|
Report Date : |
21.11.2012 |
IDENTIFICATION DETAILS
|
Name : |
CMC LIMITED |
|
|
|
|
Registered
Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
26.12.1975 |
|
|
|
|
Com. Reg. No.: |
01-001970 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 303.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L72200AP1975PLC001970 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELC06151F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACC2030K |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Subject is engaged in the design, development and implementation of
software technologies and applications |
|
|
|
|
No. of Employees
: |
10775 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (67) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 20000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and a reputed company having good 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 good 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 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces
of its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to
become a major exporter of information technology services and software
workers. In 2010, the Indian economy rebounded robustly from the global
financial crisis - in large part because of strong domestic demand - and growth
exceeded 8% year-on-year in real terms. However, India's economic growth in
2011 slowed because of persistently high inflation and interest rates and
little progress on economic reforms. High international crude prices have
exacerbated the government's fuel subsidy expenditures contributing to a higher
fiscal deficit, and a worsening current account deficit. Little economic reform
took place in 2011 largely due to corruption scandals that have slowed legislative
work. India's medium-term growth outlook is positive due to a young population
and corresponding low dependency ratio, healthy savings and investment rates,
and increasing integration into the global economy. India has many long-term
challenges that it has not yet fully addressed, including widespread poverty,
inadequate physical and social infrastructure, limited non-agricultural
employment opportunities, scarce access to quality basic and higher education,
and accommodating rural-to-urban migration.
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
LONG TERM RATING : ICRA AA+ |
|
Rating Explanation |
Having high degree of safety regarding
timely Servicing of financial Obligation. It carry low credit risk. |
|
Date |
April 2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
|
|
Tel. No.: |
91-40-66578000 (10 Lines) |
|
Fax No.: |
91-40-23000509 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
|
|
Tel. No.: |
91-11-23736151/8 (8 Lines) |
|
Fax No.: |
91-11-23736159 |
|
|
|
|
Materials
Management Centre : |
CMC House, C-18,
Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051, |
|
Tel. No.: |
91-22-67811000
/01 /02 |
|
Fax No.: |
91-22-26591444 |
|
|
|
|
Regional Offices : |
Northern Region CMC Limited, Tel: 91-11-2336 0184 / 2374 5261 Fax: 91-11-2374 6025 Email: gmnr@cmcltd.com Eastern Region CMC Limited, CMC House, 28, Tel: 91-33-2287 4845 Fax: 91-33-2287 8058 Email: gmer@cmcltd.com Western Region CMC Limited, CMC House, C-18, Bandra-Kurla
Complex, Bandra (East), Tel: 91-22-6781 1000 / 01 / 02 Fax: 91-22-2659 1046 Email: gmwr@cmcltd.com Southern
Region – 1, Chennai Central Square I Tel: +91-44-
2250 4500 Southern
Region – 2, 4-3-596/A, Tel: +91-40-2475
0371 Southern
Region – 3, 11/2, Tel: +91-80-6694
0500 Tel: +91-44-
2250 4500 Southern
Region – 2, 4-3-596/A, Tel: +91-40-2475
0371 Southern
Region – 3, 11/2, Tel: +91-80-6694
0500 |
|
|
|
|
Branches : |
Located at: Ahmedabad Address: 6th Floor, Premier House-I, 406/2, Bodakdev Sarkhej Gandhinagar Highway, Ahmedabad 380 054, India Tel: +91-79-6609 0900 / 01 / 02 Fax: +91-79-2685 5175 Bhopal Address: 10, Char Bungalow Road, Behind MLB Girls College, Professor Colony, Civil Lines, Bhopal 462 002, India Telefax:
+91-755-266 1836 Chandigarh Address: SCO 156-158, Sector 17 C, Chandigarh 160 017, India Tel: +91-172-270
9102 Dehradun Address:
Lane No. B, Street No. 3, Vasant Vihar Enclave, Dehradun 248 001 Tel: +91-135-276
7606 Delhi Address: Community Centre, C-58, Shahpuri Tirath Singh Tower, Behind Janak Cinema, Janakpuri, New Delhi 110 058, India Tel: +91-11-2553
4208 / 4209 Jaipur Address: 201-208, Jaipur Stock Exchange Building, 2nd Floor, J.L.N. Marg, Malviya Nagar, Jaipur 302 017, India Tel: +91-141-272
9141 / 9142 Kolkata Address: BP-4, Sector-V, Salt Lake, Kolkata 700 091, India Tel: +91-33-2367
5348 Lucknow Address:
Nav Chetna Kendra 2nd Floor, 10 Ashok Marg, Lucknow 226 001 Tel: +91-522-228
7150 / 51 / 52 Mumbai Address: 301, Vidyasagar Building, 3rd Floor, Raheja Township, Near Western Express Highway, Malad (East), Mumbai 400 097, India Tel: +91-22-6675
0865-68 / 6677 0600 Pune Address:
Elbee House, 2nd Floor, Plot No. 213, Siddharth Path, Office Dhole
Patil Road, Pune 411 001, India Tel: +91-20-66417900
/ 01 Raipur Address: D-37, P&T Colony, Tagore Nagar, Raipur 492 001, India Tel: +91-771-405
3669 / 407 3234 Vadodara Address: 203, Regent Towers, Opposite. Income Tax Office, Race Course Circle, Vadodara 390 007,India Tel: +91-265-664
0741 / 0742 Visakhapatnam Address: 4th Floor Eswar Madhav Mansion, Tata Teleservices Building No. 47-11-11, Dwaraka Nagar, Visakhapatnam 530 016, India Tel: +91-891-274
6551 |
|
|
|
|
Overseas Offices : |
Austin, Texas 9600 N Mopac Expwy, Ste
400, Austin, TX 78759, USA California 515 S Flower Street, Suite
3600, Los Angeles CA 90071 USA Georgia 2 Ravinia, Suite 500,
Atlanta, Georgia 30346, USA Louisiana 4354 South Sherwood
Forest Blvd Suite 175, Baton Rouge, LA 70816, USA Michigan 39555 Orchard Hill
Place Suite 600 Novi, MI 48375 USA New Jersey 39555 Orchard Hill
Place Suite 600 Novi, MI 48375 USA Virginia 11710 Plaza America
Drive Suite 2000 Reston, VA 20190 USA Massachusetts 15 New England
Executive Park Burlington, MA 01803 USA Cmc Inormatics UK 1st Floor Exchange
Tower 1 Harbour Exchange Square London E14 9GE Tel: +44 (0)
2034406630 /31/32/33 UAE CMC Limited Suite #
116, Al Khaleej Center Near Jumbo Showroom, Bur Dubai, P O Box 49613 Dubai,
U.A.E. Tel: +971-4-3592881 New Zealand CMC Limited Level 1 29
Beach Road Auckland City 1010 New Zealand Tel: +64-21-993
825 |
DIRECTORS
As on: 31.03.2012
|
Name : |
Mr. S. Ramadorai |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. R. Ramanan |
|
Designation : |
Managing Director and Chief Operating
Officer |
|
|
|
|
Name : |
Dr. K. R. S.
Murthy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Surendra
Singh |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Kalpana
Morparia |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S Mahalingam (w.e.f 14.01.2010) |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Sudhakar Rao |
|
Designation : |
Director |
KEY EXECUTIVES
|
Management Team |
Mr. R Ramanan (Managing Director & CEO) Mr. JK Gupta (CFO) Mr. Avadhesh Dixit (Head – HR) Mar Vivek Agarwal (Company Secretary & Head - Legal) |
|
|
|
|
Audit Committee |
Dr KRS Murthy Mr. Surendra Singh Mr. Sudhakar Rao |
|
|
|
|
Share Transfer-cum-Shareholders \ Investors Grievance Committee |
Mr. Surendra Singh Mr. R Ramanan Dr KRS Murthy |
|
|
|
|
Governance Committee |
Dr KRS Murthy Mr. S Ramadorai Ms. Kalpana Morparia Mr. Surendra Singh Mr. S Mahalingam |
|
|
|
|
Ethics and Compliance Committee |
Mr. Surendra Singh Mr. R Ramanan Mr. Vivek Agarwal |
|
|
|
|
Executive Committee : |
Mr. S Ramadorai Mr. R Ramanan Dr KRS Murthy Ms. Kalpana Morparia Mr. Surendra Singh Mr. S Mahalingam |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.09.2012
|
Names of Shareholders |
|
No. of Shares |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
15489922 |
51.12 |
|
|
15489922 |
51.12 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
15489922 |
51.12 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
3840059 |
12.67 |
|
|
2557741 |
8.44 |
|
|
5784558 |
19.09 |
|
|
12182358 |
40.21 |
|
|
|
|
|
|
522503 |
1.72 |
|
|
|
|
|
|
1546797 |
5.10 |
|
|
326803 |
1.08 |
|
|
231617 |
0.76 |
|
|
223705 |
0.74 |
|
|
7543 |
0.02 |
|
|
369 |
0.00 |
|
|
2627720 |
8.67 |
|
Total Public
shareholding (B) |
14810078 |
48.88 |
|
Total (A)+(B) |
30300000 |
100.00 |
|
(C) Shares held by
Custodians and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
30300000 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the design, development and implementation of
software technologies and applications |
||||
|
|
|
||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
10775 (Approximately) |
|
|
|
|
Bankers : |
·
ICICI Bank Limited |
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Statutory
Auditor Deloitte Haskins and Sells Chartered Accountant |
|
Name : |
Secretarial
Auditors Chandrasekaran Associates Company Secretaries |
|
Name : |
Internal Auditor Ernst and Young Private Limited |
|
|
|
|
Ultimate Holding Company : |
|
|
|
|
|
Holding Company : |
|
|
|
|
|
Fellow Subsidiaries : |
|
|
|
|
|
Subsidiaries : |
|
|
|
|
|
Step-downSubsidiaries : |
· CMC eBiz, Inc. (wholly owned subsidiary of CMC Americas, Inc |
CAPITAL STRUCTURE
As on: 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
35000000 |
Equity Shares |
Rs.10/- each |
Rs. 350.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30300000 |
Equity Shares |
Rs.10/- each |
Rs. 303.000
Millions |
|
|
|
|
|
Note:
· The Company has one class of equity shares having a par value of Rs.10 each. Each shareholder is eligible for one vote per share held.
·
Details
of shares held by each shareholder holding more than 5% shares:
|
Class of shares / Name of shareholder Equity shares with
voting rights |
As at 31 March, 2012 Number of share held % holding |
|
|
Tata Consultancy Services Limited |
15,489,922 |
51.12 |
|
Aberdeen Global Indian Equity Fund - Mauritius Limited |
1,920,000 |
6.34 |
|
HDFC Trustees Company Limited - HDFC Equity Fund |
1,912,832 |
6.31 |
|
Total |
19,322,754 |
63.77 |
· Reconciliation of the number of shares and amount outstanding at the beginning and at the end of the reporting period:
|
Particulars |
Opening Balance |
Bonus |
Closing Balance |
|
Year ended 31 March, 2012 Number of shares Amount Rs in Millions) |
15,150,000 1,51.500 |
15,150,000 1,51.500 |
30,300,000 3,03.000 |
|
|
|
|
|
· Details of shares held by Tata Consultancy Services Limited, the holding Company
|
Particulars |
Aggregate number of shares As at 31 March, 2012 |
|
Fully paid up equity shares with voting rights |
15,489,922 |
· Aggregate number and class of shares allotted as bonus shares for the period of 5 years immediately preceding the Balance Sheet date:
|
Particulars |
Aggregate number of shares As at 31 March, 2012 |
|
Equity shares with
voting rights Fully paid up by way of bonus shares |
15,150,000 |
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 |
303.000 |
151.500 |
151.500 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
6661.198 |
5819.577 |
4614.419 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
6964.198 |
5971.077 |
4765.919 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6964.198 |
5971.077 |
4765.919 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
2573.558 |
952.680 |
930.045 |
|
|
Capital work-in-progress |
333.857 |
1075.495 |
209.840 |
|
|
|
|
|
|
|
|
INVESTMENT |
1597.581 |
2343.506 |
2034.975 |
|
|
DEFERREX TAX ASSETS |
90.996 |
76.090 |
54.899 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
134.068
|
134.690 |
85.276
|
|
|
Sundry Debtors |
2659.646
|
1747.137 |
1661.639
|
|
|
Cash & Bank Balances |
221.738
|
338.768 |
205.364
|
|
|
Other Current Assets |
1292.086
|
1218.266 |
1068.095
|
|
|
Loans & Advances |
1878.387
|
1543.467 |
1140.110
|
|
Total
Current Assets |
6185.925
|
4982.328 |
4160.484 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1750.520
|
1436.835 |
1084.644
|
|
|
Other Current Liabilities |
588.997
|
808.128 |
792.269
|
|
|
Provisions |
1478.202
|
1214.059 |
747.411
|
|
Total
Current Liabilities |
3817.719
|
3459.022 |
2624.324 |
|
|
Net Current Assets |
2368.206
|
1523.306 |
1536.160 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6964.198 |
5971.077 |
4765.919 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|||
|
|
SALES |
|
|
|
|||
|
|
|
Income |
9553.369 |
7980.821 |
6900.130 |
||
|
|
|
Other Income |
443.941 |
117.918 |
187.511 |
||
|
|
|
TOTAL (A) |
9997.310 |
8098.739 |
7087.641 |
||
|
|
|
|
|
|
|||
|
Less |
EXPENSES |
|
|
|
|||
|
|
|
Purchases of stock in trade |
1448.116 |
990.579 |
|
||
|
|
|
Changes in inventories of work-in-progress and
stock-in-trade |
(3.348) |
(32.336) |
|
||
|
|
|
Employee benefits expense |
3425.837 |
2767.400 |
|
||
|
|
|
Other expenses |
3017.281 |
2531.782 |
|
||
|
|
|
TOTAL (B) |
7887.886 |
6257.425 |
5494.610 |
||
|
|
|
|
|
|
|||
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
2109.424 |
1841.314 |
1593.031 |
|||
|
|
|
|
|
|
|||
|
Less |
FINANCIAL
EXPENSES (D) |
0.094 |
0.095 |
26.522 |
|||
|
|
|
|
|
|
|||
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2109.330 |
1841.219 |
1566.509 |
|||
|
|
|
|
|
|
|||
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
208.830 |
100.895 |
98.162 |
|||
|
|
|
|
|
|
|||
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1900.500 |
1740.324 |
1468.347 |
|||
|
|
|
|
|
|
|||
|
Less |
TAX (H) |
467.184 |
183.012 |
172.539 |
|||
|
|
|
|
|
|
|||
|
|
PROFIT AFTER TAX
(G-H) (I) |
1433.316 |
1557.312 |
1295.808 |
|||
|
|
|
|
|
|
|||
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
5250.686 |
4201.259 |
3389.527 |
|||
|
|
|
|
|
|
|||
|
Less |
APPROPRIATIONS |
|
|
|
|||
|
|
|
Transfer to General Reserve |
143.300 |
155.731 |
129.581 |
||
|
|
|
Dividend |
61.400 |
49.154 |
51,495 |
||
|
|
|
Proposed dividend on Equity Shares |
378.800 |
303.000 |
303.000 |
||
|
|
BALANCE CARRIED
TO THE B/S |
6100.502 |
5250.686 |
4201.259 |
|||
|
|
|
|
|
|
|||
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|||
|
|
|
Export Earnings |
2843.142 |
2346.884 |
1933.973 |
||
|
|
|
Dividend received from subsidiary |
269.390 |
|
|
||
|
|
TOTAL EARNINGS |
3112.532 |
2346.884 |
1933.973 |
|||
|
|
|
|
|
|
|||
|
|
IMPORTS |
|
|
|
|||
|
|
|
Equipment/ system software |
242.303 |
234.885 |
217.434 |
||
|
|
|
Stores & Spares |
0.626 |
0.684 |
1.246 |
||
|
|
|
Capital equipment |
87.648 |
34.507 |
9.831 |
||
|
|
TOTAL IMPORTS |
330.577 |
270.076 |
228.511 |
|||
|
|
|
|
|
|
|||
|
|
Earnings Per
Share (Rs.) |
47.30 |
51.40 |
85.53 |
|||
QUARTERLY /
SUMMARISED RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
|
Type |
1st
Quarter |
2nd
Quarter |
|
Net Sales |
2663.130 |
2609.090 |
|
Total Expenditure |
2141.620 |
2048.120 |
|
PBIDT (Excl OI) |
521.510 |
560.970 |
|
Other Income |
57.020 |
287.360 |
|
Operating Profit |
578.530 |
848.330 |
|
Interest |
0.030 |
0.030 |
|
PBDT |
578.500 |
848.300 |
|
Depreciation |
52.630 |
54.340 |
|
Profit Before Tax |
525.880 |
793.970 |
|
Tax |
89.980 |
146.380 |
|
Profit After Tax |
435.910 |
647.580 |
|
Net Profit |
435.910 |
647.580 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
14.34 |
19.23 |
18.28
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
19.89 |
21.81 |
21.28
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
21.69 |
29.32 |
28.84
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.27 |
0.29 |
0.31
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.55 |
0.58 |
0.55
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.62 |
1.44 |
1.58
|
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
BACKGROUND
CMC Limited ("the Company") is engaged in the design, development and implementation of software technologies and applications, providing professional services in India and overseas, and procurement, installation, commissioning, warranty and maintenance of imported/indigenous computer and networking systems, and in education and training. The Company was a Government of India (GoI) enterprise up to 15 October, 2001. Under the disinvestment process, GoI sold 7,726,500 shares representing 51 percent of the share capital to Tata Sons Limited, on 16 October, 2001. The GoI further sold its entire remaining shares representing 26.25 percent of the share capital, in March 2004 by an open offer to the public. On 29 March, 2004, as per specific approval granted by SEBI, Tata Sons Limited transferred its entire shareholding in the Company to Tata Consultancy Services Limited (a subsidiary of Tata Sons Limited). As a result, the Company has become a subsidiary of Tata
Consultancy Services Limited.
OPERATING RESULTS
& BUSINESS OPERATIONS
The Company built-up on the momentum of growth achieved in the previous year and delivered a robust
growth of 36% in consolidated income from sales and services to Rs. 14669.600 Millions in the year ending 31
March, 2012 compared to `Rs.10805.300 Millions achieved in the previous year. The growth was broad based with both domestic and international geographies contributing to growth. The domestic business grew by 21%
to Rs. 5828.200 Millions, while International business grew 48% to Rs. 8841.400 Millions. The wholly owned subsidiary of the Company, CMC Americas, Inc. drove growth of international business with 48% increase in revenue in dollar terms. The income from sales and services on standalone basis grew by 20% to Rs. 9529.600 Millions during 2011-12 compared to Rs. 7942.100 Millions in the previous year.
All the business segments of the Company contributed to growth. SI SBU delivered highest growth of 45% followed by 27% by ITeS SBU, 24% by CS SBU and 9% by E&T SBU on a consolidated basis.
The Operating Profit (Earnings Before Interest, Tax and Depreciation) increased by 6.5% on a consolidated basis to Rs. 2243.300 Millions compared to Rs. 2107.100 Millions in the previous year.
On a Standalone basis, the Company has recorded income from sales and services of Rs. 9529.600 Millions as
compared to Rs. 7942.100 Millions in the previous year registering a growth of 20% on yearly basis. The growth in operating revenue has been contributed, 30% by ITeS SBU followed by 13% by SI SBU, 24% by CS SBU, 9% by E&T SBU and 70% increase in rentals from SEZ Hyderabad over the previous financial year.
The Company continued to focus in the areas aligned with the overall vision of being a leading Systems Engineering and Integration Company. Key activities that received thrust during 2011-12 were delivery of services around CMC's software assets, turnkey project implementatioin, ERP implementations and development of portals to bring state government services to the doorstep of the citizen. The Company also focused product development capability including indigenously developed solutions involving complex embedded hardware designs, software and firmware development.
SPECIAL ECONOMIC ZONE
(SEZ)
The Company had taken up setting up of an IT and ITeS Sector Specific Special Economic Zone (SEZ), named Synergy Park, at its Campus at Gachibowli, Hyderabad. The project is being develped in 3 phases at total estimated cost of Rs. 4450.000 Millions, and will have total capacity of around 12500 seats when completed. Phase I of the project, consisting of Offshore Development Centre (ODC) 1, 2 & 3 was completed in 2008-09. In Phase II of the project, ODC 5 with seating capacity of 3200 has become operational in April, 2011 and ODC 6 with seating capacity of 2800 became operational in January, 2012. The work on Phase III of the project consisting of Multi Level Car Parking and ODC 4 with seating capacity of around 3500 is in full swing. The Company has spent Rs. 2276.300 Millions on this project till 31 March, 2012. The Company has also set up another SEZ Unit in Kolkata to cater the demand of international client and provide them business continuity solution.
CUSTOMER SERVICES
(CS):
The CS SBU focuses on creating solutions and providing services for the IT infrastructure requirements covering infrastructure architecture, design and consulting services; turnkey system integration of large network and data centre infrastructures. The scope of services includes supply of associated equipment and software; On-Site and Remote Support Services for multi-locations for the IT infrastructures of domestic and international clients. Traditionally equipment supply business had formed a large portion of the CS SBU business. Over the years the margins in equipment supply business declined considerably leading to overall decline in the margins for the Company. As a strategy to improve margins, the Company started defocusing from equipment business resulting in decline in CS SBU revenue prior to financial year 2011 in last five years
The CS SBU earned revenue of Rs. 335.99 Millions during the year on a
consolidated basis compared to Rs. 2713.200 Millions during the previous year, registering an
increase of 24% on yearly basis. The share of CS SBU in total revenue from
operations decreased from 25% in FY 11 to 23% in FY 12
SYSTEMS INTEGRATION
(SI):
The SI SBU undertakes the activities of solution deployment that includes embedded systems, software development, software maintenance and support, turnkey project implementation and systems consultancy and has been one of the key drivers of its transformation towards more value added business with a view to improve overall margin. SI SBU continued to invest and grow its solution asset base during the year so that it can offer innovative solutions around the core IPs’ of these assets. This includes enhancements of Biometrics based assets for identity management, mining assets for mining solutions, transportation assets, insurance and financial solution assets and e-governance assets.
The SI SBU earned revenue of Rs. 8390.000 Millions during the year compared
with Rs. 5779.200 Millions
earned in the previous year, registering an increase of 45% over the previous financial
year. The share of SI SBU in total revenue from operations increased from 53%
in FY 11 to 57% in FY 12.
IT ENABLED SERVICES
(ITES):
The ITeS SBU provides a variety of IT enabled services which include Business Process Outsourcing and Knowledge Process Outsourcing for front end and back office. This SBU has created specific business domain expertise such as ondemand software services; office records digitisation and document management; recruitment and examination results management; legacy data migration management. Also, ITeS SBU continues to work for Election Commission as a statelevel agency. ITeS SBU has taken initiatives to leverage its experience in handling large national projects for more rewarding international geographies and has over the years been one of the main drivers to increase international revenue of the company.
MANAGEMENT DISCUSSION
AND ANALYSIS
A. Industry Structure
and development
The year 2011-12 is characterised as landmark year of India IT industry, as the aggregate revenue of the industry is estimated to have crossed US$ 100 billion. Despite continuing challenging environment in the global markets, the exports have estimated to have increased by 16%, while domestic revenue is estimated to have increased by about 9%. While the global macroeconomic scenario remains uncertain, the industry is expected to follow growth trajectory in FY 2012-13, driven by the need of the customers to be more competitive in their efforts to recover from global slowdown, and the IT Industry’s readiness to provide innovative solutions and new business models. Investment in IT is increasingly being seen by the customers as important element of growth strategies and also a fundamental enabler of cost reduction and cost optimisation. A NASSCOM study has predicted export revenue growth of 11-14% and domestic revenue growth of 13-16% in FY 2012-13. The study also predicts the growth to be driven by new business models, organisation efficiencies, services around disruptive technologies such as cloud, mobility, analytics, social media, flexible product portfolio and virtualised solutions. The prevailing global megatrends present new opportunities and risk for the industry, which will shape the technology industry landscape. CMC is gearing itself to derive benefits of the emerging trends and opportunities.
BUSINESS SEGMENTS OF
THE COMPANY:
The Company generates its revenue from five segments:
• Customer Services (CS) • Systems Integration (SI)
• IT enabled Services (ITeS) • Education and Training (E&T)
• Special economic zone (SEZ)
CUSTOMER SERVICES (CS):
The CS SBU focuses on creating solutions and providing services for the IT infrastructure requirements covering infrastructure architecture, design and consulting services; turnkey system integration of large network and data centre infrastructures. The scope of services includes supply of associated equipment and software; On-Site and Remote Support Services for multi-locations for the IT infrastructures of domestic and international clients. Traditionally equipment supply business had formed a large portion of the CS SBU business. Over the years the margins in equipment supply business declined considerably leading to overall decline in the margins for the Company. As a strategy to improve margins, the Company started defocusing from equipment business resulting in decline in CS SBU revenue prior to financial year 2011 in last five years
The CS SBU earned revenue of Rs. 3359.900 Millions during the year on a
consolidated basis compared to Rs. 2713.200 Millions during the previous year, registering an
increase of 24% on yearly basis. The share of CS SBU in total revenue from
operations decreased from 25% in FY 11 to 23% in FY 12.
SYSTEMS INTEGRATION
(SI):
The SI SBU undertakes the activities of solution deployment that includes embedded systems, software development, software maintenance and support, turnkey project implementation and systems consultancy and has been one of the key drivers of its transformation towards more value added business with a view to improve overall margin. SI SBU continued to invest and grow its solution asset base during the year so that it can offer innovative solutions around the core IPs’ of these assets. This includes enhancements of Biometrics based assets for identity management, mining assets for mining solutions, transportation assets, insurance and financial solution assets and e-governance assets.
The SI SBU earned revenue of Rs. 8390.000 Millions during the year compared
with Rs. 5779.200 Millions earned
in the previous year, registering an increase of 45% over the previous
financial year. The share of SI SBU in total revenue from operations increased
from 53% in FY 11 to 57% in FY 12.
IT ENABLED SERVICES
(ITES):
The ITeS SBU provides a variety of IT enabled services which include Business Process Outsourcing and Knowledge Process Outsourcing for front end and back office. This SBU has created specific business domain expertise such as ondemand software services; office records digitisation and document management; recruitment and examination results management; legacy data migration management. Also, ITeS SBU continues to work for Election Commission as a statelevel agency. ITeS SBU has taken initiatives to leverage its experience in handling large national projects for more rewarding international geographies and has over the years been one of the main drivers to increase international revenue of the Company
The ITeS SBU earned revenue of Rs. 2154.000 Millions during the year compared
to Rs. 1696.500 Millions
in the previous year, registering an increase of 27%. The share of ITeS SBU in
total revenue from operations decreased from 16% in FY 11 to 15% in FY 12.
EDUCATION &
TRAINING (E&T):
The E&T SBU of the Company offers education and training solutions for corporate organisations, government institutions and individuals. Its offerings include a wide range of courses that vary from information technology, soft skills training, integrated career development programmes, skill development to vocational training programmes. The Company offers integrated learning solutions for several corporations, and also conducts induction and refresher programmes. In addition to the training programs for employees, it also delivers various skill enhancement programs for experienced people from the industry. Over the years E&T SBU faced cluttered and commoditised market, with a need to differentiate, which could result in growth of SBU. The E&T SBU has re-engineered its offerings in corporate and job enabling training segment to differentiate from the competitors.
The E&T SBU earned revenue of Rs. 581.800 Millions during 2011-12 compared to Rs. 532.400 Millions in the previous year, registering an increase of 10% on yearly basis. The share of E&T SBU in total revenue from operations decreased from 5% in FY 11 to 4% in FY 12.
SPECIAL ECONOMIC ZONE
(SEZ):
The Company is in the process of developing an SEZ spread over 46.33 acres at its campus at Gachibowli, Hyderabad. The Company has started reporting SEZ as a separate segment from FY 2011-12 in line with Accounting Standard (AS) -17 Segment Reporting, as its assets reached the level of more than 10% of the total assets of the Company. The income from this segment represents income from renting out SEZ facilities to TCS.
FUTURE OUTLOOK
The Company
believes that the current trends in IT spend both domestically and in the
international market presents unprecedented opportunity for growth.
Liberalization and opening up of more infrastructure sectors like roads,
airports and sea ports, national e-Governance initiatives and implementation of
Mission mode projects, recent policy initiatives to make Indian companies more
competitive including new policy on Special Economic Zone, the focus of Indian
corporates to benchmark themselves with leading global players in terms of
quality of processes and competitiveness, is going to drive an increase in IT
spend. The Company is well poised to exploit the emerging opportunities both in
CONTINGENT
LIABILITIES AND COMMITMENTS
|
|
31.03.2012 |
31.03.2011 |
|
1. Claims against the Company not acknowledged as debts* ·
Under litigation ·
Demand from income tax authorities (Refer note
'i' below) ·
Demand from employee state insurance
authorities ·
Disputed demands raised by sales tax
authorities ·
Demands raised by service tax authorities
(Refer note 'ii' below) ·
Disputed demand towards land use conversion
fee ·
Sales tax on leased assets ·
Others |
3,58.621 1,80.706 0.280 83.665 6,36.248 6,36.248 - 64.021 |
1,18.837 - 0.280 91.244 5,10.746 2,02.500 3.726 9.353 |
|
2. Unexpired Letters of Credit |
0.883 |
15.653 |
|
3. Estimated amount of contracts remaining to be executed on capital account (net of advances) and not provided for |
8,12.714 |
5,68.018 |
*No provision is considered necessary since the Company expects favorable decisions. The advance paid against the above is Rs. 99.623 Millions. (Previous year Rs.30.684 Millions).
Notes:
I. Includes Rs. 35.423 Millions (Previous year Rs Nil) pertaining to demand of income tax raised by the Additional Commissioner of Income tax.
II.
Includes
Rs. 154.140 Millions (Previous year Rs. 373.681 Millions) pertaining to demand
of service tax raised by the Commissioner of Service Tax.
The Company proposes to file an appeal before the appropriate authorities in respect of the above.
FIXED ASSETS
· Land
·
Building
·
Plant
and Equipment
·
Furniture
and Fittings
·
Vehicles
·
Office
equipment
·
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER, 2012
(Rs. In Millions)
|
|
Part 1 |
|
|||
|
|
Particular |
Quarter ended 30 September , (unaudited) |
Quarter ended 30 June , (unaudited) |
Half Year ended 30 September, (unaudited) |
|
|
|
|
2012 |
2012 |
2012 |
|
|
1. |
Income from Operations |
|
|
|
|
|
|
a |
Net
Sales / Income from operations |
2605.240 |
2663.073 |
5268.313 |
|
|
|
Other
operating income |
3.849 |
0.059 |
3.908 |
|
|
Total Income from
Operations (net) |
2609.089 |
2663.132 |
5272.221 |
|
|
2 |
Expenses |
|
|
|
|
|
|
a |
Purchases
of stock-in-trade |
194.035 |
371.218 |
565.253 |
|
|
b |
Changes
in inventories of work-in-progress and stock-in-trade |
(7.911) |
4.268 |
(3.643) |
|
|
c |
Employee
benefits expense |
960.187 |
936.377 |
1896.564 |
|
|
d |
Sub
contracting and outsourcing cost |
329.828 |
293.992 |
623.820 |
|
|
E |
Depreciation
and amortisation expense |
54.338 |
52.625 |
106.963 |
|
|
f |
Other
expenses |
571.968 |
535.764 |
1107.732 |
|
|
Total expenses (a to f) |
2102.445 |
2194.244 |
4296.689 |
|
|
3 |
Profit from operations
before other income and finance costs |
506.644 |
468.888 |
975.532 |
|
|
4 |
Other
income |
287359 |
57.020 |
344.379 |
|
|
5 |
Profit before finance
costs |
794.003 |
525.908 |
1319.911 |
|
|
6 |
Finance Costs |
0.034 |
0.025 |
0.059 |
|
|
7 |
Profit Before Tax |
793.969 |
525.883 |
1319.852 |
|
|
8 |
Tax Expenses |
146.684 |
89.876 |
236.360 |
|
|
9 |
Net Profit After
Tax |
647.585 |
435.907 |
511.722 |
|
|
10 |
Paid-up equity share capital (Face value Rs. 10 each) |
303.000 |
303.000 |
303.000 |
|
|
11 |
Earning per share - Basic and Diluted (Rs.) (not annualised) |
2.137 |
1.439 |
3.576 |
|
SEGMENT WISE REVENUE,
RESULTS AND CAPITAL EMPLOYED FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER,
2012
(Rs In Millions)
|
|
Particular |
Quarter ended 30 September , (unaudited) |
Quarter ended 30 June , (unaudited) |
Half Year ended 30 September, (unaudited) |
|
|
2012 |
2012 |
2012 |
|
|
Segment Revenue (a to e) |
|
|
|
|
|
(a) Customer services |
683.319 |
810.281 |
1493.600 |
|
|
(b) Systems integration |
1034.195 |
987.936 |
2022.131 |
|
|
(c) IT enabled services |
612.450 |
601.139 |
1213.589 |
|
|
(d) Education and training |
162.636 |
138.940 |
301.576 |
|
|
(e)
Special Economic Zone (SEZ) |
116.489 |
124.836 |
241.325 |
|
|
Total |
2609.089 |
2663.132 |
5272.221 |
|
|
(f) Other unallocable revenue |
287.359 |
57.020 |
344.379 |
|
|
Total Revenue |
2896.448 |
2720.152 |
5616.600 |
|
|
Segment
Results (a to e) |
|
|
|
|
|
Profit
before tax and finance costs from each segment (a) Customer services |
76.968 |
59.320 |
136.288 |
|
|
(b) Systems integration |
350.056 |
354.189 |
704.245 |
|
|
(c) IT enabled services |
169.951 |
162.064 |
332.015 |
|
|
(d) Education and training |
20.403 |
5.864 |
26.267 |
|
|
(e)
SEZ |
93.113 |
99.795 |
192.908 |
|
|
Total |
710.491 |
681.232 |
1391.723 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
|
i.
Finance Costs |
0.034 |
0.025 |
0.059 |
|
|
|
|
|
|
|
|
ii.
Other unallocable expenditure |
|
|
|
|
|
(net
of unallocable income) |
(83.512) |
155.324 |
71.812 |
|
|
Total
Profit before tax |
793.969 |
525.883 |
1319.852 |
|
|
Capital
Employed |
|
|
|
|
|
Segment
Assets - Segment Liabilities (a to e) |
|
|
|
|
|
(a) Customer services |
881.599 |
687.076 |
881.599 |
|
|
(b) Systems integration |
1276.943 |
1160.549 |
1276.943 |
|
|
(c) IT enabled services |
579.026 |
512.783 |
579.026 |
|
|
(d) Education and training |
43.710 |
58.539 |
43.710 |
|
|
(e)
SEZ |
2668.798 |
2274.863 |
2668.798 |
|
|
Total |
5450.076 |
4693.810 |
5450.076 |
|
|
Unallocable
Assets less Liabilities |
2597.614 |
2706.295 |
2597.614 |
|
|
Total
Capital Employed |
8047.690 |
7400.105 |
8047.690 |
|
|
|
Particular |
Quarter ended 30 September , (unaudited) |
Quarter ended 30 June , (unaudited) |
Half Year ended 30 September, (unaudited) |
|
PARTICULAR OF SHAREHOLDER |
2012 |
2012 |
2012 |
|
|
1 Public Shareholding |
|
|
|
|
|
-
Number of shares |
14810078 |
14810078 |
14810078 |
|
|
-
Percentage of shareholding |
48.88 |
48.88 |
48.88 |
|
|
2 Promoters and promoter
group shareholding |
|
|
|
|
|
(a) Pledged / Encumbered |
|
|
|
|
|
-
Number of Shares |
- |
- |
- |
|
|
-
Percentage of Shares (as a % of the total shareholding of promoter and
promoter group) |
- |
- |
- |
|
|
-
Percentage of Shares (as a % of the total shareholding of the total share
capital of the Company) |
- |
- |
- |
|
|
(b) Non-encumbered |
|
|
|
|
|
|
|
|
|
|
|
Number of Shares |
15489922 |
15489922 |
15489922 |
|
|
Percentage
of Shares (as a % of the total shareholding of promoter and promoter group) |
100.00 |
100.00 |
100.00 |
|
|
Percentage
of Shares (as a % of the total shareholding of the total share capital of the
Company) |
51.12 |
51.12 |
51.12 |
|
|
|
Particulars |
Quarter ended 30 September
2012 |
|
B |
INVESTOR COMPLAINTS |
|
|
|
Pending
at the beginning of the quarter |
Nil |
|
|
Received
during the quarter |
8 |
|
|
Disposed
during the quarter |
8 |
|
|
Remaining
unresolved at the end of the quarter |
Nil |
STANDALONE AND
CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES
(Rs. In Millions)
|
|
Particular |
As at 30 September,2012 |
|
A |
EQUITY AND
LIABILITIES |
|
|
1 |
Shareholders' funds |
|
|
|
(a) Share capital |
303.000 |
|
|
(b) Reserves and surplus |
7744.690 |
|
|
Sub-total-Shareholders'
funds |
8047.690 |
|
2 |
Non-current
liabilities |
|
|
|
(a) Other long term liabilities |
160.606 |
|
|
(b) Long-term provisions |
258.107 |
|
|
Sub-total-Non-current
liabilities |
418.713 |
|
3 |
Current liabilities |
|
|
|
(a) Trade payables |
1653.304 |
|
|
(b) Other current liabilities |
598.842 |
|
|
(c) Short-term provisions |
347.012 |
|
|
Sub-total-Current
liabilities |
2599.158 |
|
|
|
|
|
|
TOTAL-EQUITY AND
LIABILITIES |
11065.561 |
|
B |
ASSETS |
|
|
1 |
Non-current assets (a) Fixed assets |
|
|
|
(i) Tangible assets |
2702.081 |
|
|
(ii) Capital work-in-progress |
541.896 |
|
|
(b) Goodwill on consolidation |
|
|
|
(c) Non-current investments |
81.801 |
|
|
(d) Deferred tax assets (net) |
105.766 |
|
|
(e) Long-term loans and advances |
1134.031 |
|
|
Sub-total-Non-current
assets |
4565.575 |
|
2 |
Current assets |
|
|
|
(a) Current investments |
1169.522 |
|
|
(b) Inventories |
133.001 |
|
|
(c) Trade receivables |
2956.926 |
|
|
(d) Cash and cash equivalents |
201.154 |
|
|
(e) Short-term loans and advances |
424.339 |
|
|
(f) Other current assets |
1615.044 |
|
|
Sub-total-Current
assets |
6499.986 |
|
|
|
|
|
|
TOTAL - ASSETS |
11065.561 |
Notes to Financial Results:
· The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on 15 October, 2012.
·
Consolidated
results comprise consolidation of the financial results of CMC Limited and the
consolidated results of its wholly owned subsidiary CMC Americas, Inc. and its
subsidiary CMC eBiz, Inc. (referred to as 'the Group' )
·
Other
Income for the quarter and half year ended 30 September, 2012 and 30 September,
2011 includes Rs. 276.000 Millions and Rs 269.390 Millions respectively,
pertaining to dividend received from its wholly owned subsidiary CMC Americas,
Inc.
·
Previous
period figures have been regrouped, wherever necessary.
PRESS RELEASE
CMC Results – FY 13
(Q2)
·
Operating
revenue at Rs. 458.25 crore - growth of 28% y-o-y.
·
EBITDA at Rs. 76.20
crore – Growth of 45% y-o-y.
·
Broad based growth in
India and international markets;
·
International
business share at 66.4% during Q2.
·
Growth driven by value
added services with growth of 37% y-o-y;
·
Services
Business share at 94.8% in Q2.
·
15 new
clients addition during the quarter.
· 38% growth in operating revenue during half year ended September, 2012.
Mumbai, October 15, 2012: CMC Limited announced consolidated Operating revenue of Rs. 4582.500 Millions in quarter ending September 30, 2012, which represents 28% growth over the corresponding period last year. The company earned profit after tax of Rs. 494.000 Millions, representing growth of 51% year-on-year.
On a cumulative basis the Company earned operating revenue of Rs. 9105.300 Millions in the first half of current financial year, resulting in growth of 38% over corresponding period last year.
“The Company continues to see good growth potential for its offerings across all business segments and geographies even in a challenging business environment” observed R Ramanan, CEO and MD. “The Company added 15 clients across geographies” he added.
“The Company was able to improve EBITDA margin by 190 basis points year-on-year though improved business mix and higher people productivity” said JK Gupta, CFO. “The Company improved its debtor days from 86 days to 83 days during the quarter” he added.
Awards &
Certifications:
·
Golden Peacock Award for HR excellence by the
Institute of Directors
·
Golden Peacock Award for Innovation Management
by the Institute of Directors.
· MP Treasury CSFMS ePayment has won Gold for ePayment facility for MP Government at SKOCH Digital Inclusion Awards – 2012.
About CMC Limited
Incorporated in 1975, CMC is a pioneer Information Technology solutions provider in India and is a subsidiary of Tata Consultancy Services Limited, Asia’s largest software Company. Operating out of 18 offices and 180 service locations in the country, CMC employs over 10,000 people and has a wholly owned subsidiary in USA called CMC Americas, Inc.
CMC’s vision is to operate globally and bring the benefit of Information Technology to improve the productivity of its customers and the quality of its customer’s products and services. CMC combines horizontal expertise in Information Technology with its vertical experience developed by working in a wide range of Industries.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject are
derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] 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. 54.91 |
|
|
1 |
Rs. 87.38 |
|
Euro |
1 |
Rs. 70.24 |
INFORMATION DETAILS
|
Report Prepared
by : |
UDS |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
67 |
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.