MIRA
INFORM REPORT
|
Report Date : |
18.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
GRAPHITE INDIA LIMITED |
|
|
|
|
Registered
Office : |
31, |
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|
Country : |
|
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|
|
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Financials (as
on) : |
31.03.2012 |
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|
|
|
Date of
Incorporation : |
02.05.1974 |
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|
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|
Com. Reg. No.: |
21-094602 |
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|
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Capital
Investment / Paid-up Capital : |
Rs.390.768 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L10101WB1974PLC094602 |
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|
|
|
Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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|
Line of Business
: |
Producer of Graphite Electrodes, Anodes and Other Miscellaneous Carbon
and graphite Products. |
|
|
|
|
No. of Employees
: |
2259 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (62) |
|
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 62000000 |
|
|
|
|
Status : |
Good |
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|
|
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Payment Behaviour : |
Regular |
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Litigation : |
Exists |
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|
Comments : |
Subject is a well established and a reputed company having fine track
record. Financial position of the company appears to be sound. Fundamentals are
strong and healthy. Trade relations are reported as fair. Business is active.
Payments are reported to be regular and as per commitments. The company can be considered normal 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) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
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 |
ICRA |
|
Rating |
NON CONVERTIBLE DEBENTURE : ICRA AA+ |
|
Rating Explanation |
High degree of safety and very low credit risk |
|
Date |
15.01.2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
SHORT TERM DEBT PROGRAMME : A1+ |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
15.01.2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office / Corporate Office : |
31, |
|
Tel. No.: |
91-33-22265755 / 2334 / 4942 / 40029600 |
|
Fax No.: |
91-33-22496420 |
|
E-Mail : |
|
|
Website : |
|
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|
|
|
GRAPHITE |
|
|
Factory 1: |
P.O. Sagarbhanga
Colony, Burdwan Durgapur – 713 211, West |
|
Tel. No.: |
91-343-2556641-45 / 2557743 |
|
Fax No.: |
91-343-2550896 |
|
|
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|
Factory 2: |
88 MIDC Industrial Area, Satpur, Nashik - 422 007, |
|
Tel. No.: |
91-253-2203300 / 2203328 / 2361472 / 2351143 |
|
Fax No.: |
91-253-2350676 |
|
|
|
|
Factory/R
and D Centre 3 : |
Visveswaraya
Industrial Area, |
|
Tel. No.: |
91-80-43473300 / 28524061-71 |
|
Fax No.: |
91-80-43473372 |
|
|
|
|
Coke |
|
|
Factory 4: |
Phulwaria,
Barauni - 851 112, |
|
Tel. No.: |
91-6279-232252 |
|
|
|
|
Impervious Graphite Equipment |
|
|
Factory 5: |
C-7 Ambad
Industrial Area, Nashik - 422 010, |
|
Tel. No.: |
91-253-2302100 |
|
|
|
|
Glass Reinforced Pipes/ Tanks |
|
|
Factory 6: |
Gut No. 523/524,
Village Gonde, Taluka – Igatpuri, Nashik - 422 403, |
|
Tel. No.: |
91-2553-225038 /
225039 |
|
|
|
|
Powmex Steels |
|
|
Factory 7: |
AT - Turla, PO -
Jagua, PS - Titilagarh, District Bolangir, Orissa - 767033, |
|
Tel. No.: |
91-6655-220504 /
220505 |
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|
|
|
Power |
|
|
Factory 8 : |
Chunchanakatte,
K R Nagar Taluk, |
|
Tel. No.: |
91-821-323182 /
681116 |
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|
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Factory 9 : |
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|
|
|
|
Sales Office |
407 Ashoka
Estate, 24, |
|
Tel. No.: |
91-11-23314364 |
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|
|
Regional Office : |
Located At ·
Mumbai ·
Delhi |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Mr. K. K. Bangur |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Bhaskar Mitter |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. P. K. Khaitan |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. S. Goenka |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. N. S. Damani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. A. V. Lodha |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. R. Srinivasan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. D. J Balaji Rao |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. J. D. Curravala |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N. Venkataramani |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. M. B. Gadgil |
|
Designation : |
Executive Director |
KEY EXECUTIVES
|
Name : |
Mr. B. Shiva |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2012
|
Category of
Shareholder |
Total No. of Shares |
% of Total No. of Shares |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
984567 |
0.50 |
|
|
110995580 |
56.81 |
|
|
111980147 |
57.32 |
|
|
|
|
|
|
186261 |
0.10 |
|
|
9415450 |
4.82 |
|
|
9601711 |
4.91 |
|
Total
shareholding of Promoter and Promoter Group (A) |
121581858 |
62.23 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
1310498 |
0.67 |
|
|
689755 |
0.35 |
|
|
7434650 |
3.81 |
|
|
31251384 |
16.00 |
|
|
40686287 |
20.82 |
|
|
|
|
|
|
12080762 |
6.18 |
|
|
|
|
|
|
15792514 |
8.08 |
|
|
2729522 |
1.40 |
|
|
2504651 |
1.28 |
|
|
39567 |
0.02 |
|
|
48031 |
0.02 |
|
|
6720 |
0.00 |
|
|
2410333 |
1.23 |
|
|
33107449 |
16.95 |
|
Total Public
shareholding (B) |
73793736 |
37.77 |
|
Total (A)+(B) |
195375594 |
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) |
195375594 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Producer of Graphite Electrodes, Anodes and Other Miscellaneous Carbon
and graphite Products. |
||||||||
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Products : |
|
PRODUCTION STATUS (AS ON : 31.03.2011)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Graphite Electrodes, Anodes and Miscellaneous Graphite Products |
M.T. |
55000 |
57241 |
|
Carbon Paste |
M.T. |
25000 |
6883 |
|
Impervious Graphite Equipment and Spares |
M.T. |
650 |
983 |
|
GRP/FRP Pipes and Tanks |
M.T. |
31000 |
9504 |
|
Calcined Petroleum Coke |
M.T. |
30000 |
33768* |
|
Electricity (MU) |
M.T. |
144 |
59* |
|
High Speed Steel |
M.T. |
3750 |
1439 |
|
Alloy Steel |
M.T. |
3000 |
459 |
|
* Includes Captive Consumption |
|
|
|
|
Graphite Electrodes, Anodes and Miscellaneous Graphite Products |
M.T. |
-- |
648 |
|
Calcined Petroleum Coke |
M.T. |
-- |
10956 |
|
Electricity (MU) |
M.T. |
-- |
55 |
GENERAL INFORMATION
|
No. of Employees : |
2259 (Approximately) |
||||||||||||||||||
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|
||||||||||||||||||
|
Bankers : |
·
Bank of India ·
Canara Bank ·
Citibank N.A. ·
Corporation Bank ·
HDFC Bank Limited ·
ICICI Bank Limited ·
IDBI Bank Limited ·
ING Vysya Bank Limited ·
Punjab National Bank ·
State Bank of India ·
The Hongkong and Shanghai Banking Corporation
Limited ·
UCO Bank |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Facilities : |
|
||||||||||||||||||
|
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|
||||||||||||||||||
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse Chartered Accountants |
|
|
|
|
Solicitors : |
·
Khaitan and Company ·
Orr, Dignam and Company |
|
|
|
|
Subsidiaries : |
·
Bavaria Carbon Holdings GmbH ·
Bavaria Carbon Specialities GmbH ·
Bavaria Electrodes GmbH ·
Carbon Finance Limited ·
Carbon International Holdings N.V. (Up to 13th
March, 2012) ·
Graphite Cova GmbH ·
Graphite International B.V. |
|
|
|
|
Others: |
·
Likhami Leasing Limited |
CAPITAL STRUCTURE
After 03.08.2012
Authorised Capital : Rs.400.000
Millions
Issued, Subscribed & Paid-up Capital : Rs.390.751 Millions
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200000000 |
Equity Shares |
Rs.2/- each |
Rs. 400.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
195375594 |
Equity Shares |
Rs.2/- each |
Rs. 390.751
Millions |
|
Add |
Forfeited Shares |
|
Rs. 0.017
Million |
|
|
TOTAL |
|
Rs. 390.768 Millions |
NOTES:
|
Reconciliation of the Number of Equity Shares : |
Number of Shares |
Number of Shares |
|
Number of Equity Shares at the Beginning of the Year |
195375594 |
171510110 |
|
Add: Equity Shares
Allotted on Conversion of Foreign Currency Convertible Bonds (FCCB) |
-- |
23865484 |
|
Number of Equity Shares at the End of the Year |
195375594 |
195375594 |
|
|
|
|
|
The Company has one class of Equity Shares having a par value of Rs.
2/- per share. Each shareholder is eligible for one vote per share held. The
dividend proposed by the Board of Directors is subject to the approval of the
shareholders in the ensuing Annual General Meeting except in case of interim
dividend. In the event of liquidation, the equity shareholders are eligible
to receive the remaining assets of the Company, after distribution of all
preferential amounts in proportion to their shareholdings. |
||
|
|
|
|
|
Details of
Equity Shares Held by Shareholders Holding More than 5% of the Aggregate
Shares of the Company : |
||
|
Name of Shareholder |
Number of Shares |
Number of Shares |
|
Likhami Leasing Limited |
55780000 (28.60%) |
55870000 (28.60%) |
|
The Emerald Company Limited |
20584781 (10.54%) |
19089781 (9.77%) |
|
The Bond Company Limited |
15888250 (8.13%) |
14600250 (7.47%) |
|
H.L. Investment Company Limited |
11455999 (5.86%) |
-- |
|
* Holding was less than 5%, hence not disclosed. |
|
|
|
|
|
|
|
Aggregate number
of Equity Shares allotted in 2009-10 as Fully Paid-up pursuant to a Scheme of
Arrangement / Amalgamation without payments being received in cash. |
19888336 |
19888336 |
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 |
390.768 |
390.768 |
343.037 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
15228.373 |
13644.216 |
11492.221 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
15619.141 |
14034.984 |
11835.258 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
3362.692 |
2001.707 |
809.782 |
|
|
2] Unsecured Loans |
1254.506 |
649.906 |
1682.793 |
|
|
TOTAL BORROWING |
4617.198 |
2651.613 |
2492.575 |
|
|
DEFERRED TAX LIABILITIES |
708.230 |
630.247 |
737.621 |
|
|
|
|
|
|
|
|
TOTAL |
20944.569 |
17316.844 |
15065.454 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
5433.039 |
4409.970 |
4659.296 |
|
|
Capital work-in-progress |
1266.595 |
950.343 |
195.493 |
|
|
|
|
|
|
|
|
INVESTMENT |
3334.805 |
2727.814 |
2527.600 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
8549.110
|
7598.162
|
5764.640
|
|
|
Sundry Debtors |
3752.869
|
2855.378
|
2505.874
|
|
|
Cash & Bank Balances |
111.218
|
301.419
|
755.678
|
|
|
Other Current Assets |
360.281
|
239.292
|
64.095
|
|
|
Loans & Advances |
1728.256
|
1499.651
|
1077.893
|
|
Total
Current Assets |
14501.734
|
12493.902 |
10168.180 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
1638.390
|
1423.540 |
1203.527
|
|
|
Other Current Liabilities |
690.385
|
604.650 |
389.214
|
|
|
Provisions |
1262.829
|
1236.995 |
892.374
|
|
Total
Current Liabilities |
3591.604
|
3265.185 |
2485.115 |
|
|
Net Current Assets |
10910.130
|
9228.717 |
7683.065
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
20944.569 |
17316.844 |
15065.454 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
16708.422 |
12259.439 |
11311.873 |
|
|
|
Other Income |
346.189 |
304.255 |
305.808 |
|
|
|
TOTAL (A) |
17054.611 |
12563.694 |
11617.681 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of
Materials Consumed |
6876.177 |
5971.309 |
3416.879 |
|
|
|
Employee
Benefits Expense |
970.437 |
843.971 |
743.106 |
|
|
|
Other Expenses |
5472.049 |
3836.384 |
0.000 |
|
|
|
Other Manufacturing, Selling and Administrative Expenses |
0.000 |
0.000 |
2610.318 |
|
|
|
Changes in
Inventories of Finished Goods and Work-in-Progress |
277.206 |
(1222.249) |
754.612 |
|
|
|
Exceptional
Items |
(296.163) |
127.309 |
0.000 |
|
|
|
TOTAL (B) |
13299.706 |
9556.724 |
7524.915 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3754.905 |
3006.970 |
4092.766 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
143.947 |
55.469 |
104.876 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3610.958 |
2951.501 |
3987.890 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
404.358 |
393.327 |
395.369 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
3206.600 |
2558.174 |
3592.521 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
827.696 |
835.000 |
1270.878 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
2378.904 |
1723.174 |
2321.643 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
NA |
443.951 |
|
|
|
|
|
|
|
|
|
Add |
TRANSFER
FROM DEBENTURE REDEMPTION RESERVE |
NA |
NA |
39.004 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
NA |
1000.000 |
|
|
|
Proposed Dividend on Equity Shares |
NA |
NA |
600.285 |
|
|
|
Dividend Tax |
NA |
NA |
99.700 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
NA |
1104.613 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods on FOB Basis |
8735.025 |
5819.581 |
5191.687 |
|
|
|
Royalty |
48.204 |
33.473 |
31.295 |
|
|
|
Guarantee Fee |
5.117 |
0.000 |
0.000 |
|
|
|
Interest |
3.600 |
3.064 |
8.639 |
|
|
|
Dividend |
0.000 |
12.141 |
0.000 |
|
|
|
Service Charges |
2.236 |
3.994 |
0.315 |
|
|
|
Sale of Carbon Credit |
2.996 |
0.000 |
0.000 |
|
|
|
Profit on Disposal of Long Term Investments |
296.163 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
9093.341 |
5872.253 |
5231.936 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
4410.758 |
3599.236 |
2918.798 |
|
|
|
Components and Spare Parts |
78.323 |
44.490 |
25.267 |
|
|
|
Capital Goods |
334.125 |
202.358 |
29.355 |
|
|
TOTAL IMPORTS |
4823.206 |
3846.084 |
2973.420 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) Basic Diluted |
12.18 12.18 |
9.19 8.82 |
13.58 12.03 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
|
|
1st
Quarter |
2nd
Quarter |
|
Net Sales |
4175.300 |
4070.500 |
|
Total Expenditure |
3444.500 |
3296.800 |
|
PBIDT (Excl OI) |
730.800 |
773.700 |
|
Other Income |
45.300 |
87.400 |
|
Operating Profit |
776.100 |
861.100 |
|
Interest |
53.400 |
45.300 |
|
Exceptional Items |
0.000 |
0.000 |
|
PBDT |
722.700 |
815.800 |
|
Depreciation |
114.700 |
119.800 |
|
Profit Before Tax |
608.000 |
696.000 |
|
Tax |
202.500 |
231.500 |
|
Provisions and contingencies |
0.000 |
0.000 |
|
Profit After Tax |
405.550 |
464.500 |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net Profit |
405.550 |
464.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
13.95
|
13.72 |
19.98
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
19.19
|
20.87 |
31.76
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
16.09
|
15.13 |
24.23
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.21
|
0.18 |
0.30
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.57
|
0.47 |
0.42
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
4.04
|
3.83 |
4.09
|
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF
UNSECURED LOANS:
(Rs.
In Millions)
|
Unsecured Loan |
31.03.2012 |
31.03.2011 |
|
Loans Repayable on Demand from Banks |
1254.506 |
649.906 |
|
TOTAL |
1254.506 |
649.906 |
|
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) |
Yes |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
Yes |
|
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 |
LITIGATION DETAILS
|
CALCUTTA HIGH COURT CASE STATUS INFORMATION SYSTEM Case Status :
PENDING Status of INCOME TAX APPEAL (ITA) 750 of 2008 COMMISSIONER OF
INCOME TAX, KOLKATA – IV
VS
GRAPHITE INDIA LIMITED Pet’s Adv. :
S. S. SARKAR Res’s Adv. :
Court No. :
13 Last Listed on : Monday, November 17, 2008 Category :
INCOME TAX : REVENUE
Case Updated on : Tuesday, November 18, 2008 |
BUSINESS REVIEW
The CSO (Central
Statistical Organization), has estimated that the Indian Economy is likely to
register a modest growth of 6.9% in FY 2011-12 as compared with the robust growth
of 8.4% registered in the two preceding years. It is further stated that the
sharp decline in growth in the manufacturing industry has led to the
significant slowdown in the National GDP growth rate. The economic / financial
crisis in the Eurozone, the minimal growth in the other industrialized nations
and the slow pace of recovery of the domestic sector, are all collectively
responsible for the overall depressed performance of the Indian economy. It is
however heartening to note that despite the challenging conditions faced by the
global economy, Indian exports have continued to be steady in the current year
and has registered a growth of 14.3% in real terms over and above 22.7% growth
achieved in FY 2010-11 (as per advance estimates). The outlook for the global
economy is neutral to cautiously positive, subject to a major upswing in the
economic prospects of Europe and other large trading blocks.
GRAPHITE INDIA
The Company has
repeated an impressive performance. Revenue from Operations for FY 2011-12 was
Rs. 17420.000 Millions as against Rs. 12830.000 Millions in the previous year
and PAT was Rs. 2380.000 Millions for the current year as against Rs. 1720.000
Millions in the previous year.
The Company’s
Graphite and Carbon Segment (Graphite Electrodes) continues to be the main
source of income and profit for the Company, accounting for about 84% of the
total revenues.
Higher levels of
capacity utilization backed by a strong volume growth, tighter cost control,
along with a weaker rupee geared the Company to register a notable performance
for the year, in spite of a miniscule price increase. The major players in
their aggressive drive to pick up volumes, kept the pressure on selling prices
through the year.
The performance of
the subsidiary companies too improved during the year aided wholly by growth in
volumes.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT
INDUSTRY’S
STRUCTURE AND DEVELOPMENTS
A.
GRAPHITE ELECTRODE BUSINESS
Capacity
utilization of this segment was 96% compared to the previous year’s 73%.
Graphite Electrode
is used in electric arc furnace (EAF) based steel mills for conducting current
and is a consumable item for the steel industry. The principal manufacturers
are based in USA, South America, Europe, India, China, Malaysia and Japan.
Graphite Electrode
demand is primarily linked with the global production of steel in electric arc
furnaces. Between
the two basic
routes for steel production- (1) Blast Furnace (BF); and (2) Electric Arc
Furnace (EAF) – the EAF route to steel production has increased over the last
two decades from 26% to about 32% at the global level. The
share of EAF is
expected to grow further in years to come due to its inherent favourable
characteristics of (a) an environment friendly and less polluting production
process; (b) low capital cost; and (c) faster project (commissioning) time.
Fresh investments in EAF steel mills are characteristics by large furnace
capacities requiring large diameter UHP Electrodes. It is expected that the
demand for UHP Electrodes too will grow synchronously. These industry dynamics
coupled with an increasing proportion of EAF steel share to total crude steel
production will directly augment the graphite electrode industry’s demand
profile.
The global crude steel
production during 2011 at 1.5 billion metric tonnes, was higher by 6.8%
compared to 1.4 billion metric tonnes in 2010 and is yet another record for
global crude steel production. The share of crude steel production through the
EAF is estimated conservatively at 28%. Commensurate with this rise, there was
significant revival in the demand for Graphite Electrodes with sales in volume
terms registering a growth of 29% on a Y-O-Y basis.
The Company’s
Order book for FY 2012-13 continues to be healthy despite the challenging
economic environment.
Durgapur Plant
Expansion: Part of the facilities of the capacity expansion module of 20,000 MT
of Graphite Electrodes at Durgapur Plant has been commissioned and the balance
is likely to be commissioned during the first half of FY 2012-13 in
synchronization with the manufacturing cycle. This module is characterized by
cost / energy efficient production facilities – focused on strict compliance
with latest pollution norms.
COKE DIVISION
The Coke Division
in Barauni, engaged in the manufacture of Calcined Petroleum Coke (CPC), is one
of the several backward integration initiatives of the Company. The Division
also makes Carbon Electrode Paste and Carbon Tamping Paste. Two grades of CPC –
aluminium and graphite – are produced here. CPC is a raw material
used in the
manufacture of regular and high power grade Graphite Electrodes. This is also a
critical raw material for fine grained high density graphite used in specialty
graphite products and impervious graphite equipment. Carbon Electrode Paste is
used in ferro alloy smelters and Carbon Tamping Paste is used as a lining
material in submerged arc furnaces.
Production of CPC
was adversely affected by the poor and unpredictable availability of RPC,
leading to a lower capacity utilization of 79% (97% in previous year). The
shortage of RPC is likely to continue during FY 2012-13.
B.
GRAPHITE EQUIPMENT BUSINES
The Impervious
Graphite Equipment (IGE) Division is engaged in manufacturing and marketing
heat exchangers, ejectors, pumps and turnkey plants at its Nashik Works. These
have wide range of applications in corrosive chemicals industries such as
pharmaceutical, agro-chemical, chloro alkali and fertilizer industries.
This Division
continues to be under demand pressure due to low levels of fresh investment in
new projects, both within the country and overseas. The effect of the economic
slowdown is apparently fading and the order booking in the current year is
better than the previous year.
This Division is
adequately equipped to meet the challenges of competition from established
European and Japanese producers.
The regulatory
requirement of export licences and the delay in obtaining the same, has to some
extent affected the delivery lead times resulting in loss of some business to
competition.
C.
GRP PIPES AND TANKS BUSINESS
Glass Reinforced
Plastic (GRP) Pipes and Tanks Division is engaged in manufacturing and
marketing of GRP Pipes and Tanks. The Company converts users of conventional pipe
systems to GRP through reengineering, strategic marketing, superior product
quality, competitive pricing and value-added services.
Driven by
strategic marketing initiatives, the division virtually doubled its turnover.
While the division is strategically equipped and poised well to deliver the
high end large diameter GRP pipes to the discerning customers of the power
project segment, the industry is faced with aggressive price competition from
several new entrants into the industry. The GRP Division is equipped well to
perform well despite such routine challenges.
D.
POWER
Power constitutes
one of the major costs of Electrode production. The Company has an installed
capacity of 33 MW of power generation through Hydel (19.5 MW) and Multi-fuel
routes (13.5 MW).
Generation through
hydel route was slightly less than the previous year, with normal rain.
The delay in
supply of power from the Wardha Power Company, coupled with higher cost of grid
power, has necessitated a review of the terms of the Power Purchase Agreement.
The power supply is likely to commence as soon as the new agreement is in
place.
E.
POWMEX STEELS DIVISION (PSD)
Powmex Steels
Division (PSD) is engaged in the business of manufacturing high speed steel and
alloy steel having its plant at Titilagarh in the State of Orissa. PSD is the
single largest manufacturer of High Speed Steel (HSS) in the country. Its
current market share is estimated at around 60%. HSS is used in the manufacture
of cutting tools such as drills, taps, milling cutters, reamers, hobs, broaches
and special form tools. HSS cutting tools are essentially utilized in – (a)
automotive; (b) machine tools; (c) aviation; and DIY market. The industry is
categorized by one dominant quality manufacturer of HSS viz. PSD and several other
small manufacturers who cater to the lower end of the quality spectrum in the
retail segment. On the demand side, the industry is broadly divided into large
and small cutting tool manufacturers who use both domestic and imported HSS.
PSD faces competition from small domestic producers and imports from large
overseas manufacturers.
SEGMENT-WISE
PERFORMANCE
REVENUE OF THE
COMPANY
The revenue from
operations amounted to Rs. 17420.000 Millions as against Rs. 12830.000 Millions
in the previous year.
Aggregate Export
Revenue of all divisions together was Rs. 9540.000 Millions as against Rs.
6350.000 Millions in the previous year.
(a)
GRAPHITE AND CARBON DIVISION
Production of
Graphite Electrodes and Other Miscellaneous Carbon and Graphite Products during
the year was 68,549 MT against 57,241 MT in the previous year.
Production of
Calcined Petroleum Coke during the year was 26,885 MT as against 33,768 MT in
the previous year.
Production of
Carbon Paste during the year was 8,308 MT against 6,883 MT in the previous
year.
Cost of all inputs
increased during the year.
(b)
POWER DIVISION
Total power
generated was 57 million units during the year, as against 59 million units in
the previous year.
(c)
POWMEX STEELS DIVISION (PSD)
Production of HSS
and Alloy Steels was 1,883 MT during the year as against 1,898 MT in the
previous year.
(d)
OTHERS
Production of
Impervious Graphite Equipment (IGE) Division and spares at 850 MT was lower as
compared to that of 983 MT in the previous year. The Glass Reinforced Plastic
Pipes (GRP) Division produced 11,198 MT as against 9,504 MT in the previous
year.
OUTLOOK
Recent economic
indicators suggest a slowing of
(a)
The world GDP growth rate to around 3.5% forecast
for 2012 due to continuing Eurozone crisis,
(b)
Contraction in Eurozone demand and also other parts
of the world and its consequent adverse impact on emerging markets. In spite of
all these, the world steel production is expected to be 1670 million tonnes in
2012, an increase of 105 million tonnes, as compared to 1565 million tonnes in
2011.
The Indian steel sector has grown substantially during the last decade,
registering a strong demand push in the last five years. The growth is expected
to increase further as new steelmaking capacity is getting added by several
steel manufacturers to meet the growing demand. It is likely to touch 90
million tonnes and is expected to cross 110 million tonnes by the end of
2012-13. However, the recent trend of disruption in availability of key inputs
like iron ore and steep rise in the price of coking coal, may lead to a
slowdown in FY 2012-13 as compared to the previous year.
It is projected that Electric Arc Furnaces will contribute to over 50%
of global steel production by 2020, in view of its various advantages, primarily
from the point of view of low emission of carbon dioxide. This development
augurs well for the growth of graphite electrode demand in future years.
With its competitive cost structure, strong technical product features
and a well diversified customer base, the Company has established its presence
in the global graphite electrode industry as a potential global player and this
has significantly enabled the Company to penetrate aggressively, the growing
market for large diameter UHP graphite electrodes.
It is expected that the domestic demand for steel and as a corollary for
Graphite Electrodes may increase marginally. Faced with unfavourable business
conditions, the global players have turned to the Asian markets and are
following an aggressive pricing policy to capture volumes. This is likely to
affect the Company’s domestic volumes as also the profit margins.
DISCUSSION ON
FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE
Revenue from
Operations recorded Rs.17420.000 Millions as against Rs. 12830.000 Millions in
the previous year. Graphite and Carbon Division contributed 84% to the revenue
of the Company while others contributed 16%.
The increase in
gross sale comprises increase both in terms of quantity and higher realisation
during the year. In the previous years the market dynamics prevented passing on
the increase in the cost of raw materials including power to customers.
The whole year was
a challenging one from the financial management perspective, owing to tight
liquidity, continuing volatility in currency exchange rates and high inflation,
a compounded situation hardly faced before, combined with the political turmoil
seen in many countries. In the face of growing export-import exposure,
financial challenges like currency rate fluctuations, rising interest rates and
commodity price risks required focused attention and effective management of
potential risks.
The RBI continued
its tight monetary policies throughout the year to combat the inflationary
conditions caused by
high commodity
prices and food inflation, by raising the interest rates 13 times since March,
2010.
Borrowing at
Rs.4620.000 Millions was higher than Rs. 2650.000 Millions of the previous
year, mainly due to increased working capital requirements consequent upon
increased operations and full draw down of ECB for expansion of production
capacity at Durgapur Plant.
There have been
repeated increases in operating costs due to the increased prices of Pitch, CPC,
Furnace Oil and Metcoke, as well as increase in manning and power costs. The
input costs are expected to rise further.
The operations
continue to generate adequate cash flows to fund normal capital expenditure,
expansion and higher requirements of working capital.
ICRA has
reaffirmed the long term rating at [ICRA] AA+ (pronounced ICRA double A plus)
which indicates that the outlook on the long term rating is stable. The
shortterm debt programme rating has been reaffirmed at [ICRA] ‘A1+’ (pronounced
ICRA A one plus). This rating indicates highest-credit-quality. The retention
of these ratings reflects the continuance of significant improvement in the
Company’s financial risk profile.
The Financial
Statements are prepared in accordance with revised Schedule VI to the Companies
Act, 1956.
Due to volatility
in the foreign-currency markets, companies were given an option to capitalize
exchange losses on long term borrowing in foreign currency. The Company has
availed this option and capitalized its foreign currency translation losses on
long term borrowing.
SUBSIDIARY
COMPANIES
In March 2012, the
Company sold shares it held in Carbon International Holdings NV, Curacao.
Presently, Carbon Finance Limited is wholly owned Indian subsidiary and
Graphite International B.V. in The Netherlands is wholly owned overseas
subsidiary of the Company which is the holding company of four subsidiaries in
Germany.
The Company made
an investment of Euro 4.5 mn in the share capital of its overseas subsidiary,
Graphite International B.V. and converted loan of Euro 1.3 mn into equity to
strengthen the capital base of the Company during the year.
The overseas
subsidiaries recorded a turnover of Euro 61.19 mn as compared to Euro 48.51 mn
in the previous year. The profit before tax of these overseas subsidiaries was
Euro 1.02 mn and profit after tax was Euro 0.78 mn
(as against Euro
0.16 mn and 0.13 mn).
The Company earned
by way of Royalty Rs.48.200 Millions during the year, as against Rs. 33.500
Millions in the previous year, from overseas subsidiaries.
The Ministry of
Corporate Affairs by a Circular dated 08 February, 2011 has granted exemption
from the provisions of Section 212 of the Companies Act, 1956 with regard to
the attachment of the accounts, reports, statement in terms of section
212(1)(e), etc. of its subsidiaries as part of its Accounts. The Board of
Directors of the Company has by a resolution given consent for not attaching
the aforesaid documents of its subsidiaries. The Annual Accounts of subsidiary
companies and the related detailed information will be made available to the
holding and subsidiary company investors seeking such information at any point
of time. The annual accounts of the subsidiary companies will also be kept for
inspection by any shareholder in the Registered Office of the Company and that
of the subsidiaries. The Company shall furnish a hard copy of details of
accounts of subsidiaries to any shareholder on demand.
FIXED ASSETS
·
Freehold Land
·
Leasehold Land
·
Buildings
·
Plant and Machinery
·
Machinery Spares
·
Office Equipment
·
Furniture and Fittings
·
Vehicles
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH JUNE, 2012
(Rs. In Millions)
|
Particulars |
Quarter Ended
30.06.2012 |
|
|
Unaudited |
|
(a) Net Sales/ Income from
operation |
4067.800 |
|
(b) Other Operating Income |
107.500 |
|
Total Income |
4175.300 |
|
Expenses |
|
|
Cost of Materials Consumed |
1807.200 |
|
Purchase of Stock in Trade |
-- |
|
Changes in Inventories of finished goods and work in progress |
(158.100) |
|
Employee benefits expenses |
260.600 |
|
Consumption of stores and spare parts |
310.500 |
|
Power and fuel |
742.300 |
|
Depreciation and amortization |
114.700 |
|
Other expenses |
482.000 |
|
Total |
3559.200 |
|
3. Profit(+)/ Loss(-) from Operations before other Income Interest and
Exceptional Item(1-2) |
616.100 |
|
4. Other Income |
45.300 |
|
5. Profit(+)/ Loss(-) before Interest and Exceptional Item |
661.400 |
|
6. Interest |
53.400 |
|
7. Profit(+)/ Loss(-) after Interest but before Exceptional Item (5-6) |
608.000 |
|
8. Exceptional Items |
-- |
|
9. Profit(+)/
Loss (-) from ordinary activities
before Tax (7-8) |
608.000 |
|
10. Tax Expenses |
202.500 |
|
11. Net Profit(+)/ Loss (-) from ordinary activities after Tax (9-10) |
405.500 |
|
12. Extraordinary Items (Net of Tax Expense Rs.________) |
-- |
|
13. Net Profit (+)/ Loss(-) for the period (11-12) |
405.500 |
|
14. Paid Up Equity Share Capital (Face Value of Rs.10 Per Share) |
390.800 |
|
15. Reserves excluding Revaluation Reserves as per Balance Sheet of
Previous Accounting Year |
-- |
|
16. Earning per Share (EPS) |
|
|
a) Basic and diluted EPS before extraordinary items for the period,
for the year to date and for the previous year (not annualised) |
2.08 |
|
b) Basic and diluted EPS after extraordinary items for the period,for the
year to date and for the previous year (not
annualised) |
2.08 |
|
17. Public Shareholding |
|
|
Number of Shares |
73793736 |
|
% of Share holding |
37.77 |
|
18. Promoters and promoter group Shareholding |
|
|
a) Pledged/Encumbered |
|
|
- Number of shares |
-- |
|
- Percentage of shares (as a % of the total
shareholding of promoter and promoter
group) |
-- |
|
- Percentage of shares (as a
% of the total share capital of the
company) |
-- |
|
b) Non-encumbered |
|
|
- Number of shares |
121581858 |
|
- Percentage of shares (as a % of the total
shareholding of promoter and
promoter group) |
100.00 |
|
- Percentage of shares (as a
% of the total share capital of the
company) |
62.23 |
|
Particulars
|
Quarter
Ended 30the June 2012 |
|
Pending at the beginning of the quarter |
Nil |
|
Received during the quarter |
9 |
|
Disposed of during the quarter |
9 |
|
Remaining unresolved at the end of the quarter |
Nil |
SEGMENT REPORTING
AS PER CLAUSE 41 OF THE LISTING AFREEMENT
(Rs. In Millions)
|
Sl. No. |
|
Particulars |
Quarter Ended |
|
|
30.06.2012 |
||
|
|
(Unaudited) |
||
|
1 |
|
Segment Revenue |
|
|
|
|
|
|
|
|
|
Graphite and Carbon |
3656.800 |
|
|
|
Power |
33.700 |
|
|
|
Steel |
240.900 |
|
|
|
Unallocated |
338.400 |
|
|
|
|
|
|
|
|
Total |
4269.800 |
|
|
|
|
|
|
|
|
Less : Inter Segment Revenue |
94.500 |
|
|
|
|
|
|
|
|
Sales / Income from
Operations – Net |
4175.300 |
|
|
|
|
|
|
2 |
|
Segment Results |
|
|
|
|
Profit before tax and interest |
|
|
|
|
|
|
|
|
|
Graphite and Carbon |
746.800 |
|
|
|
Power |
5.100 |
|
|
|
Steel |
3.500 |
|
|
|
Unallocated |
44.300 |
|
|
|
|
|
|
|
|
Total |
799.700 |
|
|
|
|
|
|
|
|
Less :Interest |
53.400 |
|
|
|
Less :Other Un-allocable Expenses and Extra Ordinary Items |
138.300 |
|
|
|
|
|
|
|
|
Total Profit Before
Tax |
608.000 |
|
|
|
|
|
|
3 |
|
Capital Employed |
|
|
|
|
(Segment Assets – Segment Liabilities) |
|
|
|
|
|
|
|
|
|
Graphite and Carbon |
16828.100 |
|
|
|
Power |
442.600 |
|
|
|
Steel |
1859.400 |
|
|
|
Unallocated |
1048.000 |
|
|
|
|
|
|
|
|
Total |
20178.100 |
NOTES
1. The above results have been reviewed by the Audit Committee and approved
by the Board at its meeting held on 3rd August, 2012. The Auditors
of the company have carried out a Limited Review of the financial results for
the quarter ended 30th June 2012 on terms of clause 41 of the
Listing Agreement with Stock Exchanges.
2. Generation of power at hydro electrical plants is seasonal in nature.
3. The figures of the quarter ended 31st March, 2012 are the
balancing figures between the audited figures in respect of the full financial
year ended 31st March, 2012 and the unaudited published year-to-date
figures up to the figures up to the third quarter ended 31st
December, 2011.
4. Exceptional items represent profit on disposal of long – term investments
in a wholly owned subsidiary.
5. Karnataka State Pollution Control Board vide its letter dated 2nd
July, 2012 had ordered closure of industrial operations in the Company’s plant
in Bengaluru (primarily engaged in Graphite and Carbon segment), alleging
non-compliance with the provisions of the Air (Prevention and control of
Pollution) Act, 1981. The closure order was complied with. The Company being
aggrieved by the alleged non-compliance and the consequent closure order, filed
an appeal with the Appellate Authority. The Appellate Authority has passed an
interim order on 25th July, 2012 granting stay of the orders of
KSPCB. Work at the plant has since been resumed.
6. Figures for the previous year / period have been regrouped / rearranged
wherever necessary to confirm to current period’s classification.
WEB DETAILS
PROFILE
Subject is the largest producer of graphite electrodes in
Subject manufactures the full range of graphite electrodes but stays
focused on the higher margin, large diameter, ultra-high power (‘UHP’)
electrodes. Approximately 85% of the Company’s total capacity is currently UHP.
Subject is well poised in the global graphite electrode industry through its
quality, scale of operations and low cost production base.
The Company also has facilities designed for the manufacture of Calcined
Petroleum Coke (30 KT), Impervious Graphite Equipment and Glass Reinforced
Plastic Pipes and Tanks. It has an installed capacity of 33 MW of power
generation through hydel and multi-fuel routes.
Constant endeavours towards
re-invention, re-engineering, quality upscaling and customer support, have
helped in enhancing value propositions to their clients. A truly global
company, subject now exports around 65% of its production to over 50 countries.
Subject is working towards achieving an industry preferred status with its
customers worldwide.
BUSINESS DESCRIPTION
Subject through four segments: graphite and carbon, power, steel and others. Graphite and carbon segment is engaged in the production of graphite electrodes, anodes and other miscellaneous carbon and graphite products. Power segment is engaged in generation of power. Steel segment is engaged in production of high speed steel and alloy steel, and other segment is engaged in manufacturing of impervious graphite equipment (IGE) and glass reinforced pipes (GRP). The Company's coke division in Barauni is engaged in the manufacture of calcined petroleum coke (CPC), electrode paste and tamping paste. The Company has an installed capacity of 33 megawatts (MW) of power generation through Hydel (19.5 megawatts) and Multifuel routes (13.5 megawatts). For the fiscal year ended 31 March 2010, subject's revenues decreased 10% to RS13.79B. Net income decreased less than 1% to RS2.35B. Revenues reflect decreased income from Graphite and Carbon segment and lower income from power segment. Net income partially offset by a decrease in consumption of raw materials, lower employee cost, decreased electricity charges and lower other expenditure.
BOARD OF DIRECTORS
Mr. K. K. Bangur -
Non-Executive Chairman of the Board
Mr. K. K. Bangur is Non-Executive Chairman of the Board of subject. He
has been exposed to business and industry at an early age and has more than 25
years of experience in managing the affairs of companies and its business
activities. He has been a director of the Company since July 1988 and Chairman
since July 1993. He is President of All India Organization of Employers (AIOE)
and Member, Board of Governors of Indian Institute of Social Welfare and
Business Management (IISWBM) and Chairman of Council of Indian Employers (CIE).
He is a past President of Indian Chamber of Commerce, Kolkata and Executive
Committee member of FICCI. He is Chairman of the Shareholders / Investors
Grievance Committee and 'Committee for Borrowings' of the Company.
Mr. J. D.
Curravala - Non-Executive Independent Director
Mr. J. D. Curravala is Non-Executive Independent Director of subject. He
qualified Chartered Accountant and a graduate having wide experience in
Finance, Administration, Corporate Management and Business Operations.
Mr. N. S. Damani -
Independent Non-Executive Director
Mr. N.S. Damani is Independent Non-Executive Director of subject. He is
an industrialist and is presently Chairman and Managing Director of Simplex
Realty Limited. He is a science graduate and has completed business management
studies. He has around 32 years experience in business and industry.
Mr. M. B. Gadgil -
Executive Director
Mr. M. B. Gadgil is Executive Director of subject qualified engineer and
has completed business management studies. He has been with the Company since
1978 and has a experience in the graphite electrode industry. He was the
'President' of the Company prior to his elevation as Executive Director.
Mr. Sanjiv Goenka
- Independent Non-Executive Director
Mr. Sanjiv Goenka is Independent Non-Executive Director of subject. He
is Vice Chairman of RPG Enterprises, one of
Education
·
B, Saint Xavier University
Mr. Pradip Kumar
Khaitan - Non-Executive Director
Shri. Pradip Kumar Khaitan is Non-Executive Director of subject. He
holds B.Com, L.L.B., Attorney-at-Law (Bell Chambers Gold Medalist) is an
eminent legal personality in the country. He is a member of the Bar Council of
India, Bar Council of West Bengal and Indian Council of Arbitration,
Education
·
LLB , University of Calcutta
Mr. Aditya Vikram
Lodha - Independent Non-Executive Director
Mr. Aditya Vikram Lodha is Independent Non-Executive Director of
subject. He is a qualified Chartered Accountant and is the Country Managing
Partner of Lodha and Company. He has over 24 years of experience in providing
advisory services to a diverse client base across a wide spectrum of
industries. He has handled various consultancy assignments in fields of
corporate restructuring, mergers and acquisitions, joint ventures,
collaborations, business strategy etc. He has also assisted Indian corporates
to raise resources from the overseas capital markets and also advises many
clients on market investments. Mr. Lodha served as the President of the Indian
Chamber of Commerce (ICQ, Kolkata twice i.e., in 1998-99 and in 2001- 02 in its
75th year (Platinum Jubilee Year) as well as served as the Chairman of its
Banking and Finance Committee. He has also served as a Member of The National
Council of CII and was National Committee Chairman of its Accounting Standards
and Corporate Disclosures and Tax Committees. He served as a member of the High
Level Naresh Chandra Committee for corporate audit and governance, appointed by
the Government of India, Governing Body of Indian Council of Arbitration,
Governing Council of the Central Manufacturing Technology Institute, Bangalore,
Peer Review Board of Institute of Chartered Accountants of India, Industrial
Development Bank of India's Eastern Regional Advisory Board, State Advisory
Board on Investment Promotion in Tripura.
Mr. Bhaskar Mitter
- Independent Non-Executive Director
Mr. Bhaskar Mitter is Independent Non-Executive Director of subject. He
is intimately connected with the business world and has acquired experience
over the whole range of business operations. He is a past President of
Associated Chamber of Commerce and Industry of India and was a Director amongst
others of Reserve Bank of India, Life Insurance Corporation of
Mr. D. J. Balaji
Rao - Independent Non-Executive Director
Mr. D.J. Balaji Rao is Independent Non-Executive Director of subject. He
holds a Degree in Mechanical Engineering and PG Diploma in Industrial
Engineering. He attended the Advanced Management Program at the European
Institute of
Education
·
Mechanical Engineering, University of Madras
Mr. R. Srinivasan
- Independent Non-Executive Director
Shri. Dr. R. Srinivasan is Independent Non-Executive Director of
subject. He has more than 40 years of experience in the banking industry. He
held various positions in banks and finally as Chairman and Managing Director
of New Bank of India, Allahabad Bank and Bank of India. He has been a director
of the Company since October 1993. He was Chairman of Indian Banks Association
for several years, a director of IDBI, Discount and Finance House of India, New
India Assurance Company Limited and ECGC. He was also on various high level
Committees constituted by RBI. He is a member of the Audit Committee and
Remuneration Committee of the Company.
Education
·
BE Mechanical Engineering, University of Madras
Mr. N.
Venkataramani - Non-Executive Director
Mr. N. Venkataramani, Esq., is Non-Executive Director of subject. He is
qualified engineer with experience in managing business enterprises. He was
associated with the Company from October, 1988 till September 1995, was
thereafter with GKW Limited as President of a division and then joined the
erstwhile subject in June, 2001. He was elevated to the post of Executive
Director in September, 2001 which he held till his retirement on June 30, 2009.
He is a member of Shareholders/Investors Grievance Committee and 'Committee for
Borrowings' of the Company.
Education
·
MS Mechanical Engineering, University of London
·
BS Mechanical Engineering, University of London
·
Mathematics, University of Delhi
PRESS RELEASES
WINS DEFENCE
TECHNOLOGY ABSORPTION AWARD 2011
August 2, 2012
KOLKATA, India, August 2, 2012 – Graphite India Limited, the largest
Indian graphite electrode producer, has been selected by the Defence Research
and Development Organization (DRDO) for the “Defence Technology Absorption
Award” for the year 2011.
The Defence Technology Absorption Awards are to honour the
industrial partners of the DRDO from various sectors for their outstanding
contributions in furthering their strategic initiatives.
The Award was presented on July 31, 2012 by The Prime Minister,
Dr. Manmohan Singh in the presence of the Defence Minister, A. K. Antony.
Graphite India has established the Carbon-Carbon brake disc
manufacturing facilities by assimilating and absorbing the intricate aspects of
C/C brake disc process technology, acquiring special skills in fabrication
aspects and successfully producing C/C brake discs for limited series
production (LSP) and special Series Production (SP) of Air Force and Naval
version of Tejas aircraft
(LCA) to airworthy standards.
Graphite India: Fact Sheet
Graphite India is the largest Indian producer of graphite
electrodes and one of the largest globally, by total capacity. Its
manufacturing capacity of approximately 98,000 tonnes per annum is spread over four
plants at Durgapur (54,000 MT post expansion), Bangalore (13,000 MT), Nashik
(13,000 MT) and Nurnberg in Germany (18,000 MT). The Company accounts for
approximately 6.5% of global electrode capacity and has over 40 years of
technical expertise in the industry. With its corporate office in Kolkata,
India, the Company services its clients in over fifty countries and exports
account for approximately 56% of revenues. Graphite India manufactures the full
range of graphite electrodes but stays focused on the higher margin, large
diameter, ultra-high power (“UHP”) electrodes.
Graphite India is well poised in the global graphite
electrode industry through its quality, scale of operations and low cost
production base. Graphite India also manufactures Calcined Petroleum Coke
(“CPC”) for use in electrode manufacturing. The Company has facilities designed
for the manufacture of impervious graphite equipment and glass reinforced
plastic pipes and tanks. It has an installed capacity of 33 MW of power
generation through hydel and multi-fuel routes.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.64 |
|
|
1 |
Rs.87.46 |
|
Euro |
1 |
Rs.72.65 |
INFORMATION DETAILS
|
Report Prepared
by : |
BSN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
62 |
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.