Business
information report
1. Summary Information
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Country |
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Company Name |
J K |
Principal Name 1 |
Mr. Hari Shankar
Singhania |
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|
Status |
Satisfactory |
Principal Name 2 |
Mr. Raghupati
Singhania |
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|
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Registration # |
21-019430 |
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Street Address |
7, |
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Established Date |
14.02.1951 |
SIC Code |
-- |
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Telephone# |
91-33-22484198 |
Business Style 1 |
Manufacturing |
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Fax # |
91-33-22481641 |
Business Style 2 |
-- |
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Homepage |
Product Name 1 |
Automotive Tyres |
||||
|
# of employees |
4000
[Approximately] |
Product Name 2 |
Tubes and Flaps |
|||
|
Paid up capital |
Rs. 410,600,000/- |
Product Name 3 |
Pharmaceuticals
and Cane Sugar. |
|||
|
Shareholders |
Promoter Group-47.35% Public shareholding-52.66% |
Banking |
Bank of Corporation Bank |
|||
|
Public Limited Corp. |
YES |
Business Period |
61 Years |
|||
|
IPO |
YES |
International Ins. |
- |
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|
Public |
YES |
Rating |
Ba (52) |
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|
Related
Company |
||||||
|
Relation
|
Country
|
Company
Name |
CEO |
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|
Associates |
-- |
Valiant Pacific LLC. (VPL) |
-- |
|||
|
Note |
-- |
|||||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
17,265,000,000 |
Current Liabilities |
12,424,900,000 |
|
Inventories |
000 |
Long-term Liabilities |
13,180,300,000 |
|
Fixed Assets |
14,163,100,000 |
Other Liabilities |
2,490,100,000 |
|
Deferred Assets |
000 |
Total Liabilities |
28,095,300,000 |
|
Invest& other Assets |
3,814,400,000 |
Retained Earnings |
6,736,600,000 |
|
|
|
Net Worth |
7,147,200,000 |
|
Total Assets |
35,242,500,000 |
Total Liab. & Equity |
35,242,500,000 |
|
Total Assets (Previous Year) |
27,877,000,000 |
|
|
|
P/L Statement as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Sales |
48,109,200,000 |
Net Profit |
613,200,000 |
|
Sales(Previous yr) |
36,777,000,000 |
Net Profit(Prev.yr) |
1,634,700,000 |
MIRA
INFORM REPORT
|
Report Date : |
19.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
J K |
|
|
|
|
Registered
Office : |
7, |
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|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
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|
|
|
Date of
Incorporation : |
14.02.1951 |
|
|
|
|
Com. Reg. No.: |
21-019430 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.410.600 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L67120WB1951PLC019430 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
JDHJ01475F /
CALJ01643F |
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|
|
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PAN No.: [Permanent Account No.] |
AAACJ6716P |
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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
: |
Manufacturing of
Automotive Tyres, Tubes and Flaps, Pharmaceuticals and Cane Sugar. |
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|
|
|
No. of Employees
: |
4000
[Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (52) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 28500000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
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|
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|
Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed company having good track.
Directors are reported to be experienced and respectable businessman. There appears huge dip in the profitability of the company. However,
trade relations are reported as decent. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered good for business dealings at usual
trade terms and conditions. |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
|
|
|
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered
Office : |
7, |
|
Tel. No.: |
91-33-22484198 /
22486181 |
|
Fax No.: |
91-33-22481641 |
|
E-Mail : |
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Website : |
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Administrative/
Head Office : |
‘Link House’, 3,
Bahadur Shah Zafar Marg, |
|
Tel. No.: |
91-11-23311112-7 |
|
Fax No.: |
91-11-23322059/
23716205 |
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Plants
Locations : |
|
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|
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Branch Office
: |
3/Fl, Gulab
Bhavan, 3 Bahadur Shah Jafar Marg, |
DIRECTORS
|
Name : |
Mr. Hari Shankar
Singhania |
|
Designation : |
Chairman |
|
Qualification : |
B.Sc., F. Inst. D. ( |
|
Date of Joining : |
25/03/1974 |
|
Other Directorships : |
|
|
|
|
|
Name : |
Mr. Raghupati
Singhania |
|
Designation : |
Vice Chairman and
Managing Director |
|
|
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|
Name : |
Mr. Bharat Hari
Singhania |
|
Designation : |
Managing Director |
|
|
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|
Name : |
Mr. Arvind Singh
Mewar |
|
Designation : |
Director |
|
Qualification
: |
B. A. (English
Literature, Economics and Political Science), Hotel Management Ctheirse (U.K) |
|
Date of
Joining : |
07/04/1975 |
|
Other
Directorships : |
|
|
|
|
|
Name : |
Mr. Bakul Jain |
|
Designation : |
Director |
|
|
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|
Name : |
Mr. Ashok U.
Katra |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Kalpataru
Tripathy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vikrampati
Singhania |
|
Designation : |
Deputy Managing
Director |
|
|
|
|
Name : |
Mr. Swaroop Chand
Sethi |
|
Designation : |
Whole Time
Director |
|
|
|
|
Name : |
Mr. Arun K.
Bajoria |
|
Designation : |
President and
Director |
KEY EXECUTIVES
|
Name : |
Mr. P. K. Rustagi |
|
Designation : |
Vice President (legal) and Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 31.03.2012)
|
Names of Shareholders |
No.
of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter
and Promoter Group |
|
|
|
|
|
|
|
|
715161 |
1.74 |
|
|
18724320 |
45.60 |
|
|
19439481 |
47.34 |
|
|
|
|
|
Total shareholding of Promoter
and Promoter Group (A) |
19439481 |
47.34 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
135062 |
0.33 |
|
|
10463 |
0.03 |
|
|
285520 |
0.70 |
|
|
1903294 |
4.64 |
|
|
1413884 |
3.44 |
|
|
3748223 |
9.13 |
|
|
|
|
|
|
4866622 |
11.85 |
|
|
|
|
|
|
5624386 |
13.70 |
|
|
1904847 |
4.64 |
|
|
5475787 |
13.34 |
|
|
181626 |
0.44 |
|
|
1300 |
-- |
|
|
1801025 |
4.39 |
|
|
3487500 |
8.49 |
|
|
100 |
-- |
|
|
4236 |
0.01 |
|
|
17871642 |
43.53 |
|
Total Public shareholding (B) |
21619865 |
52.66 |
|
Total (A)+(B) |
41059346 |
100.00 |
|
|
|
|
|
(C)
Shares held by Custodians and against which Depository Receipts have been
issued |
- |
- |
|
|
|
|
|
Total
(A)+(B)+(C) |
41059346 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of Automotive
Tyres, Tubes and Flaps, Pharmaceuticals and Cane Sugar. |
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|
Products : |
|
PRODUCTION STATUS (AS ON 31.03.2011)
|
PARTICULARS |
UNITS |
INSTALLED CAPACITY PER ANNUM |
PRODUCTION |
|
QTY. |
QTY. |
||
|
Automobile
Tyres |
Lac
Nos. |
98.61 |
85.98 |
|
Automobile Tubes |
Lac Nos. |
13.82 |
54.62 |
|
Automobile Flaps |
Lac
Nos. |
-- |
24.47 |
GENERAL INFORMATION
|
No. of Employees : |
4000 [Approximately] |
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Bankers : |
§
Bank of §
Corporation Bank §
IDBI Bank Limited §
Indian Bank §
Punjab National Bank §
State Bank of §
State Bank of §
State Bank of §
Syndicate Bank §
The Federal Bank Limited §
UCO Bank |
||||||||||||||||||||||||||||||||||||||||||
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Facilities : |
NOTES: 1. (a) 63389 Zero Coupon Non-Convertible Debentures (ZCNCDs) of `
10,000 each issued to a Bank, outstanding as at 31.03.2011 Nil, were secured
by first pari passu charge created on the specified property of Gujarat and movable
and immovable properties of Company’s Plants in Rajasthan and Madhya Pradesh,
both present and future. These debentures were redeemed at premium based on a
YTM of 13.5% p.a. upto 30.06.2005 and a YTM of 9% p.a. w.e.f. 01.07.2005 with
quarterly rests in five installments at the end of 3 to 7 years from the
respective dates of payment of allotment money / call money. (b) 12856 Zero Coupon Non-Convertible Debentures (ZCNCDs) of ` 10,000
each issued to a Bank, outstanding as at 31.03.2011 Nil, were secured by
first pari passu charge created on the specified property of Gujarat and
movable and immovable properties of Company’s Plants in Rajasthan and Madhya
Pradesh, both present and future. These debentures were redeemed at premium
based on a YTM of 13.5% p.a. with quarterly rests in five installments at the
end of 3 to 7 years from the respective dates of payment of allotment money /
call money. (c) 27353 Zero Coupon Non-Convertible Debentures (ZCNCDs) of ` 10,000
each issued to a Bank, outstanding amount ` 21.200 millions., are secured by
first pari passu charge created on the specified property of Gujarat and
movable and immovable properties of Company’s Plants in Karnataka, both
present and future. These debentures are redeemable at premium based on a YTM
of 13.75% p.a upto 30.06.2005 and a YTM of 9% p.a. w.e.f. 01.07.2005 with
quarterly rests in five installments at the end of 3 to 7 years from the
respective dates of payment of allotment money / call money. (d) 9057 Zero Coupon Non-Convertible Debentures (ZCNCDs) of ` 10,000
each issued to Financial Institutions, outstanding amount ` 0.70 cr., are
secured by first pari passu charge created on the specified property of
Gujarat and movable and immovable properties of Company’s Plants in
Karnataka, both present and future. 2656 ZCNCDs are redeemable at premium
based on a YTM of 13.75% p.a. and 6401 ZCNCDs are redeemable at premium based
on a YTM of 13.75% p.a. reduced to a YTM of 9% p.a. w.e.f. various dates
during January, 2006 to March, 2006 with quarterly rests in five installments
at the end of 3 to 7 years from the respective dates of payment of allotment
money / call money. 2. Term Loan of ` 400.000 millions from a Bank is secured by a first
pari passu charge created on movable and immovable properties of Company’s
Plant in Madhya Pradesh, both present and future. 3. Term Loans from Financial Institutions and Banks outstanding as at
31.03.2011 Nil, were secured by a first pari passu charge created on movable
and immovable properties of the Company’s Plants in Rajasthan and Madhya
Pradesh, both present and future. Loan outstanding from a Bank as at
31.03.2011 Nil (comprised in Term Loans from Banks) was also secured by
exclusive hypothecation of specified Book Debt. 4. Term Loans aggregating ` 52.500 millions. from Banks are secured by
a first pari passu charge created on movable and immovable properties of
Company’s Plants in Rajasthan, Madhya Pradesh and Karnataka, both present and
future. 5. Term Loans from Financial Institutions and Banks outstanding as at
31.03.2011 Nil were secured by a first pari passu charge created on movable
and immovable properties of Company’s Plants in Karnataka, both present and
future. 6. Term Loans aggregating ` 1731.600 millions from Banks are secured
by a first pari passu charge created on movable and immovable properties at a
Company’s Plant in Karnataka, both present and future and also secured by way
of hypothecation created / to be created on the specified movable assets at
Company’s Plants in Rajasthan, Madhya Pradesh and Karnataka. 7. Term Loan of ` 122.500 millions from a Bank is secured by an
exclusive charge by way of hypothecation of specified assets at Company’s
Plants in Rajasthan, Madhya Pradesh and Karnataka. 8. Term Loan of ` 1.100 millions from a Bank and ` 1.900 millions from
a body corporate are secured by hypothecation of specified vehicles. 9. Term Loan of ` 735.500 millions from a body corporate will be
secured by way of hypothecation on the specified assets at a Company’s Plant
in Karnataka. 10. Other Loans from banks represent Working Capital borrowings
aggregating 4172.400 millions secured by hypothecation of stocks and book
debts etc. of the Company, both present and future (except specified book
debt exclusively hypothecated to a bank against Term Loan) and second charge
created on movable and immovable properties of the Company’s Plants in
Rajasthan, Madhya Pradesh and Karnataka. 11. Term Loans carrying first pari passu charge on the movable and
immovable properties, are subject to prior charge of banks on stocks and book
debts for working capital borrowings. 12. (a) Deferred Sales Tax Loan aggregating ` 298.800 millions from
Madhya Pradesh State Industrial Development Corporation Limited is secured by
first available charge on movable and immovable properties created subject to
charges referred to in note 1(a and b), 2, 3, 4, 6 and 7 on movable and
immovable properties of Company’s Plant in Madhya Pradesh. (b) Deferred Sales Tax Loan aggregating ` 42.300 millions from
Government of Karnataka subordinated to loans from Financial Institutions, is
secured by a second charge on immovable properties of Company’s Plant in
Karnataka. |
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Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Lodha and Company Chartered
Accountants |
|
|
|
|
Memberships : |
Confederation of
Indian Industry |
|
|
|
|
Associates : |
§ Hari Shankar Singhania Elastomer and Tyre Research Institute (HASETRI) §
Valiant Pacific LLC. (VPL) |
|
|
|
|
|
§
JK Lakshmi Cement
Limited. (JKLC) § Fenner India Limited. (FIL) (w.e.f. 01.06.2010) |
|
|
|
|
Subsidiaries : |
§
J. K. International Limited §
J. K. Asia Pacific Limited §
J. K. Asia Pacific (S) Pte. Limited
(Subs. of J. K. Asia Pacific Limited) §
Lankros Holdings Limited §
Sarvi Holdings Switzerland AG. (Subs.
of Lankros Holdings Limited) §
JK Tornel, S.A. De C.V. - (erstwhile §
(JKTSA - Subs. of Sarvi Holdings Switzerland AG.) §
§
Comercializadora América Universal, S.A. De C.V.* §
Compañía Hulera Tacuba, S.A. De C.V.* §
Compañía Hulera Tornel, S.A. De C.V. (CHT)* §
Compañía Inmobiliaria Norida, S.A. De C.V.* §
General de Inmuebles Industriales, S.A. De C.V.* §
§
Hules y |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
125,000,000 |
Equity shares |
Rs.10/- each |
Rs.1250.000 Millions |
|
700,000 |
14% Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs. 70.000 Millions |
|
4,800,000 |
Preference Shares |
Rs.100/- each |
Rs. 480.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 1800.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
41,059,346 |
Equity shares |
Rs.10/- each |
Rs.410.600
Millions |
|
|
|
|
|
NOTE:
Includes 33,750 Bonus shares by way of
capitalization of reserves and 8651639 shares issued to the shareholders of
erstwhile Vikrant Tyres Limited. Pursuant to the scheme of arrangement and
amalgamation without payment being received in cash.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 (12 Months) |
31.03.2010 (12 Months) |
31.03.2009 (18 Months) |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
410.600 |
410.600 |
410.600 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
6736.600 |
6523.600 |
5347.700 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
7147.200 |
6934.200 |
5758.300 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
7586.800 |
4333.300 |
8503.100 |
|
|
2] Unsecured Loans |
5593.500 |
4268.500 |
2514.900 |
|
|
TOTAL BORROWING |
13180.300 |
8601.800 |
11018.000 |
|
|
DEFERRED TAX LIABILITIES |
1448.600 |
1391.000 |
1116.700 |
|
|
|
|
|
|
|
|
TOTAL |
21776.100 |
16927.000 |
17893.000 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
14163.100 |
13527.700 |
11688.800 |
|
|
Capital work-in-progress |
2878.800 |
1320.200 |
2401.900 |
|
|
|
|
|
|
|
|
INVESTMENT |
935.600 |
902.400 |
897.500 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
|
|
|
Sundry Debtors |
14883.100
|
10107.200
|
8990.500
|
|
|
Cash & Bank Balances |
|
|
|
|
|
Loans & Advances |
2381.900
|
2019.500
|
1962.500
|
|
Total
Current Assets |
17265.000
|
12126.700
|
10953.000
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
6629.600
|
6483.700
|
4688.000
|
|
|
Other Current Liabilities |
5795.300
|
3395.700
|
2814.600
|
|
|
Provisions |
1041.500
|
1070.600
|
597.700 |
|
Total
Current Liabilities |
13466.400
|
10950.000
|
8100.300 |
|
|
Net Current Assets |
3798.600
|
1176.700
|
2852.700
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
52.100 |
|
|
|
|
|
|
|
|
TOTAL |
21776.100 |
16927.000 |
17893.000 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 (12 Months) |
31.03.2010 (12 Months) |
31.03.2009 (18 months) |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
48109.200 |
36777.000 |
49036.100 |
|
|
|
Other Income |
208.600 |
147.200 |
198.000 |
|
|
|
TOTAL (A) |
48317.800 |
36924.200 |
49234.100 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Material and Manufacturing |
39891.300 |
25540.200 |
38062.200 |
|
|
|
Employee Cost |
2718.000 |
2539.800 |
2949.900 |
|
|
|
(Increase)/ Decrease in Finished Goods |
(1482.000) |
726.700 |
359.200 |
|
|
|
Freight and Transportation |
1117.300 |
946.400 |
1489.000 |
|
|
|
Transfer from Capital Reserve |
(234.400) |
(234.700) |
(351.400) |
|
|
|
Other Expenditure |
3299.000 |
2968.200 |
3243.300 |
|
|
|
TOTAL (B) |
45309.200 |
32486.600 |
45752.200 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3008.600 |
4437.600 |
3481.900 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
946.500 |
886.600 |
1577.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2062.100 |
3551.000 |
1904.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1145.400 |
1094.200 |
1484.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
916.700 |
2456.800 |
419.100 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
303.500 |
822.100 |
228.600 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
613.200 |
1634.700 |
190.500 |
|
|
|
|
|
|
|
|
|
Less |
Tax Provision For Earlier Year |
0.000 |
2.900 |
0.000 |
|
|
|
|
|
|
|
|
|
Add |
Debenture
Redemption Reserve no Longer Required |
38.500 |
56.300 |
133.600 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
782.700 |
272.300 |
251.100 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Debenture Redemption Reserve |
3.800 |
10.100 |
73.200 |
|
|
|
General Reserve |
800.000 |
1000.000 |
100.000 |
|
|
|
Proposed Dividend |
123.200 |
143.700 |
110.900 |
|
|
|
Corporate Dividend Tax |
20.000 |
23.900 |
18.800 |
|
|
BALANCE CARRIED
TO THE B/S |
487.400 |
782.700 |
272.300 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of exports |
4180.400 |
3572.300 |
7481.400 |
|
|
|
Royalty |
37.400 |
42.000 |
42.200 |
|
|
|
Interest Income |
11.200 |
22.900 |
0.000 |
|
|
|
Others |
24.700 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
4253.700 |
3637.200 |
7523.600 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
8890.500 |
7525.100 |
9704.300 |
|
|
|
Capital Goods |
807.500 |
512.800 |
1680.600 |
|
|
|
Spares |
39.800 |
39.100 |
73.800 |
|
|
TOTAL IMPORTS |
9737.800 |
8077.000 |
11458.700 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
14.93 |
39.74 |
55.20 |
|
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 |
14130.800 |
12883.300 |
14229.400 |
15235.500 |
|
Total Expenditure |
13485.600 |
12609.400 |
13504.600 |
14056.900 |
|
PBIDT (Excl
OI) |
645.200 |
273.900 |
724.800 |
1178.600 |
|
Other Income |
1.500 |
1.500 |
1.500 |
11.000 |
|
Operating
Profit |
646.700 |
275.400 |
726.300 |
1189.600 |
|
Interest |
374.100 |
385.800 |
451.800 |
473.100 |
|
Exceptional
Items |
0.000 |
(440.900) |
(381.800) |
811.600 |
|
PBDT |
272.600 |
(551.300) |
(107.300) |
1528.100 |
|
Depreciation |
244.800 |
246.700 |
261.700 |
260.900 |
|
Profit
Before Tax |
27.800 |
(798.000) |
(369.000) |
1267.200 |
|
Tax |
18.200 |
(248.100) |
(155.900) |
403.800 |
|
Provision
and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Reported PAT |
9.600 |
(549.900) |
(213.100) |
863.400 |
|
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 |
9.600 |
(549.900) |
(213.100) |
863.400 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 (12 Months) |
31.03.2010 (12 Months) |
31.03.2009 (18 months) |
|
PAT / Total Income |
(%) |
1.27
|
4.43
|
0.39
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.90
|
6.68
|
0.85
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.92
|
9.58
|
1.85
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.13
|
0.35
|
0.07
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.73
|
2.82
|
3.32
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.28
|
1.11
|
1.35
|
LOCAL AGENCY FURTHER INFORMATION
|
Check list by info
Agents |
Available in Report (Yes/ No) |
|
Year of Establishment |
Yes |
|
Locality of the Firm |
Yes |
|
Constitution of the Firm |
Yes |
|
Premises details |
No |
|
Type of Business |
Yes |
|
Line of Business |
Yes |
|
Promoter’s Background |
Yes |
|
No. of Employees |
No |
|
Name of Person Contacted |
No |
|
Designation of Contact person |
No |
|
Turnover of Firm for last three years |
Yes |
|
Profitability for last three years |
Yes |
|
Reasons for variation <> 20% |
--------- |
|
Estimation for coming financial year |
No |
|
Capital in the business |
Yes |
|
Details of sister concerns |
Yes |
|
Major Suppliers |
No |
|
Major Customers |
No |
|
Payments Terms |
No |
|
Export/ Imports Details (If applicable) |
No |
|
Market Information |
------------ |
|
Litigations that the firm/ Promoters Involved in |
------------ |
|
Banking details |
Yes |
|
Banking Facility Details |
Yes |
|
Conduct of the Banking Account |
------------- |
|
Buyer visit details |
------------ |
|
Financials, if provided |
Yes |
|
Incorporation details is applicable |
Yes |
|
Last Accounts filed at ROC |
Yes |
|
Major Shareholders, if available |
No |
OPERATIONS
Turnover for the year was Rs. 52680.000 Millions registering a growth of 33% over the previous year. Operating profit for the year was Rs. 2770.000 Millions and Profit Before Tax was Rs. 920.000 Millions.
Automobile Sales across the sectors continued to grow robustly resulting in higher tyre demand. Spiraling increase in the prices of raw material and their availability is a matter of concern for the tyre industry. There was an unprecedented increase in the prices of natural rubber and other key raw materials. The prices of natural rubber almost doubled during the year. This along with increase in other input costs impacted the profitability of the Company. Several measures to improve all round operations and cost efficiencies were undertaken. However, the revision in selling prices could not keep pace with the abnormal increases in costs.
JK Tornel -
Despite severe cost pressures, operations contributed to the profitability of the Company.
With the Indian economy growing at a healthy pace and automobile industry making rapid strides, the demand of tyres is expected to increase sizably. The Company has undertaken several expansion projects to meet the rising demand for its tyres.
PERFORMANCE OF THE
COMPANY
During the year,
the Company recorded its highest ever sales by crossing Rs. 50000.000 millions
sales. The raw material costs have gone up significantly, which have been
partly mitigated through increased all round efficiencies and other measures
HISTORY:
Subject the flagship company of the Hari Shankar Singhania
Group is one of the leading automotive tyre manufacturers in
Post demerger and also the completion of capital restructuring at J K
Industries pushed the company to 16th largest tyre manufacturer in the world. The
merger of JK Tyre and Vikrant Tyres made JKI to cross turnover of over
Rs.20000.000 Millions in the year 2003.
Further the company which made an 51% strategic acquisition of Vikrant tyres in
1997 from Karnataka Government has completed the modernization and expansion of
Vikrant tyres. Late in 2003 Vikrant Tyres was amalgamated with JKI.
Subject manufacturer tyres and tubes, and steel- belted radial tyres, under the
brand name JK Tyres. For the manufacture of tyres subject has technical
collaboration with General Tire International, US. Apart from General tyres the
company has technical collaboration with International, US and Continental AG,
Subject will become the second largest player in the their-wheeler tyres
segment on combined capacity basis(JK tyres + vikrant tyres). The 'Rubber and
Plastic New,
Subject introduced the dual contact high traction and high performance
'Aquasonic' Steel Radial Car Tyre. It also developed
During the year 2000, in the truck and bus tyre segments - 'Tanker Lug' and
'Jet Haul' have been introduced as specific application products. In LCV
category 'WL 407' tyre has been developed and 'Ultima-XP' car radial tyre has
been developed with value-added features.
AS part of its efforts towards enhancing export volumes of tyres, JKI through a
wholly-owned foreign subsidiary tied up with a Chinese company for stheircing
light commercial vehicle (LCV) bias tyres for the export markets. It has opened
a new office at
The company has diversified into hybrid and high-yielding seeds by setting up J
K Agri-genetics to produce cereals, seeds, pulses, etc. The company's sugar
operation(JK Sugars) is located in UP and it has set up a 3120 TCD sugar
project at Meerganj, UP.
Subject which has also diversified into pharma business and set up facility to
produce of 7-ADCA and semi synthetic cephalosporins at Gajraula, UP. The plant
which started commercial production of Feb 1995. Later the company has hived
off its pharma business to JK Drugs and Pharmaceuticals (JKDPL). Subsequently
JKI has divested its stake in JKPDL to TEVA Pharma of Israel thus existing from
pharma sector.
In Jan.'93, it came out with a rights issue to part-finance the expansion of radial
tyre plant, the balancing / expansion scheme of the Banmore tyre plant. The
money so raised from the rights issue in Jan 1993 is also will be utilized for
the 7-ADCA and semi-synthetic cephalosporins project, the pig iron project and
the rehabilitation of the Central Pulp Mills Limited, (which was done in
association with JK Corp)
The company has their subsidiary investment companies namely Hansdeep
Investment, Hidrive Finance, Panchanan Investment, and Radial Finance. It also
has 3 fully-owned subsidiaries abroad -- J K International, UK, J K Asia
Pacific, Hong Kong and JK Asia Pacific(S) Pte Limited. The company, along with
TIDCO, has promoted J K Pharma Chem for the manufacture of penicillin-G.
Company have announced the start of their OTR tyre production. These tyres will be produced at theur new plant in Maysore. Company have invested Rs.1200.000 Millions in this project ad have also signed an agreement with BEML to supply these tyres for their heavy duty machines. These tyres will cost upto Rs.0.200 Million each and will be used in heavy earth moving and mining equipment.
JK
In face of the challenges in the year, the Company made significant strides.
• JK Tyre continues to be
• JK Tyre produced 1st time ever in the country, Ultra Large OTR Tyre of 12 ft height, weighing 3.6 Tons. This has been delivered to BEML - their prime customer for these tyres. This has reinforced their leadership in the OTR segment.
• Capacity expansion of Passenger Car Radials by 0.534 Million tyres p.a. became fully operational.
• JK Tyre has been ranked 75th amongst
EXPANSION PROJECTS
The Company has undertaken several expansion projects to meet the growing demand forits tyres.
i) Truck Radials
As reported last year, the expansion project for further
enhancing the capacity to 1.000 Million tyres at the existing facility in
ii) Passenger Car Radials (PCR)
Project for enhancing Car Radial capacity by 0.534 Million p.a. at Company’s Banmore Tyre Plant has been completed during the year.
iii) Off the Road Tyres (OTR)
The expansion of OTR capacity was completed during the year which has enabled the Company to enhance its OTR range. Ultra Large OTR tyres and their supplies have commenced. This further reinforced the Company’s leadership position in the OTR market, with highest market share.
NEW GREEN SITE
PROJECT
Construction at the state-of-the-art radial tyre facility near Chennai commenced during the year. This facility slated to produce 25 Lac Car Radial tyres and 2 lac Truck / BusRadials per annum, is expected to go on stream during the current year. Financing for this project has already been tied up.
With the completion of the above projects, the turnover of the Company is expected to increase significantly in the years ahead and reinforce JK Tyre’s standing in the TBR and Car radial segments.
JK TREAD
Retreading
services under the brand ‘JK Treads’ provides end-to-end solutions to the
customers and act as an enabler to derive enhanced value from Company’s
commercial tyres, more so JK Truck / Bus radials. Large number of franchises
have been appointed across the country for retreading both bias and radial
truck tyres using JK Treads. Steps are underway to double the retread capacity
to meet the growing demand for these high quality treads.
EXPORT
The Company’s
export at ` 4180.000 millions was on back of the revival in the demand outlook
in the international markets from the lows of the previous year.
JK Tyre enjoys
premium brand status in various international markets including the
MOTORSPORTS
As is well known
that JK Tyre has been promoting motorsports in
JK TORNEL
At JK Tornel
Plants in
DIRECTORS
Shri O.P. Khaitan
and Shri Bakul Jain retire by rotation and being eligible offer themselves for
re-appointment at the Annual General Meeting. The Board of Directors appointed
Shri Kalpataru Tripathy, as an Additional Director pursuant to Section 260 of
the Companies Act, 1956 with effect from 1st October 2010 on the
Board of the Company. In terms of Section 260 of the said Act, Shri Tripathy
will hold office as a Director upto the date of the ensuing Annual General
Meeting. The Company has received a notice in writing from a member proposing
candidature of Shri Tripathy for the office of a Director, liable to retire by
rotation. The Board recommends appointment of Shri Tripathy as a Director.
IDBI Bank Ltd.
nominated Shri Ashok U. Katra, on the Board of the Company w.e.f. 1st November
2010, in place of Dr. T.K. Mukhopadhyay. Shri G.B. Pande, representative of
Life Insurance Corporation of
MANAGEMENT
DISCUSSION AND ANALYSIS
OVERVIEW
The Indian economy has been on the move with GDP growing at around 8.5%. Some sectors registered lower growth especially with industrial production slowing down in the second half of the year, while Agricultural output is on the upswing. However, inflation remains a cause of worry. Various initiatives taken by the Government to check inflation are yielding some results though impacting growth. Steep increase in commodity prices is a matter of great concern to the entire Industry. Recent global happenings has led to a spiraling rise in the price of crude and other derivatives, adversely affecting the economy as a whole.
AUTOMOTIVE INDUSTRY
The Automotive sector has performed well with an overall growth of 27%. Production of trucks and buses increased by 38% and that of passenger cars by 28%. In the last six years almost 12 million cars have been added to the Indian Roads. All this has been driving tyre demand.
The Tyre Industry’s combined turnover will be almost Rs.
30,000 Crores during 2010-11. While top line growth has been achieved, the greatest
concern during the year has been the unprecedented increase in input costs,
especially that of natural rubber, owing to growing global demand and
inadequate increase in production. This has impacted the profitability of the
industry, as tyre prices have not kept pace with the rising costs. There has
been a significant increase in the import of both commercial and passenger
tyres in
Globally, radialisation in Truck tyres exhibited steady growth and is currently estimated at 75% across the world. This has led to contraction in the size of the market for Bias tyres, thus intensifying competition in this segment. Among the many achievements are:
• A growth of 33% in turnover to ` 5268 Crores from Indian
operations and consolidated turnover of 6421 Crores (US $ 1.4 Billion)
including JK
• JK Tyre continues to be
• JK Tyre produced, for the 1st time in the country, Ultra Large OTR Tyre of 12 ft height, weighing 3.6 Tons. This has been delivered to BEML - their prime customer for these tyres. This has reinforced their leadership in the OTR segment.
• The Company has been awarded “2010 TPM Excellence Award”
by JIPM (Japan Institute of Plant Maintenance),
• In its largest Motorsport endeavour, JK Tyre has acquired the title rights of renowned World Series ‘Formula BMW Pacific’ and will now be known as “JK Racing Asia Series”, and the cars will be christened “Formula JK Tyre Pacific”.
• JK Tyre has been recognised as Power Brand and ranked among the top 200 most valuable Brands in the country.
COMMERCIAL TYRES
Commercial tyres
segment comprising of Truck/Bus Bias and Radial and LCV/SCV Bias and Radial
account for 81% of Company’s turnover. JK Tyre continues to be a leading player
across these segments.
TRUCK BIAS
JK Tyre sales grew
by 15% in the competitive domestic Truck Bias segment as against the market
degrowth by 4.5%. In this segment, a strategic thrust has been made on
increasing the sales of Hi-performance tyres like Jet Extra, Jet One and Jet R
Miles. Extensive communication and customer centric activities have been
conducted for these tyres, across the target markets.
TRUCK/BUS RADIAL
JK Tyre continues
to drive the radial revolution in the truck/bus segment in
LIGHT COMMERCIAL VEHICLE
In the LCV segment
JK Tyre products continue to gain larger acceptance with the consumers. ‘Mera
Sapna Contest 2010’, an annual painting competition for the children of LCV
drivers and owners, was organized culminating in a National Contest. This
proved to be great motivator and helped build close relationship with
customers.
In the fast
growing Small Commercial Vehicle (SCV) Segment, JK Tyre is the market leader
and has significantly increased volumes, as well as, widened its product
offerings, in line with customer needs.
PASSENGER CAR RADIAL
In the passenger
car radial segment JK Tyre makes every drive a delight for millions of happy
customers across
As a part of
customer engagement programme, a customer care campaign covering 2 lac
customers was conducted in Mumbai. Family rallies were organised across the
country in several cities, which enabled close bonding with the end consumers
and their families. The retail network was further strengthened with the
opening of fifteen new ‘Steel Wheels’. Today 125 such outlets are operational
in 75 cities contributing a significant portion of PCR sale.
FARM
In the Farm Tyre
segment, as a part of marketing thrust, JK Tyre participated in several Kisan Melas
in U.P., Andhra Pradesh, Rajasthan and Haryana and also received recognition in
these agricultural fairs.
OFF THE ROAD TYRES (OTR)
JK Tyre continues
to be the dominant player with the highest market share in this segment. It
offers a wide range from 1200.24 to newly launched 40.00 -57 an Ultra large OTR
Tyre.
OEM and INSTITUTIONAL BUSINESS
Leading Automotive
Manufacturers continue to repose their confidence in JK Tyre which continues
to be preferred
partner to Maruti Suzuki, Tata Motors, Ashok Leyland, Mahindra and Mahindra,
Eicher, Force Motors, General Motors, Volkswagen, Fiat, TAFE, Swaraj Mazda,
John Deere, AMW etc. As mentioned above, a number of new cars were exclusively
launched on JK Tyres in addition to several other launches on JK Tyres.
JK TREAD BUSINESS
As a strategy JK
Tyre entered the retread business to produce precured tread rubber and allied
materials. Around 100 franchises in eight regions across the country have been
appointed for retreading of both bias and truck radial tyres using JK Treads.
Good response has been received from the market, with sales reaching high
levels of tread rubber, in the very first year of operations itself. Steps have
been taken to double the size of this business in the current year.
MOTORSPORTS
JK Tyre is the
leader of Motorsport in the country and has once again taken
JK Racing Asia
Series will feature an ultra-modern standard specification race car. The
Formula JK Tyre Pacific is made of carbon-fibre Kevlar, which has been proven
to be of the highest safety standards. The race cars will run on JK Tyres.
This year the 13th
National Racing Championship was conducted – a record in the history of
Motorsport as single sponsor continuing the championship for 14 calendar years.
Of great pride is the fact that under this Championship JK Tyre has partnered
Volkswagen for the ‘VW JK Tyre POLO Cup’ which is yet another feather in the
cap and has provided another avenue of opportunities to talent in the country.
The 4th JK TYRE
BAJA SAE India event was conducted in
for young drivers in Go-Karting.
STATEMENT OF STANDALONE AUDITED RESULTS
FOR THE QUARTER AND YEAR ENDED 31ST
MARCH, 2012
RS. IN
MILLIONS
|
Sr. No. |
Particulars |
Quarter Ended |
Year Ended |
|
|
|
|
31.03.2012 (Unaudited) |
31.12.2011 (Unaudited) |
31.03.2012 (Audited) |
|
1. |
Income from operations |
|
|
|
|
a) |
GROSS SALES |
16536.200 |
15453.500 |
61265.000 |
|
|
Less: Excise Duty on sales |
1353.500 |
1283.200 |
5048.800 |
|
|
Net Sales |
15182.700 |
14180.300 |
56216.200 |
|
b) |
Other Operating Income |
52.800 |
49.900 |
220.900 |
|
|
Total (1) |
15235.500 |
14230.200 |
56437.100 |
|
|
|
|
|
|
|
2. |
Expenditure |
|
|
|
|
|
a) Cost of materials consumed |
9608.200 |
10688.300 |
41085.900 |
|
|
b) Purchase of stock-in-trade |
116.800 |
183.400 |
609.900 |
|
|
c) (Increase) / Decrease
in inventories of finished goods, work-in-progress and stock-in-trade |
1556.200 |
(192.600) |
849.500 |
|
|
e) Employee benefits expense |
748.800 |
779.100 |
2948.000 |
|
|
h) Depreciation and amortisation |
260.900 |
261.700 |
1014.100 |
|
|
i) Other expenditure |
2026.900 |
2046.400 |
8149.100 |
|
|
Total (2) |
14317.800 |
13766.300 |
54656.500 |
|
|
|
|
|
|
|
3. |
Profit From Operations before Other Income, Interest and
Exceptional Items (1-2) |
917.700 |
463.900 |
1780.600 |
|
|
|
|
|
|
|
4. |
Other Income |
11.000 |
03.600 |
35.000 |
|
|
|
|
|
|
|
5. |
Profit Before Interest and Exceptional Items (3+4) |
928.700 |
467.500 |
1815.600 |
|
|
|
|
|
|
|
6. |
Interest |
473.100 |
453.900 |
1704.300 |
|
|
|
|
|
|
|
7. |
Profit After Interest but before Exceptional Items (5-6) |
455.600 |
13.600 |
111.300 |
|
|
|
|
|
|
|
8. |
Exceptional Items |
811.600 |
(382.600) |
16.700 |
|
|
|
|
|
|
|
9. |
Profit from Ordinary Activities before Tax (7+8) |
1267.200 |
(369.000) |
(128.000) |
|
|
|
|
|
|
|
10. |
Tax
Expense |
|
|
|
|
|
- Provision for current tax |
26.300 |
-- |
17.300 |
|
|
- MAT (Credit) / Reversal |
(26.300) |
-- |
(26.300) |
|
|
- Provision for deferred tax |
403.800 |
(155.900) |
27.000 |
|
|
|
|
|
|
|
11. |
Net Profit from Ordinary Activities after Tax (9-10) |
863.400 |
(213.100) |
110.000 |
|
|
|
|
|
|
|
12. |
Extraordinary Item (net of expense) |
-- |
-- |
-- |
|
|
|
|
|
|
|
13. |
Net Profit for the period (11-12) |
863.400 |
(213.100) |
110.000 |
|
|
|
|
|
|
|
14. |
Paid-up Equity Share Capital (Face Value of Rs.10/- Each) |
41.06 |
41.06 |
41.06 |
|
|
|
|
|
|
|
|
Reserves Excluding Revaluation Reserve |
-- |
-- |
-- |
|
|
|
|
|
|
|
15. |
Basic
and Diluted Earning Per Share (EPS) (Rs.)-Not Annualised |
|
|
|
|
|
a) Basic and diluted EPS before extraordinary items |
21.03 |
(5.19) |
2.68 |
|
|
b) Basic and diluted EPS after extraordinary items |
21.03 |
(5.19) |
2.68 |
|
|
|
|
|
|
|
16. |
Public
Shareholding* |
|
|
|
|
|
-Number of Shares |
21619865 |
21619865 |
21619865 |
|
|
- Percentage of Shareholding |
52.66 |
52.66 |
52.66 |
|
|
|
|
|
|
|
17. |
Promoters
and Promoter Group Shareholding |
|
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
|
- Number of Shares |
Nil |
Nil |
Nil |
|
|
- Percentage of Shares (as a % of the Total Shareholding
of promoter and promoter group) |
Nil |
Nil |
Nil |
|
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
Nil |
Nil |
Nil |
|
|
|
|
|
|
|
|
b)
Non Encumbered |
|
|
|
|
|
- Number of Shares |
19439481 |
19439481 |
19439481 |
|
|
- Percentage of Shares (as a % of the Total Shareholding
of Promoter and Promoter Group) |
100 |
100 |
100 |
|
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
47.34 |
47.34 |
47.34 |
AUDITED STATEMENT
OF ASSETS AND LIABILITIES AS ON 31 MARCH 2012
Rs. in Millions
|
Particular |
As on 31.03.2012 |
|
|
Audited |
|
|
|
|
Shareholders Funds |
|
|
Share Capital |
410.600 |
|
Reserve and Surplus |
6295.400 |
|
|
|
|
Share Application Money |
0.000 |
|
Loan Funds |
|
|
Secured Loan |
16780.400 |
|
Unsecured Loan |
0.000 |
|
Deferred Tax Liabilities (Net) |
1475.600 |
|
Total |
24962.000 |
|
|
|
|
Fixed Assets |
21923.900 |
|
Investment |
1008.900 |
|
Deferred Tax Assets (Net) |
0.000 |
|
|
|
|
Current Assets, Loans and Advances |
|
|
Inventories |
6615.400 |
|
Sundry Debtors |
8673.600 |
|
Cash and Bank Balances |
784.200 |
|
Loans and Advances |
3396.700 |
|
Other Current Assets |
881.800 |
|
Total |
20351.700 |
|
|
|
|
Less: Current Liabilities and Provision |
|
|
Creditors |
10301.700 |
|
Other Current Liabilities |
6968.100 |
|
Provision |
1052.700 |
|
Total |
18322.500 |
|
|
|
|
Net Current Assets / Liabilities |
2029.200 |
|
|
|
|
Total |
24962.000 |
NOTE:
- Sales for the year increased by 17%
- The Board has recommended a dividend of Rs 2.50 per equity share i.e. 25% for the financial year ended 31st March, 2012
- During the year, the Company has added Rs. 42.900
Millions, to Capital work-in-progress in respect of projects under
implementation on account of foreign exchange fluctuations on long term
foreign currency loan pursuant to the option in notification issued by
Ministry of Corporate Affairs in that regard.
- During the year, exceptional items of Rs. 16.700 Millions include net impact of unfavourable foreign exchange rate fluctuation Rs. 631.700 Millions, net gain on sale of certain assets Rs. 764.200 Millions and expenditure on Voluntary Retirement Scheme (VRS) for the employees Rs. 115.800 Millions.
- Impact of minority interest is insignificant
and immaterial, hence not considered.
- The
company has considered geographical segments as its primary segments which
are
- Figures for the corresponding previous periods
have been regrouped / rearranged, wherever necessary. The figures of last quarter are the
balancing figures between audited figures in respect of the full
financial year and the published year to date figures upto the third
quarter of the current financial year.
- The above results have been reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on 15th May, 2012
FIXED ASSETS
- Buildings
- Plant and Machinery
- Office Equipments
- Furniture and Fixtures
- Vehicles
- Software
CONTINGENT
LIABILITIES
Contingent liabilities in respect of claims not accepted and not provided for Rs. 376.400 Millions. (Previous year: Rs. 376.400 Millions.) pertaining to Excise duty matters in appeal Rs. 44.500 Millions., Service tax matters Rs. 14.900 Millions., Sales Tax matters in appeal Rs. 34.000 Millions., Income tax matters in appeal Rs. 67.600 Millions. & other matters Rs. 215.400 Millions. (Previous year: Rs. 43.900 Millions. Rs.13.000 Millions.,Rs. 23.600 Millions., Rs. 67.600 Millios. & Rs. 208.300 Millions. respectively).
WEBSITE DETAILS:
PROFILE
JK Tyre and Industries is a leading
corporate entity which believes in excellence, innovation and technology. The
Company started manufacturing tyres in 1977, with a capacity of 0.5 million
tyres per annum and has grown multifold over the years to its present capacity
of more than 16 million tyres per annum. JK Tyre has five state-of-the art
plants strategically located in
As the 22nd largest tyre manufacturer in the
world, JK Tyre exports its tyres to over 80 countries across 6 continents and
enjoys a premium brand status in various sophisticated markets, including the
JK Tyre pioneered the Radial technology in
India way back in 1977 and is India’s only tyre manufacturer, offering full
range of radial tyres for Cars, Jeeps, SUVs, LCVs, Truck and Bus and Tractors.
The Company manufactures the entire range of tyres for all four-wheeler
categories.
The Company is the No.1 player in ‘Off the
Road’ (OTR) tyre segment and has presence across
With a distribution network of over 4000
dealers and over 120 stocking points, JK Tyre has left a mark across every
Indian road treading into every nook and corner of the country. This includes
125 ‘JK Tyre Steel Wheels’ – high-tech one-stop-tyre shops, and over 20 JK Tyre
Truck Radial Care Centres on major National highways which operate on a 365
days/24 hours basis. In addition, Tornel in
The Company has consciously been modernizing
and expanding its manufacturing facilities continuously to retain its edge in
the market place. JK Tyre is a Total Quality Management (TQM) driven company,
having received all four ISO 9001, QS 9000, ISO 14001 and TS 16949
accreditations. The Company was the first tyre company in the world to receive
ISO/TS 16949:2000 certificate for its entire operations in one go. This indeed
is a true reflection of JK Tyre’s commitment to systems and quality oriented
approach.
JK Tyre is a technology driven company. Its
R and D Centres, “HASETRI (Hari Shankar Singhania Elastomer and Tyre Research
Institute)” one of its kind institute in Asia; “Raghupati Singhania Centre of
Excellence for Tyre and Vehicle Mechanics”, set up jointly with IIT Madras, a
successful example of ‘Academia Industry Collaboration’; and its Test Track at
Chennai, keep the Company at cutting edge of tyre technology. It also has a
technical collaboration with M/s Continental AG,
JK Tyre’s premium brand identity can be
attributed to the superior technology, performance and the durability of its
products. Over the years, apart from ushering in the era of Radial technology
in India, JK Tyre pioneered introduction of high performance tyres such as, H
–rated (210 km/hr speed), V-rated (240 km/hr speed), as also Z rated tyres (300
km/hr speed) for racing cars.
JK Tyre started a revolution by unveiling
the nation's first eco-friendly colored radials. These Green Tyres were
developed indigenously at JK Tyre's state-of-the-art R and D facilities
HASETRI.
Over the years, JK Tyre and Industries has
been conferred with numerous top honours like The Brand Equity Award, Rajiv
Gandhi National Quality Award, CII-Exim Bank Award, National Quality Award and
countless more.
As a constructive partner in the communities
in which it operates, JK Tyre has been taking various actions to realize its
commitment towards society. Over the years, JK Trye has supported enumerable social
and community initiatives in the fields of health care, education, social,
cultural and environmental projects. JK Tyre is committed to the protection of
environment and has undertaken various projects for conservation of energy,
water resources, as also by introduction of “Green” products and processes.
With a strong belief in – “People make the
Organisation” – JK Tyre provides a challenging and healthy work environment for
the growth and fulfillment of its people.
Almost two decades ago, JK Tyre took upon
itself the promotion of motor sport in
With a vision to be amongst the most admired
Companies in
LAKSHMIPAT SINGHANIA-IIM
7th Lakshmipat Singhania- IIM
JK Organisation, in
association with the Indian Institute of Management,
The awardees were; Business
Category: Leader Award to Shri
Deepak Parekh, Chairman, HDFC; Young Leader Award to Shri Rajiv Bajaj, Managing
Director, Bajaj Auto, Science and Technology: Leader
Award to Dr. Roddam Narsimha. Chairman, Engineering Mechanics
Unit, Jawaharlal Nehru Centre tor Advanced Scientific Research; Young Leader
Awardto Dr. Amitabh Joshi, Professor, Jawaharla! Nehru Centre for Advanced
Scientific Research. Community Service: Leader
Award to Dr. Uma Tuli, Founder Managing
Secretary,
Amar Jyoti Charitable Trust; Voting Leader Award to Dr. Akhil
Paul, Director, SENSE International and Vice President, Deaf and Blind
international.
The eminent jury members of
the awards included Dr. C Rangarajan, Chairman. Economic Advisory Council to
the Prime Minister; Shri Venu Srinivasan, Chairman and Managing Director, TVS
Motor Company Limited.; Dr. R.A. Mashelkar, CSIR Bhatnagar Fellow, National
Chemical Laboratory, Pune. Shri S.K. Roongta, Former Chairman, Steel Authority
of India Limited.; Shri T.N Ninan, Chairman and Editorial Director, Business
Standard Limited.; Dr, Amit Mitra, Former Secretary General, FICCl and
presently Finance Minister, Government of Went Bengal; Smt. Asha Das, Former
Secretary to the Government of India, Ministry of Social Justice and Empowerment, Dr. J.J. Irani, Chairman,
BoG, IIM Lucknow and Director, Tata Sons Limited; Dr. Devi Singh, Director, IIM
Lucknow; Shri H.S. Singhania, President, JK Organisation and Dr. K.P. Singhania,
Director. JK Organisation.
A commemorative book on the
life of Shri Lata Lakshmipat Singhania was also released by the Minister. This
pictorial publication gives a glimpse into the life and times of a rate
individual, who saw the future and built one of the leading industrial groups
in
NEWS
PRESS RELEASE:
May 15, 2012:
Subject, the Indian global tyre manufacturer of well known brands “JK TYRE”, “VIKRANT” & “TORNEL” has reported 17% increase in its Sales turnover at Rs.61520.000 Millions. Operating Profit for the year was Rs.2830.000 Millions. The consolidated turnover was Rs. 74620.000 Millions.
Dr Raghupati Singhania, Vice Chairman & Managing Director said “JK Tyre has achieved a Sales growth of 17% despite slower economic growth in FY 12, particularly in the automotive industry”.
Dr Singhania further added “The rising costs of input alongwith increase in interest rates was indeed a challenge. Foreign exchange rate volatility impacted the cost of imports as well as domestic input costs. The Company could partly mitigate such steep increase in costs through several measures to improve its internal efficiencies”.
The new Green site all Radial plant at Chennai went on stream during the end of the year. This facility with a capacity of 25 lac Car radials and 4 lac Truck/Bus radials p.a. will strengthen JK Tyre’s market presence significantly in the year ahead.
With Truck/Bus Radial and Car Radial tyre capacity being added, the Company looks forward to much larger growth in the turnover in the years ahead.
ABOUT JK
JK Tyre & Industries Ltd is a part of JK Organisation
which is one of the leading Private Sector Groups with multi-business,
multi-product and multi-location business operations in
JK Tyre has a global presence in 80 countries across six
continents with eight plants in
JK Tyre pioneered radial technology in
JK Tyre is the No 1 Truck Bus Radial Manufacturer. The company lays special emphasis on establishing a wide distribution network. In India, its nationwide network consists of 138 Selling Locations, 4000 dealers and over 125 strong nationwide network of retail outlets branded as ‘JK Tyre Steel Wheels’ which are equipped with the state of the art wheel servicing equipment. It has also established 18 Truck Radial Tyre Care Centres which operate along all major National Highways on 365 days/24 hours basis.
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. 55.60 |
|
|
1 |
Rs. 87.34 |
|
Euro |
1 |
Rs. 70.66 |
INFORMATION DETAILS
|
Report Prepared
by : |
ACH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
52 |
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.