1. Summary Information
|
Country |
India |
||
|
Company Name |
AKZO NOBEL INDIA
LIMITED |
Principal Name 1 |
Mr. N Kaviratne CBE |
|
Status |
Good |
Principal Name 2 |
Mr. A Jain |
|
Registration # |
21-021516 |
||
|
Street Address |
Geetanjali Apartment, 1st
Floor, 8-B, Middleton Street, Kolkata – 700071, West Bengal |
||
|
Established Date |
12.03.1954 |
SIC Code |
-- |
|
Telephone# |
91-33-22267462 |
Business Style 1 |
Manufacturer
|
|
Fax # |
91-33-22277925 |
Business Style 2 |
-- |
|
Homepage |
Product Name 1 |
Paints |
|
|
# of employees |
1795
(Approximately) |
Product Name 2 |
-- |
|
Paid up capital |
Rs. 467,000,000/- |
Product Name 3 |
-- |
|
Shareholders |
Shareholding of
Promoter and Promoter – 72.96% Public
shareholding – 27.04% |
Banking |
Deutsche Bank |
|
Public Limited Corp. |
Yes |
Business Period |
59 Years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
A (63) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Fellow Subsidiaries |
-- |
Akzo Nobel Amides Company Limited |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2013 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
5,826,000,000 |
Current Liabilities |
6,146,000,000 |
|
Inventories |
3,149,000,000 |
Long-term Liabilities |
0,000 |
|
Fixed Assets |
3,548,000,000 |
Other Liabilities |
5,853,000,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
11,999,000,000 |
|
Invest& other Assets |
10,529,000,000 |
Retained Earnings |
10,586,000,000 |
|
|
|
Net Worth |
11,053,000,000 |
|
Total Assets |
23,052,000,000 |
Total Liab. & Equity |
23,052,000,000 |
|
Total Assets (Previous Year) |
22,080,000,000 |
|
|
|
P/L Statement as of |
31.03.2013 |
(Unit: Indian Rs.) |
|
|
Sales |
21,797,000,000 |
Net Profit |
2,188,000,000 |
|
Sales(Previous yr) |
19,425,000,000 |
Net Profit(Prev.yr) |
2,018,000,000 |
MIRA INFORM REPORT
|
Report Date : |
21.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
AKZO NOBEL INDIA LIMITED [w.e.f. 31.03.2010] |
|
|
|
|
Formerly Known
As : |
ICI INDIA LIMITED |
|
|
|
|
Registered
Office : |
Geetanjali
Apartment, 1st Floor, 8-B, Middleton Street, Kolkata – 700071,
West Bengal |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
12.03.1954 |
|
|
|
|
Com. Reg. No.: |
21-021516 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 467.000
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24292WB1954PLC021516 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMI04848E /
MUMI05763C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACI6297A |
|
|
|
|
Legal Form : |
A
Public Limited Liability Company. The
company’s shares are listed on the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer
of Paints. |
|
|
|
|
No. of Employees
: |
1795 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 44000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and reputed company having a good track
record. Financially company seems to be strong. Liquidity position is good. Trade relations are reported to be fair. Business is active. Payments
are reported to be regular and as per commitments. In view of experience promoters, the company can be considered for
normal business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
We are living in a
world where volatility and uncertainty have become the New Normal. We saw
a change of government in countries like Tunisia, Egypt, Libya and Vietnam.
Once powerful countries in Europe are now fighting for bankruptcy. We have
taken growth in the developing part of the world for granted but economic
growth in China and India has begun to slow. Companies that were synonymous
with their product categories just a few years ago are now no longer in
existence. Kodak, the inventor of the digital camera had to wind up its
operations, HMV, the British entertainment retailing company and Borders, once
the second largest bookstore have shut down due to their inability to evolve
their business models with the changing time. Readers’ Digest, Thomson Register
are no more !
There is another
megatrend happening. The World order is changing as economic power shifts from
West to East. According to McKinsey study, it took Britain more than 100 years
to double its economic output per person during its industrial revolution and
the US later took more than 50 years to do the same. More than a century later,
China and India have doubled their GDP per capital in 12 and 18 years
respectively. By 2020, emerging Asia will become the world’s largest consuming
block, overtaking North America.
The years after the
outbreak of the global financial crisis, the world economy continues to remain
fragile. The Indian economy demonstrated remarkable resilience in the initial
years of the contagion but finally lost ground last year. GDP growth slowed
down. Currency has been weakening. There is a marked deceleration in
agriculture, industry and services. Dampening sentiment led to a cut-back in
investment as well as private consumption expenditure. Inflation remained
at high levels fuelled by the pressure from the food and fuel sectors. The
large fiscal and current account deficit s continued to cause grave concern. It
is imperative that India regains its growth trajectory of 8-9 % sooner than
later. This is crucially important given the need to create gainful livelihood
opportunities for the millions living in poverty as also the large contingent
of young people joining the job market every year.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term Borrowings : A1+ [Reaffirmed] |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
30.11.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered
Office : |
Geetanjali
Apartment, 1st Floor, 8-B, Middleton Street, Kolkata – 700071,
West Bengal, India |
|
Tel. No. |
91-33-22267462 |
|
Fax No. |
91-33-22277925 |
|
E-Mail |
|
|
Website |
|
|
|
|
|
Corporate
Office / Factory 1 : |
10th
Floor, DLF Plaza Tower, DLF Qutab Enclave, Phase – I, Gurgaon – 122002,
Haryana, India |
|
Tel. No.: |
91-124-2540400 |
|
Fax No.: |
91-124-2540849 |
|
E-Mail : |
|
|
|
|
|
Plant locations: |
|
|
Coatings: |
|
|
|
|
|
Chemicals |
Plot No. E-19/20, MIDC Area, Mahad, Raigad – 402301, Maharashtra, India |
|
|
|
|
Factory 2 : |
Located At: Ø Mohali, Punjab Ø Hyderabad, Andhra Pradesh Ø Thane, Maharashtra Ø Bangalore, Karnataka |
|
|
|
|
Headquarters
: |
Located at Gurgaon, Haryana, India |
|
|
|
|
Research and
Technology Centre : |
Located at Thane, Maharashtra, India |
|
|
|
|
Branch Office
: |
National Starch And Chemicals Plot No.
1/1 TTC Industrial Area, Thane Belapur Road, Kopar Khairane, Navi Mumbai –
400709, Maharashtra, India |
|
Tel. No.: |
91-22-27780000 |
|
Fax No.: |
91-22-27780025 |
|
E-Mail : |
|
|
|
|
|
Depot : |
8,
Raghuveer Estate, Ahmedabad-382427, Gujarat, India |
|
Tel No.: |
91-79-40372130 |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. N Kaviratne CBE |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. A Jain |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. P S Basu |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. R Molenaar |
|
Designation : |
Director (w.e.f. 14 May 2013) |
|
|
|
|
Name : |
Ms. S Govil (Alternate Director to Mr. R Molenaar) |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R Gopalakrishnan |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. R S Karnad |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. S Misra |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. A Uppal |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. R. Gupta |
|
Designation : |
Company Secretary |
|
|
|
|
Audit Committee: |
|
|
Name: |
Ø Ms. R S Karnad
(Chairperson) Ø Mr. R Molenaar Ø Mr. R
Gopalakrishnan Ø Dr. S Misra Ø Mr. A Uppal |
|
|
|
|
Remuneration and Nominations Committee: |
|
|
Name: |
Ø Mr. R
Gopalakrishnan (Chairman) Ø Ms. R S Karnad Ø Mr. N Kaviratne
CBE Ø Dr. S Misra Ø Mr. A Uppal |
|
|
|
|
Shareholders/Investors Grievance
Committee: |
|
|
Name: |
Dr S Misra (Chairman) Mr. A Jain Mr. P S Basu |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2013
|
Category of Shareholder |
Total
No. of Shares |
Total
Shareholding as a % |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
34044335 |
72.96 |
|
|
34044335 |
72.96 |
|
Total shareholding of Promoter and Promoter Group (A) |
34044335 |
72.96 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2228577 |
4.78 |
|
|
25814 |
0.06 |
|
|
276 |
0.00 |
|
|
1985952 |
4.26 |
|
|
1452306 |
3.11 |
|
|
600 |
0.00 |
|
|
600 |
0.00 |
|
|
5693525 |
12.20 |
|
|
|
|
|
|
3285008 |
7.04 |
|
|
|
|
|
|
3395802 |
7.28 |
|
|
119299 |
0.26 |
|
|
122345 |
0.26 |
|
|
7465 |
0.02 |
|
|
82429 |
0.18 |
|
|
6186 |
0.01 |
|
|
25217 |
0.05 |
|
|
1048 |
0.00 |
|
|
6922454 |
14.84 |
|
Total Public shareholding (B) |
12615979 |
27.04 |
|
Total (A)+(B) |
46660314 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
46660314 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
of Paints. |
||||||||||||
|
|
|
||||||||||||
|
Products : |
|
PRODUCTION STATUS [AS ON 31.03.2011]
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Catalysts |
Tonnes |
2480 |
-- |
|
Paints-Liquid |
KL |
88540 |
73031 |
|
Paints-Stiff |
Tonnes |
3500 |
3892 |
|
Thinners |
KL |
4460 |
3435 |
NOTES:
1. N. A. - Not
Applicable.
2. Production
meant for sale is after adjustment of shortages, handling losses, quantity internally
consumed.
3. Licensed and
installed capacity in respect of intermediates, used entirely for captive
consumption, have not been furnished.
4. All items are
delicensed.
5. Installed
capacities are as certified by the management.
6. Installed capacity
of Catalysts is utilized for toll conversion operations undertaken on behalf of
Johnson Matthey Chemicals India Private Limited and, therefore, quantity
processed has not been included in actual production.
GENERAL INFORMATION
|
No. of Employees : |
1795 (Approximately) |
|
|
|
|
Bankers : |
Ø Citibank Ø Deutsche Bank Ø HDFC Bank Ø Hongkong and
Shanghai Banking Corpn. Ø Royal Bank of
Scotland Ø Standard
Chartered Bank Ø State Bank of
India |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
BSR and
Associates Chartered
Accountants |
|
Address: |
Building No. 10,
8th Floor, Tower-B, DLF Cyber City, Phase II, Gurgaon - 122002,
Haryana, India |
|
Tel No.: |
91-124-2549191 |
|
Fax No.: |
91-124-2549101 |
|
|
|
|
Holding Company: |
Imperial Chemical Industries Limited, England (holding company up to 3 June 2012 and related party having significant influence thereafter) |
|
|
|
|
Ultimate Holding
Company: |
Akzo Nobel N.V |
|
|
|
|
Fellow Subsidiaries : |
|
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
126690000 |
Equity Shares |
Rs.10/- each |
Rs. 1267.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
46660314 |
Equity Shares |
Rs.10/- each
|
Rs. 467.000
Millions |
Notes:
(i) In 2011-12, 21,967,544 shares were held by Imperial Chemical Industries Limited England, the holding company. Imperial Chemical Industries Limited England ceased to be the holding company with effect from 4 June 2012 on allotment of new shares as per the scheme of merger (Refer to Note 2). The ultimate holding Company is Akzo Nobel N.V., Netherlands which does not hold any shares directly in the Company.
(ii) Reconciliation of equity shares outstanding at the beginning and at the end of the year:
|
PARTICULARS |
AS ON 31.03.2013 |
|
|
|
Numbers |
R. In Millions |
|
Opening balance |
36,834,331 |
368.343 |
|
Add: Shares allotted on amalgamation |
11,125,983 |
111.260 |
|
Less: Buy back of shares |
(1,300,000) |
(13.000) |
|
|
46,660,314 |
466.603 |
In the previous year, 11,125,983 shares of Rs 10 each were to be
allotted in accordance with the scheme of amalgamation (Refer to Note 2), and
pending such allotment were disclosed as ‘Share capital pending allotment’ in
the balance sheet.
(iii) During the year, 1,300,000 equity shares (2011-12: nil) were
bought back at a consideration of Rs 1,209 million (including related expenses
of Rs 13 million), in terms of the shares
buy back scheme open between 2 July to 13 July 2012. This has been
accounted as below:
- The nominal value of shares bought
back, i.e., Rs 13 million, has been adjusted against the share capital. An
equal amount has been reduced from General reserve and credited to Capital
Redemption Reserve, as per the provision of the Companies Act, 1956.
- The difference aggregating to Rs 1,196
million between the consideration paid and the nominal value of shares has
been adjusted against the General Reserve.
All shares bought back were extinguished during the year. The Promoter
Group has further acquired 1.01 million shares in the Company on 31 July 2012.
As a result of the above share buyback and their extinguishment and also of
further acquisition of shares by the Promoter Group, its share holding in the
company has gone up from 68.88% to 72.96%.
(iv) The Company has only one class of equity shares, having a par value
of Rs 10 per share. Each shareholder is eligible to one vote per share held.
The Company declares and pays dividend in Indian Rupees. The dividend proposed,
if any, by the Board of Directors is subject to approval of shareholders in the
ensuing Annual General Meeting. The repayment of equity share capital in the
event of liquidation and buy back of shares are possible subject to prevalent
regulation. In the event of liquidation, normally, the equity shareholders are
eligible to receive the remaining assets of the Company, after distribution of
all preferential amounts in proportion to their shareholding.
(v) Shares in the Company held by
each shareholder holding more than 5% of equity share capital:
|
PARTICULARS |
AS ON 31.03.2013 |
|
|
|
No. of shares |
% of shares held |
|
Imperial Chemical Industries Limited,
England |
22,977,544 |
49.24% |
|
Akzo Nobel Coatings International B.V., The
Netherlands |
8,626,648 |
18.49% |
|
Akzo Nobel Chemicals International B.V., The
Netherlands |
2,439,847 |
5.23% |
|
Asian Paints Limited |
-- |
-- |
(vi) Number of equity shares of Rs 10each bought back in the five years immediately
preceding the Balance Sheet date, aggregates to 5,336,281 (2011-12: 4,036,281)
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
467.000 |
368.000 |
368.000 |
|
(b) Reserves & Surplus |
10586.000 |
13931.000 |
10548.000 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
0.000 |
111.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
11053.000 |
14410.000 |
10916.000 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
47.000 |
26.000 |
41.000 |
|
(c) Other long term
liabilities |
190.000 |
191.000 |
157.000 |
|
(d) long-term
provisions |
618.000 |
629.000 |
525.000 |
|
Total Non-current
Liabilities (3) |
855.000 |
846.000 |
723.000 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade
payables |
4785.000 |
4161.000 |
2253.000 |
|
(c) Other
current liabilities |
1171.000 |
906.000 |
335.000 |
|
(d) Short-term
provisions |
5188.000 |
1757.000 |
1172.000 |
|
Total Current
Liabilities (4) |
11144.000 |
6824.000 |
3760.000 |
|
|
|
|
|
|
TOTAL |
23052.000 |
22080.000 |
15399.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
3548.000 |
3563.000 |
1419.000 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
1057.000 |
148.000 |
145.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
2700.000 |
850.000 |
400.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
901.000 |
1188.000 |
573.000 |
|
(e) Other
Non-current assets |
16.000 |
4.000 |
0.000 |
|
Total Non-Current
Assets |
8222.000 |
5753.000 |
2537.000 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
6772.000 |
9185.000 |
9450.000 |
|
(b)
Inventories |
3149.000 |
3334.000 |
1532.000 |
|
(c) Trade
receivables |
2516.000 |
2260.000 |
701.000 |
|
(d) Cash
and cash equivalents |
857.000 |
739.000 |
303.000 |
|
(e)
Short-term loans and advances |
1291.000 |
543.000 |
875.000 |
|
(f) Other
current assets |
245.000 |
266.000 |
1.000 |
|
Total
Current Assets |
14830.000 |
16327.000 |
12862.000 |
|
|
|
|
|
|
TOTAL |
23052.000 |
22080.000 |
15399.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.20111 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
21797.000 |
19425.000 |
10876.000 |
|
|
|
Service Income |
332.000 |
260.000 |
0.000 |
|
|
|
Other Operating Income |
191.000 |
193.000 |
92.000 |
|
|
|
Other Income |
1381.000 |
1123.000 |
987.000 |
|
|
|
TOTAL (A) |
23701.000 |
21001.000 |
11955.000 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
10845.000 |
10126.000 |
5261.000 |
|
|
|
Purchase of stock-in-trade |
1990.000 |
1868.000 |
782.000 |
|
|
|
Employee benefits expense |
1753.000 |
1473.000 |
696.000 |
|
|
|
Other expenses |
5727.000 |
5269.000 |
3166.000 |
|
|
|
Exceptional items |
0.000 |
0.000 |
(113.000) |
|
|
|
Changes in
inventories of finished goods, work-in-progress and stock-in-trade |
120.000 |
(604.000) |
(268.000) |
|
|
|
TOTAL (B) |
20435.000 |
18132.000 |
9524.000 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3266.000 |
2869.000 |
2431.000 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
89.000 |
39.000 |
15.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3177.000 |
2830.000 |
2416.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
386.000 |
366.000 |
217.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
2791.000 |
2464.000 |
2199.000 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
603.000 |
446.000 |
433.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
2188.000 |
2018.000 |
1766.000 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
|
|
|
|
|
|
-
From Previous Year |
|
6276.000 |
|
|
|
|
-
By Amalgamating Companies |
8214.000 |
2075.000 |
6071.000 |
|
|
|
|
|
|
|
|
|
|
Write-back of
previous year dividend (excess provision |
30.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to general reserve |
1050.000 |
1040.000 |
790.000 |
|
|
|
Proposed Dividend |
933.000 |
959.000 |
663.000 |
|
|
|
Tax on Dividend |
634.000 |
156.000 |
108.000 |
|
|
|
Proposed special dividend |
2800.000 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
5015.000 |
8214.000 |
6276.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods (FOB basis) |
593.000 |
444.000 |
20.000 |
|
|
|
Reimbursement of expenses |
43.000 |
50.000 |
0.000 |
|
|
|
Service income |
260.000 |
215.000 |
0.000 |
|
|
|
Others |
11.000 |
13.000 |
15.000 |
|
|
TOTAL EARNINGS |
907.000 |
722.000 |
35.000 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2722.000 |
2933.000 |
1042.000 |
|
|
|
Components and Spare Parts |
12.000 |
58.000 |
0.000 |
|
|
|
Capital Goods |
78.000 |
50.000 |
21.000 |
|
|
TOTAL IMPORTS |
2812.000 |
3041.000 |
1063.000 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
46.49 |
42.08 |
47.94 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
|
Type |
4th
Quarter |
|
Net Sales |
5736.400 |
|
Total Expenditure |
5246.300 |
|
PBIDT (Excl OI) |
490.100 |
|
Other Income |
101.700 |
|
Operating Profit |
591.800 |
|
Interest |
3.700 |
|
Exceptional Items |
0.000 |
|
PBDT |
588.100 |
|
Depreciation |
97.800 |
|
Profit Before Tax |
490.300 |
|
Tax |
142.200 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
348.100 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
348.100 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
9.23
|
9.61
|
14.77 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
12.80
|
12.68
|
20.05 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.46
|
11.69
|
14.80 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.25
|
0.17
|
0.20 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00
|
0.00
|
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.33
|
2.39
|
3.42 |
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 |
No |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact person |
Yes |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth 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 |
BUSINESS
ENVIRONMENT
GDP growth in fiscal year 2012-13 is estimated at around 5% (previous
year 6.2%). The overall slowdown in the economy was visible and reflected in
the low growth of just around 1% in the Index of Industrial Production (IIP)
for the year 2012-13.
During the financial year 2012-13, most of the markets the Company
operates in were impacted by the volatility in the macroeconomic environment.
Overall revenue growth in line with market could still be achieved, thanks to
the Company’s customer-centric approach, its ability to innovate and strong
internal processes.
FINANCE AND
ACCOUNTS
Revenue for the year at Rs 22320.000 Millions is 12% ahead of previous
year, with contribution from all segments. Profit after tax for the year at Rs 2188.000
Millions is higher than previous year by 8%.
Keeping in view the current year’s performance, the Board is pleased to
recommend a dividend of Rs 20 per share for the financial year 2012-13
(previous year Rs 20 per share).
In addition, the Board has, after taking into account the fund
requirements of the Company to support growth and other relevant factors, also
recommended a Special Dividend of Rs 60 per share for approval of the members
at the forthcoming Annual General Meeting.
A sum of Rs 1.9.000 millions was remitted to the Investor Education and
Protection Fund of the Central Government towards Dividend remaining unclaimed
in respect of the financial year ended 31 March 2005, in terms of section 205C
of the Companies Act, 1956.
The Company has not accepted any public deposits during the year and no
amount on account of principal or interest on public deposits was outstanding
as on the date of the balance sheet.
MANAGEMENT
DISCUSSION AND ANALYSIS
COATINGS
Coatings segment recorded a turnover of Rs 23269.000 Millions, compared
to the previous year’s Rs 20297.000 Millions, a growth of 15%. Segment profit
grew 17% to reach Rs 1644.000 Millions vs previous year’s Rs 1403.000 Millions.
General slow-down in demand resulted in lower growth; INR depreciation and cost
pressures were countered with effective cost management. Nevertheless, investment in strengthening the
brands, developing new markets, capability building and capacity expansion were
continued to support growth plans.
Decorative Paints
The topline growth in the business was in line with the industry. Some
of the initiatives which supported the growth were:
- New brand campaigns
- Expansion of Dulux decorative centres (Modern Retail stores) to provide one stop painting solutions in state-of-the-art ambience.
- Launch of new water-based wood care range.
Work on the Greenfield site at Gwalior, Madhya Pradesh is in progress
for commissioning during the fiscal year 2013-14.
PERFORMANCE
COATINGS
Automotive and Aerospace
Coatings (A and AC) business was impacted by subdued growth in the
passenger car segment, partially offset by modest growth in the commercial
vehicles segment. Focus on end user service and margin management helped the
business to overcome adverse economic conditions. Business is also actively
pursuing its efforts to expand its footprint through certification/referrals
from the automotive OEs.
Marine Coatings business segment
focusses on coatings solutions for ships, trawlers, supply vessels and coastal
fishing boats. The business provides comprehensive coatings solutions to new
ship construction as well as maintenance and repair.
The business is battling a general slowdown in the shipping industry
with pressures on both volumes and prices. A series of initiatives have been
planned to expand into new segments to support growth as well as de-risking.
Protective
Coatings business provides coatings and solutions to segments like il and gas,
public infrastructure projects such as airports and stadia, power generation
(thermal and wind energy), mining and minerals and original equipment
manufacturers, etc.
Overall market for protective coatings declined mainly because of delays
affecting new project launches. The business has identified new areas for
generating demand in an otherwise depressed market, with a complete customer
focussed solutions offer.
Coil Coatings business had a
good growth momentum and the business was able to implement several new
initiatives to improve its market position. The year saw new product launches
and better price realisation in select product lines.
Powder Coating business topline
growth was in line with the industry. Business is addressing supply constraints
and is evaluating options for capacity additions.
A new range of products under the Wood Finish and Adhesives banner were
launched during the year.
CHEMICALS
This segment consisting of Functional Chemicals and Surface Chemistry
businesses recorded a turnover of Rs 940.000 Millions compared to the previous
year’s Rs 873 million, a growth of 8%. Segment profit was Rs 144.000 Millions
vs previous year’s Rs 122.000 millions, a growth of 18% due to improved product
mix. Though Functional Chemicals Business saw some slowdown, Surface Chemistry
Business recorded robust growth during the year, on the back of strong demand
in Personal Care and Agrochemical segments.
Going forward, the Company will
continue to closely monitor the global trends in the availability and price
movements of all key inputs and shall strive to safeguard their supply lines.
Cost reduction and value enhancement projects are also being pursued to counter
inflation/ensure supply security. However, volatility in currency exchange
rates could negate the effects of some of the above actions and put pressure on
margins. The Company follows a Risk Management policy under which all material
foreign currency exposures are hedged through forward covers, to protect
against unexpected swings in exchange rates.
Notwithstanding the constraints, the Company will continue to stay
focussed on growing ahead of the market, with emphasis on serving its consumers
through superior technical inputs and solutions and continuous efforts to
expand its footprint in areas of its strength.
CONTINGENT LIABILITIES:
|
Particulars |
31.03.2013 [Rs. in millions] |
31.03.2012 [Rs. in millions] |
|
Claims against the Company not acknowledged as debt |
50.000 |
50.000 |
|
Sales tax matters under appeal |
215.000 |
123.000 |
|
Excise matters in dispute/under appeal |
88.000 |
88.000 |
|
Industrial relations and other matters under dispute |
2.000 |
2.000 |
|
Bank guarantees (third parties, etc) |
-- |
91.000 |
|
(f) Income tax matters in dispute/under appeal* *The Income tax assessments for the Company have been completed up to
the financial year ended 31 March 2010. Arising from such assessments and
appellate orders, the demands aggregate Rs 1166.000 millions (2011-12: Rs
1675.000 millions), and the refunds aggregate Rs 1,186 million (2011-12: Rs
1296.000 millions). The Company as well as the Income tax department have
filed appeals on these matters. Pending decisions in the appeals, neither the
refunds nor the liabilities for the demands have been recognised in the
accounts. The Company, based on its assessment of such cases, is of the view
that the final outcome is not likely to have significant adverse impact on
the financial statements. |
||
FIXED ASSETS:
Ø Land Leasehold
Ø Land Freehold
Ø Buildings
Ø Plant and Machinery
Ø Plant and
Machinery – Under Operating Lease
Ø Rolling Stock,
Motor Vehicles etc.
Ø Furniture,
fittings and equipment
Ø Data processing
equipment
Ø Office equipments
Ø Leasehold
improvement
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international anti-terrorism
laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 63.73 |
|
|
1 |
Rs. 99.79 |
|
Euro |
1 |
Rs. 85.07 |
INFORMATION DETAILS
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
63 |
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.