MIRA
INFORM REPORT
|
Report Date : |
05.11.2012 |
- Summary Information
|
|
|
Country |
|
|
Company Name |
HT
MEDIA LIMITED |
Principal Name 1 |
Ms. Shobhana Bhartia |
|
Status |
Good |
Principal Name 2 |
Mr. K. N. Memani |
|
|
|
Registration # |
55-117874 |
|
Street Address |
18-20 Kasturba Gandhi Marg, Hindustan Times House, New Delhi – 110001, India |
||
|
Established Date |
03.12.2002 |
SIC Code |
-- |
|
Telephone# |
91-11-66561234/ 66561651/ 66561608/ 23361234 |
Business Style 1 |
Media business |
|
Fax # |
91-11-23738887/ 23704600/ 66561206/ 66561270/ 66561445 |
Business Style 2 |
-- |
|
Homepage |
Product Name 1 |
Printing / Publication of Newspapers |
|
|
# of employees |
2822 (Approximately) |
Product Name 2 |
Printing / Publication of Periodicals |
|
Paid up capital |
Rs.470,042,000/- |
Product Name 3 |
Radio and television broadcasting and related services |
|
Shareholders |
Promoter and Promoter Group-68.84% Public
Shareholding-31.16% |
Banking |
Royal Bank of Scotland |
|
Public Limited Corp. |
YES |
Business Period |
10 Years |
|
IPO |
YES |
International Ins. |
- |
|
Public |
YES |
Rating |
A
(65) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Holding Company : |
India |
The Hindustan Times Limited |
-- |
|
Note |
- |
||
- Summary Financial Statement
|
Balance Sheet as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
5,344,162,000 |
Current Liabilities |
4,644,445,000 |
|
Inventories |
1,212,802,000 |
Long-term Liabilities |
2,675,427,000 |
|
Fixed Assets |
4,876,259,000 |
Other Liabilities |
589,313,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
7,909,185,000 |
|
Invest& other Assets |
9,577,833,000 |
Retained Earnings |
12,631,829,000 |
|
|
|
Net Worth |
13,101,871,000 |
|
Total Assets |
21,011,056,000 |
Total Liab. & Equity |
21,011,056,000 |
|
Total Assets (Previous Year) |
19,657,428,000 |
|
|
|
P/L Statement as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Sales |
13,191,397,000 |
Net Profit |
1,598,240,000 |
|
Sales(Previous yr) |
12,142,156,000 |
Net Profit(Prev.yr) |
1,775,906,000 |
IDENTIFICATION DETAILS
|
Name : |
HT MEDIA LIMITED |
|
|
|
|
Registered
Office : |
18-20, Kasturba Gandhi Marg, Hindustan Times House, New Delhi – 110001 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
03.12.2002 |
|
|
|
|
Com. Reg. No.: |
55-117874 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.470.042 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L22121DL2002PLC117874 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELH03846D |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
The company is engaged in Media Business. |
|
|
|
|
No. of Employees
: |
2822 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 55500000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is subsidiary of ‘The Hindustan Times Limited’. It is a well
established and reputed company having good track. Financial position of the company appears to be sound and healthy. It
is the second – largest English Newspaper in India. Trade relations are reported as trustworthy. 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 – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces of
its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to become
a major exporter of information technology services and software workers. In
2010, the Indian economy rebounded robustly from the global financial crisis -
in large part because of strong domestic demand - and growth exceeded 8%
year-on-year in real terms. However, India's economic growth in 2011 slowed
because of persistently high inflation and interest rates and little progress
on economic reforms. High international crude prices have exacerbated the
government's fuel subsidy expenditures contributing to a higher fiscal deficit,
and a worsening current account deficit. Little economic reform took place in
2011 largely due to corruption scandals that have slowed legislative work.
India's medium-term growth outlook is positive due to a young population and
corresponding low dependency ratio, healthy savings and investment rates, and
increasing integration into the global economy. India has many long-term
challenges that it has not yet fully addressed, including widespread poverty,
inadequate physical and social infrastructure, limited non-agricultural
employment opportunities, scarce access to quality basic and higher education,
and accommodating rural-to-urban migration.
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
AA+ (Non- Convertible Debentures) |
|
Rating Explanation |
High degree of safety and very low credit
risk. |
|
Date |
08.10.2012 |
|
Rating Agency Name |
CRISIL |
|
Rating |
A1+ (Short Term Debts) |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
08.10.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
18-20 Kasturba Gandhi Marg, Hindustan Times House, |
|
Tel. No.: |
91-11-66561234/ 66561651/ 66561608/ 23361234 |
|
Fax No.: |
91-11-23738887/ 23704600/ 66561206/ 66561270/ 66561445 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office: |
Park Central Building, 7th Floor Sector – 30, Delhi –
Jaipur Highway, Gurgaon – 122001, Haryana, India |
|
Tel. No.: |
91-124-3954700 |
|
|
|
|
Factory 1 : |
Greater Noida Plot No. 08, Udyog Vihar, Grater Noida, Gautam Budh Nagar-201306, |
|
|
|
|
Factory 2 : |
Jallandhar B-21A, Focal Point Extension, Jallandhar-144004, |
|
|
|
|
Factory 3 : |
Mumbai Plot No. 6, TTC MIDC Industrial Area, Dighe, |
|
|
|
|
Factory 4 : |
Mohali C-164/165, Phase VIII B, Industrial Focal Point, Mohali-160059, |
|
|
|
|
Factory 5 : |
Noida B-02, Sector -63, Noida-201307, |
|
|
|
|
Factory 5 : |
Kolkata C/o Texmaco Panihati Works, B.T. Road, 24 Pargana North, Kolkata – 700058, West Bengal, India |
DIRECTORS
As on: 31.03.2012
|
Name : |
Ms. Shobhana Bhartia |
|
Designation : |
Chairperson and Editorial Director |
|
|
|
|
Name : |
Mr. K. N. Memani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N. K. Singh |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Ajay Relan |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. Mukesh Aghi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Priyavrat Bhartia |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. Shamit Bhartia |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. Rajiv Verma |
|
Designation : |
Whole Time Director and Chief Executive Officer |
KEY EXECUTIVES
|
Name : |
Mr. Piyush Gupta |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. Dinesh Mittal |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.09.2012
|
Category of
Shareholder |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
(1) Indian |
|
|
|
|
19 |
0.00 |
|
|
161754490 |
68.83 |
|
|
161754509 |
68.83 |
|
|
|
|
|
|
22581 |
0.01 |
|
|
22581 |
0.01 |
|
Total shareholding
of Promoter and Promoter Group (A) |
161777090 |
68.84 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
18160894 |
7.73 |
|
|
105599 |
0.04 |
|
|
30141224 |
12.82 |
|
|
48407717 |
20.60 |
|
|
|
|
|
|
20188301 |
8.59 |
|
|
|
|
|
|
2021878 |
0.86 |
|
|
2325420 |
0.99 |
|
|
300629 |
0.13 |
|
|
227750 |
0.10 |
|
|
80 |
0.00 |
|
|
72799 |
0.03 |
|
|
24836228 |
10.57 |
|
Total Public
shareholding (B) |
73243945 |
31.16 |
|
Total (A)+(B) |
235021035 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
235021035 |
- |
BUSINESS DETAILS
|
Line of Business : |
The company is engaged in Media Business. |
||||||||
|
|
|
||||||||
|
Products : |
|
PRODUCTION STATUS (As on: 31.03.2011)
|
Particulars |
Unit |
31.03.2011 |
|
Installed
Capacity (Impression per hour) |
-- |
895000 |
|
|
|
|
|
Actual
Production: |
|
|
|
Pages |
In Lacs |
232898.89 |
|
Copies |
In Lacs |
637364 |
GENERAL INFORMATION
|
No. of Employees : |
2822 (Approximately) |
|||||||||||||||||||||||||||||||||||||||||||||
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|
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Bankers : |
|
|||||||||||||||||||||||||||||||||||||||||||||
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|
|||||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
1. Term loan from HDFC bank carries interest @ PLR minus 7.75% p.a.
(Rate of Interest was linked to PLR for the first 2 years from the date of
first drawdown. Thereafter, the interest is reset by the bank on an annual
basis). The loan is repayable in 20 quarterly installments of Rs.37.500
Millions each along with interest, from the date of disbursement, viz., 08th
June, 2009 and 19th June, 2009. The loan is secured by first pari passu
charge on all movable fixed assets of the Company along with Term Lenders
(except assets financed out of the ECB from Standard Chartered Bank) and
first pari passu charge by way of equitable mortgage of immovable properties
belonging to the Company situated at Greater Noida (Plot No. 8, Udyog Vihar,
Greater Noida, Gautam Budh Nagar - 201306). The loan is further secured by
equitable mortgage by deposit of title deeds of immovable properties situated
at Noida (B-02, Sector 63, Noida - 201307) and Mohali (C-164/165 Phase VIII-B
Industrial Focal Point, Mohali - 160059). The loan is also secured by second
charge on the current assets of the Company 2. External Commercial borrowing from Standard Chartered bank carries
interest @ 6 months USD Libor + 1.20% spread p.a. payable semi annually. The
loan is repayable in 3 annual installments of USD 5,155,670 each, after 4
years from the date of first drawdown, viz., 8 April, 2008 i.e. at the end of
4th, 5th and 6th year. The total tenor of the loan shall not exceed 6 years
from date of first drawdown. The loan is secured by way of first and specific charge over certain
movable plant and machinery of the HT Media Limited, i.e: - One Man Roland Off-Set Rotation Printing Press type - Regioman -
2009, - Muller Martini Martini Mail Room System - 2009 stored or to be
stored at HT Media Limited godowns or premises or wherever else the same may
be. 3. Overdraft facility from Deutsche Bank is secured by way of pledge
on the Company’s investment in the Mutual Fund Units of FMPs (Kotak FMP
Series 58, L and T FMP IV, Tata FMP 38A, BSL FMP Series DP, HDFC FMP 24M Sep,
ICICI Pru FMP Series 58, Reliance FMP XIX Series 20, Reliance FMP XX Series
31, IDFC FMP 2yS1, Reliance FMP XX Series 32, Reliance FMP XX Series 33, Tata
FMP 38B, ICICI Pru FMP Series 57, IDFC FMP 3ys5, DWS FMP Series 91, Kotak FMP
Series 55) 4. Buyer’s credit from BNP Paribas is secured by way of first pari
passu charge over all moveable assets such as raw materials, stock-in-
process, finished goods lying at various factories, godowns, warehouses, etc,
wherever situated or in transit, both present or future and book debts of the
Company and all book debts, outstanding monies, receivables, claims, bills
which are due and which may at any time during the continuance of this
security become due by any person, firm, company or body corporate. 5. Buyer’s credit from Royal Bank of Scotland is secured by way of
first pari-passu charge over current assets with other banks in multiple
banking arrangements of the Company. |
|||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S R Batliboi and Company Chartered Accountant |
|
Address : |
Golf View Corporate Tower-B, Secotr-42, Sector Road, Gurgaon – 122022,
Haryana, India |
|
Tel. No.: |
91-124-4644000 |
|
Mobile No.: |
91-124-4644050 |
|
|
|
|
Holding Company : |
·
The Hindustan Times Limited |
|
|
|
|
Subsidiaries : |
· Hindustan Media Ventures Limited · HT Music and Entertainment Company Limited · Firefly e- Ventures Limited · HT Digital Media Holdings Limited · HT Burda Media Limited · HT Mobile Solutions Limited · HT Overseas Pte. Limited · HT Education Limited · HT Learning Centers Limited · HT Global Education (w.e.f. 25-10-2011) · India Education Services Private Limited (from 24.10.2011 to 21.12.2011) · Ed World Private Limited, formerly Peacock Education Services Private Limited (w.e.f. 27.10.2011) |
|
|
|
|
Fellow Subsidiaries
: |
· Shradhanjali Investment and Trading Company Limited · HTL Investment and Trading Company Limited · HT Interactive Media Properties Limited · Go4i.com (Mauritius) Limited · Go4i.com (India) Private Limited · HT Films Limited · White Tide Amusement Limited |
|
|
|
|
Group companies
where common control exists : |
· Paxton Trexim Private Limited |
|
|
|
|
Enterprises owned or
significantly influenced by Key Management Personnel or their relatives |
· Britex (India) Limited · Udit (India) Limited · Usha Flowell Limited · The Birla Cotton Spinning and Weaving Mills Limited · Goldmerry Investment and Trading Company Limited · Earthstone Holding Private Limited |
CAPITAL STRUCTURE
As on: 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
362500000 |
Equity Shares |
Rs. 2/- each |
Rs.725.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
235021035 |
Equity Shares |
Rs. 2/- each |
Rs.470.042
Millions |
|
|
|
|
|
(a) Reconciliation of
the equity shares outstanding at the beginning and at the end of the year
|
Equity Shares |
As at 31 March,
2012 |
|
|
|
No. of shares (in lacs) |
Amount (Rs. In Millions) |
|
Shares outstanding at the beginning of the year |
2,350.21 |
470.042 |
|
Shares issued during the year |
- |
- |
|
|
|
|
|
Shares outstanding at the end of the year |
2,350.21 |
470.042 |
(b) Terms/rights
attached to equity shares
The Company has only one class of equity shares having par value of Rs.2 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividend in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.
During the year ended 31 March 2012, the amount of per share dividend recognized as distribution to equity shareholders is Rs.0.40 (Previous year Rs.0.36).
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
(c) Shares held by
holding/ultimate holding company and/or their subsidiaries/associates
Out of the equity shares issued by the Company shares held by its holding company and subsidiary of holding company are as below:
|
Particulars |
As at 31 March,
2012 |
|
The Hindustan Times Limited, the holding company 1,617.55 lac (Previous year 1,617.55 lac) equity shares of Rs.2 each fully paid |
3,235.09 |
|
Go4i.com (Mauritius) Limited, subsidiary of The Hindustan Times Limited 0.23 lac (Previous year 0.23 lac) equity shares of Rs.2 each fully paid |
0.45 |
(d) Aggregate number
of bonus shares issued, shares issued for consideration other than cash and
shares bought back during the period of five years immediately preceding the
reporting date
(No. of shares in lacs)
|
Particulars |
As at 31 March,
2012 |
|
Equity shares alloted as fully paid-up to Go4i.com (Mauritius) Limited pursuant to a scheme of Arrangement and de-merger u/s 391-394 of the Companies Act, 1956 |
0.23 |
|
Equity shares alloted as fully paid-up to The Hindustan Times Limited pursuant to a scheme of Arrangement and restructuring u/s 391-394 read with sections 100-104 of the Companies Act, 1956 |
7.69 |
(e) Details of
shareholders holding more than 5% shares in the Company
|
Equity Shares |
As at 31 March, 2012 |
|
|
|
No. of shares (in lacs) |
% holding |
|
Equity shares of
Rs.2 each fully paid up |
|
|
|
The Hindustan Times Limited, the holding company |
1,617.55 |
68.83% |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
470.042 |
470.042 |
470.042 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
12631.829 |
11219.598 |
9618.569 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
13101.871 |
11689.640 |
10088.611 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1511.717 |
2515.375 |
1775.025 |
|
|
2] Unsecured Loans |
1163.710 |
283.617 |
0.000 |
|
|
TOTAL BORROWING |
2675.427 |
2798.992 |
1775.025 |
|
|
DEFERRED TAX LIABILITIES |
410.186 |
447.755 |
491.544 |
|
|
|
|
|
|
|
|
TOTAL |
16187.484 |
14936.387 |
12355.180 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
4876.259 |
5252.665 |
5636.806 |
|
|
Capital work-in-progress |
87.800 |
146.735 |
195.304 |
|
|
|
|
|
|
|
|
INVESTMENT |
9292.810 |
8081.873 |
6307.151 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
Other Non- Current Assets |
197.223 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1212.802
|
1012.692
|
943.751 |
|
|
Sundry Debtors |
1943.568
|
1821.942
|
1851.033 |
|
|
Cash & Bank Balances |
804.582
|
638.148
|
661.222 |
|
|
Other Current Assets |
203.139
|
252.337
|
35.873 |
|
|
Loans & Advances |
2392.873
|
2451.036
|
2374.706 |
|
Total
Current Assets |
6556.964
|
6176.155
|
5866.585 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
2350.401
|
2034.468
|
2138.549 |
|
|
Other Current Liabilities |
2294.044
|
2278.599
|
3267.050 |
|
|
Provisions |
179.127
|
407.974
|
245.067 |
|
Total
Current Liabilities |
4823.572
|
4721.041
|
5650.666 |
|
|
Net Current Assets |
1733.392
|
1455.114
|
215.919 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
16187.484 |
14936.387 |
12355.180 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
13191.397 |
12142.156 |
12631.120 |
|
|
|
Other Income |
682.284 |
415.939 |
360.040 |
|
|
|
TOTAL (A) |
13873.681 |
12558.095 |
12991.160 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw materials |
4013.026 |
3554.605 |
4103.201 |
|
|
|
Personnel Expenses |
2472.232 |
2095.337 |
2081.763 |
|
|
|
Operating and Other Expenses |
4319.195 |
3667.455 |
3757.593 |
|
|
|
Increase or Decrease in stock |
0.128 |
(0.295) |
(4.924) |
|
|
|
Exceptional Items |
0.000 |
0.000 |
358.700 |
|
|
|
TOTAL (B) |
10804.581 |
9317.102 |
10296.333 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3069.100 |
3240.993 |
2694.827 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
602.950 |
187.298 |
257.315 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2466.150 |
3053.695 |
2437.512 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
285.816 |
562.883 |
637.921 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
2180.334 |
2490.812 |
1799.591 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
582.094 |
714.906 |
551.925 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1598.240 |
1775.906 |
1247.666 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
5830.506 |
4286.933 |
3232.927 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
120.000 |
134.000 |
95.000 |
|
|
|
Proposed Dividend (on equity shares) |
94.000 |
84.608 |
84.608 |
|
|
|
Tax on Proposed Dividend |
15.200 |
13.725 |
14.052 |
|
|
BALANCE CARRIED
TO THE B/S |
7199.546 |
5830.506 |
4286.933 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
|
2.900 |
0.101 |
|
|
|
Advertising |
|
113.705 |
54.048 |
|
|
|
Royalty |
|
74.317 |
63.866 |
|
|
TOTAL EXPORTS |
152.619 |
190.922 |
118.015 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2830.586 |
2585.990 |
1834.027 |
|
|
|
Stores & Spares |
24.066 |
41.669 |
45.427 |
|
|
|
Capital Goods |
27.414 |
10.121 |
67.212 |
|
|
TOTAL IMPORTS |
2882.066 |
2637.780 |
1946.666 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
6.80 |
7.56 |
5.31 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 1st
Quarter |
30.09.2012 2nd Quarter |
|
|
Unaudited |
Unaudited |
|
Net Sales |
3349.300 |
3099.500 |
|
Total Expenditure |
2954.100 |
2556.400 |
|
PBIDT (Excl OI) |
395.200 |
543.100 |
|
Other Income |
258.900 |
157.500 |
|
Operating Profit |
654.100 |
700.600 |
|
Interest |
70.100 |
75.800 |
|
Exceptional Items |
0.000 |
0.000 |
|
PBDT |
584.000 |
624.800 |
|
Depreciation |
154.900 |
138.200 |
|
Profit Before Tax |
429.100 |
486.600 |
|
Tax |
91.700 |
118.900 |
|
Provisions and contingencies |
0.000 |
0.000 |
|
Profit After Tax |
337.400 |
367.700 |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net Profit |
337.400 |
367.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
11.52
|
14.14
|
9.60 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.53
|
20.51
|
14.25 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
19.07
|
21.79
|
15.64 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.17
|
0.21
|
0.18 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.57
|
0.68
|
0.74 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.36
|
1.31
|
1.04 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
No |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
MANAGEMENT DISCUSSION
AND ANALYSIS OVERVIEW OF ECONOMY
GLOBAL ECONOMY
2011 was a challenging year for the global economy. Global economic output growth, as estimated by International Monetary Fund (IMF), came down to 3.9 percent in 2011 from 5.3 percent in 2010. The economies faced a diverse set of challenges ranging from a catastrophic tsunami in Japan to the Euro Zone crisis compounded by risks of sovereign defaults. However, improved activity in the United States during the second half of 2011 and better policies in the Euro Zone in response to its deepening economic crisis, mitigated these challenges to a certain extent and aided the global economy in achieving this growth. Real GDP growth in emerging and developing economies is estimated at 6.25 percent for the year.
Going forward, they believe that these tough times for global economy will continue for some more time to come before the recovery starts. The International Monetary Fund (IMF) in its World Economic Outlook of April, 2012 has also projected global GDP growth to marginally drop to 3.5 percent in 2012 before improving to about 4.1 percent again in 2013.
INDIAN ECONOMY
The Indian economy continued its demographics led growth story in the current year, however at a slower pace, as the impact of global challenges tricked down to Indian economy.
These led to a tough external environment and a testing domestic scenario marked by high inflation and a high-interest rate regime.
Further, unforeseen weakening of the Indian rupee against the US dollar made imports even costlier. The rupee depreciated by about 15 percent from the levels of Rs.44.7 to the levels of Rs.51.3 against a dollar in March'12. This has led to massive increase in fiscal deficit of 5.9 percent of GDP as against a target of 4.6 percent for this year and a further push to the inflationary pressures. Rising cost of living casted a negative spell on the disposable income of households impacting the consumption story.
Despite recent tough global and domestic economic situation, outlook for the Indian economy still looks promising in the medium to long term. Finance budget 2012-13 aims to control fiscal deficit and bring it down to 5.1 percent of the GDP. Favourable demographic factors like a young working population and a labour force which is expected to increase by 32 percent in the next 20 years, compared to a fall of 4 percent in industrialized countries and 5 percent in China, strongly indicate latent growth potential of second fastest economy amongst the major economies on the globe.
INDIAN MEDIA AND
ENTERTAINMENT INDUSTRY
Despite the prevailing tough economic environment in the domestic and global market, the Indian Media and Entertainment Industry grew by 11.7 percent in the calendar year (CY) 2011 to Rs.728 billion from f652 billion in CY10. Sustaining its growth momentum, it is estimated to grow to Rs.1457 billion by 2016, achieving a compounded annual growth rate of 14.9 percent between 2011 and 2016.
The Industry's growth was primarily led by growing consumption in Tier II and III cities coupled with the growth and penetration of technology enabled new media like digital, VFX, Animation, Gaming and Mobile. Traditional media witnessed comparatively slower growth.
Advertising revenues grew by 13.1 percent in 2011 to reach f300.1 and is estimated to become Rs.586 billion by CY 2016 at a CAGR of 14.3 percent between 2011 and 2016. In 2011, advertising revenues contributed 41.1 percent to the overall revenue of the M and E Industry. Print media accounted for 46 percent of total advertising revenues and is estimated to grow at a healthy rate over the next 5 years.
PRINT MEDIA
Print Media revenue grew by 8.3 percent to Rs.208.8 billion in 2011 from Rs.192.9 billion in 2010; thereby maintaining its dominance with regard to the share of advertisement revenues in the Indian M and E sector. Advertisement Revenues substantially added to the growth of Print Media and expanded its share in the overall revenue mix to 67 percent in CY 2011 from 65 percent a year ago. Considering the direct correlation between growth in advertising spends and GDP growth, a 10.6 percent growth in overall ad revenue in 2011 was impressive despite the slow growth in GDP.
With 82,000 registered newspapers and Rs.192.9 billion in revenues, newspapers form a dominant 94 percent share of the entire print Industry, with the balance 6 percent coming from magazines.
The future offers both opportunities and challenges for the Print Industry. There are clear opportunities in the form of next phase growth engines - Tier II, Tier III cities, increasing literacy leading to increased readership, growth in Hindi and regional languages, and reader connect through content enhancement and adaptation.
The rise of new media - online and mobile - will challenge print media to keep pace with changing consumption patterns. Responding to the dynamic landscape, leading print players have undertaken a slew of measures to extend their business portfolio to newer avenues like Radio, Online, Mobile, Out of Home, Brand Activations, etc.
DIGITAL MEDIA
Riding on an impressive 40 percent rise in advertising revenues, the Indian Digital Media segment grew to Rs.15.4 billion in 2011, increasing its share in the Indian advertising spends pie to 5 percent. Considering a low fixed internet penetration of approximately 2 percent in India compared to advanced economies like Hong Kong (41 percent), France (35 percent) and US (29 percent), Indian digital media still has a lot of ground to cover.
The digital advertising market is expected to grow at a CAGR of 29.9 percent between 2011 and 2016, growing from Rs.15.4 billion in 2011 to Rs.57 billion in 2016. Mobile-based digital advertising is expected to grow from Rs.1 billion in 2011 to Rs.7.6 billion in 2016.
The environment in India is favourable for the desired growth of Digital Media. Internet connectivity is estimated to grow to 443 million in 2016 from 88 million connections in 2011.
RADIO
The Indian Radio Industry recorded a growth of 15 percent to reach Rs.11.5 billion in 2011 from Rs.10 billion in 2010. Year 2011 began with a sharp growth of 46 percent in the first quarter (compared y-o-y with first quarter of 2010). Growth momentum subsequently slowed down. The industry saw increased profitability on account of lower cost of production, which, as a percentage of revenues, came down to 5 percent in 2011 from 6 percent in the previous year.
Mobile radio listenership grew to 25 percent in 2011 from 20 percent the previous year. This, along with the addition of new cars on the roads, has been helping the radio industry expand its listenership base. In 2011, the Government announced Phase III of Radio industry expansion and the corresponding auction of bandwidth in 2012. The expansion is likely to cover 227 new cities compared to the current 86 cities and aims at reaching all cities with a population greater than 1 Lac through 839 new FM Radio channels.
REVIEW OF OPERATIONS
HINDUSTAN TIMES
Hindustan Times (HT) maintained its leadership in Delhi-NCR through the year and retained its No.1 position - for the ninth consecutive time Total Readership (TR), as evident from the findings of Indian Readership Survey (IRS) 2012-Q1. Its daily readership soared to 22.10 Lac, in absolute terms. Growing its reach by an impressive 15 percent, HT also emerged as a strong No.2 among all English dailies in Mumbai with 7.91 Lac readers, including more than 5.5 Lac exclusive readers. In Chandigarh, Hindustan Times consolidated its No.2 position over the year. At the national level, Hindustan Times continued to grow its readership adding nearly 1.13 Lac readers (AIR) vis-a-vis last year. Hindustan Times has also consistently demonstrated thought leadership by continuous reader engagement through strong platforms like HT City Crystals and HT City Most Stylish, which have generated a huge positive response and strengthened brand credentials. HT Media also launched HT Mini, a publication designed especially for people on the move in half tabloid format which was very well received by readers and customers alike.
HINDUSTAN
Hindustan, the Group's Hindi daily, strengthened its No. 2 position among all newspapers in India with a huge 3.84 Crore Total Readership, which represents an addition of more than 17 Lac readers in the past year, driven by the launch of several editions in Uttar Pradesh and Uttarakhand. The paper continues to be the No. 1 player in Bihar and Jharkhand and is the fastest-growing Hindi daily in Uttar Pradesh. It also continues to be the second largest Hindi daily in Delhi-NCR, with a readership of 12.35 Lac (AIR). Hindustan remains the only Hindi daily to consistently register a readership growth in the last fourteen rounds of IRS. Hindustan stayed true to its promise of empowering readers through a number of initiatives this year, including the Aao Rajneeti Karein campaign during the Uttar Pradesh and Uttarakhand Assembly elections, which encouraged readers to be an active part of the electoral process.
MINT
Mint, HT Media's business newspaper, maintains its No. 2 position with 2.46 Lac daily readers (AIR). It also continues to have the best reader profile among all business dailies, with 86 percent of its readers based out of metros and almost 70 percent from SEC A.
FM RADIO
Fever 104 FM is the choice of today's times and aims to provide best on air entertainment with the best quality music. Strong listener focus with a high degree of innovation and creativity has always been Fever 104's commitment to its listeners. Fever 104 today is recognized as a vibrant, youthful, creative and the most interactive music destination.
Completing its 5th anniversary, FY 12 was a successful year for Fever 104 - be it in product innovations, acquiring market leadership or the scale-up of the events business.
Fever 104 launched two innovative and popular radio dramas drawing from Indian history - Gandhi and Bose. Acclaimed by listeners and industry, they became very successful and reaffirmed Fever 104 as a trendsetter in the Radio space.
Fever 104 is the undisputed leader in Delhi and is the No.1 choice for listeners in the Capital. In Mumbai, Fever 104 is the fastest growing radio station. This year, the Bengaluru station was transformed into a 100 percent Bollywood format and Fever 104 Kolkata to India's first 24-hour request Radio station.
Fever Entertainment conducted marquee events like Ford Supermodel of the World, Fever Tree of Wishes, Youth Nexus, Delhi Shopping Carnival, Kings in Concert - Jagjit Singh and Ghulam Ali, Fever Tribute series by Kailash Kher andShaan, and Fever Unplugged with Hariharan, Mohit Chauhan and Pankaj Udhas, to name a few.
The Fever Audio Tools business has successfully added more than half a million subscribers across various leading mobile operators in India. Fever Audio Tools also created fresh regional content in the Hindi, Marathi, Bengali, Punjabi, Telugu and Kannada languages.
ONLINE BUSINESS
The internet business under Firefly e-Ventures Limited comprises of three internet business segments namely, Shine.com (Recruitment), HTCampus.com (Education) and DesiMartini.com (Movie entertainment). The Company continued its growth story in FY 12 with 58 percent year-on-year increase in revenue.
Shine.com moved to its own technology platform in July'11 and the smooth transition of the site reflects the engineering competency built in the business. The site today beats global benchmarks on performance in terms of speed, design and reliability. Post the change, the site scaled up significantly on critical parameters of daily logins, daily applicants and daily applications by 3 to 4 times. With a candidate database at 85 Lacs as at March'12, and Jobs on site growing to more than 60 Thousand openings, Shine.com now offers both recruiters and candidates a wide choice filtered by its proprietary matching technology.
Shine.com also offers recruiters further synergy in its print and digital offerings with the launch of the alliance with a south dominated English daily 'The Hindu' in December'11, where Shine.com powers the print combination between Shine Jobs and Hindu Opportunities, the respective job supplements, and is supported in Hindu's media offerings. Significant reach and salience benefits will accrue with access to the print offerings of The Hindu and HT Media brands. Shine has also significantly expanded its recruitment offerings beyond online and print by adding a mobile platform m.shine.com, a social media platform Shine-Ipledge on Facebook, and an event platform -Shine HR Summit. These extensions are aimed at offering a more detailed portfolio and help bring about Shine.com's vision of being India's most comprehensive careers destination.
The recruitment market continues to grow in the internet space with current models of e-recruitment getting strengthened and newer models emerging across the globe. While there is a short term slowdown expected in new hirings, the medium term estimate remains bullish. With a full portfolio that includes media and fulfilment services, and significant increase in candidates and jobs on site, Shine is poised for significant revenue growth in the coming fiscal.
There is a five fold increase in visitors to HT Campus vis-a-vis the previous year with over 40 percent of the traffic coming through non-paid sources. The website witnessed tremendous growth in clients served as database of colleges increased to 28,000 colleges. In FY 12 new offerings have been added, which have created a significant impact in a short time.
A Study Abroad Portal was launched for students seeking information for colleges abroad.
A new initiative i.e. MyCollegeForm.com was launched in its Beta Phase early in February'12; It is an e-commerce portal that allows students to apply to multiple Indian colleges through the use of a single application form. MyCollegeForm.com has over 250 colleges available to select from.
DesiMartini.com has boosted its page views up from 1 million in FY 11 to 3.5 million in FY 12. The product was revamped in November'11 and the website was re-launched in a fresh, new avatar. The website is focused on the public's opinion of the hottest movies - an entirely unique offering for the online media and entertainment market. Entertainment news and celebrity information is also aggregated on the website thereby attracting more users.
The website made its presence felt on other media platforms too. On mobile, it launched its Android app with thousands of downloads within a few days of launch. The next target will be iPhone and iPad apps. It also provides a unique SMS subscription services wherein every Saturday the audience ratings of the top releases are pushed out to subscribers, helping them make their weekend plans. It has a Facebook page with over 2.6 Lac followers which is increasing day by day. It is also soon launching its Facebook app which will enable people to discuss movies with their peer group.
HT MOBILE SOLUTIONS
As a leading player in the Indian mobile space, HT Mobile Solutions successfully ventured into new domains of planning, strategizing and executing integrated digital campaigns in 2011. Over the year, it implemented successful campaigns for many of its existing as well as new clients. It explored new technologies such as Quick Response Codes and Application Development across various smart-phone platforms including BlackBerry, iPhone and Android.
The Company entered the Digital Entertainment business in a big way and opened up several new avenues for content distribution on iTunes, Amazon and other global platforms, while enjoying continued success and popularity on YouTube. It expanded its focus from the music business to include a large quantity of regional and devotional content. HT Mobile Solutions further strengthened its strategic ties with operators in order to ensure smoother business processes.
In the future, HT Mobile Solutions aims to develop competencies in Augmented Reality, Windows Application Development platforms and plans to venture into new areas of operation like location based programming and ad networks.
Against the backdrop of the Indian commercial printing industry's heavy dependence on off-set printing technology, HT Burda marked the beginning of a new era in India with the launch of Rotogravure technology. In FY 12, HT Burda completed its first full year of production, post commissioning of its facilities at Greater Noida. Over the year, Indian customers recognized the potential benefits of Rotogravure printing and HT Burda's leadership capabilities therein. From large print-order Annual Reports for many listed Indian companies to premium catalogues for private clients and large volume Government orders in the educational space, HT Burda made significant progress during the year towards strengthening its domestic footprint.
In order to improve efficiency through ERP, HT Burda implemented SAP during the year besides making progress on other operational aspects. Its monthly conversion of paper has reached 40 million square metres and monthly binding has risen to 12 million books. At this level, its capacity utilization is nearing 45 percent of rated capacity.
HT Burda crossed the revenue benchmark of Rs.1000.000 Millions during the year. With growing acceptance of Rotogravure technology in the domestic market and enhanced quality and turnaround times for exports markets, HT Burda's outlook is promising with the company likely to break-even soon.
FINANCIAL REVIEW
The financial performance of HT Media Limited for FY 12 demonstrates the underlying strength of their business, especially in the context of global and domestic economic uncertainty. FY 12 was marked by turbulence on account of various ongoing external factors such as overall economic slowdown, persistently high inflation, a high interest rate regime, significant depreciation of the Indian rupee vis-a-vis the US dollar and global oil prices spiral, to mention a few. Not surprisingly, the media industry was adversely affected, in particular, during the second half of the financial year, with advertising volumes declining across key markets. In these circumstances, therefore, it is commendable that HT Media delivered a robust growth of 15 percent in terms of total revenue for the year and was able to arrest any major decline in profits.
FUTURE OUTLOOK
The latest study by KPMG and FICCI on the Indian Media and Entertaiment sector estimates a CAGR of 14.9 percent for the industry between 2011 and 2016. It estimates a CAGR of 9 percent for the print segment, 21 percent for radio and 30 percent for digital advertising for the same period.
HT Media has grown into a diversified media company and plans to consolidate and grow on the back of a well balanced portfolio.
Their flagship paper, Hindustan Times, shall benefit from its continued consolidation across Delhi NCR, Mumbai, Chandigarh and Madhya Pradesh. Its recent initiatives, Noida and Gurgaon specific copies, launch of HT Mini etc., shall add to improved realizations, going forward.
Hindustan recently completed its footprint in the key states of Uttar Pradesh and Uttarakhand with the launch of its 12th edition in Moradabad. With its expansion now complete, the Company will look towards consolidating its position as the 2nd largest read newspaper in the country. This will mean commanding better realizations, leading to higher growth in revenues.
Mint's strengthening readership base augurs well for the Company's performance.
HT Burda has stabilized its operations and made deeper inroads into the domestic markets, which shall augment its revenue growth. With improved economies of scale, HT Burda's profitability shall also improve over the coming years.
In the online space, Shine.com is fast approaching an inflection point of its active database of 5 million candidates, which is 60 percent of the entire database, one of the highest amongst job portals.
CONTINGENT
LIABILITIES
a. During the year ended March 31, 2005, the Company acquired the
printing undertaking at New Delhi from its holding company namely The Hindustan
Times Limited (HTL). The writ petition filed by the ex – workmen of HTL
challenging the transfer of business was quashed by the Hon’ble Delhi High
Court on May 9, 2006. Thereafter, the ex-workmen of HTL raised the industrial
dispute before Delhi Government, who referred the dispute to Industrial
Tribunal-I, Karkardooma Courts, New Delhi (Tribunal). During the course of the
proceedings before Tribunal, the ex-workmen moved application for interim
relief. The Tribunal vide its order dated March 8, 2007, granted interim relief
to the ex-workmen of HTL to the extent of 50% of last drawn wages from the date
of such order till the disposal of the matter However, HTL challenged the said
order before Hon’ble Delhi High Court in a Writ Petition, wherein the Hon’ble
Court modified the order of the Tribunal to the extent that the amount
equivalent to 50% so received by ex-workmen will be set off against their
retrenchment compensation (not encashed by the above ex-workmen till date), in
the event of HTL succeeding in the writ petition. The Hon’ble Court further
clarified that payment will be made only from date of the High Court order
(i.e. March 23, 2007) till the disposal of writ petition and it further stayed
the order and proceedings pending before the Tribunal.
The said writ stands disposed of by Delhi High Court vide order dated
16.01.2009 by holding that it was agreed between the parties to make the
payment to ex-workmen till the amount of their Retrenchment Compensation is
exhausted. The stay on the proceedings before the Industrial Tribunal was also
vacated by Hon’ble Delhi High Court and accordingly proceedings before the
Industrial Tribunal has restarted. The matter after final arguments stands
disposed by the Industrial Tribunal. The Tribunal has granted reinstatement to
all the workers with continuity of services w.e.f. 03.10.2004 in The Hindustan
Times Limited subject to workers refunding the Retrenchment Compensation
received by them. No relief has been granted against the Company by the
Tribunal.
In the meanwhile the workmen in question in the said Writ Petition has
filed contempt petition against The Hindustan Times Limited and its Directors
and same stands dismissed by Hon’able High Court on 16th March 2012.
b. Guarantee issued by the Company to Bank against line of credit
sanctioned to HT Burda Media Limited, a subsidiary, Rs.350.000 Millions
(Previous year Rs.350.000 Millions)
c. Guarantee issued by Company’s bankers on behalf of HT Burda Media
Limited, a subsidiary, to third parties Rs.1.800 Millions (Previous year Rs.5.101 Millions)
d. Income tax department has raised a demand of Rs.0.236 Million
(Previous year Rs.0.236 Million) for the Assessment Year 2004-05 in respect of penalty
levied in the assessment proceedings by Assessing Officer. The Company has
filed an appeal against the order of the Assessing Officer to Commissioner of
Income Tax (Appeals). The Commissioner of Income Tax (Appeals) has upheld the
levy of penalty. The Company has filed an appeal against the order of the
Commissioner of Income Tax (Appeals) to Income Tax Appellate Tribunal. The
Company has based on legal advice obtained is confident of winning the above
case and is of view that no provision is required.
FIXED
ASSETS
Tangible
Assets
·
·
Building
·
Improvement to Leasehold Premises
·
Plant and Machinery
·
Furniture and Fittings
·
Vehicles
·
Office Equipments
Intangible
Assets
·
Website Development
·
Software Licenses
·
License Fees
·
Software for Radio Business
·
Music contents
UNAUDITED STANDALONE FINANCIALS RESULT FOR YEAR QUARTER ENDED
30.09.2012
(Rs. In Millions)
|
|
Three Months Ended |
Six Months Ended |
||
|
SI. No. |
Particulars |
30.09.2012 (Un-audited) |
30.06.2012 (Un-audited) |
30.09.2012
(Un-audited) |
|
1 |
Income from
operations |
|
|
|
|
|
a) Net Sales/Income from Operations |
3296.700 |
3070.000 |
6366.700 |
|
|
b) Other Operating Income |
52.600 |
29.500 |
82.100 |
|
|
Total Income from
operations |
3349.300 |
3099.500 |
6448.800 |
|
2 |
Expenses |
|
|
|
|
|
a) Cost of materials consumed |
1196.700 |
954.400 |
2151.100 |
|
|
b) Purchases of stock-in-trade |
0.000 |
0.000 |
0.000 |
|
|
c) Changes In inventories of finished goods,
work-in-progress |
(0.500) |
(0.900) |
(1.400) |
|
|
d) Employee benefits expense |
720.100 |
631.100 |
1351.200 |
|
|
e) Depreciation and amortisation expense |
154.900 |
138.200 |
293.100 |
|
|
f) Other expense |
1037.800 |
971.800 |
2009.600 |
|
|
Total Expense |
3109.000 |
2694.600 |
5803.600 |
|
3 |
Profit from
Operations before other Income, finance costs and exceptional items (1-2) |
240.300 |
404.900 |
645.200 |
|
4 |
Other Income |
258.900 |
157.500 |
416.400 |
|
5 |
Profit from
ordinary activities before finance costs and exceptional items (3+4) |
499.200 |
562.400 |
1061.600 |
|
5a |
Profit from
ordinary activities before finance costs, depreciation and amortisation
expenses & exceptional items (EBITDA) (5+2e) |
654.100 |
700.600 |
1354.700 |
|
6 |
Finance Costs |
70.100 |
75.800 |
145.900 |
|
7 |
Profit from
ordinary activities after finance costs but before exceptional items(5-6) |
429.100 |
486.600 |
915.700 |
|
8 |
Exceptional Items |
- |
- |
- |
|
9 |
Profit from Ordinary
Activities before Tax (7+8) |
429.100 |
486.600 |
915.700 |
|
10 |
Tax Expense |
91.700 |
118.900 |
210.600 |
|
11 |
Net Profit from
Ordinary Activities after Tax (9-10) |
337.400 |
367.700 |
705.100 |
|
12 |
Extraordinary Items (Net of Tax Expenses) |
- |
- |
- |
|
13 |
Net Profit/(Ioss)
for the period (11-12) |
337.400 |
367.700 |
705.100 |
|
14 |
Paid-up Equity Share Capital (Face value - Rs. 2 per share) |
470.000 |
470.000 |
470.000 |
|
15 |
Reserves excluding Revaluation Reserve as per balance sheet of previous accounting year |
|
|
|
|
16.1 |
Earnings per share (before extraordinary items) [ of Rs 2/- each) |
Not Annuallsed |
Not Annualised |
Not Annualised |
|
|
a) Basic |
1.44 |
1.56 |
3.00 |
|
|
b) Diluted |
1.44 |
1.56 |
3.00 |
|
16. ii |
Earnings per share (after extraordinary items) of Rs 2/- each) |
Not Annuallsed |
Not Annuallsed |
Not Annualised |
|
|
a) Basic |
1.44 |
1.56 |
3.00 |
|
|
b) Diluted |
1.44 |
1.56 |
3.00 |
|
PART II |
||||
|
Select Information
for the Quarter Ended September 30, 2012 |
||||
|
|
Three Months Ended |
Six Months Ended |
||
|
SI. No. |
Particulars |
30.09.2012 |
30.06.2012 |
30.09.2012 |
|
A |
Particulars of
Shareholding |
|
|
|
|
1 |
Public Shareholding |
|
|
|
|
|
Number of shares |
73243945 |
73243945 |
73243945 |
|
|
Percentage of shareholding |
31.16% |
31.16% |
31.16% |
|
2 |
Promoters and
Promoter Group Shareholding a) Pledge / Encumbered |
|
|
|
|
|
Number of Shares |
Nil |
Nil |
Nil |
|
|
Percentage of Shares (as a % of the total shareholding of Promoter and Promoter group) |
NA |
NA |
NA |
|
|
Percentage of Shares (as a % of total share capital of the Company) |
NA |
NA |
NA |
|
|
b) Non Encumbered |
|
|
|
|
|
Number of Shares |
161777090 |
161777090 |
161777090 |
|
|
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) |
68.84% |
68.84% |
68.84% |
|
|
Particulars |
Three months ended
30.09.2012 |
|
B |
INVESTOR COMPLAINTS |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the quarter |
4 |
|
|
Disposed of during the quarter |
4 |
|
|
Remaining unresolved at the end of the quarter |
Nil |
Notes:
1 The above results have been reviewed by the
Audit Committee and approved by the Board of Directors at its meeting held on
October 13, 2012.]
2 During the quarter, the Company has made the
following investments In Subsidiaries :
- Rs.31.000 Millions In Compulsorlly
Convertible Debentures of HT Digital Media Holdings Limited (HT Digital).
Further, 6 lacs Compulsorily Convertible Debentures of Rs. 100/-each held by
the Company in HT Digital, were converted Into 60 lacs Equity Shares of Rs.10/-
each of HT Digital as per terms of issue of the said debentures.
- Rs.25.000 Lacs in HT Mobile Solutions
Limited by way of Inter Corporate Deposit, out of which Rs.15.000 Millions was
repaid during the quarter itself
- Rs.85.000 Millions in Firefly e-Ventures
Limited by way of Inter Corporate Deposit
3 Provision for Tax includes Current Tax Expense
and Deferred Tax Charge/(Credit). This includes tax charge of Rs. 0.293 Million
(net of deferred tax credit) relating to earlier year.
4 Employee Stock Option details of the Company
for the quarter ended September 30, 2012 are as follows:
I) HTML Employee Stock Option Scheme - 2009,
No options were granted, vested, exercised or forfeited.
ii) HTML Employee Stock Option Scheme - 2007,
No options were granted, vested or exercised and 79,885 options were forfeited,
and
iii) HTML Employee Stock Option Scheme - 2005,
No options were granted, vested, exercised or forfeited.
5 The Board of Directors of the Company and
Firefly e- Ventures Limited (FEVL), a subsidiary Company , accorded
lin-principal' approval to a Scheme of Arrangement and Restructuring u/s
391-394 read with Sections 100-104 of the Companies Act, 1956, between FEVL and
the Company (the Scheme), subject to requisite approval(s) and sanction by the
Hon'ble Delhi High Court. The Scheme, inter-alla, provides for demerger of Job
Portal business of FEVL and transfer and vesting thereof Into the Company
w.e.f. from April 1, 2012 (the Appointed Date). The Scheme has been approved by
the Board/committee of Directors of both the Companies, and BSE and NSE have
given their 'no-objection' to the same under clause 24(f) of the Listing
Agreement. Further, pursuant to an order dated 30th May, 2012 of the Hon'ble
Delhi High Court, meetings of Equity Shareholders, Secured and Unsecured
Creditors of the Company and Unsecured Creditors of FEVL, were convened wherein
the Scheme has been approved with requisite majority.
During the quarter, the Petition seeking
sanction of the Scheme was filed by the Company and FEVL with the Hon'ble Delhi
High Court, and the same has been listed for hearing on 23rd November, 2012.
Pending sanction, the impact of the Scheme has not been taken in the financial
statements of the Company and FEVL for the quarter ended on 30th September,
2012.
6 Previous period's/year's figure have been
regrouped/reclassified wherever necessary, to correspond with those of the
current period's/year's classification for disclosure as per the revised format
set out in clause 41 which corresponds to the revised Schedule VI of the
Companies' Act, 1956.
7 The CEO and CFO certificate in respect of
the above results in terms of Clause 41 of the Listing Agreement has been
placed before the Board of Directors.
STANDALONE STATEMENT
OF ASSETS AND LIABILITIES AS AT SEPTEMBER 30, 2012
(Rs. In Millions)
|
|
As at 30.09.2012 |
|
Particulars |
(Unaudited) |
|
A EQUITY AND LIABILITIES |
|
|
1 Shareholders’
funds |
|
|
(a) Share capital |
470.000 |
|
(b) Reserves and surplus |
13309.600 |
|
Sub-total -
Shareholders' funds |
13779.600 |
|
2 Non-current
liabilities |
|
|
(a) Long-term borrowings |
1045.700 |
|
(b) Deferred tax liabilities (net) |
369.400 |
|
(c) Other long-term liabilities |
16.800 |
|
(d) Long-term provisions |
21.700 |
|
Sub-total -
Non-current liabilities |
1453.600 |
|
3 Current
liabilities |
|
|
(a) Short-term borrowings |
3577.200 |
|
(b) Trade payables |
2317.200 |
|
(c) Other current liabilities |
2449.100 |
|
(d) Short-term provisions |
42.500 |
|
Sub-total - Current
liabilities |
8386.000 |
|
|
|
|
TOTAL - EQUITY AND
LIABILITIES |
23619.200 |
|
B ASSETS |
|
|
1 Non-current assets |
|
|
(a) Fixed assets |
4736.100 |
|
(b) Non-current investments |
7093.200 |
|
(c) Long-term loans and advances |
815.200 |
|
(d) Other non-current assets |
242.900 |
|
Sub-total -
Non-current assets |
12887.400 |
|
2 Current assets |
|
|
(a) Current investments |
3275.600 |
|
(b) Inventories |
1416.800 |
|
(c) Trade receivables |
2405.900 |
|
(d) Cash and cash equivalents |
1177.900 |
|
(e) Short-term loans and advances |
1987.800 |
|
(f) Other current assets |
467.800 |
|
Sub-total - Current
assets |
10731.800 |
|
|
|
|
TOTAL - ASSETS |
23619.200 |
Note:
The disclosure is per Clause 41(V)(h) of the Listing Agreement and is in line with revised Schedule VI of the Companies Act, 1956 revising the disclosure and presentation of assets and liabilities.
STATEMENT OF
SEGMENT-WISE REVENUE, RESULTS AND CAPITAL EMPLOYED FOR THE QUARTER ENDED
SEPTEMBER 30, 2012
(Rs. In Millions)
|
|
Three Months Ended |
Six Months Ended |
|
|
Particulars |
30.09.2012
Un-audlted) |
30.06.2012
(Un-audlted) |
30.09.2012 un-audited) |
|
1 Segment Revenue |
|
|
|
|
a) Printing and Publishing of Newspapers and Periodicals |
3092.200 |
2877.700 |
5969.900 |
|
b) Radio Broadcast and Entertainment |
196.100 |
185.900 |
382.000 |
|
c) Unallocated* |
61.000 |
35.900 |
96.900 |
|
Total |
3349.300 |
3099.500 |
6448.800 |
|
Less : Inter Segment Revenue |
- |
- |
- |
|
Net Sales/Income
from Operations |
3349.300 |
3099.500 |
6448.800 |
|
2 Segment Results Profit/(Loss) before Tax and Interest from each segment |
|
|
|
|
a) Printing and Publishing of Newspapers and Periodicals |
268.300 |
447.300 |
715.600 |
|
b) Radio Broadcast and Entertainment |
23.000 |
15.400 |
38.400 |
|
c) Unallocated |
(51.000) |
(57.800) |
(108.800) |
|
|
240.300 |
404.900 |
645.200 |
|
|
|
|
|
|
Less: Finance Cost |
70.100 |
75.800 |
145.900 |
|
Add: Other Income |
258.900 |
157.500 |
416.400 |
|
Profit Before
Taxation |
429.100 |
486.600 |
915.700 |
|
3 Capital Employed
(Segment Assets - Segment Liabilities) |
|
|
|
|
Printing and Publishing of Newspapers and Periodicals |
2495.00 |
2286.000 |
2495.000 |
|
Radio Broadcast and Entertainment |
743.600 |
746.400 |
743.600 |
|
Unallocated * |
10541.000 |
10418.100 |
10541.000 |
|
Total |
13779.600 |
13450.500 |
13779.600 |
* Unallocated Includes figures relating to Segments which do not meet the criteria of Reportable Segment as per Accounting Standard 17 - Segment Reporting notified by Company (Accounting Standards) Rules, 2006
previous period's/year's figure have been regrouped/reclasslfled where necessary to conform to this quarter's classification.
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.53.66 |
|
|
1 |
Rs.86.37 |
|
Euro |
1 |
Rs.69.24 |
INFORMATION DETAILS
|
Report Prepared
by : |
VRN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
65 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.