MIRA
INFORM REPORT
|
Report Date : |
07.11.2012 |
IDENTIFICATION DETAILS
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Name : |
TAJ GVK HOTELS AND RESORTS LIMITED |
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Registered
Office : |
Taj Krishna, Road No.1, Banjara Hills, |
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Country : |
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Financials (as
on) : |
31.03.2012 |
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Date of
Incorporation : |
02.02.1995 |
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Com. Reg. No.: |
01-019349 |
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Capital
Investment / Paid-up Capital : |
Rs.125.403
millions |
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CIN No.: [Company Identification
No.] |
L40109AP1995PLC019349 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
HYDT00765C |
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Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
Hotel and Motel Chains |
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No. of Employees
: |
1798 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
A (64) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 13594000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a Joint – Venture between Tata Group and GVK Group; both
prominent industrial houses. It is a well – established and a reputed company
having fine track. Financial position of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered normal 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
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Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
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Source
: CIA |
EXTERNAL AGENCY RATING
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Rating Agency Name |
ICRA |
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Rating |
LAA- (Long Term Loans) |
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Rating Explanation |
High degree of safety and very low credit risk. |
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Date |
March, 2011 |
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Rating Agency Name |
ICRA |
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Rating |
A1+ (Short Term Loans) |
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Rating Explanation |
Very strong degree of safety and lowest credit risk. |
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Date |
March, 2011 |
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
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Registered Office/ Unit 1 : |
Taj Krishna, Road No.1, Banjara Hills, |
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Tel. No.: |
91-40-66662323/ 66293664 |
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Fax No.: |
91-40-66625364/ 66661313 |
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E-Mail : |
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Website: |
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Unit 2 : |
Taj Deccan, Road No.1, Banjara Hills, |
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Tel. No.: |
91-40-66663939 |
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Fax No.: |
91-40-23392684 |
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E-Mail : |
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Unit 3 : |
Taj Banjara, Road No.1, Banjara Hills, |
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Tel. No.: |
91-40-66669999 |
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Fax No.: |
91-40-66661919 |
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E-Mail : |
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Unit 4 : |
Taj |
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Tel. No.: |
91-172-6613000 |
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Fax No.: |
91-172-6614000 |
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E-Mail : |
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Unit 5 : |
Taj Club House, Chennai, No.2, |
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Tel. No.: |
91-44-66313131 |
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Fax No.: |
91-44-66313030 |
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E-Mail : |
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Unit 6 : |
Vivanta By Taj
Begumpet, |
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Tel. No.: |
91-40-67252626 |
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E-Mail : |
DIRECTORS
As on 31.03.2012
|
Name : |
Dr. G.V. Krishna
Reddy |
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Designation : |
Executive
Chairman |
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Qualification : |
B.A. |
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Name : |
Mrs. G. Indira
Krishna Reddy |
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Designation : |
Managing
Director |
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Qualification : |
B. Sc. |
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Name : |
Mrs. Shalini
Bhupal |
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Designation : |
Executive
Director |
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Qualification : |
B.A. |
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Name : |
Mr. G.V. Sanjay
Reddy |
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Designation : |
Director |
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Date of Birth/ Age : |
18.11.1964 |
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Qualification : |
B.E., |
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Expertise in specific functional areas : |
Hotel
Operations, Power Plant operations and Biotechnology |
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Date of
Appointment : |
29.09.1998 |
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List of Companies in which outside Directorship
held as on 31.03.2012 : |
v GVK Power and
Infrastructure Limited v Bengaluru
International Airport Limited v Alaknanda Hydro
Power Company Limited v GVK Oil and Gas
Limited v GVK Energy
Limited v GVK Power
(Goindwal Sahib) Limited v Pinakini Share
and Stock Brokers Limited v GVK Gautami
Power Limited v GVK Industries
Limited v
GVK EMRI |
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Name : |
Mr. Krishnaram Bhupal |
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Designation : |
Director |
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Name : |
Dr. Raymond N.
Bickson |
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Designation : |
Director |
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Name : |
Mr. Anil P. Goel |
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Designation : |
Director |
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Date of Birth/Age : |
20.05.1957 |
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Qualification : |
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Date of Appointment : |
23.10.2004 |
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Name : |
Mrs. Deepa Misra Harris |
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Designation : |
Director (w.e.f. 30.01.2012) |
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Date of Birth/ Age : |
26.10.1958 |
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Qualification : |
Degree in Mass
communications and Masters in English |
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Expertise in specific functional areas : |
Sales and Marketing |
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Date of
Appointment : |
30.01.2012 |
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List of Companies in which outside Directorship
held as on 31.03.2012 : |
v Piem Hotels
Limited v Northern India
Hotels Limited v Taj Karnataka
Hotels and Resorts Limited |
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Name : |
Dr. Abid Hussain |
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Designation : |
Director |
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Date of Birth/ Age : |
26.12.1926 |
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Qualification : |
I A S (Retired) |
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Expertise in specific functional areas : |
Has held various
senior positions in the State and Central Government as also in various
Overseas Development Bodies |
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Date of
Appointment : |
27.04.2001 |
|
List of Companies in which outside Directorship
held as on 31.03.2012 : |
v Nagarjuna Oil
Corporation Limited v Morgan Stanley
Asset Management ( v Shree Cement
Limited v GVK Industries
Limited v GVK Power and
Infrastructure Limited v Zodiac Clothing
Company Limited v Wockhardt
Limited v
GVK EMRI |
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Name : |
Mr. D.R.
Kaarthikeyan |
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Designation : |
Director |
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Date of Birth/Age : |
02.10.1939 |
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Qualification : |
B. Sc., BL., IPS |
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Date of Appointment : |
27.04.2001 |
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Previous Employment : |
Magus Media Private Limited |
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Name : |
Dr. Anumolu Ramakrishna |
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Designation : |
Director |
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Date of Birth/ Age : |
20.12.1939 |
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Qualification : |
Masters in Structural Engineering |
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Expertise in specific functional areas : |
Structural Engineering,
Design and construct of large projects |
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Date of
Appointment : |
26.12.2005 |
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List of Companies in which outside Directorship
held as on 31.03.2012 : |
v Andhra Sugars
Limited v The Andhra
Petrochemicals Limited v Brigade
Enterprises Limited v GVK Energy
Limited v GVK Gautami
Power Limited v GVK Power and
Infrastructure Limited v The KCP Limited v Madras Cements
Limited v Ramco Industries
Limited v
Teesta Urja Limited |
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Name : |
Mr. C.D. Arha |
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Designation : |
Director |
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Name : |
Mr. P. Abraham |
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Designation : |
Director |
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Name : |
Mr. K. Jayabharath Reddy |
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Designation : |
Director |
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Name : |
Mr. M.B.N. Rao |
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Director |
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Date of Birth/ Age : |
19.06.1948 |
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Qualification : |
B.Sc.,(Ag) |
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Expertise in specific functional areas : |
Banking |
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Date of
Appointment : |
24.10.2009 |
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List of Companies in which outside Directorship
held as on 31.03.2012 : |
v Cholamandalam
Investment and Finance Co Limited v E I D Parry ( v Electro Steel
Castings Limited v Madras Cements
Limited v BEML Limited v Neyveli Lignite
Corporation Limited v Aircel Limited v Aircel Cellular
Limited v Dishnet Wireless
Limited v Apollo Munich
Health Insurance Company Limited v CRISIL Risk and
Infrastructure Solutions Limited v Indian Clearing
Corporation Limited v Lanco
AmarkantakPower Limited v
NLC Tamilnadu Power Limited |
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Name : |
Ch. G. Krishna Murthy |
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Designation : |
Director |
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Date of Birth/ Age : |
09.02.1931 |
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Qualification : |
M.A; LL B; F C A |
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Expertise in specific functional areas |
Legal and Tax matters |
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Date of Appointment : |
30.04.2012 |
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List of Companies in which outside Directorship held as on 31.03.2012
: |
GVK Power and
Infrastructure Limited |
KEY EXECUTIVES
|
Name : |
Mr. S.B. Kamath |
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Designation : |
General Manager - Finance and Company Secretary |
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Audit Committee : |
v
Dr. A. Ramakrishna (Chairman) v
Dr. Raymond N. Bickson v
Mr. Anil P. Goel v
Mr. D.R. Kaarthikeyan v
Mr. C.D. Arha v
Dr. Abid Hussain v
Mr. K. Jayabharath Reddy v
Mr. M.B.N. Rao |
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Remuneration Committee : |
v
Dr. A. Ramakrishna : Chairman v
Mr. C.D. Arha v
Dr. Raymond N. Bickson |
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Shareholders’ / Investors’ Grievances Committee : |
v
Mrs. G. Indira Krishna Reddy v
Mr. Anil P. Goel |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2012
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
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(A) Shareholding of Promoter and Promoter Group |
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8779160 |
14.00 |
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38238646 |
60.99 |
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47017806 |
74.99 |
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Total shareholding of Promoter and Promoter Group (A) |
47017806 |
74.99 |
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(B) Public Shareholding |
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|
461993 |
0.74 |
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496685 |
0.79 |
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2212643 |
3.53 |
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3171321 |
5.06 |
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|
1512352 |
2.41 |
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|
9298747 |
14.83 |
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1083213 |
1.73 |
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|
618056 |
0.99 |
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|
8510 |
0.01 |
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|
47363 |
0.08 |
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562183 |
0.90 |
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12512368 |
19.96 |
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Total Public shareholding (B) |
15683689 |
25.01 |
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Total (A)+(B) |
62701495 |
100.00 |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
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0 |
0.00 |
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|
0 |
0.00 |
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0 |
0.00 |
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Total (A)+(B)+(C) |
62701495 |
0.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 million BUSINESS DETAILS
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Line of Business : |
Hotel and Motel Chains |
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Products/ Services : |
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GENERAL INFORMATION
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No. of Employees : |
1798 (Approximately) |
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Bankers : |
v IDBI Bank Limited v
The v
State Bank of v HDFC Bank Limited v
The Bank of |
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Facilities : |
Long Term
Borrowings Details of
current and non current component of long term borrowings
i) Term Loans
from banks Rs.900.000
millions from Housing Development Finance Corporation Limited secured by first
charge on all assets of Taj Krishna and Taj Deccan is repayable in 32 equal
installments after 2 years from date of each disbursement. First installment
payable in June 2012. Interest at a weighted average rate of 11.15% p.a. with
an annual reset clause Rs.720.000 millions from HDFC Bank Limited secured by
first charge on all assets of Taj Club House, Chennai is repayable in 32
equal installments after 2 years from date of each disbursement. First
installment payable in June 2012. Interest at a weighted average rate of
11.40% p.a. with an annual reset clause ii) Loans from
related parties Rs.50.000
millions from The Indian Hotels Company Limited repayable in July 2013.
Interest at a rate of 7% p.a. Short Term Borrowings i) Secured loans
- Bank overdraft Rs.66.064 millions from Hongkong and Shanghai Banking
Corporation Limited secured by first charge on all assets of Taj Chandigarh
at an interest rate of 10.75% p.a. Rs.27.134 millions from IDBI Bank Limited
secured by hypothecation of Operating Supplies, Stores, Food and Beverages
and Receivables at an interest rate of 12.25% p.a. ii) Unsecured
loans Loan from the
Bank of Nova Scotia for a tenure of 67 days from the drawal date at an
interest rate of 11.90% p.a. |
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Banking Relations
: |
-- |
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Statutory Auditors : |
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Name : |
Brahmayya and
Company Chartered Accountants |
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Address: |
Flat No.403 and
404, Golden Green Apartments, Irrum Manzil Colony, |
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Internal Auditors : |
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Name : |
A.F. Ferguson
and Company Chartered Accountants |
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Address: |
1-8-384, 385, Gowra Grand, 3rd Floor, |
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Secretarial Auditors : |
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Name : |
P.S. Rao and Associates Company Secretaries |
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Address: |
Flat No.10, 4th
Floor, D.No.6-3-347/22/2, Ishwarya Nilayam, Opposite Sai Baba Temple,
Dwarakapuri Colony, Punjagutta, Hyderabad – 500 082, Andhra Pradesh, India |
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Joint Venture
with : |
The Indian Hotels Company Limited |
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Jointly
controlled entity : |
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Companies/Firms/Trust in which the Key Management and their
relatives are interested : |
v Accura Constructions
(Private) Limited v Accura Estates
(Private) Limited v Alaknanda Hydro
Power Company Limited (*) v Allied Estates
(Private) Limited v Altitude Design
and Development (Private) Limited v Amtran
Constructions (Private) Limited v Anchor Estates
(Private) Limited v Appease Estates
Private Limited v v Bengaluru
International Airport Limited (*) v Blue Streak
Consultants (Private) Limited v v Bonanza Real
Estates (Private) Limited v Caspian Capital
and Finance (Private) Limited v Casuarina
Capital and Finance (Private) Limited v v Consolidated
Real Estates (Private) Limited v Cygnus Real
Estates (Private) Limited v v Dhaulasidh Power
(Private) Limited v v v Fortune Real
Estates (Private) Limited v Fresenius
Intraven (Private) Limited v GVK Gautami
Power Limited (*) v Gautami Power (Samalkot)
Private Limited v Genesis Realtors
(Private) Limited v v v Goriganga Hydro
Power Company (Private) Limited v v v
Greenridge Hotels and Resorts (Private) Limited v v v v GVK Biosciences
(Private) Limited (*) v GVK Cements
Private Limited v v GVK Coal
(Tokisud) Company (Private) Limited (*) v GVK Davix
Research (Private) Limited v GVK Davix
Technologies (Private) Limited v GVK Deoli Kota
Expressway (Private) Limited v GVK
Developmental Projects (Private) Limited v GVK Foundation
(*) v GVK Energy
Holdings (Private) Limited v GVK Energy
Limited (*) v GVK Energy
Ventures (Private) Limited v GVK Estates
Private Limited v GVK Hydel
(Private) Limited v GVK Industries
Limited (*) v GVK Jaipur
Expressway Private Limited (*) v GVK Natural Resources
(Private) Limited (*) v GVK Oil and Gas
Limited (*) v GVK Perambalur
SEZ (Private) Limited v GVK Power and
Infrastructure Limited (*) v GVK Power
(Goindwal Sahib) Limited (*) v GVK Power
(Krishnapatnam) (Private) Limited v GVK Power
(Ratlam) Private Limited (*) v GVK Properties
and Management Company (Private) Limited v GVK Projects and
Technical Services Limited (*) v GVK Technical
and Consultancy Private Limited (*) v GVK Ratle Hydro
Electric Project Private Limited (*) v GVK
Transportation (Private) Limited v GVK Virudhnagar
Sez (Private) Limited v
v Inc GVK Bio
(Private) Limited v Indigo
Enterprises v Indigo Estates v Indira
Constructions v Indira
Enterprises v Innovative Land
Holdings (Private) Limited v Inogent
Laboratories (Private) Limited v ISR Infrastructure v JK Operation and
Maintainance (Private) Limited v KR v v KRBSB Estates
Private Limited v v v Lakeview
Developers v Lakshmi
Enterprises v v Magus Media
Private Limited v Mallikarjuna
Estates (Private) Limited v Mallikarjuna
Finance (Private) Limited v Marine
Developers v Marine
Enterprises v Marine Estates v v Marwell
Architects and Contractors (Private) Limited v Metro Architects
and Contractors (Private) Limited v Midas Estates
(Private) Limited v MMR
Constructions v MR Constructions v MRK
Constructions v Mumbai
Airotropolis Private Limited v Mumbai Airport
Habitation Private Limited v v Mumbai Aviation
Fuel Form Facility (Private) Limited v v Novopan
Industries Limited (*) v Orbit Travel and
v v Pace
Constructions (Private) Limited v Pace Estates
(Private) Limited v
Paigah House Hotel (Private) Limited v Parthasarathy
A/c Tourists (Private) Limited v Patikari Power
Private Limited v Pinakini Share
and Stock Brokers Limited v v Plateau
Construction and Engg.(Private) Limited v v Raghavendra
Finance (Private) Limited v v Regulus Estates
(Private) Limited v Revatha Aqua
Mineral (Private) Limited v RK Estates v S. Bhupal and
Others (*) v SS Inclusive
Development Finance Private Limited v v Sheraton Estates
(Private) Limited (*) v v Siregraha Mines
Limited v v SR Finance and
Others v SR Finance
(Private) Limited v Sri Hari
Developers v Sri Hari
Enterprises v Sri Hari Estates v Sri Lakshmi
Enterprises v Sri Parvathi
Enterprises v Sri Shiva
Enterprises v Sri Venkateswara
Enterprises (*) v Sri Vishnu Enterprises
(*) v v Sunshine
Enterprises v Suphala Real
Estates (Private) Limited v TRG
Constructions v Trinity Advisors
(Private) Limited v Verdura v Vertex Infratech
(Private) Limited v Vertex Projects
Limited v v Vulcon
Constructions (Private) Limited v Woodstar
Industries (*) v
Zinger Investments (Private) Limited (*) Companies with which there are transactions during the year. |
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
170500000 |
Equity Shares |
Rs.2/- each |
Rs.341.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
62701495 |
Equity Shares |
Rs.2/- each |
Rs.125.403
millions |
|
|
|
|
|
Reconciliation of
Ordinary shares:
|
Particulars |
No.
of Shares |
March
31, 2012 (Rs.
in millions) |
|
Shares outstanding at the beginning of the year |
62701495 |
125.403 |
|
Add: Shares Issued during the year |
-- |
-- |
|
Shares outstanding at the end of the year |
62701495 |
125.403 |
Shareholders
holding more than 5% Equity Shares in the Company:
|
Name of
Shareholder |
As at March 31, 2012 |
|
|
No. of Shares held |
% of
Holding |
|
|
Caspian Capital and Finance Limited |
22238646 |
35.47 |
|
The Indian Hotels Company Limited |
16000000 |
25.52 |
|
G. Indira Krishna Reddy |
5065000 |
8.08 |
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 |
125.403 |
125.403 |
125.403 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
3272.985 |
3088.972 |
2801.314 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
3398.388 |
3214.375 |
2926.717 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1525.698 |
1311.374 |
1203.301 |
|
|
2] Unsecured Loans |
180.000 |
100.000 |
50.000 |
|
|
TOTAL BORROWING |
1705.698 |
1411.374 |
1253.301 |
|
|
Long Term Trade Deposits |
0.000 |
0.000 |
8.743 |
|
|
DEFERRED TAX LIABILITIES |
327.376 |
192.624 |
160.764 |
|
|
|
|
|
|
|
|
TOTAL |
5431.462 |
4818.373 |
4349.525 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
4529.409 |
3681.763 |
3754.787 |
|
|
Capital work-in-progress |
318.540 |
798.539 |
842.942 |
|
|
|
|
|
|
|
|
INVESTMENT |
363.580 |
0.180 |
0.180 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
69.735
|
46.762
|
44.096 |
|
|
Sundry Debtors |
73.009
|
97.377
|
68.393 |
|
|
Cash & Bank Balances |
19.529
|
49.522
|
28.866 |
|
|
Other Current Assets |
12.231
|
13.497
|
0.000 |
|
|
Loans & Advances |
802.365
|
669.984
|
216.840 |
|
Total
Current Assets |
976.869
|
877.142 |
358.195 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
213.035
|
139.912
|
322.437 |
|
|
Other Current Liabilities |
422.162
|
218.748
|
112.364 |
|
|
Provisions |
121.739
|
180.591
|
186.798 |
|
Total
Current Liabilities |
756.936
|
539.251 |
621.599 |
|
|
Net Current Assets |
219.933
|
337.891
|
(263.404) |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
15.020 |
|
|
|
|
|
|
|
|
TOTAL |
5431.462 |
4818.373 |
4349.525 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
2539.688 |
2592.843 |
2282.546 |
|
|
|
Other Income |
19.700 |
14.733 |
9.958 |
|
|
|
TOTAL (A) |
2559.388 |
2607.576 |
2292.504 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee Benefits Expense |
492.492 |
467.680 |
409.843 |
|
|
|
Food & Beverages Consumed |
258.318 |
252.273 |
212.116 |
|
|
|
Other operating and general expenses |
1008.352 |
910.255 |
803.208 |
|
|
|
TOTAL (B) |
1759.162 |
1630.208 |
1425.167 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
800.226 |
977.368 |
867.337 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
151.411 |
113.953 |
121.671 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
648.815 |
863.415 |
745.666 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
221.029 |
206.111 |
196.085 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
427.786 |
657.304 |
549.581 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
134.465 |
223.900 |
186.892 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
293.321 |
433.404 |
362.689 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
1778.842 |
1591.183 |
1474.725 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
NA |
125.402 |
125.403 |
|
|
|
Tax on Dividend |
NA |
20.343 |
20.828 |
|
|
|
Transfer to General Reserve |
NA |
100.000 |
100.000 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
1778.842 |
1591.183 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Earnings in Foreign Exchange |
727.670 |
720.071 |
725.842 |
|
|
TOTAL EARNINGS |
727.670 |
720.071 |
725.842 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.68 |
6.91 |
5.78 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2012 (1st
Quarter) |
30.09.2012 (2nd
Quarter) |
|
Net Sales |
|
624.670 |
608.430 |
|
Total Expenditure |
|
456.900 |
466.460 |
|
PBIDT (Excl OI) |
|
167.770 |
141.970 |
|
Other Income |
|
0.000 |
0.000 |
|
Operating Profit |
|
167.770 |
141.970 |
|
Interest |
|
50.050 |
56.070 |
|
Exceptional Items |
|
0.000 |
0.000 |
|
PBDT |
|
117.720 |
85.900 |
|
Depreciation |
|
60.330 |
61.080 |
|
Profit Before Tax |
|
57.400 |
24.810 |
|
Tax |
|
19.720 |
7.990 |
|
Provisions and contingencies |
|
0.000 |
0.000 |
|
Profit After Tax |
|
37.690 |
16.820 |
|
Extraordinary Items |
|
0.000 |
0.000 |
|
Prior Period Expenses |
|
0.000 |
0.000 |
|
Other Adjustments |
|
0.000 |
0.000 |
|
Net Profit |
|
37.690 |
16.820 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
11.46
|
16.62
|
15.82 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.84
|
25.35
|
24.08 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.77
|
14.42
|
13.36 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.13
|
0.20
|
0.19 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.72
|
0.61
|
0.64 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.29
|
1.63
|
0.58 |
LOCAL AGENCY FURTHER INFORMATION
|
Check
List by Info Agents |
Available
in Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
No |
|
5) Type of Business |
Yes |
|
6) Line of Business |
Yes |
|
7) Promoter’s background |
Yes |
|
8) No. of employees |
Yes |
|
9) Name of person contacted |
No |
|
10) Designation of contact person |
No |
|
11) Turnover of firm for last three years |
Yes |
|
12) Profitability for last three years |
Yes |
|
13) Reasons for variation <> 20% |
-- |
|
14) Estimation for coming financial year |
No |
|
15) Capital in the business |
Yes |
|
16) Details of sister concerns |
Yes |
|
17) Major suppliers |
No |
|
18) Major customers |
No |
|
19) Payments terms |
No |
|
20) Export / Import details (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 |
Yes |
|
31)
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
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 |
OPERATIONS / PERFORMANCE
During the year
2011-12 the Company’s turnover decreased by 2% from Rs.2606.600 millions to
Rs.2559.400 millions. The gross operating profit (PBDIT) was lower by 18.04% at
Rs.800.200 millions from the previous year’s Rs.976.400 millions and the net
profit was lower by 32.33% in the current year at Rs.293.300 millions compared
to Rs.433.400 millions of the previous year.
EXPANSION PLANS
Taj
The construction
of an additional Car parking facility alongwith enhanced landscaping and
connecting bridges at the existing premises of Taj Krishna is nearing
completion.
GINGER HOTEL PROJECTS
The Company is also
planning to enter the value for money segment through the ’Ginger’ brand in
Andhra Pradesh. The excavation works on the first Ginger hotel on a site
located near the
INVESTMENT IN MUMBAI HOTEL PROJECT
The Company
jointly with M/s. Greenridge Hotels and Resorts Private Limited (Greenridge - a
GVK Company) through its SPV Green Woods Palaces and Resorts Private Limited
(Green Woods) are setting up a 5 Star Deluxe (Luxury category) Hotel Project
comprising of 275 rooms near Terminal 1C, Santacruz, Mumbai at Mumbai
International Airport under the ’TAJ’ brand.
Necessary
agreements to this effect have been entered into. TAJGVK in tranches would
invest around Rs.110.25 crs in the Hotel Project.
OTHER PROJECTS
Company has been
allotted around 6 acres land in Yellahanka Bengaluru for hotel project. Plans
are under evaluation.
MANAGEMENT
DISCUSSION AND ANALYSIS
ECONOMIC OVERVIEW:
The Indian
economic growth was slightly subdued in 2011-12 because of various factors,
both global and internal.
Slower economic
expansion of world output and recent corporate governance issues are some of
the main reasons. Headline inflation surged sharply to its highest level in more
than a year, maintaining pressure on the RBI for a fresh dose of interest-rate
hikes despite flagging economic growth. Sharp higher year-on-year inflation in
food items, and fuel products led to the spike in the headline estimates.
Industrial growth during the year slumped to 3.3 per cent with high interest
rates affecting the factory output. Eight core infrastructure sectors of crude
oil, petroleum refinery products, natural gas, fertilisers, coal, electricity,
cement and finished steel logged a 3.5 per cent growth down from 4.4 per cent
expansion witnessed in the previous year. The services sector also witnessed a
slow pace in growth on account of the lagged effects of monetary policy
tightening, the elevated level of inflation and the heightened uncertainty
about the global economic outlook.
The Euro-zone
crisis have had a negative impact on the Indian capital markets as Indian
shares posted their biggest fall since the months following the Lehman Brothers
collapse. Indian Rupee also weakened by close to 9 per cent to the USD by the
third quarter of the year. This had a severe impact on the profitability of
Indian companies especially those who had borrowed through the External
Commercial Borrowing window. The corporates have been increasingly tapping overseas
loans mostly in the
However, exports
grew at double digit figures. The government also adopted certain policy
measures to rope in inflation and increase investment in the country. It eased
overseas borrowing rules and allowed companies to tap foreign markets like
HOSPITALITY AND TOURISM INDUSTRY OVERVIEW:
The global hotels
industry appears to be now on a path of slow recovery, having coming out of two
exceptionally bad years 2009 and 2010. While the main recovery leaders are the
emerging countries in the Asia-Pacific region, the developed luxury hotel
markets of the
Travel and Tourism
globally enjoyed a strong year in 2011. Airline passenger traffic,
international tourist arrivals, hotel occupancy and average room rates (ARRs),
and international tourism receipts were all higher than in 2010. However,
growth was typically slower than in 2010 and, more significantly, began to slow
progressively towards the end of 2011 as economic growth lost momentum.
International airline traffic growth, which had been on a downward trend before
stabilizing, is now showing some signs of an upturn. The Asia Pacific region
witnessed a 5%-6% increase in international tourist arrival which was higher
than the world par increase of 4%-4.5%.
In India, the
occupancy led recovery that started with the return of domestic travellers late
in calendar 2010-11, received a boost with foreign tourist arrivals (FTAs)
picking up in the year 2011-12. One of the key risks to recovery came from
demand dampeners, namely, expectations of relatively mute corporate performance
in fiscal 2011-12, increase in interest rates, rise in fuel and food prices and
subdued macroeconomic signals from the developed markets. Additionally on the
supply front, heavy supplies in markets like the National Capital Region (NCR),
With the latest
technology and facilities, warm hospitality, rich heritage and natural beauty,
Market Overview
Certain political
disturbances have had an impact on the number of tourists visiting
Lately, there is
clear polarisation in hospitality preference with one bunch of hotels in the
Central Business District (CBD), and another group located in and around the
Further,
The city has also
been voted by MICE (Meetings, Incentives, Conferences, Exhibitions) readers as
the best city for MICE in
With an
international airport on the cards, and a lot of big hotel chains investing in
the city,
With more
international flights slated to operate from the city, sanction for the Metro
project and the growth of the
IT industry in and
around
The city is
becoming a hot spot for the hospitality sector. While Taj Chandigarh was a
forerunner in making
Chennai
There was a time
when Chennai that was
The diverse nature
of demand in Chennai, comprising of IT/ITeS, automotive industry, as well as
other manufacturing industries located in Sriperumbudur will sustain the growth
in demand going forward. The expansion of existing manufacturing facilities and
setting up of new plants is responsible for attracting extended stay demand to
the city, and is also responsible for travel by foreign corporate guests with
high paying propensity.
Future Expansion plans
Taj
The construction
of an additional Car parking facility alongwith enhanced landscaping and
connecting bridges at the existing premises of Taj Krishna is nearing
completion.
Investment in Mumbai Hotel
The Company
jointly with M/s. Greenridge Hotels and Resorts Private Limited (Greenridge - a
GVK Company) through its SPV Green Woods Palaces and Resorts Private Limited
(Green Woods) are setting up a 5 Star Deluxe (Luxury category) Hotel Project
comprising of 275 rooms near Terminal 1C, Santacruz, Mumbai at Mumbai
International Airport under the ’TAJ’ brand.
Necessary
agreements to this effect have been entered into. TAJGVK in tranches would
invest around Rs.110.25 crs in the Hotel Project.
Other plans
The company has
been allotted around 6 acres of land at Yelahanka near
Outlook and the
way forward:
The global
recovery is threatened by intensifying strains in the euro area and fragilities
elsewhere. Financial conditions have deteriorated, growth prospects have
dimmed, and downside risks have escalated.
The most immediate
policy challenge is to restore confidence and put an end to the crisis in the
euro area by supporting growth, while sustaining adjustment, containing
deleveraging, and providing more liquidity and monetary accommodation. In other
major advanced economies, the key policy requirements are to address medium
term fiscal imbalances and to repair and reform financial systems, while
sustaining the recovery. In emerging and developing economies, near-term policy
should focus on responding to moderating domestic growth and to slowing
external demand from advanced economies.
The upcoming year
is projected to be a better and brighter one for the hospitality industry
though, but the question is as to what will be the new factors driving the
market in 2012. The landscape is evolving quickly as new technology demands
that hotels become more social and engaging in their marketing efforts,
travelers are looking for the best value propositions, and consumer demand is
pushing for hotels to make concerted efforts on property upgrades and
improvements.
After years of
delaying capital expenditures, hotel companies are betting that now is the best
opportunity to renovate their properties. In 2012-13, we’ll see even more
hotels renovating lobbies, restaurants, bars and fitness centers, as well as
renovating rooms. Hotel sales, an absolute outcome of an improved market, will
spur even more renovations. Further, Revenue management will make the art of
managing a hotel more of a science.
Revenue management
has morphed from the days it was first introduced by the airline industry in
the 1970s to being a complex science today. Managers have always lowered prices
to stimulate sales when demand is weak and have raised prices during peak
demand periods. Hotels are now able to update prices for all future arrival
dates to match market demands each day, via advanced market intelligence
applications.
Another new and
important trend that is gaining in importance in generating revenues in the hotel
industry is social networking. In the upcoming two years, almost half of the
travel industry will be using social media as a way of generating revenue and
bookings. Currently more than one-fifth (22 percent) use social media as a
revenue generating tool with a further 27 percent planning to do so over the
next five years. Plus, social media will become more of a key component of
Search Engine Results Page (SERP) algorithms. Hotels can no longer afford to
linger over adding social media to their marketing mix. It’s now a necessary
element of traffic-driving success.
Further, the
Indian Hotel and Tourism sector successfully attracted Rs.40410.000 millions
foreign direct investment (FDI) during April 2011-January 2012. In the recent
times, Centre has announced that the Hotel and Tourism sector is a high
priority sector. This highlights the confidence evinced in the Indian
hospitality sector with the aim to boost investments in the sector and to
develop job opportunities therefrom.
FIXED ASSETS:
Tangible Assets
v
v
v
Buildings
-
- Improvements to leasehold buildings
v
Plant and Machinery
v
Furniture, Fixtures and Office Equipment
- Hotel Furniture and Fixtures
v
Office Equipments
v
Vehicles
- Cars
Intangible Assets
v
Customer Reservation Systems
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 exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.07 |
|
|
1 |
Rs.86.69 |
|
Euro |
1 |
Rs.69.37 |
INFORMATION DETAILS
|
Report Prepared
by : |
SMN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
64 |
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.