MIRA
INFORM REPORT
|
Report Date : |
18.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
MANAPPURAM FINANCE LIMITED |
|
|
|
|
Formerly Known
As : |
MANAPPURAM GENERAL FINANCE AND LEASING LIMITED |
|
|
|
|
Registered
Office : |
V/ 104, Manappuram House, Valapad P O, Trichur – 680567, Kerala |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
15.07.1992 |
|
|
|
|
Com. Reg. No.: |
09-006623 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 1682.310 millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L65910KL1992PLC006623 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHNM00410E |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AABCM6882E |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Non Banking Financial Company (‘NBFC’), which Provides a wide
range of Fund Based and Fee Based Services Including Gold Loans, Money
Exchange Facilities, etc. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
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 95200000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established company have a good track record. Financially
company seems to be strong. Performance capability appears to be high. Trade relations are reported to be fair. Business is active. payments
are reported to be usually correct and as per commitment. The company can be considered for normal business dealing at usual
trade terms and condition. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Cash Credit : “A+” |
|
Rating Explanation |
Having adequate degree of safety regarding timely servicing of financial
obligation. It carry low credit risk. |
|
Date |
March, 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 : |
V/ 104, Manappuram House, Valapad P O, Trichur-680567, |
|
Tel. No.: |
91-487-2399306 / 2391892 / 2399303 / 3050000 / 3050108 /
3050122 |
|
Fax No.: |
91-487-2399298 |
|
E-Mail : |
|
|
Website : |
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|
|
|
|
Corporate Office
: |
501, 5th Floor, Aiswarya Business Plaza Near Aiswarya Tower, CST Road Kalina Santakruz (East), Mumbai - 400098, Maharashtra, India |
|
Tel. No.: |
91-22-26674311 |
|
|
|
|
Regional
Office Network : |
Located
at Ananathapur Vijayawada Chandigarh Raipur Delhi Ahamadabad Hubli Mangalore Bangalore Thiruvananthapuram Kozhikode Thrissur Bhopal Mumbai Bhuvaneswar Jaipur Madurai Coimbatore Chennai Lucknow Kolkata |
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|
|
|
Branch Offices : |
Located
at : Kerala Gujarat Orissa Uttarkhand Pondicherry Rajasthan Chattisgarh Assam Tamilnadu Uttar
Pradesh Goa Himachal
Pradesh Karnataka Delhi Bihar Andaman
and Nicober Island Andhra
Pradesh Haryana Jammu
and Kashmir Daman
and Diu Maharashtra
Punjab Jharkhand Madhya
Pradesh West
Bengal Chandigarh |
DIRECTORS
|
Name : |
Mr. V. P. Nandakumar |
|
Designation : |
Executive Chairman |
|
Date of Birth/Age : |
58 Years |
|
Qualification : |
Masters Degree in Science |
|
|
|
|
Name : |
Mr. I. Unnikrishnan |
|
Designation : |
Managing Director |
|
Date of Birth/Age : |
48 Years |
|
Qualification : |
Bachelors Degree in Commerce |
|
|
|
|
Name : |
Mr. B. N. Raveendra Babu |
|
Designation : |
Joint Managing Director |
|
Date of Birth/Age : |
60 Years |
|
Qualification : |
Masters Degree in Commerce |
|
|
|
|
Name : |
Adv. V. R. Ramachandran |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
59 Years |
|
Qualification : |
bachelors degree in Science |
|
|
|
|
Name : |
Mr. A. R. Sankaranarayanan |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
85 Years |
|
Qualification : |
Masters Degree in Science |
|
|
|
|
Name : |
Mr. P. Manomohanan |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
70 Years |
|
Qualification : |
Bachelor’s Degree in Commerce |
|
|
|
|
Name : |
Dr. V. M. Manoharan |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
65 Years |
|
Qualification : |
Masters Degree in Commerce |
|
|
|
|
Name : |
Mr. M. Anandan |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
62 Years |
|
Qualification : |
Bachelors Degree in Commerce |
|
|
|
|
Name : |
Mr. Shailesh J Mehta |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
63 Years |
|
Qualification : |
Bachelor of Technology in Mechanical Engineering |
|
|
|
|
Name : |
Mr. Jagdish Capoor |
|
Designation : |
Independent and Non Executive Director |
|
Date of Birth/Age : |
72 Years |
|
Qualification : |
Masters Degree in Commerce |
|
|
|
|
Name : |
Mr. Gautam Saigal |
|
Designation : |
Nominee and Non Executive Director |
|
Date of Birth/Age : |
46 Years |
|
Qualification : |
Masters Degree in Commerce |
|
|
|
|
Name : |
Mr. Sudhindar Krishan Khanna |
|
Designation : |
Nominee and Non Executive Director |
|
Date of Birth/Age : |
59 Years |
KEY EXECUTIVES
|
Name : |
Mr. Rajesh Kumar.K |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Ms. Bindhu A. L. |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. N. R. Bahuleyan |
|
Designation : |
Chief General Manager |
|
|
|
|
Name : |
Mr. K. B. Brahmadathan (Retd. Chief General Manager BSNL) |
|
Designation : |
Chief Technical Advisor |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2013
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % |
|
|
|
|
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
265413401 |
31.55 |
|
|
265413401 |
31.55 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
265413401 |
31.55 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
11611206 |
1.38 |
|
|
51093 |
0.01 |
|
|
355907931 |
42.31 |
|
|
367570230 |
43.70 |
|
|
|
|
|
|
14397199 |
1.71 |
|
|
|
|
|
|
76483093 |
9.09 |
|
|
39809433 |
4.73 |
|
|
77533780 |
9.22 |
|
|
11486625 |
1.37 |
|
|
8168384 |
0.97 |
|
|
2995033 |
0.36 |
|
|
1152860 |
0.14 |
|
|
53730878 |
6.39 |
|
|
208223505 |
24.75 |
|
Total Public shareholding (B) |
575793735 |
68.45 |
|
Total (A)+(B) |
841207136 |
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) |
841207136 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Non Banking Financial Company (‘NBFC’), which Provides a wide
range of Fund Based and Fee Based Services Including Gold Loans, Money
Exchange Facilities, etc. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
||||||||||||||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
· Andhra bank United
Bank of India Dena
Bank Indusind
Bank State
Bank of India Axis
Bank State
Bank of Travancore Corporation
Bank UCO
Bank Punjab
and Sind Bank Ratnakar
Bank Union
Bank Vijaya
Bank DBS HDFC
Bank Dhanlaxmi
Bank Punjab
National Bank State
Bank of Mauritius Oriental
Bank of Commerce ICICI
Bank Lakshmi
Vilas Bank State
Bank of Patiala Kotak
Mahindra Bank Syndicate
Bank Development
Credit Bank Indian
Overseas Bank IDBI
Bank South
Indian Bank Federal
bank Karur
Vysya Bank Catholic
Syrian Bank Karnataka
Bank Yes
Bank Central
bank |
||||||||||||||||||||||||||||||||||||||||||
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|
||||||||||||||||||||||||||||||||||||||||||
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Facilities : |
Note: “Indian
Rupee loans from banks includes: i) Rs. 2000.000 taken for onward lending against gold jewellery. These loans carry an interest rate of 14% (floating - BR + 4.5%) and are repayable at the end of 18 months from the date of the loan. These are secured by an exclusive charge by way of hypothecation of book debts pertaining to loans granted against gold with a margin of 15%. Also, they are secured by a cash collateral deposit of 5% of the loan amount, lien marked in favour of the bank during the tenor of the loan. Further, the loan has been guaranteed by the personal guarantee of Mr. V.P Nandakumar. Executive Chairman. ii) Rs. 112 availed for the purpose of construction of the corporate office. These loans carry an interest rate of 13.5% (floating - BR + 3%) and are repayable at the end of 77 months from the date of the loan. These loans are secured by an exclusive mortgage of 53.07 cents of property of the Company situated at Trikkur Village, Mukundapuram taluk. Also, they are secured by a cash collateral deposit of 10% of the sanction amount, lien marked in favour of the bank during the tenor of the loan. Further, the loan has been guaranteed by the personal guarantee of Mr. V.P Nandakumar. Executive Chairman.” Vehicle loans carry an interest of 10 to 12 % and are payable in 30 to 60 installments from the date of the loan. The loans are secured by hypothecation of the respective vehicles against which the loan has been availed. Subordinate debt from banks includes Rs. 1000.000 (previous year : Rs. 1000.000) which carries an interest rate of 14.5% (floating - BR + 4.5%) and is repayable at the end of five years and three months from the date of the loan viz. December 13, 2010, and Rs. 500.000 (previous year : Rs. Nil) which carries an interest rate of 14% (floating - BR + 3.3%) and is repayable at the end of five years and three months from the date of the loan viz. January 28, 2012. Commercial papers carry interest rates of 10.5% to 13.3% and their tenor ranges from 90 days to 365 days. |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Associates Chartered Accountants |
|
Address : |
Tidel Park, 6th And 7th Floor - A Block, Module 601, 701-702, No 4 Rajiv Gandhi Salai, Taramani, Chennai-600113, Tamilnadu, India |
|
Tel. No.: |
91-44-66548100 |
|
Fax No.: |
91-44-22540120 |
|
|
|
|
Associates /
Enterprises owned or significantly influenced by key management personnel or
their relatives : |
· Manappuram Benefit Fund Limited Manappuram
Chits (India) Limited Manappuram
Asset Finance Limited Manappuram
Finance (sole proprietorship) Manappuram
Insurance Brokers Private Limited Manappuram
Jewellers Private Limited Manappuram
Healthcare Manappuram
Foundations (charitable trust) Manappuram
Chits India Manappuram
Agro farms Manappuram
Chit Funds Company Private Limited Manappuram
Chits Company (Karnataka) Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
98000000 |
Equity Shares |
Rs. 2/- each |
Rs. 1960.000 millions |
|
400000 |
redeemable preference shares |
Rs. 100/- each |
Rs. 40.000 |
|
|
|
|
|
|
|
Total |
|
Rs. 2000.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
841153136 |
Equity Shares |
Rs. 2/- each |
Rs. 1682.310 millions |
|
|
|
|
|
Reconciliation of the
shares outstanding at the beginning and at the end of the reporting period
|
Particulars |
31.03.2012 |
|
|
No. millions |
Amount (in
millions) |
|
|
At the beginning of the year |
416.87 |
833.740 |
|
Issued during the period - Bonus issue |
416.87 |
833.740 |
|
Preferential allotment |
-- |
-- |
|
Issued during the period - ESOP |
7.41 |
14.820 |
|
Qualified Institutional Placement |
-- |
-- |
|
Outstanding at the end of the period |
841.150 |
1682.300 |
Terms/rights
attached to equity shares
The Company has only one class of equity shares having a par value of ` 2/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.
During the year ended 31 March 2012, the amount of per share dividend recognised as distributions to equity shareholders was Rs. 1.50/- (31 March 2011: Re. 0.60/- per share, after considering bonus issue).
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
Aggregate number of bonus shares issued,
and shares issued for consideration other than cash during the period of five
years immediately preceding the reporting date:
|
Particulars |
31.03.2012 No. millions |
|
Equity shares allotted as fully paid bonus shares by capitalisation of securities premium, general reserve and capital redemption reserve. |
614.56 |
In addition, the Company has issued total 11,159,880 shares (March 31, 2011: 3,755,120) during the period of five years immediately preceding the reporting date on exercise of options granted under the employee stock option plan (ESOP) wherein part consideration was received in form of employee services.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
1682.310 |
833.750 |
|
(b) Reserves & Surplus |
|
22128.130 |
18405.820 |
|
(c) Money
received against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
|
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
23810.440 |
19239.570 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
10717.420 |
4892.290 |
|
(b) Deferred tax liabilities (Net) |
|
0.000 |
0.000 |
|
(c) Other long term liabilities |
|
106.570 |
47.170 |
|
(d) long-term provisions |
|
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
|
10823.990 |
4939.460 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
72313.610 |
48708.210 |
|
(b) Trade payables |
|
0.000 |
0.000 |
|
(c) Other current
liabilities |
|
12226.500 |
3991.900 |
|
(d) Short-term provisions |
|
1593.880 |
947.470 |
|
Total Current Liabilities (4) |
|
86133.990 |
53647.580 |
|
|
|
|
|
|
TOTAL |
|
120768.420 |
77826.610 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
2163.720 |
1319.020 |
|
(ii) Intangible Assets |
|
76.530 |
59.840 |
|
(iii) Capital work-in-progress |
|
144.040 |
67.720 |
|
(iv)
Intangible assets under development |
|
0.000 |
0.000 |
|
(b) Non-current Investments |
|
100.030 |
3.200 |
|
(c) Deferred tax assets (net) |
|
188.980 |
87.070 |
|
(d) Long-term Loan and Advances |
|
523.020 |
299.450 |
|
(e) Other Non-current assets |
|
334.600 |
259.250 |
|
Total Non-Current Assets |
|
3530.920 |
2095.550 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
2082.390 |
400.000 |
|
(b) Inventories |
|
0.000 |
0.000 |
|
(c) Trade receivables |
|
0.000 |
0.000 |
|
(d) Cash and cash
equivalents |
|
8177.080 |
6430.850 |
|
(e) Short-term loans and
advances |
|
96621.460 |
63940.420 |
|
(f) Other current assets |
|
10356.570 |
4959.790 |
|
Total Current Assets |
|
117237.500 |
75731.060 |
|
|
|
|
|
|
TOTAL |
|
120768.420 |
77826.610 |
|
SOURCES OF FUNDS |
|
|
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
340.380 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
5765.230 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
6105.610 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
16500.500 |
|
|
2] Unsecured Loans |
|
|
1856.120 |
|
|
TOTAL BORROWING |
|
|
18356.620 |
|
|
DEFERRED TAX LIABILITIES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
24462.230 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
534.170 |
|
|
Capital work-in-progress |
|
|
1.230 |
|
|
Intangible Assets |
|
|
33.550 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
1406.700 |
|
|
DEFERREX TAX ASSETS |
|
|
33.350 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
0.000
|
|
|
Sundry Debtors |
|
|
0.000
|
|
|
Cash & Bank Balances |
|
|
2682.080
|
|
|
Other Current Assets |
|
|
1878.880
|
|
|
Loans & Advances |
|
|
18907.140
|
|
Total
Current Assets |
|
|
23468.100
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
203.750
|
|
|
Other Current Liabilities |
|
|
606.530
|
|
|
Provisions |
|
|
204.590
|
|
Total
Current Liabilities |
|
|
1014.870
|
|
|
Net Current Assets |
|
|
22453.230
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
24462.230 |
|
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
26155.480 |
11654.200 |
4699.770 |
|
|
|
Other Income |
402.970 |
161.060 |
82.240 |
|
|
|
TOTAL (A) |
26558.450 |
11815.260 |
4782.010 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee benefits expense |
3090.110 |
|
|
|
|
|
Other expenses |
3322.420 |
2366.790 |
|
|
|
|
TOTAL (B) |
6412.530 |
3971.790 |
1537.150 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
20145.920 |
7843.470 |
3244.860 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
10891.000 |
3391.550 |
1369.230 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
9254.920 |
4451.920 |
1875.630 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
482.860 |
212.960 |
57.370 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
8772.060 |
4238.960 |
1818.260 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
2857.450 |
1412.310 |
621.040 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
5914.610 |
2826.650 |
1197.220 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
2314.360 |
904.640 |
188.730 |
|
|
|
|
|
|
|
|
|
Add |
Profit
after tax and appropriation for the financial year 2008-2009 |
0.000 |
12.460 |
88.120 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to Statutory Reserve |
1182.920 |
565.330 |
239.450 |
|
|
|
Transfer to General Reserve |
591.480 |
282.670 |
119.720 |
|
|
|
Transfer to Capital Redemption Reserve |
0.000 |
0.000 |
17.150 |
|
|
|
Proposed Dividend on Equity Shares |
841.150 |
500.250 |
165.890 |
|
|
|
Tax on tribute profit |
136.450 |
81.140 |
27.210 |
|
|
|
Interim dividend on equity shares |
420.550 |
0.000 |
0.000 |
|
|
|
Tax on interim dividend on equity shares |
68.210 |
0.000 |
0.000 |
|
|
|
Transfer to debenture redemption reserve |
2208.100 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
2780.110 |
2314.360 |
904.640 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital goods |
30.970 |
2.520 |
NA |
|
|
TOTAL IMPORTS |
30.970 |
2.520 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
7.06 |
3.81 |
4.09 |
|
|
|
Diluted |
7.03 |
3.75 |
4.07 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
31.03.2013 |
|
Type |
1st Quarter |
2nd Quarter |
3rd Quarter |
4th Quarter |
|
Net Sales |
7112.200 |
6077.500 |
5862.100 |
3121.400 |
|
Total Expenditure |
1770.500 |
1615.900 |
1484.000 |
2193.900 |
|
PBIDT (Excl OI) |
5341.700 |
4461.600 |
4378.000 |
927.500 |
|
Other Income |
142.600 |
111.600 |
112.600 |
101.300 |
|
Operating Profit |
5484.300 |
4573.300 |
4490.600 |
1028.800 |
|
Interest |
2943.000 |
2871.100 |
3090.900 |
2989.900 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
2541.300 |
1702.100 |
1399.700 |
(1961.100) |
|
Depreciation |
205.400 |
104.800 |
154.100 |
152.800 |
|
Profit Before Tax |
2335.900 |
1597.400 |
1245.700 |
(2113.900) |
|
Tax |
758.200 |
520.300 |
401.900 |
(699.600) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
1577.700 |
1077.100 |
843.800 |
(1414.300) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
1577.700 |
1077.100 |
843.800 |
(1414.300) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
22.27
|
23.92 |
25.04 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
33.03
|
35.88 |
36.69 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.29
|
5.46 |
7.58 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.37
|
0.22 |
0.30 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
3.49
|
1.23 |
3.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.36
|
1.41 |
23.12 |
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 |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
Yes |
|
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 |
NATURE OF
OPERATIONS
Subject (formerly Manappuram General Finance and Leasing Limited) (‘MAFIL’ or ‘the Company’) was incorporated on July 15, 1992 in Thrissur, Kerala. The Company is a non banking financial Company (‘NBFC’), which provides a wide range of fund based and fee based services including gold loans, money exchange facilities, etc. The Company currently operates through 2,907 branches spread across the country. The Company is a Systemically Important Non-Deposit Taking NBFC.
FINANCIAL RESULTS
The comparative operational results shown above reveals the performance of the Company for the year under report and of the previous year. It is evident that the Company has achieved enviable results during the fiscal 2011-12 compared to that of the previous year. During the year under review gross total income of the Company rose to Rs. 26558.450 million as against Rs. 11815.260 million of the corresponding previous year marking an increase of 124.78%. Total expenditure for the year ended March 31, 2012 is Rs. 17786.390 million as against Rs. 7576.300 million of the previous year.
The Company has posted a record profit after tax of Rs. 5915.000 million for the period under consideration as against Rs. 2827.000 million of the previous year, signifying an increase of 109.23% over the net profit for the corresponding previous year.
BUSINESS OUTLOOK
In the recent past, NBFCs engaged in the gold loan business have been registering rapid growth. The Company is also witnessing substantial growth in terms of business volumes and human capital, and has acquired a pan India presence. The future for the Company remains robust. Recently, Reserve Bank of India (RBI) has issued a circular on March 21, 2012 amending the Non-Banking Financial (Non-Deposit Accepting or Holding) companies Prudential Norms (Reserve Bank) Directions, 2007 to the effect that all NBFCs shall maintain a Loan- to Value (LTV) ratio of 60 % for loans granted against the collateral of gold jewellery. In line with the latest regulatory measures and encouraged by the Company’s success so far, they have shaped their business plan for the financial year 2012-13 which will help to realise their long term strategy to ‘energise’ at least 10% of the vast privately held gold reserves in the country. For this, it is necessary to develop a countrywide presence to be close to the customers.
The Company provides credit, the average size of which is Rs. 38582.000. The Company has decided to make a way in to innovative products, improved relationship management, brand building, efficient customer service, better use of technology and reduced operational costs which will become the hallmark of successful NBFCs in future.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
ECONOMIC OUTLOOK
The year 2011-12 was marked by an economic slowdown much against the optimism that reigned at the beginning of the fiscal year. The Union Budget 2011-12 was premised on a growth of 9% in their Gross Domestic Product (GDP). However, the actual achievement fell short substantially with recently published data pointing to a growth of only 6.5% for the entire year. Even more worrying is the trend, with the growth rate falling to 5.3% during the fourth quarter, and hitting a nine-year low. The slowdown had an adverse impact on the government’s finances as revenues fell way below the budget estimates, while expenditure overshot the estimates on account of food and fuel subsidies. India’s fiscal deficit has now moved into a danger zone at 5.8% of GDP.
Moreover, inflationary pressures remained high for most of the year and often breached the double-digit mark. Some amount of moderation in inflation was witnessed in the final quarter, which enabled the Reserve Bank of India (RBI) to announce a 50 basis points cut in policy rates in April 2012, after earlier having pushed through 13 consecutive rounds of hikes in policy rates.
Notwithstanding the limited success achieved in reining in inflation, the fact remains that 2011-12 saw the macroeconomic fundamentals of the Indian economy come under severe strain. India’s current account deficit ballooned to an estimated 4% of the GDP largely due to a record trade deficit of US$ 185 billion, with imports of oil and gold leading the way. Moreover, with corporate profitability under strain and a lacklustre stock market, foreign portfolio inflows were muted. This has put the Indian rupee further under pressure, falling from levels of Rs. 45 per US$ in July 2011 to a low of about Rs. 54 per US$ by December.
Outlook for Fiscal Year 2012-13 is mixed, with a downward bias. After the dismal fourth quarter performance, private sector economists are busy downgrading their GDP growth estimates for 2012-13 to a level of about 6.5%.
Key economic concerns during FY 2011-12:
Increase in international petroleum prices led to a widening of the trade gap. Moreover, the general inability of the government to pass on increased costs to the domestic consumer bloated its subsidy bill and contributed to the widening fiscal deficit. Some relief is seen in the current year as crude prices have been declining as the Eurozone economies lapsed into lower growth and recession.
Current account deficit at 3.9% is well above the danger level of 3%. Prospects appear brighter in the current fiscal year with falling crude prices and reduction in gold imports (following increased customs duty).
The Eurozone debt crisis has severely dented export prospects and contributed to the rising trade deficit. In fact, after being buoyant during the first half of 2011-12, exports tapered off in the second half as the European economies lost steam. And with Europe unlikely to stage a full recovery soon, exports are likely to be weak in the
current year as well.
There’s been a continuous slowdown in the Indian economy with GDP growth decelerating in each of the four quarters in FY 2011-12. Growth in Oct-Dec quarter was recorded at only 6.1%, followed by a dismal 5.3% during Jan-Mar quarter.
Successive hikes in policy rates by RBI significantly increased borrowing costs and suppressed demand, thus negatively impacting corporate profitability.
Foreign portfolio investments remained relatively muted on account of slowing growth and an uncertain policy environment. The serious depreciation of the Indian rupee vis-a-vis the US dollar, beginning in August 2012, has muddied the waters even more.
While some success was achieved in moderating inflationary pressures towards the year end, it is believed the economy is yet to grapple with suppressed inflation from the failure to pass on increased prices of petroleum products to the domestic consumer.
At the same time, it is important to note that many analysts retain a sense of optimism about the current year 2012-13. This can be attributed to an expectation of sizable cuts in interest rates by RBI to come, over signs that inflationary pressures in the economy have peaked, and on concerns over growth slowdown. However, while here’s no doubt that a reversal in the cycle of rate hikes will be extremely important for higher economic activity, possibilities remain that inflationary pressures may re-emerge and play a spoil sport. The depreciation in the Indian rupee, which has pushed up the prices of essential imports such as crude oil, can also stoke inflationary fires.
The Gold Loans Sector
Scenario for Gold and Gold Loans: The US dollar is regarded as a safe-haven currency across the world. However, post-global financial crisis of 2008, Gold has emerged as the new safe-haven asset, which safeguards investors from deeply depreciation currencies the world over. Gold is considered as a “must own” in all portfolios and globally the demand for gold has increased considerably post 2008. As gold has been continually outperforming all other asset classes in last five years, it is now widely regarded as among the best investment asset in an uncertain environment. And with the global economic environment deteriorating, gold is likely to hold its importance and may even rise further in value. Not surprisingly then, analysts indicate a further rise in gold prices. Moving forward, this is a positive for gold loan companies across India.
The slow pace of economic reforms in India and lack of FII and FDI inflows exerted pressure on the Indian Rupee which has depreciated over 20% since August 2011. Gold prices are determined in the international market and the depreciation of the rupee further increases gold prices in rupee terms.
Consumption of gold remains strong in rural India, and it is the preferred asset class for those in the lower levels of the socioeconomic pyramid as well. Investing in gold is like a tradition. Gold continues to be an important financing asset for those with no access to the banking system or financial markets. Gold loan companies cater to the credit demand of this section of society and prevents them from falling prey to loan sharks charging exorbitant interest rates. Though their Company has a pan-India presence, it caters largely to the lower socioeconomic classes, as indicated by the average ticket size of gold loans. Majority of the disbursements happen in semiurban and rural India. Owing to favourable monsoons and the rural thrust in government spending, higher growth rate can be expected in rural India, which augurs well for companies such as Manappuram Finance Ltd. catering to this segment of the market.
The organised gold loans sector: India’s organised gold loan industry has grown rapidly in the last two decades. Fiscal year 2011-12 commenced on a good note with gold loan NBFCs reporting gains in volumes as well as market shares. However, the fourth quarter saw the sector facing strong headwinds, with the RBI ushering in new regulations that altered the rules of the game. The banking regulator imposed a 60% cap on LTV for gold loans given by NBFCs, besides tightening bank lending norms with a cap of 7.5% of a bank’s net worth towards loans to any one gold loan NBFC. KYC norms were also made stricter.
These sweeping changes in the regulatory landscape not only led to greater accountability for existing players, but also make things difficult for new entrants. The Company has complied with the new guidelines, though there’s no denying these changes have impacted short-term growth prospects for gold loan NBFCs.
A working group committee has been formed by RBI under the leadership of Mr. K.U.B. Rao to examine current practices of gold loan NBFCs, assess influence of gold loans on gold imports, study trends in gold prices and also examine whether gold loan NBFCs have any role to play in influencing gold prices. The committee is expected to release its report by July.
Even as the gold loan sector witnessed extreme turbulence, Manappuram Finance Ltd. emerged stronger from the diverse and unique challenges it faced, pointing to the fact that it has a sound business model. Gold Loan inancing is a window that provides finance to those at the lower end of the socioeconomic pyramid for their immediate personal and business needs. The company’s business model is geared up to satisfy their business needs, as indicated by their average ticket size of Rs. 38,582. The Company takes pride in the significant role it plays in bridging the gap between urban and rural India.
Company Overview
Established in 1992, Subject is one of India’s leading NBFCs providing financial services, including gold loans, foreign exchange services and remittances. Through its 20 years of operations, the Company has maintained a consistently rapid pace of growth, demonstrating its ability to scale up and to leverage its well-established brand name, built up over the last two decades.
The Company has 2,908 branches across 22 states and 4 Union Territories and manages assets worth Rs. 116,308 million with a live customer base of 1.64 million. The Company has spent over Rs. 1800.000 million on advertising and brand building campaign in the last two years and has taken on board some of the most well known celebrities as its brand ambassadors, aking it a nationally recognised brand. Today, the Manappuram brand stands for trust, reliability and excellent service, and repeat customers account for up to 80% of total business, which bears testimony to the strength of the brand and the loyalty it commands.
UNSECURED LOANS
|
Particulars |
31.03.2012 (Rs.
in Millions) |
31.03.2011 (Rs.
In Millions) |
|
Long term
borrowings |
|
|
|
Sub-ordinated debt |
|
|
|
Subordinate debt from banks |
1500.000 |
1000.000 |
|
Subordinate bonds from others |
2613.140 |
1670.070 |
|
Short term
borrowings |
|
|
|
Commercial Papers |
2320.950 |
10007.870 |
|
10% - 11% Inter-corporate deposit repayable within one year |
0.000 |
1.640 |
|
Total |
6434.090 |
12679.580
|
BANKERS CHARGES
REPORT AS PER REGISTRY
|
Corporate identity
number of the company |
L65910KL1992PLC006623 |
|
Name of the
company |
MANAPPURAM FINANCE LIMITED |
|
Address of the
registered office or of the principal place of business in |
V/ 104, Manappuram House, Valapad P O, Trichur – 680567, Kerala, India E-mail: cosecretary@manappuram.com |
|
This form is for |
Creation of charge |
|
Type of charge |
Others (Gold Loan Receivables) |
|
Particular of
charge holder |
State Bank of Mauritius Ltd, 101, Raheja Centre, Free Press Journal Road, Nariman Point, Mumbai – 400021, Maharashtra, India E-mail: sachin.m@sbm-india.com |
|
Nature of description
of the instrument creating or modifying the charge |
Hypothecation Agreement dated 30th January 2013. |
|
Date of
instrument Creating the charge |
30/01/2013 |
|
Amount secured by
the charge |
Rs. 400.000 millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest Term Loan:SBM Base rate plus 2.50%p.a. Present SBM Base rate is 11.00% p.a Working Capital Demand Loan:SBM Base rate plus 2.50%p.a. Present SBM Base rate is 11.00% p.a Terms of Repayment Term Loan: Principal in four (4) equal quarterly instalments.Interest to be paid on monthly basis. Working Capital Demand Loan(WCDL):Principal at the maturity of tranche.Interest to be paid on monthly basis. Margin Term Loan:125% of Exposure Working Capital Demand Loan: 125% of Exposure Extent and
Operation of the charge First exclusive charge on specific branch receivables of company. |
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2012 (Rs.
in Millions) |
31.03.2011 (Rs.
in Millions) |
|
(a) The Company is contingently liable to banks and other financial institutions with respect to assignment of gold loans to the extent of the collateral deposits / guarantees. Management does not expect the contingency to dwell on the Company. |
2600.720 |
1702.760 |
|
Total |
2600.720 |
1702.760 |
(b) Applicability of Kerala Money Lenders’ Act The Company has challenged in the Hon’ble Supreme Court the rder of Hon’ble Kerala High Court upholding the applicability of Kerala Money Lenders Act to NBFCs. The Hon’ble Supreme Court has directed that a status quo on the matter shall be maintained and the matter is currently pending with the Hon’ble Supreme Court. The Company has taken legal opinion on the matter and based on such
opinion the management is confident of a favourable outcome. Pending the resolution of the same, no adjustments have been made in the financial statements for the required license fee and Security deposits.
(c) Show cause notice from Reserve Bank of India The Company has received a show cause notice from the Reserve bank of India on May 7, 2012 with certain observations made pursuant to their inspection of books and of the Company. The Company is in process of responding to the show cause notice. Based on the internal and external legal opinion, the Company believes that it can address all observations to the satisfaction of the Reserve Bank of India. Pending resolution of the matter by the Reserve Bank of India, no adjustments, if any that may be required, have been made in these financial statements.
STATEMENT OF AUDITED FINANCAL RESULTS FOR YEAR ENDED MARCH 31, 2013
(Rs.
in millions)
|
SN |
Particulars |
Quarter ended |
Quarter ended |
Year ended |
|
|
|
31.03.2013 |
31.12.2012 |
31.03.2013 |
|
|
|
Audited |
Unaudited |
Audited |
|
1 |
Income from operations Revenue from operations |
3121363 |
58620,47 |
221731,40 |
|
|
Expenses (a) Employee benefits expenses (b) Depreciation and amortisation expense (c) Advertisement expenses (d) Rent (e) Security charges (Q Hid debts and provision for doubtful debts (g) Other expenses Total expenses |
396.544 152.838 98.342 187.865 175.211 619.538 216.354 2346.692 |
803.486 154.062 57.018 191.885 175.434 23.163 233.039 1633.092 |
3409.320 617.090 293.690 850.080 709.690 836.320 995.194 7681.384 |
|
3 |
Profit from Operation;; before Other Income and finance costs [1-2] |
774.671 |
4223.955 |
14491.356 |
|
4 |
Other income |
101.301 |
112.569 |
468.140 |
|
S |
Profit before finance costs [3+4] |
373.972 |
4336.524 |
14959.896 |
|
6 |
Finance costs |
2989.360 |
5090.850 |
11394.860 |
|
7 |
(Loss)/ Profit after finance costs and before tax [5-6] |
(2113.888) |
1243.674 |
3065.036 |
|
8 |
Tax expenses |
(699.582) |
401.852 |
980.720 |
|
9 |
Net (Loss)/ Profit from after tax [ 7-8] |
(1414.306) |
843.822 |
2084.316 |
|
10 |
Paid-up Equip/share capital [Face Value of Rs.2/-per share) |
1682.410 |
1682.374 |
1632.410 |
|
11 |
Reserve excluding Revaluation Reserves |
|
|
22746.730 |
|
12 |
Earnings per share [of Rs.2/- each] (a) Basic (b) Diluted |
(1.68) (1.68) (Not annualised) |
1.00 1.00 (Not annualised) |
2.48 2.48 |
|
PART II |
SELECT INFORMATION FOR THE YEAR ENDED MARCH 31, 2013 |
|||
|
|
|
Quarter ended |
Quarter ended |
Year ended |
|
S.No. |
Particulars |
31.03.2013 |
31.12.2012 |
31.03.2013 |
|
|
|
Audited |
Unaudited |
Audited |
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
|
|
1 |
Public share holding |
|
|
|
|
|
- Number of shares |
575,793,735 |
575,773,735 |
575.793,735 |
|
|
- Percentage of shareholding |
68.45% |
68.45% |
68.45% |
|
2 |
Promoters and Promoter Group Shareholding |
|
|
|
|
|
a) Pledged/ Encumbered |
|
|
|
|
|
- Number of scares |
36,060.000 |
62,060,000 |
36,060,000 |
|
|
- Percentage of shares (as a 3/a of the total |
13,59% |
23.33% |
13.59% |
|
|
shareholding of the promoter and prompter group) |
|
|
|
|
|
- Percentage of shares (as a % of the total share capital of the company) |
4.29% |
7.38% |
4.29% |
|
|
b] Non-encumbered |
|
|
|
|
|
- Number of shares |
229,353,401 |
203,353,401 |
229,3 53,401 |
|
|
- Percentage of shares [as a % of the total shareholding of the promoter and promoter group) |
86.41% |
76.62% |
86.41% |
|
|
- Percentage of shares (as a % of the total share capital of the company) |
27.26% |
24.17% |
27.26% |
|
S. No. |
Particulars |
Quarter
ended 31.03.2013 |
|
B. |
INVESTOR
COMPLAINTS (Nos.) |
|
|
|
Pending at the beginning of the Quarter |
Nil |
|
|
Received during the Quarter |
4 |
|
|
Disposed of during the Quarter |
4 |
|
|
Remaining unresolved at the end of the Quarter |
Nil |
STATEMENT OF ASSETS AND LIABILITIES FOR
THE YEAR ENDED MARCH 31, 2013
(Rs.
in millions)
|
S. No. |
Particulars |
31.03.2013 |
|
A |
EQUITY AND
LIABILITIES |
|
|
1 |
SHAREHOLDERS' FUNDS |
|
|
|
Share Capital |
1682.410 |
|
|
Reserves and Surplus |
22746.730 |
|
|
Sub-total - Shareholders' funds |
24429.140 |
|
2 |
Non-current
Liabilities |
|
|
|
Long term borrowings |
13611.620 |
|
|
Other long-term liabilities |
524.480 |
|
|
Sub-total- Non-Current Liabilities |
14136.100 |
|
3 |
Current Liabilities |
|
|
|
Short-term borrowings |
68252.610 |
|
|
Trade Payables |
387.580 |
|
|
Other Current Liabilities |
19315.510 |
|
|
Short term provisions |
757.520 |
|
|
Sub-total - Current Liabilities |
88713.220 |
|
|
TOTAL – EQUITY AND
LIABILITIES |
127278.460 |
|
B |
ASSETS |
|
|
1 |
Non – Current
assets |
|
|
|
Fixed Assets |
2412.060 |
|
|
Non – Current Investments |
50.030 |
|
|
Deferred tax assets (net) |
468.310 |
|
|
Long – term loans and advances |
428.160 |
|
|
Other Non current assets |
1529.810 |
|
|
Sub-total – Non-Current assets |
4888.370 |
|
2 |
Current Assets |
|
|
|
Current Investments |
6925.700 |
|
|
Cash and bank balance |
8836.080 |
|
|
Short-term loans and advances |
99985.930 |
|
|
Other current assets |
6642.380 |
|
|
Sub-Total – Current assets |
122390.090 |
|
|
TOTAL ASSETS |
127278.460 |
Notes
1. The above audited financial results were reviewed by the audit committee and approved by the Board of Directors at their meeting held on May 15. 2013.
2. The Company primarily operates In the business of 'Gold loan" and accordingly no segment reporting is applicable.
3. The figures of the quarter ended March 31, 2013 and March 31. 2012 are the balancing figures between audited figures in respect or the full financial year and the year-to-date published figures upto the quarter ended December 31, 20)2 and December 31, 2011.
4. The Reserve Bank of India vide its Notification No DNBS (PD). 241 /C1GM (US) -2012 dated March 21, 2012, requires NBCs to maintain a Loan to Value (LTV) ration not exceeding 60 percent for loans granted against the collateral of gold Jewellery. The Company has adopted the rates proscribed by the Association of Gold Loan Companies (ACLOC) that factors the making charges involved in the manufacture of ornaments. Management of the Company has also discussed the methology with the Reserve Bank of India and also communicated the manner of arriving at the LTV to the Reserve Bank of India.
5. During the year 2011-12 the company disbursed some gold loans on which the total amount receivable including principal and accumulated interest has exceeded the value of the underlying security. As at March 31, 2013, the Company has not recognized interest income aggregating to Rs. 2342.500 Millions and has made a provision for doubtful debts to the extent of Rs. 514.35 million relating to the said gold loans as a prudent measure.
6. The interim dividend or Rs 1.3 per share on a face value of Rs 2/per share already declared during the year has been recommended as the final dividend for the year ended March 2013 to approved by the Shareholders in the annual general meeting.
7. Previous periods /year's figures have been reclassified/regrouped wherever necessary to conform to current year's presentation.
PRESS RELEASE
EXCISE DEPT WAVES TAX STICK AT BANK-NBFC SECURITISATION BIZ
June 12, 2013
After the RBI's tough stand on NBFCs (non-banking financial companies) over the past one year, CNBC-TV18 reports that the central excise department's investigation wing is probing the securitisation transactions that take place between banks and NBFCs .
The investigation wing has also sent notices to gold-loan financing companies, reports CNBC-TV18's Aastha Maheshwari, quoting sources.
According to government sources, these notices have been sent to recover a non-payment of service tax on the collection fee that gold-loan financing companies and NBFCs receive from banks. Source indicate that the recovery process has already begun.
NBFCs securitise a part of their loan portfolios with banks which pay them commissions upfront. And according to the excise department, it is this upfront commission that is liable for a levy of service tax.
In response to CNBC-TV18's queries, a few gold-loan finance companies clarified that they had cleared all pending tax dues.
The excise department has also trained its sights on transport financing companies and sources say that similar notices are likely to be issued to the leading transport finance companies like Shriram Transport and Mahindra and Mahindra Financial Services
FIXED ASSETS
v
Tangible
Assets
Freehold
Land
Building
Office
equipment
Computer
equipment
Furniture
And Fittings
Vehicle
Plant
and Machinery
v
Intangible assets
Computer Software
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No 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.59.36 |
|
|
1 |
Rs.89.69 |
|
Euro |
1 |
Rs.77.99 |
INFORMATION DETAILS
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
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 |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
63 |
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 |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.