MIRA
INFORM REPORT
|
Report Date : |
09.10.2012 |
IDENTIFICATION DETAILS
|
Name : |
TIL LIMITED |
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Registered
Office : |
1, Taratolla Road, Garden Reach, Kolkata – 700024, West Bengal |
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Country : |
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Financials (as
on) : |
31.03.2012 |
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Date of
Incorporation : |
10.05.1974 |
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Com. Reg. No.: |
21-041725 |
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Capital
Investment / Paid-up Capital : |
Rs.100.300 Millions |
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CIN No.: [Company Identification
No.] |
L74999WB1974PLC041725 |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturing and
marketing of a comprehensive range of material handling, lifting, port and
road construction solutions with integrated customer support and after sales
service. |
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No. of Employees
: |
844 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (62) |
|
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 |
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Maximum Credit Limit : |
USD 11000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having fine track. Financial
position of the company appears to be sound. Trade relations are reported as
fair. Business is active. Payments are reported to be regular and as per
commitments. The company can considered good for normal business dealings at usual
trade terms and conditions. |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
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Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Commercial Paper: PR1 |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk |
|
Date |
September, 2007 |
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|
Rating Agency Name |
CARE |
|
Rating |
Fixed Deposits: A- |
|
Rating Explanation |
Adequate degree of safety and low credit
risk |
|
Date |
September, 2007 |
RBI DEFAILTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAILTERS’ 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 : |
1, Taratolla Road, Garden Reach, Kolkata – 700024, West Bengal, India |
|
Tel. No.: |
91-33-24693732-36 (5 Lines)/ 66332000/ 2845 |
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Fax No.: |
91-33-24692143/ 24693731 |
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E-Mail : |
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Website : |
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Factory 1 : |
517, B.T. Road, Kamarhatty,
Kolkata - 700 058, West Bengal, India |
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Factory 2 : |
Plot No.11, Site-4, Sahibabad
Industrial Area, Sahibabad, Ghaziabad - 201 010, Uttar Pradesh, India |
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Factory 3: |
Changual, District: Pschim Medinipore,
West Bengal, India |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Mr. A. Mazumdar |
|
Designation : |
Chairman |
|
Address : |
1, Taratolla
Road, Garden Reach, Kolkata - 700 024, West Bengal,
India |
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|
Name : |
Mr. Sumit Mazumder |
|
Designation : |
Vice Chairman and Managing Director |
|
Address : |
1, Taratolla
Road, Garden Reach, Kolkata - 700 024, West Bengal,
India |
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|
Name : |
Mr. R. L. Gaggar |
|
Designation : |
Solicitor and Advocate (Independent Non Executive
Director) |
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Address : |
6, Old Post Office Street, 3rd Floor, Kolkata – 700001, West Bengal,
India |
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|
|
Name : |
Mr. U. V. Rao |
|
Designation : |
Former Chief Executive and Managing Director
- L&T Limited |
|
Address: |
3294, 12th A Main Street, HAL-IInd
Stage, Bangalore - 560008, Karnataka, India |
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|
Name : |
Mr. G. Swarup |
|
Designation : |
Managing Director of Paharpur Cooling Towers
Limited |
|
Address: |
Paharpur Cooling Towers Limited, Paharpur
House, 8/1/B, Diamond Harbour Road, Kolkata - 700 027, West Bengal, India |
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|
Name : |
Dr. T. Mukherjee |
|
Designation : |
Former Dy. Managing Director of TATA Steel
Limited |
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Address : |
6A, Road # 10, Circuit House Area
(East), Jamshedpur - 831001, Jharkhand, India |
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|
|
Name : |
Mr. K. B. Saha |
|
Designation : |
Nominee of Life Insurance Corporation of
India Life Insurance Corporation of India Executive
Director (HRD/OD/CP), Central Office, HRD Department |
|
Address : |
Yogakshema, 5th Floor, Nariman Point, Mumbai - 400
021, Maharashtra, India |
KEY EXECUTIVES
|
Name : |
Mr. Sekhar Bhattacharjee |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2012
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
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(A) Shareholding of Promoter and Promoter Group |
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|
|
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|
742647 |
7.40 |
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|
2913323 |
29.05 |
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|
3655970 |
36.45 |
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|
|
|
|
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|
1930828 |
19.25 |
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|
1930828 |
19.25 |
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Total shareholding of Promoter and Promoter Group (A) |
5586798 |
55.70 |
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(B) Public Shareholding |
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|
|
|
|
|
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|
44471 |
0.44 |
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|
2503 |
0.02 |
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|
1635947 |
16.31 |
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|
268741 |
2.68 |
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|
1951662 |
19.46 |
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|
|
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|
|
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|
581148 |
5.79 |
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|
1566367 |
15.62 |
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|
238314 |
2.38 |
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|
105976 |
1.06 |
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|
13289 |
0.13 |
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|
3130 |
0.03 |
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|
89557 |
0.89 |
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2491805 |
24.84 |
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Total Public shareholding (B) |
4443467 |
44.30 |
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Total (A)+(B) |
10030265 |
100.00 |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
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|
|
|
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
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Total (A)+(B)+(C) |
10030265 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and marketing of a comprehensive range of material
handling, lifting, port and road construction solutions with integrated
customer support and after sales service. |
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Products : |
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Brand Names : |
·
“CATERPILLAR” ·
“MANITOWOC” ·
“GROVE” ·
“POTAIN” ·
“ASTEC” ·
“TRIMBLE” ·
“SEM” ·
“ALLMAND” ·
“PACECO CORP.” ·
“FAMAK S.A” ·
“MITSUI MIKE” |
PRODUCTION STATUS (AS ON 31.03.2011)
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity* |
Actual Production |
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Diesel-Hydraulic/ Electric Cranes
/ |
Nos. |
1414 |
220 |
111 |
|
Diesel Generating Sets -- |
Nos. |
500 |
400 |
-- |
|
Self-Propelled Rubber Tyred
Container Handling Mobile Crane -- |
Nos. |
Not Applicable |
30 |
17 |
Note : * As
certified by the Management
GENERAL INFORMATION
|
No. of Employees : |
844 (Approximately) |
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Bankers : |
·
Bank of India ·
Union Bank of India ·
ING Vysya Bank Limited ·
State Bank of Bikaner and Jaipur ·
State Bank of India ·
State Bank of Hyderabad ·
Axis Bank Limited ·
CITI Bank N.A. ·
HDFC Bank ·
DBS Bank Limited |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Deloitte Haskin and Sells Chartered Accountants |
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Subsidiaries : |
·
Myanmar
Tractors Limited ·
Tractors
Nepal Private Limited ·
TIL
Overseas Pte. Limited ·
Tractors
India Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
20000000 |
Equity Shares |
Rs.10/- each |
Rs.200.000 Millions |
|
|
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
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|
10030265 |
Equity Shares |
Rs.10/- each |
Rs.100.303
Millions |
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|
|
|
|
NOTE:
Reconciliation of the number of Equity shares
|
Particulars |
31.03.2012 |
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|
Number |
Amount (Rs. In Millions) |
|
|
|
|
|
|
Balance as at the beginning of the year |
10030265 |
100.300 |
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Balance as at the end of the year |
10030265 |
100.300 |
Details of Shares held by Shareholders holding more than 5 % of the
aggregate shares in the Company
|
Particulars |
31.03.2012 |
|
|
No. of Shares held |
% of Holding |
|
|
|
|
|
|
The Coles Crane
Group Limited |
1,930,828 |
19.25% |
|
Life Insurance Corporation
of India |
1,040,814 |
10.38% |
|
Avijit Mazumdar |
545,301 |
5.44% |
Rights, Preferences and
Restrictions attached to Equity Shares
The Company has
one class of Equity Shares having a par value of Rs.10/- per share. Each shareholder
is eligible for one vote per share held. The Dividend proposed by the Board of
Directors is subject to the approval of the Shareholders in the ensuing Annual
General Meeting, except in case of Interim Dividend. In the event of
liquidation, the Equity shareholders are eligible to receive the remaining
assets of the Company after distribution of all preferential amounts, in
proportion to their shareholding.
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 |
100.300 |
100.300 |
100.303 |
|
|
2] Equity Warrants |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
2616.400 |
2123.100 |
1882.668 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2716.700 |
2223.400 |
1982.971 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1137.100 |
427.500 |
499.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
594.818 |
|
|
TOTAL BORROWING |
1137.100 |
427.500 |
1093.818 |
|
|
DEFERRED TAX LIABILITIES |
59.200 |
25.800 |
59.674 |
|
|
|
|
|
|
|
|
TOTAL |
3913.000 |
2676.700 |
3136.463 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1621.400 |
919.500 |
1090.043 |
|
|
Capital work-in-progress |
468.900 |
86.400 |
195.364 |
|
|
|
|
|
|
|
|
INVESTMENT |
1038.600 |
1038.600 |
74.972 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
869.900
|
599.000
|
1465.139 |
|
|
Sundry Debtors |
459.400
|
463.900
|
1533.793 |
|
|
Cash & Bank Balances |
2.700
|
2.400
|
1.826 |
|
|
Other Current Assets |
0.000
|
0.000
|
121.425 |
|
|
Loans & Advances |
1220.600
|
1111.400
|
934.048 |
|
Total
Current Assets |
2552.600
|
2176.700
|
4056.231 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
498.600
|
400.700
|
941.675 |
|
|
Other Current Liabilities |
176.900
|
68.200
|
402.414 |
|
|
Provisions |
1093.000
|
1075.600
|
936.058 |
|
Total
Current Liabilities |
1768.500
|
1544.500
|
2280.147 |
|
|
Net Current Assets |
784.100
|
632.200
|
1776.084 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
3913.000 |
2676.700 |
3136.463 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations (Net) |
2377.900 |
2065.100 |
8515.826 |
|
|
|
Other Income |
491.500 |
180.300 |
255.157 |
|
|
|
TOTAL (A) |
2869.400 |
2245.400 |
8770.983 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material Consumed |
1313.200 |
985.100 |
|
|
|
|
Purchase of Stock-In-Trade |
298.000 |
233.800 |
|
|
|
|
Changes in
Inventories of Finished Goods, Work-In-Progress and Stock-In- Trade |
(148.700) |
(82.900) |
7657.245 |
|
|
|
Employee Benefit Expense |
348.600 |
299.600 |
|
|
|
|
Other Expenses |
387.400 |
322.100 |
|
|
|
|
TOTAL (B) |
2198.500 |
1757.700 |
7657.245 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
670.900 |
487.700 |
1113.738 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
47.400 |
26.000 |
159.950 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
623.500 |
461.700 |
953.788 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
48.700 |
41.600 |
168.928 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
574.800 |
420.100 |
784.860 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
45.000 |
108.100 |
316.228 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
529.800 |
312.000 |
468.632 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
NA |
923.486 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
NA |
46.863 |
|
|
|
Dividend |
NA |
NA |
60.182 |
|
|
|
Tax on Dividend |
NA |
NA |
9.995 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
NA |
1275.078 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods calculated on FOB
basis |
48.100 |
11.500 |
62.756 |
|
|
|
Selling Commission (including
Dealer’s profit) |
24.300 |
23.300 |
340.756 |
|
|
|
Technical Fees |
22.300 |
163.000 |
173.964 |
|
|
|
Dividend |
455.600 |
0.000 |
|
|
|
TOTAL EARNINGS |
550.300 |
197.800 |
577.476 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials with Components |
746.000 |
500.300 |
364.698 |
|
|
|
Spare Parts (excluding items in
transit at year-end) |
86.500 |
93.600 |
1182.561 |
|
|
|
Capital Goods |
88.900 |
0.000 |
0.000 |
|
|
|
Machines ( Trading Items ) |
53.200 |
21.600 |
1330.411 |
|
|
TOTAL IMPORTS |
974.600 |
615.500 |
2877.670 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
52.82 |
31.10 |
46.72 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2011 |
|
|
|
|
1st
Quarter |
|
Net Sales |
|
|
562.100 |
|
Total Expenditure |
|
|
549.200 |
|
PBIDT (Excl OI) |
|
|
12.900 |
|
Other Income |
|
|
4.100 |
|
Operating Profit |
|
|
17.000 |
|
Interest |
|
|
43.900 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
(26.900) |
|
Depreciation |
|
|
24.300 |
|
Profit Before Tax |
|
|
(51.200) |
|
Tax |
|
|
2.900 |
|
Provisions and
contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
(54.100) |
|
Extraordinary
Items |
|
|
0.000 |
|
Prior Period
Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
(54.100) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
18.46
|
13.90
|
5.34 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
24.17
|
20.34
|
9.68 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.77
|
13.57
|
15.25 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.21
|
0.19
|
0.40 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.07
|
0.89
|
1.71 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.44
|
1.41
|
1.78 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
----- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm / promoter
involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
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 |
No |
|
32] |
PAN of Proprietor/Partner/Director, if
available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director,
if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
PERFORMANCE
On standalone
basis, turnover including income from operations and other income for the year
stood at Rs.3044.300 Millions vis-ŕ-vis Rs.2373.300 Millions in the previous
year. The profit before tax stood at Rs.574.800 Millions vis-ŕ-vis Rs.420.100
Millions in the previous year.
Tractors India
Private Limited
Tractors India
Private Limited the Wholly Owned Subsidiary Company in India, achieved a
turnover including income from operations and other income of Rs.10399.500
Millions compared to Rs.9110.000 Millions in the previous year. The profit
before tax stood at Rs.41.800 Millions compared to Rs.338.000 Millions in the
previous year.
Myanmar Tractors
Limited
Myanmar Tractors
Limited the Wholly Owned Subsidiary Company in the Union of Myanmar, achieved a
turnover including income from operations and other income of Rs.374.700 Millions
compared to Rs.351.900 Millions in the previous year and a profit before tax of
Rs.41.200 Millions compared to Rs.39.300 Millions in the previous year.
With effect from
1st July, 2011, Myanmar Tractors Limited has ceased to be a dealer of Caterpillar
in Myanmar.
TIL Overseas Pte.
Limited
TIL Overseas Pte. Limited
the Wholly Owned Subsidiary Company in Singapore, achieved a turnover including
income from operations and other income of Rs.837.000
Millions compared to Rs.2374.600 Millions in the previous
year and achieved a profit before tax of Rs.7.500 Million compared to Rs.101.800 Millions in the previous year. This activity is
totally for and on behalf of Myanmar Tractors Limited.
Tractors Nepal
Private Limited
Tractors Nepal Private Limited the Wholly Owned
Subsidiary Company, in Nepal, achieved a turnover including income from
operations and other income of Rs.30.800
Millions compared to previous year of Rs.17.600
Millions and earned a profit before tax of Rs.6.800
Millions compared to Rs.3.200 Millions in the previous
year.
FINANCE
After providing Rs.45.000
Millions as Provision for Taxation, Rs.35.000
Millions (including Dividend Tax of Rs.4.900
Million) distributed as Equity Dividend, Rs.494.800
Millions has been carried forward to Balance Sheet. Reserves and Surplus
(excluding Revaluation Reserves) of the Company increased from Rs.2054.200 Millions to Rs.2549.000
Millions and the Shareholders’ Funds (excluding Revaluation Reserves) increased
from Rs.2154.500 Millions to Rs.2649.300
Millions.
MANAGEMENT DISCUSSION AND ANALYSIS
GDP GROWTH
The sharp decline
in industrial output in March reinforced the slowdown trend in the country,
pointing to a lower industrial productivity scenario. Ratings agency Standard
& Poor cut India’s outlook to negative from stable, citing slow progress on
its fiscal situation, as well as deteriorating economic indicators.
MARCH SLUMP
As per ICRA’s
outlook for the Indian economy, growth is expected to remain moderate in
2012-13 unless substantive policy measures are undertaken to boost investment
sentiments. Economists are of the opinion that the slowdown in the industrial
sector would hurt overall economic growth and the chances of revival is
expected only in the third quarter (October-December) of fiscal year 2012-13.
It becomes imperative for the Government to fast track the implementation of
major projects which will increase the overall confidence and also stimulate
growth in the industrial sector.
Despite the
caution and low business confidence, Indian economy is still considered more
resilient in the global context, and in the long run the strong fundamentals of
Indian economy are expected to return to a sustained growth path as the bulk of
India’s GDP is domestic demand driven. Inadequate infrastructure was recognized
in the 11th Plan as a major constraint on rapid growth. In the 12th Plan,
therefore, much focus has been given on strengthening domestic growth drivers,
encouraging private investments to regain its pre-2008 crisis growth momentum
and addressing supply constraints in infrastructure sector with emphasis on the
need for massive expansion in investment in infrastructure based on
combination of public and private investments. It is apprehended, however, that
the macro economic woes and domestic market growth concerns will continue in
the shorter run.
BUSINESS PERFORMANCE
Material
Handling Solutions (MHS)
Material Handling
Solutions division of the Company accounted for 18 per cent of the Group Sales
during the year 2011-12. The overall sales were 16 per cent higher compared to
the previous year and MHS registered a Turnover of Rs.2557.000 Millions in
2011-12 vis- a- vis Rs.2196.600 Millions in 2010-11. However, despite a growth
in the top line, there has been a drop of 40 per cent in the profits of MHS
Division in comparison to the last year. The reason for this decrease in
profits has been primarily due to pressure on margins and increased cost. For
the current year 2012-13, certain austerity measures have already been
instituted with an aim to reduce cost. The factory in Kamarhatty, West Bengal
has also undertaken plans for reduction in cost of manufacturing through its Accelerated Improvement
Program (AIP).
Despite the drop
in performance, there have been certain achievements by the division during the
year. These are:
· Increase in market share for Rough Terrain Crane which up to 67 per cent from a level of 58 per cent. Also in a short span, the Company gained strong foothold in Reachstacker market with its Hyster brand of products brought in association with Nacco Materials Handling Group [NMHG]. During the year under review the market share in this segment went up to 29 per cent from 18 per cent.
The
division continued to receive orders from mining segment and during the year,
supplied Cranes worth Rs.240.000 Millions to various mining companies.
The division also made a significant breakthrough
in the Rental/ Hiring segment by securing order for Cranes worth Rs.200.000
Millions.
·
Indian Defense
continued to place orders on the company for supply of Material Handling Equipment required for Project Akash.
During 2011-12, the Company received the prestigious order for 68 nos.
of Lorry Loaders worth Rs.380.000
Millions. The execution of the same will happen in 2012-13.
· In line with the company’s commitment of introducing cost competitive product offerings in the market, the division introduced cost effective version of 25 T Truck Mounted Crane and 12 T All Purpose Crane.
The order book as on 31st March, 2012 was at Rs.860.000 Millions for TIL make Cranes and Reachstackers.
OUTLOOK
The outlook of the
Company for 2012-13 remains cautiously optimistic. Although India is veering
towards an economic trough situation, the long term growth prospects of India
are still stable with positive indications of infrastructure development
happening in the segments in which the Company operates.
For the short term
outlook, as already mentioned in the MDA earlier that revival is not expected
before the third quarter (October-December) of fiscal year 2012-13, provided
the Government puts special focus in implementing major projects and eases up
bottlenecks which will stimulate growth in the infra sector and open avenues
for economic growth.
Market, however, remains
optimistic about the long term prospects of the Indian Construction Equipment
scenario. The signs for the road construction segment look promising
considering the Government’s plan for 8800 kms of road construction in the 12th
Plan, which will provide more avenues for projects.
The Company
recognizes the difficult times and is focusing on trough management. It has
already initiated significant cost reduction efforts, optimization of working
capital requirements in order to minimize financing costs. These, coupled with
other operational executions will enable the Company to register better
performance in the coming months.
The Management
anticipates improvement in the economy and is confident that when the revival
happens, with right focus and proactive approach the Company will be able to
capitalize on the future opportunities in the infra segment.
CONTINGENT LIABILITIES:
(Rs. In Millions)
|
Particulars |
31.03.2012 |
31.03.2011 |
|
|
|
|
|
Sales Tax Matters under dispute (Related Payments rs.0.500
Million) |
150.900 |
36.900 |
|
Income Tax Matters under dispute [Excludes disputed Income Tax
matters, in view of favourable Tribunal decision in similar case] |
30.300 |
17.600 |
|
Service Tax matters under dispute
[Related payments Rs. Nil
] |
2.400 |
10.700 |
|
Excise Duty matters under dispute [Related payments Rs.2.300
Millions ] |
4.800 |
8.500 |
UNAUDITED STAND-ALONE FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH JUNE
2012
(RS. IN MILLIONS)
|
|
Particulars |
3 Months Ended
30.06.2012 (Un-audited) |
|
|
Income From Operations |
|
|
1(a) |
Net Sales/Income from Operations |
562.100 |
|
(b) |
Other Operating Income |
-- |
|
|
Total Operating Income [1(a)+1(b)] |
562.100 |
|
2 |
Expenditure |
|
|
a) |
Cost of Materials Consumed |
300.600 |
|
b) |
Purchase of Stock-in-trade |
74.300 |
|
c) |
Changes in Inventories of Finished goods,
Work-in-Progress and Stock-in-Trade |
(37.100) |
|
d) |
Employee Benefits Expense |
109.000 |
|
e) |
Depreciation and Amortisation Expenses |
24.300 |
|
f) |
Other Expenses |
102.400 |
|
g) |
Total |
573.500 |
|
3 |
(Loss)/ Profit from Operations before Other
Income, finance costs and exceptional Items |
(11.400) |
|
4 |
Other Income |
4.100 |
|
5 |
(Loss)/ Profit before finance costs and
Exceptional Items |
(7.300) |
|
6 |
Finance Costs |
43.900 |
|
7 |
(Loss)/ Profit after finance costs but
before Exceptional Items |
(51.200) |
|
8 |
Exceptional Items |
-- |
|
9 |
(Loss) /Profit from Ordinary Activities
before tax |
(51.200) |
|
10 |
Tax Expenses |
(2.900) |
|
11 |
Net (Loss) /Profit from Ordinary Activities
after Tax |
(54.100) |
|
12 |
Extraordinary Item (net of tax expense) |
-- |
|
13 |
Net (Loss) /Profit for the period |
(54.100) |
|
14 |
Paid-up Equity Share Capital |
100.300 |
|
|
(Face Value of Rs.10/- each) |
|
|
15 |
Reserves Excluding Revaluation Reserve |
|
|
|
(As per Balance Sheet of Previous Accounting
Year) |
|
|
16 |
Earnings per share (EPS) |
|
|
a) |
- Basic |
(5.39) |
|
b) |
- Diluted |
(5.39) |
|
17 |
Public Shareholding |
|
|
|
-Number of Shares |
4443467 |
|
|
-Percentage of Shareholding |
44.30% |
|
18 |
Promoters and Promoter Group Shareholding |
|
|
a) |
Pledged/Encumbered |
|
|
|
- Number of shares |
50000 |
|
|
- Percentage of shares (as a % of the total
shareholding of Promoter and |
0.89% |
|
|
Promoter Group) |
|
|
|
- Percentage of shares (as a% of the total
share capital of the Company) |
0.50% |
|
b) |
Non-encumbered |
|
|
|
- Number of shares |
5536798 |
|
|
- Percentage of shares (as a % of the total
shareholding of Promoter and |
99.11% |
|
|
Promoter Group) |
|
|
|
- Percentage of shares (as a% of the total
share capital of the Company) |
55.20% |
NOTES:
· The above unaudited results for the quarter ended 30th June, 2012, drawn in terms of Clause 41 of the 'Listing Agreement' have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 31st July, 2012 at Kolkata and has been subjected to Limited Review' by the Statutory Auditors of the Company.
The
operations of the Company pertains only to Material Handling Solutions (i.e.
manufacturing and marketing of various Material Handling Equipments namely
Mobile Cranes, Port Equipments, Self Loading Truck Cranes, Road Construction
Equipments, etc. and dealing in spares and providing services to related
equipments). The Company has only one reportable segment as envisaged in
Accounting Standard-17 on 'Segment Reporting', hence information pertaining to
'segment, as contemplated under Clause 41 of the Listing Agreement is not
applicable for the Company.
Other
Income for the quarter ended 30th June, 2012 includes dividend received from a
Subsidiary Company – Rs. Nil [quarter ended 30th June, 2011 Rs. Nil; Year ended
31st March,2012 – Rs.456.600 Millions].
The
figures for 3 months ended 31st March, 2012 are the balancing figures between
the audited figures in respect of the full financial year ended 31st March,
2012 and the year to date figures upto the third quarter of that financial
year.
Previous
year's/period's figures have been rearranged/regrouped wherever necessary, to
conform to those of the current year/ period.
FIXED ASSETS:
·
Freehold Land
·
Leasehold Land
·
Building
·
Plant
and Machinery
·
Furniture
and Fittings
·
Vehicles
·
Office
Equipment
·
Plant
and Machinery
WEBSITE DETAILS:
CORPORATE PROFILE:
TECHNOLOGY, INNOVATION, LEADERSHIP - These
define subject as an organization, its attitude and philosophy.
Over the past six decades subject has been
partnering India’s Infrastructure growth and has emerged as one of the leading
providers of a wide range of equipment that represent some of the finest in
global technology. As a responsible nation builder, they remain committed to
providing cutting edge technology products and total solutions with the
ultimate aim in enhancing customer value.
Perceived as Responsible, Valued and
Respected, subject attributes its success and dynamic growth to the quality and
expertise of its people working towards the shared vision of creating a
positive difference to the Indian infrastructure industry. Today they have a
large quantum of collective intellectual capital with a motivating workplace
environment that enhances competency and encourages productivity.
The Material Handling Solutions division of
subject is engaged in manufacture and marketing of a comprehensive range of
state-of –the –art material handling equipment and lifting solutions with
integrated customer support.. Recently the division has embarked on a robust
expansion plan offering road construction solutions, port equipment. The
division uses the best technology available in its domain with world class
associations such as Grove Worldwide USA, Manitowoc Crane Group- USA, Paceco
Corp- USA [a part of Mitsui Engineering and Shipbuilding-Japan], FAMAK-SA
Poland. The recent partnerships include NACCO Materials Handling Group, Inc.
[NMHG] - a part of NACCO Industries Inc-USA and Astec INC-USA.
Subject’s plant at Kolkata is the only purpose
built mobile crane manufacturing facility in India. The plant is a fully
integrated facility and is certified under ISO 9000:2000 and EN 729
international standards.
Acknowledged as a market leader in mobile cranes,
material handling equipment from subject are reliable, productive and
efficient. They are the exclusive dealer for Caterpillar products in North and
East India, Bhutan and Nepal and effective 2nd April,2010,their business of
Construction, Mining and Power systems operates under Tractors India Private
Limited [TIPL] - a wholly owned subsidiary of subject. The Caterpillar
dealership of TIPL spreads across North and East India as well as Bhutan. The
construction and mining business sells and services a wide portfolio of
Caterpillar range of construction and mining equipment.
The Power Systems Solutions under TIPL caters
to Caterpillar range of Engines and Genset packages for North and East India,
Bhutan and Nepal. They set the industry standard in providing quality power for
continuous and standby applications in diesel, gas and heavy fuel
configurations as well as package a range of gensets undertaking turnkey
projects and providing after market support under one umbrella.
They also bring world class service solutions
like Maintenance and Repair Contract [MARC], Component Rebuild Center [CRC] and
Schedule Oil Analysis [SOS] as well as the global concept of providing
Equipment on Rent for construction, mining and power applications.
Subject and its subsidiaries are well
connected with a vast network over 60 branches and area offices to ensuring
maximum coverage.
At subject they take their role of responsible
nation builder seriously, as they have for the past 65 years. This is a source
of pride and inspiration for them. Their passion remains to offer excellence in
product support initiatives, prompt customer response and to be the industry
benchmark as a Total Solutions Provider.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international anti-terrorism
laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record exists
to suggest that any director or indirect owners, controlling shareholders,
director, officer or employee of the company is a government official or a
family member or close business associate of a Government official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws, regulations
or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.56.38 |
|
|
1 |
Rs.87.44 |
|
Euro |
1 |
Rs.68.05 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
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 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
62 |
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 |
- |
7
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.