MIRA
INFORM REPORT
|
Report Date : |
21.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
LAKSHMI MACHINE WORKS LIMITED |
|
|
|
|
Registered
Office : |
Perianaickenpalayam, SRK Vidyalaya Post, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2012 |
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|
|
|
Date of
Incorporation : |
14.09.1962 |
|
|
|
|
Com. Reg. No.: |
18-000463 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 112.665 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29269TZ1962PLC000463 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBL03078F |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer and seller of Textile Spinning Machinery, CNC Machine
Tools, Heavy castings and parts and components for Aero space industry |
|
|
|
|
No. of Employees
: |
3274 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (78) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 35000000 |
|
|
|
|
Status : |
Very Good |
|
|
|
|
Payment Behaviour : |
Regular |
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|
|
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Litigation : |
Exists |
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|
Comments : |
Subject is a well established and a reputed company having a fine
track record. Financial position of the company appears to be sound.
Fundamentals are strong and healthy. Directors are reported to be experienced
and respectable businessmen. Trade relations are reported as fair. Business is
active. Payments are reported to be regular and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. It can be considered as a promising business partner in medium to long
run. |
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 |
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 / Marketing Dept - Textile Machinery Division : |
Perianaickenpalayam, SRK Vidyalaya Post, |
|
Tel. No.: |
91-422-2692371-379 / 2892371-79 / 6612263
/ 6612551/ 3022255/ 6612216/ 6612207 |
|
Fax No.: |
91-422-2692541 / 542 / 543/ 2892541-42 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
34-A, |
|
Tel. No.: |
91-422-2221680/ 82-87 |
|
Fax No.: |
91-422-2220912 |
|
E-Mail : |
|
|
|
|
|
Factory 1: |
Unit I
Perianaickenpalayam, |
|
Tel No: |
91-421-3983000
|
|
Fax No.: |
91-421-2333270
|
|
E mail: |
Unit2@lmw.co.in
|
|
|
|
|
Factory 2: |
Unit II
Kaniyur, |
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|
|
|
Factory 3: |
Spindles and Rings Unit
SF 113, |
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|
|
|
Factory 4: |
Bearings
Unit
SIPCOT Industrial Complex, Gummudipoondi - 601 201, |
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|
|
|
Factory 5: |
wind mill
division
Kethanur, Palladam (TK), |
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|
|
|
Factory 6: |
commercial
tool room
Sangothipalayam, |
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|
|
|
Factory 7: |
agro
division
|
|
|
|
|
Factory 8: |
MACHINE
TOOL DIVISION
Arasur, |
|
Tel No: |
91-421-3983000/ 3022537
|
|
Fax No.: |
91-421-2360029/ 3022577
|
|
E mail: |
Mtdsales@lmw.co.in
|
|
|
|
|
Factory 9 |
FOUNDRY DIVISION
Arasur, |
|
Tel No: |
91-421-3983000/ 3022553/
3022511
|
|
Fax No.: |
91-421-2360029/ 3022577
|
|
E mail: |
|
|
|
|
|
Factory 10: |
G. K. D.
INSTITUTE FOR TECHNOLOGICAL RESOURCES
Arasur, |
|
|
|
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Factory 11: |
Ganapathy, Coimbatore-641006, |
DIRECTORS
As on 31.03.2012
|
Name : |
Mr. R. Venkatrangappan |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Sri. Sanjay Jayavarthanavelu |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. M.V. Subbiah |
|
Designation : |
Director |
|
Experience : |
He has 4 decades of experience in the field of Industrial Administration, Human Resource Development and Financial Management. |
|
Other Directorships : |
1.
ICI
India Limited 2.
National
Silk Development Corporation 3.
Chennai
Willington Corporate Foundation 4.
Chennai
Heritage |
|
|
|
|
Name : |
Mr. S. Pathy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R. Satagopan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Basavaraju |
|
Designation : |
Nominee Director of LIC |
|
Experience : |
He has more than 3 decades of experience in the fields of Marketing, Investments, Training and Administration |
|
|
|
|
Name : |
Mr. Aditya Himatsingka |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. Mukund Govind Rajan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R. Rajendran |
|
Designation : |
Director Finance |
KEY EXECUTIVES
|
Name : |
Mr. K. Duraisami |
|
Designation : |
Company Secretary |
SHAREHOLDING PATTERN
As on 31.03.2013
|
Category of
Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
301866 |
2.68 |
|
|
2890878 |
25.66 |
|
|
3192744 |
28.34 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
3192744 |
28.34 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
962502 |
8.54 |
|
|
6104 |
0.05 |
|
|
1713057 |
15.20 |
|
|
119379 |
1.06 |
|
|
2801042 |
24.86 |
|
|
|
|
|
|
2205023 |
19.57 |
|
|
|
|
|
|
1559065 |
13.84 |
|
|
896316 |
7.96 |
|
|
612314 |
5.43 |
|
|
7065 |
0.06 |
|
|
4360 |
0.04 |
|
|
240 |
0.00 |
|
|
52762 |
0.47 |
|
|
8381 |
0.07 |
|
|
539506 |
4.79 |
|
|
5272718 |
46.80 |
|
Total Public shareholding (B) |
8073760 |
71.66 |
|
Total (A)+(B) |
11266504 |
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) |
11266504 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and seller of Textile Spinning Machinery, CNC Machine
Tools, Heavy castings and parts and components for Aero space industry |
||||||||||||||||
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||||||||||||||||
|
Products : |
|
PRODUCTION STATUS (As on 31.03.2011)
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Spinning
Machinery |
|
|
|
|
|
Spinning Preparatory Machinery |
Nos. |
3287 |
5000 |
2443 |
|
Yarn Making Machinery |
Nos. |
5084 |
3300 |
1882 |
|
Accessories and Parts |
Nos. |
211 Lacs |
279 Lacs |
-- |
|
Weaving
Machinery |
|
|
|
|
|
Weaving Preparatory Machinery |
Nos. |
211 |
-- |
-- |
|
Textile packaging Machinery |
Tonnes |
196 |
-- |
-- |
|
Pilot Mill |
Spindle |
28000 |
8000 |
-- |
|
Metal Cutting Including Grinding Machines |
Nos. |
900 |
900 |
1081 |
|
Diesel Engines |
Nos. |
2676 |
-- |
-- |
|
Casstings |
Tonnes |
15000 |
15000 |
29188 |
GENERAL INFORMATION
|
No. of Employees : |
3274 (Approximately) |
|
|
|
|
Bankers : |
·
Indian
Bank ·
Bank
of Baroda ·
Citibank
N.A. ·
HDFC
Bank ·
IDBI
Bank ·
Standard
Chartered Bank ·
Bank
of Nova Scotia |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors 1 : |
|
|
Name : |
M.S.
Jagannathan and Visvanathan Chartered Accountants |
|
Address : |
Coimbatore, Tamilnadu, India |
|
|
|
|
Auditors 2 : |
|
|
Name : |
Subbachar
and Srinivasan Chartered Accountants |
|
Address : |
Coimbatore, Tamilnadu, India |
|
|
|
|
Joint Venture : |
Rieter LMW Machinery Limited (Upto 15.8.2011) |
|
|
|
|
Wholly Owned Subsidiaries : |
·
LMW
Textile Machinery (Suzhou) Company Limited ·
LMW
Machinery Limited [w.e.f. 16.8.2011 |
|
|
|
|
Other related parties-Associates : |
· Eshaan Enterprises Limited · Mahalakshmi Engineering Holdings Limited · Harshini Textiles Limited · Quattro Engineering India Limited · Hermes Academy of Training Limited · Revantha Holdings Limited · Integrated Electrical Controls Limited · Sri Kamakoti Kamakshi Textiles Private Limited · Lakshmi Cargo Company Limited · Sri Lakshmi Vishnu Plastics · LCC Cargo Holdings Limited · Super Sales India Limited · Lakshmi Electrical Drives Limited · Starline Travels Limited · Lakshmi Technology and Engg. Industries Limited · Titan Paints and Chemicals Limited · Lakshmi Ring Travellers (Cbe) Limited · Venkatavaradha Agencies Limited · Lakshmi Electrical Control Systems Limited · Walzer Hotels Limited · Lakshmi Precision Tools Limited · Lakshmi Life Sciences Limited |
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
25000000 |
Equity Shares |
Rs.10/- each |
Rs.250.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11266504 |
Equity Shares |
Rs.10/- each |
Rs.112.665
millions |
|
|
|
|
|
Reconciliation of
number of shares
|
Particular |
Numbers |
|
Number of Equity shares at the beginning |
1,12,66,504 |
|
Less : Equity Shares bought back during the year |
-- |
|
Number
of Equity shares at the end |
1,12,66,504 |
Shareholders holding
more than 5 percent Equity shares
|
Particular |
No. of shares held |
% of Holding |
|
Life Insurance Corporation of India |
1093481 |
9.71% |
|
Voltas Limited |
6,00,000 |
5.33% |
|
Lakshmi Cargo Company Limited |
8,23,718 |
7.31% |
|
Lakshmi Technology and Engineering Industries Limited |
6,67,090 |
5.92% |
|
The Lakshmi Mills Company Limited |
7,20,000 |
6.39% |
Note : Aggregate number of Equity
shares bought back during financial year 2010-11
The Company has issued only one class of Equity shares having a par value of Rs.10 per share. Each holder of Equity share is entitled to one vote per share. The Company declares dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to approval by the shareholders at the Annual General Meeting.
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 |
|
112.665 |
112.665 |
|
(b) Reserves &
Surplus |
|
8872.405 |
8156.940 |
|
(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 |
|
0.000 |
0.000 |
|
(b) Deferred tax
liabilities (Net) |
|
228.706 |
276.042 |
|
(c) Other long
term liabilities |
|
2664.453 |
3369.240 |
|
(d) long-term
provisions |
|
0.000 |
0.000 |
|
|
|
|
|
|
(4) Current
liabilities |
|
|
|
|
(a) Short term
borrowings |
|
0.000 |
0.000 |
|
(b) Trade payables |
|
2625.423 |
2670.273 |
|
(c) Other current
liabilities |
|
3632.371 |
3178.559 |
|
(d) Short-term
provisions |
|
696.805 |
446.392 |
|
TOTAL |
|
18832.828 |
18210.111 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current
assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible
assets |
|
4946.772 |
4228.564 |
|
(ii) Intangible
Assets |
|
28.846 |
31.479 |
|
(iii) Capital
work-in-progress |
|
103.074 |
104.027 |
|
(iv) Intangible
assets under development |
|
0.000 |
0.000 |
|
(b) Non-current
Investments |
|
1540.730 |
1000.730 |
|
(c) Deferred tax
assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
282.280 |
414.747 |
|
(e) Other
Non-current assets |
|
170.239 |
100.175 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current
investments |
|
0.000 |
0.000 |
|
(b) Inventories |
|
2153.218 |
2511.425 |
|
(c) Trade
receivables |
|
1292.968 |
1119.507 |
|
(d) Cash and cash
equivalents |
|
6923.456 |
7289.588 |
|
(e) Short-term
loans and advances |
|
1110.115 |
1156.342 |
|
(f) Other current
assets |
|
281.130 |
253.527 |
|
TOTAL |
|
18832.828 |
18210.111 |
|
SOURCES OF FUNDS |
|
|
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
123.692 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
9134.056 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
9257.748 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
0.000 |
|
|
2] Unsecured Loans |
|
|
0.000 |
|
|
TOTAL BORROWING |
|
|
0.000 |
|
|
DEFERRED TAX LIABILITIES |
|
|
330.939 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
9588.687 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
4464.134 |
|
|
Capital work-in-progress |
|
|
1.600 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
1214.424 |
|
|
DEFERREX TAX ASSETS |
|
|
0.000 |
|
|
Other Non-Current Assets |
|
|
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
1103.980 |
|
|
Sundry Debtors |
|
|
615.995 |
|
|
Cash & Bank Balances |
|
|
7273.153 |
|
|
Other Current Assets |
|
|
237.396 |
|
|
Loans & Advances |
|
|
1023.142 |
|
Total
Current Assets |
|
|
10253.666 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
1571.981 |
|
|
Other Current Liabilities |
|
|
4534.100 |
|
|
Provisions |
|
|
239.057 |
|
Total
Current Liabilities |
|
|
6345.138 |
|
|
Net Current Assets |
|
|
3908.528 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
9588.687 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
21134.524 |
18037.477 |
11369.044 |
|
|
|
Other Income |
845.077 |
796.568 |
821.402 |
|
|
|
TOTAL (A) |
21979.601 |
18834.045 |
12190.446 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
13051.096 |
11103.208 |
|
|
|
|
Changes in inventories of finished goods and work-in-progress and Stock-in-Trade |
58.188 |
(383.036) |
9726.618 |
|
|
|
Employee
benefits expense |
1735.024 |
1668.253 |
|
|
|
|
Other expenses |
3711.751 |
3013.096 |
|
|
|
|
TOTAL (B) |
18556.059 |
15401.521 |
9726.618 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3423.542 |
3432.524 |
2463.828 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
50.073 |
13.018 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3373.469 |
3419.506 |
2463.828 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1139.529 |
1041.084 |
958.206 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
2233.940 |
2378.422 |
1505.622 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
863.764 |
718.625 |
458.783 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1370.176 |
1659.797 |
1046.839 |
|
|
|
|
|
|
|
|
|
Less/ Add |
Investment Fluctuation Reserve |
(200.453) |
25.589 |
607.809 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
7694.820 |
6572.260 |
5243.968 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
140.000 |
170.000 |
110.000 |
|
|
|
Proposed Dividend |
563.325 |
337.995 |
185.539 |
|
|
|
Tax on Dividend |
91.385 |
54.831 |
30.818 |
|
|
BALANCE CARRIED
TO THE B/S |
8069.833 |
7694.820 |
6572.260 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods on FOB basis |
3214.969 |
2514.138 |
NA |
|
|
TOTAL EARNINGS |
3214.969 |
2514.138 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
602.367 |
502.756 |
262.352 |
|
|
|
Components and Spares Parts |
2104.773 |
1766.839 |
1079.1 |
|
|
|
Capital Goods |
631.209 |
701.216 |
183.368 |
|
|
TOTAL IMPORTS |
3338.349 |
2970.811 |
1524.820 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
121.62 |
134.95 |
84.63 |
|
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 |
4329.900 |
4696.100 |
3933.000 |
5021.700 |
|
Total Expenditure |
3799.200 |
4088.200 |
3491.600 |
4595.000 |
|
PBIDT (Excl OI) |
530.700 |
608.000 |
441.400 |
426.600 |
|
Other Income |
194.900 |
121.000 |
149.700 |
307.600 |
|
Operating Profit |
725.600 |
729.000 |
591.000 |
734.200 |
|
Interest |
1.100 |
1.700 |
1.100 |
0.000 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
724.500 |
727.300 |
589.900 |
734.200 |
|
Depreciation |
274.400 |
283.300 |
288.800 |
292.100 |
|
Profit Before Tax |
450.000 |
444.000 |
301.100 |
442.100 |
|
Tax |
140.000 |
137.500 |
97.500 |
157.100 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
310.000 |
306.500 |
203.600 |
285.000 |
|
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 |
310.000 |
306.500 |
203.600 |
285.000 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
6.23
|
8.81 |
8.58 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.57
|
13.19 |
13.24 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.00
|
13.90 |
10.23 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.25
|
0.29 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.69
|
1.96 |
1.62 |
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 |
No |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
No |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
LITIGATIONS DETAILS:
|
CHENNAI COURT |
|
|
|
CASE STATUS
INFORMATION SYSTEM |
|
|
|
Case Status:
Pending |
|
Status of: Tax Cases |
|
Case No.: 3 |
|
Year: 2012 |
|
Petitioner: The
State of TN |
|
Respondent: M/S LAKSHNI MACHINE WORKS
LIMITED |
|
Pet’s Advocate: SSC Taxes |
|
Res’s Advocate: |
|
Category: No Category Mentioned |
|
Last List on: No Date mentioned |
|
Case Updated on: Fab 27 2012 |
OPERATIONS
During
the year, the Company has achieved a turnover of Rs.20724.919 Millions (2010
-11: Rs.17733.117 Millions) resulting in a Net Profit of Rs.2233.940 Millions before tax
(2010-11: Rs.2378.422 Millions). During the year the turnover has increased by
16.87% over the previous year however the profit has decreased by 6.07%. Inspite
of rise in turnover, the increase in commodity prices, power and fuel expenses
and depreciation of the Indian Rupee against US Dollar has impacted
profitability.
TEXTILE MACHINERY DIVISION
The
Textile Machinery Division of the Company, during the year, has recorded a
turnover of Rs.17532.951 Millions as against Rs.15181.321 Millions achieved
during the last year, recording an increase of 15.49% over the previous year.
The
buoyancy in demand for Textile Machinery experienced during 2010- 11 has slowed
down in 2011-12. During the year the Indian Textile Industry was affected by
external factors like the Euro Zone Crisis and concerns relating to low growth
in demand from the US market. Demand generation in the domestic market too was
affected by the uncertain economic environment. The high rate of inflation has
eroded the disposable income and has hampered demand growth in the domestic
market.
The
Indian Textile Industry was also affected by volatile cotton prices; high cost
of inventory carried forward, high interest rates, withdrawal of export
incentives and levy of additional excise duty on readymade garments. The
financial gains realised during 2010-11 were negated by the first quarter of
2011-12. Imposition of restriction on the cotton yarn export and the high cost
of working capital forced many mills to dump yarn, made out of expensive
cotton, in the domestic market at very low prices resulting in huge losses.
Many textile units also closed/suspended operations or experienced lower
capacity utilisation due to power shortage and issues relating to environmental
concerns.
The uncertain and unpredictable Government policy on cotton and yarn export is posing a threat to the new entrants. It also made the existing players to defer their investment proposals for capacity expansion or modernisation. Only large integrated textile companies who have sufficient internal accruals or arrangements with banks / financial institutions were able to proceed with their investment programmes. The budget for the year 2012-13 too has failed to cheer the Indian textile industry, which has been bogged down by many issues. However, extension of relief for R and D activities and testing laboratories, exemption of expenditure on skill development in manufacturing sector, allocation of Rs.10000.000 Millions for National Skill Development Programmes and allocation of Rs.29140.000 Millions for TUF scheme were hailed as steps in the right direction.
In the current market scenario, the Company aims to strengthen the existing product lines by presenting new value added products with high level of automation. Despite stiff competition from multinational companies, the Company has retained its market position through its ability to provide comprehensive spinning solutions, prompt after-sale services and commitment to enhance the bottom line of its customers. The step to allow 100% Foreign Direct Investment in textile sector and retail sector and the commitment to establish more textile parks by the government is expected to bring moderate growth in business to this division in the coming years.
MACHINE TOOL DIVISION
Turnover of the Machine Tool Division during the year was Rs.2274.917 Millions as against Rs.1843.452 Millions recorded during the last year showing an increase of 23.40% over the previous year.
Moderation in the growth of automobile and auto ancillary industry has not affected the demand for machine tools. The emerging demand from aerospace, defence, power, railway engineering, heavy engineering, infrastructure and construction has given a new lease of life to this division. Growth of unorganised manufacturers offering low cost machine tools, continuous expansion of capacity by the organised sector and the stiff competition from overseas machine tool manufacturers are throwing a challenge to this division. Improved and sustained efforts of the Company for enhancing the technological competencies and cost competitiveness are expected to yield good results in the near future.
FOUNDRY DIVISION
Foundry division has achieved a turnover of Rs.917.007 Millions as against Rs.708.344 Millions recorded during the previous year showing an increase of 29% over the previous year. This division has exported castings worth Rs.524.770 Millions as against Rs.291.370 Millions made during the previous year. The export turnover constitutes 57% of the division’s turnover. The growth in exports is mainly on account of growing demand for locomotive castings due to the growth of railway locomotive businesses in North America and Europe.
The Company has installed additional high pressure moulding lines, which would enable this division to take up the manufacture of large volume of small weight castings.
Though the products of this division are well accepted by the global market resulting in a good order book position, shortage of power, nonavailability of trained workforce and other production constraints prevent this division from achieving full capacity utilisation.
WIND ENERGY DIVISION
During March 2012 the Company has installed five additional, high capacity Wind Energy Generators (WEG) with a total capacity of 8.85 MW at an investment of Rs.600.700 Millions.
As on 31st March, 2012 the Company has installed 28 WEGs with a total capacity of 36.80 MW. This division has generated 647 lakh units of power during 2011-12. The entire wind power generated has been captively consumed by the manufacturing units of the Company and thereby has helped to reduce the power cost.
AWARDS
During the year 2011-12 your Company has bagged the following Awards:
· Silver Shield for “Star Performer - Large Enterprise 2009-10 EEPC Regional Award” from Engineering Export Promotion Council for the highest exports.
· Apex Export Award for the year 2010-11 from Textile Machinery Manufacturers Association India for the highest exports.
· R and D Award for the new Card LC 333 and Comber LK 64 for the year 2009-10 from Textile Machinery Manufacturers Association India.
· R and D Award for the new Ring Frame LR 9 for the year 2010-11 from Textile Machinery Manufacturers Association India.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
ECONOMY OVERVIEW
The
Indian Economy was estimated to sustain its growth rate like last year; however
the global financial crisis along with a recession has curtailed its
performance. India’s
GDP is now estimated to have grown at the rate of 6.5% in 2011-12 as against
the growth rate of 8.4% achieved last year. Though the economy was able to
limit the adverse impact of the global slowdown, its performance is
disappointing. The optimism that was prevalent at the start of the year has now
turned to pessimism.
Business
confidence level within the Indian economy has plunged primarily due to the
continuing uncertainty in global demand outlook and also due to a weak domestic
market whose consumption appetite has reduced due to a combination of high
inflation and rising fuel costs. During the year 2011-12, the tight monetary
policy as adopted by the RBI for taming inflation has impacted demand growth
and the overall investment climate within the country. But it is also a fact
that in a performance comparison, the Indian economy still remains high amongst
the forerunners.
GDP
growth rates can improve only if the economic environment within the country is
made more conducive for Investment.
Further
development of rural infrastructure and energy generation facilities is
absolutely essential.
For
the ensuing financial year 2012-13, a moderate GDP growth rate of 6.00%~6.50%
is expected. Easing inflation has now enabled RBI to reduce the interest rates,
which along with easing inflation and a prediction for a near normal monsoon is
expected to boost domestic demand and consumption in rural India. Depreciation
of the Indian Rupee vis-a-vis the US Dollar is expected to encourage exports
and as well attract more foreign direct investments however it will also make
the imports costlier
SEGMENT REVIEW
The
Company has three major segmental divisions namely, the Textile Machinery
Division (TMD), the Machine Tool Division (MTD), the Foundry Division
(Foundry). Besides these divisions, the Company has a Wind Energy Division and
an Advanced Technology Centre. All the divisions are located in and around
Coimbatore, Tamilnadu, India.
Industry Overview
Indian
Textile Industry is a major contributor towards the country’s economic growth and
foreign trade. Infact the importance of Textiles within the Indian Economy
stands next only to Agriculture. Also, the Indian Textile Industry occupies a
unique position of being a totally self-reliant industry across the value
chain, right from raw-materials to the finished goods. It is notable that
significant value addition happens at every stage. Indian Textile Industry is
comprised of 1,834 big spinning mills, 1,249 small scale spinning mills 184
exclusive weaving mills, 5 lakh power loom units and about one lakh handloom
units. Abolition of trade restrictions and the easing of Multi-Fibre Agreement
(MFA) since January 2005 has enabled the Indian manufacturers to export without
any quantitative restrictions across the globe. This has enabled sizeable
growth in Indian Textile Industry across the value chain. India has about 24%
of the world’s
installed spindleage and is one of the biggest exporters of yarn.
According
to the National Fibre Policy Report, India requires substantial capital expenditure
during the period 2011-20 to keep up with the expected demand. In this
scenario, any extension of the TUF Scheme during the XII Plan Period (2012-17)
will immensely benefit the Indian Textile Industry.
Outlook
Motivated
by the depreciating rupee, exporters plan further expansion of capacity.
Effective monetary measures taken by the RBI alongwith the prediction of a near
normal monsoon is expected stimulate domestic consumption. On the other hand,
the global economic slowdown seems to have little or no impact on the capex
plans of well established integrated textile mills, as they are aware that
investment in contemporary technology is necessary to meet their customers’ cost and quality
requirements.
Industry Overview
The
Indian Machine Tool Industry consists of about 450 units of which about 150
units are in the organized sector. More than 70% of the Machine Tools
manufactured in India are made by about 10 major companies. The Indian Machine
Tool sector is capable of manufacturing both the conventional and advanced CNC
Machine Tools. Despite the growth of Machine Tool Industry in India, about 70%
of the domestic demand for high end machine tools is being met by imports. This
sector is poised to grow further in view of the increased demand from defence,
aerospace, metro rail and heavy engineering industries in India.
MTD segment
performance
This
division has sold 1,261 machines during the year for a value of `22,540.30 Lakhs and has
added 488 new customers to its fold.
Outlook
Emerging
engineering industries like aerospace, railway engineering has created enormous
opportunities for this sector. India is a global leader for low cost
manufacture of engineering goods. In this regard, expertise gained by the
Company over two decades in the industry enables inhouse research efforts which
are adequately complemented with technology tie-ups for developing high
precision machinery.
This
division has launched the Moving Column VMC (JVM60) during the year. In the
ensuing year the multi-tasking machine (JM300X) and 1000 mm length Turning
Centre (LL25TL10) will be introduced in the market.
Industry Overview
In
India more than 5,000 foundries are engaged in the manufacture of grey iron,
ductile iron, SG iron, malleable steel, non ferrous and steel castings. The
total installed capacity of the Foundries in India is 9.05 million tons per
annum and the country meets about 10% of the global demand. It is expected that
for the next five decades the Indian Foundry industry will maintain the growth
momentum.
Foundry Segment
performance
This
division comprises of three foundry units of which two units cater to the
captive requirements. The one unit which meets external demand has sold 6,957
MT of ductile iron and grey iron castings valued at Rs.917.007 Millions during
the year. Out of the total castings sold by this unit about 57% accounting for
Rs.524.770 Millions has been exported.
Outlook
Uninterrupted
demand for high precision heavy castings, availability of world class
manufacturing facilities with state of the art technology, focused approach on
the customers in the domestic and export market and forging of long term supply
arrangements with MNC giants would enable this division to perform well during
the financial year 2012-13.
CONTINGENT
LIABILITIES AND COMMITMENTS, TO THE EXTENT NOT PROVIDED FOR
Rs. In Millions
|
Particular |
31.03.2012 |
31.03.2011 |
|
Bills discounted with banks |
50.975 |
-- |
|
Letters of Credit |
218.000 |
707.014 |
|
Bank
Guarantee |
203.067 |
86.240 |
|
Central
Excise Demand |
38.559 |
44.058 |
|
Disputed
tax dues are appealed before concerned appellate authorities. The Company is
advised that the cases are likely to be disposed off in favour of the Company
and hence no provision is considered necessary therefor |
|
|
|
Estimated
balance of committed share subscription to wholly owned subsidiary company,
LMW Textile Machinery (Suzhou) Company Limited [USD 7.50 million; (previous
year USD 7.50 million)] |
390.602 |
340.484 |
|
Estimated
amount of contracts remaining to be executed on capital account not provided
for |
128.200 |
200.942 |
AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31ST MARCH 2013
(Rs. in Millions)
|
SI. No. |
Particulars |
Quarter Ended |
Year Ended |
|
|
|
|
31.03.2013 |
31.12.2012 |
31.03.2013 |
|
|
|
(Audited) |
(Unaudited) |
(Audited) |
|
|
|
|
|
|
|
1 |
a) Net Sales / Income from Operations (Net of Excise Duty) |
4866..589 |
4137.545 |
18643.275 |
|
|
b) Other Operating Income |
155.077 |
169.277 |
528.026 |
|
|
Total Income from
operations (net] |
5021.666 |
4306.822 |
19171.301 |
|
2 |
Expenses |
|
|
|
|
|
a. Cost of Material Consumed |
3353.178 |
2395.044 |
12014.973 |
|
|
b. Purchase of Stock-in-trade |
- |
- |
- |
|
|
c. Changes in Inventories of finished goods, work-in-progress and stock -in-trade |
(216.330) |
228.399 |
(226.181) |
|
|
d. Employee benefits expense |
463.448 |
424.189 |
1795.704 |
|
|
e. Depreciation and Amortisation expense |
292.109 |
302.255 |
1177.206 |
|
|
f. Other Expenses |
994.741 |
801.460 |
3486.198 |
|
|
Total Expenses |
4887.146 |
4151.347 |
18247.900 |
|
|
|
|
|
|
|
3 |
Profit from Operations before other income, finance costs and exceptional items |
134.520 |
155.475 |
923.401 |
|
4 |
Other Income |
307.575 |
150.809 |
787.156 |
|
5 |
Profit from ordinary activities before finance costs and exceptional Items |
442.095 |
306.284 |
1710.557 |
|
6 |
Finance Costs |
0.000 |
1.099 |
3.660 |
|
7 |
Profit from ordinary activities after finance costs but before exceptional Items |
442.095 |
305.185 |
1706.897 |
|
8 |
Exceptional Items - Pre acquisition profits |
- |
- |
- |
|
9 |
Profit from
Ordinary Activities before tax |
442.095 |
305.185 |
1706.897 |
|
|
|
|
|
|
|
10 |
Tax Expense |
157.102 |
98.824 |
532.102 |
|
|
|
|
|
|
|
11 |
Net Profit from Ordinary Activities after tax |
284.993 |
206.361 |
1174.795 |
|
12 |
Extraordinary items (Net of Tax expense) |
|
- |
- |
|
13 |
Net Profit for the
period |
284.993 |
206.361 |
1174.795 |
|
14 |
Paid-up Equity Share Capital (Face Value Rs. 10/-each) |
112.665 |
112.665 |
112.665 |
|
15 |
Reserves Excluding Revaluation Reserves as per Balance Sheet of previous accounting year |
- |
- |
9490.213 |
|
16 |
Earnings Per Share
(before extraordinary items)(of Rs. 10 each) |
|
|
|
|
|
(a) Basic |
25.30 |
18.32 |
104.27 |
|
|
(b) Diluted |
25.30 |
18.32 |
104.27 |
|
17 |
Earnings Per Share
(after extraordinary items)(of Rs. 10 each) |
|
|
|
|
|
(a) Basic |
25.30 |
18.32 |
104.27 |
|
|
(b) Diluted |
25.30 |
18.32 |
104.27 |
|
SR. NO. |
Particulars |
31.03.2013 (Audited) |
31.12.2012 (Unaudited) |
31.03.2013 (Audited) |
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
|
|
1 |
Public Share
Holding |
|
|
|
|
|
- Number of Shares |
8,073,760 |
8,073,760 |
8,073,760 |
|
|
- Percentage of Shareholding |
71.66% |
71.66% |
71.66% |
|
2 |
Promoters and
Promoter Group Shareholding |
|
|
|
|
|
a) Pledged /
encumbered |
|
|
|
|
|
•Number of Shares |
|
|
|
|
|
- Percentage of Shareholding (as a K of the total shareholding of promoter and promoter group) |
|
|
|
|
|
• Percentage of Shares (as a * of total share capital of the Company) |
|
|
|
|
|
b) Non – encumbered |
|
|
|
|
|
-Number of Shares |
3,192,744 |
3,192,744 |
3,192,744 |
|
|
• Percentage of Shares (as a * of total shareholding of promoter and promoters group) |
100.00% |
100.00% |
100.00% |
|
|
- Percentage of Shares (as a % of total share capital of the Company) |
28.34% |
28.34% |
28.34% |
|
|
PARTICULARS |
3 months ended 31.03.2013 |
|
B |
INVESTOR COMPLAINTS |
|
|
|
Pending at the beginning of the quarter |
NIL |
|
2 |
Received during the quarter |
5 |
|
3 |
Disposed of during the quarter |
5 |
|
4 |
1 Remaining unresolved at the end of the quarter |
NIL |
SEGMENT WISE REVENUE,
RESULTS AND CAPITAL EMPLOYED FOR THE YEAR ENDED 31ST MARCH 2013
(Rs. in Millions)
|
SI. No. |
Particulars |
31.03.2013 |
31.12.2012 |
31.03.2013 |
|
|
|
(Audited) |
(Unaudited) |
(Audited) |
|
1 |
Segment Revenue |
|
|
|
|
|
a)Textile Machinery Division |
4570.608 |
3805.220 |
16951.048 |
|
|
b) Machine Tool & Foundry Division |
587.495 |
527.430 |
2389.009 |
|
|
c) Advanced Technology Centre |
19.314 |
13.439 |
46.610 |
|
|
Total |
5177.417 |
4346.089 |
19386.667 |
|
|
Less: Inter-segment revenue |
77.721 |
30.439 |
133.039 |
|
|
Net Sates/Income
from Operations |
5099.696 |
4315.650 |
19253.628 |
|
2 |
Segment Results (Profit before
Interest & tax) |
|
|
|
|
|
a) Textile Machinery Division |
278.660 |
214.063 |
, 1166.301 |
|
|
b) Machine Tool & Foundry Division |
18.980 |
21.433 |
138.326 |
|
|
c) Advanced Technology Centre |
(41.092) |
(55.412) |
! (203.320) |
|
|
Total |
256.548 |
180.084 |
1101.307 |
|
|
Add : Other un-allocable income net of Unallocable expenditure |
185.547 |
125.101 |
605.590 |
|
|
Total Profit Before
Tax |
442.095 |
305.185 |
1706.897 |
|
3 |
Capital Employed (Segment
Assets-Segment Liabilities) |
|
|
|
|
|
a)Textile Machinery Division |
7404.810 |
7633.707 |
7404.810 |
|
|
b) Machine Tool & Foundry Division |
1409.580 |
1358.050 |
1409.580 |
|
|
c) Advanced Technology Centre |
86.446 |
30.575 |
86.446 |
|
|
d) Unallocated |
702.043 |
852.251 |
702.043 |
STATEMENT OF ASSETS AND LIABILITIES
(Rs. in Millions)
|
S. No. |
Particulars |
Stand. 31.03.2013 (Audited) |
|
A |
EQUITY AND
LIABILITIES |
|
|
|
1. Shareholders' funds |
|
|
|
a. Share Capital |
112.665 |
|
|
b. Reserves and Surplus |
9490.213 |
|
|
Sub-Total -
Shareholders' funds |
9602.878 |
|
|
2. Non-Current
Liabilities |
|
|
|
a. Deferred Tax Liabilities (Net) |
129.019 |
|
|
b. Other Long Term liabilities |
2340.351 |
|
|
Sub-Total -
Non-Current Liabilities |
2469.370 |
|
|
3. Current
Liabilities |
|
|
|
a. Trade payables |
2537.651 |
|
|
b. Other current liabilities |
3040.438 |
|
|
c. Short Term provisions |
297.777 |
|
|
Sub-Total - Current
Liabilities |
5875.866 |
|
|
TOTAL - EQUITY AND
LIABILITIES |
17948.114 |
|
B |
ASSETS |
|
|
|
1. Non-Current
Assets |
|
|
|
a. Fixed Assets |
4498.002 |
|
|
b. Non-Current investments |
1038.250 |
|
|
c. Long Term Loans and Advances |
249.491 |
|
|
d Other Non Current Assets |
- |
|
|
Sub-Total- Non
Current Assets |
5785.743 |
|
|
2. Current Assets |
|
|
|
a. Inventories |
2257.027 |
|
|
b. Trade receivables |
1200.081 |
|
|
c. Cash and Cash equivalents |
7496.945 |
|
|
d. Short Term Loans and Advances |
864.130 |
|
|
e. Other Current assets |
344.188 |
|
|
Sub-Total- Current
Assets |
12162.371 |
|
|
TOTAL – ASSETS |
17948.114 |
Notes:
1. The above results were reviewed by the Audit Committee and approved by the Board of directors at their meeting held on 22-May-2013
2. The Board of Directors have recommended a dividend of Rs. 20/- per share of Rs. 10/- each for the financial year 2012-13. Dividend will be paid on or before 4th Sep, 2013.
3. The finance cost of Rs.3.660 Millions includes Rs.0.922 Millions pertaining to prior periods and the tax expenses of Rs.532.102 Millions includes Rs.0.503 Millions pertaining to prior periods.
4. As per Scheme of Amalgamation sanctioned by the High Court of Madras, LMW Machinery Limited has been amalgamated with the company with effect from the appointed date 01.04.2012 and consequently, the financial results for the quarter ended 31-Dec-2012 have been recast to include the financial results of the amalgamting company. Consequent to the amalgamation, the standalone and consolidated figures for the current reporting periods are not comparable with the corresponding figures of the previous year
5. The figures of last quarter ended 31-Mar-2013 are the balancing figures between audited figures in respect of the full financial year and the year to date recast figures upto 31-Dec-2012 as stated above.
6. Figures for the previous year / quarter have been regrouped / rearranged wherever necessary.
FIXED
ASSETS
- Land
- Buildings
- Machinery
- Furniture and
Equipments
- Vehicles
WEBSITE DETAILS
PRESS RELEASES
COMPETITION PANEL
CLOSES CASE AGAINST LAKSHMI MACHINE WORKS
NEW DELHI, FEB
20:
The Competition Commission of India has closed a case against Coimbatore-based Lakshmi Machine Works that alleged the company had abused its dominant position in the textile machinery business.
Shahi Exports had approached the Commission alleging that LMW had abused its dominant position in sale of spinning machinery for textiles.
‘DOMINANT POSITION’
Shahi Exports had said that LMW had unilaterally increased prices and imposed unfair terms and conditions in a contract the two parties had signed, given its dominant position in the market.
CCI examined the information and found that, despite LMW being a dominant player, it had not contravened the provisions of Section 4 Competition Act (abuse of dominance).
During the arbitration proceedings with the complainant, Lakshmi Machine Works had submitted that the price increase was due to increase in costs of raw material and labour.
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 proeeding 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.59.70 |
|
|
1 |
Rs.92.22 |
|
Euro |
1 |
Rs.79.19 |
INFORMATION DETAILS
|
Report Prepared
by : |
RAJ |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--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 |
|
78 |
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.