MIRA
INFORM REPORT
|
Report Date : |
12.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
FINE-LINE CIRCUITS LIMITED |
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Registered
Office : |
145, SDF-V, SEEPZ-SEZ, Andheri (East), Mumbai – 400 096, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
09.10.1989 |
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Com. Reg. No.: |
11-131521 |
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Capital
Investment / Paid-up Capital : |
Rs. 48.265 Millions |
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|
|
|
CIN No.: [Company Identification
No.] |
L72900MH1989PLC131521 |
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|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMF03519F |
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PAN No.: [Permanent Account No.] |
AAACF0820C |
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Legal Form : |
A Public Limited Liability Company. The Company Shares Listed to the Stock
Exchange. |
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Line of Business
: |
Manufacture and Exporter of printed circuit board. |
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No. of Employees
: |
165 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (29) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 360000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track. Profitability
of the company appears to be low. However, trade relations are reported as fair.
Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some
cautions. |
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 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
145, SDF-V, SEEPZ-SEZ, Andheri (East), Mumbai – 400 096, |
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Tel. No.: |
91-22-28290244/ 45 |
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Fax No.: |
91-22-28292554 |
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E-Mail : |
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Website : |
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High Technology Multi Layer Unit : |
148, SDF-V, Seepz-SEZ, Andheri (East), Mumbai - 400 096, |
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Tel. No.: |
91-22-42472222 |
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Fax No.: |
91-22-28292554 |
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E-Mail : |
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Tel. No/ Fax No.: |
91-877-876-3660 |
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E-Mail : |
DIRECTORS
AS ON 30.07.2011
|
Name : |
Mr. Bhagwandas T. Doshi |
|
Designation : |
Executive Chairman |
|
Address : |
3-I, |
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Date of Birth/Age : |
24.04.1935 |
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Date of Appointment : |
09.10.1989 |
|
DIN No.: |
00040596 |
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Name : |
Mr. Abhay B. Doshi |
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Designation : |
Managing Director |
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Address : |
3-I, |
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Date of Birth/Age : |
16.04.1961 |
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Date of Appointment : |
26.04.1990 |
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DIN No.: |
00040644 |
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Name : |
Mr. Rajiv B. Doshi |
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Designation : |
Executive Director |
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Address : |
3-I, |
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Date of Birth/Age : |
28.03.1967 |
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Date of Appointment : |
01.04.2007 |
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DIN No.: |
00651098 |
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Name : |
Mr. Vijay A. Kumbhani |
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Designation : |
Non-Executive Director |
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Address : |
106, Sujata Apartment, Kemps Corner, August Kranti Marg,
Mumbai-400036, |
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Date of Birth/Age : |
20.05.1960 |
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Date of Appointment : |
10.05.1991 |
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DIN No.: |
00040702 |
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|
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Name : |
Mr. Gautam B Doshi |
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Designation : |
Non-Executive Director |
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Address : |
3-I, |
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Date of Birth/Age : |
18.10.1964 |
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Date of Appointment : |
22.09.1993 |
|
DIN No.: |
00328854 |
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Name : |
Mr. Rajendra V. Gandhi |
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Designation : |
Independent Director |
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Address : |
Pradeep Niwas, |
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Date of Birth/Age : |
17.12.1949 |
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Date of Appointment : |
09.10.1989 |
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DIN No : |
00189197 |
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|
|
Name : |
Dr. Upendranath Nimmagadda |
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Designation : |
Independent Director |
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Address : |
340, E, |
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Date of Birth/Age : |
01.09.1942 |
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Date of Appointment : |
10.05.1991 |
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|
Name : |
Prof. Juzer M. Vasi |
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Designation : |
Independent Director |
|
Address : |
Department of Electrical Engineering IIT, Powai, Mumbai-400076, |
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Date of Birth/Age : |
25.08.1947 |
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Date of Appointment : |
26.06.2003 |
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DIN No : |
00040682 |
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Name : |
Mr. R. M. Premkumar |
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Designation : |
Independent Director |
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Address : |
101, |
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Date of Birth/Age : |
16.08.1945 |
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Date of Appointment : |
30.06.2007 |
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DIN No : |
00328942 |
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Name : |
Ms. Apurva R. Shah |
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Designation : |
Independent Director |
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Address : |
65, Sagar Mahal, |
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Date of Birth/Age : |
05.01.1970 |
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Date of Appointment : |
26.06.2006 |
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DIN No : |
0004781 |
KEY EXECUTIVES
|
Audit Committee
: |
Ms. Apurva R. Shah - Chairman |
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|
Mr. Rajendra V. Gandhi - Member |
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|
Mr. Vijay A. Kumbhani - Member |
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Prof. Juzer M. Vasi - Member |
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Share transfer
and shareholders’ Grievance
committee : |
Mr. Rajendra V. Gandhi – Chairman (upto 24th July, 2010) |
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|
Mr. Vijay A. Kumbhani – Member (Chairman w.e.f. 24.07.10) |
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Mr. Abhay B. Doshi - Member |
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Mr. Rajiv B. Doshi - (w.e.f. 24.07.10) |
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Prema Radhakrishnan - Compliance Officer |
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Remuneration and
selection committee : |
Mr. Rajendra V. Gandhi – Chairman |
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Prof. Juzer M. Vasi - Member |
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Mr. R. M. Premkumar - Member |
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Senior
management : |
Mr. Joy Chacko |
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Mr. |
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Mr. P. M. Morgaonkar |
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Mr. Nikhil Kumar |
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Mr. N.V.Ramana Murthy |
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|
Mr. Dilip Ghorpade |
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|
Mr. Prema Radhakrishnan |
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 |
|
|
|
|
|
|
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|
1093827 |
22.75 |
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|
100 |
-- |
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|
1093927 |
22.75 |
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|
|
|
|
|
223100 |
4.64 |
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|
223100 |
4.64 |
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Total shareholding of Promoter and Promoter Group (A) |
1317027 |
27.39 |
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(B) Public Shareholding |
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|
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|
196466 |
4.09 |
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|
196466 |
4.09 |
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|
212083 |
4.41 |
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|
1882244 |
39.15 |
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|
613975 |
12.77 |
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|
585991 |
12.19 |
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|
6829 |
0.14 |
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|
578762 |
12.04 |
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Trusts |
400 |
0.01 |
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|
3294293 |
68.52 |
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Total Public shareholding (B) |
3490759 |
72.61 |
|
Total (A)+(B) |
4807786 |
100.00 |
|
© 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) |
4807786 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Manufacture and Exporter of printed circuit board. |
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Products : |
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PRODUCTION STATUS AS ON 31.03.2011
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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|
Sqm. |
N.A. |
31000 |
22520 |
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GENERAL INFORMATION
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No. of Employees : |
165 (Approximately) |
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Bankers : |
v
Union Bank of v
State Bank of |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
DKP and Associates Chartered Accountants |
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Address : |
610, |
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Email ID : |
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Related Party : |
Kapurwala Properties Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
7500000 |
Equity Shares |
Rs. 10/- each |
Rs. 75.000 Millions |
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
|
|
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|
4807786 |
Equity Shares |
Rs. 10/- each |
Rs. 48.078
Millions |
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|
Add: Shares Forfeited |
|
Rs. 0.187
Million |
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Total |
|
Rs. 48.265 Millions |
Note: The Company
had in the past bought back 5,84,814 equity shares of Rs. 10 each
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
48.265 |
48.265 |
48.265 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
43.958 |
43.238 |
50.358 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
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NETWORTH |
92.223 |
91.503 |
98.623 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
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TOTAL |
92.223 |
91.503 |
98.623 |
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|
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|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
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FIXED ASSETS [Net Block] |
29.056 |
26.129 |
31.917 |
|
|
Capital work-in-progress |
2.573 |
0.000 |
0.000 |
|
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|
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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|
DEFERRED TAX ASSETS |
3.453 |
3.734 |
3.912 |
|
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
54.599
|
37.263 |
51.177 |
|
|
Sundry Debtors |
22.837
|
30.651 |
38.655 |
|
|
Cash & Bank Balances |
2.569
|
4.909 |
1.028 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
9.718
|
12.085 |
11.100 |
|
Total
Current Assets |
89.723
|
84.908 |
101.960 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
26.915
|
19.270 |
32.784 |
|
|
Other Current Liabilities |
5.667
|
3.998 |
6.139 |
|
|
Provisions |
0.000
|
0.000 |
0.243 |
|
Total
Current Liabilities |
32.582
|
23.268 |
39.166 |
|
|
Net Current Assets |
57.141
|
61.640 |
62.794 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
92.223 |
91.503 |
98.623 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
240.493 |
202.716 |
281.592 |
|
|
|
Other Income |
0.393 |
0.912 |
0.854 |
|
|
|
TOTAL |
240.886 |
203.628 |
282.446 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing and Other Expenses |
233.299 |
204.524 |
274.703 |
|
|
|
Variation in stocks |
(0.831) |
(1.415) |
3.127 |
|
|
|
TOTAL |
232.468 |
203.109 |
277.830 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
8.418 |
0.519 |
4.616 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
7.316 |
7.466 |
14.760 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
1.102 |
(6.947) |
(10.144) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.383 |
0.173 |
(0.138) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX |
0.719 |
(7.118) |
(10.006) |
|
|
|
|
|
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
35.366 |
42.485 |
52.490 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
36.085 |
35.366 |
42.484 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
208.489 |
186.001 |
236.601 |
|
|
TOTAL EARNINGS |
208.489 |
186.001 |
236.601 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
93.160 |
56.647 |
98.765 |
|
|
|
Stores & Spares |
26.848 |
14.546 |
32.092 |
|
|
|
Capital Goods |
3.523 |
1.839 |
18.579 |
|
|
TOTAL IMPORTS |
123.531 |
73.032 |
149.436 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.15 |
(1.48) |
(2.08) |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
30.09.2011 |
31.12.2011 |
31.03.2012 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Sales Turnover |
61.190 |
56.850 |
50.480 |
52.850 |
|
Total Expenditure |
58.360 |
56.450 |
48.850 |
64.460 |
|
PBIDT (Excl
OI) |
2.830 |
0.400 |
1.630 |
(11.610) |
|
Other Income |
0.020 |
0.000 |
0.000 |
0.750 |
|
Operating
Profit |
2.850 |
0.400 |
1.630 |
(10.860) |
|
Interest |
0.000 |
0.000 |
0.330 |
0.410 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
(11.840) |
|
PBDT |
2.850 |
0.400 |
1.300 |
(23.110) |
|
Depreciation |
1.920 |
2.170 |
2.360 |
2.38 |
|
Profit
Before Tax |
0.930 |
(1.770) |
(1.060) |
(25.49) |
|
Tax |
0.340 |
(0.410) |
0.460 |
0.100 |
|
Reported PAT |
0.590 |
(1.360) |
(1.530) |
(25.580) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
0.590 |
(1.360) |
(1.530) |
(25.580) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
0.30
|
(3.50) |
(3.54) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.46
|
(3.43) |
(3.60) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.93
|
6.26 |
(7.36) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.01
|
0.08 |
(0.10) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.35
|
0.25 |
0.40 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.75
|
3.65 |
2.60 |
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. Constitution of the firm |
Yes |
|
4. Premises details |
No |
|
5. Type of Business |
Yes |
|
6. Line of Business |
Yes |
|
7. Promoter’s background |
Yes |
|
8. No. of Employees |
Yes |
|
9. Name of person contacted |
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 |
No |
|
21. Market information |
-- |
|
22. Litigations that the firm / promoter involved |
-- |
|
23. Banking Details |
Yes |
|
24. Banking facility details |
No |
|
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 |
PERFORMANCE AND OPERATIONAL RESULTS:
The Turnover was
higher by 15.47% to Rs. 240.886 Millions as against Rs. 203.627 Millions in the
previous year and we have returned back to profitability after a difficult recession
period.
The Company
continues to export its products to the G8 Nations.
MANAGEMENT DISCUSSION AND ANALYSIS (MDA)
As per the provisions of the Corporate Governance under the Listing
agreement, the Management Discussion and Analysis (MDA) Report form part of the
Directors’ Report and reflects current state of the business. The Company is
making Printed Circuit Boards (PCBs) and has its manufacturing facilities in
Seepz, SEZ, Mumbai. It
continues to remain a 100% EOU.
INDUSTRY STRUCTURE
AND DEVELOPMENT:
PCBs are basic Electronic Building Block components used in all
Electrical and Electronic Products. As a 100% EOU, the main Global supply comes
from
MODERNISATION,
The Company continuously updates its manufacturing processes focused
towards yield, capability and capacity improvements. The improvements are on
all fronts, equipments, processes / systems and personnel Training.
The opportunities are in the small to medium volume, faster delivery and
with broad range of surface finishes focused for the European markets.
The threats are on account of volatile exchange rate movements and
rising input and personnel costs.
SEGMENTWISE
PERFORMANCE:
Printed Circuits Boards (PCBs) is the only business segment in which the
company is dealing.
BUSINESS SCENARIO:
Printed Circuits Boards (PCBs) being a basic Electronic Building Block,
it continues to have wide applications. The management is seized of the
competition and quality consciousness at all the levels. The company is in the
driver’s seat for the quality of the products and has earned a good name in the
global market. The company’s policy to provide strong customer support has kept
the company’s image in the market at high level of confidence. The company
continues to up-date the plant in terms of up-keep and modernization.
HIGH TECHNOLOGY
MULTILAYER UNIT:
The High Technology Multilayer Unit (HTMU) continued to progress well.
FINANCIAL
PERFORMANCE:
The Company rationalized the products line considering the price levels
to remain competitive in the volatile Exchange Rate, Higher material and power
cost scenario. The Company expects to improve on all these counts in the coming
year.
RESEARCH AND
DEVELOPMENT FOR STABLE QUALITY:
The production personnel undertake in-house research and development
technique concurrently. The Company also takes in to consideration the customer
feedbacks and acts upon the same. The company values customer satisfaction and
delivers products of robust quality as per quality policy of the company.
Cautionary
Statement:
Statement in this Management Discussion and Analysis describing the
Company’s objectives, projections, estimates, expectations or predictions may
be “forward-looking statements” within the meaning of applicable securities
laws and regulations. Actual results could differ materially from those
expressed or implied. Important factors that could make a difference to the
Company’s operations include raw material availability and prices, cyclical
demand and pricing in the Company’s principal markets, changes in Government
regulations, tax regimes, economic developments within
BOARD OF DIRECTORS
The present strength of Board of Directors of the Company is 10 (Ten)
including 7 (Seven) Non-Executive Directors, out of which 5 (Five) directors
are independent directors. The Directors are eminent professionals from amongst
persons from the fields of business, finance, medicine, education and industry.
“Excludes Directorship in Private Limited Companies, Foreign Companies,
Section 25 Companies and Government Bodies and Alternate Directorships. Only
Audit Committee and Shareholders’/ Investors’ Grievance Committee have been
considered
for the Committee position.
None of the directors of the company is a member of more than 10
committees or Chairman for more than 5 committees across all companies in which
he is a director.
Shri Abhay B. Doshi, Shri Gautam B.Doshi and Shri Rajiv B. Doshi are
sons of Shri Bhagwandas T. Doshi, Executive Chairman of the Company and hence
are related to each other. Shri V. A. Kumbhani is brother in law of Shri Abhay
B. Doshi.
The Non Executive Directors of the Company are paid sitting fees for
attending meetings of the Board of Directors and Committees. Besides sitting
fees non-executive Directors are not paid any other remuneration or commission.
The Executive Directors are not paid sitting fees.
The following non executive directors hold shares in the Company as
shown here under:
A. Shri Vijay A. Kumbhani - 45010 Equity Shares
B. Shri Gautam B. Doshi - 175100 Equity Shares
No other Non Executive Directors hold any shares in the company.
INDEPENDENT
DIRECTORS
The independent directors are not related to promoters or management at
the board level. They review at every board meeting legal compliance reports
prepared by the Company
Number and date of
Board Meetings held
4 (four) Board Meetings were held during the year 2010-11. The dates on
which the said meetings were held are as follows: 17-May-10, 24-July-10,
23-Oct-10 and 29-Jan-11.
The company has a process to provide the information to the Board as
required under
All the directors have made necessary disclosures about the committee
positions, they occupy in other companies.
The company has not entered into any materially significant transactions
during the year under report with promoters, directors, senior management
personnel etc. other than transactions if any, entered into in the normal
course of company’s business.
Information required under clause 49 (IV) (G) of the Listing Agreement.
The particulars of Directors, who are proposed to be appointed /
reappointed at this Annual General Meeting, are given below, as required
pursuant to clause 49 of the Listing Agreement.
a) Shri Vijay A
Kumbhani
Shri Vijay A. Kumbhani is on the Board of the Company since 1991. He is
B. Tech. (Mechanical Engineering) from Indian Institute of Technology,
Kharagpur and MFM from Jamnalal Bajaj Institute of Management. He has wide
experience in operational activity of Plant and thorough market and technical
Knowledge. In the past, he has served the Company as Technical Director and had
looked after US Market. He was instrumental in setting up the internal policies
and controls for the company. He is also a Committee member on the Audit
Committee and Chairman of Share Transfer and Shareholder’s Grievance Committee
of the Company. Other directorship / committee position: NIL
Shri V. A. Kumbhani holds 45,010 equity shares in the Company.
b) Shri Gautam B.
Doshi
Shri Gautam B. Doshi has graduated with a Bachelors Degree in Electrical
Engineering from the Indian Institute of
Technology, Mumbai and a Master of Engineering degree in Electrical
Engineering from
Other directorship / committee position: NIL
Shri Gautam B. Doshi holds 1, 75,100 equity shares in the Company
c) Shri Apurva R.
Shah
Shri Apurva R. Shah, a Chartered Accountant and Cost and Works
Accountant has graduated from the London School of Economics and Political
Sciences with a distinction in International Accounting and Finance. He was a
rank holder in the Chartered Accounting Examinations with an award for the
highest distinction in Financial Accounting and in Direct Tax Laws. He is a
partner at M/s. Rajendra and Company, Chartered Accountants. He is on the Board
of M/s. Shantivijay Jewels Limited, (also member on Audit Committee and
Remuneration Committee), M/s. Asianstar Company Limited, (also member on Audit
Committee, Shareholders Committee and Remuneration Committee), M/s. Steelcast
Limited, (also alternate Chairman of Audit Committee and member on Remuneration
Committee) and Gjewelcraft Limited. He has over the years, developed expertise
in areas such as Direct Taxation, Foreign Exchange Management Law, Financial
Management and Business Restructuring and in Accounting.
Shri Apurva R. Shah does not hold any shares in the Company.
SUBSIDIARY COMPANY
The company does not have any subsidiary company. The company has one
branch office in
CONTINGENT
LIABILITIES
(Rs.
in Millions)
|
Particulars |
31.03.2011 |
31.03.2010 |
|
Bonds issued in favour of the President of India in respect of customs duty on import of machinery & raw materials |
220.582 |
220.582 |
|
Estimated amount of contracts remaining to be executed on capital account and not provided for (Net of advances) |
2.268 |
Nil |
FIXED ASSETS:
Tangible assets
v
Plant
and Machinery
v
Vehicles
v
Furniture
& Fittings
v
Computers
v
Office
Equipments
Intangible
Assets
v
Software
UNAUDITED FINANCIAL RESULTS FOR
THE YEAR ENDED 31.03.2012
(`Rs. in Millions)
|
Particular |
3 Months ended 31.03.2012 |
Previous three
Months ended 31.12.2011 |
Year Ended 31.03.2012 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
Income from Operations |
|
|
|
|
Net Sales/Income from Operations |
52.849 |
50.483 |
221.372 |
|
Total Income from
operations (net) |
52.849 |
50.483 |
221.372 |
|
|
|
|
|
|
Expenditure |
|
|
|
|
(a) Cost
of Raw Material Consumed |
21.580 |
14.138 |
71.989 |
|
(b) Chemicals, Consumables and stores Consumed |
11.672 |
14.909 |
58.566 |
|
(c) Purchase
of Stock-in-trade |
0.000 |
0.000 |
0.000 |
|
(d) Changes
in Inventories of finished goods, work in progress and Stock-in-trade |
4.718 |
(1.962) |
2.276 |
|
(e) Employees
benefit expenses |
12.439 |
9.920 |
43.524 |
|
(f) Depreciation |
2.380 |
2.361 |
8.827 |
|
(g) Power |
4.078 |
3.954 |
17.731 |
|
(h) Other Expenditure |
9.975 |
7.899 |
34.051 |
|
Total Expenses |
66.842 |
51.216 |
236.964 |
|
Profit from Operations
before Other Income, Finance costs and Exceptional item |
|
(0.735) |
(15.592) |
|
Other Income |
0.752 |
0.000 |
1.005 |
|
Profit/ Loss from
Ordinary Activities before Finance costs and Exceptional item |
(13.241) |
(0.735) |
(14.587) |
|
Finance cost |
(0.405) |
(0.330) |
(0.966) |
|
Profit/ Loss from
Ordinary Activities after Finance costs but Exceptional item |
(13.646) |
(1.064) |
(15.553) |
|
Exceptional
item |
(11.840) |
0.000 |
(11.840) |
|
Profit/ Loss from Ordinary Activities
before tax |
(25.486) |
(1.064) |
(27.393) |
|
Tax Expenses |
0.098 |
0.462 |
0.488 |
|
Net Profit/ Loss from Ordinary Activities
after tax |
(25.584) |
(1.526) |
(27.881) |
|
Extraordinary
Items |
0.000 |
0.000 |
0.000 |
|
Net Profit/ Loss for the period |
(25.584) |
(1.526) |
(27.881) |
|
Paid- up
Equity Share Capital (Face value
of the share – Rs. 10) |
48.265 |
48.265 |
48.265 |
|
Reserves
excluding revaluation reserves as per balance sheet of Previous Accounting
Year |
0.000 |
0.000 |
16.077 |
|
Earnings per
share (EPS) -
Basic |
(5.32) |
(0.32) |
(5.80) |
|
- Diluted |
(2.86) |
(0.32) |
(3.34) |
|
|
|
|
|
|
1. Public
shareholding |
|
|
|
|
Number of
Shares |
3490759 |
3490759 |
3490759 |
|
Percentage of Shareholding |
72.61 |
72.61 |
72.61 |
|
2. Promoters
and promoter group shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of Shares |
-- |
-- |
-- |
|
- Percentage of Shares (as a % of the Total Shareholding of
promoter and promoter group) |
-- |
-- |
-- |
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
-- |
-- |
-- |
|
|
|
|
|
|
Non - encumbered |
|
|
|
|
- Number of
Shares |
1317027 |
1316927 |
1317027 |
|
- Percentage of
Shares (as a % of
the total shareholding of promoter and promoter
group) |
100.00 |
100.00 |
100.00 |
|
- Percentage
of Shares (as a % of
the total share capital of the company) |
27.39 |
27.39 |
27.39 |
Note:
1. The company has business in only one segment (i.e. Printed Circuit
Boards)
2. The figures of last quarter are the balancing figures between audited
in respect of the financial year and the published year to date figures upto
the third quarter of the current financial year.
3. The above audited results for the year and last quarter ended
31.03.2012 were approved and taken on records by the Board of Directors their
meeting held on 30th May 2012.
4. Exceptional item represents one time settlements compensation payable
to the workers, who have resigned from services, subsequent to the year end.
|
|
Particulars |
Quarter Ended 31st
March 2012 |
|
B |
Investor
complaints |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the quarter |
Nil |
|
|
Disposed of during the quarter |
Nil |
|
|
Remaining unresolved at the end of the quarter |
Nil |
Standalone Statement of Assets and
Liabilities (Audited)
(Rs.
in Millions)
|
Particulars |
31.03.2012 |
31.03.2011 |
|
|
A. EQUITY AND LIABILITIES |
Unaudited |
Audited |
|
|
1.
Shareholders Funds |
|
|
|
|
a] Share Capital |
48.265 |
48.265 |
|
|
b] Reserves and Surplus |
16.077 |
43.958 |
|
|
Sub-total –
Shareholders’ funds |
64.342 |
92.223 |
|
|
|
|
|
|
|
2. Current Liabilities |
|
|
|
|
a] Trade Payables |
31.467 |
26.915 |
|
|
b] Other current liabilities |
17.131 |
5.666 |
|
|
c] Short Term Provision |
3.578 |
0.000 |
|
|
Sub-total -
Non-current Liabilities |
52.175 |
32.582 |
|
|
TOTAL - EQUITY
AND LIABILITIES |
116.517 |
124.804 |
|
|
|
|
|
|
|
B ASSETS |
|
|
|
|
1. Non-current assets |
|
|
|
|
a] Fixed assets |
32.781 |
29.056 |
|
|
b] Capital work in progress |
0.000 |
2.573 |
|
|
c] Deferred tax assets |
3.242 |
3.453 |
|
|
d] Long term loans and advances |
2.566 |
2.602 |
|
|
Sub-total – Non- current assets |
38.589 |
37.684 |
|
|
|
|
|
|
|
2.
CURRENT ASSETS |
|
|
|
|
|
Inventories |
47.841
|
54.599 |
|
|
Trade Receivables |
20.139
|
22.837 |
|
|
Cash & Bank Balances |
3.856
|
2.569 |
|
|
Short Term loans and advances |
6.092
|
7.116 |
|
Sub-total – Current Assets |
77.928
|
87.120 |
|
|
|
|
|
|
|
TOTAL - ASSETS |
116.517 |
124.804 |
|
AS PER WEBSITE
DETAILS:
COMPANY ASPIRATION
v
Their Aspiration for Fine -Line is to be a Performance
Drivern, Reliable, Continuously Improving, High Quality, Medium Volume independent
manufacturer, exporter" Pleasing customer 100%" in the complex High
Count Multilayer PCB.
v
To achieve true and sustainable MIL Approval &
ISO 9001:2000.
v
To have a manufacturing base in each of the major
market served by the company.
To complete in the world markets by continuously improving capability to
handle higher PCB complexity (thinner lines and smaller holes) and gear up for smaller
lot sizes and shorter lead times and border range of materials and finishes all
at a continuously reducing selling price.
STRUCTURE AND GUIDING PRINCIPLES
A) Capital Adequacy :
v
Do business on cash flow and No liabilities basis
using realized Internal Accruals for Capital expenditure and Equity Buy backs.
v
Perpetually retain the financial Reserve for
opportunities by having a Liquid Balance Sheet and keep all expense provisions
supported by fixed deposits.
v
Creditors only for Capital Expenditure.
B) Asset Quality :
I) Manpower :
• Motivated and involved Management Team professionally working with
passion and committed for the long haul to fiercely complete and achieve ever
increase goals.
• Multiskilled and Multifunctional abilities at all levels.
• Open and clear spoken and written communication, internal and
external.
• Complete mutual support, no follow up required and to ensure each
person's output gives boost to the other.
• Clear job clarity and career path with half yearly reviews and annual
appraisals.
• Constant training and grooming by each person to there team members.
II) Manufacturing :
• Final yields of 98% on SS, 96% on DS and 94% on MLB and FPY of 85%.
• OTDD of 99% by value and area and max 1 day late on no more than 1% of
the orders by area.
• Cycle time of DS 7 days, 4L 10 days, 6L 14 days and continuously
reducing.
• SOP/QA/WRP in every area and constantly update them.
• Judiciously and continuously invest and implement "LEAN
MANUFACTURING" concepts and reduce rework, inspection, interim process
steps and achieve quick-change overs.
• Constantly search for good used equipments.
• Smooth Factory and Departmental layout for convenient material
movement.
• Achieve average age of key of machines to be under 6 years in 3 years.
• Good clean Housekeeping & Environment friendly operations, review
factory security annually.
III) Material :
• Inventory level of 25 days
• Minuscule Import and Export Clearing Charges.
• Annual purchase cost reduction of 10% in "A" material and
15% in "B" and "C" material.
• Continuously develop new vendors and AMC contractors.
IV) Marketing
:
• A process in place to get through customer insight, to develop high
value, added customer offerings and keep up through customer interaction.
• A wide customer base with top 4 customers to account for only 25% of
sales and no customer more than 8%.
• 2 months order backlog.
• Constantly generate new MLB customers Prospects and contacts and
access better priced markets and get timely paying customers through an active
sales force and representatives network.
V) Accounts
:
• Capitalize only machines.
VI) R & D :
• Continuously absorb and consolidate technology and offer new
"Golden" products and new finishes and move up the PCB layer count to
reach a 60% Gross Margin.
• Clear Technology Road map for rolling two years.
C) Management Philosophy :
• Earn daily, remain austere and transparent and govern with values,
financially conservative and low profile, never compromise on quality, have
clarity of role and accountability and measurable milestones and goals, follow
best practices, open office, meticulous filing, detailed MIS, no work backlog,
track every panel, rupee and man hour, perform to budgets with good internal
controls and internal audit.
• True board of directors' participation with board package sent 7 days
prior to quarterly board meetings.
• To become more web enabled - web site, Online status, Engineering Data
transfer and a less paper environment.
• Well - defined forums for all other areas.
• No employee will accept nor ask for any financial consideration/gifts
for personal use from any Agency.
• To have a work place that is pleasant and gives an enjoyable working
experience.
D) Earning
Capability :
• Work towards putting in place a Sustainable Competitive
Advantage (of product and of serviceable markets) than can be executed in the
coming years to ensure sustainable Annual Net Profit growth of 60%.
E) Liquidity :
1. Timely paying customers and receivables to be under 30 days.
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. 55.24 |
|
|
1 |
Rs. 85.93 |
|
Euro |
1 |
Rs. 69.82 |
INFORMATION DETAILS
|
Report Prepared
by : |
BVA |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
29 |
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.