MIRA
INFORM REPORT
|
Report Date : |
07.11.2012 |
IDENTIFICATION DETAILS
|
Name : |
USHA MARTIN
LIMITED (w.e.f. 22.07.2003) |
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Formerly Known
As : |
USHA BELTRON LIMITED |
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Registered Office : |
2 A, Shakespeare
Sarani, P S Shakespeare Sarani, Mangal Kalash, Kolkata – 700 071, |
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Country : |
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Financials (as on) : |
31.03.2012 |
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Date of Incorporation : |
22.05.1986 |
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Com. Reg. No.: |
21-091621 |
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Capital Investment / Paid-up Capital : |
Rs.305.420 Millions |
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CIN No.: [Company
Identification No.] |
L31400WB1986PLC091621 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CALU01301G |
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Legal Form : |
A Public Limited
Liability Company. The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business : |
Manufacturer of
Jelly Filled Telephone Cables, Wire and Wire Ropes and Steel. |
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No. of Employees : |
8000 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
A (58) |
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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 61200000 |
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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 an established company having good track record. There
appears to some loss in the current year recorded by the company. However, financially
company appears to be strong. Trade relations are reported to be fair.
Business is active. Payments are reported to be regular and as per
commitments. The company can be considered for normal 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 |
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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
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
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Rating Agency Name |
CARE |
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Rating |
A1+ [Short Term] |
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Rating Explanation |
Having very strong degree of safety regarding timely payment of financial
obligation it carry lowest credit risk. |
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Date |
9th October |
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 : |
2 A, Shakespeare Sarani,
P S Shakespeare Sarani, Mangal Kalash,
Kolkata – 700 071, West |
|
Tel. No.: |
91-33-22828540 /
41 / 6737 / 8545 / 39800300 / 22825816 |
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Fax No.: |
91-33-22821660 /
1971 / 39800400 |
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E-Mail : |
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Website : |
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Corporate
Office : |
Agarwal Estate, |
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Tel. No.: |
91-22-26160176 / 26528477 |
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Fax No.: |
91-22-26526774 |
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Email: |
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Administrative
Office : |
Usha Alloys and
Steel Division, Post Box 147, |
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Tel No.: |
91-657-2386052 /
2386070 |
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Factory : |
LOCATED AT: ·
UAS Division - Adityapur, ·
Tatilswai, ·
Hoshiarpur, ·
Construction
Steel Division (North) - Nawalganj, ·
Sri Perumbudur, ·
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Mines : |
LOCATED AT: ·
·
Coal Mines – Daltonganj –
822 101, |
DIRECTORS
AS ON 31.03.2012
|
Name |
Mr. B K Jhawar |
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Designation |
Chairman Emeritus |
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Name : |
Mr. Prashant Jhawar |
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Designation : |
Chairman |
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Name |
Mr. Rajeev Jhawar |
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Designation |
Managing Director |
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Date of Birth/Age : |
46 Years |
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Qualification : |
B. Com (Hons) |
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Experience : |
26 Years |
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Date of Appointment : |
01.10.1997 |
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Name |
Dr. Vijay Sharma |
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Designation |
Joint Managing Director [Steel Business] |
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Name : |
Mr. Brij K Jhawar |
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Designation : |
Director |
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Name : |
Mr. A K Chaudhri |
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Designation : |
Director |
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Name : |
Mr. S Singhal |
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Designation : |
Director |
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Name : |
Mrs. Ramni Nirula |
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Designation : |
Director |
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Name : |
Mr. G N Bajpai |
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Designation : |
Director |
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Name : |
Mr. Nripendra Misra |
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Designation : |
Director |
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Name |
Mr. Jitender Balakrishnan |
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Designation |
Director |
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Name |
Dr. Vijay Sharma |
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Designation |
Executive Director and Chief
Executive [Steel Business] |
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Date of Birth/Age : |
56 Years |
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Qualification : |
B. Tech, M.Sc, PGD in BA Phd (Metallurgical Engineering) |
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Experience : |
34 Years |
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Date of Appointment : |
06.01.2010 |
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Name : |
Mr. Pravin Kumar Jain |
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Designation : |
Executive Director and Chief Executive [Wire and Wire Ropes Business] |
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Date of Birth/Age : |
57 Years |
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Qualification : |
B. Tech, MBA |
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Experience : |
34 Years |
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Date of Appointment : |
01.09.2009 |
KEY EXECUTIVES
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Name : |
Mr. A K Somani |
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Designation : |
Chief Financial Officer and Company Secretary |
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Date of Birth/Age : |
57 Years |
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Qualification : |
B. |
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Experience : |
32 Years |
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Date of Appointment : |
03.04.1990 |
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Name : |
Mr. Sanjay Nath |
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Designation : |
Senior Vice President [Sales and Marketing] |
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Name : |
Mr. D J Basu |
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Designation : |
Senior Vice President [HR] |
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Name : |
Mr. S K Jala |
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Designation : |
Senior Vice President [IT] |
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Name : |
Mr. Rajesh Sharma |
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Designation : |
Senior Vice President [Wire and Wire Rope Division] |
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Name : |
Mr. Sunil Gupta |
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Designation : |
Senior Vice President [Commercial] |
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Name : |
Mr. Anjan Kumar Dey |
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Designation : |
Senior Vice President [Iron Making] |
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Name : |
Mr. Malay Kumar De |
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Designation : |
Senior Vice President [Metallurgical Services] |
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Name : |
Mr. Arvind Kapoor |
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Designation : |
Vice President [Marketing] |
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Name : |
Mr. S Jodhawat |
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Designation : |
Chief Executive Officer – Usha MartinInternational Limited |
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Name : |
Mr. Paul Scutt |
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Designation : |
Managing Director – European Marine and Management |
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Name : |
Mr. Len Allen |
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Designation : |
Director Operation – Brunton Shaw UK |
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Name : |
Mr. Henk Steenbergen |
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Designation : |
General Manager – De Ruiter Staalkabel B.V |
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Name : |
Mr. Amogh Sharma |
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Designation : |
Managing Director – Usha Siam Steel Industries Public Company Limited |
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Name : |
Mr. Tapas Ganguly |
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Designation : |
Chief Executive Officer – Usha Martin Singapore Pte Limited |
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MIDDLE EAST |
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Name : |
Mr. S. Mazumder |
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Designation : |
Sr. DGM, Sales and Marketing – Brunton Wold Wire Ropes, Fzco. |
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Name : |
Mr. Sunil Sadani |
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Designation : |
Vice President – Usha Martin Americas Inc. |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2012
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
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|
7500250 |
2.64 |
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85199935 |
30.04 |
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92700185 |
32.69 |
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|
33336135 |
11.75 |
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|
33336135 |
11.75 |
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Total shareholding of Promoter and Promoter Group (A) |
126036320 |
44.44 |
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(B) Public Shareholding |
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|
38755765 |
13.67 |
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|
125740 |
0.04 |
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|
22477888 |
7.93 |
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36667034 |
12.93 |
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|
98026427 |
34.57 |
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|
25470417 |
8.98 |
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|
26427201 |
9.32 |
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|
7639790 |
2.69 |
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|
59537408 |
20.99 |
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Total Public shareholding (B) |
157563835 |
55.56 |
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Total (A)+(B) |
283600155 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
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|
8540125 |
0.00 |
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|
12601500 |
0.00 |
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|
21141625 |
0.00 |
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Total (A)+(B)+(C) |
304741780 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of
Jelly Filled Telephone Cables, Wire and Wire Ropes and Steel. |
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Products : |
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PRODUCTION STATUS [AS ON 31.03.2011]
|
Particulars |
Unit |
Installed
Capacity $ |
Actual
Production |
|
a. Wire Rods |
M.T. |
400,000 |
318,567 |
|
b. Bars |
M.T. |
323,000 |
173,048 |
|
c. Billets |
M.T. |
1,000,000 |
500,140 |
|
d. Pig Iron/Hot Metal |
M.T. |
570,000 |
292,994 |
|
e. Sponge Iron |
M.T. |
300,000 |
237,209 |
|
f. Rolled Products |
M.T. |
72,300 |
42,581 |
|
g. Wire Ropes, Strands including Locked Coil Wire Ropes |
M.T. |
129,708 |
104,004 |
|
h. Wires |
M.T. |
111,060 |
80,087 |
|
i. Bright Bar |
M.T. |
25,480 |
19,278 |
|
Conveyor Cord |
M.T. |
3,600 |
1,786 |
|
j. Wire Drawing and Allied Machines |
Nos. |
60 |
12 |
|
k. Hydraulic Machines including Presses |
Pcs. |
100 |
60 |
|
n. Blocks, Dies etc. |
Sets |
400 |
19 |
|
Ferrules, Slings, Fitting |
Pcs. |
700,000 |
116,057 |
|
l. Equipment for Prestressed Concrete System |
Pcs. |
6,500,000 |
1,892,326 |
|
m. Jointing Equipment |
Pcs. |
100,000 |
20,637 |
NOTES:
·
$ As certified by the Management.
·
a Including internal consumption 192,229 M.T.
·
b Including internal consumption 16,006 M.T.;
excluding trial production Nil M.T
·
c Including internal consumption 503,410 M.T. and
purchase (net) 6,895 M.T.; excluding trial production Nil M.T.
·
d Including internal consumption 312,286 M.T.
excluding trial run production 45,669 M.T.
·
e Including internal consumption 240,123 M.T.;
excluding trial production Nil M.T.
·
f Including internal consumption 99 M.T.
·
g Including internal consumption 3,100 M.T.
·
h including internal consumption 7,447 M.T.
·
i Including internal consumption 2,977 M.T.;
excluding trial production Nil M.T.
·
j Including internal consumption 6 Nos.
·
k Including internal consumption Nil Sets.
·
l Including internal consumption 16,277 Pcs.
·
m Including internal consumption Nil Pcs.
·
n Including internal consumption 2 Sets
GENERAL INFORMATION
|
No. of Employees : |
8000 (Approximately) |
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Bankers : |
· State Bank of India · Canara Bank, Kolkata, West Bengal, India · ICICI Bank Limited · Induslnd Bank Limited · Allahabad Bank, Kolkata, West Bengal, India · The Hongkong and Shanghai Banking Corporation Limited, Kolkata, West Bengal, India · HDFC Bank Limited · BNP Paribas · American Express Bank Limited · The Bank of Tokyo Limited, Kolkata, West Bengal, India · Axis Bank Limited · Export Import Bank of India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Price Waterhouse Chartered
Accountants |
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Address : |
Plot No. Y-14,
Block EP, Sector V, Kolkata – 700
091, West |
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|
|
Subsidiaries : |
·
Usha Martin International Limited (UMIL) ·
Usha Martin Americas Inc. (UMAI) ·
Usha Martin UK Limited (UMUK) ·
UMICOR Africa (Pty) Limited (UMICOR) ·
Usha Martin Vietnam Company Limited (UMVCL) ·
Usha Martin Australia Pty Limited (UMAUS) ·
European Management and Marine Corporation
Limited (EMMC) ·
EMM Caspian Limited (EMM Caspian) ·
Usha Siam Steel Industries Public Company Limited
(USSIL) ·
Brunton Shaw UK Limited (BSUK) ·
Usha Martin Singapore Pte. Limited (UMSPL) ·
Brunton Wolf Wire Ropes FZCO (BWWR) ·
P. T. Usha Martin Indonesia (PTUMI) ·
De Ruiter Staalkabel BV (De Ruiter) ·
UM Cables Limited (UMCL) ·
Usha Martin Power and Resources Limited (UMPRL) ·
Bharat Minex Private Limited (BMPL) |
|
|
|
|
Joint Venture : |
·
Gustav Wolf Speciality Cords Limited (GWSCL) ·
Pengg Usha Martin Wires Private Limited (PUMWPL) ·
CCL Usha Martin Stressing Systems Limited
(CCLUMSSL) ·
Dove Airlines Private Limited (DAPL) |
|
|
|
|
Other Related Parties : |
UMI Special Steel Limited (UMISSL ) -
(Under Liquidation) |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000000 |
Equity Shares |
Re.1/- each |
Rs.500.000 Millions |
|
10000000 |
Redeemable Cumulative Preferences Shares |
Rs.50/- each |
Rs.500.000 Millions |
|
|
TOTAL
|
|
Rs.1000.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
304741780 |
Equity Shares |
Re.1/- each |
Rs.304.700
Millions |
|
|
Add: Shares Forfeited |
|
Rs.0.700
Million |
|
|
TOTAL |
|
Rs.305.400 Millions |
NOTE:
(a) 8,019,495 (31 March, 2011: 4,729,370) Equity Shares are represented by Global Depository Receipts (GDRs) out of above paid up
Equity Shares.
(b) Rights, preference and restrictions attached to shares issued:
The Company has only one class of equity shares having a par value of Re.1 per share. Each shareholder is eligible for one vote per share held (except in case of GDRs). The dividend if proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.
(c) Details of shares held by shareholders holding more than 5 % of the aggregate shares in the Company.
|
PARTICULAR |
As on 31.03.2012 |
As on 31.03.2011 |
|
UMIL Shares and Stock Broking Services Limited |
36673238 [12.03%] |
35190280 [11.55%] |
|
HSBC Global Investment Funds Mauritius Limited |
18694789 [6.13%] |
20200000 [6.63%] |
|
Usha Martin Ventures Limited |
19822588 [6.50%] |
19340900 [6.35%] |
|
Peterhouse Investments Limited |
18971455 [6.23%] |
18971455 [6.23%] |
|
Usha Martin Finance Limited (Merged with PIIL) |
-- -- |
16102785 [5.28%] |
|
Peterhouse Investments India Limited (PIIL) |
20767330 [6.81%] |
-- -- |
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 |
305.400 |
305.400 |
305.420 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
15010.000 |
15265.100 |
14691.498 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
15315.400 |
15570.500 |
14996.918 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
21741.100 |
14698.700 |
8401.184 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
21741.100 |
14698.700 |
8401.184 |
|
|
DEFERRED TAX LIABILITIES |
2038.400 |
2148.800 |
1691.017 |
|
|
|
|
|
|
|
|
TOTAL |
39094.900 |
32418.000 |
25089.119 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
29088.900 |
27475.200 |
22491.433 |
|
|
Capital work-in-progress |
7624.900 |
3824.800 |
6083.947 |
|
|
|
|
|
|
|
|
INVESTMENT |
1869.500 |
1869.500 |
1869.513 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
12127.400
|
9626.600 |
6721.045
|
|
|
Sundry Debtors |
3597.100
|
2834.800 |
1674.942
|
|
|
Cash & Bank Balances |
2531.800
|
1129.900 |
102.974
|
|
|
Other Current Assets |
687.700
|
315.100 |
338.620
|
|
|
Loans & Advances |
3419.100
|
2610.600 |
2505.980
|
|
Total
Current Assets |
22363.100
|
16517.000 |
11343.561 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
13685.100
|
9379.100 |
3034.791
|
|
|
Other Current Liabilities |
7931.100
|
7269.500 |
13222.759
|
|
|
Provisions |
235.300
|
619.900 |
441.785
|
|
Total
Current Liabilities |
21851.500
|
17268.500 |
16699.335
|
|
|
Net Current Assets |
511.600
|
(751.500) |
(5355.774)
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
39094.900 |
32418.000 |
25089.119 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
28368.900 |
25247.100 |
18503.855 |
|
|
|
Other Income |
426.400 |
488.100 |
201.639 |
|
|
|
TOTAL (A) |
28795.300 |
25735.200 |
18705.494 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
13140.000 |
10690.500 |
|
|
|
|
Purchases of Stock-in-trade |
35.400 |
37.600 |
|
|
|
|
Employees Benefits Expense |
1520.900 |
1332.800 |
|
|
|
|
Other Expenses |
12403.000 |
10029.700 |
15110.606 |
|
|
|
Departmental Orders for own consumption |
(35.000) |
(30.400) |
|
|
|
|
Changes in inventories
of Finished Goods, Work-in-progress, Stock-in-trade and Scrap |
(2357.000) |
(1365.500) |
|
|
|
|
TOTAL (B) |
24707.300 |
20694.700 |
15110.606 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
4088.000 |
5040.500 |
3594.888 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
2548.500 |
1822.600 |
1130.336 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1539.500 |
3217.900 |
2464.552 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1977.600 |
1764.900 |
1072.517 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(438.100) |
1453.000 |
1392.035 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(110.400) |
457.700 |
469.964 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(327.700) |
995.300 |
922.071 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
554.400 |
411.100 |
343.588 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
0.000 |
500.000 |
500.000 |
|
|
|
Proposed Dividend on Equity Shares and Tax
Thereon |
0.000 |
352.000 |
304.742 |
|
|
|
Provision for Dividend Tax |
0.000 |
0.000 |
49.817 |
|
|
BALANCE CARRIED
TO THE B/S |
226.700 |
554.400 |
411.100 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
Export of Goods (On FOB basis) |
4681.400 |
3956.100 |
4554.381 |
|
|
|
Interest Received |
5.700 |
5.000 |
12.590 |
|
|
|
Service Charges |
0.400 |
0.300 |
0.153 |
|
|
|
Dividend |
19.900 |
165.000 |
25.656 |
|
|
|
|
0.000 |
15.500 |
38.573 |
|
|
TOTAL EARNINGS |
4707.400 |
4141.900 |
4631.353 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
5363.300 |
3936.800 |
2613.732 |
|
|
|
Components and Spare Parts |
360.400 |
491.800 |
230.349 |
|
|
|
Capital Goods |
419.300 |
486.500 |
686.604 |
|
|
TOTAL IMPORTS |
6143.000 |
4915.100 |
3530.685 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(1.08) |
3.27 |
3.53 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2012 |
30.09.2012 |
|
Type |
|
1st
Quarter |
2nd
Quarter |
|
Net Sales |
|
7284.800 |
7747.200 |
|
Total Expenditure |
|
6357.200 |
6323.900 |
|
PBIDT (Excl OI) |
|
927.600 |
1423.300 |
|
Other Income |
|
187.500 |
21.500 |
|
Operating Profit |
|
1115.100 |
1444.800 |
|
Interest |
|
718.400 |
782.700 |
|
PBDT |
|
396.700 |
662.100 |
|
Depreciation |
|
568.100 |
561.100 |
|
Profit Before Tax |
|
(171.400) |
101.000 |
|
Tax |
|
(62.800) |
36.300 |
|
Profit After Tax |
|
(108.600) |
64.700 |
|
Net Profit |
|
(108.600) |
64.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
(1.14)
|
3.87 |
4.93 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(1.54)
|
5.75 |
7.52 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(0.85)
|
3.30 |
4.11 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.03)
|
0.09 |
0.09 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.85
|
2.05 |
1.67 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.02
|
0.96 |
0.68 |
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 |
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 |
No |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
REVIEW OF
OPERATIONS:
During the financial
year 2011-12, the Company has faced challenges of high cost of inputs which
could not be passed on to customers due to difficult business environment. In
addition, Usha Siam Steel Industries Public Company Limited, a subsidiary of
the Company remained out of operation for sizeable part in second half of year
due to unprecedented floods in Thailand.
As a result, the
Company’s operating profit reduced to Rs.4977.600 Millions on consolidated
basis and Rs.4088.000 Millions on standalone basis from Rs.5950.300 Millions
and Rs.5040.500 Millions respectively. The impact on profit before and after
tax was even more severe. On consolidated basis, the Company could achieve
profit after tax and minority interest of Rs.36.100 Millions against
Rs.1370.300 Millions. in previous year. On standalone basis, there was loss
after tax of Rs.327.700 Millions against profit after tax of Rs.995.300
Millions. in the previous year.
The turnover,
however, increased to Rs.33608.200 Millions on consolidated basis and Rs.28368.900
Millions on standalone basis during the year against Rs.30445.900 Millions and
Rs.25247.100 Millions respectively in the previous year.
PROJECTS:
The capex plans
undertaken by the Company to further perpetuate the advantage of cost
competiveness are under various stages of implementation and are expected to be
commissioned in phases over FY 2012-13 and 2013-14. The projects under
implementation include pelletisation plant, coke oven, 2 DRI plants and Waste
Heat based 65 MW Captive Power plants and other related projects. Upon
completion, these projects would significantly strengthen cost base, which in
turn would enhance profitability and competitiveness.
BUSINESS OUTLOOK:
The business
conditions continue to remain sub-optimal amidst global and domestic
challenges. While in inflationary economy, costs may rise further, uncertain
business environment (which disturbs chain of economic activities) reduces
ability to resist against such adverse pressures. However, the Company believes
that with the hope of Government taking suitable initiatives to restore
confidence and environment conducive for growth, the inherent advantages of
business model, would enable the Company to improve its performance in FY 12-13
and subsequent years.
SUBSIDIARIES:
The international
subsidiaries provide significant synergy and support to the Company’s business
and performance. All the operating subsidiaries of the Company have continued
to perform reasonably well during the year.
The facilities of
Usha Siam Steel Industries Public Company Limited [USSIL], a key subsidiary of
the Company became in-operational due to unprecedented floods in Thailand in
October’11 which inundated all major industrial areas of Thailand for over 2
months. The Navanakorn Industrial Area, where USSIL’s facilities are located,
had water accumulation of more than 6 ft. The industrial activities and other
operations suffered for over 4 months. After receding of water, the restoration
of normalcy in industrial activities is still under way in other parts, USSIL
could start partial operations in February’12. Full level of activities are
expected to be resumed by second quarter of FY 12-13. The insurance policy
taken by USSIL covers consequential losses to assets and profits out of flood
and other perils. The Statement under Section 212 of the Companies Act, 1956 in
respect of subsidiaries of the Company is given separately.
JOINT VENTURES:
All the key joint
ventures formed by the Company namely, Pengg Usha Martin Wires Private Limited,
Gustav Wolf Specialty Cords Limited and Dove Airlines Private Limited, have
done reasonably well in the year.
MANAGEMENT
DISCUSSION AND ANALYSIS:
ECONOMIC OVERVIEW:
The global and
domestic economic conditions in financial year 2011-12 remained difficult due to
various factors. While US economy was still struggling to come back on path of
recovery, unprecedented sovereign debt crisis in some of European countries
hugely impacted business conditions not only in Europe but other countries as
well. Significant tightening, caution and reduced level of business confidence
continue to put downward pressure on growth prospects around the world.
The Indian economy
had its own challenges of tackling higher inflation, high fiscal deficit and
various other factors. European debt crisis compounded these challenges. As a
result in FY 11-12 domestic business continued to be impacted by higher
interest rates, higher volatility in foreign exchange with depreciating rupee
against major global currencies and moderated GDP growth of around 7% against
8.6% in previous year. The reduction in growth rate in industry segment was
even more severe at about 4.5% against 8.2%.
The Index of
Industrial Production has dropped to 3.5% during the period of April 11 to
February 12 from 8.1% in corresponding period of previous year. During this
period, mining and manufacturing sectors have suffered the most with growth
remaining (-) 2.1% and 3.7% against 5.8% and 8.7% respectively.
COMPANY OVERVIEW:
BUSINESS CONFIGURATION:
Usha Martin is an integrated
speciality steel and value added steel products Company, having business
locations across various parts of the world under itself, subsidiaries and/or
joint ventures.
The Company has
state-of-art integrated steel plant near Jamshedpur (Jharkhand) and a rolling
mill at Agra (Uttar Pradesh) producing wide range and sizes of specialty steel
wire rods and bars, with captive iron ore and coal mines in Jharkhand. The
other/auxiliary products include DRI, hot metal, pig iron, sinter, oxygen and
power generation, primarily for captive consumption. The coke oven and
pelletisation plants are also being set up. The Company is one of the largest
producers of specialty steel in India, catering to requirements for automotive,
railways, general engineering and construction sectors.
The steel products
manufactured at Jamshedpur facility are sold in market to the extent of 60% and
balance 40% are for in-house production of value added products such as wire
ropes, wires, strands and bright bars at Ranchi, Hoshiarpur, Chennai and
Bangkok. The rolled products manufactured at Agra are sold in domestic market
for use in automotive and construction sectors.
In steel wire rope
manufacturing, the Company is the largest in India and one of the largest in
the world. Its manufacturing plants are located at Ranchi and Hoshiarpur in
India, and in Thailand, Dubai and the UK overseas. The wide range of wire ropes
produced by the Company has applications in mining, elevators, cranes, bridges,
infra-structure, construction, fishing and variety of general purposes. Besides
wire ropes, other value added products includes cords, strands, wires, bright
bars and oil tempered wires. The Company also has a plant at Chennai to
manufacture bright bars.
The global
business of wire rope is supported by marketing, distribution and rigging
facilities in various locations in the USA, Europe and south-east Asia. The
Company also provides products and solutions for oil and gas sectors for
anchoring, drilling and mooring applications out of facilities at Aberdeen in
UK and Randaberg in Norway. The Company has an in-house machinery manufacturing
facility at Ranchi to cater to captive engineering requirements as well as
external demand in India and export markets. Through one of its wholly owned
subsidiary in India, the Company also manufactures a wide range of
telecommunication cables meant for variety of applications and caters to
requirements of domestic and export markets.
The strategy of integration places the Company distinctly in a unique
position by combining both ends of value creation, from mining to high value
wire ropes and further providing end use solutions on its key product
applications. In addition to providing benefits of quality, consistency and
self sufficiency for principal raw materials, it provides captive markets for
sizeable portion of finished products, thereby de-risking both the businesses.
And it enables the Company to aspire to become truly competitive across entire
chain of chosen products.
STEEL BUSINESS:
BUSINESS ENVIRONMENT:
The significant
drop in Index of Industrial Production for manufacturing sector, including
steel, and mining could be attributed to following which were also responsible
for sub-optimal performance of Steel business of the Company during the year:
·
Inflation, which remained at elevated level through
out the financial year, resulting in high interest rates and uncertain economic
conditions due to European crisis and other external factors were broadly responsible
for cautious and moderated growth in automotive sector where large part of
specialty steel manufactured by the Company is consumed. Therefore, the Company
could not achieve volume growth during the year.
·
Construction sector also got affected due to higher
interest rates. This impacted Company’s business of construction steel rolled
at its rolling mill at Agra.
·
Coking coal, a key input for manufacturing iron and
steel, is imported and converted into Coke. The cycle time between pricing of
coking coal and selling of finished steel is about six months. The adverse
market conditions during this cycle time, which also forced prices of coking
coal to reduce, restricted ability to pass on higher input cost to customers.
·
The significant depreciation of INR against US $
and other global currencies, along with higher hedging costs, also resulted in
higher cost of inputs, particularly coking coal as it is largely imported.
·
Apart from extended monsoon in many parts of the
country, excessive rainfall in the state of Jharkhand, where the Company’s
mines are located, also disrupted mining operations of the Company. As a result
part of coal required for DRI production had to be bought at higher prices from
the market.
·
The inconsistent and erratic supply of linkage coal
for captive power generation by Coal India Limited during the year caused
significant shortage of power generation.
The Company also
had to source coal from market at higher prices due to non availability of
linkage coal for six months during the year.
The price of liquid fuel kept rising in the current financial year too,
due to combined effect of international prices, value of INR and inflationary
economy.
KEY ACHIEVEMENTS:
·
However, the Company had the following focus areas
and achievements during the year:
·
Achieved highest ever production of hot metal,
steel and rolled products,
·
Sinter plant which was commissioned in September,
2010 achieved 80% capacity utilization in the first full year of operation,
·
Commissioned Hot Blast Stoves in Blast Furnace 1,
·
Optimized consumption of coke by increasing use of
PCI in production of hot metal,
·
Commissioned Bar Mill at Agra to produce speciality
steel Bars,
·
Achieved 530 days of campaign life in DRI 3 Kiln,
·
Obtained further approvals from major OEMs for
bloom and bar products, and
·
Addressed structural issues of improving equipment
health, process robustness, correcting missing links, skill development and
TPM.
OPERATIONAL HIGHLIGHTS:
Under the
circumstances, the Steel business could achieve higher turnover of Rs.22114.100
Millions in the current financial year against Rs. 19813.800 Millions in the
previous year, up by 11.6%. The operating profit and margins, however, reduced
to Rs. 2486.500 Millions at 11.2% during the year against Rs.3386.100 Millions.
at 17.1% in the previous year.
Share of Steel
business stood at 63.4% of the Company’s gross level of activity and 53.8% of
reported gross turnover in the current financial year.
PROJECTS:
The Company has
undertaken implementation of various cost optimization projects to further
strengthen advantage of cost competiveness. The projects under implementation
at Jamshedpur include beneficiation and pellet plant, coke oven plant, two nos.
of DRI plants; waste heat based captive power plants, oxygen plant and
continuous casting machine. These projects will help the Company to increase
productivity, improve quality and optimize the manufacturing cost. These
projects are in various stages of implementation and are scheduled to be
commissioned in phases in FY 13 and FY 14.
WIRE ROPES AND SPECIALTY PRODUCTS BUSINESS:
In addition to
weak business environment in general, the following factors further influenced
business sentiments and performance of value added products business of the
Company:
·
While growth momentum in advanced global economies
had remained subdued during the year, European crisis compounded the same.
However due to aggressive market expansion exports grew by 42%. Margins
remained under pressure due to severe competition, and
·
The devastating floods in Thailand crippled
business in 2nd half of financial year in the region.
On standalone
basis, the Wire and Wire Ropes business achieved turnover of Rs.13339.500
Millions in the current financial year against Rs. 11901.500 Millions in
previous year, higher by 12.0%. The operating profit and margins, however,
reduced to Rs.1823.800 Millions at 13.7% during the year against Rs.1935.900
Millions at 16.3% in previous year.
FOCUS AREAS AND
NEW INITIATIVES:
·
After successful development of PVF mining rope
with improved quality, the Company has been able to meet extended life
expectancy of this rope desired by various mining companies internationally.
This will open new doors for growth in business.
·
Development of High Tensile Offshore Mooring Ropes,
which are used by the offshore oil and gas industries to work under extreme
environments, is expected to open new opportunities in 2012-13.
·
The Company has tied up with a leading European
bridge designing and Execution Company for development and supply of special PE
coated LRPC strand.
INTERNATIONAL BUSINESS:
The Company enjoys
a wide international presence through manufacturing and distribution
subsidiaries located in different parts of the world. The Company’s
international business accounted for 17.7% of its consolidated gross activity
level. Gross level of activities of overseas subsidiaries has increased 6.1%
from Rs. 8208.500 Millions. in 2010-11 to Rs. 8708.300 Millions. in 2011-12.
USHA MARTIN INTERNATIONAL LIMITED [UMIL]:
UMIL enjoys a
presence in the UK and parts of Europe through it’s wholly owned subsidiaries,
namely:
a. Usha Martin UK
Limited, which comprises manufacturing distribution and end use solutions wire
ropes to offshore oil and gas sectors, and
b. De Reuiter
Staalkabel B.V. Netherlands, which has distribution facilities for wire ropes.
The consolidated
turnover of UMIL was GBP 43.7 Mn in 2011-12 as against GBP 41.0 Mn in 2010-11.
UMIL reported a consolidated net profit of GBP 3.6 Mn as against GBP 2.6 Mn in
the previous year. UMIL is taking further initiatives to expand into Europe and
Russian markets.
USHA MARTIN AMERICAS INC [UMAI]:
During the year, UMAI
reported a turnover and profit after tax of US$ 17.2 Mn and US$ 0.9 Mn
respectively as against US$ 15.2 Mn and US$ 1.1 Mn respectively in the previous
year.
BRUNTON WOLF WIRE ROPE FZCO [BWWR]:
BWWR, a joint
venture with Gustav Wolf of Germany, reported a turnover and profit after tax
of US$ 23.4 Mn and US$ 1.5 Mn respectively in 2011-12 as against US$ 18.8 Mn
and US$ 1.5 Mn respectively in the previous year. Number of new steps have been
taken to expand further into African markets.
USHA SIAM STEEL INDUSTRIES PUBLIC COMPANY LIMITED
[USSIL]:
USSIL became in
operational due to unprecedented floods in Thailand in October 11 which
inundated all major industrial areas of Thailand for over 2 months. The
Navanakorn Industrial Area, where USSIL’s facilities are located, had water
accumulation of more than 6 ft height. Industrial activities suffered for over
4 months. Though USSIL could start partial operations in February’ 2012 after
receding of water, the restoration of normalcy in industrial activities are
still under way in other parts. The damages to property, assets and loss of
profit (for a period of one year from date of floods) were covered under
insurance policy taken by USSIL.
The operations of
USSIL, in which the Company holds 97.85% of equity (by itself and through Usha
Martin Singapore Pte Limited), achieved a turnover of Thai Baht 1,043 Mn during
the year as against Thai Baht 1,628 Mn in the previous year. It reported a net
profit of Thai Baht 35 Mn as against Thai Baht 86 Mn in the previous year. The
production is being gradually increased and is expected to reach normal level
by 2nd quarter of the next financial year.
USHA MARTIN SINGAPORE PTE LIMITED [UMSPL]:
UMSPL together
with its wholly owned subsidiaries (Usha Martin Australia Pty Limited, Usha
Martin Vietnam Company Limited and PT Usha Martin Indonesia), achieved a
consolidated turnover of US$ 36.6 Mn and net profit of US$ 1.7 Mn during the
year as against US$ 30.0 Mn and net profit of US$ 1.7 Mn respectively in the
previous year.
CABLE BUSINESS:
U M Cables Limited
(UMCL), a wholly owned Indian subsidiary of the Company, engaged in business of
telecommunication cables achieved turnover of Rs. 10910.000 Millions against
Rs. 850.000 Millions. in the previous year. The net profit for the year was
higher at Rs. 30.000 Millions as against Rs. 20.00 Millions. in FY 2010-11.
FINANCIAL DISCUSSION:
During the year,
consolidated turnover of the Company stood at Rs.33608.200 Millions which is
10.3% higher than Rs.30445.900 Millions in the previous year. On standalone
basis, the Company’s turnover increased to Rs.28368.900 Millions in the current
financial year against Rs.25247.100 Millions in the previous year, up by 12.3%.
The operating
profit achieved by the Company on consolidated basis was Rs. 4977.600
Millions., being 14.8% of the reported turnover against Rs. 5950.300 Millions.,
being 19.5% in previous year. On standalone basis, the operating profit was at
Rs. 4088.000 Millions., being 14.4% of the reported turnover as against Rs.
5040.500 Millions., being 20.0% in previous year. Domestic and export sales was
maintained at 83.0% and 17.0% of net turnover respectively. The increase in
prices of key inputs such as coking coal and sluggish business conditions for
Company’s products particularly in international markets reduced operating
margins.
FOREX MANAGEMENT:
The European debt
crisis triggered depreciation in value of INR against global currencies. During
the period from August’ 11 to December’ 11, value of rupee against US $ declined
from 44 to 53. At the same time, hedging cost of FCY liabilities also remained
at higher levels during most of the period in current financial year. This had
a sharp negative effect on the Company’s operations and profitability. On the
net import liabilities the Company suffered foreign currency loss of Rs.
260.700 Millions, after considering derivative gains of Rs.157.100 Millions on
long term foreign currency loans. The Ministry of Corporate Affairs issued
notification modifying AS 11 vide which companies were allowed an option to
account for changes in valuation of long term capex loans in respective fixed
assets. By exercising this option the Company accounted for effect of rupee
depreciation on FCY loans, amounting to Rs. 1414.000 Millions., in the fixed
assets. The value of FCY loans as on 31st March, 2012 thus enhanced
accordingly.
CONTINGENT LIABILITIES:
|
Particulars |
31.03.2012 (Rs. in millions) |
31.03.2011 (Rs. in millions) |
|
A) Claims against the Company not acknowledged as debt |
|
|
|
Disputed Tax and
Duty for which the Company has preferred appeal before appropriate
authorities. |
|
|
|
Demand for Income Tax Matters |
194.000 |
194.100 |
|
Demand for Sales Tax |
46.500 |
8.400 |
|
Demand for Excise Duty and Service Tax |
581.800 |
443.900 |
|
Demand for Customs Duty |
57.500 |
61.600 |
|
Outstanding Labour Disputes |
3.100 |
3.400 |
|
Disputed Electricity duty rebate matters which is subjudice |
50.400 |
0.000 |
|
B) Bills discounted with Banks including against Letter of Credit |
1268.200 |
613.800 |
|
TOTAL |
2201.500 |
1325.200 |
FIXED ASSETS:
·
Land and Site Development
·
Freehold
·
Leasehold
·
Mining Lease and
Development
·
Buildings
·
Plant and Machinery
·
Railway Sidings
·
Electrical Installation
·
Water Treatment and
Supply Plant
·
Office Equipment
·
Furniture and Fixtures
·
Vehicles
UNAUDITED FINANCIAL RESULTS
FOR THE QUARTER ENDED 30TH JUNE, 2012 ON STANDALONE BASIS
Rs. in Millions
|
Sr. No. |
Particular |
Quarter Ended |
|
|
|
30.06.2012 (Unaudited) |
|
|
|
|
|
1. |
Net Sales/Income from Operations |
7284.800 |
|
|
|
|
|
2. |
Expenditure |
|
|
|
a. Cost of Materials consumed |
2891.000 |
|
|
b. Purchase of stock-in-trade |
9.200 |
|
|
c. Changes in
inventories of finished goods, work-in-progress, stock-in-trade and scrap |
(610.500) |
|
|
d. Power and Fuel |
1074.600 |
|
|
e. Consumption of Stores and Spare Parts |
607.500 |
|
|
f. Employee Benefits expenses |
421.300 |
|
|
g. Depreciation and amortisation expenses |
568.100 |
|
|
h. Other Expenses |
1964.100 |
|
|
Total Expenses |
6925.300 |
|
|
|
|
|
3. |
Profit
From Operations before Other Income, Interest and Exceptional Items (1-2) |
359.500 |
|
|
|
|
|
4. |
Other
Income |
187.500 |
|
|
|
|
|
5. |
Profit
Before Interest and Exceptional Items (3+4) |
547.000 |
|
|
|
|
|
6. |
Interest |
718.400 |
|
|
|
|
|
7. |
Profit
After Interest but before Exceptional Items (5-6) |
(171.400) |
|
|
|
|
|
8. |
Exceptional
Items |
-- |
|
|
|
|
|
9. |
Profit
from Ordinary Activities before Tax (7+8) |
(171.400) |
|
|
|
|
|
10. |
Tax
Expense |
(62.800) |
|
|
|
|
|
11. |
Net
Profit from Ordinary Activities after Tax (9-10) |
(108.600) |
|
|
|
|
|
12. |
Extraordinary
Item (net of expense) |
-- |
|
|
|
|
|
13. |
Net
Profit for the period (11-12) |
(108.600) |
|
|
|
|
|
14. |
Paid-up
Equity Share Capital (Face Value of Re.1/- Each) |
305.400 |
|
|
|
|
|
15. |
Reserves
Excluding Revaluation Reserve |
-- |
|
|
|
|
|
16. |
Basic and Diluted Earning Per
Share (EPS) (Rs.)-Not Annualised |
|
|
|
a) Basic
and diluted EPS before extraordinary items |
(0.36) |
|
|
b)
Basic and diluted EPS after extraordinary items |
(0.36) |
|
|
|
|
|
17. |
Public Shareholding |
|
|
|
-Number
of Shares |
163802886 |
|
|
-
Percentage of Shareholding |
53.75 |
|
|
|
|
|
18. |
Promoters and Promoter Group
Shareholding |
|
|
|
a) Pledged/Encumbered |
|
|
|
-
Number of Shares |
Nil |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of promoter and
promoter group) |
Nil |
|
|
- Percentage
of Shares (as a % of the Total Share Capital of the Company) |
Nil |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
-
Number of Shares |
125515739 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of Promoter and
Promoter Group) |
100.00 |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
41.19 |
|
Particulars |
3 MONTHS ENDED 30TH
JUNE, 2012 |
|
Pending at the beginning of the quarter |
1 |
|
Received during the quarter |
10 |
|
Disposed of during the quarter |
11 |
|
Remaining unresolved at the end of the
quarter |
Nil |
NOTE:
1.
During the quarter under review, Usha Martin International
Limited, a subsidiary of the Company, has formed Usha Martin Europe B.V., a
wholly owned subsidiary company incorporated in Netherland with effect from
26th June, 2012.
2.
Figures for the previous periods have been
regrouped/rearranged in conformity with revised format for disclosure of
Financial Results as per the Listing Agreement with Stock Exchanges.
3.
Tax expense comprises current tax (net of MAT
credit entitlement) and deferred tax.
4.
The above, after review by the audit committee,
have been approved and taken on record by the Board of Directors at its meeting
held on 31st July, 2012.
5.
The Auditors of the Company have carried out a
'Limited Review' of the aforesaid financial results for the quarter ended 30th
June, 2012 in terms of Clause 41 of the Listing Agreement with Stock Exchanges.
SEGMENT WISE REVENUE,
RESULTS AND CAPITAL EMPLOYED ON STANDALONE BASIS
Rs. in Millions
|
Sl. No. |
|
Particulars |
Quarter
Ended |
|
|
30.06.2012 |
||
|
|
Unaudited |
||
|
1 |
|
Segment Revenue |
|
|
|
|
(Net Sales /
Income from Operations) |
|
|
|
|
a. Steel |
5922.000 |
|
|
|
b. Wire and Wire Ropes |
3738.900 |
|
|
|
c. Unallocated |
0.000 |
|
|
|
Total |
9660.900 |
|
|
|
|
|
|
|
|
Less : Inter
Segment Revenue |
2376.100 |
|
|
|
|
|
|
|
|
Net Sales /
Income from Operation |
7284.800 |
|
|
|
|
|
|
2 |
|
Segment Results |
|
|
|
|
[Profit(+)/Loss(-)
before tax and finance costs from each segment] |
|
|
|
|
a. Steel |
229.600 |
|
|
|
b. Wire and Wire Ropes |
319.500 |
|
|
|
c. Unallocated |
0.000 |
|
|
|
Total |
549.100 |
|
|
|
|
|
|
|
|
Less :Interest |
718.400 |
|
|
|
Less : Other Unallocable Expenses (Net of Unallocable Income) |
2.100 |
|
|
|
Net Profit (+) /
Loss(-) before Tax |
(171.400) |
|
|
|
|
|
|
3 |
|
Capital Employed
|
|
|
|
|
(Segment Assets
less Segment Liabilities) |
|
|
|
|
a. Steel |
32580.700 |
|
|
|
b. Wire and Wire Ropes |
10895.300 |
|
|
|
c. Unallocated |
411.700 |
|
|
|
Total |
43887.700 |
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 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.54.60 |
|
|
1 |
Rs.87.31 |
|
Euro |
1 |
Rs.69.87 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
58 |
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.