MIRA INFORM REPORT

 

 

Report Date :

21.11.2012

 

IDENTIFICATION DETAILS

 

Name :

NILKAMAL LIMITED (w.e.f. 05.01.2007)

 

 

Formerly Known As :

NILKAMAL PLASTICS LIMITED

 

 

Registered Office :

Survey No. 354/2 and 354/3, Near Rakholi Bridge, Silvassa Khanvel Road, Village Vasona, Union Territory of Dadra and Nagar Haveli-396230, Silvassa

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

05.12.1985

 

 

Com. Reg. No.:

54-000162

 

 

Capital Investment / Paid-up Capital :

Rs.149.225 Millions

 

 

CIN No.:

[Company Identification No.]

L25209DN1985PLC000162

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMN07184C

 

 

PAN No.:

[Permanent Account No.]

AAACN2329N

 

 

Legal Form :

A Public Limited Liability company. The company’s Share are Listed on the Stock Exchange.

 

 

Line of Business :

Manufacturing of Moulded Plastic Chairs.

 

 

No. of Employees :

2900 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (58)

 

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 16000000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established and a reputed company having fine track. Financials of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – June 30, 2012

 

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

 

 

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 and

Vasona Factory :

Survey No. 354/2 and 354/3, Near Rakholi Bridge, Silvassa Khanvel Road, Village Vasona, Union Territory of Dadra and Nagar Haveli -396230, Silvassa, India

Tel. No.:

91–2551–221053 / 220156 / 220552

91-260-2699082 / 2699083

Fax No.:

91–2551–220772

91-260-2699215

Email :

info@nilkamalplastics.com

admin@vas.nilkamalplastics.com

investor@nilkamalplastics.com

anil@nilkamalplastics.com

Website :

http://www.nilkamal.com

Area :

10000 sq. ft.

Location :

Owned

 

 

Corporate/ Administrative Office :

Nilkamal House, 77/ 78, Road No. 13/14, M.I.D.C., Andheri (East), Mumbai – 400093, Maharashtra, India

Tel No.:

91–22–28361366 / 28211172 / 28231471 / 26818888 / 26818628

Fax No.:

91–22–28367891 / 28361923

Email :

cratessales@nilkamal.com
furniture@nilkamal.com

 

 

Barjora Factory :

Plot No. 1498/2613, WBIDC, Barjora Mejia Road, P.S.: Barjora, District : Bankura, West Bengal, India

 

 

Hosur Factory:

Part of Survey No.149, 151 to 153, 227/ 2K3 and 299/1, Next to GNB Factory, Koneripalli Post, Nallaganakothapalli Village, Hosur Taluk, Krishnageri-635117 District, Tamilnadu, India

 

 

Jammu Factory :  

Plot No.1107, IGC, Phase – II, Samba – 184 121, Jammu and Kashmir, India

 

 

Kharadpada Factory :

Survey No. 389, 391, 393, 396 and 401, Naroli – Kharadpad Road, Village : Kharadpada, Silvassa – 396230, India  

 

 

Noida Factory :

Plot No. 26, B/C Sector No. 31, Surajpur - Kasna Road, Greater Noida - 203 207, Uttar Pradesh, India

 

 

Pondicherry Factory :

19/3-5, 18/1 and 21/6, Pit-Olaivaikkal Village, Koodapakam Villianoor Road, Villianoor Taluk, Pondicherry - 605110, India

 

 

Sinnar Factory :

STICE, Plot No. 971/1A, Sinnar Shirdi Road, Sinnar - 422103, District Nashik, Maharashtra, India

 

 

DIRECTORS

 

As on 31.03.2012

 

Name :

Mr. Dadi B. Engineer

Designation :

Director

 

 

Name :

Mr. K. R. Ramamoorthy

Designation :

Director

Date of Birth/Age :

08.07.1940

Qualification :

B. A., B.L., F.C.S.

Date of Appointment :

31.10.2003

 

 

Name :

Mr. Mahendra V. Doshi

Designation :

Director

 

 

Name :

Mr. Mufazzal S. Federal

Designation :

Director

 

 

Name :

Mr. Rajendra P. Goyal

Designation :

Director (Ceased w.e.f. 22nd October, 2011)

 

 

Name :

Mr. S. K. Palekar

Designation :

Director (Appointed w.e.f. 17th April, 2012

Date of Birth/Age :

23.08.1949

Qualification :

B.Sc., M.Sc., M.M.S.

Date of Appointment :

17.04.2012

 

 

Name :

Mr. Hiten V. Parekh

Designation :

Executive Director

 

 

Name :

Mr. Manish V. Parekh

Designation :

Executive Director

 

 

Name :

Mr. Nayan S. Parekh

Designation :

Executive Director

 

 

Name :

Mr. Sharad V. Parekh

Designation :

Managing Director

Date of Birth/Age :

08.03.1972

Qualification :

B.S. Plastic Engineering, U.S.A

Date of Appointment :

01.04.2000

 

 

Name :

Mr. Vamanrai V. Parekh

Designation :

Chairman

 

 

KEY EXECUTIVES

 

Name :

Mr. Paresh B. Mehta

Designation :

Financial Controller

 

 

Name :

Ms. Priti P. Dave

Designation :

Company Secretary

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.06.2012

 

Category of Shareholder

No. of Shares

Percentage of Holding

(A) Shareholding of Promoter and Promoter Group

 

 

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

6903885

46.26

http://www.bseindia.com/include/images/clear.gifBodies Corporate

2376500

15.93

http://www.bseindia.com/include/images/clear.gifSub Total

9280385

62.19

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

9280385

62.19

(B) Public Shareholding

 

 

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

2543397

17.04

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

1100

0.01

http://www.bseindia.com/include/images/clear.gifInsurance Companies

139241

0.93

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

200

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

2683938

17.99

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

460932

3.09

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs.0.100 Million

1364847

9.15

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs.0.100 Million

893278

5.99

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

239145

1.60

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

239145

1.60

http://www.bseindia.com/include/images/clear.gifSub Total

2958202

19.82

Total Public shareholding (B)

5642140

37.81

Total (A)+(B)

14922525

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

0

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

0

0.00

Total (A)+(B)+(C)

14922525

0.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of Moulded Plastic Chairs.

 

 

Products :

Item Code No.

Product Description

3923.90

Material Handling Crates

9403.89

Readymade Furniture other than Plastics

9401.00

Plastic Moulded Furniture

 

 

PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

Installed Capacity **

Actual Production

(pcs. In Lacs)

Moulded Plastics Articles

88680 TPA

394.63

 

Note:

  • Including samples
  • ** As certified by the Management and being a technical matter, accepted by the Auditors as correct.

 

 

GENERAL INFORMATION

 

No. of Employees :

2900 (Approximately)

 

 

Bankers :

·         State Bank of India

·         Corporation Bank

·         IDBI Bank Limited

·         DBS Bank Limited

·         HSBC Limited

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2012

As on

31.03.2011

Term Loan from Banks

 

 

(i) Rupee Loans

781.706

562.354

(ii) Foreign Currency Loans

318.000

134.438

Working capital loan from banks

0

0

Rupee Loans

2116.690

1789.798

Buyers Credit Facility

39.003

0.000

Total

3255.399

2486.590

 

Note:

a)       Working capital facilities from Banks are secured on first pari passu basis by way of hypothecation of current assets of the Company, second pari passu charge by way of equitable mortgage on the Company's immoveable property and personal guarantee of Director/s.

b)       Term loans of Rs.1098.375 Millions (Previous Year: Rs.696.792 Millions) from the Banks are secured on first pari passu basis by way of Equitable mortgage created on Company's immoveable properties situated at Sinnar (Maharashtra), Barjora (West Bengal), Noida (Uttar Pradesh), Vasona (UT of D and NH), Puducherry (UT), Kharadpada (UT of D and NH), Jammu (Jammu and Kashmir) , Hosur (Tamilnadu) together with all building and structures thereon and all Plant and Machinery, second pari passu charge by way of hypothecation of current assets of the Company. Also personal guarantee of a Director has been provided for the Term loans, except for a foreign currency loan of Rs.127.200 Millions (Previous Year Rs. Nil ).

c)       Term loan of Rs.1.331 Millions (Previous Year Rs. Nil) are secured against respective assets.

 

d)      Terms of Repayment

 

Rupee term Loan

i)         Term loan amounting to Rs.24.994 Millions (March 31, 2011: Rs.58.330 Millions) Repayable in equal quarterly installments, last installment due in December, 2013. Rate of interest as at year end 14.50 % p.a. (Previous year 13.00% p.a.).

ii)       Term loan amounting to Rs.33.332 Millions (March 31, 2011: Rs.50.000 Millions) Repayable in equal quarterly installments, last installment due in May, 2015. Rate of interest as at year end 14.25% p.a. (Previous year 12.75% p.a.)

iii)      Term loan amounting to Rs.100.000 Millions (March 31, 2011: Rs.100.000 Millions) Repayable in equal quarterly installments, last installment due in June, 2016. Rate of interest as at year end 12.75% p.a. (Previous year 11.50% p.a.).

iv)      Term loan amounting to Rs.206.250 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in January, 2016. Rate of interest as at year end 12.75% p.a. (Previous year Nil p.a.).

v)        Term loan amounting to Rs.40.000 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in March, 2017. Rate of interest as at year end 13.75% p.a. (Previous year Nil p.a.).

vi)      Term loan amounting to Rs.50.000 Millions (March 31, 2011: Rs.100.000 Millions) Repayable in equal quarterly installments, last installment due in March, 2014. Rate of interest as at year end 13.75 % p.a. (Previous year 13.00% p.a.).

vii)     Term loan amounting to Rs.58.500 Millions (March 31, 2011: Rs.91.700 Millions) Repayable in equal quarterly installments, last installment due in December, 2014. Rate of interest as at year end 13.75 % p.a. (Previous year 12.50 % p.a.).

viii)   Term loan amounting to Rs.34.400 Millions (March 31, 2011: Rs.67.200 Millions) Repayable in equal quarterly installments, last installment due in March, 2014. Rate of interest as at year end 14.50% p.a. (Previous year 12.25% p.a.)

ix)     Term loan amounting to Rs.92.900 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in January, 2016. Rate of interest as at year end 14.50% p.a. (Previous year Nil p.a.).

x)       Term loan amounting to Rs.40.000 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in March, 2017. Rate of interest as at year end 14.00% p.a. (Previous year Nil p.a.).

xi)     Term loan amounting to Rs.99.999 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in July, 2016. Rate of interest as at year end 13.50% p.a. (Previous year Nil p.a.).

xii)    Term Loan amounting to Rs.1.331 Millions (March 31, 2011 Rs. Nil). Repayable in equal monthly installments, last installment due in December, 2014. Rate of interest as at year end 11.50 % p.a. (Previous year nil p.a.).

xiii)  Term Loan amounting to Rs. Nil (March 31, 2011 Rs.16.666 Millions). Repayable in equal quarterly installments, last installment due in September, 2012. Rate of interest as at year end Nil % p.a. (Previous year 11.25 % p.a.).

xiv)   Term Loan amounting to Rs. Nil (March 31, 2011 Rs.11.458 Millions). Repayable in equal quarterly installments, last installment due in February, 2013. Rate of interest as at year end Nil % p.a. (Previous year 11.00 % p.a.).

xv)    Term Loan amounting to Rs. Nil (March 31, 2011 Rs.42.000 Millions). Repayable in equal quarterly installments, last installment due in September, 2012. Rate of interest as at year end Nil % p.a. (Previous year 13.00 % p.a.).

xvi)   Term Loan amounting to Rs. Nil (March 31, 2011 Rs.25.000 Millions). Repayable in equal quarterly installments, last installment due in January, 2013. Rate of interest as at year end Nil % p.a. (Previous year 12.25 % p.a.).

 

Foreign Currency Loan

i)         Term loan amounting to Rs.190.800 Millions (March 31, 2011: Rs.134.438 Millions) Repayable in equal half yearly installments, last installment due in March, 2016. Rate of interest as at year end 2.89 % p.a. (March 31, 2011 2.81% p.a.).

ii)       Term loan amounting to Rs.127.200 Millions (March 31, 2011: Rs. Nil) Repayable in equal quarterly installments, last installment due in March, 2017. Rate of interest as at year end 2.97 % p.a. (March 31, 2011 Nil p.a.).

(Rs. In Millions)

Unsecured Loan

As on

31.03.2012

As on

31.03.2011

From Others

4.542

10.065

Short Term Rupee Loan from Banks

0.000

150.000

Total

4.542

160.065

 

Term loan amounting to Rs.4.542 Millions (March 31, 2011: Rs.10.065 Millions) Repayable in equal quarterly installments, last installment due in November, 2013. Rate of interest as at year end 10.69 % p.a. (March 31, 2011 10.69 % p.a.).

 

Installments falling due within twelve months from the year end have been classified as "Current maturities of long term debts"

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Dalal and Shah

Chartered Accountants

 

Vora and Associates

Chartered Accountants

 

 

Subsidiaries :

·         Nilkamal Eswaran Plastics Private Limited

·         Nilkamal Eswaran Marketing Private Limited

·         Nilkamal Crates and Bins, FZE.

 

 

Joint Venture

·         Nilkamal Bito Storage Systems Private Limited

·         Cambro Nilkamal Private Limited

 

 

Enterprise owned or significantly influenced by key Management Personnel or their relatives, where transactions have taken place

·         Nilkamal Crates and Containers

·         Starshine Land Developers Private Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

22000000

Equity Shares

Rs.10/- each

Rs.220.000 Millions

3000000

Preferences Shares

Rs.10/- each

Rs.  30.000 Millions

 

 

 

 

 

Total

 

Rs.250.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

14922525

Equity Shares

Rs.10/- each

Rs.149.225 Millions

 

 

 

 

 

 

 

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

149.225

149.225

127.823

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

3895.221

3408.564

2383.918

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

4044.446

3557.789

2511.741

LOAN FUNDS

 

 

 

1] Secured Loans

3255.399

2486.590

2810.341

2] Unsecured Loans

4.542

160.065

0.000

TOTAL BORROWING

3259.941

2646.655

2810.341

DEFERRED TAX LIABILITIES

184.721

156.433

135.168

 

 

 

 

TOTAL

7489.108

6360.877

5457.250

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

3272.230

2595.255

2152.164

Capital work-in-progress

50.922

382.309

86.944

 

 

 

 

INVESTMENT

252.959

252.959

242.909

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
2729.119

2246.778

1564.003

 

Sundry Debtors
1956.913

1474.361

1325.000

 

Cash & Bank Balances
204.579

257.219

153.313

 

Other Current Assets
35.672

1.481

0.000

 

Loans & Advances
964.578

821.970

1119.980

Total Current Assets
5890.861

4801.809

 

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
848.220

632.128

445.625

 

Other Current Liabilities
891.098

850.628

602.493

 

Provisions
238.546

188.699

138.945

Total Current Liabilities
1977.864

1671.455

1187.063

Net Current Assets
3912.997

3130.354

2975.233

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

7489.108

6360.877

5457.250

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

14346.079

12516.978

10280.502

 

 

Other Income

24.938

39.568

47.691

 

 

TOTAL                                     (A)

14371.017

12556.546

10328.193

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

5547.950

4650.894

 

 

Purchases of traded goods

3526.666

3621.073

 

 

 

Changes in inventories of finished goods, work-in progress and traded goods

(302.065)

(523.420)

9100.604

 

 

Employee Benefits expense

900.227

757.790

 

 

 

Other expenses

3192.558

2720.533

 

 

 

Trial Run expenses capitalised

(6.483)

(2.156)

 

 

 

TOTAL                                     (B)

12865.336

11224.714

9100.604

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

1512.164

1331.832

1227.589

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

396.843

302.140

246.963

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

1115.321

1029.692

980.626

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

404.777

329.316

321.751

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

710.544

700.376

658.875

 

 

 

 

 

Less

TAX                                                                  (H)

154.514

175.798

186.489

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

556.030

524.578

472.386

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

1099.694

696.947

489.187

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Proposed Dividend

59.690

59.690

38.347

 

 

Interim Dividend

0.000

0.000

25.565

 

 

Tax on Dividend

9.683

9.683

10.714

 

 

Transfer to General Reserve

57.542

52.458

190.000

 

BALANCE CARRIED TO THE B/S

1528.809

1099.694

696.947

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

FOB Value of exports

308.475

235.444

150.783

 

 

Technical and Management Fees

15.118

12.694

8.479

 

 

Income earned from export of services

5.166

7.898

9.679

 

 

Dividend Received from a Subsidiary Company

11.100

6.064

8.687

 

TOTAL EARNINGS

339.859

262.100

177.628

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Capital Goods

233.113

402.017

59.383

 

 

Raw Materials

838.500

969.639

676.713

 

 

Traded Goods

778.194

780.164

432.841

 

 

Stores, Spares and Others

9.733

16.203

9.021

 

TOTAL IMPORTS

1859.540

2168.023

1177.958

 

 

 

 

 

 

Earnings Per Share (Rs.)

37.26

36.80

36.96

 

 

QUARTERLY RESULTS

 

PARTICULARS

 

 

 

30.06.2012

Type

 

 

1st Quarter

Net Sales

 

 

3937.010

Total Expenditure

 

 

3558.050

PBIDT (Excl OI)

 

 

378.960

Other Income

 

 

3.200

Operating Profit

 

 

382.160

Interest

 

 

111.410

Exceptional Items

 

 

0.000

PBDT

 

 

270.750

Depreciation

 

 

113.860

Profit Before Tax

 

 

156.880

Tax

 

 

44.320

Provisions and contingencies

 

 

0.000

Profit After Tax

 

 

112.560

Extraordinary Items

 

 

0.000

Prior Period Expenses

 

 

0.000

Other Adjustments

 

 

0.000

Net Profit

 

 

112.560

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)
3.87

4.18

4.57

 

 
 

 

 

Net Profit Margin

(PBT/Sales)

(%)
4.95

5.60

6.41

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)
7.75

9.47

10.43

 

 
 

 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.18

0.20

0.26

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
1.30

1.21

1.59

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
2.99

2.87

3.51

 

 

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

Yes

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]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

 

YEAR IN RETROSPECT

 

The year 2011-2012 started with a glimpse of hope, however there were number of global factors like intensified sovereign debt crisis in Euro zone, political turmoil in Middle East, rise in crude oil prices, which worked against the growth that had revived in the last two years. But it is also a fact that in any cross-country comparison, India still remains among the front runners in economic growth.

 

During the year, the gross turnover of the Company has increased to Rs.16429.777 Millions from Rs.14301.237 Millions for the previous Financial Year. The Operating Profit of the Company has increased to Rs.1512.200 Millions as compared to Rs.1331.800 Millions in the previous year. The plastic business has achieved a volume growth of 6% and value growth of 15%.

 

During the year, the Company had 20 @home stores in 11 cities. The gross turnover of @home division was Rs.2129.400 Millions resulting into a growth of 11%. @home division has made a loss of Rs.55.169 Millions as compared to profit of Rs.2.800 Millions of the previous year.

 

The Company has launched its mattresses business in the southern part of the Country during the year and has achieved a turnover of Rs.132.126 Millions.

 

The Company had taken up a project for construction of mass housing which is funded by the JNNURM scheme in Ahmedabad, Gujarat by using most effective and quick construction technique and has started work on said project.

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

INDUSTRY STRUCTURE AND DEVELOPMENT OPPORTUNITIES, THREATS, RISKS, CONCERNS AND OUTLOOK:-

 

The year 2011-12 was challenging on many fronts. Inflationary pressures continued unabated during the year. Fuel price hikes and a steep depreciation in the Indian Rupee added to input costs. Liquidity conditions were tight with persistent hardening of interest rates. Also the global economic developments affected inflows and investments into India. All this had an adverse impact on Indian corporate sector. The challenges faced by the Indian economy has resulted into a failed opportunity for the Indian plastic industry to transform the lower international commodity prices into lower prices in rupee terms.

 

However, the Indian market players are convinced that India has robust long-term growth prospects. The consumption of petrochemicals is projected to hit 53.2m TPA by 2016-2017, up from 31.9m TPA in 2011-2012. It should be noted that crude oil and naptha prices have been a cause of concern for Companies as imports tend to become more expensive, none the less India is set to become more self reliant and will grow enough to suffice its domestic demand for polymers.

 

They continue to see a large and growing total available market in both their focus segments i.e. the Home and the Shop Floor. The potential of increases in combined sales of their furniture, home-accessories, mattress and material-handling products remains robust due to steadily increasing levels in consumer awareness, government spending, industrial productivity, wage inflation and industrial real-estate inflation. On the down-side, increase in personal taxes, inflation, effect of last years increase in interest rates remained a considerable risks.

 

PLASTIC DIVISION

 

The Plastic Business has achieved a volume growth of 6% and value growth of 15%. During the Financial Year 2011-12 it has achieved total turnover of Rs.14275.400 Millions as compared to Rs.12351.100 Millions in the previous year.

 

The Furniture Business witnessed a top line growth of 11% in revenue terms over the previous financial year. This Division of the Company continues to enjoy a strong leadership position with a market share of nearly 38% and a lead of nearly two times to its closest competitor. The raw material prices witnessed a rise of 15% over previous year's average. The extension of range and the geographical penetration helped the division not only to pass on the increase of raw material prices to a large extent but also grow in revenue terms.

 

The Furniture Division has increased its range in value added products with the introduction of additional SKUs in office seating solution, hybrid designer chair to service commercial establishments. In the Financial Year 2011-12 the large network of 1000 plus distributors and nearly 20,000 plus retailers has helped to launch additional ranges in Traded Furniture Products like Computer Table, TV Trolley, Home furniture's like dining table, living room furniture and gain substantially in value terms. In order to increase the visibility of these products the Company has also launched nine "Nilkamal Home Idea" stores ranging from 3,000-6,000 sq.ft. in seven 2/3 Tier cities in India.

 

They strongly believe that Indian GDP growing at a stable pace would unfold a lot of opportunities as the growing middle class would need quality home furniture to meet their aspirations of building up their homes. The current base of approximately 5 crores satisfied households would serve as an ideal base for the initial penetration of all the value added products introduced by the Company. Apart from this to trigger customers seeking high end plastic moulded chair for replacement of their existing chairs, the Company has already introduced a Premium range which have been growing over 40% on a year-on-year basis. The pan India penetration and the strength of servicing the customers through depots in all major cities would further augment their leadership position and would help to grow at 12-15% in revenue terms.

 

MATTRESS DIVISION

 

Mattress industry in India is estimated to be at Rs.54000.000 Millions with a growth potential of 15% p.a. The mattress market is categorized into four segments viz. cotton, coir, foam and spring mattresses. The rubberized Coir Industry is highly fragmented with a potential of approximately Rs.20000.000 Millions turnover. The unorganized players are very dominant in this market, which is extremely price sensitive. There are very few organized players. Robust distribution network becomes key to the success in this business. The Company's strength lies in its brand leadership in moulded furniture segment, its strong distribution network and its trade relations, which would allow it to cater to the Home Comfort segment as well as the mattress segment.

 

The Company has launched mattresses in southern part of the country and received encouraging response from the trading community. More than 1000 retail counters have been appointed as dealers and sub dealers during the last nine months.

 

The manufacturing unit has been established in first quarter of Financial Year 2012 at Hosur in Tamil Nadu. Machineries have been imported from Germany and Switzerland to focus on the quality and innovation.

 

The Company has introduced a full range of rubberized coir, foam and innovative spring mattresses. The Company identified the three major attributes of requirement of Indian consumers viz. Comfort, Support for the spine and wellness. The Company is working towards offering all three attributes in all the range of mattresses offered by it.

 

For the first time in India Veronica-mattress which has firm and soft on the same surface of the mattress have been introduced by the Company and it is getting good response from the consumers and the traders.

 

Economy spring mattress, also for the first time in India, in four inches thickness have been recently introduced by the Company at a price lower than coir mattress. This has been positioned for the price sensitive tier two town markets where spring mattress is becoming an alternative to cotton and coir. The Company feels that such innovative products will become trend setter in the mattress industry.

 

FUTURE OUTLOOK

 

Mattress market is throwing up opportunities for premium products which are technically superior. Higher purchasing power backed by higher income levels, increased urbanization, rising construction activity in housing segment and easy availability of loans are boosting growth in this industry. Quality is attracting towards organized sector in the mattress industry.

 

The strength of Nilkamal Brand is extended to mattresses and efforts are taken to offer to the current marketing and distribution network of furniture, the complete range of mattresses as per the requirement of the consumer and market segments.

 

The Company's investments in production units in eastern and northern part of the country is bound to create positive impact in mattress industry.

 

The Material Handling Business grew by 20% in value terms and 16% in volume terms. Subjectcontinued to exhibit a market leader position in the material handling segment through PRODUCT BREDTH combined with pan-India DIRECT SALES REACH to the end customer through 400+ sales team positioned in 50+ sales offices and manufacturing and distribution network of 8 plants and 60+ warehouses.

 

The Company saw significant growth in food processing and food storage segment through sales of various products like crates, pallets, material handling equipment and racking. They continue to remain bullish about this segment given recently introduced government incentives to spur investment in this segment.

 

The Government's focus to decrease food inflation and wastage in the agriculture and horticulture sectors especially the handling, storage and transportation of produce remains to be an enormous opportunity for the Company.

 

Their Material Handling Equipment product sales also saw good growth. The increasing scarcity of labour and resulting wage inflation remain fundamental growth drivers for their equipment products.

 

The Company also realized good sales growth in Civic Amenities and Sanitation products. Central and State Government spending in sectors like sanitation, waste-management and road development continue to bode well for these products.

 

The Company started selling light, easy-to-erect and quick-to-dismantle injection molded plastic formwork systems with a lower cost of ownership compared to the wood and metal formwork that is ubiquitously used in construction projects today. They are in the process of scaling up this product line. They also started their first mass housing project funded by the JNNURM scheme for the economically weaker and low income group in Gujarat using most effective and quick construction technique.

 

Their Joint Venture with the Cambro Manufacturing Company, USA was profitable in the first year of it's operations. As with streamlined distribution and local manufacturing and export of key products for the commercial food service segment. They remain optimistic about potential sales of these products to upcoming Hotel projects, the mid-market segment and exports.

 

Their Joint Venture with Bito Lagertechnik Bittmann GmbH, Germany to manufacture and supply steel storage and racking systems became profitable. They realized significant increase in sales, improved manufacturing efficiencies and power rate at their Jammu plant. Ever increasing industrial real estate costs and inventory levels to sustain industrial output remain significant drivers for these products.

 

The coming of age of India's Industrial Sector coupled with the ever- increasing focus on improved factory output with less dependency on labour continues to serve well for all their material handling products.

 

The rise in the price of crude and the weakening of Indian Rupee will definitely remain a major concern for the business.

 

LIFESTYLE FURNITURE, FURNISHING AND ACCESSORIES DIVISION:

 

@home - The Mega Home Store is the Company's retail business division. With 20 stores spread across 11 cities, covering a retail space of over three and a half lakh sq. ft., @home today has become a trusted brand among the consumers and has acquired a reputation of a serious player in the Indian Home Retailing Industry.

 

In the FY 2011-12, the Brand conducted a Market and Consumer research exercise supported by Technopak Advisors with an objective to measure performance, to gauge consumer expectations and to identify new growth opportunities. The resultant outcome was positive and there were learning's derived which have been implemented thereon.

 

@home has now taken the next big leap! The Brand will soon go the E-commerce way. All @home products will now be available online through their own web portal and through other leading portals the Brand has partnered with. ©home's digital presence can also be felt with the various Social Media Marketing initiatives conducted.

 

In the FY 2011-12, ©home has taken various steps to enhance their customer experience. The Brand has launched its own Customer Loyalty solution on a mobile based CRM platform, an in-store radio to enhance the shopping experience and a hassle free and simplified interest free EMI scheme.

 

The second half of FY 2011-12 witnessed signs of resistance and a slight uncertainty in the market backed by fears of economic slowdown. This adversely effected the entire organized retail industry, who were either stagnant or saw a downward trend in the market. Despite all odds, ©home has registered a turnover growth of 11% in FY 2011-12 Rs.1912.700 Millions) over FY 2010-11 Rs.1721.500 Millions). In the same year, ©home added 4 new stores. This expansion is primarily based on 'cluster strategy' wherein 3 new stores have been added in the existing markets.

 

The total Indian Furniture Market is estimated to be more than Rs.700000.000 Millions. The industry is dominated by the unorganized sector, which constitutes more than 90% of the market. The organised sector is growing at about 30% CAGR. Furniture segment comprises 65% of the home market and 35% of institutional demand.

 

Economic uncertainty coupled with adverse currency fluctuation are a threat to the business, as home furniture is not purchased frequently, the decision involves a lot of deliberation and needs a larger outlay of funds for their target customer.

 

The Management believes that the entry of more organized players will accelerate the shift from unorganized to organized market. The organized sector will facilitate the consumers with benefits such as wide product range, quality products, home decor ideas, easy finance options, warranty and after sales service.

 

 

FINANCIAL REVIEW

 

OPERATING PROFIT

 

The Company registered Operating Profit of Rs.1512.200 Millions against Rs.1331.800 Millions in the previous year, an increase of 13.55 % over the previous year.

 

The operating margin for the year was 10.54 % as compared to 10.64 % in the previous year. The operating margin of plastic business stood at 12.22% compared to 11.90% in previous year.

 

 

CONTINGENT LIABILITIES:-

Rs. In Millions

Sr. No.

Particular

31.03.2012

31.03.2011

i)

Excise matters

33.909

1.094

ii)

Sales Tax matters *

126.093

104.812

iii)

a) On account of corporate guarantee given to the Department of Customs for availing custom duty benefits under Export Promotion Capital Goods Scheme on behalf of Joint venture for facilities availed by them (amount outstanding at close of the year)

5.950

--

 

b) On account of surety to Cambro Nilkamal Private Limited for claiming exemption from the payment of Central Excise Duty for export of excisable goods to foreign country or to SEZ/EOU unit without payment of Central Excise Duty

1.000

--

 

 

* Includes Rs. 97.261 Millions (Previous Year Rs.97.261 Millions) paid in full against the disputed Sales Tax liability under the Kerala General Sales Tax Act, 1963 The matter is pending for hearing in the Honorable Supreme Court of India.

 

Note: The Excise and Sales Tax demands are being contested by the Company at various levels. The Company has been legally advised that it has a good case and the demands are not tenable. Future cash flows in respect of these are determinable only on receipt of judgements / decisions pending with various forums/ authorities.

 

 

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30th JUNE, 2012

Rs. In Millions

Sr. No.

Particular

Quarter Ended

30.06.2012

1

     Income From Operations

 

 

 

(a) Net Sales / Incomes from Operations (Net of Duties and Levies)

3907.517

 

(b) Other Operating Income

29.489

 

Total Income from operations (net)

3937.006

2

Expenses

 

 

(a) Cost of materials consumed

1604.684

 

(b) Purchase of stock-in-trade

1027.131

 

(c) Changes in inventories of finished goods, work-in-progress

(150.035)

 

and stock-in-trade

 

 

(d) Employees benefit expense

253.698

 

(e) Depreciation and amortisation expense

113.860

 

(f) Other expenses

822.570

 

Total Expenses

3671.908

3

Profit from Operations before Other income, Finance Cost and

265.098

 

Exceptional Items (1-2)

 

4

Other Income

3.202

5

Profit from ordinary activities before finance costs and

268.300

 

Exceptional Items (3+4)

 

6

Finance Cost

111.414

7

Profit from ordinary activities after finance costs and but before

156.886

 

Exceptional Items (5-6)

 

8

Exceptional Items

-

9

Profit from Ordinary Activities before Tax (7-8)

156.886

10

Tax Expense

44.322

11

Net Profit from Ordinary Activities after Tax (9-10)

112.564

12

Extra Ordinary Items (Net of Tax Expenses)

-

13

Net Profit for the Year (11-12)

112.564

14

Paid-up Equity Share Capital

149.225

 

(Face Value of ? 10/- per Share)

 

15

Reserves excluding Revaluation Reserves as per Balance Sheet of

 

 

previous accounting year

 

16

Earnings Per Share (EPS)

 

 

(a) Basic and diluted EPS before exceptional Item for the period (?)

7.54

 

(b) Basic and diluted EPS after exceptional Item for the period (?)

7.54

 

 

 

1

Public Shareholding:

 

 

(a) Number of shares

5,642,140

 

(b) Percentage of Shareholding

37.81%

2

Promoters and Promoter Group Shareholding

 

 

(a) Pledged/ Encumbered

 

 

- Number of Shares

Nil

 

- Percentage of shares (as a % of the total shareholding of promoter

Nil

 

and promoter group)

 

 

- Percentage of shares (as a % of the total share capital of the company)

Nil

 

(b) Non -encumbered

 

 

- Number of Shares

9,280,385

 

- Percentage of shares (as a % of the total shareholding of promoter

100.00%

 

and promoter group)

 

 

- Percentage of shares (as a % of the total share capital of the company)

62.19%

 

 

 

B  

  INVESTOR COMPLAINTS

 

 

Pending at the beginning of the quarter

Nil

 

Received during the quarter

1

 

Disposed of during the quarter

1

 

Remaining unresolved at the end of the quarter

Nil

 

 

SEGMENT WISE REVENUE, RESULTS AND CAPITAL EMPLOYED

Rs. In Millions

Sr. No.

Particular

Quarter Ended

30.06.2012

 

1

Segment Revenue

 

 

(a) Plastics

3556.808

 

(b) Lifestyle Furniture, Furnishings & Accessories

411.587

 

Total

3968.395

 

Less: Inter Segment Revenue

31.389

 

Net Income from Operations

3937.006

2

Segment Results

 

 

(a) Plastics

321.982

 

(b) Lifestyle Furniture, Furnishings & Accessories

(34.379)

 

Total

287.603

 

Less:

 

 

Finance Cost

111.414

 

Other Un-allocable expenditure net of un-allocable income

19.303

 

Total Profit before Tax

156.886

3

Capital Employed [Segment Assets -Segment Liabilities]

 

 

(a) Plastics

6462.930

 

(b) Lifestyle Furniture, Furnishings & Accessories

992.225

 

(c) Unallocable

(3298.143)

 

Notes:

1.       The above results which have been subjected to 'Limited Review* by the Auditors of the Company, have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 3rd August, 2012.

2.       Previous Year's figures have been regrouped and reclassified, wherever necessary.

 

 

FIXED ASSETS

 

·         Freehold Land

·         Leasehold Land

·         Buildings

·         Plant and Machinery

·         Furniture, Fixtures and Office Equipments

·         Vehicles

·         Vehicles under hire purchase arrangement

·         Interiors at Showroom 

·         Models, Designs and Other Commercial Rights


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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 uggest 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.54.91

UK Pound

1

Rs.87.38

Euro

1

Rs.70.24

 

 

INFORMATION DETAILS

 

Report Prepared by :

VRN

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

7

--LIQUIDITY

1~10

7

--LEVERAGE

1~10

6

--RESERVES

1~10

7

--CREDIT LINES

1~10

6

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

YES

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

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

-

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.