MIRA
INFORM REPORT
|
Report Date : |
17.12.2013 |
IDENTIFICATION DETAILS
|
Name : |
POLARIS FINANCIAL TECHNOLOGY LIMITED |
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Formerly Known
As : |
POLARIS SOFTWARE LAB LIMITED |
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Registered
Office : |
Polaris House, 244, Anna Salai Chennai – 600006, Tamilnadu |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
05.01.1993 |
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Com. Reg. No.: |
18-024142 |
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Capital Investment
/ Paid-up Capital : |
Rs. 497.530 Millions |
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CIN No.: [Company Identification
No.] |
L65993TN1993PLC024142 |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Subject is engaged in comprehensive portfolio of products,
smart legacy modernization services and consulting offers state‐of‐the‐art
solutions for Core Banking, Corporate Banking, Wealth and Asset Management
and Insurance. |
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No. of Employees
: |
13076 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (53) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 43000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established company having fine track record. The company has seen a better increase in its sales volume during
2013. Financial as well as liquidity position appears to be sound and strong.
Directors are reported as resourceful businessmen. Trade relations are fair. Business is active. Payment terms are
reported as 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 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
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.
LOCATIONS
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Registered Office : |
Polaris House, 244, Anna Salai Chennai – 600006,
Tamilnadu, India |
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Tel. No.: |
91-44-39874000 |
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Fax No.: |
91-44‐28523280 |
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E-Mail : |
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Website : |
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Corporate Office /
Foundation - Insurance and Testing Center: |
Foundation', 34, IT Highway Chennai-603103, Tamilnadu, India |
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Tel. No.: |
91-44-27435001 |
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Nxt Lvl 1 : |
Plot No.3 / G-3, Survey No. 111/1 (Part), 168/1 (Part) and 130/1 (Part), SIPCOT IT Park, Siruseri, Chennai-603103, Tamilnadu, India |
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Tel. No.: |
91-44-33418000 |
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Nxt Lvl 2 : |
IG3 Infra Limited, Chennai One SEZ, 200ft Thoraipakkam Pallavaram Road, Thoraipakkam, Chennai - 600097, Tamilnadu, India |
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Tel. No.: |
91-44-39198000 |
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Portal Technology
Center : |
IGGGL, 'Chennai One' IT Special Economic Zone Module 2 and
3, 200 ft Pallavaram - Thoraipakkam Ring Road, Pallikaranai Village,
Thoraipakkam |
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Tel. No.: |
91-44-3919 8000 |
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Polaris Towers -
Enterprise Solutions Center : |
Plot No. 249, Udyog Vihar Phase IV, Gurgaon - 122 001, Haryana, India |
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Tel. No.: |
91-124-2844000 |
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The Capital -
Investment Banking Center : |
Located At · Hyderabad · Bangalore · Pune · Thane ·
Mumbai |
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Corporate Banking
Center 1 : |
Unit No. 35, SDF II, 133, SDF V, SEEPZ, Andheri East, Mumbai - 400 096, Maharashtra, India |
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Tel. No.: |
91-22-2829 0019 |
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Corporate Banking
Center 2 : |
Unit No. 174/175C, SDF VI, SEEPZ, Andheri East, Mumbai - 400 096, Maharashtra, India |
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Tel. No.: |
91-22-39815300 |
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Corporate Heights -
Corporate Banking Center : |
Silver Metropolis, Unit No. 801, 802, 901, 902, 1001, 1002 8th, 9th and 10th Floors, Western Express Highway, Goregaon (East), Mumbai - 400 063, Maharashtra, India |
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Tel. No.: |
91-22-67801500 |
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Relationship
Offices : |
Located At · Australia · Bahrain · Toronto · Chile · China · France · Germany · Hongkong |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Arun Jain |
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Designation : |
Chairman and Managing Director |
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Name : |
Mr. R C Bhargava |
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Designation : |
Chairman Maruti Suzuki India Limited |
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Name : |
Dr. Ashok Jhunjhunwala |
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Designation : |
Professor Dept. of Electrical Engineering, IIT Chennai |
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Name : |
Mr. Raju Venkatraman |
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Designation : |
Managing Director and CEO MEDALL Health Care Private Limited |
KEY EXECUTIVES
|
Name : |
Mr. Abhay Agarwal |
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Designation : |
Practising Chartered Accountant |
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Name : |
Mr. Arvind Kumar |
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Designation : |
Senior Lawyer Supreme Court of India |
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Name : |
Mr. Satya Pal |
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Designation : |
Former Secretary (Telecom), Chairman, MTNL and Telecom Expert |
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Name : |
Mr. Rajesh Mehta |
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Designation : |
Treasury and Trade Solutions Head, Europe Middle East and Africa (EMEA) Citi Global Transaction Services |
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MANAGEMENT
COMMITTEE : |
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Name : |
Mr. Arun Jain |
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Designation : |
Chairman and CEO |
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Name : |
Mr. Govind Singhal |
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Designation : |
Chief Operating Officer |
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Name : |
Mr. Natarajan Narayanasamy |
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Designation : |
Chief Financial Officer |
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Name : |
Mr. Govindarajan K |
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Designation : |
Global Head – Administration |
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Name : |
Mr. Amit Gupta |
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Designation : |
Global Delivery Director Citi Relationship |
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Name : |
Mr. Jaideep Billa |
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Designation : |
Business Head – Infrastructure Management and Cloud Services |
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Name : |
Mr. Anil Verma |
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Designation : |
Leadership Coach |
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Name : |
Mr. Jitin Goyal |
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Designation : |
Head - Worldwide Sales, Marketing, Account Management |
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Name : |
Mr. Bikash Mathur |
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Designation : |
Head - Europe Business |
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Name : |
Mr. K Srinivasan |
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Designation : |
Head - India, Middle East and Africa Business |
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Name : |
Mr. Bharath Natarajan |
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Designation : |
Business Head – Retail Banking Products |
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Name : |
Mr. Kedarnath Udiyavar |
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Designation : |
Head – Strategic Relationships |
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Name : |
Mr. Manish Maakan |
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Designation : |
Global Head – Intellect Solutions |
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Name : |
Mr. Raj Parameswaran |
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Designation : |
Business Head – Retail Banking Services and DATA Services |
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Name : |
Mr. Mukesh Jha |
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Designation : |
Global Head - Citi Relationship |
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Name : |
Mr. Rajesh Saxena |
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Designation : |
Global Head – Strategy |
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Name : |
Mrs. Padmini Sharathkumar |
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Designation : |
Global Head - Marketing and Communication |
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Name : |
Mr. Rama Sivaraman |
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Designation : |
Global Head – Performance Excellence |
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Name : |
Mr. Pankaj Modi |
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Designation : |
Business Head - Capital Markets and Asset Management |
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Name : |
Mr. Ravindra Koka |
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Designation : |
Business Head – Intellect Insurance |
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Name : |
Mr. Pradeep Nevatia |
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Designation : |
Business Head BPO Services |
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Name : |
Mr. Sanjeev Gulati |
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Designation : |
Head - Americas Business |
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Name : |
Mr. Pranav Pasricha |
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Designation : |
Global Head – Insurance Business |
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Name : |
Mr. Shashi Mohan |
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Designation : |
Chief Technology Officer |
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Name : |
Mrs. Sudha Kunkalienkar |
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Designation : |
Business Head - Transaction Banking Solutions |
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Name : |
Mr. Venkatesh Srinivasan |
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Designation : |
Business Head – Risk Treasury and Liquidity |
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Name : |
Mr. Supriyo Sircar |
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Designation : |
Head - Asia Pacific Business |
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Name : |
Mr. Vikas Misra |
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Designation : |
Business Head – Enterprise Solutions and Mainframe |
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Name : |
Mr. T V Sinha |
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Designation : |
Chief Risk Officer |
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Name : |
Mr. Vinodh Chelambathodi |
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Designation : |
Global Head – HR |
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Name : |
Mr. Uppili Srinivasan |
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Designation : |
Business Head – Intellect Global Transaction Banking |
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Name : |
Mr. Wayne L Fialo |
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Designation : |
Head Global Accounts - Americas |
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Name : |
Mr. Venkatesh Chillara |
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Designation : |
Business Head - Testing and PACE |
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Name : |
Mr. Wayne Li |
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Designation : |
Head - Australia and New Zealand Business |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2013
|
Category of
Shareholder |
|
No. of Shares |
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(A) Shareholding of Promoter and Promoter Group |
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|
28993360 |
29.14 |
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|
28993360 |
29.14 |
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Total shareholding of Promoter and Promoter Group (A) |
28993360 |
29.14 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
7265512 |
7.30 |
|
|
1044077 |
1.05 |
|
|
22539971 |
22.65 |
|
|
30849560 |
31.00 |
|
|
|
|
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|
3043252 |
3.06 |
|
|
|
|
|
|
9255684 |
9.30 |
|
|
3898238 |
3.92 |
|
|
23469880 |
23.59 |
|
|
422082 |
0.42 |
|
|
3224152 |
3.24 |
|
|
300 |
0.00 |
|
|
248254 |
0.25 |
|
|
19575092 |
19.67 |
|
|
39667054 |
39.86 |
|
Total Public shareholding (B) |
70516614 |
70.86 |
|
Total (A)+(B) |
99509974 |
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) |
99509974 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in comprehensive portfolio of products,
smart legacy modernization services and consulting offers state‐of‐the‐art
solutions for Core Banking, Corporate Banking, Wealth and Asset Management
and Insurance. |
GENERAL INFORMATION
|
No. of Employees : |
13076 (Approximately) |
|
|
|
|
Bankers : |
· Citibank N.A · HSBC Limited · HDFC Bank Limited · JP Morgan Chase Bank, N.A. · ICICI Bank Limited ·
Bank of America, N.A. New Jersey |
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Banking
Relations : |
--- |
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Auditors : |
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|
Name : |
S.R. Batliboi and Associates LLP Chartered Accountants |
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Address : |
6th and 7th Floor, A Block, (Module 601, 701 – 702), Tidel
Park, No.4, Rajiv Gandhi Salai, Taramani, Chennai – 600 113, Tamilnadu, India
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Subsidiaries : |
· Polaris Software Lab Pte Limited, Singapore ('PSL Singapore') · Polaris Software Lab Canada Inc ('PSL Canada') · Polaris Software Lab Limited, UK ('PSL UK') · Polaris Software Lab GmbH, Germany ('PSL Germany') · Polaris Software Lab SA, Switzerland ('PSL Switzerland') · Polaris Software Lab FZ‐LLC ('PSL Dubai') · Polaris Software Pty Limited, Australia ('PSL Australia') · Polaris Software Lab Ireland Limited., Ireland ('PSL Ireland') · Polaris Software Lab Japan KK ('PSL Japan') · Polaris Enterprise Solution Limited, India ('PESL') · (Formerly Polaris Retail Infotech Limited) · Optimus Global Services limited ('Optimus') · Polaris Software Lab B.V, Netherlands* ('PSL Netherlands') · Polaris Software lab Limitada, Chile* (‘PSL Chile’) · Polaris Software Lab Inc (‘PSL Inc. – SEEUS’) · SEEC Technologies Asia Private Limited (‘Seec Asia’) · Polaris Software Lab (Shanghai) Limited ('PSL China') · Laser Soft Infosystems Limited, India ('Laser Soft') · Indigo TX Software Private Limited India ('Indigo TX') · Polaris Software Lab Vietnam Company Limited, Vietnam ('PSL Vietnam) · Polaris Software Lab Sdn Bhd, Malaysia ('PSL Malaysia') · SFL Properties Private Limited, India ('SFL Properties') · Polaris Software Lab (Philippines) Company Inc.('PSL Philippines') · Iden Trust Inc, US ('Iden Trust') · Sonali Polaris FT Limited, Bangladesh (‘Sonali Polaris FT’) · FinTech Grid Limited, India (‘FinTech’) ·
FT Grid Pte Limited, Singapore |
|
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Associates : |
· NMS Works Software Private Limited (NMS) ·
Adrenalin eSystems Limited (Adrenalin
esystems) |
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Enterprises that directly,
or indirectly through one or more intermediaries, control the Company and
enterprise of which the Company is an associate |
· Polaris Holdings Private Limited · Orbitech Limited · Orbitech Employees Welfare Trust ·
Associate Stock Option Plan (Trust) 2011
(‘ASOP Trust 2011’) |
CAPITAL STRUCTURE
As
on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
120000000 |
Equity Shares |
Rs.5/- each |
Rs.600.000 Millions |
|
10000000 |
11 % Preference Shares |
Rs.5/- each |
Rs.50.000 Millions |
|
|
Total |
|
Rs.650.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
99506074 |
Equity Shares |
Rs.5/- each |
Rs.497.530 Millions |
|
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|
Of the total authorized capital of the company referred above, the company has issued only one class of equity shares having a face value of Rs.5 per share. Each holder of such equity share is entitled to one vote per share. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company. The distribution will be in proportion to the number of equity shares held by the shareholders.
During the year ended March 31, 2013, the amount per share final dividend recognized as distribution to equity share holders was Rs. 5/‐ (March 31, 2012: Rs. 5/‐)
Share capital
suspense
The company has allotted total of 277 equity shares of Rs. 5/‐ each fully paid‐up for consideration other than cash pursuant to the Scheme of Arrangement (demerger) of the BPO division of Optimus Global Service Limited into the Company effective October 12, 2012. During the previous year, the Company was yet to complete the allotment and issue of share certificates with respect to these shares accordingly the same was disclosed under Share capital suspense account.
Reconciliation of the
number of shares outstanding
|
Particulars |
No of Shares |
|
Shares outstanding at the beginning of the year |
99,442,097 |
|
Add: Share issued under ESOP |
63,700 |
|
Add: Shares issued for consideration other than cash |
277 |
|
Shares outstanding at the end of the year |
99,506,074 |
Details of Shareholders
holding more than 5 percent shares in the Company (based on legal ownership)
|
Particulars |
No. of Shares held |
% of Holding |
|
Polaris holdings Private Limited |
20,020,938 |
20.12% |
|
Orbitech Limited |
15,379,606 |
15.46% |
|
Franklin Mutual Series Funds ‐ Mutual |
6,942,715 |
6.98% |
Stock option plans
The Company has four stock option plans that provide for the granting of stock options to employees including directors of the Company (not being promoter directors and not holding more than 10% of the equity shares of the Company). The objectives of these plans include attracting and retaining the best personnel, providing for additional performance incentives and promoting the success of the Company by providing employees the opportunity to acquire equity shares. The option plans are summarized below:
Associate Stock
Option Plan 2003
The Shareholders of the Company at the EGM held on March 12, 2004 approved an Associate Stock Option Plan (the 2003 Plan). The 2003 Plan provides for issuance of 3,895,500 options, convertible to equivalent number of equity shares of Rs 5 each, to the employees including Directors. The options are granted at the market price on the date of the grant. The market price, in accordance with the SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines 1999 as amended from time to time, shall be the latest available closing price prior to the date of the meeting of the Board of Directors in which options are granted, on the stock exchange on which the shares of the Company are listed. If the Shares are listed on more than one stock exchange then the stock exchange where there is highest trading volume on the said date shall be considered. The option vests over a period of 5 years from the date of grant in a graded manner, with 20% of the options vesting each year. The exercise period shall commence from the date of vesting and expires within 36 months from the last vesting date.
No compensation cost has been recorded as the scheme terms are fixed and the exercise price equals the market price of the underlying stock on the grant date. A summary of the status of the options granted under 2003 plan at March 31, 2013 is presented below.
|
Particulars |
Number of Shares |
Weighted Average Exercise Price (Rs. In
Millions) |
|
Outstanding at the beginning of the period |
2,795,050 |
16.032 |
|
Exercised during the period |
(63,700) |
5.888 |
|
Forfeited during the period |
(140,900) |
15.452 |
|
Expired during the period |
(609,350) |
15.696 |
|
Outstanding at the end of the period |
1,981,100 |
16.503 |
|
Exercisable at the end of the period |
1,586,500 |
16.182 |
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 |
497.530 |
497.210 |
495.978 |
|
(b) Reserves & Surplus |
10378.914 |
9791.955 |
8675.102 |
|
(C) Share Capital Suspense |
0.000 |
0.101 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.282 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
10876.444 |
10289.548 |
9171.080 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
77.136 |
34.700 |
0.000 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
79.408 |
125.419 |
113.918 |
|
Total Non-current Liabilities (3) |
156.544 |
160.119 |
113.918 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
1085.800 |
1018.109 |
0.000 |
|
(b) Trade payables |
1873.323 |
1388.118 |
1411.784 |
|
(c) Other current
liabilities |
1278.745 |
995.427 |
711.681 |
|
(d) Short-term provisions |
1437.330 |
590.131 |
705.792 |
|
Total Current Liabilities (4) |
5675.198 |
3991.785 |
2829.257 |
|
|
|
|
|
|
TOTAL |
16708.186 |
14441.452 |
12114.255 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
2968.922 |
2903.984 |
1752.900 |
|
(ii) Intangible Assets |
111.666 |
96.249 |
89.150 |
|
(iii) Capital
work-in-progress |
415.495 |
362.914 |
503.293 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
1474.376 |
2313.627 |
1629.240 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
23.650 |
|
(d) Long-term Loan and Advances |
1033.314 |
869.390 |
728.475 |
|
(e) Other Non-current assets |
0.000 |
150.000 |
0.000 |
|
Total Non-Current Assets |
6003.773 |
6696.164 |
4726.708 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
3535.151 |
1490.848 |
3659.174 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Trade receivables |
3260.317 |
2765.312 |
1458.370 |
|
(d) Cash and cash
equivalents |
396.604 |
784.428 |
655.962 |
|
(e) Short-term loans and
advances |
1215.266 |
678.394 |
364.835 |
|
(f) Other current assets |
2297.075 |
2026.306 |
1249.206 |
|
Total Current Assets |
10704.413 |
7745.288 |
7387.547 |
|
|
|
|
|
|
TOTAL |
16708.186 |
14441.452 |
12114.255 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
18539.918 |
17620.931 |
13850.592 |
|
|
|
Other Income |
365.284 |
353.959 |
535.769 |
|
|
|
TOTAL (A) |
18905.202 |
17974.890 |
14386.361 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee benefit expense |
14265.629 |
12858.897 |
10168.762 |
|
|
|
Other expenses |
2119.595 |
2346.973 |
1791.456 |
|
|
|
TOTAL (B) |
16385.224 |
15205.870 |
11960.218 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
2519.978 |
2769.020 |
2426.143 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
19.050 |
10.911 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2500.928 |
2758.109 |
2426.143 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
463.435 |
393.283 |
264.365 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
2037.493 |
2364.826 |
2161.778 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
366.923 |
479.683 |
291.498 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1670.570 |
1885.143 |
1870.280 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Income from software development services and products |
16070.120 |
15334.239 |
12406.602 |
|
|
TOTAL EARNINGS |
16070.120 |
15334.239 |
12406.602 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
74.683 |
150.882 |
130.814 |
|
|
TOTAL IMPORTS |
74.683 |
150.882 |
130.814 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
16.79 |
18.98 |
18.87 |
|
|
|
Diluted |
16.76 |
18.92 |
18.74 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
8.84
|
10.49 |
13.00 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.78
|
13.42 |
15.61 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.75
|
20.10 |
21.71 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19
|
0.23 |
0.24 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.10
|
0.10 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.89
|
1.94 |
0.00 |
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 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 |
CORPORATE INFORMATION
Subject a public limited company domiciled in India and incorporated under the provision of the Companies Act, 1956, was founded in 1993 and is headquartered in Chennai. The Company's shares are listed on Madras Stock Exchange, The National Stock Exchange and The Bombay Stock Exchange in India. The Company, with its comprehensive portfolio of products, smart legacy modernization services and consulting offers state‐of‐the‐art solutions for Core Banking, Corporate Banking, Wealth and Asset Management and Insurance.
MANAGEMENT DISCUSSION
AND ANALYSIS
While there is uncertainty and softness in global economic environment, none the less, trends and forecasts for IT services and Products are quite encouraging. Presented below are the relevant excerpts of summary of the forecasts and analysis of the research in the areas relevant to Polaris' business from various reputed global analysts.
Total IT spend last year hit $3.6 trillion, Gartner said, representing a 2.1 percent gain over the prior year. In 2013, that spend will go up to $3.8 trillion, a rise of 4.1 percent. Things will get even better for the IT sector in 2014, when spend, according to the research firm, is expected to hit
$3.9 trillion.
Enterprise software spend, for instance, is expected to top $297 billion, up by 6.4 percent over 2012, which saw the spend increase by 3.5 percent. IT services – inclusive of cloud services, outsourcing, maintenance and consulting – is expected to climb 4.5 percent to $918 billion, a significant increase over the 1.5 percent growth curve in 2012. As the economy continues to grow, businesses are looking for technologies that give them greater agility and flexibility to capitalize on sales and revenue opportunities.
UNSECURED LOAN
(Rs.
In Millions)
|
Particular |
As
on 31.03.2013 |
As
on 31.03.2012 |
|
Short‐term
Borrowings |
|
|
|
Loans repayable on demand from Banks |
1085.800 |
1018.109 |
|
Total |
1085.800 |
1018.109 |
|
|
|
|
INDEX OF CHARGES: NO
CHARGES EXIST FOR THE COMPANY
FIXED ASSETS
· Land
· Buildings
· Plant and machinery
· Electrical fittings
· Furniture and Fittings
· Office equipment
· Vehicles
AS PER WEBSITE
PRESS RELEASE
L&T INFOTECH EYES
POLARIS FINANCIAL TECHNOLOGY'S SERVICES BIZ IN $400 MN DEAL
Oct 21 2013
Financial technology firm Polaris Financial Technology Limited is gearing up to sell its services business unit and L&T Infotech is believed to be leading the race to acquire this business estimated to be valued at about USD 400 million.
Chennai-headquartered Polaris Financial Technologies provides solutions for core banking, corporate banking, wealth and asset management and insurance, while, L&T Infotech, part of the engineering and construction major Larsen and Toubro (L&T), provides IT services and solutions.
Others who had been in talks with Polaris FT for this deal include Tech Mahindra and NEC, but the discussions are now moving towards possible closure with L&T Infotech emerging as the frontrunner, investment banking sources involved in the deal said.
While spokespersons at both L&T Infotech and Polaris FT declined to comment on the deal, terming it as speculative in nature, sources said that the deal could value Polaris FT's services business at about USD 400 million (about Rs 24000.000 Millions).
When contacted, a Polaris FT spokesperson said: "We decline to comment as we do not respond to media speculation."
L&T Infotech also did not comment on the development and its spokesperson said: "We do not comment on market speculation."
According to sources, IT services major Tech Mahindra and IT and network technologies firm NEC India were also in the fray to acquire Polaris FT's services business. Tech Mahindra Limited and NEC India spokespersons also declined to comment.
Polaris Financial Technology had reported a net profit of Rs 43 crore in March-June quarter. Revenues stood at Rs 5840.000 Millions during the same period. Its cash and cash equivalents stood at Rs 5710.000 Millions at the end of the March-June quarter.
POLARIS MOVES UP TO
THE 34TH POSITION AMONG TOP GLOBAL FINANCIAL TECHNOLOGY PROVIDERS IN FINTECH
100
November 07, 2013
04:44 AM Eastern Standard Time
JERSEY CITY, N.J. and LONDON and CHENNAI, India--(BUSINESS WIRE)--Polaris Financial Technology Limited, a leader in products, solutions and services that enable unprecedented operational productivity for the global Financial Services industry, announced today that it has moved up four positions to rank 34 on the FinTech 100 for 2013. This annual international listing ranks top vertical technology service providers who derive more than one third of their revenue from the Banking Industry as named by American Banker, Bank Technology News and IDC Financial Insights.
“Our move up on the FinTech 100 ranking is recognition of Polaris’ leading presence in the global financial services market,” said Arun Jain, Founder, Chairman and Group CEO, Polaris Financial Technology Limited. “This year’s ranking is a testament to our continued commitment towards delivering innovative, cost efficient and high performance solutions that power the change initiatives of leading global banks and financial enterprises. The current FinTech ranking is a direct result of the growing footprint of our transformative technological solutions across financial institutions worldwide, uniquely positioning Polaris as the transformation specialist.”
Polaris launched the world’s first financial technology design centre, FT 8012, to engineer solutions that drive unprecedented value by uniquely connecting business, technology and operations in the design process. Polaris’ introduction of Design Thinking as a key differentiator in developing solutions for the transformative agendas of CIOs of banks and financial institutions worldwide, has established the company as a thought leader with game changing solutions, emerging from a collaborative design process.
The company’s deep domain expertise coupled with design capabilities saw the launch of three path breaking solutions at a recent annual banking and financial conference: iGTB - The world's first complete Global Transaction Banking Platform; Payments Hub - A real-time payments solution that minimizes operational risk and improves the Straight Through Processing rate to over 90%; and the revolutionary Canvas Technology - An Omni-Channel solution that enables role-based efficiencies for Financial Institutions. This follows the growing international footprint of Polaris’ Intellect, a pure play Service Oriented Architecture (SOA) based application suite that spans Retail Banking, Corporate Banking, Treasury and Liquidity Management, Core Banking, Capital Markets, Asset and Wealth Management and Insurance. Backed by relentless commitment to better Design, Diagnostics and Delivery, Polaris is fast emerging as the ideal partner for banks’ and financial enterprise's transformation initiatives.
About Polaris
Financial Technology Limited
Polaris Financial Technology Limited is a global leader in Financial Technology for Banking, Insurance and other Financial Services. With over 25 years of expertise in building a comprehensive portfolio of products, smart legacy modernization services and consulting, Polaris owns the largest set of Intellectual Properties for a comprehensive product suite, Intellect® Global Universal Banking (GUB) M180. Intellect® is the world's first pure play Service Oriented Architecture (SOA) based application suite for Retail, Corporate, Investment banking and Insurance. Its acclaimed products, solutions and services enable unprecedented operational productivity for the global Financial Services Industry by Building, Maintaining, Expanding and Extending highly complex and Integrated Financial Technology Infrastructure.
This makes Polaris the chosen partner for 9 of the top 10 global banks and 7 of the top 10 global insurance companies. The company has a global presence through its 40 relationship offices across 30 countries, 6 international development centers and 8 fully owned Business Solution centers. Polaris has a talent strength of over 13,000 solution architects, domain and technology experts.
POLARIS’ CUSTOMER
BUSINESS EXCHANGE (CBX) CITED AS ONE OF ONLY A FEW VENDORS THAT HAS BUILT
OMNICHANNEL APPS
FEATURED AMONGST
INTERNET AND CROSS-CHANNEL BANKING SOLUTION PROVIDERS IN INDEPENDENT RESEARCH
GROUP’S REPORT
New Jersey (USA) / London (UK) / Chennai (India), December 10, 2013: Polaris Financial Technology Limited, a leader in products, solutions and services that enable unprecedented operational productivity for the global Financial Services industry, announced that Forrester Research, Inc. featured the Customer Business eXchange (CBX) product from its iGTB division amongst Internet and Cross-Channel Banking Solution providers. Polaris’ CBX from iGTB was cited in Forrester Research, Inc.’s October 2013 report titled “Market Overview: Off-the-shelf Channel Banking Solutions can Differentiate and Manage Cost”.
To help application delivery teams involved in selecting and delivering channel solutions for Internet, cross-channel, and mobile banking solutions, Forrester surveyed fifteen vendors who have a total of fourteen Internet/cross-channel banking solutions and nine mobile banking offerings.
Analyzing the Internet and cross-channel function-rich banking solutions, the Forrester report mentions that, while a number of vendors offer mobile apps, only a few — such as Polaris — have built omnichannel apps. Polaris’ solution includes apps that can carry metadata for using the apps in different channels. Polaris was cited along with other vendors as offering broader solutions that support both web and mobile channels and also directly supports additional channels, including ATM, branch, call center, kiosks, or some combination thereof.
Speaking at the occasion, Manish Maakan, Chief Executive Officer, Polaris iGTB said, “We believe that the recognition by Forrester of iGTB as one of only a few vendors that has built omnichannel apps is a clear reflection of iGTB’s growing footprint in the financial technology space. With a configurable user interface for both banks and corporate users, CBX provides a unique customer experience through an Omni-channel solution for mobile devices and tablets as well as online. Leveraging CBX, both corporate and retail customers can have all their transaction needs seamlessly integrated or deploy just one element to improve an existing offering, through a consolidated next generation portal for the corporate user. We believe that the citation in this well-researched and comprehensive report underlines our growing position as the ideal technology partner for global financial institutions.”
Forrester reports the business functionality of Polaris’ CBX as having (close to) strong capabilities in retail banking requirements, corporate banking requirements and private banking requirements, and mobile payment capabilities, product catalog and single view on the customer Polaris’ solution also displayed (close to) strong capabilities in the Hybrid Apps, Web Apps, and NFC support in the mobile channel support category, CX configuration and CX personalization in the customer experience category, and Back-end integration tools in the process and integration category.
Forrester defines a cross-channel banking platform as, “A front-end solution that enables interactions and transactions via the web and other channels in a cross-channel fashion, works with existing back-end solutions such as core banking to deliver their functionality, and potentially offers additional front-end-specific capabilities such as account aggregation, content management, or product overviews and infrastructure for purposes like security and integration.”
Polaris’ CBX is an installed multi-currency and multi-lingual commercial banking solution meeting that definition, which supports the key product lines including payments, liquidity, collection and receivables, trade, supply chain finance, and treasury, and so allows banks to bridge the gap between product processing engines, organized for efficiency, and serving the corporation’s or individual’s value-chain needs, often cutting across multiple products.
POLARIS’ REAL TIME PAYMENTS
HUB RATED A ‘BEST IN CLASS’ PROVIDER FOR PAYMENTS OPERATIONS IN INDEPENDENT
RESEARCH GROUP’S PAYMENT HUBS REPORT
New Jersey (USA) / London (UK) / Chennai (India), December 02, 2013: Polaris Financial Technology Limited, a leader in products, solutions and services that enable unprecedented operational productivity for the global Financial Services industry, recently announced that its Payments Hub from its iGTB division received a „Best in Class‟ recognition for Payments Operations in CEB Tower Group‟s annual Payment Hubs Technology Analysis report, 2013.
As a real-time payments solution that minimizes operational risk and improves the Straight Through Processing rate to over 90%, Polaris‟ Payments Hub provides superior customer experience though a channel agnostic service layer with the flexibility to configure to meet changing customer needs, regulatory reforms and operational arrangements. With a 360° view of corporate activities related to payments, it offers better risk management, supports centralized control of global payments operations and its robust exception handling process and AML and fraud management capability reduce Exception and Investigation and manpower costs.
Payments Hub orchestrates payment messages received from front-end channels through to final clearing and settlement. The solution has various built-in components like a messaging engine, STP accelerator, rules engine and workflow modeler that ensure seamless payment processing. It can act as both middleware to orchestrate payment workflows by sitting on top of a payment processor, as well as a single end-to-end platform for processing all payments types initiated from various channels.
CEB Tower Group, Research Director, Andy Schmidt said, “Banks are looking for payment hub solutions that are both flexible and capable of processing payments from any front-end channel all the way through to final clearing and settlement. Market-leading solutions enhance these capabilities by adding tools like dashboards and alerting capabilities to not only give users visibility into the bank‟s payment activity, but also generate alerts delivered across a variety of channels both inside and out of the bank.”
Manish Maakan, Chief Executive Officer, Polaris iGTB said, “Being recognized as „Best in Class‟ for our Payments Hub stands testimony to the efficiency of our product, enabling users to manage the entire payment lifecycle from end to end. In our opinion, the highly scalable architectural design of the Payments Hub, its breadth of functionality and its cutting edge technology is indeed the new standard in payments solutions worldwide. This recognition substantiates our continued focus on offering innovative products to leading financial institutions worldwide.”
Additionally, CEB
noted the following attributes:
· Real-Time Dashboard: a dashboard for users with the appropriate authorization to monitor all payment activity within the bank. A major differentiator is that the dashboard includes widgets that display information through statistical charts that can be configured on a user-level basis.
· Alerts: a native alerts and notification module to create email or text message based alerts and notifications. Such alerts can be configured for internal or external usage. Rules to manage alerts can be created and modified via configuration through a graphical GUI.
· Product Testing: Polaris Application Certification Enterprise (PACE), a 1,650+ person strong practice, is the independent testing, validation, verification and certification arm of Polaris. It is the centralized testing organization that provides a wide range of testing services from pure-play testing to performance engineering and test process consulting.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
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.62.10 |
|
|
1 |
Rs.101.27 |
|
Euro |
1 |
Rs.85.43 |
INFORMATION DETAILS
|
Report Prepared
by : |
NTH |
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 |
6 |
|
--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 |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
53 |
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.