MIRA INFORM REPORT
|
Report Date : |
19.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
NAGARJUNA AGRICHEM LIMITED |
|
|
|
|
Registered
Office : |
Plot No. 12-A, C Block, Lakshmi Towers, No. 8-2-248/1/7/78, Nagarjuna Hills,
Panjagutta, Hyderabad-500082, Andhra Pradesh |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
11.11.1986 |
|
|
|
|
Com. Reg. No.: |
01-016607 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 148.982 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24219AP1986PLC016607 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
HYDN00523F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACN6932H |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacturer of Agro Chemicals. |
|
|
|
|
No. of Employees
: |
1123
[Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (55) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 8300000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is a subsidiary of ‘KLR Products Limited’. It is well
established company having a fine track record. Financial position of the company appears to be good. Directors are
reported as well – experienced and knowledgeable businessmen. Trade relations are reported as decent. Business is active. Payments
are reported as regular and as per commitment. The company can be considered for business dealings 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 |
CARE |
|
Rating |
Long Term Bank
Facilities: BBB+ |
|
Rating Explanation |
Moderate degree of
safety and moderate credit risk. |
|
Date |
March, 2013 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank
Facilities: A3+ |
|
Rating Explanation |
Moderate degree of
safety and higher 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 / Corporate Office : |
Plot No. 12-A, C Block, Lakshmi Towers, No. 8-2-248/1/7/78, Nagarjuna
Hills, Panjagutta, Hyderabad-500082, Andhra Pradesh, India |
|
Tel. No.: |
91-40-23358217 / 23350235/ 23357442 |
|
Fax No.: |
91-40-23350234/ 23358062 |
|
E-Mail : |
aspardhasaradhi@nagarjunagroup.com jagannadharao@nagarjunaagrichem.com (for overseas requirement) manikkam.natarajan@nagarjunaagrichem.com (for domestic requirement) |
|
Website : |
|
|
|
|
|
Factory 1 / R&D Centre : |
Shadnagar, Nandigaon Village, Kothur Mandal, Mahaboobnagar, Andhra Pradesh, India |
|
Tel. No.: |
91-8548-240010 / 240483 |
|
|
|
|
Factory 2 : |
Ravalapalem Mandal,
East Godavari, Ethakota – 533238, Andhra Pradesh, India |
|
Tel. No.: |
91-8855-255376 / 255876 / 255976 |
|
Fax No.: |
91-8855-257276 |
|
|
|
|
Factory 3 : |
Plot No. 177, P.O. Allinagaram, Arinama Akkivalasa,
Etcherla Mandal, Srikakaulam – 532403, |
|
Tel. No.: |
91-8942-231172 / 73 / 74 |
|
Fax No.: |
91-8942-231171 |
|
|
|
|
Branch Office : |
1st Floor, |
|
|
|
|
Windmill : |
Located at · Tirunelveli, Tamilnadu, India |
DIRECTORS
As on 31.03.2012
|
Name : |
Dr. Nitish K. Sen Gupta |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. V. Vijay
Shankar |
|
Designation : |
Managing Director
|
|
Date of Birth/ Age: |
17.11.1956 |
|
Qualifications : |
Fellow member of the Institute of Chartered Accountant of India |
|
Experience: |
He has vast experience in various chemical industries and extensive experience in Fertilizers, Agri and Automobile Sectors over the last three decades through his associations in Zuari –Chambal, Nagarjuna and Mahindra and Mahindra Groups. |
|
Other Directorship: |
LR Research Laboratories Private Limited |
|
|
|
|
Name : |
Mr. K. S. Raju |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K. Lakshmi Raju |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K. Rahul Raju |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. D. Ranga Raju |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K Rghu Raman |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Sudhakar
Kudva |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N.
Vijayaraghavan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Sukhendu Ray |
|
Designation : |
Director (upto 29-10-2011) |
|
|
|
|
Name : |
Mr. Prashant Kumar Mallik |
|
Designation : |
Director (upto 27.01.2012) |
|
|
|
|
Name : |
Mr. R S Nanda |
|
Designation : |
Director (upto 18.04.2012) |
KEY EXECUTIVES
|
Name : |
Mr. Amit Taparia |
|
Designation : |
Senior General Manager [Procurement and SCM] |
|
|
|
|
Name : |
Mr. R.K.S. Prasad |
|
Designation : |
Chief Finance Officer |
|
|
|
|
Name : |
Mr. Manikkam Natarajan |
|
Designation : |
Vice President [Marketing and Sales] |
|
|
|
|
Name : |
Mr. G. Jagannadha Rao |
|
Designation : |
Vice President [Exports] |
|
|
|
|
Name : |
Mr. Harish Bijilwan |
|
Designation : |
Senior General Manager [Business Tech and Outsourcing] |
|
|
|
|
Name : |
Mr. S.V.S. Rama Raju |
|
Designation : |
President [Operations] |
|
|
|
|
Name : |
J.Satyanarayana Das |
|
Designation : |
Vice President - Manufacturing (Ethakota) |
|
|
|
|
Name : |
K.G.Vadivel |
|
Designation : |
Vice President - Manufacturing (SKLM) |
|
|
|
|
Name : |
S.Chandra Sekhar |
|
Designation : |
Vice President - Corporate HPD |
|
|
|
|
Name : |
Satish Kumar Subudhi |
|
Designation : |
Company Secretary and Head-Legal |
|
|
|
|
Name : |
K.G.Vadivel |
|
Designation : |
Vice President - Manufacturing (SKLM) |
|
|
|
SHAREHOLDING PATTERN
As on 30.06.2013
|
Category
of Shareholder |
Total
No. of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
3018360 |
1.94 |
|
|
113623500 |
72.88 |
|
|
116641860 |
74.81 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
116641860 |
74.81 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
|
|
|
|
7830044 |
5.02 |
|
|
|
|
|
|
13578978 |
8.71 |
|
|
16724449 |
10.73 |
|
|
1136177 |
0.73 |
|
|
1018449 |
0.65 |
|
|
100195 |
0.06 |
|
|
17533 |
0.01 |
|
|
39269648 |
25.19 |
|
Total Public
shareholding (B) |
39269648 |
25.19 |
|
Total (A)+(B) |
155911508 |
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) |
155911508 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Agro Chemicals. |
||||
|
|
|
||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
1123
[Approximately] |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Bankers : |
|
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Facilities : |
Note Long Term Borrowing a) The Term Loans (except Term Loan for Wind Energy project) availed from State Bank of India, IDBI Bank Limited and HDFC Bank Limited are secured by way of equitable Mortgage by deposit of Title Deeds of the Company's immovable properties both present and future and by way of first charge of all Fixed Assets of the Company as a primary security and hypothecation of movable properties of the Company ranking pari passu and borrowings from State Bank of India and IDBI Bank Limited are further secured by a second charge on the current assets of the Company consisting of stock in trade, book debts, stores and spares. b) Term Loan availed from State Bank of India for Wind Power project is secured by way of mortgage by deposit of Title Deeds of the project's immovable properties and by way of first charge of all project fixed assets as a primary security. c) Working Capital Term Loan availed from New India Co-operative Bank Limited is secured by way of first charge on Company's fixed assets including other movable assets on pari passu basis. d) Term Loans from Banks (except Term Loan from HDFC Bank Limited and Corporate Loan from State Bank of India and Working Capital Term Loan from New India Co-operative Bank Limited availed during the FY 2009-10) and Working Capital Loans from Banks are personally guaranteed by Sri K.S. Raju, a Director of the Company. e) Terms of Repayments are given below: i) Loan taken from HDFC Bank is repayable in 12 Quarterly Installments of Rs.20.000 Millions each. commencing from August 2010; Interest Rate @12.56% ii) Loan taken from IDBI Bank is repayable in 54 monthly Installments of Rs.5.555 Millions each commencing from January, 2011; Interest Rate 14.25% iii) Loan taken from SBI Corporate Term Loan is repayable in 8 Quarterly Installments of Rs.25.000 Millions each. commencing from June, 2010; Interest Rate 15.00% and Outstanding Balance as on 31st March 2012 Rs.Nil. iv) Loan taken from New India Working Capital Term Loan is repayable in 5 yearly installments of Rs. 48.000 Millions each. commencing from March, 2011; Interest Rate 11% v) Loan taken from SBI Term Loan-Wind Power Project is repayable in 24 quarterly Installments of Rs.9.000 Millions each commencing from September, 2011; Interest Rate 13.75% Short Term Borrowing * Cash Credits, Working Capital Demand Loan including Non Fund Based Limits of Letters of Credit and Bank Guarantees from State Bank of India, IDBI Bank Limited and HDFC Bank Limited and Corporate Loan availed from State Bank of India are secured by way of hypothecation of current assets comprising of stock in trade, book debts and stores and spares, both present and future. The aforesaid facilities are further secured by second charge of the Company’s immovable and hypothecation of movable properties, both present and future, ranking pari passu with the Term Loans. |
|
|
|
|
Banking
Relations : |
---- |
|
|
|
|
Auditors : |
|
|
Name : |
M. Bhaskara Rao and Company Chartered Accountants |
|
Address : |
5-D, Kautilya, Somajiguda, |
|
|
|
|
Cost Auditors: |
|
|
Name : |
K. Narasimha Murthy and Company Cost Accountants |
|
Address : |
3-6-365, 104
& 105, Pavani Estate, Himayathnagar,
Hyderabad - 500029, Andhra Pradesh, India |
|
|
|
|
Holding Company: |
KLR Products Limited (Formerly GSR Products Limited) |
|
|
|
|
Subsidiaries :: |
|
|
|
|
|
Associates : |
|
CAPITAL STRUCTURE
After 26.09.2012
Authorised Capital: Rs. 200.000 millions
Issued, Subscribed & Paid-up Capital: Rs. 155.912 millions
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
20000000 |
Equity Shares |
Rs.10/- each |
Rs.200.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
14898157 |
Equity Shares |
Rs.10/- each |
Rs.148.982 Millions |
|
|
|
|
|
Shares in the
Company held by each Shareholders holding more than 5%
|
Particulars |
% of Share Holding |
31st March 2012 |
|
|
No. of shares |
Rs. In millions |
||
|
|
|
|
|
|
KLR Products Limited, Holding Company |
76.27 |
11362350 |
113.624 |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2012 |
31.03.2011 |
|
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
148.982 |
148.982 |
|
(b) Reserves & Surplus |
|
1924.694 |
1877.548 |
|
(c) Money received against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
|
0.000 |
0.000 |
|
|
|
|
|
|
(3) Non-current liabilities |
|
|
|
|
(a) long-term borrowings |
|
462.659 |
694.017 |
|
(b) Deferred tax liabilities (Net) |
|
287.800 |
247.034 |
|
(c) Other long term liabilities |
|
105.891 |
111.159 |
|
(d)
long-term provisions |
|
6.816 |
2.818 |
|
|
|
863.166 |
1055.028 |
|
(4)
Current liabilities |
|
|
|
|
(a) Short
term borrowings |
|
1502.975 |
1013.546 |
|
(b) Trade
payables |
|
1371.531 |
868.581 |
|
(c) Other
current liabilities |
|
465.957 |
545.034 |
|
(d)
Short-term provisions |
|
30.839 |
7.774 |
|
TOTAL |
|
6308.144 |
5516.493 |
|
|
|
|
|
|
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
|
1914.038 |
2074.089 |
|
(ii)
Intangible Assets |
|
2.526 |
3.981 |
|
(iii)
Capital work-in-progress |
|
161.204 |
65.828 |
|
(iv)
Intangible assets under development |
|
0.000 |
0.000 |
|
(b)
Non-current Investments |
|
35.605 |
0.505 |
|
(c)
Deferred tax assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
166.677 |
117.478 |
|
(e) Other
Non-current assets |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
|
0.000 |
0.000 |
|
(b)
Inventories |
|
1642.002 |
1457.503 |
|
(c) Trade
receivables |
|
1948.596 |
1368.024 |
|
(d) Cash
and cash equivalents |
|
250.739 |
234.593 |
|
(e)
Short-term loans and advances |
|
182.473 |
192.793 |
|
(f) Other
current assets |
|
4.284 |
1.699 |
|
TOTAL |
|
6308.144 |
5516.493 |
|
SOURCES OF FUNDS |
|
|
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
148.982 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
1872.903 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
2021.885 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
1790.497 |
|
|
2] Unsecured Loans |
|
|
63.286 |
|
|
TOTAL BORROWING |
|
|
1853.783 |
|
|
DEFERRED TAX LIABILITIES |
|
|
226.374 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
4102.042 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
1539.944 |
|
|
Capital work-in-progress |
|
|
300.454 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
0.500 |
|
|
DEFERRED TAX ASSETS |
|
|
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
1594.452
|
|
|
Sundry Debtors |
|
|
1630.516
|
|
|
Cash & Bank Balances |
|
|
224.947
|
|
|
Other Current Assets |
|
|
1.320
|
|
|
Loans & Advances |
|
|
257.066
|
|
Total
Current Assets |
|
|
3708.301 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
1169.111
|
|
|
Other Current Liabilities |
|
|
203.812
|
|
|
Provisions |
|
|
74.234
|
|
Total
Current Liabilities |
|
|
1447.157 |
|
|
Net Current Assets |
|
|
2261.144
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
4102.042 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
6430.650 |
5700.839 |
6528.663 |
|
|
|
Other Income |
38.607 |
52.697 |
86.657 |
|
|
|
TOTAL |
6469.257 |
5753.536 |
6615.320 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
4168.440 |
|
|
|
|
|
Purchase of Stock in Trade |
464.325 |
371.672 |
|
|
|
|
Employee Benefits Expenses |
449.469 |
400.665 |
|
|
|
|
Other Expenses |
946.204 |
816.487 |
|
|
|
|
Changes in Inventories |
(303.480) |
262.818 |
|
|
|
|
TOTAL |
5724.958 |
5168.847 |
5326.170 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
744.299 |
584.689 |
1289.150 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
332.332 |
259.520 |
171.490 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
411.967 |
325.169 |
1117.660 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
269.574 |
230.526 |
204.984 |
|
|
|
|
|
|
|
|
|
Less |
EXCEPTIONAL
ITEMS |
0.000 |
30.303 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
142.393 |
64.340 |
912.676 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
69.276 |
33.551 |
315.111 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
73.117 |
30.789 |
597.565 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1437.214 |
1436.025 |
985.610 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
4.000 |
3.500 |
60.000 |
|
|
|
Interim Dividend |
0.000 |
22.300 |
29.796 |
|
|
|
Final Dividend |
22.400 |
0.000 |
44.694 |
|
|
|
Corporate Dividend Tax on Interim Dividend |
0.000 |
3.800 |
5.064 |
|
|
|
Provision for Corporate Dividend Tax
|
3.600 |
0.000 |
7.596 |
|
|
BALANCE CARRIED
TO THE B/S |
1480.331 |
1437.214 |
1436.025 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods on FOB Basis |
1968.607 |
1535.106 |
2247.923 |
|
|
TOTAL EARNINGS |
1968.607 |
1535.106 |
2247.923 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1364.005 |
1198.195 |
1744.838 |
|
|
|
Capital Goods |
19.904 |
2.058 |
11.924 |
|
|
TOTAL IMPORTS |
1383.909 |
1200.253 |
1756.762 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.91 |
2.07 |
40.11 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
31.03.2013 |
|
|
1st Quarter |
2nd Quarter |
3rd Quarter |
4th Quarter |
|
Net Sales |
1622.000 |
2201.700 |
1252.000 |
1068.700 |
|
Total Expenditure |
1484.000 |
2045.000 |
1211.500 |
1104.600 |
|
PBIDT (Excl OI) |
138.000 |
156.700 |
40.500 |
(35.900) |
|
Other Income |
30.200 |
5.900 |
8.100 |
34.300 |
|
Operating Profit |
168.200 |
162.600 |
48.600 |
(1.600) |
|
Interest |
93.900 |
73.400 |
74.900 |
82.000 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
74.300 |
89.200 |
(26.300) |
(83.600) |
|
Depreciation |
67.500 |
54.900 |
54.900 |
75.600 |
|
Profit Before Tax |
6.800 |
34.300 |
(81.200) |
(159.200) |
|
Tax |
3.600 |
16.300 |
(41.600) |
(51.100) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
3.200 |
18.000 |
(39.600) |
(108.100) |
|
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 |
3.200 |
18.000 |
(39.600) |
(108.100) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
1.13
|
0.54
|
9.03 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.21
|
1.13
|
13.98 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.33
|
1.18
|
17.39 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.03
|
0.45 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.95
|
0.84
|
0.92 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.19
|
1.34
|
2.56 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
------ |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
------ |
|
22] |
Litigations that the firm
/ promoter involved in |
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 |
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 |
LITIGATION DETAILS
CASE STATUS INFORMATION
ITTA 602 / 2012
ITTASR 4666 / 2012 CASE
IS: PENDING
|
PETITIONER The Commissioner of Income Tax – IV |
RESPONDENT VS Nagarjuna Agrichem Limited |
|||
|
PET. ADV.: |
Prasad (SC For Income Tax) |
Resp. Adv.: |
Ramaswami |
|
|
Subject: |
U/Sec. 143 Assessment |
District : |
Hyderabad |
|
|
Filing Date : |
31.10.2012 |
Posting Stage: For Admission |
|
|
|
Registration date : |
26.12.2012 |
Listing Date: 03.06.2013 |
Status: ------ |
|
|
Honorable Judges: |
G. Rohini |
P Naveen Rao |
||
PERFORMANCE
For the year
2011-12, the Company reported annual sales revenue of Rs. 6430.700 Millions against
Rs. 5700.800 Millions recorded in 2010-11 registering an increase of 12.80%.
This increase in sales could be achieved due to increase in production volumes
and widening product range with focus on value added products. The Company
recorded an Operating Profit (PBIDT) of Rs. 474.700. Millions and Profit After
Tax of Rs. 731.000 Millions with respective growth of 33.98% and 137% over the
previous year. The increase in interest cost is mainly due to higher current
asset levels in the form of higher inventory and receivables due to the monsoon
failure and other market conditions. The cash profits for the year were 383.500
Millions as compared to Rs. 282.000 Millions during the previous year.
PLANT OPERATIONS
The Company's
Srikakulam's Technical Unit achieved an Annual production of 5307 MT during the
year compared to 4335 MT of the previous year. The plant at Srikakulam has been
stable since May, 2011 after the labour issues were settled. Since then
production has been steadily improving. Debottlenecking was done for
few plants by
investing about Rs.40.000 Millions.
The continued
focus on streamlining the production facilities, augmenting the plant
efficiencies and enhance the productivity during the year have started yielding
results.
The Ethakota and
Shadnagar formulating units continued to be normal as well and could meet the
demand of domestic customer base. Various initiatives in the areas of
production volume increase, quality control and supply chain have been taken to
meet the enhanced marketing demand and effective / better customer services.
However, rising input costs, erratic and irregular power supply from
Electricity Boards, Rupee depreciation, manpower attrition etc. are the causes
of concern.
FIRE INCIDENT IN
SRIKAKULAM PLANT
As the Shareholders
are aware, a fire was broke out in the block -5 of the Company’s plant at
Srikakulam on 30th June, 2012. Although, there were no casualties, 19 people
who sustained minor injuries, were treated in nearby hospitals and discharged
within 5 days. The safety mechanisms and systems in place had helped to keep
the injuries to a minimum. The unfortunate incident drew extensive media
coverage resulting panic reaction by the nearby villagers. The concerned
Government Authorities such as Inspectorate of Factories, Pollution Control
Board and RDO, have issued necessary orders. The main reason for the fire is
being investigated by Factories Department. The Company has initiated various
measures towards meeting the additional requirements /compliances of the said
Government authorities and improving upon various safety measures. The
management is confident of the addressing the concerns of all stakeholders viz:
local villagers, public, employees / laborers, Government Authorities etc. and
hopeful to restart the operations at the earliest.
DOMESTIC AND
EXPORT MARKETS
The Indian
Agrichemical market continues to be under pressure due to significant drop in
rabi acre ages in certain parts of the country coupled with excess availability
of product. The local pesticide industry in general is stuck in a spiraling
loop of falling price realizations, inability to pass on increased input cost,
tough competition, credit problems and stock returns. The delayed monsoon in
the previous year has also joined impacting the crops particularly in South
India. This resulted in the Company's domestic sale reducing from Rs. 3311.000
Millions to Rs. 3165.700 Millions in the year.
Towards focusing
on farmers reach and touch, Marketing and Product Development department has
been strengthened. The Company has also initiated discussions with different
leading International Manufacturers to introduce new products into India.
Exports have shown significant improvement compared to the previous year,
mainly due to stabilization of the Srikakulam plant. The Sales has increased
from Rs. 1585.900 Millions to Rs. 2080.400 Millions in the year. Contract
(toll) manufacturing continues to be an important aspect of the Srikakulam
production. The output is being increased in a few products due to increased
demand, by debottlenecking. Relationship continues to be good with the Contract
Manufacturing Customers. Work has commenced on selecting new products to offer
to various existing and new customers.
WINDMILLS
The Company has 3 windmills
having a total capacity of 6.3 MW, located near Tirunelveli in Tamil Nadu. The
operations of these are managed by Suzlon Limited. The performance of the
Windmills for the year was satisfactory. During the year under review,
receivables from TNEB, who purchase the entire power generated as per the terms
of the PPA, have been delaying their payments. The Industry has taken up the
matter with TNEB
INDUSTRY OVERVIEW
The Agrochemicals
Industry plays a significant role in the Agriculture sector in India, which
accounts for about one fifth of its GDP. The domestic market size of the Indian
Agrochemical Industry is around Rs. 120000.000 Millions and is expected to grow
at 10 % per annum. India's growth rate compares with the highest in the world.
With emphasis in agriculture by the Government of India the growth is expected
to continue. India is currently the fourth largest producer of Agrochemicals
globally, after United States, Japan and China. The current domestic
consumption is also expected to grow driven by rising population, decreasing
per capita availability of arable land and focus on increasing agricultural
yield. The demand will also be driven by the rising food grain demand and
increasing awareness about pesticide usage among the farmer community. The
pesticide consumption is around 480 gm per hectare which is very low compared
to countries like Japan, USA etc.
The Indian market
is served by many Companies. Being a generic market, ability to introduce
me-too products is easy. Many small players have seized this and have a
influencing presence in the market space. This has resulted in stiff
competition and quality being compromised. Despite this, the attractiveness of
the Indian market has made MNCs to set up shops in India over the past few years,
through commencing business / acquisitions viz Maktisham Agan, Sumitomo and
Arysta. Existing MNCs are implementing plans to grow. It is also to be noted
that the Government is becoming active in reviewing products that have high
toxicity levels. This has resulted in products being banned. Contract
Manufacturing and Exports in India is around USD 1.8 Billions. Phillips
MacDonald (a leading global publication in the pesticide industry) has
indicated that the contract manufacturing is expected to grow, as MNCs are
focusing on growth in the generic markets as new product developments is
becoming more expensive.
OUTLOOK
The pesticide
business, despite the above concerns is an attractive business. There are many
short term challenges for growth. The Company is implementing various plans to
leverage on its domestic network strength and as well as improving the
efficiencies and productivity of the manufacturing facilities.
FINANCIAL
PERFORMANCE (WITH RESPECT TO OPERATIONAL PERFORMANCE)
The Sale has shown
a growth of 13% over the previous year mainly due to Exports. The EBIDT was Rs.
744.300 Millions and has improved from last year of Rs. 554.400 Millions due to
improved sales. Interest was higher than previous year due to increase in
working capital. The Long Term Debt Equity Ratio is 0.29 compared to 0.46 of
the last year. The Company's improved financial and operations performance
during 2011-12 and the positive outlook about the Company's continued growth in
the years to come enabled the Board to recommend a dividend of 15% to the
Shareholders.
UNSECURED LOAN
|
Particulars |
31.03.2012 (Rs.
in Millions) |
31.03.2011 (Rs.
in Millions) |
|
Long Term Borrowing |
|
|
|
Deferred Payment Liabilities. |
37.983 |
44.961 |
|
Total |
37.983 |
44.961 |
Note
i) Sales Tax Deferment : Videorder No.10/1/5/0564/0696 dated 26th April, 1995 the Government of Andhra Pradesh had sanctioned Sales Tax Deferment to the Company in respect of Monocrotophos for a period of Ten Years commencing from 1.7.1994; subject to a maximum of Rs.133.027 Millions. Based on the Sales Tax Returns, the sales tax so deferred aggregates net of repayments to Rs.14.799 Millions. (Previous Year Rs. 26.285 Millions). The repayment of deferred Sales Tax has commenced from July, 2004 as prescribed in the said order.
ii) Further vide Revised order No.10/1/9/0023/0387/ ID, dated 31.01.2001, the Government of Andhra Pradesh had sanctioned Sales Tax Deferment to the Company in respect of Acephate and Profenofos for a period of fourteen years commencing from 28.09.1997 for Acephate and from 23.02.2000 for Profenofos, subject to a maximum of Rs.102.855 Millions. The Sales Tax deferred in a year is payable at the end of 14th Year without interest. First payment will commence from 25.09.2013 as prescribed in the order. Since financial year 2006-07, the Company has decided not to avail the Sales Tax deferment and opted to pay the Sales Tax henceforth. Based on the Sales Tax Returns, the Sales Tax so deferred aggregates to Rs. 29.373 Millions. (Previous Year Rs. 30.162 Millions).
AUDITED FINANCIAL RESULTS
FOR THE QUARTER AND YEAR ENDED 31ST MARCH, 2013
(Rs. In millions)
|
PARTICULARS |
Quarter Ended 31.03.2013 |
Quarter Ended 31.12.2012 |
Year Ended 31.03.2013 |
|
PART - I |
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
Income from Operations |
|
|
|
|
Net sales
/ income from operations (Net of excise duty) |
1068.700 |
1252.000 |
6144.400 |
|
|
|
|
|
|
Total income from operations (net) |
1068.700 |
1252.000 |
6144.400 |
|
|
|
|
|
|
Expenses |
|
|
|
|
Cost of Materials Consumed |
937.500 |
625.800 |
3912.800 |
|
Purchases of Stock in Trade |
38.600 |
200.900 |
543.900 |
|
Changes in inventories of finished goods, WIP and
Stock-in-trade |
(360.000) |
127.800 |
23.800 |
|
Employee Benefit Expenses |
118.100 |
95.100 |
397.100 |
|
Depreciation and Amortisation expenses |
75.600 |
54.900 |
252.800 |
|
Other Expenses |
370.400 |
161.900 |
967.600 |
|
Total Expenses |
1180.200 |
1266.400 |
6098.000 |
|
Profit /
(Loss) from Operations before other Income and Financial Costs and
Exceptional Items |
(111.500) |
(14.400) |
46.400 |
|
Other Income |
34.300 |
8.100 |
78.500 |
|
Profit /
(Loss) from Ordinary Activities before Finance Costs and Exceptional Items |
(77.200) |
(6.300) |
124.900 |
|
Finance Costs |
82.000 |
74.900 |
324.200 |
|
Profit /
(Loss) from Ordinary Activities After Finance Costs and Exceptional Items |
(159.200) |
(81.200) |
(199.300) |
|
Exceptional items |
-- |
-- |
-- |
|
Profit/(Loss) from ordinary activities before tax |
(159.200) |
(81.200) |
(199.300) |
|
Tax expense |
(51.100) |
(41.600) |
(72.700) |
|
Net Profit/(Loss) from ordinary activities after tax |
(108.100) |
(39.600) |
(126.600) |
|
Extraordinary items |
-- |
-- |
-- |
|
Net Profit
/ (Loss) for the period |
(108.100) |
(39.600) |
(126.600) |
|
Paid-up equity share capital (Face value Rs. 10.00 per share) |
149.000 |
149.000 |
149.000 |
|
Reserves excluding Revaluation Reserve as per balance sheet of previous accounting year |
-- |
-- |
-- |
|
Earnings Per Share (EPS) (Face value of Rs. 10.00 per share) |
(0.73) |
(0.27) |
(0.85) |
|
a) Basic and Diluted EPS before extraordinary items |
(0.73) |
(0.27) |
(0.85) |
|
PART - II |
|
|
|
|
PARTICULARS OF SHARE HOLDING |
|
|
|
|
Public Shareholding |
|
|
|
|
– Number of shares |
32339710 |
32339710 |
32339710 |
|
– Percentage of shareholding |
21.71% |
21.71% |
21.71% |
|
Promoters and Promoter Group Shareholding |
|
|
|
|
a) Pledged/ Encumbered |
|
|
|
|
- Number of shares |
-- |
-- |
-- |
|
- Percentage of shares (as a % of the total hareholding of promoter and promoter group) |
-- |
-- |
-- |
|
- Percentage of shares (as a % of the total share capital of the company) |
-- |
-- |
-- |
|
|
|
|
|
|
b) Non encumbered |
|
|
|
|
- Number of shares |
116641860 |
116641860 |
116641860 |
|
- Percentage of shares (as a % of the total shareholding of promoter and promoter group) |
100.00% |
100.00% |
100.00% |
|
- Percentage of shares (as a % of the total share capital of the company) |
78.29% |
78.29% |
78.29% |
|
Particulars |
Quarter Ended
31.03.2013 |
|
INVESTOR
COMPLAINTS (Nos.) |
|
|
Pending at the beginning |
Nil |
|
Received during the quarter |
8 |
|
Disposed off during the quarter |
8 |
|
Remaining unresolved at the end of the
quarter |
Nil |
Note
1 The above audted Financial Results were reviewed by the Audit Committee and approved by the Board of on 18th Mary, 2013.
2 The Company’s Business is seasonal in nature and the performance can be impacted by weather conditions.
3 The Company is primarily engaged in the farm inputs business, which in the context of Accounting Standard-17 is considered the only significant business segment.
4. During the quarter, Srikakulam Plant operated satisfactorily. Work on rebuilding the damaged Block no.5, has commenced.
The Management has made a provisional assessment of the loss in fire accident in Block no.5 at Srikakulam. Accordingly provisional claim has been made with the insurance company covering the totally damaged and partially damaged assets. In addition, claim is made for damaged inventories and other risks covered as per the terms of the insurance policies
5. The Gross block value of the totally damaged assets, as per the books of account, aggregating to Rs. 290.500 millions has been de-capitalised and included in the provisional claim receivable from the Insurance Company.
In the case of partially damaged assets, pending completion of the repairs and its final assessment, the value of these assets continue to be included in the gross block and depreciation has been provided.
The estimated value of the damaged inventories of Rs. 44.600 millions is included in the provisional claims receivable for the insurance company.
The provisional claims made with the company are under process and on completion of final assessment and its acceptance. Necessary adjustments in the accounts and the financial impact if any will be accounted.
6. due to growth in the formulation business in the domestic market, the company has been able to achieve the Turnover of Rs. 61.400 millions (previous year Rs. 64.300 millions); despite suspension of the operation of the Srikakulam plant for a large part of the year and non availability of Block no.5 which constitutes about 40% of the total capacity.
7. The Comapany has prepared consolidated financial statements by incorporating the financial statements of its wholly owned subsidiary L.R. Research Laboratories Private Limited with its financial statements on line by line basis.
8. There are no operations in the wholly owned subsidiary namely Nagarjuna Agrichem (Australia) Pty. Limited and hence, there is no consolidation of Statement of Profit and Loss in respect of the same.
9. The financial statements of the associate company namely Nasense Labs Private Limited (formerly USP Organics Private Limited) have not been consolidated under equity method as per Accounting Standard -23 since the company has no significant influence. The long term investment in the said company has been disclosed at cost as per Accounting Standard -13.
10. In Compliance with the requirement of clause 40A of the Listing Agreement to raise public shareholding of the company to not less than 25%, the Board of Directors of the company at a meeting held on 27th April, 2013, recommended issue of bonus shares only on public shareholders (other than promoters) of the company in the ratio of 3 equity shares for every 14 equity shares held by them, which is subject to the approval of the Shareholders in the ensuring EGM to be held on 22nd May, 2013.
11. The figures of the current quarter ended 31 March, 2013 and quarter ended 31 March, 2013 and quarter ended 31 March, 2012 are the balancing figures between the audited figures of the full financial year ended 31 March, 2013 and 31 March, 2012, respectively and the published year to date figures up to third quarter ended 31 December, 2012 and 31 December, 2011, respectively.
12. Tax Expenses includes current tax and deferred tax.
13. Comparative figures have been re-grouped and recast wherever considered necessary, to make them comparable.
FIXED ASSETS
- Land
- Buildings
- Plant and machinery
- Electrical installations
- Furniture and fixtures
- Office equipments
- Vehicles
- Computer and Peripherals
- Goodwill
- SAP Upgrade License Fees
- Implementation fee
- Technical Knowhow
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.58.45 |
|
|
1 |
Rs.91.60 |
|
Euro |
1 |
Rs.77.91 |
INFORMATION DETAILS
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
6 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
55 |
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.