MIRA
INFORM REPORT
|
Report Date : |
16.12.2013 |
IDENTIFICATION DETAILS
|
Name : |
KIRLOSKAR INDUSTRIES LIMITED |
|
|
|
|
Registered
Office : |
13/A, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of Incorporation
: |
13.06.1978 |
|
|
|
|
Com. Reg. No.: |
11-088972 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.97.087
millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29112PN1978PLC088972 |
|
|
|
|
TAN No.: [Tax Deduction & Collection
Account No.] |
PNEK09451B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACP3590P |
|
|
|
|
Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in wind-power generation. |
|
|
|
|
No. of Employees
: |
Approximately 9 (In Office) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (52) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 25028000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established and reputed company having fine track
record. The company has seen a drastic dip in its sales volume as well as net
profitability during 2013. However, the financial as well as liquidity position appears to be sound
and healthy. Directors are reported to be honest and resourceful businessmen.
Trade relations are fair. Business is active. Payment terms are
reported as regular. The company can be considered good for business dealings at usual
trade terms and conditions. Note: Line of business of the company was manufacturer of disel engines but
after demerger from Kirloskar Oil Engines Limited the line of business of the
company is now wind-power generation as claimed by Ms. Rita From Finance
Department. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
The current downturn
provides an opportunity to push ahead with reforms to accelerate growth, says
the latest India Development Update report released by the World Bank. The
report says that the adverse effects of rupee depreciation are likely to be
offset by the gains in the exports performance due to improved external
competitiveness. Since May this year, the local currency has depreciated
substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.
A stagflation like
situation appears to have arisen as inflation jumped to an eight month high of
6.46 % for the month of September. It is up from 6.10 % in August. Growth
continues to be muted with factory output plunging to 0.6 % in August.
Onion prices have risen nearly 300 % from last September. Vegetables cost
nearly 90 % more than they did last year. Wake up to the economic contribution
of slum dwellers. They contribute more than 7.5 % to the country’s gross
domestic product, according to a recent study conducted in 50 top cities.
136000 estimated
number of jobs created during the second quarter of the current financial year.
50000 estimated number of additional jobs in the field of corporate social
responsibility in the coming years.
The International
Finance Corporation expects to come out with its rupee linked bonds issue
before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple
iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has
been launched in India from 1st November.
The Land Acquisition
Act to provide just and fair compensation to farmers will come into force from
January 1 next year, said Rural Development Minister Jairam Ramesh. The Act
replaces a 119 year old registration. The Securities and Exchange Board of
India has approved the trading of currency futures on the Bombay Stock
Exchange. The exchange plans to launch the currency futures platform with
advanced trading technology by the end of November.
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.
INFORMATION PARTED BY
|
Name : |
Ms. Rita |
|
Designation : |
Finance Department |
|
Contact No.: |
91-20-26161629 |
|
Date : |
13.12.2013 |
LOCATIONS
|
Registered Office : |
13/A, Karve Road, Kothrud, Pune – 411 038, Maharashtra, India |
|
Tel. No.: |
91-20-25452721 |
|
Fax No.: |
91-20-25454723 |
|
E-Mail : |
|
|
Website : |
|
|
Location : |
Owned |
|
|
|
|
Windmills : |
Tirade Village, Taluka Akole, District Ahmednagar, Maharashtra, India |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Atul C. Kirloskar |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Ms. Aditi V. Chirmule |
|
Designation : |
Executive Director and Company Secretary |
|
|
|
|
Name : |
Mr. Anil N. Alawani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Nihal G. Kulkarni |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Gauri A. Kirloskar |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Shrikrishna N. Inamdar |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Anant R. Sathe |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vijay K. Bajhal |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vikram S. Kirloskar |
|
Designation : |
Director (resigned as Director of the Company with effect from 18 May
2012) |
KEY EXECUTIVES
|
Name : |
Mrs. Ashwini V. Mali |
|
Designation : |
Assistant Company Secretary |
|
|
|
|
Name : |
Ms. Rita |
|
Designation : |
Finance Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2013
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
6502693 |
66.98 |
|
|
500 |
0.01 |
|
|
6503193 |
66.98 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
6503193 |
66.98 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2949 |
0.03 |
|
|
347569 |
3.58 |
|
|
118176 |
1.22 |
|
|
1460903 |
15.05 |
|
|
1929597 |
19.88 |
|
|
|
|
|
|
69046 |
0.71 |
|
|
|
|
|
|
1024871 |
10.56 |
|
|
161521 |
1.66 |
|
|
20391 |
0.21 |
|
|
7365 |
0.08 |
|
|
13026 |
0.13 |
|
|
1275829 |
13.14 |
|
Total Public shareholding (B) |
3205426 |
33.02 |
|
Total (A)+(B) |
9708619 |
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) |
9708619 |
0.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal share
capital up to Rs.0.100 million Shareholding of securities (including shares, warrants, convertible securities)
of persons belonging to the category Promoter and Promoter Group
|
Sl. No. |
Name of the
Shareholder |
No.
of Shares held |
As
a % of grand total |
Total shares (including underlying shares assuming
full conversion of warrants and convertible securities) as a % of diluted
share capital |
|
1 |
Atul Chandrakant Kirloskar |
1452138 |
14.96 |
14.96 |
|
2 |
Rahul Chandrakant Kirloskar |
1438578 |
14.82 |
14.82 |
|
3 |
Sanjay Chandrakant Kirloskar |
2626 |
0.03 |
0.03 |
|
4 |
Kirloskar Vikram Shreekant |
4632 |
0.05 |
0.05 |
|
5 |
Gautam Achyut Kulkarni |
1447789 |
14.91 |
14.91 |
|
6 |
Kirloskar Brothers Investments Limited |
200 |
0.00 |
0.00 |
|
7 |
Mrinalini Shreekant Kirloskar |
5856 |
0.06 |
0.06 |
|
8 |
Suman Chandrakant Kirloskar |
3558 |
0.04 |
0.04 |
|
9 |
Roopa Jayant Gupta |
1392 |
0.01 |
0.01 |
|
10 |
Geetanjali Vikram Kirloskar |
2 |
0.00 |
0.00 |
|
11 |
Neeta Achyut Kulkarni |
28 |
0.00 |
0.00 |
|
12 |
Jyostna Gautam Kulkarni |
726798 |
7.49 |
7.49 |
|
13 |
Arti A Kirloskar |
709648 |
7.31 |
7.31 |
|
14 |
Alpana R Kirloskar |
709648 |
7.31 |
7.31 |
|
15 |
Navsai Investment Private Limited |
100 |
0.00 |
0.00 |
|
16 |
Alpak Investment Private Limited |
100 |
0.00 |
0.00 |
|
17 |
Achut and Neeta Holdings and Finance Private Limited |
100 |
0.00 |
0.00 |
|
|
Total |
6503193 |
66.98 |
66.98 |
Shareholding of securities (including shares, warrants, convertible securities)
of persons belonging to the category Public and holding more than 1% of the
total number of shares
|
Sl. No. |
Name of the Shareholder |
No. of Shares held |
Shares as % of Total No. of Shares |
Total shares (including underlying shares assuming
full conversion of warrants and convertible securities) as a % of diluted
share capital |
|
|
1 |
India Capital Fund |
943439 |
9.72 |
9.72 |
|
|
2 |
India Capital Opportunities 1 Limited |
512223 |
5.28 |
5.28 |
|
|
3 |
Oriental Insurance Company Limited |
150477 |
1.55 |
1.55 |
|
|
4 |
New India Assurance Company Limited |
133813 |
1.38 |
1.38 |
|
|
5 |
General Insurance Corporation of India |
118176 |
1.22 |
1.22 |
|
|
|
Total |
1858128 |
19.14 |
19.14 |
Shareholding of securities (including shares, warrants, convertible
securities) of persons (together with PAC) belonging to the category “Public”
and holding more than 5% of the total number of shares of the company
|
Sl. No. |
Name(s) of the shareholder(s) and the Persons
Acting in Concert (PAC) with them |
No. of Shares |
Shares as % of Total No. of Shares |
Total shares (including underlying shares
assuming full conversion of warrants and convertible securities) as a % of
diluted share capital |
|
|
1 |
India Capital Fund |
943439 |
9.72 |
9.72 |
|
|
2 |
India Capital Opportunities 1 Limited |
512223 |
5.28 |
5.28 |
|
|
|
Total |
1455662 |
14.99 |
14.99 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in wind-power generation. |
|
|
|
|
Terms : |
|
|
Selling : |
L/C and Credit |
|
|
|
|
Purchasing : |
L/C and Credit |
PRODUCTION STATUS (AS ON 31.03.2013):
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity ## |
Production meant for sale |
|
Wind- power units |
Kilowatt hours
KwH (in Lakhs) |
N.A. |
112.00 |
96.08 |
## Capacity is based on plant load factor, as advised by the Company's
technical consultant.
GENERAL INFORMATION
|
Customers : |
End Users |
|
|
|
|
No. of Employees : |
Approximately 9 (In Office) |
|
|
|
|
Bankers : |
HDFC Bank Limited, Khadki Branch, Pune, Maharashtra, India |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
G.D. Apte and Company Chartered Accountants |
|
Address : |
Pune, Maharashtra, India |
|
|
|
|
Associate Companies : |
·
Kothrud Power Equipments Limited ·
Kirloskar Ferrous Industries Limited |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
50000000 |
Equity Shares |
Rs.10/- each |
Rs.500.000 millions |
|
|
|
|
|
Issued and Subscribed Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
9708650 |
Equity Shares |
Rs.10/- each
|
Rs.97.087
millions |
|
|
|
|
|
Called-up & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
9708619 |
Equity Shares |
Rs.10/- each
|
Rs.97.087
millions |
|
|
Share Capital
Suspense Account* |
|
|
|
31 |
Equity Shares |
Rs.10/- each
|
-- |
|
|
Total |
|
Rs.97.087 millions |
* 31 Equity Shares
of Rs.10/- each aggregating to Rs.310/- to be issued to shareholders of
erstwhile Shivaji Works Limited on amalgamation as per Scheme sanctioned by Board
for Industrial and Financial Reconstruction, are kept in abeyance on the
directions of Special Court.
Reconciliation of number of Equity Shares Outstanding at the beginning
and at the end of the year:
|
Particulars
|
As at 31st March, 2013 |
|
|
No. of Shares |
Amount (Rs. in
millions) |
|
|
Shares outstanding at the beginning of the year |
9708650 |
97.087 |
|
Add: Shares Issued during the year |
-- |
-- |
|
Less: Shares bought back during the year |
-- |
-- |
|
Shares outstanding at the end of the year |
9708650 |
97.087 |
Equity shares in the Company held by each shareholder holding more than
5% shares:
|
Name of Shareholder |
As at 31st March, 2013 |
|
|
No. of Shares held |
% of Holding |
|
|
India Capital Fund Limited |
943439 |
9.72% |
|
The India Capital Opportunities 1 Limited |
512223 |
5.28% |
|
Atul Chandrakant Kirloskar # |
1394753 |
14.37% |
|
Rahul Chandrakant Kirloskar # # |
1380725 |
14.22% |
|
Gautam Achyut Kulkarni # # # |
1390478 |
14.32% |
|
Arti Atul Kirloskar |
709648 |
7.31% |
|
Jyostna Gautam Kulkarni |
726798 |
7.49% |
|
Alpana Rahul Kirloskar |
709648 |
7.31% |
# Out of these,
1394728 equity shares are held in the individual capacity and 25 equity shares are
held as a Trustee of C. S. Kirloskar Testamentary Trust.
# # Out of these,
1380496 equity shares are held in the individual capacity and 229 equity shares
are held as a Trustee of C. S. Kirloskar Testamentary Trust.
# # # 310 equity
shares have been acquired on 28 March 2013. However, the said shares are not
reflected in the holding mentioned above since the actual credit of shares has
taken place after 31 March 2013.
Each holder of
equity share is entitled to one vote per share and to receive interim / final
dividend as and when declared by the Board of Directors / at the Annual General
Meeting. In the event of liquidation of the Company, the holder of equity
shares will be entitled to receive any of the remaining assets of the Company,
after distribution of all preferential amounts. The distribution will be in
proportion to the number of equity shares held by the shareholders.
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 |
97.087 |
97.087 |
97.087 |
|
(b) Reserves & Surplus |
6159.917 |
5843.962 |
5214.537 |
|
(c) Money received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
6257.004 |
5941.049 |
5311.624 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
56.360 |
|
(c) Other long
term liabilities |
113.619 |
91.423 |
90.318 |
|
(d) Long-term
provisions |
4.758 |
4.565 |
3.404 |
|
Total Non-current
Liabilities (3) |
118.377 |
95.988 |
150.082 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b)
Trade payables |
0.407 |
0.102 |
0.250 |
|
(c)
Other current liabilities |
16.693 |
26.304 |
28.920 |
|
(d) Short-term
provisions |
53.176 |
55.508 |
34.512 |
|
Total Current
Liabilities (4) |
70.276 |
81.914 |
63.682 |
|
|
|
|
|
|
TOTAL |
6445.657 |
6118.951 |
5525.388 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i)
Tangible assets |
98.320 |
127.082 |
152.388 |
|
(ii)
Intangible Assets |
0.047 |
0.065 |
0.083 |
|
(iii) Capital
work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
5420.954 |
5186.862 |
4614.146 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
63.706 |
73.209 |
34.647 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
5583.027 |
5387.218 |
4801.264 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
20.003 |
|
(b)
Inventories |
0.136 |
0.009 |
0.000 |
|
(c)
Trade receivables |
2.857 |
7.416 |
1.707 |
|
(d) Cash
and cash equivalents |
828.980 |
697.674 |
692.870 |
|
(e)
Short-term loans and advances |
3.733 |
2.963 |
2.715 |
|
(f)
Other current assets |
26.924 |
23.671 |
6.829 |
|
Total
Current Assets |
862.630 |
731.733 |
724.124 |
|
|
|
|
|
|
TOTAL |
6445.657 |
6118.951 |
5525.388 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
130.627 |
138.112 |
41.870 |
|
|
|
Other Income |
387.357 |
648.233 |
646.995 |
|
|
|
TOTAL |
517.984 |
786.345 |
688.865 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Renewable Energy Credit and Voluntary Carbon units sold |
0.158 |
0.461 |
0.000 |
|
|
|
Employee benefits expense |
9.209 |
19.752 |
16.169 |
|
|
|
Other expenses |
47.840 |
42.266 |
40.103 |
|
|
|
TOTAL |
57.207 |
62.479 |
56.272 |
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
460.777 |
723.866 |
632.593 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
31.187 |
31.656 |
30.548 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
429.590 |
692.210 |
602.045 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
68.500 |
17.650 |
48.688 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX |
361.090 |
674.560 |
553.357 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
2565.640 |
2138.583 |
1668.771 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer
to Reserve Fund in terms of Section 45-IC of the Reserve Bank of India Act,
1934 |
72.218 |
134.912 |
0.000 |
|
|
|
Proposed Dividend |
38.835 |
38.835 |
24.272 |
|
|
|
Tax on proposed dividend |
6.300 |
6.300 |
3.937 |
|
|
|
Transfer to General Reserve |
36.109 |
67.456 |
55.336 |
|
|
BALANCE CARRIED
TO THE B/S |
2773.268 |
2565.640 |
2138.583 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Dividend |
0.539 |
0.317 |
0.392 |
|
|
|
Sale proceeds of equity shares |
0.000 |
2.034 |
0.000 |
|
|
TOTAL EARNINGS |
0.539 |
2.351 |
0.392 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
37.19 |
69.48 |
57.00 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
69.71
|
85.78 |
80.33 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
326.57
|
501.19 |
1437.89 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
41.92
|
74.26 |
66.07 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.12 |
0.11 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
12.27
|
8.93 |
11.37 |
LOCAL AGENCY FURTHER INFORMATION
Details of Current
Maturities of Long Term Debt: Not Available
|
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 |
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 |
Yes |
|
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)
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
32)
PAN of Proprietor/Partner/Director, if available |
No |
|
33)
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34)
External Agency Rating, if available |
No |
Note:
No Charges Exist for Company.
CORPORATE
INFORMATION:
The Company is a
public company incorporated under the provisions of the Companies Act, 1956. Its
shares are listed on two Stock Exchanges in India, namely the BSE Limited and
the National Stock Exchange of India Limited. The Company is engaged in
wind-power generation. The Company has seven windmills in Maharashtra with
total installed capacity of 5.6 Mega Watt (MW). The windmills are located at
Tirade Village, Taluka- Akole, District. – Ahmednagar. The Company sells
Windpower units generated, to third party as per the approval from the
Maharashtra State Electricity Distribution Company Limited (MSEDCL).
The Company is a Non Banking Financing Company (NBFC) and has
investments in properties and securities.
MANAGEMENT
DISCUSSION AND ANALYSIS:
OPERATIONS
OF THE COMPANY:
WINDMILLS:
The Company
has seven windmills in Maharashtra with total installed capacity of 5.6
Megawatt (MW). The windmills are located at Tirade Village, Tal- Akole,
District. – Ahmednagar. The windmills have generated net wind energy of 96.08
lakhs units of electricity in the year as against 97.67 lakhs units of
electricity in the previous year (1.62% decrease over the previous year). The
decrease is mainly on account of unfavorable weather conditions.
The
Company sells units of electricity generated, as per the permission received
from the Maharashtra State Electricity Distribution Company Limited (MSEDCL)
for sale of units to third parties.
All
the seven windmills are registered with the National Load Dispatch Centre
(NLDC) and are eligible for the Renewable Energy Certificates (RECs). During
the year, the Company has sold 2,531 RECs. This has resulted in revenue of
Rs.37.96 lakhs (previous year Rs.10.93 lakhs) during the year. The Company is
having 7,776 RECs as on 31 March 2013.
The
Company is registered under the Voluntary Carbon Standard (VCS) and is eligible
for sale of Voluntary Emission Reduction Certificates (VERs). VERs for
electricity units generated up to December 2008 had been certified. The
economic crisis in the European Union (EU) has led to uncertainty in the
markets and has resulted in steep fall in the carbon prices and also therefore
VERs prices. This trend is expected to continue for some time.
The
Company has not initiated the process of certification of VERs for the balance
period due to the existing market scenario and will observe the market
situation and take appropriate steps in this regard as and when situation
improves.
OTHERS:
The
Company owns lands and buildings thereon, apartments and offices in Pune,
Mumbai, Bangalore, New Delhi and Jaipur. The Company has granted these land and
buildings, apartments and offices on leave and license basis to group and other
companies. The Company had given apartments/offices at Pune, Mumbai, Bangalore
and New Delhi on leave and license basis to group companies for part of the
year, which are currently vacant. The Company is in the process of disposing
off the vacant apartments/offices.
During
the year, the Company made investments of Rs.218.502 millions in equity shares
of Kirloskar Pneumatics Company Limited (KPC) and Rs.18.541 millions in equity
shares of Kirloskar Ferrous Industries Limited (KFIL). Pursuant to the said
investments, the Company’s holdings in KPC and KFIL has increased to 4.58% and
48.61%, respectively as on 31 March 2013.
COMPANY
PERFORMANCE:
During
the year, the Company earned an income of Rs.518.000 millions (previous year
Rs.786.300 millions).
The
profit before tax is at Rs.429.600 millions (previous year Rs.692.200 millions)
after providing for depreciation of Rs.31.200 millions (previous year Rs.31.700
millions).
PROSPECTS:
Wind
energy generation is largely dependent on natural factors such as velocity of
wind, continuity of the flow, etc. and are unpredictable and beyond the
control. The Company's windmill project continues to be registered under the
Renewable Energy Certificate Mechanism (REC), which entitles the Company to REC
benefits.
CONTINGENT LIABILITIES NOT PROVIDED FOR:
|
Particulars |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
(a) Disputed service tax demands |
0.290 |
0.290 |
|
(b) Claims against the Company not acknowledged as debt |
|
|
|
Development charges demanded by PMC |
14.121 |
14.121 |
|
Enercon Counterclaim in respect of Wind mill |
29.321 |
29.321 |
|
(c) Disputed Income Tax demand |
20.634* |
0.000 |
|
(d) Conveyance Deed Charges in respect of property |
2.151 |
0.000 |
|
Total
|
66.517 |
43.732 |
* Paid under protest
FIXED ASSETS:
Tangible Assets
·
Plant and Equipment
o
Wind Power Generators
o
Diesel Generator Set
·
Furniture and Fixtures
·
Vehicles
·
Office Equipment
·
Computers and Peripherals
·
Electrical Installations
Intangible Assets
·
Computer Software
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.62.13 |
|
|
1 |
Rs.101.53 |
|
Euro |
1 |
Rs.85.41 |
INFORMATION DETAILS
|
Information
Gathered by : |
PLK |
|
|
|
|
Report Prepared
by : |
SMN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
52 |
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.