MIRA
INFORM REPORT
|
Report Date : |
04.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
ALEMBIC LIMITED
(w.e.f. 31.05.1999) |
|
|
|
|
Formerly Known
As : |
Alembic Chemical Works Company
LIMITED |
|
|
|
|
Registered
Office : |
Alembic Road, Vadodara – 390 033, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
30.07.1907 |
|
|
|
|
Com. Reg. No.: |
04-000033 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.267.040 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L26100GJ1907PLC000033 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BRDA00819A |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCA7950P |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacturing and Marketing of Fermentation and Chemistry based
Active Pharmaceuticals Ingredients (API) and company is also engaged in
Research and Development |
|
|
|
|
No. of Employees
: |
4058
(Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (57) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 7900000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is one of the oldest pharmaceutical companies in India. It manufacturers
wide range of formulations and bulk drugs. It is an old, well-established and
a reputed company having a fine track record. Alembic Limited’s (AL’s) pharmaceutical business (consisting of
domestic formulations, international generics and active pharmaceutical
ingredients) was transferred to APL [Alembic Pharmaceuticals Limited],
following APL’s demerger from AL, effective from April 1, 2010. There appears sharp dip in the sales turnover of the company during
2012 over the previous year. It has been incurring loss from its operation
from past two years. However, its net worth appears to be good. It has established market
in both domestic and overseas. Trade relations are reported as
trustworthy. Business is active. Payment terms are 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 – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
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 |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long Term Loan: AA- [Continues to be on
rating watch with the developing implications] |
|
Rating Explanation |
High degree of safety and very low credit
risk. |
|
Date |
December, 2010 |
Reason for Continues watch = Clarity on the implications of the demerger
on the credit risk profile of the subject.
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office/ Factory 1 : |
Alembic Road, Vadodara – 390 033, Gujarat, India |
|
Tel. No.: |
91-265-2284074/
75/ 2280550/ 2280880/ 3053333 |
|
Fax No.: |
91-265-2280331/
2228293/ 2281229/ 2282506/ 2282934/ 2281508/ 2282506 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory 2 : |
Wind Mills at Village Ukharla/Trambak, Tal-Ghogha, District Bhavnagar,
Gujarat, India |
|
|
|
|
Branch Office : |
2nd floor,
Prime Corporate Park, Behind ITC Grand Maratha Sheraton, |
|
Tel. No.: |
91-22-30611698 |
|
Fax No.: |
91-22-30611682 |
DIRECTORS
(AS ON 31.03.2012)
|
Name : |
Mr. Chirayu R. Amin |
|
Designation : |
Chairman and Managing Director |
|
Address : |
F-10/192, |
|
Qualification
: |
B. Sc., MBA |
|
Date of
Appointment : |
01.05.1983 |
|
|
|
|
Name : |
Mrs. Malika C. Amin |
|
Designation : |
Whole Time Director |
|
Address : |
F-10/192, |
|
Qualification
: |
M.A. |
|
Date of
Appointment : |
02.07.1988 |
|
|
|
|
Name : |
Dr. Babubhai R. Patel |
|
Designation : |
Director |
|
Address : |
Opposite Brahman Sabha Hall, |
|
Qualification
: |
M.A., MRCP EDIN. |
|
|
|
|
Name : |
Mr. Milin Mehta |
|
Designation : |
Director |
|
Date of
Appointment: |
30.03.2010 |
|
|
|
|
Name : |
Mr. Ramanlal M. Kapadia |
|
Designation : |
Director |
|
Address : |
49/50, Marti Mandir Society, |
|
Qualification
: |
M. Com. LLB., DTP, FICWA, FCS, AIMA.DM |
|
|
|
|
Name : |
Mr. Ashok Tulankar |
|
Designation : |
Director (w.e.f. 30.08.2011) |
KEY EXECUTIVES
|
Name : |
Mr. Chirag K. Shukla |
|
Designation : |
Company Secretary (w.e.f. 29.07.2011) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 30.09.2012)
|
Category of
Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
13402430 |
10.04 |
|
|
71336190 |
53.43 |
|
|
84738620 |
63.47 |
|
|
|
|
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
84738620 |
63.47 |
|
|
|
|
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
916460 |
0.69 |
|
|
11325077 |
8.48 |
|
|
|
|
|
|
3600 |
0.00 |
|
|
2850 |
0.00 |
|
|
750 |
0.00 |
|
|
12245137 |
9.17 |
|
|
|
|
|
|
|
|
|
|
4567708 |
3.42 |
|
|
|
|
|
|
|
|
|
|
25162204 |
18.85 |
|
|
5936931 |
4.45 |
|
|
|
|
|
|
865314 |
0.65 |
|
|
324562 |
0.24 |
|
|
507322 |
0.38 |
|
|
33430 |
0.03 |
|
|
36532157 |
27.36 |
|
|
|
|
|
Total Public
shareholding (B) |
48777294 |
36.53 |
|
|
|
|
|
Total (A)+(B) |
133515914 |
100.00 |
|
|
|
|
|
(C) Shares held
by Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
|
|
|
Total
(A)+(B)+(C) |
133515914 |
100.00 |
(1)
Indian
Individuals
/ Hindu Undivided Family
Any
OtherBUSINESS DETAILS
|
Line of Business : |
Manufacturing and Marketing of Fermentation and Chemistry
based Active Pharmaceuticals Ingredients (API) and company is also engaged in
Research and Development |
||||||||
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|
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|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
4058
(Approximately) |
||||||||||||||||||||||||||||||||||||||||||||||||
|
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|
||||||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
·
Bank
of Baroda ·
Axis
Bank ·
HDFC
Bank Limited ·
Yes
Bank Limited |
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Facilities : |
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|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
K. S. Aiyar and
Company Chartered
Accountants |
|
Address : |
Laxmi Estate No. F – 07/08, |
|
|
|
|
Associates Companies : |
· Alembic Pharmaceuticals Limited · Paushak Limited · Sierra Healthcare Limited · Alembic Export Limited · Nirayu Private Limited · Viramya Packlight Limited · Quick Flight Limited · Whitefield Chemtech Private Limited · Shreno Limited · Sierra Investments Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
150000000 |
Equity Shares |
Rs. 2/- each |
Rs.300.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs.300.000
Millions |
Issued, Subscribed
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
138464270 |
Equity Shares |
Rs. 2/- each |
Rs. 276.929 Millions |
|
|
|
|
|
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
133515914 |
Equity Shares |
Rs. 2/- each |
Rs. 267.031 Millions |
|
9365 |
Forfeited Equity Shares |
Rs. 2/- each |
Rs. 0.009 millions |
|
|
|
|
|
|
|
Total |
|
Rs.267.040 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
267.040 |
267.040 |
267.040 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
1704.645 |
1826.620 |
2890.293 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
1971.685 |
2093.660 |
3157.333 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
403.277 |
679.954 |
2493.130 |
|
|
2] Unsecured Loans |
932.852 |
7.574 |
1590.627 |
|
|
TOTAL BORROWING |
1336.129 |
687.528 |
4083.757 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
138.405 |
|
|
|
|
|
|
|
|
TOTAL |
3307.814 |
2781.188 |
7379.495 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1949.504 |
2020.763 |
3931.846 |
|
|
Capital work-in-progress |
4.257 |
0.994 |
38.972 |
|
|
|
|
|
|
|
|
INVESTMENT |
234.285 |
162.376 |
84.918 |
|
|
DEFERREX TAX ASSETS |
19.798 |
5.624 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
942.482
|
622.640
|
2449.493
|
|
|
Sundry Debtors |
160.411
|
471.478
|
1861.193
|
|
|
Cash & Bank Balances |
31.428
|
30.271
|
20.829
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
572.818
|
89.247
|
1254.443
|
|
Total
Current Assets |
1707.139
|
1213.636
|
5585.958
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditor |
256.802
|
479.428
|
1868.185
|
|
|
Other Current Liabilities |
278.054
|
67.914
|
204.234
|
|
|
Provisions |
72.313
|
74.863
|
189.780
|
|
Total
Current Liabilities |
607.169
|
622.205
|
2262.199
|
|
|
Net Current Assets |
1099.970
|
591.431
|
3323.759
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
3307.814 |
2781.188 |
7379.495 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1168.727 |
2019.303 |
10215.129 |
|
|
|
Other Income |
103.553 |
26.233 |
43.001 |
|
|
|
TOTAL (A) |
1272.280 |
2045.536 |
10258.130 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
777.404 |
1267.985 |
|
|
|
|
Purchase of Finished Goods |
0.000 |
7.008 |
|
|
|
|
Changes in inventories of Finished Goods and Work in process |
(244.495) |
36.855 |
|
|
|
|
Employee Benefit Expenses |
255.088 |
296.842 |
9291.864 |
|
|
|
Other expenses |
434.336 |
380.578 |
|
|
|
|
Exceptional Items - Voluntary Retirement Scheme |
24.763 |
42.232 |
|
|
|
|
TOTAL (B) |
1247.096 |
2031.500 |
9291.864 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
25.184 |
14.036 |
966.266 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
52.039 |
23.988 |
300.533 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(26.855) |
(9.952) |
665.733 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
109.320 |
100.677 |
430.190 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(136.175) |
(110.629) |
235.543 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(14.199) |
18.390 |
28.702 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
(121.976) |
(129.019) |
206.841 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
753.235 |
723.615 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Debenture Redemption Reserve |
NA |
0.000 |
79.170 |
|
|
|
Dividend – Equity Shares |
NA |
0.000 |
66.758 |
|
|
|
Corporate Dividend Tax – Equity Shares |
NA |
0.208 |
11.346 |
|
|
|
Reversal of Provision of Dividend – Buy
back shares |
NA |
0.000 |
0.630 |
|
|
|
Reversal of Provision of Corporate
Dividend Tax- Buy Back Share |
NA |
0.000 |
0.107 |
|
|
|
General Reserve |
NA |
0.000 |
20.684 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
609.995 |
751.761 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
85.789 |
212.406 |
3125.537 |
|
|
TOTAL EARNINGS |
85.789 |
212.406 |
3125.537 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
59.466 |
123.713 |
1024.188 |
|
|
|
Stores & Spares |
6.270 |
3.188 |
25.253 |
|
|
|
Capital Goods |
0.000 |
0.194 |
5.912 |
|
|
TOTAL IMPORTS |
65.736 |
127.095 |
1055.353 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(0.91) |
(0.97) |
1.53 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2012 |
30.09.2012 |
|
Type |
|
1st
Quarter |
2nd
Quarter |
|
Net Sales |
|
261.200 |
322.500 |
|
Total Expenditure |
|
286.600 |
373.700 |
|
PBIDT (Excl OI) |
|
(25.400) |
(51.200) |
|
Other Income |
|
16.100 |
103.400 |
|
Operating Profit |
|
(9.300) |
52.200 |
|
Interest |
|
8.900 |
15.000 |
|
Exceptional Items |
|
0.000 |
0.000 |
|
PBDT |
|
(18.200) |
37.200 |
|
Depreciation |
|
24.800 |
24.700 |
|
Profit Before Tax |
|
(43.000) |
12.500 |
|
Tax |
|
(3.700) |
0.200 |
|
Provisions and contingencies |
|
0.000 |
0.000 |
|
Profit After Tax |
|
(39.300) |
12.300 |
|
Extraordinary Items |
|
0.000 |
0.000 |
|
Prior Period Expenses |
|
0.000 |
0.000 |
|
Other Adjustments |
|
0.000 |
0.000 |
|
Net Profit |
|
(39.300) |
12.300 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
(9.59)
|
(6.31) |
2.02
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(11.65)
|
(5.48) |
2.31
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(3.72)
|
(3.42) |
2.47
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.07)
|
(5.28) |
0.07
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.99
|
0.63 |
2.01
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.81
|
1.95 |
2.47
|
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 |
Yes |
|
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 |
No |
|
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 |
Yes |
OPERATIONS:
The Company’s Gross
Sales including export incentives were Rs.1239.600 Millions for the year ended
31st March, 2012 as compared to Rs.2169.100 Millions for the previous year.
The profit before
Interest, Depreciation, Nonrecurring Income and Expenses and Taxes was Rs.50.000
Millions for the year as compared to Rs.56.300 Millions for the previous year.
During the year,
the interest and financing cost was Rs.52.000 Millions as compared to Rs.24.000
Millions in previous year.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT
INDUSTRY
PERSPECTIVE VIS-À-VIS COMPANY
The Company
operates primarily in three lines of business, manufacture of Bulk Drugs, Real
Estate and Power Generation through Windmills and Co-gen Power Plant which is
presently used for captive consumption for the operation of the Bulk Drugs
Manufacturing plant at Vadodara.
FINANCE
The Company has
registered a total income of Rs.1168.700 Millions for the year as compared to
Rs.2019.300 Millions for the previous year ended on 31st March, 2011. The
Company incurred a net loss of Rs.122.000 Millions compared to net loss of
Rs.129.000 Millions for the previous year ended on 31st March, 2011.
OUTLOOK:
The Pen-G business
was facing difficulties due to uneconomical prices of Pen-G and lack of support
from the Government. Hence the Company has stopped manufacturing of Pen G and
now focusing on other API products. The Company’s operations therefore have
been downsized.
The Company is
developing its maiden residential project in Vadodara. The project is spread on
6 Acres of Land consisting of 532 residential units and the total project cost
is around Rs.1320.000 Millions (excluding the value of land). As per the policy
of the Company, the cost/revenue from the project shall be recognized when 40%
of the cost of the project is incurred. The Company also has few Commercial
properties in Vadodara and Mumbai and the same have been leased out to various
corporate clients.
INTERNAL CONTROL
SYSTEMS AND ADEQUACY:
The Company
maintains a system of well-established policies and procedures for internal
control of operations and activities. The internal audit function is further
strengthened in consultation with statutory auditors for monitoring statutory
and operational issues. The Company has appointed M/s. S. H. Bathiya and Associates,
Chartered Accountants, as Internal Auditors.
The prime
objective of this audit is to test the adequacy and effectiveness of all
internal control systems and suggest improvements. Significant issues are
brought to the attention of the audit committee for periodical review.
CONTINGENT
LIABILITIES NOT PROVIDED FOR.
|
Particulars |
31.03.2012 |
31.03.2011 |
|
|
(Rs. In Millions) |
|
|
Wage revision and reinstatement of employees and other demands |
Unascertained |
Unascertained |
|
Letter of credit, Guarantees and counter guarantees |
55.444 |
32.998 |
|
Liabilities Disputed in appeal |
|
|
|
- Excise duty |
42.605 |
38.525 |
|
- Sales Tax |
24.221 |
24.221 |
|
Claims against the company not acknowledged as debt |
-- |
0.300 |
|
Income tax |
71.123 |
66.920 |
|
Non fulfillment of export obligation against advance license |
10.828 |
10.426 |
Fixed AssetS:-
·
Freehold Land
·
Buildings
·
Employees Quarters
·
Plant and Machinery
·
Furniture and Fixtures
·
Office Machinery
·
Vehicles
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 pyments 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.54.42 |
|
|
1 |
Rs.88.29 |
|
Euro |
1 |
Rs.71.49 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
57 |
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.