT AFTER TAX

1665.122

847.513

837.425

 

 

 

 

 

Add

Excess Provision for current taxation in respect of earlier years

79.719

0.000

0.000

 

 

 

 

 

Less

Deferred tax charges in respect of earlier years 

(87.500)

0.000

0.000

 

 

 

 

 

 

Net Profit

1657.341

847.513

837.425

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

2142.799

1350.508

718.666

 

 

 

 

 

Add

On Account of Amalgamation

0.000

176.758

0.000

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Proposed Dividend

112.808

112.808

15.337

 

 

Tax on Proposed Dividend

17.865

19.172

90.246

 

 

Transfer to General Reserve

175.000

100.000

100.000

 

BALANCE CARRIED TO THE B/S

3494.467

2142.799

1350.508

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

FOB Value Of Exports

1814.981

1242.536

1395.598

 

 

Commission

336.228

386.411

0.000

 

 

Service Income

350.027

366.973

0.000

 

 

Recovery of freight

17.545

8.856

0.000

 

 

Recovery of warranty

43.329

37.423

0.000

 

TOTAL EARNINGS

2562.110

2042.199

1395.598

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

2791.610

2086.995

0.000

 

 

Stores & Spares

52.257

33.895

3889.628

 

 

Capital Goods

2450.674

1820.298

82.711

 

TOTAL IMPORTS

5294.541

3941.188

3972.339

 

 

 

 

 

 

Earnings Per Share (Rs.)

 

 

 

 

Basics

73.46

38.05

37.12

 

Diluted

73.46

38.05

37.12

 

QUARTERLY RESULTS

 

 

PARTICULARS

 

 

 

31.03.2011

Type

 

 

1ST Quarter

Net Sales

 

 

4225.600

Total Expenditure

 

 

3587.000

PBIDT (Excl OI)

 

 

638.600

Other Income

 

 

26.700

Operating Profit

 

 

665.300

Interest

 

 

13.600

Exceptional Items

 

 

0.000

PBDT

 

 

651.700

Depreciation

 

 

80.300

Profit Before Tax

 

 

571.400

Tax

 

 

202.600

Profit After Tax

 

 

368.800

Net Profit

 

 

368.800

 

KEY RATIOS

 

PARTICULARS

 

 

31.12.2010

31.12.2009

31.12.2008

PAT / Total Income

(%)
9.82
6.61
6.52

 

 
 
 
 

Net Profit Margin

(PBT/Sales)

(%)
14.81
10.33
11.52

 

 
 
 
 

Return on Total Assets

(PBT/Total Assets}

(%)
24.28
15.40
14.60

 

 
 
 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.40
0.28
0.33

 

 
 
 
 

Debt Equity Ratio

(Total Liability/Networth)

 
0.71
0.91
1.33

 

 
 
 
 

Current Ratio

(Current Asset/Current Liability)

 
2.02
2.06
2.19

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Check List by Info Agents

Available in Report (Yes / No)

1) Year of Establishment

Yes

2) Locality of the firm

Yes

3) Constitutions of the firm

Yes

4) Premises details

No

5) Type of Business

Yes

6) Line of Business

Yes

7) Promoter’s background

No

8) No. of employees

Yes

9) Name of person contacted

No

10) Designation of contact person

No

11) Turnover of firm for last three years

Yes

12) Profitability for last three years

Yes

13) Reasons for variation <> 20%

--

14) Estimation for coming financial year

No

15) Capital in the business

Yes

16) Details of sister concerns

Yes

17) Major suppliers

No

18) Major customers

No

19) Payments terms

No

20) Export / Import details (if applicable)

No

21) Market information

--

22) Litigations that the firm / promoter

--

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

No

30) Major Shareholders, if available

No

 

 

DETAILS SUNDRY CREDITORS

Rs. In Millions

Particular

31.12.2010

31.12.2009

31.12.2008

Total outstanding dues of micro enterprise and small enterprise

133.869

53.475

0.585

Total outstanding dues to creditors other than micro enterprise and small enterprise / small-scale industrial undertakings

2035.923

1798.673

1781.193

Total

2169.792

1852.148

1781.778

 

 

OPERATIONS: 

 

The total revenue for the year at Rs. 16955.900 million registered a growth of 32% over previous year's revenue of Rs 12816.100 millions.  The profit before exceptional items and taxes for the year at Rs. 2233.900 millions showed an impressive improvement of 68% over previous year's profit of Rs. 1330.300 millions.

 

 While the global economy started recovering slowly at the beginning of the year.  Indian economy witnessed a smart growth with a GDP growth of 8.6%. The exchange rates remained in favour of rupee in most part of the year reducing the product costs and improving the profitability.

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

ECONOMIC SCENARIO:

 

The highlights of the pre-budget economic survey presented by the Finance Minister of India suggest robust growth and steady fiscal consolidation of the Indian economy in the year 2010-11. The GDP growth rate has been 8.6% during the year and is expected to be around 9% in the next fiscal year. India has made a quick and strong turnaround from the slowdown caused by recent global and domestic challenges. However, sustained inflation with high food and commodity prices and hardening interest rates has been a cause of concern.

 

 

INDUSTRIAL SEGMENT:

 

The Industrial segment develops, manufactures and markets a wide range of air and gas compressors, of both rotary and reciprocating technology, oil injected and oil free, in various powers, pressure ranges and capacities to serve the diverse needs of consumers of compressed air and gas. Included in this segment are also a wide range of pneumatic and electric tools such as grinders, drills, impact wrenches, screw drivers, nut runners etc. The key market segments for air and gas compressors are the general industry covering engineering, automotive, textiles, cement, pharmaceutical, PET blowing, and power generation etc. Pneumatic and electric tools are primarily used in automation of assembly processes and controlled tightening systems. The key market segment for these tools are automotive industry, the general industry and automotive after markets.

 

This segment has achieved revenue of Rs. 1088.790 million during the year as compared to previous year's revenue of Rs. 7756.800 millions an impressive growth of 40% over previous year.

 

The Industrial segment has witnessed growth in volumes and profitability due to surge in demand in Power, Water well sectors and strong recovery in Automobile and general industry. Introduction of custom designed engineered products for Oil and Gas markets also supplemented the growth. The contribution from aftermarket - parts and service continued at the same pace. Introduction of new products and services, better price realization coupled with reduction in costs, and favorable exchange rates in most part of the year helped the segment to improve the bottom line.

 

CONSTRUCTION AND MINING SEGMENT:

 

The Construction and Mining segment develops, manufactures and markets rock drilling tools, drilling rigs, construction tools, breakers, blast hole drilling rigs, water well drilling rigs (including rock bits and  rock tools), loading equipment, road construction equipment, etc. A wide range of these equipment is manufactured at the Nasik and Hyderabad plants. Some specialized drilling and loading equipment are sourced from other Group companies abroad. Key market segments served by this segment include rock excavation, light construction and demolition, exploration drilling, surface drilling, tunneling, underground mining, road construction etc.

 

This segment achieved revenues of Rs. 5708.000 million during the year compared to previous year's revenue of Rs. 4713.500 millions showing a growth of 21% over previous year.

 

The year has witnessed a strong recovery in the domestic market for all the products of this segment. Export market has also picked up considerably showing a 46% growth over previous year. Significant initiatives have been taken at the manufacturing locations at Nasik and Hyderabad for product up-gradation, quality improvement, cost reduction and import substitution. Expansion of production capacity at Hyderabad is nearing completion, both for factory and administrative office. Similarly, large investments have been done at Nasik in the Air rock plant and Power rock plant for the manufacture of pneumatic and hydraulic crawlers respectively. During 2010, first environment friendly diesel engine driven Blast Hole Drill (IDM 70) machine was produced.

 

OUTLOOK FOR 2011:

 

Indian economy is expected to grow at 9% during the fiscal year 2011-12. Power, textile, metal, infrastructure, automobile industries are expected to invest significant amounts in expansion and up-gradation of existing facilities. Infrastructure projects are expected to develop favorable and to contribute positively to our road construction equipment business. Union budget allocation for infrastructure development is 23% higher than last year in order to give a boost to infrastructure development in railways, ports, housing and highway development. Exports are also expected to grow further in view of the growth indications from US, Europe and other parts of world. However, rising inflation and interest rates is a cause of concern and could be a deterrent to the growth prospects. Political situation in Arabian Gulf and resultant impact on prices of oil could also impact the growth in demand. The Company, being a dominant player in the market for the products and services it offers for infrastructure and other industries will certainly benefit from this expected growth in the economy. In addition, investment for a new factory for Compressor manufacturing in Pune will contribute in their strive to become a World Class excelling supplier but also ensure further introduction of new products.

 

 

FIXED ASSETS:

 

·         Goodwill

·         Drawings and Designs

·         Land (Freehold)

·         Land (Leasehold)

·         Factory Building

·         Residential Premises

·         Electrical Installments

·         Workshops Machinery

·         Patterns, Dies , Templates

·         Vehicles

·         Furniture Fittings

·         Office Equipments

·         Rental equipment


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.54.55

UK Pound

1

Rs.85.48

Euro

1

Rs.68.70

 

 

INFORMATION DETAILS

 

Information Gathered by :

JML

 

 

Report Prepared by :

NTH

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

8

PAID-UP CAPITAL

1~10

7

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

8

--PROFITABILIRY

1~10

8

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

7

--RESERVES

1~10

8

--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

 

65

 

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

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.