MIRA
INFORM REPORT
|
Report Date : |
22.11.2012 |
IDENTIFICATION DETAILS
|
Name : |
EURO CERAMICS LIMITED |
|
|
|
|
Registered
Office : |
Euro House, CTS No. 1406, A25/6, Chincholi Bunder Road,
Behind Inorbit Mall, Malad (West), Mumbai – 400064, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
16.04.2002 |
|
|
|
|
Com. Reg. No.: |
11-135548 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 264.281
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L26914MH2002PLC135548 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUME04140D |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACE9821G |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Business of Vitrified Ceramic Tiles and Aluminium Extruded
Sections. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (26) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 3300000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a company having moderate track. There appears huge dip in
the revenue from operations during 2012. It has also incurred loss. It has recorded huge external borrowings which acts as a treat to the
company’s liquidity. Business is active. Payment terms are slow. The company can be considered for business dealings with great
caution. |
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) |
|
|
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 |
CARE |
|
Rating |
Long term Bank facilities : C |
|
Rating Explanation |
Very high risk of default |
|
Date |
May 03, 2011 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term Bank facilities : PR4 |
|
Rating Explanation |
Minimal degree of safety and very high credit
risk. |
|
Date |
May 03, 2011 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
Euro House, CTS No. 1406, A25/6, Chincholi Bunder Road, Behind
Inorbit Mall, Malad (West), Mumbai – 400064, Maharashtra, India |
|
Tel. No.: |
91-22-40194019 |
|
Fax No.: |
91-22-40194020 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory : |
Survey No. 510, 511, 512, 517/ 1, Bhachau Dudhai Road, Bhachau, Kutch
– 370140, Gujarat, India |
|
Tel. No.: |
91-2837-223381/ 87 |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Mr. Nenshi L. Shah |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Mr. Talakshi L. Nandu |
|
Designation : |
Whole-time Director |
|
|
|
|
Name : |
Mr. Kumar P. Shah |
|
Designation : |
Whole-time Director |
|
Date of Birth/Age : |
04.04.1959 |
|
Qualification : |
S.Y.B.Com |
|
|
|
|
Name : |
Mr. Paresh K. Shah |
|
Designation : |
Whole-time Director |
|
|
|
|
Name : |
Mr. Anil M. Mandevia |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Amit G. Shah |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Mahendra V. Modi |
|
Designation : |
Independent Director (w.e.f. February
14, 2012) |
|
Date of Birth/Age : |
26.11.1964 |
|
Qualification : |
B.Com, C.A. |
|
|
|
|
Name : |
Mr. Ajit B. Nalwaya |
|
Designation : |
Independent Director (w.e.f. May
3, 2012) |
|
Date of Birth/Age : |
18.02.1945 |
|
Qualification : |
M.A. |
|
|
|
|
Name : |
Mr. Shantilal L. Shah |
|
Designation : |
Non-Executive Director
(UptoNovember30, 2011) |
|
|
|
|
Name : |
Mr. Shivji K. Vikamsey |
|
Designation : |
Independent Director
(UptoNovember30, 2011) |
|
|
|
|
Name : |
Mr. Raichand K. Shah |
|
Designation : |
Independent Director (Upto
February 13, 2012) |
|
|
|
|
Name : |
Mr. Deepak G. Savla |
|
Designation : |
Independent Director (Upto
May 2, 2012) |
KEY EXECUTIVES
|
Name : |
Mr. Chandresh Rambhia |
|
Designation : |
General Manager-Accounts and Finance |
|
|
|
|
Name : |
Mr. Rajesh Kakkad |
|
Designation : |
General Manager-Sales |
|
|
|
|
Name : |
Mr. Viral Nandu |
|
Designation : |
Vice President-Sanitary Ware |
|
|
|
|
Name : |
Mr. Pratik Shah |
|
Designation : |
Vice President-Tile-o-Bond |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2012
|
Category
of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
9786166 |
34.24 |
|
|
9786166 |
34.24 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
9786166 |
34.24 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2149878 |
7.52 |
|
|
50000 |
0.17 |
|
|
2199878 |
7.70 |
|
|
|
|
|
|
673384 |
2.36 |
|
|
|
|
|
|
1961146 |
6.86 |
|
|
8349045 |
29.21 |
|
|
5608393 |
19.62 |
|
|
1742376 |
6.10 |
|
|
3865775 |
13.53 |
|
Trusts |
242 |
0.00 |
|
|
16591968 |
58.06 |
|
Total Public shareholding (B) |
18791846 |
65.76 |
|
Total (A)+(B) |
28578012 |
100.00 |
|
© 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) |
28578012 |
0.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
|
Line of Business : |
Business of Vitrified Ceramic Tiles and Aluminium Extruded
Sections. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
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Bankers : |
Ř State Bank of India Ř The Cosmos Co-operative Bank Limited Ř ICICI Bank Limited Ř Bank of India Ř Indusind Bank |
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Facilities : |
Note: Working capital loan from
banks and buyers credit arrangement are secured against the hypothecation of present
and future stocks of Raw Materials, Stock-In-Process, Finished Goods,
Stock-in-Trade, Stores and Spares, Consumables and Book Debts and against the
collateral securities and Personal Guarantee given by the Directors and
Related Parties. Overdraft Facility from Banks is secured against the Tertiary Charge on the entire Fixed Assets and Current Assets. |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Deepak Maru and Company Chartered Accountants |
|
Address : |
2/5, Ground Floor, Gajanan Colony, Goregaon (West), Mumbai – 400062,
Maharashtra, India |
|
Tel. No.: |
91-22-30284747/ 30284748 |
|
|
|
|
Subsidiaries : |
Ř Euro Merchandise (India) Limited Ř Subhnen Sanitaryware Private Limited |
|
|
|
|
Name of the enterprises
having same Key Management Personnel and/or their relatives as the Reporting
enterprises: : |
Ř Eurobond Industries Private Limited Ř Euro Multivision Limited Ř Euro Pratik Ispat Private Limited Ř Subhnen Finance and Investments Private Limited Ř Neelam Metal Ř Neelam Ply and Laminates Ř Tangent Furniture Private Limited Ř Monex Stationers Ř National Ply and Laminates Ř National Laminate Corporation Ř Euro Conventional Energy Private Limited Ř Euro Buildtech LLP Ř Link Estate Private Limited Ř Rahul Sales Ř Janata Industries Ř EMV Technosys Limited Ř Euro Flooring Private Limited Ř Euro Developers Private Limited Ř Euro Solo Energy Systems Private Limited Ř Euro Glass Private Limited Ř Laxmi Ply Agency Ř NLS Enterprise Private Limited Ř Lyons Technologies Ltd Ř Disti Multimedia and Communications Private Limited Ř Zenith Corporation Ř Gala Enterprises Ř Canbara Constructions Private Limited Ř Euro Realtors Ř Euro Steel and Minerals Ř Subhnen Realtors LLP Ř Drashti Veneers Ř Laxmi Laminates Ř Euro Decor Private Limited Ř Subhnen Ply Private Limited Ř Euro India Cylinders Limited Ř Kanch Ghar Ř Metro Stationery Mart Ř Gurukul Enterprises Private Limited Ř Ladhabhai Sanganbhai Gala Charitable Trust Ř Vaman International (Private) Private Limited Ř Nova Enterprises Ř Euro Foundation Ř Euro Solar Power Private Limited Ř Maxim Enterprises Ř Euro Polaad Minerals and Steel LLP Ř Jainy Glass and Veneer Ř Euro Pallets Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
35,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 350.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
26,428,134 |
Equity Shares |
Rs.10/- each |
Rs. 264.281
Millions |
|
|
|
|
|
Terms and
Rights attached to the Equity Shares:
The Company has only one class of
equity shares having a par value of Rs. 10/- per share. Each holder of equity shares
is entitled to one vote per share. No Dividends were proposed by the Board of
Directors for the financial year 2011-2012 / 2010-2011. In the event of
liquidation of the company, equity shareholders will be entitled to receive
remaining assets of the Company after distribution of all preferential amounts.
The distribution shall be in proportion to the number of equity shares held by
them.
Reconciliation of the number of shares and amount outstanding
at the beginning and at the end of the reporting period:
|
Particulars |
Opening Balance |
Add: Shares
issued on Demerger |
Closing Balance |
|
Equity Shares with voting rights |
|
|
|
|
Year ended 31 March, 2012 |
|
|
|
|
Number of shares |
17100000 |
9328134 |
26428134 |
|
Amount |
171.000 |
93.281 |
264.281 |
|
|
|
|
|
|
Year ended 31 March, 2011 |
|
|
|
|
Number of shares |
17100000 |
-- |
17100000 |
|
Amount |
171.000 |
-- |
171.000 |
Details of shares held by each shareholder holding more than 5% shares:
|
Class of shares/ Name of shareholder |
31.03.2012 |
|
|
Equity Shares with voting rights |
Number of shares
held |
% holding in
that class of shares |
|
Dharmesh Kishor Gathani
Jointly with Deena Kishor Gathani |
6753767 |
25.56 |
|
Milankumar Dhirajlal Mehta |
2477579 |
9.37 |
|
Inventure Finance Private
Limited |
1561660 |
5.91 |
|
Nenshi Ladhabhai Shah |
1485440 |
5.62 |
|
Talakshi Lakhamshi Nandu |
1423760 |
5.39 |
|
Paresh Kanji Shah |
-- |
-- |
|
Manjari Hitesh Shah |
-- |
-- |
|
Kumar Panchalal Shah |
-- |
-- |
|
Kasturben Talakshi Nandu |
-- |
-- |
|
Nitesh Panchalal Shah |
-- |
-- |
Aggregate numberand class ofshares allotted as fully paid up
pursuant to contract(s) without payment being received in cash, bonus shares and
shares bought back for the period of 5 years immediately preceding the Balance
Sheet date:
|
Class of shares/ Name of shareholder |
Aggregate number
of shares |
|
|
Equity Shares with voting rights |
31.03.2012 |
31.03.2011 |
|
Shares out of the issued,
subscribed and paid-up share capital were alloted pursuant to Scheme of
Demerger without payments being received in cash. |
9328134 |
-- |
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 |
264.281 |
171.000 |
171.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Share Capital Suspense |
0.000 |
93.281 |
0.000 |
|
|
4] Reserves & Surplus |
580.106 |
1512.317 |
1153.723 |
|
|
5] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
844.387 |
1776.598 |
1324.723 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
4419.216 |
3793.735 |
4080.362 |
|
|
2] Unsecured Loans |
470.221 |
378.065 |
1180.707 |
|
|
TOTAL BORROWING |
4889.437 |
4171.800 |
5261.069 |
|
|
DEFERRED TAX LIABILITIES |
152.392 |
152.392 |
144.788 |
|
|
|
|
|
|
|
|
TOTAL |
5886.216 |
6100.790 |
6730.580 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
4538.038 |
4569.104 |
4572.154 |
|
|
Capital work-in-progress |
49.748 |
320.817 |
429.242 |
|
|
|
|
|
|
|
|
INVESTMENT |
27.761 |
27.661 |
29.661 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
626.876
|
909.743 |
888.068 |
|
|
Sundry Debtors |
497.879
|
716.138 |
718.044 |
|
|
Cash & Bank Balances |
87.352
|
49.551 |
53.662 |
|
|
Other Current Assets |
0.911
|
3.516 |
0.000 |
|
|
Loans & Advances |
1031.037
|
1050.758 |
474.214 |
|
Total
Current Assets |
2244.055
|
2729.706 |
2133.988 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
542.607
|
529.390 |
361.559 |
|
|
Other Current Liabilities |
413.667
|
1000.552 |
69.696 |
|
|
Provisions |
17.112
|
16.556 |
3.210 |
|
Total
Current Liabilities |
973.386
|
1546.498 |
434.465 |
|
|
Net Current Assets |
1270.669
|
1183.208 |
1699.523 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
5886.216 |
6100.790 |
6730.580 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1764.754 |
3899.445 |
2031.342 |
|
|
|
Other Income |
36.748 |
19.709 |
11.132 |
|
|
|
TOTAL |
1801.502 |
3919.154 |
2042.474 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
733.172 |
1153.590 |
|
|
|
|
Purchases of stock-in-trade |
24.212 |
41.505 |
|
|
|
|
Changes in inventories of
finished goods, work-in-progress and stock-in-trade |
225.619 |
385.202 |
|
|
|
|
Employee benefits expense |
237.622 |
237.426 |
|
|
|
|
Other expenses |
752.335 |
922.170 |
|
|
|
|
TOTAL |
1972.960 |
2739.893 |
1776.191 |
|
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
171.458 |
1179.261 |
266.283 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
464.624 |
577.287 |
451.965 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
(636.082) |
601.974 |
(185.682) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
292.360 |
285.507 |
228.802 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE
EXCEPTIONAL AND EXTRAORDINARY ITEMS AND TAX |
(928.442) |
316.467 |
(414.484) |
|
|
|
|
|
|
|
|
|
|
EXCEPTIONAL ITEMS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE
EXTRAORDINARY ITEMS AND TAX |
(928.442) |
316.467 |
(414.484) |
|
|
|
|
|
|
|
|
|
|
EXTRAORDINARY ITEMS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX |
(928.442) |
316.467 |
(414.484) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
3.769 |
7.602 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX |
(932.211) |
308.865 |
(414.484) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
461.332 |
152.467 |
566.951 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(470.879) |
461.332 |
152.467 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Export |
122.558 |
166.111 |
175.761 |
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials and Consumables |
152.940 |
283.822 |
274.846 |
|
|
|
Stores & Spares |
3.425 |
11.972 |
13.303 |
|
|
|
Capital Goods |
2.700 |
41.216 |
3.887 |
|
|
|
Trading Goods |
3.933 |
16.373 |
8.143 |
|
|
TOTAL IMPORTS |
162.998 |
353.383 |
300.179 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (Rs.) |
(35.27) |
11.69 |
(24.24) |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
|
|
1st Quarter |
2nd Quarter |
|
Sales Turnover |
238.590 |
261.770 |
|
Total Expenditure |
256.540 |
291.120 |
|
PBIDT (Excl
OI) |
(17.950) |
(29.350) |
|
Other Income |
0.360 |
1.230 |
|
Operating
Profit |
(17.590) |
(28.120) |
|
Interest |
132.130 |
138.950 |
|
Exceptional
Items |
0.000 |
0.000 |
|
PBDT |
(149.720) |
(167.070) |
|
Depreciation |
73.470 |
75.160 |
|
Profit
Before Tax |
(223.190) |
(242.230) |
|
Tax |
0.000 |
0.000 |
|
Provisions
and Contingencies |
0.000 |
0.000 |
|
Reported PAT |
(223.190) |
(242.230) |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net Profit |
(223.190) |
(242.230) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
(51.75) |
7.88 |
(20.29) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(52.61) |
8.12 |
(20.40) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(13.69) |
4.34 |
(6.18) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(1.10) |
0.18 |
(0.31) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
6.94 |
3.22 |
4.30 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.31 |
1.77 |
4.91 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
FINANCIAL PERFORMANCE:
During the period, several
internal and external factors, including slower market growth, downturn in real
estate and infrastructure industry and liquidity stress adversely affected the
operations of the Company. Further, non availability of working capital funds,
pressure from various secured and unsecured lenders, delay in implementation of
the re-schedulement and realignment package under the Corporate Debt
Restructuring Scheme and cut throat market competition has also affected the
operations of the Company. Due to these factors, the total revenues of the
Company declined drastically during the year in comparison to previous year.
Due to these adverse
factors, Company incurred the net loss of Rs. 932.211 Millions during the
financial year ended on March 31, 2012, against the net profit of Rs. 308.865
Millions during the previous financial year.
CORPORATE DEBT
RESTRUCTURING:
The economic slowdown,
adverse overall market scenario in general and real estate and infrastructure
in particular, the slower off take of the Company's products by the end user
industry and customers has adversely affected the business of the Company and
the Company has suffered significant losses in ceramics business. Due to
continued losses, the Company is continuously facing difficulties in managing
its cash flows and working capital requirements. In order to correct its
working capital position and liquidity challenges arising out of the mismatch
of the loan maturities and potential projected earnings, the Company approached
the lenders for restructuring of its entire debt for suitable realignment under
Corporate Debt Restructuring (CDR) mechanism. The CDR Cell approved the
proposal of debt restructuring with super majority of the lenders on September
29, 2011, and issued the Letter of Approval (LOA), based on which, the lenders
agreed to the package and signed the Master Restructuring Agreement (MRA) on
February 25, 2012.
The significant highlights
of the package are as under:
The Cut-off-Date (COD) is
April 1, 2011.
The total existing term loan
of Rs. 3357.700 Millions outstanding as on COD is restructured.
The repayment of principal
in 38 structured quarterly installment in stepped up manner starting from
October 1, 2011 to March 31, 2021, after considering 6 months moratorium from
COD.
Funding of Interest for a
period of 6 months from COD, amounting to Rs. 212.000 Millions. Out of which
Rs. 188.000 Millions to be converted into Equity or Compulsory Convertible
Debentures (CCDs). The CCDs to be convertible in to equity within 18 months
from the date of allotment.
The rate of interest is
starting from 3.50 % p.a. to 14.00 % p.a. increasing in a stepped up manner
till the tenure of debt.
Carving outworking capital
irregularities to the tune of Rs. 130.000 Millions into a Working Capital Term
Loan, repayable in 34 structured installments with 18 months of moratorium from
COD with interest rate as described for other Term Loans.
Additional working capital
loans of Rs. 120.000 Millions and critical capex loan of Rs. 50.000 Millions to
be shared by some of the lenders.
The existing security
structure is continued and more specifically covered under the MRA.
The Company to issue Zero
Coupon Bonds amounting to Rs. 38.500 Millions to one of the lenders for their
sacrifices, repayable after March 2021.
OPERATIONAL PERFORMANCE:
A) TILES DIVISION:
Tiles division has three products
namely Vitrified Tiles, Wall Tiles and Calcareous Tiles also called
Agglomerated Marble. The Company commissioned its wall tiles plant during the
year in this division, however being the first year of wall tiles and trial run
the performance of wall tile was not upto the expectations.
Tiles division continues to
contribute maximum turnover in the Company. Total revenue from this division is
Rs. 1457.493 Millions, which is lower by 27.60% against the last year's
turnover. The non availability of working capital and low off take in
calcareous tiles are the reasons of declined turnover.
However Company still hold a
remarkable brand and market share in vitrified tiles in the organized sector
and confident of revamping its business under this segment in the coming years.
B) ALUMINIUM DIVISION:
The turnover of the
Aluminium Extruded Sections was Rs. 134.285 Millions in the current financial
year. Due to severe liquidity crunch during the year and low margin in this
segment, Company could not run the plant for at the fullest capacity. The
capacity utilization was less than 50 % for the current financial year.
With availability of the
working capital funds and improvement in overall business, this division will
be revamp.
C) SANITARYWARE DIVISION:
The Company is establishing
the business in this segment. The total revenue was Rs. 172.975 Millions in the
current financial year. The Company made a renowned name with its quality in
this segment. The Company is OEM for many of the well known Indian and International
sanitaryware brands, which is an acknowledgment of the Company's quality
product and facility. In the coming year the Company is proposing to do a Joint
Venture in this division with approvals of the appropriate authorities.
D) REALTY DIVISION:
The Company has ventured in
to real estate segment in the previous financial year. However there is no
business in the year. The poor performance of the sector and slowdown in real
estate and construction industry due to various external factors including
tight monetary environment, the Company had not taken any risk exposure in the
said sector in the year. The Company is open for grabbing the opportunities in
the coming future considering the calculated risk involved in the sector.
MANAGEMENT DISCUSSION AND
ANALYSIS
INDUSTRY OVERVIEW
GLOBAL TILES INDUSTRY:
The tiles industry as whole
is growing at a very good space and recorded a growth rate of more than 10 %
annually. Tiles are considered as an integral part of real estate decoration.
It makes a huge difference in the way interiors and exteriors of a building
looks. Seventy five percent of the total global consumption is accounted by top
fifteen counties of the world, where China is the largest consumer and producer
of tiles. China is producing more than 4200 million sq. mtrs. p.a. as on 2010.
There are many countries
which are the large manufacturer of ceramics tiles such as Asia, South America
and European represented the trio in the ceramic industries and there are other
countries as China, Brazil, Italy and Spain who are the frontrunners for the
same.
Even though the China is the
largest consumer of tiles, the average per capita consumption of tiles is as
low as 2.26 sq. mtr. as on 2010, positioning it on the 4th rank, where as Iran
has the largest per capita consumption of 4.47 sq. mtr. as on 2010.
The innovation and
improvisation is key component of the tiles industry which is still giving a
healthy CAGR, inspite of global slowdown and downturn.
INDIAN TILES INDUSTRY:
Ceramic industry is one of
the fastest growing sector of Indian Economy. India is amongst the top three
tiles producers and consumers of tiles, ranked third in row with China and
Brazil. Inspite the global slowdown and economic down turn, the Indian tiles industry
continues to grow at healthy annual growth rate of 15%.
The Indian Tiles Industry
comprising of floor and wall tiles, fragmented with organized players and
unorganized players. The introduction of vitrified tiles in floor tiles segment
has really made the Indian tiles industry blooming. The introduction of
conventional products with latest technology increased the organized player's
contribution to the industry, in last couple of years.
The potential of the sector
is very high and promising in nature as per capita tile consumption in India is
still as low as 0.50 sq. mtr.
The overall industry is
prominent and expected to grow at healthy CAGR, with the stronger and positive
economic developments in India.
SANITARYWARE GLOBAL MARKET
The sanitaryware production
globally is still dominated by Asia Pacific region like China. Top countries
manufacturing sanitaryware are China, Mexico, Italy, Turkey and Brazil.
The major players in sanitaryware
from the globe are TOTA of Japan, American Standard and Kholer of U.S.A., ROCA
of Spain, Eczacibasi of Turkey, Duravit and Villeroy and Boch of Germany and
Ceramica Althea of Italy.
The growth in construction
sector and increasing importance to improved sanitation in the developing
countries are driving the demand of sanitaryware across the world. The
construction growth in China made it the largest toilet market globally in
2010.
As per the market report of
experts, the global ceramic sanitaryware production is expected to grow from
325 million units in 2011 to 443 million units by 2016, at an estimated CAGR of
6.39% for the same period.
SANITARYWARE INDIAN MARKET
Sanitation conditions have improved
a lot in India in last decade, due to urbanization and increase in literacy
rate. The increase in per capita income and improvisation of standard of living
has increased the consumption of sanitaryware also in India.
India being one of the
developing countries, the market of sanitaryware is showing an increased CAGR
in last five years versus stagnant in the developed markets like USA and
Europe. This has made an attraction for the international sanitaryware players.
The Indian Sanitaryware
market is expected to grow immensely at 18 % to 20 % CAGR over the next five
years, due to demand from retail and institutional sectors in India and Globe.
According to the experts
report and research on sanitaryware, in the coming years India will witness
huge improvements in the sanitation level and is set to become the second
largest consumer of sanitaryware products in Asia-Pacific region.
GLOBAL MARBLE INDUSTRY:
There is huge import of high
grade marble from countries like Italy, Turkey, Spain and Middle East
countries. However, affordability is a major issue for the imported variants of
marble. In addition, there exists wide variation in the quality of natural
marble, which has created the demand for Composite marble. Composite marble,
also known as calcareous tiles or agglomerated marble, is produced by binding
selected marble chips (93 to 95%) with specially formulated resin (7 to 5%). It
is one of the alternative choices to natural marble since a large part of these
marble consists of natural marble chips and therefore possess similar
characteristics of marble. China and Italy are two leading countries producing
composite marbles and supplying to global markets.
INDIAN OVERVIEW FOR
AGGLOMERATED MARBLE:
The marble industry in India
has been flourishing ever since ages, which has made India the fourth largest
producer of marbles in the world after Belgium, France and Greece. The Indian
marble industry is not only confined at production or supply of the marbles but
export of highly acclaimed stones such
as blocks, flooring, calibrated (ready to fix tiles), monuments, slabs,
structural slabs, tomb stones, cobbles, cubes, sculptures, artifacts, pebbles,
kerbs, and landscape garden stones has also been its important part.
The constant growth of
Indian marble industry is because of the reason that they are highly acclaimed
and possess characters like low cost, beautiful looks and longevity. In India,
Rajasthan is the main depository of marble. The state accounts for over 80% of
total marble production in India.
However the agglomerated
marble market in India is opened just few years back, with very few players in
manufacturing. There are traders who import the agglomerated marble and distribute
the same in India. The present awareness of the product has made a good
prosperous for the product.
GLOBAL OVERVIEW OF ALUMINUM
INDUSTRY:
Globally the growth of
aluminium business was slower due to various factors like fear of sovereign
defaults, Greece crisis and problems faced by the Euro Zone countries. Further
the tightening monetary environment across the world, especially emerging
markets like China and India, has blocked the growth of the Industry.
The pricing pressure due to
above factors has increased the global inventory of aluminum, making further
declined prices. Given the price movement of LME and cost pressure made a
several capacity curtailment worldwide.
INDIAN ALUMINUM INDUSTRY:
India witnessed the healthy
growth rate of around 9% in the recent past. The strong demand continued from
transportation, packing, power and building and construction industries in
India.
The aluminum production
depends on bauxite, and India is rich in such minerals. The outlook of Indian
Aluminum Industry is very good, inspite of the cost pressure and global
slowdown. It is expected that there will be robust demand, in coming years.
GROWTH DRIVERS OF THEIR
INDUSTRY
If they look the ceramics
industry as a whole, stronger growth is predicted in the coming years,
depending on the positive economic development with liberalized policies. With
increase in population, urbanization and income overall sectors will show a
very good growth rate in coming future. The outlook for the tile industry
appears to be positive over the medium term. This optimism stems from certain
credible estimates which highlight the likelihood of robust demand over the
medium term. The growth of our industry is depended on the growth of other
sectors like real estate and construction industry. And to go more in deep
there are some sectors which are mentioned as below:
Ř
GROWING URBANIZATION
AND CHANGING CONSUMER PREFERENCES
As migration from rural to
urban areas continues, urban population is set to touch 590 mn by 2030. Per
capita income has grown by 66% in last five years and is expected that by 2025,
12% of the households will have income above INR 500,000, led to products being
looked at as a style statement rather than a necessity. Rapid urbanization and
rise in incomes has led to increase in standard of living, in turn creating
demand for superior tiles, sanitaryware, bathroom fittings and accessories.
Ř
REPLACEMENT
DEMAND ONLY ACCOUNTS FOR 10% OF THE MARKET
Majority of people tend to stick
with the tiles and bathroom fittings that they get at the time of purchase.
Currently, the replacement market is estimated to be just 10% of the total
market, whereas in developed nations it accounts for 80% of the market. As
income and standards of living increase, so too will the demand for
refurbishing and repairing homes and thus replacement demand for Tiles and
Sanitaryware will increase.
Ř
GROWING
HOUSING AND REAL ESTATE SECTOR
The real estate market is
expected to be around USD 42 bn by 2012 growing at a CAGR of 30%. The housing
sector is being driven by a rise in disposable income levels, ease in
availability of finance, increased urbanization & the rising number of
nuclear families. According to the XI FYP, total rural housing shortage by FY 2011
is expected to be 49 mn houses.
Real estate plays a critical
role in the development of the Indian economy. Over the next decade, the real
estate sector is expected to grow by 30 %. The sector is divided into four
sub-sectors: housing, retail, hospitality, and commercial. The housing
sub-sector contributes 5-6 % to the country's gross domestic product (GDP).
Meanwhile, retail, hospitality and commercial real estate are also growing
significantly, catering to India's growing needs of infrastructure. The
construction industry ranks third among the 14 major sectors in terms of
direct, indirect and induced effects in all sectors of the economy, according
to a study done by ICRA. A unit increase in expenditure in this sector has a
multiplier effect and the capacity to generate income as high as five times.
The positive effects of growth in real estate sector are spread over more than
250 ancillary industries. The Indian real estate market size is expected to
touch US$ 180 billion by 2020. Recent growth in the Indian economy has
stimulated demand for land and developed real estate across industries. Demand
for residential, commercial and retail real estate is rising throughout India,
accompanied by increased demand for hotel accommodation and improved infrastructure.
Ř
FOCUS
ON HOSPITALITY INDUSTRY
With the Indian Tourism
Industry expected to grow by 8% till 2020, the hotel industry is facing a
deficit of more than 150,000 rooms. Demand is expected to exceed supply by at
least 100% over the next two years. Government has approved 300 hotel projects,
half of which are 5 Star projects. The demand-supply gap in the hospitality
industry would inherently increase the demand for our products.
Ř
COMMERCIAL
CONSTRUCTION SET TO PICK UP AGAIN
Commercial construction is
expected to grow at CAGR of 20-22 % over the next 5 years. IT/ITeS sector alone
is expected to require 250 mn sq. ft. of commercial office space by 2013.
Organized retail sector is expected to grow at a CAGR of 30% and expected to
add 323 mn sq. ft. of new retail space by 2012. Office and retail buildings
would require sophisticated interiors which would increase demand for our
products.
FUTURE OUTLOOK
According to a real estate
consultant's report, India's infrastructure sector will require investment of about
US$ 1 trillion in the 12th Five Year Plan (2012-17). One of the report prepared
by well known institute states that about 97 million jobs are likely to be
created over 2012-22 across different sectors in the country due to which,
India would potentially need to build an average of 8.7 billion square feet
(sq. ft.) of real estate space every year. This would be a great attraction for
investors looking for opportunities in infra segment. As the Company is
directly linked with the real estate sector and infrastructure industry, the
growth will be seen in near future.
The Company is making strong
efforts for increasing its market shares especially in sanitaryware and
agglomerated marble segment, with its brand and quality products. Considering
the immense opportunities in the market, Company will achieve its goals and
target in the coming years and surpass all the hurdles with its experience and
support of all associates. With the strong and positive development in the
economy, growth in real estate and infrastructure industry along with other
demand drivers, the Company's product will have demand and will capture the
bigger market share.
STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30TH
SEPTEMBER, 2012
(Rs. in millions)
|
Particular |
For the Quarter
Ended |
For the Year
Ended |
|
|
|
30.09.2012 (Unaudited) |
30.06.2012 (Unaudited) |
30.09.2012 (Unaudited) |
|
Income from Operations |
|
|
|
|
Net Sales/Income from Operations |
261.769 |
238.591 |
500.360 |
|
Other Operating Income |
-- |
-- |
-- |
|
Total Income from
operations (net) |
261.769 |
238.591 |
500.360 |
|
|
|
|
|
|
Expenses |
|
|
|
|
(a) Cost of material consumed |
81.344 |
106.133 |
187.477 |
|
(b) Purchase of stock in trade |
0.898 |
2.526 |
3.424 |
|
(c) (Increase)/
Decrease in inventories of finished goods and work-in-progress and stock in
trade |
7.085 |
(35.665) |
(28.580) |
|
(d) Employee benefit expenses |
44.853 |
41.605 |
86.458 |
|
(e) Power and Fuel Expenses |
96.878 |
101.243 |
198.121 |
|
(f) Depreciation and amortization expenses |
75.159 |
73.474 |
148.633 |
|
(g) Other Expenses |
60.063 |
40.695 |
100.758 |
|
Total Expenses |
366.281 |
330.010 |
696.291 |
|
Profit from Operations
before Other Income, Finance costs and Exceptional item |
(104.512) |
(91.419) |
(195.931) |
|
Other Income |
1.232 |
1.608 |
2.840 |
|
Profit/ Loss from
Ordinary Activities before Finance costs and Exceptional item |
(103.280) |
(89.811) |
(193.091) |
|
Finance costs |
138.951 |
133.378 |
272.329 |
|
Profit/ Loss from
Ordinary Activities after Finance costs but Exceptional item |
(242.231) |
(223.189) |
(465.420) |
|
Exceptional
item |
-- |
-- |
-- |
|
Profit/ Loss from Ordinary Activities
before tax |
(242.231) |
(223.189) |
(465.420) |
|
Tax Expenses |
-- |
-- |
-- |
|
Net Profit/ Loss from Ordinary Activities
after tax |
(242.231) |
(223.189) |
(465.420) |
|
Extraordinary
Items |
-- |
-- |
-- |
|
Net Profit for the period |
(242.231) |
(223.189) |
(465.420) |
|
Share of
Profit / (Loss) of Associates |
-- |
-- |
-- |
|
Minority
Interest |
-- |
-- |
-- |
|
Net Profit / (Loss) after taxes, minority
and share of profit / (loss) of associates |
(242.231) |
(223.189) |
(465.420) |
|
Paid- up
Equity Share Capital (Face value
of the share – Rs. 10) |
285.780 |
264.281 |
285.780 |
|
Reserves
excluding revaluation reserves as per balance sheet of Previous Accounting
Year |
-- |
-- |
-- |
|
Earnings per
share (before extraordinary items) (of Rs. 10/-
each) (not annualized) -
Basic |
(8.47) |
(8.45) |
(16.27) |
|
-
Diluted |
(7.76) |
(8.45) |
(14.92) |
|
Earnings per
share (after extraordinary items) (of Rs. 10/-
each) (not annualized) - Basic |
(8.47) |
(8.45) |
(16.27) |
|
- Diluted |
(7.76) |
(8.45) |
(14.92) |
|
|
|
|
|
|
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1. Public
shareholding |
|
|
|
|
Number of
Shares |
18791846 |
16641968 |
18791846 |
|
Percentage of Shareholding |
65.76 |
62.97 |
65.76 |
|
2. Promoters
and promoter group shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of Shares |
9168500 |
9168500 |
9168500 |
|
- Percentage of Shares (as a % of the Total Shareholding
of promoter and promoter group) |
93.69 |
93.69 |
93.69 |
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
32.08 |
34.69 |
32.08 |
|
|
|
|
|
|
Non - encumbered |
|
|
|
|
- Number of
Shares |
617666 |
617666 |
617666 |
|
- Percentage
of Shares (as a % of
the total shareholding of promoter and promoter
group) |
6.31 |
6.31 |
6.31 |
|
- Percentage
of Shares (as a % of the
total share capital of the company) |
2.16 |
2.34 |
2.16 |
|
|
Particulars |
Quarter Ended 31st
March 2012 |
|
B |
Investor
complaints |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the quarter |
4 |
|
|
Disposed of during the quarter |
4 |
|
|
Remaining unresolved at the end of the quarter |
Nil |
SEGMENT – WISE
REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. In Millions)
|
Particulars |
Quarter Ended |
Half Year Ended |
|
|
|
30.09.2012 |
30.06.2012 |
30.09.2012 |
|
|
Unaudited |
Unaudited |
Unaudited |
|
1. Segment Revenue |
|
|
|
|
a. Tiles |
217.112 |
209.231 |
426.343 |
|
b. Aluminium Sections |
0.048 |
0.000 |
0.048 |
|
c. Sanitaryware |
44.610 |
29.360 |
73.970 |
|
d. Realty |
-- |
-- |
-- |
|
Total |
261.770 |
238.591 |
500.361 |
|
Less: Inter – segment revenue |
-- |
-- |
-- |
|
Total income from operations (net) |
261.770 |
238.591 |
500.361 |
|
|
|
|
|
|
2. Segment Results |
|
|
|
|
Profit/ (loss) before tax and interest |
|
|
|
|
a. Tiles |
(96.242) |
(34.172) |
(130.414) |
|
b. Aluminium Sections |
(0.634) |
(0.783) |
(1.417) |
|
c. Sanitaryware |
(7.486) |
(8.916) |
(16.402) |
|
d. Realty |
-- |
-- |
-- |
|
Total |
(104.362) |
(43.871) |
(148.233) |
|
Less: Finance Costs |
138.951 |
133.378 |
272.329 |
|
Other un-allocable expenditure net off
un-allocable other operating income |
(1.082) |
45.940 |
44.858 |
|
Total Profit Before Tax |
(242.231) |
(223.189) |
(466.420) |
|
|
|
|
|
|
3. Capital Employed |
|
|
|
|
(Segment Assets – Segment Liabilities) |
|
|
|
|
a. Tiles |
2048.557 |
2081.632 |
2048.557 |
|
b. Aluminium Sections |
26.035 |
25.774 |
26.035 |
|
c. Sanitaryware |
1208.567 |
1217.459 |
1208.567 |
|
d. Realty |
726.674 |
701.542 |
726.674 |
|
e. Unallocable |
(2105.688) |
(2013.699) |
(2105.688) |
|
Total |
1904.145 |
2012.708 |
1904.145 |
STATEMENT OF ASSETS AND LIABILITIES AS AT 30TH
SEPTEMBER, 2012
(Rs. in Millions)
|
Particulars |
30.09.2012 |
|
|
A. EQUITY AND LIABILITIES |
|
|
|
1.
Shareholders Funds |
|
|
|
a] Share Capital |
285.780 |
|
|
b] Reserves and Surplus |
145.688 |
|
|
Sub-total –
Shareholders’ funds |
431.468 |
|
|
|
|
|
|
2. Non-current
Liabilities |
|
|
|
a] Long term Borrowings |
3958.183 |
|
|
b] Deferred Tax Liabilities |
152.392 |
|
|
Sub-total -
Non-current Liabilities |
4110.575 |
|
|
|
|
|
|
3. Current Liabilities |
|
|
|
a] Short term Borrowings |
1180.983 |
|
|
b] Trade Payables |
594.024 |
|
|
c] Other Current Liabilities |
284.397 |
|
|
d] Short Term Provision |
17.112 |
|
|
Sub-total - Current Liabilities |
2076.515 |
|
|
|
|
|
|
TOTAL - EQUITY
AND LIABILITIES |
6618.558 |
|
|
|
|
|
|
B ASSETS |
|
|
|
1. Non-current assets |
|
|
|
a] Fixed assets |
|
|
|
i)
Tangible assets |
4391.957 |
|
|
ii)
Capital
work-in-progress |
49.749 |
|
|
|
4441.706 |
|
|
b] Non-current investment |
27.761 |
|
|
c] long Term loans and Advances |
180.048 |
|
|
Sub-total – Non- current assets |
4649.514 |
|
|
|
|
|
|
2.
CURRENT ASSETS |
|
|
|
|
Inventories |
629.843
|
|
|
Trade Receivables |
452.132
|
|
|
Cash & Bank Balances |
43.991
|
|
|
Short Term loans and advances |
842.499
|
|
|
Other Current Assets |
0.578
|
|
Sub-total – Current Assets |
1969.044
|
|
|
|
|
|
|
TOTAL - ASSETS |
6618.558 |
|
Notes:
1.
The above unaudited financial results for the
quarter and half year ended 30th September 2012 have been reviewed by
the Audit Committee and thereafter approved and taken on record by the Board of
Directors at their meeting held on 9th November 2012 and have
undergone limited review by the statutory auditor of the company.
2.
As per AS 17 issued by the institute of Chartered
Accountants of India, the Company has four reportable segments namely Tiles,
Aluminium Extruded Sections, Sanitaryware and Realty.
3.
Other Income includes Rental Income, Interest
received on Margin Money Deposits kept with Banks, Dividend etc.
4.
During the quarter, the company has issued 2149878
Equity Shares of Rs. 10/- each at a price of Rs. 24.42 per share (including
premium of Rs. 14.42 per share) and 5159705 Compulsorily Convertible Debentures
of Rs. 24.42 each on preferential basis to the lenders in pursuance of the CDR
scheme.
1.
The Deferred Tax provision as per AS 22 issued by
the Institute of Chartered Accountants of India has not been made on account of
losses.
2.
Previous period/ year’s figures have been regrouped
/ reclassified wherever necessary.
CONTINGENT
LIABILITIES
|
Particulars |
31.03.2012 |
31.03.2011 |
|
Bills Discounted with
Banks |
7.161 |
28.433 |
|
Letter of Credit |
19.317 |
23.428 |
|
Bank Guarantees |
42.994 |
42.994 |
|
Guarantees given to the Banks
for the loans taken by the Euro Merchandise (India) Limited, (100 %
Subsidiary) |
322.000 |
325.000 |
|
The Company has imported
various Capital Goods under the Export Promotion Capital Goods Scheme (EPCG),
of the Government of India, through various licenses, at concessional rates
of Custom Duty on an undertaking to fulfill quantified exports within a
period of eight years from the date of the respective licenses. The Custom
Duty so saved amounts to Rs. 307.861 Millions (Previous Year Rs. 311.205 Millions)
and the corresponding Export Obligation to be fulfilled is Rs. 1725.051
Millions (Previous Year Rs. 1692.344 Millions) as on the Balance Sheet date.
If the said export is not made within the stipulated time period, the company
is required to pay the said saved Custom Duty together with interest @15%
p.a. Formal discharge from the obligation by the appropriate authorities is
in progress in respect of some of the Licenses of which Export Obligation is
entirely fulfilled by the close of the year. |
||
FIXED ASSETS:
Ř
Land – Freehold
Ř
Building
Ř
Plant and Machinery
Ř
Furniture and Fixtures
Ř
Office Equipments
Ř
Vehicles
Ř
Computers
Ř
Power Project
Ř
Trademarks
WEBSITE DETAILS:
PROFILE:
Euro Vitrified tiles are manufactured in a sprawling factory at Bhachau, Kutch in one of the most modern automated plants with ISO 9001:2008 accredition. The company commenced operations in October 2003 with first line with installed capacity of 35880 MTPA and the second line of manufacturing with an installed capacity of 44091 MTPA was added on during December 2005. The present capacity is 79971 MTPA.
The quality standards manufactured matches with best international quality
standards and have received certification from VJTI- Mumbai and Applied
Consumer Services, Inc. - USA.
The factory is managed by highly qualified professionals with in house R&D.
Right from the beginning the emphasis has been regarding best quality standards
that would match international standards. So Euro Ceramics have selected manufacturing
facilities from Sacmi, Italy which is one of the leading suppliers of ceramic
manufacturing technology globally. The vitrified tiles manufactured by
them are of international standards ISO 13006 / EN 176 Group B1a.
Euro Vitrified Tiles have revolutionized the flooring industry and become the
preferred choice not just in India but in the global arena as well.
Composition of raw material such as finest ball clay from Ukraine combined with
latest production technology in one of the most accurate temperature controlled
Kilns up to 1200 degree C makes Euro Tiles completely vitrified with moisture
absorption below 0.05%. Super White tiles are based on use of the best
technology. Spotlessly White Euro Vitrified Tiles add immense class to
any room that needs to make a statement. Euro Vitrified Tiles are
designed to last, perfectly flat, stain free, abrasion resistant, non-porous,
intensely vitrified and extremely consistent in terms colour, strength and
other properties.
Modern technology and innovation are given maximum priority with variety of
designs and shades. The accurate recreation of natural stones combined
with technical performance of hardwearing material, which is resistant to
stains, abrasion, heavy loads etc. make Euro Vitrified Tiles ideal choice for
major applications like Commercial Complexes, Residential, Retail, IT Parks
etc. Euro Ceramics ensures that size and flatness of each Euro Vitrified
Tiles are according to most stringent EN standards by having computerized size
and flatness sorting system. Because of this consistency and thickness,
Euro Vitrified Tiles can be laid in a simple and fast manner unlike the natural
stones.
Euro has also ventured into Wall Tiles and provides a stunning International
range of Wall Tiles with matching Borders and Motifs, which is a big hit with
Architects and Designers.
They also have a Lignite based 10MW captive Power Plant for uninterrupted
stable supply of power at their plant.
Subject have gone in for major expansion programme for manufacture of Composite
Marble with annual capacity of 90000 MTPA.
In order to give further range of innovative products for building industry
subject have introduced Euro Sanitaryware which has unique collection of
European designs with exciting range. The Sanitary Ware plant is provided with
robotic glazing machines and other high technology equipment from Sacmi of
Italy.
With these additions Euro is a major conglomerate in building construction
industry with range of innovative products and designs to meet requirements of
most discerning customers. Euro ceramics is one stop source for Vitrified
Tiles, Composite Marble, Sanitary Ware Products, Bathroom Tiles and Concepts
and Tile-O-Bond.
MILSTONES:
|
Year |
Key Event |
|
April 2002 |
Incorporated as a Private Limited Company |
|
June 2002 |
Entered into a Contract for supply of Plant and Machinery from SACMI, |
|
October 2003 |
Commencement of operations of first phase of Vitrified Ceramic Tiles
and Aluminum Extruded Sections |
|
December 2003 |
Quality certificate for their product received from VJTI, Mumbai |
|
April 2004 |
ISO 9001: 2000 certification for their manufacturing facilities. |
|
July 2004 |
Entered into a Contract for supply of major Plant and Machinery and technical
assistance from SACMI, |
|
November 2004 |
Quality approval of their product from Applied Consumer Services Inc.
Finland, |
|
November 2004 |
Converted into a Public Limited Company |
|
February 2005 |
Started operations of Jewellery Division |
|
June 2005 |
Accredited as One Star Export House by Joint Director General of
Foreign Trade, Government of India. |
|
November 2005 |
Discontinued operation of Jewellery Division |
|
December 2005 |
Commencement of commercial production of expanded capacity of
Vitrified Ceramic Tiles |
|
December 2005 |
Euro Merchandise ( |
|
March 2006 |
Commencement of 10 MW lignite based captive power plant |
|
August 2006 |
Commencement of Gasifier |
AWARDS:
Subject have been participating in all the Inside Outside Mega Show
events all over the country. Special emphasis has been given regarding the
display of the tiles with particular emphasis to innovations and recently
introduced value added products such as Stain, Scratch, Skid resistant tiles,
Steppers, Risers, Bullnose etc.
- 2003 IOMS - Business
- 2004 IOMS - Business
- 2005 IOMS - Business
- 2006 IOMS - Business
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l Anti-Money
Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws, regulations
or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 55.20 |
|
|
1 |
Rs. 87.79 |
|
Euro |
1 |
Rs. 70.43 |
INFORMATION DETAILS
|
Report Prepared
by : |
BVA |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
2 |
|
--LEVERAGE |
1~10 |
2 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
26 |
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.