|
Report Date : |
19.02.2013 |
IDENTIFICATION DETAILS
|
Name : |
METRO SHOES LIMITED [w.e.f. 14.05.2007] |
|
|
|
|
Formerly Known
As : |
METRO SHOES PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
3rd Floor, Metro House, Shahid Bhagat Singh Road, Colaba
Causeway, Mumbai-400001, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
19.01.1977 |
|
|
|
|
Com. Reg. No.: |
11-19449 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.48.870 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U19200MH1977PLC019449 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMM19987C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACM4754E |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company. |
|
|
|
|
Line of Business
: |
Subject Engaged in Trading of Footwear, Bags and Accessories. |
|
|
|
|
No. of Employees
: |
Information denied by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (54) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 5210000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and reputed company having a good track
record. The latest financials are not made available with the government
department. As per previous year’s, the financial position of the company appears to
be strong. Liquidity position of the company is good. Trade relations are
reported to be fair. Business is active. Payments are reported to be regular
and as per commitments. The company can be considered for normal business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces
of its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to
become a major exporter of information technology services and software
workers. In 2010, the Indian economy rebounded robustly from the global
financial crisis - in large part because of strong domestic demand - and growth
exceeded 8% year-on-year in real terms. However, India's economic growth in
2011 slowed because of persistently high inflation and interest rates and
little progress on economic reforms. High international crude prices have
exacerbated the government's fuel subsidy expenditures contributing to a higher
fiscal deficit, and a worsening current account deficit. Little economic reform
took place in 2011 largely due to corruption scandals that have slowed
legislative work. India's medium-term growth outlook is positive due to a young
population and corresponding low dependency ratio, healthy savings and
investment rates, and increasing integration into the global economy. India has
many long-term challenges that it has not yet fully addressed, including
widespread poverty, inadequate physical and social infrastructure, limited
non-agricultural employment opportunities, scarce access to quality basic and
higher education, and accommodating rural-to-urban migration.
|
Source
: CIA |
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 DECLINED BY
|
Name : |
Mr. Hemant Mishra |
|
Designation : |
Assistant Accounts Manager |
|
Contact No.: |
91-22-66560400 |
|
Date : |
14.02.2013 |
LOCATIONS
|
Registered / Corporate Office : |
3rd Floor, Metro House, Shahid Bhagat Singh Road, Colaba
Causeway, Mumbai – 400001, Maharashtra, India |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Tel. No.: |
91-22-66560444/66560400 |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Fax No.: |
91-22-66560490 |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
E-Mail : |
|||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Website : |
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|
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Factory 1 : |
Jetha Compound, Opposite Byculla Goods Depot, Dr. B. Ambedkar Road,
Byculla, Mumbai-400027, Maharashtra, India |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Factory 2 : |
Gala No. 6-10, Building No. C-9, Shri Arihant Compound, Kalher, Bhiwandi,
Thane, Maharashtra, India |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Factory 3 : |
Gala No. 8-10, Building No. I-4, Shri Arihant Compound, Kalher,
Bhiwandi, Thane, Maharashtra, India |
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Showrooms : |
Located At:
|
DIRECTORS
AS ON 21.09.2012
|
Name : |
Mr. Rafique Abdul Malik |
|
Designation : |
Chairman cum Managing Director |
|
Address : |
Flat No.23/C, 20th Floor, Kanchanjunga, |
|
Date of Birth/Age : |
30.10.1950 |
|
Date of Appointment : |
05.02.1987 |
|
Din No.: |
00521563 |
|
|
|
|
Name : |
Mr. Aruna Bhagawan Advani |
|
Designation : |
Director |
|
Address : |
6/65, Shyam Nivas, |
|
Date of Appointment : |
27.07.2010 |
|
Din No.: |
00029256 |
|
|
|
|
Name : |
Mr. Utpal Hemendra Sheth |
|
Designation : |
Alternate Director |
|
Address : |
B -27, Kumkum Apartment, Near Nanavati Hospital, S. V. Road, Vile
Parle (West), Mumbai – 400056, Maharashtra, India |
|
Date of Birth/Age : |
20.06.1971 |
|
Date of Appointment : |
14.03.2007 |
|
Din No.: |
00081012 |
|
|
|
|
Name : |
Mr. Aziza Rafique Malik |
|
Designation : |
Whole Time Director |
|
Address : |
Flat No.23/C, 20th Floor, Kanchanjunga, |
|
Date of Birth/Age : |
05.04.1950 |
|
Date of Appointment : |
01.04.2007 |
|
Din No.: |
00167534 |
|
|
|
|
Name : |
Mr. Manojkumar Madangopal Maheshwari |
|
Designation : |
Director |
|
Address : |
Maheshwari House, 36 L Jagmohandas Marg, Mumbai – 400036, |
|
Date of Birth/Age : |
08.08.1957 |
|
Date of Appointment : |
24.07.2009 |
|
Din No.: |
00012341 |
|
|
|
|
Name : |
Mr. Jalaluddin Jafferali Kamdar |
|
Designation : |
Whole Time Director |
|
Address : |
A-41, Yuwan Apartments, 413/414, Mount Mary Road, Bandra West, Mumbai
– 400050, Maharashtra, India |
|
Date of Birth/Age : |
21.11.1947 |
|
Date of Appointment : |
01.04.2007 |
|
Din No.: |
00521677 |
|
|
|
|
Name : |
Mr. Farah Malik Bhanji |
|
Designation : |
Whole Time Director |
|
Address : |
203, Samudra Gaurav Apartments, 6A, Abdul Gaffar Khan Road, Worli Sea Face,
Worli, Mumbai – 400025, Maharashtra, India |
|
Date of Birth/Age : |
31.08.1976 |
|
Date of Appointment : |
01.04.2007 |
|
Din No.: |
00530676 |
|
|
|
|
Name : |
Mr. Rakesh Radheyshyam Jhunjhunwala |
|
Designation : |
Director |
|
Address : |
3 Sital Sagar, Sital Baug, 64, |
|
Date of Birth/Age : |
05.07.1960 |
|
Date of Appointment : |
14.03.2007 |
|
Din No.: |
00777064 |
KEY EXECUTIVES
|
Name : |
Mr. Hemant Mishra |
|
Designation : |
Assistant Accounts Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 21.09.2012
NOTE: SHAREHOLDING DETAILS FILE ATTACHED.
AS ON 29.09.2012
|
Names of Allottees |
|
No. of Shares |
|
Rakesh Banarasi Singh |
|
10 |
|
Jalaludin Jafferail Kamdar |
|
750 |
|
Sohel Jalaludin Kamdar |
|
750 |
|
Jaiprakash Janardan Desai |
|
750 |
|
Mehdi Sumar |
|
225 |
|
Ketan Arun Kothari |
|
225 |
|
Premnath Batuknath Satsangi |
|
225 |
|
Prashant Praful Shah |
|
1500 |
|
Subhash Krishna Rao |
|
500 |
|
Mahesh Brijgopal Goud |
|
155 |
|
Lavina Rodnques Pinto |
|
460 |
|
|
|
|
|
TOTAL
|
|
5550 |
AS ON 21.09.2012
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Directors
or relatives of directors |
|
99.32 |
|
Other
top fifty shareholders |
|
0.58 |
|
Others
|
|
0.10 |
|
TOTAL |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject Engaged in Trading of Footwear, Bags and Accessories. |
||||||
|
|
|
||||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management. |
|
|
|
|
Bankers : |
·
ICICI
Bank Limited, 240, Navsari Building, D. N. Road, Fort Branch, Mumbai-400001,
Maharashtra, India ·
Axis Bank ·
HDFC Bank Limited ·
Standard Chartered Bank ·
State Bank of India ·
Yes Bank |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Sajid A. Pancha and Company Chartered Accountant |
|
Address : |
5, Tardeo A. C. Market, first Floor, Mumbai – 400034, |
|
Tel. No.: |
91-22-23511023 |
|
Fax No.: |
91-22-23520970 |
|
PAN No: |
AAAPM6842Q |
|
|
|
|
Subsidiaries : |
Metmill Footwear Private Limited |
|
|
|
|
Other Related Parties : |
·
Metro Shopping Arcade Private Limited ·
Metro Shopping Plaza Private Limited ·
Design Matrix Associates Private Limited |
CAPITAL STRUCTURE
AFTER 21.09.2012
Authorised Capital : Rs.150.000 Millions
Issued, Subscribed & Paid-up Capital : Rs.147.107
Millions
AS ON 21.09.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
4898025 |
Equity Shares |
Rs.10/- each
|
Rs.48.980
Millions |
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5000000 |
Equity Shares |
Rs.10/- each |
Rs.50.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
4887000 |
Equity Shares |
Rs.10/- each
|
Rs.48.870
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
48.870 |
48.870 |
48.870 |
|
|
2] Employee Stock Options Outstanding |
2.727 |
0.693 |
0.000 |
|
|
3] Reserves & Surplus |
1252.821 |
936.163 |
738.504 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
1304.418 |
985.726 |
787.374 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
13.452 |
9.000 |
7.108 |
|
|
|
|
|
|
|
|
TOTAL |
1317.870 |
994.726 |
794.482 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
386.657 |
260.485 |
188.457 |
|
|
Capital work-in-progress |
21.022 |
19.495 |
8.965 |
|
|
|
|
|
|
|
|
INVESTMENT |
215.274 |
281.751 |
101.664 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
994.247
|
659.359 |
500.276 |
|
|
Sundry Debtors |
18.449
|
11.688 |
8.147 |
|
|
Cash & Bank Balances |
27.987
|
15.091 |
127.168 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
376.994
|
280.403 |
206.709 |
|
Total
Current Assets |
1417.677
|
966.541 |
842.300 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
376.894
|
299.326 |
166.357 |
|
|
Other Current Liabilities |
63.534
|
36.959 |
36.634 |
|
|
Provisions |
282.332
|
197.261 |
143.913 |
|
Total
Current Liabilities |
722.760
|
533.546 |
346.904 |
|
|
Net Current Assets |
694.917
|
432.995 |
495.396 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1317.870 |
994.726 |
794.482 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
3664.443 |
2549.368 |
2074.468 |
|
|
|
Other Income |
24.032 |
18.492 |
13.666 |
|
|
|
TOTAL (A) |
3688.475 |
2567.860 |
2088.134 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Sales |
1883.271 |
1312.671 |
1101.729 |
|
|
|
Employee Cost |
107.362 |
78.414 |
64.869 |
|
|
|
Administrative Expenses |
158.097 |
117.154 |
94.169 |
|
|
|
Selling Expenses |
859.028 |
602.982 |
485.103 |
|
|
|
Other Expenses |
11.138 |
11.756 |
2.720 |
|
|
|
TOTAL (B) |
3018.896 |
2122.977 |
1748.590 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
669.579 |
444.883 |
339.544 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.319 |
0.110 |
0.731 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
669.260 |
444.773 |
338.813 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
28.388 |
19.237 |
15.259 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
640.872 |
425.536 |
323.554 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
210.240 |
142.113 |
113.318 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
430.632 |
283.423 |
210.236 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
186.802 |
39.143 |
57.496 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend Paid |
48.870 |
36.653 |
24.435 |
|
|
|
Tax on Interim Dividend |
8.117 |
6.229 |
4.153 |
|
|
|
Final Dividend Proposed |
48.870 |
36.653 |
0.000 |
|
|
|
Tax on Final Dividend |
8.117 |
6.229 |
0.000 |
|
|
|
Transfer to General Reserve |
50.000 |
50.000 |
200.000 |
|
|
BALANCE CARRIED
TO THE B/S |
453.460 |
186.802 |
39.144 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
0.000 |
0.083 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
|
|
|
|
|
Basic |
88.12 |
58.00 |
83.67 |
|
|
|
Diluted |
88.06 |
57.98 |
-- |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
11.67
|
11.04 |
10.07 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
17.49
|
16.69 |
15.60 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
35.52
|
34.68 |
31.39 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.49
|
0.43 |
0.41 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.96
|
1.81 |
2.43 |
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF SUNDRY CREDITORS:
|
Particulars |
31.03.2011 (Rs. in millions) |
31.03.2010 (Rs. in millions) |
31.03.2009 (Rs. in millions) |
|
Sundry Creditors |
|
|
|
|
Sundry Creditors
[Trade] |
288.044 |
222.116 |
120.417 |
|
Sundry Creditors
[Others] |
88.850 |
77.210 |
45.940 |
|
Total |
376.894 |
299.326 |
166.357 |
|
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 |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact person |
Yes |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
No |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
BUSINESSPERFORMANCE:
The Company
continued its strong performance during the year and recorded gross sales of
Rs. 4120.100 Millions against Rs. 2858.900 Millions in the previous year,
thereby achieving a growth of 44.1% over the previous year.
Profit before Tax
(PBT) for the year was Rs. 640.800 Millions (Previous Year Rs. 425.500
Millions) and Profit after Tax (PAT) of Rs. 430.600 Millions (Previous Year Rs.
283.400 Millions), improved by 50.6 % and 51.9% respectively.
Strong underlying
economic growth, increasing wealth of individuals and the rapid construction of
organized retail infrastructure are key factors behind the explosive growth in
Company’s Sales.
During the year,
the Company opened 57 new showrooms in the cities of Ahmedabad, Allahabad,
Amritsar, Aurangabad, Bangalore, Baroda, Bhopal, Chennai, Coimbatore, Dehradun,
Delhi, Ghaziabad, Gorakhpur, Guwahati, Gwalior, Hyderabad, Jabalpur, Jaipur,
Jalandhar, Jamnagar, Kanpur, Kochi, Kolkata, Lucknow, Madurai, Mangalore,
Meerut, Mumbai, Nagpur, Nanded, Navi Mumbai, Patiala, Pune, Raipur, Rajkot,
Salem, Varanasi and Vijayawada.
Company’s
Showrooms at Mall Road, Ludhiana and Wallajah Road, Chennai have been renovated
during the year. The Company has changed the location of the showroom at South
Extension, Delhi.
The Value line
shop format was expanded with combined openings of more standalone shops and
shop-in-shop with D’Mart and Spencer, leading value retail chains of India. The
format has achieved sales of Rs. 86.000 Millions thereby contributing 2.09% to
the total turnover of the Company. The Company had 21 shops in Value line
format out of which 9 were standalone and rest under shop-in-shop.
The online sales
portal www.metroshoes.net has achieved sales of Rs.1.973 Millions during the
year. Full potential of E-Com business is expected to be tapped in the coming
years.
During the Current
Year, the Company has opened 18 stores in the cities of Ahmedabad, Dehradun,
Sri Ganganagar, Ghaziabad, Hyderabad, Kolkata, Mumbai, Patna, Siliguri, Ujjain
and Visakhapatnam.
The store at
Indira Gandhi International Airport, New Delhi (Company’s first store at an
Airport) was closed as the location was required for International airline
operations. Despite small in size, the Showroom not only performed very well
but also provided a new experience in airport retailing to the Company. The
Company has been making efforts to seek alternate space at Delhi Airport.
Total no. of
Company’s stores has now reached to 179 out of which 159 are standalone stores
and 20 are shop-in-shop. The Company’s business operations have now expanded to
53 cities and 2 union territories of India. The Company has recorded sales of
Rs. 1136.000 Millions during the first quarter of the Current Year achieving a
growth of 34.93% compared to same period of last year. In order to meet the
business requirement a large warehouse having a carpet area of 50,000 sq. ft.
has been taken on lease at Dive (Anjur) Village, Bhiwandi.
SUBSIDIARYCOMPANY:
Metmill Footwear
Private Limited, 51% subsidiary of the Company has also reported good results
for the year in its Shop-in-shop business with Shoppers Stop and Pantaloon, leading
retail chains of India. Pursuant to Section 212 (8) of the Companies Act, 1956
read with the General Circular No. 2/2011 dated 8th February 2011; consent of
the Board has been obtained for not attaching the Balance Sheet of the
Company’s subsidiary – Metmill Footwear Private Limited
MANAGEMENT DISCUSSIONANDANALYSIS:
OVERVIEW
The recovery from
recession was slow in most of the Developed countries and a few countries faced
debt crisis. The Foreign investment inflow declined by 17% compared to the year
2009-10. However the Indian economy performed well during the last year,
particularly in the first 3 Quarters, despite adverse conditions globally. The
Exports showed a phenomenal growth of over 37% and Foreign Exchange Reserves
crossed $300 billion. The Company achieved record growth in number of
showrooms, sales and profitability during the year.
BUSINESS REVIEW
The Company
performed well as the sales improved by 44.1%, PBT by 50.6% and PAT by 51.9%
respectively compared to last year. During the year the Company expanded its
network with 57 new showrooms and registered its presence for the first time in
the cities of Allahabad, Dehradun, Ghaziabad, Gorakhpur, Guwahati, Gwalior,
Jabalpur, Jamnagar, Kanpur, Madurai, Meerut, Nanded, Patiala, Raipur and Salem.
The total number of Showrooms reached 162 spread across 50 cities and 2 union
territories.
Men’s contribution
was 38% in volume term and 57% in value term, whereas women’s contribution was
56% in volume term and 40% in value term. The average selling price has come
down slightly from Rs. 0.001 Million (in the previous year) to Rs. 0.001
Million due to value line sales and increased share of accessories in the total
sales.
The Company has
been able to maintain the contribution of in-house brands to total sales at 73%
as a result of improved merchandise, sourcing and better performance of premium
in-house brands.
INDUSTRY STRUCTURE
AND DEVELOPMENTS
Indian economy is
the 10th largest economy in terms of GDP and 4th largest economy in terms of
Purchasing Power Parity (.PPP.). By 2025, in terms of GDP, India will be the
fifth largest economy and by 2035 the third largest economy just behind US and
China. Opening up of India’s economy, urbanization and greater infrastructure
spending are the key factors for growth. Currently, Indians are amongst the
most confident consumers globally. India’s consumer market which is currently
the world’s thirteenth largest is expected to become fifth largest by 2030. The
new age Indian consumer is confident and optimistic and spending more. He is
adventurous and open to try out new products and technologies. The size of
Indian retail is about Rs. 22,500 Billion. The market is mainly unorganized with
share of organized market at 5%. However growth in organized market has
increased from less than 2% to over 5% in the last 3 years and is projected to
reach 11% by 2015. Current size of Footwear industry is around Rs. 290 billion.
The share of organized market is at 35%. Market is dominated by the Economy and
Value segment whereas semi formal (casual) is the most popular product. The
market is very promising and challenging but price sensitive.
Regional
sensitivity plays a vital role in India’s footwear retail market. Those
retailers who understand these differences and provide the merchandise
accordingly have been successful in expanding their business across India. All
India Footwear Manufacturers and Retailers Association (AIFMRA) have been
formed in Mumbai for promotion, support, development and protection of
interests of the Footwear Industry. The Company is one of the founder members
of the Association.
OUTLOOK
According to the
experts, outlook for the Indian economy seems to be very good. However the
competition will be stiff and the Company is taking proper steps to strengthen
sourcing of quality merchandise and customer service. The Company is also
starting exclusive stores for accessories under brand name .Metro accessories.
And the first such store is being opened in Raipur. The results of population
census are exciting for the country’s retail sector as they signify that the
Country has grown considerably as regards size of consumption and the economy
and there is good scope for the Company’s business in the years to come. With
major initiatives in expansion, focus on value line format and e-commerce, the
Company is expected to continue its growth momentum in the current year.
FIXED ASSETS:
·
Furniture and Fixture
·
Machinery and Equipment
·
Motor Car
·
Computers
·
Copy Right
·
Trademark
PRESS RELEASE:
METRO SHOES OPENS ITS 10TH STORE IN BANGALORE
OCTOBER 12, 2012
INDIA’S LARGEST FASHION
FOOTWEAR STORE OPENS AT INORBIT MALL, BANGALORE
Today Metro Shoes celebrates the opening of its 10th store in Bangalore. Targeted at the entire family, the product range at Metro Shoes will feature style, quality and the latest international trends that appeals to all age groups.
“With the constant support of our
loyal patrons and new customers Metro Shoes has opened its 10th store in
Bangalore. The success of our previous stores has been overwhelming and the
growing demand prompted us to open an additional store in the Garden city. With
fashion becoming an integral part of everyone’s daily life, Metro shoes would
like to give both men and women the opportunity to shop under one roof for all
their needs. The 1549 sq. ft Metro Shoes store provides both casual and formal
footwear for men and women, proving to be an ideal one stop solution for one’s
footwear needs” says Anwar Sayani, Regional Manager, Metro
Shoes.
A superb amalgamation of modern styling and rich Indian heritage, Metro
Shoes provides a one stop destination for all footwear needs; making it a must have
accessory in the wardrobe of every fashion aficionado including Bollywood
Stars. Keeping this perfect synergy in mind, Metro Shoes has on board the
uber-glamourous couple of Saif and Kareena as their new brand ambassadors.
The newly inaugurated store stocks more than 10,900 pairs of ladies’, men’s and kid’s shoes. Metro Shoes has 100 new designs which come in every month, making sure that every time a customer walks in they have something new to see. To celebrate the opening, Metro Shoes today announced a 20% discount on all in-house brands and 10% discount on international brands like Florsheim, Lee Cooper, Red Tape, Bulchee, Fila, and Franco Leone and Ganuchi on Friday and Saturday (12th – 13thOctober 2012).
“Bangalore has been a very
successful market for Metro Shoes since its inception in 1993 and we take this
opportunity to mark our success with a grand opening of the 10th store.
Customers from Shantiniketan Colony, Whitefield, Marachalli, K. R. Puram,
Indranagar have been visiting our stores and with the help of this store, we
are sure to amplify our presence. Casual and formal shoes are huge sellers in
this region and we are sure to have every customer walking into our store
delighted by the range” added Anwar Sayani, Regional Manager, Metro Shoes.
As in all Metro Shoes stores, the product range is customized to fit local tastes and fashion trends. Men’s shoes are priced from Rs. 1090 onwards while ladies’ shoes start from Rs. 590 onwards. Metro Shoes also houses men’s and women’s accessories such as handbags, wallets, belts and shoe care products ranging from Rs. 300.
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.54.29 |
|
|
1 |
Rs.84.09 |
|
Euro |
1 |
Rs.72.44 |
INFORMATION DETAILS
|
Information Gathered
by : |
PDT |
|
|
|
|
Report Prepared
by : |
TPT |
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 |
6 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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.