1. Summary Information
|
|
|
Country |
India |
|
Company Name |
TITAN COMPANY
LIMITED |
Principal Name 1 |
Mr. N. Sundaradevan |
|
Status |
Very Good |
Principal Name 2 |
Mr. Susan Mathew |
|
|
|
Registration # |
18-001456 |
|
Street Address |
3,
SIPCOT Industrial Complex, Hosur – 635126, Tamilnadu, India |
||
|
Established Date |
26.07.1984 |
SIC Code |
-- |
|
Telephone# |
91-4344-664199 |
Business Style 1 |
Manufacturer |
|
Fax # |
91-4344-276037 |
Business Style 2 |
Seller |
|
Homepage |
Product Name 1 |
Watches |
|
|
# of employees |
4353 (Approximately) |
Product Name 2 |
Jewellery Pieces |
|
Paid up capital |
Rs.887,786,000/- |
Product Name 3 |
Table Clocks |
|
Shareholders |
Promoter and Promoter -53.05% Public shareholding – 46.95% |
Banking |
Bank of Baroda |
|
Public Limited Corp. |
Yes |
Business Period |
29 Years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
A
(70) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Associates |
-- |
TVS Wind Power Limited |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
14,074,640,000 |
Current Liabilities |
29,495,025,000 |
|
Inventories |
28,786,690,000 |
Long-term Liabilities |
58,889,000
|
|
Fixed Assets |
3,687,251,000 |
Other Liabilities |
2,942,459,000 |
|
Deferred Assets |
37,749,000 |
Total Liabilities |
32,496,373,000 |
|
Invest& other Assets |
409,011,000 |
Retained Earnings |
13,611,182,000 |
|
|
|
Net Worth |
14,498,968,000 |
|
Total Assets |
46,995,341,000 |
Total Liab. & Equity |
46,995,341,000 |
|
Total Assets (Previous Year) |
37,339,501,000 |
|
|
|
P/L Statement as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Sales |
88,383,784,000 |
Net Profit |
6,001,559,000 |
|
Sales(Previous yr) |
65,208,951,000 |
Net Profit(Prev.yr) |
4,336,376,000 |
MIRA
INFORM REPORT
|
Report Date : |
31.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
TITAN COMPANY LIMITED (w.e.f. 2013) |
|
|
|
|
Formerly Known As : |
TITAN INDUSTRIES LIMITED |
|
|
|
|
Registered Office : |
3, SIPCOT Industrial Complex, Hosur – 635126, Tamilnadu |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2012 |
|
|
|
|
Date of Incorporation : |
26.07.1984 |
|
|
|
|
Com. Reg. No.: |
18-001456 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.887.786
Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L74999TZ1984PLC001456 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHET08980G |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACT5131A |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business : |
Manufacturer and Seller of Watches, Jewellery Pieces,
Table Clocks, etc. |
|
|
|
|
No. of Employees
: |
4353 (out of
which 2630 were in the factories, 800 in retail, about 578 in sales and
marketing while the rest 345 were in support functions.) (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (70) |
|
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 58000000 |
|
|
|
|
Status : |
Very Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and reputed company having fine track record.
Financial position of the company appears to be good. Fundamentals are strong
and healthy. Payments are reported to be regular and as per commitments. The company can be considered good for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – 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 |
ICRA |
|
Rating |
AA+ (Long Term Borrowing) |
|
Rating Explanation |
High degree of safety and low credit risk. |
|
Date |
February 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
A1+ (Short Term Borrowing) |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
February 2013 |
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 : |
3, SIPCOT Industrial Complex, Hosur – 635126, Tamilnadu, India |
|
Tel. No.: |
91-4344-664199 |
|
Fax No.: |
91-4344-276037 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
Golden Enclave, Tower A, |
|
Tel. No.: |
91-80-66609000/ 66609027 |
|
Fax No.: |
91-80-25269923/ 25263001 |
|
E-Mail : |
|
|
|
|
|
Watch Plant 1 : |
Plot Nos.3, 4 and 5, SIPCOT Industrial Complex, Hosur – 635 126, |
|
|
|
|
Watch Plant 2 : |
Mohabewala Industrial Area, Dehradun - 248002, (i) Unit 1 - Khasra No. 148D, 173B, 176A and 176B (ii) Unit 2 - Khasra No. 148B, 149B |
|
|
|
|
Watch Plant 3 : |
Plot No.59, EPIP, Jharmajary Phase I, Solen District, Baddi-173205 |
|
|
|
|
Watch Plant 4 : |
Plot No. C1, C2, C3, Khasra No. 37, Village Bantakheri, Tehsil - Roorkee,
District - Haridwar, Uttaranchal, India
|
|
|
|
|
Watch Plant 5 : |
Plot No. 10B,
Khasra Nos. 150, 151, 152, 153 Sector 2, Integrated Industrial Estate,
SIDCUL, Pant Nagar 263 153, Udham Singh Nagar District, Uttarkhand, India |
|
|
|
|
Precision Engineering Plants 1 : |
No.15 B, Bommasandra Industrial Area, Hosur Road, Anekal Taluka,
Bangalore - 562158, Karnataka, India |
|
|
|
|
Precision Engineering Plants 2 : |
Plot Nos. 27 and 28, SIPCOT Industrial Area, Hosur - 635126,
Tamilnadu, India |
|
|
|
|
Jewellery and Clock Plants 1 : |
29, SIPCOT Industrial Complex, Hosur - 635126, |
|
|
|
|
Jewellery and Clock Plants 2 : |
Khasra No. 238, Kuanwala Dehradun - 248001, Uttaranchal, India |
|
|
|
|
Prescription Eyewear
Lens Laboratory : |
Plot No. 27, Survey No.125, KIADB Industrial Area, Chikaballapur -
562101 Karnataka, India |
|
|
|
|
Overseas Branch Office : |
Unit No. 11 and 12, 20/F, Metro Loft No. 38, Kwai Hei Street, Kwai
Chung N T, Hong Kong |
|
Tel No.: |
00852
64716536 |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Mr. N. Sundaradevan |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Susan Mathew |
|
Designation : |
Chairperson (up to 24.10.2011) |
|
|
|
|
Name : |
Mr. K Dhanavel |
|
Designation : |
Director (from 30.04.2012) |
|
|
|
|
Name : |
Mr. Bhaskar Bhat |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. V. Parthasarathy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Ishaat Hussain |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N.N. Tata |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. T.K. Balaji |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. C.G. Krishnadas Nair |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Vinita Bali |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Hema Ravichandar |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R. Poornalingam |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Das Narayandas |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
A.R. Rajaram |
|
Designation : |
Head - Legal and Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.03.2013
|
Category of
Shareholder |
No. of Shares |
% of No. of
Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
Central Government / State Government(s) |
247476720 |
27.88 |
|
|
223531200 |
25.18 |
|
|
471007920 |
53.05 |
|
|
|
|
|
Total shareholding of
Promoter and Promoter Group (A) |
471007920 |
53.05 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
12584027 |
1.42 |
|
|
336387 |
0.04 |
|
|
12026532 |
1.35 |
|
|
169416534 |
19.08 |
|
|
194363480 |
21.89 |
|
|
|
|
|
|
17978629 |
2.03 |
|
|
|
|
|
|
105484734 |
11.88 |
|
|
98228907 |
11.06 |
|
|
722490 |
0.08 |
|
|
713490 |
0.08 |
|
|
9000 |
0.00 |
|
|
222414760 |
25.05 |
|
Total Public
shareholding (B) |
416778240 |
46.95 |
|
Total (A)+(B) |
887786160 |
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) |
887786160 |
0.00 |
%2031-Aug-2013_files/image002.gif){kind=small}
%2031-Aug-2013_files/image003.gif){kind=small}
%2031-Aug-2013_files/image004.gif){kind=small}
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Seller of Watches, Jewellery Pieces,
Table Clocks, etc. |
||||||||
|
|
|
||||||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
4353 (out of
which 2630 were in the factories, 800 in retail, about 578 in sales and
marketing while the rest 345 were in support functions.) (Approximately) |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
·
Canara Bank ·
Bank of ·
The Hongkong and Shanghai Banking Corporation
Limited ·
Standard Chartered Bank ·
Oriental Bank of Commerce ·
Union Bank of ·
Indian Bank |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
|
|
|
Promoters : |
·
Tamilnadu Industrial Development Corporation Limited ·
Tata Sons Limited |
|
|
|
|
Subsidiaries : |
·
Titan Time Products Limited ·
Tanishq ( ·
Titan Properties Limited ·
Favre Leuba AG (From 13 January, 2012) |
|
|
|
|
Associates : |
·
TVS Wind Power Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
120000000 |
Equity Shares |
Rs. 10/- each |
Rs.1200.000 Millions |
|
4000000 |
Redeemable Cumulative Preference Shares |
Rs. 100/- each |
Rs. 400.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 1600.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
88778600 |
Equity Shares |
Rs. 10/-
each |
Rs.887.786
Millions |
|
|
|
|
|
Rights of shareholders:
The
Company has only one class of equity shareholders. Each holder of equity shares
is entitled to one vote per share. The Company declares and pays dividends in
Indian rupees. The dividend proposed by the Board of Directors is subject to
approval by the shareholders at the ensuing Annual General Meeting.
Reconciliation of the shares
outstanding at the beginning and at the end of the year
|
|
2012 |
|
|
|
Shares in lakhs |
Rs. In Millions |
|
Equity shares |
|
|
|
At the beginning of the year |
443.89 |
443.893 |
|
Add: Sub-division of shares |
3995.04 |
- |
|
Add : Issue of bonus shares |
4438.93 |
443.893 |
|
At the end of the year |
8877.86 |
887.786 |
Shareholders holding
more than 5% shares in the Company
|
Name |
2012 |
|
|
|
No. of shares held |
% total holding |
|
Tamilnadu Industrial Development Corporation Limited |
2474.77 |
27.88 |
|
Tata Group |
|
|
|
Tata Sons Limited |
963.45 |
10.85 |
|
Kalimati Investment Company Limited |
775.56 |
8.74 |
|
Tata Investment Corporation Limited |
172.26 |
1.94 |
|
Tata Chemicals Limited |
138.26 |
1.56 |
|
Tata Global Beverages Limited (formerly Tata Tea Limited) |
92.48 |
1.04 |
|
Ewart Investments Limited |
49.64 |
0.56 |
|
Tata International Limited |
25.60 |
0.29 |
|
Piem Hotels Limited |
18.06 |
0.20 |
|
Total - Tata Group |
2235.31 |
25.18 |
|
Jhunjhunwala Rakesh Radheshyam |
666.29 |
7.51 |
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 |
887.786 |
443.893 |
443.893 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
13611.182 |
9809.903 |
6799.940 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
14498.968 |
10253.796 |
7243.833 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
58.889 |
676.993 |
727.904 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
58.889 |
676.993 |
727.904 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
15.182 |
47.549 |
|
|
|
|
|
|
|
|
TOTAL |
14557.857 |
10945.971 |
8019.286 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
3687.251 |
2830.685 |
2626.308 |
|
|
Advances on capital account and Capital work-in-progress, at cost |
248.521 |
193.563 |
122.867 |
|
|
|
|
|
|
|
|
INVESTMENT |
160.490 |
91.276 |
76.289 |
|
|
DEFERREX TAX ASSETS |
37.749 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
28786.690
|
19938.287
|
13403.315
|
|
|
Sundry Debtors |
1631.094
|
1136.789
|
936.076
|
|
|
Cash & Bank Balances |
9605.300
|
10948.878
|
1867.184
|
|
|
Other Current Assets |
326.330
|
0.000
|
0.000
|
|
|
Loans & Advances |
2511.916
|
2200.023
|
1830.554
|
|
Total
Current Assets |
42861.33
|
34223.977
|
18037.129 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
17501.529
|
17461.288
|
7221.721 |
|
|
Other Current Liabilities |
11993.496
|
6731.444
|
4274.176
|
|
|
Provisions |
2942.459
|
2200.798
|
1347.410
|
|
Total
Current Liabilities |
32437.484
|
26393.530
|
12843.307 |
|
|
Net Current Assets |
10423.846
|
7830.447
|
5193.822
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
14557.857 |
10945.971 |
8019.286 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
88383.784 |
65208.951 |
46744.217 |
|
|
|
Other Income |
941.140 |
560.763 |
118.585 |
|
|
|
TOTAL (A) |
89324.924 |
65769.714 |
46862.802 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Operating and Other Expenses |
-- |
59352.783 |
42794.643 |
|
|
|
Cost of materials and components consumed |
61450.816 |
-- |
-- |
|
|
|
Purchase of traded goods |
11508.828 |
-- |
-- |
|
|
|
(Increase)/ decrease in finished goods, work-in-progress and traded goods |
(7518.513) |
-- |
-- |
|
|
|
Employee benefits expense |
3923.434 |
-- |
-- |
|
|
|
Other expenses |
10689.855 |
-- |
-- |
|
|
|
TOTAL (B) |
80054.420 |
59352.783 |
42794.643 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
9270.504 |
6416.931 |
4068.159 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
437.153 |
82.097 |
254.188 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
8833.351 |
6334.834 |
3813.971 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
448.962 |
344.825 |
600.801 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
8384.389 |
5990.009 |
3213.170 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
2382.830 |
1653.633 |
680.769 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
6001.559 |
4336.376 |
2532.401 |
|
|
|
|
|
|
|
|
|
Less |
INCOME TAX OF
EARLIER YEARS |
-- |
32.226 |
29.165 |
|
|
|
|
|
|
|
|
|
|
NET PROFIT |
-- |
4304.150 |
2503.236 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
4326.152 |
2729.161 |
2110.253 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to debenture redemption reserve |
|
52.800 |
52.800 |
|
|
|
Proposed dividend on equity shares |
|
1109.733 |
665.840 |
|
|
|
Tax on dividends |
|
180.026 |
110.588 |
|
|
|
Transfer to general reserve |
NA |
1364.600 |
1055.100 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
4326.152 |
2729.161 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods on FOB basis |
1604.757 |
1268.990 |
1006.130 |
|
|
|
Others |
3.537 |
2.504 |
9.376 |
|
|
TOTAL EARNINGS |
1608.294 |
1271.494 |
1015.506 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
39496.642 |
29258.844 |
19816.351 |
|
|
|
Stores & Spares |
78.156 |
58.171 |
88.794 |
|
|
|
Capital Goods |
226.441 |
41.257 |
115.685 |
|
|
TOTAL IMPORTS |
39801.239 |
29358.272 |
20020.830 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
6.76 |
96.96 |
56.39 |
|
%2031-Aug-2013_files/image005.gif){kind=small}
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
31.03.2013 |
|
|
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
22056.500 |
22759.800 |
30178.000 |
26132.400 |
|
Total Expenditure |
19936.900 |
20265.700 |
27350.500 |
23467.300 |
|
PBIDT (Excl OI) |
2119.600 |
2494.100 |
2827.500 |
2665.100 |
|
Other Income |
251.800 |
238.200 |
220.100 |
295.100 |
|
Operating Profit |
2371.400 |
2732.300 |
3047.600 |
2960.200 |
|
Interest |
126.000 |
121.400 |
116.900 |
142.100 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
2245.400 |
2610.900 |
2930.700 |
2818.100 |
|
Depreciation |
123.200 |
130.300 |
141.900 |
149.500 |
|
Profit Before Tax |
2122.200 |
2480.600 |
2788.800 |
2668.600 |
|
Tax |
561.300 |
679.200 |
751.500 |
818.900 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
1560.900 |
1801.400 |
2037.300 |
1849.700 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
1560.900 |
1801.400 |
2037.300 |
1849.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
6.72
|
6.59
|
5.40
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
9.49
|
9.19
|
6.87
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
18.01
|
16.17
|
15.55
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.58
|
0.58
|
0.44
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total debt/Networth) |
|
0.00
|
0.07
|
0.10
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.32
|
1.30
|
1.40
|
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 |
Yes |
|
31] |
Date of Birth of
Director, if available |
No |
|
32] |
PAN of Director, if
available |
No |
|
33] |
Voter ID No of Director,
if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
Financial Results
Even
as the Indian economy encountered a challenging 2011-12, the Company recorded
its best-ever performance. In 2011-12, the Company’s sales income grew by 36.5% to
Rs. 89708.600
Millions compared with Rs. 65708.600 Millions in the previous year.
Creditably, the percentage growth of their bottom lines was higher: profit before tax grew by 40%
to Rs. 8384.400 Millions, while net profit grew
by 39.4% to Rs. 6001.600 Millions.
Even
though the Indian economy grew slower in 2011-12, Subject reported a stronger growth on
account of a deep understanding of consumer preferences, product
differentiation, new product launches and professional brand management.
Sales
of the Watches Division (net of excise duty) grew by 20.3% to Rs.15297.600 Millions, the business achieving
breakthroughs in a number of new segments –
the sub-Rs 500 economy segment where the Sonata Super-Fibre model reported
handsome off take; the children’s
segment, where Titan Zoop blazed to a sale of half-amillion watches in its very
first year of full operations; the expansion of the exclusive Fastrack store
network reinforced the brand’s
excitement across the preferred youth segment; the successful Fastrack products
extended into accessories (bags, belts, wallets, wrist-bands). Besides, Helios,
the 25-store chain that retails more than 35 international premium and luxury
watch brands in addition to the Company’s
Titan and Xylys brands, performed creditably. The Company’s Jewellery Division sales (net
of excise duty) grew by 39.8% to Rs.70641.600 Millions owing to increased sales of
diamondstudded jewellery and the grammage growth of gold jewellery despite
higher gold prices. The Division launched the Mia and Fq jewellery lines with an
eye on working women and the younger generation respectively.
The
Company’s Eyewear Division, Accessories and Precision Engineering revenues (net
of excise duty) cumulatively strengthened by 34.8% to Rs.3288.100 Millions. The
Company’s Eyewear business capitalized on retail expansion while the Company’s
B2B business of Precision Engineering turned around, the challenging
environment notwithstanding.
This
growth was partly catalyzed by a widening of the retail network through the net
addition of 162 stores (2,26,491 sq.ft.) across the Watches, Jewellery and
Eyewear Business Divisions. The Company controls a network of 827 stores
(including franchisee stores) with over 10,36,000 sq. ft of retail space as on
31st March 2012, which delivered a retail turnover of over Rs. 85000.000 Millions in 2011-12.
Simultaneously,
the Company strengthened its business through fresh investments. It has
invested in the commercial production of an integrated state-of-the-art
Jewellery unit in the excise-free zone of Pantnagar, Uttarakand. The Rs 150.000 Millions unit was commissioned in March
2012 to manufacture studded jewellery, with a peak employment opportunity of
250 and a projected turnover of Rs. 2500.000 Millions
in 2012-13.
International operations
Even
though the Company was largely focused on the Indian market, it continued to
strengthen its international exposure as well. The Company achieved exports of
Rs.1600.000 Millions during the year comprising watches and precision engineered components;
this was a 26.5% improvement over the previous year. The International Watches
division, which moved into Vietnam in 2009 and South Africa in 2010-11,
reported encouraging results in 2011-12.
While
Far East Asian markets continued to do well, some Middle East markets reported
sluggishness. The export of precision engineered components reported an
improvement in 2011-12 due to a high quality standard, which translated into
Precision Engineering Component and Sub-Assemblies (PECSA) orders from the
aerospace, oil and gas and electrical sectors while traction for the Machine
Building and Automation (MBA) business translated into attractive export
orders.
MANAGEMENT DISCUSSION
AND ANALYSIS
THE ECONOMY
The
Indian economy is estimated to have grown 6.5% in 2011-12 as against 8.4% in
2010-11. The lower GDP growth was primarily on account of a combination of
global economic headwinds, a challenged Indian industrial sector, inflation,
periodic interest rate hikes, infrastructural slowdown and a sharp depreciation
of the Indian Rupee against the US Dollar starting from the third quarter of
2011-12.
The
silver lining in India was the performance of the services sector: The segment
grew 9.4% and its share in India’s
GDP climbed from 58% in 2010-11 to 59% in 2011-12. The country’s agriculture and allied
sectors grew 2.5% in 2011-12. National consumption grew 6% and private
consumption grew 6.5% compared with 8.1% in the previous year.
The
slowdown was largely a result of the global economic upheaval following the
Euro-zone turmoil from September 2011, which raised questions about the
economic stability of a number of countries. Consequently, there were sharp
rating downgrades of sovereign debt across a number of advanced countries. This
adverse reality notwithstanding, India retained its position as one of the
world’s fastest
growing economies.
BUSINESS OVERVIEW
Despite
cost-push pressures and rising interest rates that prompted a number of
consumers to postpone their purchases, the Company performed credibly: Income
increased 37% from Rs. 65710.000 Millions in 2010- 11 to Rs. 89710.000 Millions in 2011-12 while profit after
tax strengthened 39% from Rs. 4300.000 Millions
in 2010-11 to Rs. 6000.000
Millions in
2011-12.
WATCHES AND
ACCESSORIES DIVISION
Global Watches Market
In
2011, the global wrist watches market was estimated at around the same level as
in the previous year (1,050 million units). This absence of volume growth was
on account of the economic stress in developed markets like Japan and Europe.
In contrast, Asia reported good double-digit growth and the US indicated
reasonable recovery.
Swiss
watches, which represent the luxury and premium segment, reported handsome
sales growth of 19.2% in 2011. This was driven by a significant 30% increase in
Asian consumption, which absorbed a remarkable 55% of all Swiss watch exports.
The margins of the Swiss industry were however adversely impacted by volatile
exchange rates, including a strong Swiss Franc.
The
Swatch group continued to be the global market leader in watches with total
sales in 2011 exceeding seven billion Swiss Francs. Revenues of this Group grew
21% at constant exchange rates and operating profits grew 12%.
Key
global trends include the rapid growth of mechanical watches, which outstripped
the growth of both quartz analog and quartz digital watches. Despite the global
market being flat over the previous year, mechanical watches grew 9% in volume
terms. This trend appears to be gaining momentum.
Yet
another significant trend is the increasing preference for steel watches,
compared to watches which sport gold or other looks.
Indian watches market
Only
27% of all Indians own a watch. This statistic demonstrates the significant
potential for growth, particularly as Indians become more affluent and
style-conscious.
The
Indian watches market is estimated at around 53 million units in 2011, valued
at approximately Rs. 4,500 cr. The market grew by about 14% in 2011. The
catalysts for category growth includes overall economic progress, expanding
upper-middle class and middle-class population, growth in India’s young earning population,
rising consumerism and the spread of modern retail formats.
A
large proportion of the Indian watches market is occupied by the unorganized
sector, which sells about 30 million watches each year, primarily at the
low-end of the market. These include inexpensive watches assembled legally by
small players but a large part also comprises smuggled watches and fakes. There
is need for concerted and statutory action to curb some of these unscrupulous
practices.
The
organized Indian watches market is dominated by Titan, with a market share
exceeding 65%. Over the past few years, the market has witnessed the entry of
several global players who are investing significantly in their respective
brands. These include Timex, Seiko, Swatch Group, Casio, Citizen, Guess and
Fossil, among others.
Despite
such intense competition, Titan successfully grew sales (including exports) to
15.6 million watches during 2011-12, compared with 13.5 million watches during
the previous year. The Company’s
market share in multi-brand outlets also grew to about 47% during 2011-12, a
handsome gain of 2% over the previous year. The reasons include a strong
portfolio of brands (Titan, Sonata, Fastrack and Xylys), which has grown even
stronger; innovative marketing and advertising efforts; expansion of retail and
sales network and an innovative series of new watch designs which have
captivated consumers.
JEWELLERY DIVISION
During
2011-12, the Indian jewellery industry was affected by the following realities:
·
The
price of gold rose 35% through the year
·
Gold
fluctuated by a wide margin during the year, leading to uncertainty in outlook
and consumer response
·
The
piece of polished diamonds increased more than 100%
·
The
government introduced the need to show a PAN card for all transactions in
excess of Rs 5 lakhs in an effort to curb the use of black money
These
realities dampened industry growth and gold imports by India’s jewellery industry declined
from 1,030 tonnes in FY11 to an estimated 830 tonnes in FY12, a drop of 20%.
It is
in this context that the Company’s
sales of 19.3 tonnes in FY12 against 18.3 tonnes in FY11, an increase of 6%,
needs to be appraised.
Their
Company’s brands
continued to attract an increasing number of middle/upper-middle-class quality
conscious customers through a variety of initiatives:
·
Large
format Tanishq stores of 10,000 sq. ft each in Kolkata and Pune and 20,000 sq.
ft in Mumbai performed exceedingly well, providing the impetus to establish
more such stores; the overall network area grew by more than 100,000 sq. ft,
the highest ever in any one year
·
Launched
the Mia (jewellery for working women), Taj (inspired by the Taj Mahal), fq
(jewellery for teenagers) and Glam Gold (fashionable traditional jewellery)
collections, which were well received
·
Launched
the Amitabh-Jaya Bachchan advertising campaign for diamond jewellery, which
strengthened the brand recall around trust and purity
·
Marketed
the Golden Harvest Jewellery Purchase Scheme through TV
·
Consolidated
the Gold Plus brand in Andhra Pradesh through new stores and improvements in
merchandise and marketing
·
Commissioned
a new assembly unit in Pant Nagar (Uttarakhand) for diamond jewellery
As a result,
the Division reported good growth in sales, EBIT margin and cash flow. It also
won a number of awards in terms of store launches, marketing campaigns and
supply chain innovation.
Meanwhile,
the competitive landscape became increasingly challenging, marked by regional
jewellers expanding their geographic presence, commissioning larger stores,
professionalizing their services and considering prospective IPOs. This reality
will widen the market, educate consumers, enhance an appreciation of brand differentiation
and strengthen their
respect.
The
first six months of CY12 were marked by the following events of significance:
·
Increase
in the customs duty on gold from 1% to 2% to 4%, which according to industry
observers is encouraging smuggling
·
Introduction
of excise duty and subsequent withdrawal created a level-playing field for the
organized sector
·
Introduction
of tax collection at source for all cash transactions exceeding Rs 5 lakh. This
is likely to have a small impact on the Company’s prospects, since it is already facing the effects of the PAN
card in this value category since July 2011
·
Cabinet
ratification of compulsory hallmarking. Even as its implementation is hazy,
this will prove advantageous in the long-term through a narrow pricing differential
between the Company and its peers
Even
as a hesitant consumer mood, regulatory constraints and increasing competition
represent business challenges, their low share of the overall market and increasing branding
provide attractive headroom. The Company will respond to this growing
opportunity by focusing on the following areas in the next two years:
·
Network expansion: The Division is targeting an addition of 200,000-250,000 sq.
ft of retail space in 2012-13, double of 2011- 12 comprising a growing number
of large stores
·
Value: Leveraging increasing affordability of diamonds
·
Design/ Collections: Four prominent launches and targeting diverse customer
segments
·
Middle India: Development of markets in small towns
·
New segments: Investments in the Working Women and Solitaire categories
Through
these initiatives, the Company expects to continue to lead the industry and
report superior numbers in 2012-13 as well
EYEWEAR
Global eyewear market
Over the
years, eyeglasses have shed their utilitarian image of being just a vision
correction contraption to becoming a key fashion accessory. Innovative
materials for lenses and frames and other technological advances have resulted
in several new designs with superior aesthetic appeal, style and quality.
Eyeglasses are increasingly used as a facial accessory matching apparel and for
highlighting the user’s
personality. The global eyewear market primarily comprises sales of
prescription frames and sunglasses and can be divided in different segments and
average retail prices
Global eyewear
outlook
The
future of the global eyeglasses market remains upbeat on account of emerging
demographic trends. While the sheer increase in the world population opens up
several possibilities and opportunities for eyeglass manufacturers and
retailers, the already aging population in excess of 45 years with poor eye
vision and symptoms of presbyopia, is expected to drive demand. The rise of the
Internet as a potent vehicle for selling eyeglasses is additionally expected to
expand the retailing reach of eyeglasses. The growing demand of popular-priced
sunglasses and robust growth outlook for plastic frames and lenses are expected
to catalyse growth of the total eyeglasses market.
Although
developed markets such as the US and Europe have been the traditionally large
revenue contributors to the global eyeglasses market, growth in the short to
medium term period is expected from the emerging markets of Asia-Pacific and
Latin America, the former being the fastest growing.
A
Global Industry Analysts, Inc. report indicates that the lenses market remains
the largest product group in the total eyeglasses market in terms of dollar
sales, while the frames market is expected to be the fastest growing in
2007-2015.
Indian eyewear market
The
eyewear market is estimated at 25-35 million units per annum. Changing
lifestyles will continue to increase the number of people needing vision
correction. The industry is largely unorganized and therefore presents a large
growth opportunity when consumer preferences move to the organized.
During
the last 3 years, this industry has seen considerable activity in the form of
network expansion, new product offerings as well as emergence of new players -
a clear indication of the potential in the country.
Titan’s offerings at Titan Eye+
comprise frames, lenses, sunglasses, contact lenses and accessories. The
Company launched several collections of frames and lenses (like hydrophobic
lenses that repel water) across its 205 multi-brand retail outlets. The
centralised and state-of-the-art lens manufacturing and distribution facility
at Chikkaballapur, near Bangalore enabled the division to swiftly cater to the
needs of over 75 towns, catering to specific requirements of consumers.
The
Company continued its tie-up with Sankara Nethralaya to offer mandated training
for all its store staff and qualified Optometrists. This helps educate
customers on the need for proper eyewear, aiding informed purchase.
As per
consumer feedback, Titan Eye+ gained a reputation in providing quality eye
testing through highly trained professional staff. The Company’s retail outlets are seen as
destination stores for stylish and contemporary products.
The
Company’s endeavor
to introduce innovative and stylish products was reinforced through the launch
of three new collections (Rio, Neo and Menz), which accounted for 19% of
revenues from frames. A new brand of Sunglasses ‘Cabana’
targeted at the fashion conscious customer was launched nationally during the
third quarter of 2011-12.
The
Company continued to focus on a superior consumer experience, which reinforced
through the Vista loyalty program that was launched nationally.
Going
ahead, the Division will focus on talent development and retention in view of
declining availability of quality optometrists. It expects to standardize
consumer experience across its pan-India outlets and educate users on the need
for proper eyewear.
It is
the Division’s desire
not only to be largest player in India but more importantly, the most desirable
eyewear solutions provider of the country.
PRECISION ENGINEERING
DIVISION
The
year 2011-12 was a landmark for the precision engineering division. The
business became profitable for the first time, riding record revenues. The
business positioned itself as a dependable partner, providing customers with
quality products while saving costs.
The
precision engineering business comprised the following sub-divisions:
Precision
engineering component and sub-assemblies (PECSA):
PECSA
caters to the specialised requirements of the aerospace, oil and gas and
electrical sectors. It supplies parts to leading Tier One aerospace companies
through long-term contracts. PECSA received awards from SCIATI and HAL, among
others. Today, most of the near- 1000 parts manufactured by the division enjoy
customer prequalification, strengthening prospects.
Machine
building and automation (MBA): MBA caters to the assembly line automation needs
of automotive and electrical industries. Around 20 customers were acquired
during the year under report (total 60) and several export orders were
completed. The division entered the manufacture of assembly lines for medical
devices with a potential for repeat orders. A rising demand for automation will
strengthen revenues.
Outlook for 2012-13
The
robustness of the Indian economy is reflected in the fact that despite
challenging headwinds, the Euro-zone crisis and a substantially weaker Rupee,
India’s GDP is
expected to grow by about 6.5% in 2012-13.
The
Company’s Watches
Division is optimistic of growth through continued network expansion in India,
sustained investment in brands, introduction of new product collections and
deeper inroads into Vietnam, Singapore, Malaysia, South Africa and Saudi
Arabia. The Company expects to increase market share for Fastrack and Titan
accessories.
The
Company’s
Jewellery Division expects to introduce innovative collections and widen its
network.
The
Company’s Eyewear
Division will launch new models, progressively manufactured within to reduce
costs, enhance quality, strengthen the supply chain and respond to customer
needs faster. It will also focus on standardizing customer experience across
stores.
With a
view to integrate operations and leverage opportunities, the Company appointed
regional business heads effective 1st April 2012 to catalyse the growth of
various divisions.
The
new introduction of the Unified Loyalty Programme and the Ecommerce for internet
sales will be launched in 2012-13 promising much greater satisfaction and
convenience to customers.
CONTINGENT LIABILITY NOT
PROVIDED FOR:
(Rs. In Millions)
|
Particulars |
31.03.2012 |
31.03.2011 |
|
|
|
|
|
Sales
Tax – (relating
to the applicability of rate of tax, computation of tax liability, submission
of certain statutory forms) |
54.325 |
41.272 |
|
Customs
Duty – (relating
to compliance with the terms of notification, export obligations) |
31.694 |
31.694 |
|
Excise
Duty – (relating
to denial of exemption by amending the earlier notification, computation of
the assessable value, denial of input credit on service tax
and excise duty on jewellery) |
1048.286 |
31.694 |
|
Income
Tax (relating
to disallowance of deductions claimed) |
402.721 |
128.978 |
|
Others (relating
to miscellaneous claims) |
47.490 |
45.449 |
FIXED ASSETS:
- Land –
Freehold
- Land –
Leasehold
- Plant,
Machinery and Equipment
- Furniture,
Fixtures and Equipment
- Vehicles
- Intangible
Assets – Trade Marks
AUDITED FINANCIAL RESULTS FOR THE PERIOD ENDED 31
MARCH 2013
(Rs. In Millions)
|
|
|
Quarter Ended |
Year
Ended |
|
|
Sr. No. |
Particular |
31.03.2013 (Audited) |
31.12.2012 (Unaudited) |
31.03.2013 (Audited) |
|
|
|
|
|
|
|
1. |
Income from
Operation |
|
|
|
|
|
Net Sales/Income from Operations |
25931.300 |
29828.900 |
100090.500 |
|
|
Other
operating income |
201.100 |
349.100 |
1036.200 |
|
|
Total Income from Operation |
26132.400 |
30178.000 |
101126.700 |
|
2. |
Expenditure |
|
|
|
|
|
Consumption
of raw materials |
16894.700 |
18760.00 |
67729.200 |
|
|
Purchase
of traded goods |
3838.700 |
3861.000 |
15550.900 |
|
|
Changes
in inventories of finished goods, work in progress and stock-in-trade |
(1382.100) |
586.300 |
(8128.800) |
|
|
Employee
benefit expenses |
1476.400 |
1169.100 |
4845.200 |
|
|
Advertising
|
666.300 |
1087.600 |
3770.900 |
|
|
Depreciation
/ Amortisation |
149.500 |
141.900 |
544.900 |
|
|
Other
expenditure |
1973.300 |
1886.500 |
7253.000 |
|
|
Total expenditure |
23616.800 |
27492.400 |
91565.300 |
|
3. |
Profit From Operations before Other Income and finance
cost |
2515.600 |
2685.600 |
9561.400 |
|
4. |
Other Income |
295.100 |
222.000 |
1007.700 |
|
5. |
Profit Before finance cost |
2810.700 |
2907.600 |
10569.100 |
|
6. |
Finance cost |
142.100 |
116.900 |
506.400 |
|
7. |
Profit before taxes |
2668.600 |
2790.700 |
10062.700 |
|
8. |
Tax
Expense |
|
|
|
|
|
a) Current tax |
820.800 |
766.900 |
2853.500 |
|
|
b) Deferred tax |
(1.900) |
(15.400) |
(42.600) |
|
9. |
Profit after Taxes |
1849.700 |
2039.200 |
7251.800 |
|
10. |
Add share of profit /(losses) of associates |
- |
- |
- |
|
11. |
Net Profit |
1849.700 |
2039.200 |
7251.800 |
|
12. |
Paid-up Equity Share Capital (Face Value of Rs.10/- Each) |
887.800 |
887.800 |
887.800 |
|
13. |
Reserves Excluding Revaluation Reserve |
- |
- |
18760.900 |
|
14. |
Basic and Diluted Earning Per Share (EPS) (Rs.)-Not
Annualised |
2.08 |
2.30 |
8.17 |
|
A |
PARTICULAR
OF SHAREHOLDING |
|
|
|
|
1 |
Public
Shareholding |
|
|
|
|
|
-Number of Shares |
416778240 |
416778240 |
416778240 |
|
|
- Percentage of Shareholding |
46.9% |
46.9% |
46.9% |
|
2 |
Promoters
and Promoter Group Shareholding |
|
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
|
- Number of Shares |
2559589 |
- |
2559589 |
|
|
- Percentage of Shares (as a % of the Total Shareholding of
promoter and promoter group) |
0.5% |
- |
0.5% |
|
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
0.3% |
- |
0.3% |
|
|
b)
Non Encumbered |
|
|
|
|
|
- Number of Shares |
468448331 |
471,007,920 |
468448331 |
|
|
- Percentage of Shares (as a % of the Total Shareholding
of Promoter and Promoter Group) |
99.5% |
100.0% |
99.5% |
|
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
52.8% |
53.1% |
52.8% |
|
Particulars |
Quarter Ended |
|
INVESTOR COMPLAINTS |
31.03.2013 |
|
Pending at the beginning of the quarter |
- |
|
Received during the quarter |
8 |
|
Disposed of during the quarter |
7 |
|
Remaining unresolved at the end of the quarter |
1 |
SEGMENT
RESULTS
(Rs. In Millions)
|
Particular |
Quarter Ended |
Year
Ended |
|
|
|
31.03.2013 (Audited) |
31.12.2012 (Unaudited) |
31.03.2013 (Audited) |
|
|
|
|
|
|
Net sales / Income from segments |
|
|
|
|
Watches |
4198.700 |
4235.300 |
16758.700 |
|
Jewellery |
20932.800 |
25152.400 |
81079.900 |
|
Others |
1287.800 |
982.600 |
4140.300 |
|
Corporate(Unallocated) |
8.200 |
29.700 |
155.500 |
|
Total |
26427.500 |
30400.000 |
102134.400 |
|
Profit / (Loss) from segments before interest and taxes and after share of profit/ (losses) of associate |
|
|
|
|
Watches |
456.200 |
511.500 |
2018.500 |
|
Jewellery |
2487.300 |
2465.700 |
8908.500 |
|
Others |
11.400 |
17.000 |
(31.300) |
|
Total |
2954.900 |
2994.200 |
10895.700 |
|
Less
:Finance Cost |
142.100 |
116.900 |
506.400 |
|
Unallocable
expenditure net of unallocable income |
144.200 |
86.600 |
326.600 |
|
Profit before taxes |
2668.600 |
2790.700 |
10062.700 |
|
Capital Employed |
|
|
|
|
Watches |
6705.600 |
6358.600 |
6705.600 |
|
Jewellery |
9675.000 |
9177.000 |
9675.000 |
|
Others |
1690.300 |
1731.400 |
1690.300 |
|
Corporate(Unallocated) |
1557.800 |
2734.200 |
1557.800 |
|
Total |
19628.700 |
20001.200 |
19628.700 |
STATEMENT OF ASSETS AND LIABILITIES
(Rs. In Millions)
|
Particulars |
As on 31.03.2013 |
|
SHAREHOLDERS
FUNDS |
|
|
1] Share Capital |
887.800 |
|
2] Reserves & Surplus |
18760.900 |
|
Sub-total - Shareholders' funds |
19648.700 |
|
Non-current
liabilities |
|
|
(a) Long-term borrowings |
- |
|
(b) Long-term provisions |
629.000 |
|
Sub-total - Non-current liabilities |
629.000 |
|
Current liabilities |
|
|
(a) Trade payables |
20972.600 |
|
(b) Other current liabilities |
14565.800 |
|
(c) Short-term provisions |
2931.800 |
|
Sub-total - Current liabilities |
38470.200 |
|
TOTAL - EQUITY AND LIABILITIES |
58747.900 |
|
ASSETS |
|
|
Non-current assets |
|
|
(a) Fixed assets |
4903.000 |
|
(b) Non-current investments |
185.100 |
|
(c) Deferred tax asset ( net) |
80.400 |
|
(d) Long-term loans and advances |
1844.100 |
|
Sub-total - Non-current assets |
7012.600 |
|
Current assets |
|
|
(a) Inventories |
36779.400 |
|
(b) Trade receivables |
1637.900 |
|
(c) Cash and cash equivalents |
11365.500 |
|
(d) Short-term loans and advances |
1857.300 |
|
(e) Other current assets |
95.200 |
|
Sub-total - Current assets |
51735.300 |
|
TOTAL - ASSET |
58747.900 |
Notes:
1 The Company's primary segments consist of
Watches, Jewellery and Others, where the 'Others' include Eye wear, Precision Engineering,
Machine Building, Clocks and Accessories. Capital employed in segments include
all operating assets and liabilities. Segment results include all related
income and expenditure.
2 The figures of the previous period have been
regrouped/recast, where necessary.
3 Pursuant to the Scheme of Amalgamation of
Tanishq (India) Limited (wholly owned subsidiary of the Company) with the
Company as sanctioned by the High Court of Karnataka, and which came into
effect on 26 February 2013, all assets and liabilities have been transferred to
and vested in the Company from the appointed date 1 April 2011. Accordingly,
the figures reported for quarter ended 31 March 2013 Accordingly, the figures
reported for quarter ended 31 March 2013, 31 December 2012 and year ended ended
31 March 2013 are after considering the amalgamation and the figures reported
for the quarter and year ended 31 March 2012 do not include the effect of
amalgamation.
4 The figures for the quarters ended 31 March 2013 and 31 March 2012 are the balancing figures between the audited figures in respect See accompanying note to the financial results of the full financial year and the year to date figures upto the third quarter
5 The Directors have recommended a dividend of 210%, viz. Rs.2.10 per share (previous year : 175%).
6 The above statement of Financial results for the year ended 31 March 2013 of the Company, and the Consolidated Financial results of the Company with its subsidiaries and associate, prepared as per the Accounting Standards AS-21 and AS-23 were approved by the Board of Directors at their meeting held on 3 May 2013.
AS PER WEBSITE DETAILS
COMPANY PROFILE
Subject is the organization that brought about a paradigm shift in the
Indian watch market when it introduced its futuristic quartz technology,
complemented by international styling. With
The success story began in 1984 with a joint venture between the Tata
Group and the Tamil Nadu Industrial Development Corporation. Presenting Titan
quartz watches that sported an international look, Titan Industries transformed
the Indian watch market. After Sonata, a value brand of functionally styled
watches at affordable prices, Titan Industries reached out to the youth segment
with Fastrack, its third brand, trendy and chic. The company has sold
135million watches world over and manufactures 13 million watches every year.
With a license for premium fashion watches of global brands, Subject
repeated its pioneering act and brought international brands into Indian
market. Tommy Hilfiger and FCUK as well as the Swiss made watch – Xylys owe
their presence in Indian market to Titan Industries.
Entering the largely fragmented Indian jewellery market with no known
brands in 1995, Titan Industries launched
Subject has also made its foray into eyewear, launching Fastrack eyewear
and sunglasses, as well as prescription eyewear. The organization has leveraged
its manufacturing competencies and branched into precision engineering products
and machine building.
With over 826 retail stores across a carpet area of over 10,08,083 sq.
Backed by over 6,000 employees, two exclusive design studios for watches
and jewellery, 9 manufacturing units, and innumerable admirers world over,
Titan Industries continues to grow and sets new standards for innovation and
quality. The organization is all geared to repeat the Titan and Tanishq success
story with each new offering.
PRESS REALEASE
TITAN INDUSTRIES
PROFITS GROW BY 20% FOR THE YEAR ENDED MARCH 2013
Titan Industries profits grow by 20% for the year ended March 2013 Income crosses Rs.100000.000 Millions and Profit before tax goes past Rs.10000.000 Millions
The silver jubilee year of Titan Industries Limited, was a milestone year. The total income for the year crossed Rs.100000.000 Millions and profit before tax crossed the Rs.10000.000 Millions mark. This performance came in the backdrop of a challenging economic environment. Sales income for the year 2012-13 was Rs.100090.500 Millions registering a growth of 14.5% over last year. Titan Industries pursued growth during 2012-13 in all its business. The Company invested in many strategic initiatives taking into account long term and sustainable growth. All these backed by the talent and commitment of employees and business associates have helped Titan Industries register this encouraging growth in a difficult year.
Profit before tax for the Company grew by 20% to Rs. 10062.700 Millions and net profit too grew by 20.8% over last year to Rs.7251.800 Millions.
The strength of Company’s brands contributed to sales growth across all retail formats of watches, jewellery and eyewear.
The Watches business of the Company recorded an income of Rs.16758.700 Millions, a growth of 9.6%. This was achieved through excellent planning and execution of key initiatives. The income from Jewellery segment grew by 14.8%, crossing the Rs.80000.000 Millions mark to Rs.81079.900 Millions. The income from other segments comprising of Precision Engineering, a B2B Business, the Eyewear business and accessories grew by 25.9% to Rs.4140.300 Millions.
The year witnessed aggressive expansion of its retail network with a net addition of 126 stores by Watches, Jewellery and Eyewear businesses. As on 31st March 2013, the Company had 953 stores, with over 1.27 million sq.ft of retail space delivering a retail turnover in excess of Rs.99800.000 Millions.
Mr. Bhaskar Bhat, Managing Director of the Company stated that “The year 2012-13 was a challenging year given the economic environment that was subdued and other adverse factors like the high price of gold that impacted our jewellery business. It has however been a fruitful year for Titan Industries with healthy growth and the fourth quarter in particular, was very encouraging with 28% growth in profit. Given the high expectations of all our stakeholders and aspirations of our employees, we move confidently into the new financial year with aggressive plans.”
After considering the excellent performance of the Company, the directors have recommended a dividend of 210%.
Titan Industries
announces outstanding results for the year ended March 2012
Subject
had an extremely good 2011-12 and came up with an outstanding performance in a
challenging economic environment. Sales income for the year 2011-12 was
Rs. 88383.800 Millions registering a growth of 35.5% over last year.
Titan Industries pursued aggressive growth during 2011-12 in all its
business. The Company invested in many strategic initiatives taking into
account long term and sustainable growth. All these backed by the talent
and commitment of employees and business associates have helped Titan
Industries register this encouraging growth.
Profit
before tax for the Company grew by 40% to Rs. 8384.400 Millions and net profit
too grew by 39.4% over last year to Rs. 6001.500 Millions
The
strength of its brands and consumer sentiment reflected in consistent sales
growth across all retail formats of watches, jewellery and eyewear.
The
Watches business of the Company recorded an income of Rs.15297.600 Millions, a
healthy growth of 20.3%. This was achieved through excellent planning and
execution of key initiatives. The income from Jewellery segment grew by
39.8%, crossing the Rs.70000.000 Millions mark to Rs.70641.600 Millions.
The profit, before interest and taxes, from the jewellery segment was
Rs.6975.500 Millions for the year. The income from other segments comprising of
Precision Engineering, a B2B Business, the Eyewear business and accessories
grew by 34.8% from Rs.2438.100 Millions to Rs.3288.100 Millions. The Eyewear
business expanded rapidly during the year and touched the mark of 200 stores,
of Titan Eye Plus, across 70 towns. The Precision Engineering also
performed very well as the Aerospace and Automotive industries showed signs of
recovery from the impact of global economic crisis.
The year
witnessed aggressive expansion of its retail network with an addition of over
200 stores by Watches, Jewellery and Eyewear businesses. As on 31st March
2012, the Company had 827 stores, with over 1 million sq.ft of retail space
delivering a retail turnover in excess of Rs.8500 Millions.
Mr.
Bhaskar Bhat, Managing Director of the Company stated that “It has been a
challenging yet fruitful year for Titan Industries Limited. In fact, the
Company has moved on to a new platform of performance as well as future
expectations. Given the high expectations of all our stakeholders and
aspirations of our employees, we move confidently into the new financial year.”
After
considering the excellent performance of the Company, the directors have
recommended a dividend of 175%.
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.66.57 |
|
|
1 |
Rs.103.34 |
|
Euro |
1 |
Rs.88.16 |
INFORMATION DETAILS
|
Report Prepared
by : |
VRN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
Defaulter |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
70 |
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.