MIRA
INFORM REPORT
|
Report Date : |
11.07.2012 |
IDENTIFICATION DETAILS
|
Name : |
FUTURA POLYESTERS LIMITED |
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Registered
Office : |
Paragaon Condominium, 3rd Floor, Pandurang Budhkar Marg, Mumbai-400013,
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Country : |
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Financials (as
on) : |
30.06.2011 |
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Date of
Incorporation : |
10.02.1960 |
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Com. Reg. No.: |
11579 |
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Capital
Investment / Paid-up Capital : |
Rs.747.617
millions |
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CIN No.: [Company Identification
No.] |
L65192MH1960PLC011579 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMF03868E/ MUMF03861E/ MUMF03450G |
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PAN No.: [Permanent Account No.] |
AAACI3404K |
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Legal Form : |
A Public Limited
Liability Company. The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
Manufacture of Speciality Fine Chemicals and Polyesters. |
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No. of Employees
: |
686
(Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (28) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 8700000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track
records. Profitability of the company is under pressure. There appears some accumulated
losses recorded by the company. However, trade relations are reported as
fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some
caution. |
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 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
Paragaon Condominium, 3rd Floor, Pandurang Budhkar Marg,
Mumbai – 400 013, |
|
Tel. No.: |
91-22-24922999 / 24952311 |
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Fax No.: |
91-22-24923142 |
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E-Mail : |
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Website : |
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Marketing Office / Factory : |
1, Kamarajar Salai, Manali, Chennai - 600
068, |
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Tel. No.: |
91-44-25941313-17 (5 Lines) |
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Fax No.: |
91-44-25941054 / 25941566 |
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E-Mail : |
DIRECTORS
As on 30.06.2011
|
Name : |
Mr. Shyam Bhupatirai Ghia |
|
Designation : |
Chairman and Managing Director |
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|
|
|
Name : |
Mr. Mukund Dharamdas Dalal |
|
Designation : |
Joint Managing Director |
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|
Name : |
Mr. Shyam Sunder Sami |
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Designation : |
Director |
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|
Name : |
M. Saravanan |
|
Designation : |
Nominee Director (IDBI) |
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|
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|
Name : |
Mr. K. V. K. Murthy |
|
Designation : |
Director |
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|
|
Name : |
Mr. Viren Raheja |
|
Designation : |
Director (upto 08.09.2010) |
KEY EXECUTIVES
|
Name : |
Mr. A. R. Gadkari |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2012
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
441,011 |
0.80 |
|
|
22,396,864 |
40.82 |
|
|
22,837,875 |
41.62 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
22,837,875 |
41.62 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
158,804 |
0.29 |
|
|
25,581 |
0.05 |
|
|
2,897,119 |
5.28 |
|
|
7,212 |
0.01 |
|
|
3,088,716 |
5.63 |
|
|
|
|
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|
4,878,154 |
8.89 |
|
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11,808,629 |
21.52 |
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|
7,849,351 |
14.30 |
|
|
4,408,954 |
8.04 |
|
|
16,284 |
0.03 |
|
|
1,060,287 |
1.93 |
|
|
2,840 |
0.01 |
|
|
1,035,853 |
1.89 |
|
|
2,293,690 |
4.18 |
|
|
28,945,088 |
52.75 |
|
Total Public shareholding (B) |
32,033,804 |
58.38 |
|
Total (A)+(B) |
54,871,679 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
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- |
- |
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|
- |
- |
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- |
- |
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Total (A)+(B)+(C) |
54,871,679 |
- |
BUSINESS DETAILS
|
Line of Business : |
Manufacture of Speciality Fine Chemicals and Polyesters |
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Products: |
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GENERAL INFORMATION
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No. of Employees : |
686 (Approximately) |
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Bankers : |
·
Bank of ·
State Bank of ·
Union Bank of ·
Indian Bank ·
UCO Bank ·
Canara Bank ·
State Bank of |
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Facility: |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
N M Raiji and Company Chartered Accountants |
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Holding Company
: |
FPL Property Developers Private Limited |
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Related Parties
: |
·
Bhupati Investments and Finance Private Limited ·
Chika Private Limited ·
Viraj Investment Private Limited (VIPL) ·
Innovassynth Investments Limited ·
Sonata Software Limited ·
Daltreya Investments and Finance Private Limited |
CAPITAL STRUCTURE
As on 30.06.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
60000000 |
Equity Shares |
Rs.10/- each |
Rs.600.000 millions |
|
2000000 |
Non-Cumulative Redeemable Preference
Shares |
Rs.100/- each |
Rs.200.000 millions |
|
|
Total |
|
Rs.800.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
54871679 |
Equity Shares |
Rs.10/- each |
Rs.548.717
millions |
|
1989000 |
9% Non-Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs.198.900
millions |
|
|
Total |
|
Rs.747.617 millions |
NOTES
1.
8486575 Shares have been allotted as fully paid
Bonus Shares by Capitalisation of Capital Redemption Reserve, Securities
Premium and General Reserve.
2.
350000 Shares have been allotted as fully paid to
the Shareholders of erstwhile Corporation Bank Limited, pursuant to the scheme
of Amalgamation of Corporation Bank Limited with the Company.
3.
9% Non-Cumulative Redeemable Preference Shares of
Rs.100 each allotted on 17th September, 2010 shall be redeemed at the expiry of
15 years from the date of allotment. Provided however, that the Company shall
have the option to redeem the same earlier but not earlier than 5 years from
the date of allotment.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
30.06.2011 (15 Months) |
31.03.2010 (12 Months) |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
747.617 |
524.217 |
524.217 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
1672.511 |
1577.553 |
1801.997 |
|
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4] (Accumulated Losses) |
(252.470) |
0.000 |
0.000 |
|
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NETWORTH |
2167.658 |
2101.770 |
2326.214 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
892.047 |
1203.247 |
1231.602 |
|
|
2] Unsecured Loans |
733.747 |
747.490 |
667.321 |
|
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TOTAL BORROWING |
1625.794 |
1950.737 |
1898.923 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
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TOTAL |
3793.452 |
4052.507 |
4225.137 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
3920.449 |
3663.792 |
3641.299 |
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Capital work-in-progress |
7.871 |
96.660 |
89.199 |
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|
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INVESTMENT |
46.616 |
55.859 |
44.876 |
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DEFERREX TAX ASSETS |
95.887 |
68.623 |
64.994 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
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Inventories |
941.036
|
837.921
|
999.690
|
|
|
Sundry Debtors |
221.680
|
308.092
|
336.464
|
|
|
Cash & Bank Balances |
174.150
|
202.433
|
138.806
|
|
|
Other Current Assets |
0.000 |
0.000 |
0.000 |
|
|
Loans & Advances |
280.516
|
242.053
|
292.498
|
|
Total
Current Assets |
1617.382
|
1590.499
|
1767.458
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
1386.891
|
1118.203
|
950.831
|
|
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Other Current Liabilities |
442.948
|
237.748
|
349.610
|
|
|
Provisions |
64.914
|
67.291
|
82.775
|
|
Total
Current Liabilities |
1894.753
|
1423.242
|
1383.216
|
|
|
Net Current Assets |
(277.371)
|
167.257
|
384.242
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.316 |
0.527 |
|
|
|
|
|
|
|
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TOTAL |
3793.452 |
4052.507 |
4225.137 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.06.2011 (15 Months) |
31.03.2010 (12 Months) |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Sales (Net) |
5660.614 |
3778.429 |
3788.838 |
|
|
|
Other Income |
80.535 |
94.593 |
105.159 |
|
|
|
TOTAL (A) |
5741.149 |
3873.022 |
3893.997 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing and Other Expenses |
5595.691 |
3511.699 |
3494.988 |
|
|
|
Increase/(Decrease) in Finished Goods |
(61.001) |
54.184 |
79.211 |
|
|
|
Transfer from Revaluation Reserve |
(106.881) |
(85.757) |
(87.242) |
|
|
|
Voluntary Retirement Scheme |
0.316 |
0.211 |
0.508 |
|
|
|
TOTAL (B) |
5428.125 |
3480.337 |
3487.465 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
313.024 |
392.685 |
406.532 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST (NET) (D) |
288.556 |
226.796 |
273.636 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
24.468 |
165.889 |
132.896 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
416.420 |
308.545 |
281.585 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX (E-F) (G) |
(391.952) |
(142.656) |
(148.689) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(33.473) |
(3.969) |
(55.036) |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
AFTER TAX (G-H) (I) |
(358.479) |
(138.687) |
(93.653) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
0.000 |
125.582 |
219.235 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer from General Reserve |
(106.009) |
(13.105) |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
(252.470) |
0.000 |
125.582 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods calculated on FOB basis |
1364.012 |
916.477 |
853.767 |
|
|
|
Insurance and Freight |
62.028 |
51.575 |
35.011 |
|
|
|
Others |
0.000 |
0.000 |
7.794 |
|
|
|
Total |
1426.040 |
968.052 |
896.572 |
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2896.366 |
1719.690 |
1357.166 |
|
|
|
Stores & Spares |
86.584 |
66.315 |
67.581 |
|
|
|
Total |
2982.950 |
1786.005 |
1424.747 |
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(6.64) |
(2.65) |
(1.79) |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
30.09.2011 |
31.12.2011 |
31.03.2012 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
1009.200 |
947.600 |
512.900 |
210.500 |
|
Total Expenditure |
1058.600 |
1022.400 |
744.000 |
242.100 |
|
PBIDT (Excl OI) |
(49.400) |
(74.800) |
(231.100) |
(31.600) |
|
Other Income |
0.100 |
1.500 |
0.600 |
2.500 |
|
Operating Profit |
(49.300) |
(73.300) |
(230.500) |
(29.100) |
|
Interest |
61.200 |
58.400 |
69.100 |
71.500 |
|
PBDT |
(110.500) |
(131.700) |
(299.600) |
(100.600) |
|
Depreciation |
60.200 |
70.100 |
67.000 |
69.700 |
|
Profit Before Tax |
(170.700) |
(201.800) |
(366.600) |
(170.300) |
|
Tax |
(33.500) |
0.000 |
0.000 |
0.300 |
|
Profit After Tax |
(137.200) |
(201.800) |
(366.600) |
(170.600) |
|
Net Profit |
(137.200) |
(201.800) |
(366.600) |
(170.600) |
KEY RATIOS
|
PARTICULARS |
|
30.06.2011 (15 Months) |
31.03.2010 (12 Months) |
31.03.2009 |
|
PAT / Total Income |
(%) |
(6.24)
|
(3.58)
|
(2.40) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(6.92)
|
(3.78)
|
(3.92) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(7.08)
|
(2.72)
|
(2.74) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.18)
|
(0.07)
|
(0.06) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.62
|
1.61
|
1.41 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.85
|
1.12
|
1.27 |
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 involved in |
-- |
|
23) Banking Details |
Yes |
|
24) Banking facility details |
Yes |
|
25) Conduct of the banking account |
-- |
|
26) Buyer visit details |
-- |
|
27) Financials, if provided |
Yes |
|
28) Incorporation details, if applicable |
Yes |
|
29) Last accounts filed at ROC |
Yes |
|
30) Major Shareholders, if available |
No |
OPERATIONS
The turnover of
the Company for the 15 month period ended 30th June 2011 was Rs.6241.400
millions which, on annualized basis, shows an increase of 40.50% over the
previous year. The Polyester Staple Fibre (PSF) turnover which increased to
Rs.2985.000 millions, showing an increase of about 24% on annualized basis. PSF
business continues to be remunerative due to Company’s thrust on colour /
specialty fibres. While the polymer business remained at the same level,
preform business showed a decline. The reasons for the same are: The global
recession continued during the first half of 2010-11 affecting the exports
front to a considerable extent. As the benefits from exports are not
significant, the Company has exited from the status of EOU during the year.
This transition had its initial impact on the profitability of the Company. In
the Preform business, the entry of number of small players receiving Government
support / concessional tariff has not only affected the volume but also the
profitability of the business at large.
The Company
suffered an operating loss of Rs.391.600 millions during the fifteen month
period. This loss is substantially higher when compared with previous year. The
main reasons for the loss are declining margins due to high raw material cost
and the severe competition in Preforms business. Further, some restrictions
imposed by Authorities on import of bottle grade scrap resulted in shortage of
raw material and consequent slow down in production. The cost of power
continues to be high due to power cut imposed by State Government. The increase
in price of bio mass fuel (for generation steam) further added to the cost
push.
Polyester Staple
Fibre business continues to show steady improvement both in volume and margins.
Domestic demand is contributing to higher turnover and margins.
The reduction in
Preforms turnover is mainly due to increased tolling contract (i.e. billing
value addition only and not the raw material cost) with Multi National Corporations.
The company’s thrust continues to be in reducing its dependence on commodity
preforms and the severe competition due to the entry of many players.
The company is
making earnest efforts to raise additional interest free resources through sale
of part of its premises to repay high cost debts and reduce interest burden as
well as to induct additional working capital. The promoter group had brought in
substantial amounts of interest free funds to sustain the operations. The
Company is confident of meeting the challenges posed by the current economic
recession and high interest cost through development of niche and specialty
products and by infusion of additional funds.
SUBSIDIARY COMPANY
The Company has
incorporated a subsidiary by the name FPL Property Developers Private Limited.
This Company was formed essentially with a limited purpose of acquiring and
developing part of the Company’s premises at Chennai, in case the Company is
not in a position to find a buyer for the premises and accordingly an enabling
MOU was entered into with the subsidiary for this purpose. The subsidiary
status of this company is temporary in nature and will not continue as a
subsidiary for long.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
INDUSTRY STRUCTURE AND DEVELOPMENTS
The Company is
engaged in the manufacturing and marketing activities of Polyester products
namely Polymer, Preforms and Polyester staple Fibre (PSF). The corporate focus
is on manufacture and sale of “Specialty products” across all segments,
especially environmental friendly green products.
Fibre demand in
the domestic sector showed high growth, especially in the specialty fibre
sector in which they operate. Demand for black fibres and colour fibres went
up, from both branded as well as unbranded sectors.
PET resin business
in the country and abroad grew on annualised basis. Domestic PET market for
both carbonated soft drinks and water grew at around 20%.
PET Preform
business saw growth of many small and medium sized players. MNCs overall are
rapidly shifting from glass to PET leading to growth of this industry. However,
they are also putting huge pressure on the conversion price, which is
influenced by very low operating costs of new machines.
PERFORMANCE
During the year
the accounting period was extended to fifteen month period between April, 2010
to June, 2011. The figures are therefore not comparable with that of previous
year. The Polyester Staple Fibre sales during the period under review was more
than last year, though volume was less. The reduction in volume is due to the
company’s continuing strategy of concentration more on specialty segment. These
efforts resulted in improved sales realization. In exports the margins
continues to suffer due to the global economic scenario. The company’s raw
material cost however increased substantially affecting margins.
The polyester
resin industry did continue to improve compared to previous year mainly due to
improvement in domestic supplies. Export segment showed improvement more
particularly specialty segment. The increased raw material cost situation did
affect the, margins not compensated by the increase in selling price due to
continuing global economic situation. Major repairs planned could not be
resorted due to difficult cash flow situation thereby affecting the company’s
ability for better product mix. The low capacity utilization also contributed
to low profit margins. Even though the capacity utilization was better than the
Previous year the increased raw material cost resulted in lower margins.
Preform business
showed a stable volume but was slightly lower than last year on annualized
basis, due reduced offtake by MNC’s. The sale value was less on an annulised
basis due to increased tolling contract undertaken for MNC’s.
The gross turnover
of the company for the year ended 30th June, 2011 was Rs.6241.400 millions (15
Months) compared with Rs.4143.400 millions (12 Months) during the previous
year. The continuing higher cost of energy as well as increased cost in raw
material has all contributed to a net loss of Rs.358.400 millions.
OUTLOOK
The outlook for
polyester Fibre business is quite encouraging. This market has shown some signs
of recovery during the last year. The Company’s specialty products are expected
to continue to grow in volume. R and D efforts are progressing to add more
coloured Fibres as well as specialities like Flame Retardant, Cationic Dyeable
Polyesters, High Shrink, Engineering fibres etc. The Company’s batch processing
facility will be of great help to develop more and more specialty fibres.
In respect of
polymers the export sentiment is favourable, the domestic demand is growing,
but so is competition, compounded by excess capacity in
Outlook for the
PET Preform business remains encouraging with the company’s satisfactory order
book position. There is substantial growth in Preform market and the company is
evaluating various opportunities, both for additional capacity as well as in
niche market such as small CSD bottles, Hot Fill juices and Jarpet for bulk
water packaging. In order to tide over the power crisis in Tamil Nadu, the
Company has tied up with new private power manufacturers (Wind power / biomass
power) so that the production capacity is fully supported on power front.
CONTINGENT
LIABILITIES
|
Particulars |
As
on 30.06.2011 Rs.
in millions |
|
(i) Regarding Income tax on account of disputes raised by the Income
tax department under the Income tax, Act 1961. |
|
|
Supreme Court |
23.822 |
|
|
30.373 |
|
Demand Notice for TDS, I T O, Mumbai. |
15.169 |
|
|
|
|
(ii) Service Tax and Penalty demanded on technology transfer
agreement. |
|
|
CESTAT |
48.500 |
|
Service Tax demand on Goods Transport Agency during the Year 1997-98. |
0.637 |
|
Service tax credit denial on outward freight and canteen services 2005-06,
2006-07, 2007-08 and 2008-09 Commissioner Appeals 4.346 CESTAT
1.676 |
6.022 |
|
|
|
|
(iii) Central Excise: Claims against the company on various issues
pending Commissioner Appeals 4.786 CESTAT 10.658 High Court
1.965 |
17.409 |
|
|
|
|
(iv) Central Excise: Method of calculation of duty under notification
2 / 95 & other valuation issues. Supreme Court |
12.100 |
|
|
|
|
(v) Sales Tax on Input use for Exports |
-- |
|
|
|
|
(vi) Guarantees given by the Company. |
330.000 |
|
|
|
|
(vii) Pending Export obligations underAdvance Licences |
27.445 |
|
|
|
|
(viii)Labour Matters |
0.972 |
FIXED ASSETS:
·
·
Building (Freehold)
·
Plant and Machinery
·
Furniture and Fixtures
·
Motor Car and Vehicles
·
Air Conditioning Units and other Equipments
·
·
Research and Development
o
Buildings
o
Plant and Machinery
·
New Product Development
STATEMENT OF
UNAUDITED RESULTS FOR THE QUARTER AND NINE MONTHS ENDED ON 31.03.2012
Rs.
In Millions
|
PARTICULAR |
PRECEDING 3 MONTHS ENDED |
3 MONTHS ENDED |
YEAR TO DATE FIGURES FOR THE CURRENT PERIOD ENDED |
|
|
UNAUDITED |
UNAUDITED |
UNAUDITED |
|
|
31.12.2011 |
31.03.2012 |
31.03.2012 |
|
|
|
|
|
|
Net
Sales / Income from operations |
511.800 |
210.100 |
1863.000 |
|
Other
Operating Income |
1.100 |
0.400 |
2.900 |
|
Total
Income |
512.900 |
210.500 |
1865.900 |
|
Expenditure |
|
|
|
|
Cost of
material consumed |
323.800 |
54.700 |
960.500 |
|
Changes
in inventories of finished goods, work in progress and stock in trade |
66.200 |
59.200 |
188.700 |
|
Employee
benefits expenses |
68.200 |
63.500 |
195.600 |
|
Depreciation
and amortization expenses |
67.000 |
69.700 |
206.800 |
|
Power
and fuel |
108.000 |
41.000 |
299.100 |
|
Other
expenses |
168.000 |
23.700 |
339.000 |
|
Total |
799.200 |
311.800 |
2139.700 |
|
Profit
from operations before other income, interest and exceptional Items |
(286.300) |
(101.300) |
(623.800) |
|
Other
income |
0.600 |
2.500 |
3.800 |
|
Profit
before interest and exceptional Items |
(285.700) |
(98.800) |
(520.200) |
|
Interest |
80.900 |
71.500 |
218.500 |
|
Profit after Interest but
before Exceptional Items |
(366.600) |
(170.300) |
(738.700) |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
Profit (+)/Loss(-) from
Oridinary Activities before tax |
(366.600) |
(170.300) |
(738.700) |
|
Tax expense |
0.000 |
0.300 |
0.300 |
|
Net Profit (+)/Loss(-) from
Ordinary Activities after tax |
(366.600) |
(170.600) |
(739.000) |
|
Extraordinary items |
0.000 |
0.000 |
0.000 |
|
Net
Profit (+) / Loss (-) for the year period |
(366.600) |
(170.600) |
(739.000) |
|
Paid
up equity share capital (Face value of Rs.10/- per share) |
548.700 |
548.700 |
548.700 |
|
Reserves
excluding revaluation reserves as per balance sheet of previous accounting
year |
-- |
-- |
-- |
|
Earnings
per share (EPS) |
|
|
|
|
(a) Basic and diluted
EPS before Extraordinary items for the period, for the year
to date and for the previous year (not to be
annualised) |
(8.68) |
(3.11) |
(13.47) |
|
(a) Basic and diluted EPS
before Extraordinary items for the period, for the year to
date and for the previous year (not to be
annualised) |
(8.68) |
(3.11) |
(13.47) |
|
Public
shareholding |
|
|
|
|
Number of shares |
32033804 |
32033804 |
32033804 |
|
Percentage of shareholding |
58.38 |
58.38 |
58.38 |
|
|
|
|
|
|
Promoters
and Promoters group Shareholding- |
|
|
|
|
a)
Pledged /Encumbered |
|
|
|
|
Number
of shares |
247756 |
247756 |
247756 |
|
Percentage
of shares (as a % of total shareholding of the promoter and promoter group) |
1.08 |
1.08 |
1.08 |
|
Percentage
of shares (as a % of total share capital of the company) |
0.45 |
0.45 |
0.45 |
|
|
|
|
|
|
b)
Non Encumbered |
|
|
|
|
Number
of shares |
22590119 |
22590119 |
22590119 |
|
Percentage
of shares (as a % of total shareholding of the promoter and promoter group) |
98.92 |
98.92 |
98.92 |
|
Percentage
of shares (as a % of total share capital of the company) |
41.17 |
41.17 |
41.17 |
NOTE:
1.
The company operates in one segment i.e. Polyester
Products.
2.
The figures of the previous quarter have been
regrouped wherever necessary to confirm current period classification.
3.
The figures of period ended 31st March 2012
are not comparable with those of period ended 31st March 2011 as the
period ended 31.03.2012 consist of 9 months whereas the period ended 31st
March 2011 consist of 12 months.
4.
The loss for the quarter is mainly due to incurring
of overheads without matching revenues on account of suspension of operations
of Fibre and Polymer Division for major period.
5.
The figures for the quarter ended 31st
March 2012 are the balancing figure between unaudited financial results for the
nine months ended 31st March 2012 and the published financial
results for the six months ended 31st December 2011.
6.
Status of investor grievances for the quarter ended
31st March, 2012: Pending as at beginning of quarter Nil. Received
during the quarter Nil. Disposed off during the quarter Nil. Pending at the end
of quarter Nil.
7.
In response to the auditors comment in their
reports, the company wishes to clarify that the company’s is in the process of
raising the necessary resources (including through corporate debt
restructuring) required to streamline the operations and meet the overdue
liabilities.
8.
The statutory auditors have conducted a “Limited
Review” of the above financial results for the quarter ended on 31st
March 2012.
9.
The aforementioned results were reviewed by the
audit committee and subsequently approved by the Board of Directors as their
meeting held on 15th May 2012.
WEB DETAILS
BUSINESS
DESCRIPTION
Subject is an India-based company. The Company is engaged in the manufacturing and marketing activities of polyester products, such as polymer, performs and polyester staple fiber (PSF). The Company’s product portfolio comprises polyester staple fiber, performs and solid state polymers. The Company produces a range of polyesters, including polyethylene terephthalate (PET), polybutylene terephthalate (PBT), poly (trimethylene terephthalate) (PTT), polyethylene naphthalate (PEN), PTN and PBN. For the nine months ended 31 December 2010, subject revenues increased 19% to RS3.3B. Net loss increased 48% to RS159.4M. Revenues reflects an increase in income from operations. Higher loss reflects an increase in consumption of raw materials, higher other operating expenditure, rise in employees cost, increase in depreciation expense, rise in stock in trade and WIP and higher operating loss.
BOARD OF DIRECTORS
Mr. Shyam
Bhupatirai Ghia - Executive Chairman of the Board
Mr. Shyam Bhupatirai Ghia is Executive Chairman of the Board, Managing
Director of subject. His qualification is B. Sc. (Chem), M;B.A.Bowling Green
State Uni.,
Education
MBA ,
BS Chemistry,
Mr. Mukund
Dharmdas Dalal - Joint Managing Director
Mr. Mukund Dharmdas Dalal is Joint Managing Director, Executive Director
of subject. His qualification is B. E. (Chemical),
Mr. K. V. K.
Murthy - Non-Executive Independent Director
Mr. K. V. K. Murthy is Non-Executive Independent Director of subject
since April 29, 2009. His qualification is B. Sc., CAIIB. He is a Retd. Chief
General Manager of RBI.
Mr. Shyam Sunder
Sami - Non-Executive Independent Director
Mr. Shyam Sunder Sami is Non-Executive Independent Director of subject.
His qualification is B.A.( Economics) Hons. He has been Director since July,
2003.
PRESS RELEASES:
FUTURA POLYESTERS
PARTIALLY SUSPENDS CHENNAI OPERATIONS
FIXES BOOK CLOSURE
FOR AGM
ICRA DOWNGRADES
RATING ON FUTURA POLYESTERS' LOANS TO D
15
August 2011 - ICRA said on Friday it had downgraded the rating on two loans of
Indian polyester products maker Futura Polyesters Limited (BOM:500720) to D
from LB-.
Due
to its stretched liquidity position the company failed on several occasions to
make timely instalments on its loans, which prompted the cut, ICRA said.
FUTURA POLYESTERS
INCORPORATES WHOLLY OWNED SUBSIDIARY
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.55.80 |
|
|
1 |
Rs.86.53 |
|
Euro |
1 |
Rs.68.58 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
2 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
28 |
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.