MIRA
INFORM REPORT
|
Report Date : |
05.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
GRAVITA INDIA LIMITED |
|
|
|
|
Registered
Office : |
‘Saurabh’, Harsulia Mod, P. O. Harsulia, Diggi-Malpura Road, Tehsil
Phagi-303904, Rajasthan |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
04.08.1992 |
|
|
|
|
Com. Reg. No.: |
17-006870 |
|
|
|
|
Paid-up Capital
: |
Rs. 136.200 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29308RJ1992PLC006870 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
JPRG00562C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACG6753F |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacturer of various types of Industrial Welding Powder, Gum
Adhesives and Chemicals. |
|
|
|
|
No. of Employees
: |
260 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (53) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 2590000 |
|
|
|
|
Status : |
Good |
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|
|
|
Payment Behaviour : |
Regular |
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|
|
|
Litigation : |
Clear |
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|
Comments : |
Subject is an established company having a satisfactory track record.
Financial position of the company appears to be good. Trade relations are
reported as decent. Business is active. Payments are reported to regular and
as per commitments. The company can be considered good for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
India is developing into an open-market economy, yet traces
of its past autarkic policies remain. Economic liberalization, including
industrial deregulation, privatization of state-owned enterprises, and reduced
controls on foreign trade and investment, began in the early 1990s and has
served to accelerate the country's growth, which has averaged more than 7% per
year since 1997. India's diverse economy encompasses traditional village
farming, modern agriculture, handicrafts, a wide range of modern industries,
and a multitude of services. Slightly more than half of the work force is in
agriculture, but services are the major source of economic growth, accounting
for more than half of India's output, with only one-third of its labor force.
India has capitalized on its large educated English-speaking population to
become a major exporter of information technology services and software
workers. In 2010, the Indian economy rebounded robustly from the global
financial crisis - in large part because of strong domestic demand - and growth
exceeded 8% year-on-year in real terms. However, India's economic growth in
2011 slowed because of persistently high inflation and interest rates and
little progress on economic reforms. High international crude prices have
exacerbated the government's fuel subsidy expenditures contributing to a higher
fiscal deficit, and a worsening current account deficit. Little economic reform
took place in 2011 largely due to corruption scandals that have slowed
legislative work. India's medium-term growth outlook is positive due to a young
population and corresponding low dependency ratio, healthy savings and
investment rates, and increasing integration into the global economy. India has
many long-term challenges that it has not yet fully addressed, including
widespread poverty, inadequate physical and social infrastructure, limited
non-agricultural employment opportunities, scarce access to quality basic and
higher education, and accommodating rural-to-urban migration.
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
BBB [Long Term Bank Facilities] |
|
Rating Explanation |
Moderate degree of safety and moderate credit risk. |
|
Date |
31.08.2012 |
|
Rating Agency Name |
CARE |
|
Rating |
A2 [Short Term Bank Facilities] |
|
Rating Explanation |
Strong degree of safety and low credit risk. |
|
Date |
31.08.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office/Factory : |
‘Saurabh’, Harsulia Mod, P. O. Harsulia, Diggi-Malpura Road, Tehsil
Phagi-303904, Rajasthan, India |
|
Tel. No.: |
91-141-2621046 |
|
Fax No.: |
91-141-2621491 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
402, |
|
Tel. No.: |
91-141-2623266/2622697 |
|
Fax No.: |
91-414-2621491 |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Dr. Mahavir Prasad Agarwal |
|
Designation : |
Chairman and Whole Time Director |
|
Date of Birth/Age : |
01.03.1934 |
|
Qualification : |
M.B.B.S |
|
Date of Appointment : |
27.03.2007 |
|
|
|
|
Name : |
Mr. Rajat Agarwal |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. Rajeev Surana |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. Dinesh Kumar Govil |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Yogesh Mohan Kharbanda |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Arun Kumar Gupta |
|
Designation : |
Director |
|
Date of Birth/Age : |
30.06.1944 |
|
Qualification : |
Engineering Graduate |
|
Date of Appointment : |
11.08.2009 |
KEY EXECUTIVES
|
Name : |
Ms. Leena Jain |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Mr. Navin Prakash
Sharma |
|
Designation : |
Vice President (Sales and Marketing) |
|
|
|
|
Name : |
Mr. Gopal Agarwal |
|
Designation : |
Vice President (Technical) |
|
|
|
|
Name : |
Mr. Rakesh Kumar
Jain |
|
Designation : |
Vice President (Projects) |
|
|
|
|
Name : |
Mr. Sandeep
Choudhary |
|
Designation : |
Vice President (Procurement) |
|
|
|
|
Name : |
R.G. Choudhary |
|
Designation : |
Vice President (Operations) |
|
|
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.12.2012
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
50056000 |
73.47 |
|
|
50056000 |
73.47 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
50056000 |
73.47 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
97721 |
0.14 |
|
|
6096107 |
8.95 |
|
|
6193828 |
9.09 |
|
|
|
|
|
|
8588482 |
12.61 |
|
|
|
|
|
|
1675706 |
2.46 |
|
|
1451863 |
2.13 |
|
|
161673 |
0.24 |
|
|
74489 |
0.11 |
|
|
87184 |
0.13 |
|
|
11877724 |
17.43 |
|
Total Public shareholding (B) |
18071552 |
26.53 |
|
Total (A)+(B) |
68127552 |
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) |
68127552 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of various types of Industrial Welding Powder, Gum
Adhesives and Chemicals. |
||||||||||
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Products : |
|
PRODUCTION STATUS [AS ON 31.03.2011]
|
Particulars |
Unit |
Installed
Capacity |
|
Refined Lead/Lead Alloy |
MT |
12600 |
|
Unrefined Lead Ingots |
MT |
6000 |
|
Red Lead |
MT |
1800 |
|
Grey Oxide |
MT |
1800 |
|
Litharge |
MT |
1800 |
PRODUCTION:
|
Particular |
Unit |
Actual
Production |
|
Refined Lead Ingots |
MT |
2365.146 |
|
Lead Alloy (Antimony) |
MT |
2882.391 |
|
Lead Ingots (Unrefined) |
MT |
-- |
|
Remelted Lead Ingots/ Remelted Blocks |
MT |
1476.007 |
GENERAL INFORMATION
|
No. of Employees : |
260 (Approximately) |
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Bankers : |
·
Punjab National Bank ·
Axis Bank Limited ·
ICICI Bank Limited ·
Punjab and Sind Bank Limited ·
IDBI Bank Limited |
||||||||||||||||||||||||||||||||||||
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|
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Facilities : |
|
|
|
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|
Banking
Relations : |
-- |
|
|
|
|
Statutory Auditors : |
|
|
Name : |
Rajvanshi & Associates Chartered Accountants |
|
Address : |
H-15, Chitranjan
Marg, C-Scheme, Jaipur, Rajasthan, India |
|
|
|
|
Internal Auditors : |
|
|
Name : |
Kalani & Company Chartered Accountants |
|
Address : |
Shankar Ratan Chambers,
S-23A, Mangal Marg, Bapu Nagar, Jaipur-302015, Rajasthan, India |
|
|
|
|
Associates/Subsidiaries : |
·
Gravita Exim Limited ·
Gravita Ghana Limited ·
Gravita Mozambique LDA ·
Gravita Senegal S.A.U ·
Gravita Energy Limited ·
Gravita Infra Private Limited ·
Gravita Technomech LLP ·
Gravita Technomech ·
Gravita Metals (formerly known as KM Udyog) ·
Gravita Metal Inc (formerly known as M/s Metal
Inc) ·
Gravita Georgia Limited (Subsidiary upto 23rd
September 2011) ·
Floret Tradelink Limited (Subsidiary upto 18th
May 2011) ·
Penta Exim Limited (Subsidiary upto 6th May 2011) ·
Navam Lanka Limited ·
Gravita Honduras SA DE CV ·
Pearl Landcon Private Limited |
|
|
|
|
Other Related Parties : |
·
Gravita Impex Private Limited ·
Saurabh Farms Limited ·
Gravita Honduras SA DE CV ·
Gravita Metal Inc (formerly known as Metal Inc) ·
Shah Buildcon Private Limited ·
Jalousies India Private Limited ·
Surana Professional Services Private Limited ·
Gravita Ghana Limited ·
R. Surana and Company ·
Surana Associates |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs.150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
13620000 |
Equity Shares |
Rs.10/- each
|
Rs.136.200
Millions |
NOTES:
a) Reconciliation
of the shares outstanding at the beginning and at the end of the reporting
period
|
EQUITY SHARES |
AS ON 31.03.2012 NO. OF SHARES |
|
At the beginning of the period |
13620000 |
|
Issued during the year* * 3,600,000 Equity Shares issued through IPO during the financial year
2010-11 |
-- |
|
Equity Shares at the end of the year |
13620000 |
b) Terms/Rights
attached to Equity Shares
The Company has only
one class of equity shares having a face value of Rs.10/- per share. Each
equity share holder 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. The Board of Directors of the Company have declared interim
dividend @ 10% amounting to Rs.1/- per share on the paid up capital of the
Company in the meeting held on 3rd February 2012. For the year ended 31st March
2012, the amount of per share final dividend recognized as distributions to
equity shareholders is Rs.3/- per share (31st March 2011: Rs.4/- per share).
The Company has acquired approval of shareholders by way of postal ballot on
11-May-2012 for sub-division of face value of equity share from Rs.10 per share
to Rs.2 per share. In the event of liquidation of the Company, the holders of
equity shares will be entitled to receive the remaining assets of the Company,
after distribution of all preferential amounts.
c) Shares held by
the holding/ultimate holding company and/or their subsidiaries/associates: -
Nil
d) Aggregate number of bonus shares issued, shares
issued for consideration other than cash and shares bought back during the
period of five years immediately preceding the reporting date:
During the F.Y.
2009-10 the Company has allotted one fully paid bonus share against two fully
paid equity shares by capitalization of Reserves amounting to Rs.33.400
Millions.
e) Details of
shareholders holding more than 5% shares in the Company
|
PARTICULAR |
AS ON 31.03.2012 |
|
|
Equity Shares of Rs.10/- each Fully Paid |
No. of Shares |
% Holding |
|
i) Rajat Agrawal |
4873095 |
35.78 |
|
ii) Dr. M. P. Agarwal |
2734665 |
20.08 |
|
iii) Anchal Agrawal |
1662450 |
12.21 |
|
iv) Shashi Agarwal |
734940 |
5.40 |
f) Shares reserved for issue under options
The Company has
reserved issuance of 681000 Equity Shares of Rs.10/- each for offering to eligible
employees of the Company and its subsidiaries under Employees Stock Option
Scheme (ESOS). During the year company has granted 80076 options to the
eligible employees at a price of Rs.10/- per share plus all applicable taxes,
as may be levied in this regard on the Company. The options would vest over a
maximum period of 4 year. 16,258 options were lapsed during the year ended 31st
March 2012.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
136.200 |
136.200 |
100.200 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
512.700 |
493.005 |
71.365 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
648.900 |
629.205 |
171.565 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
436.001 |
261.857 |
197.047 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.644 |
|
|
TOTAL BORROWING |
436.001 |
261.857 |
197.691 |
|
|
DEFERRED TAX LIABILITIES |
7.684 |
6.080 |
5.126 |
|
|
|
|
|
|
|
|
TOTAL |
1092.585 |
897.142 |
374.382 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
114.714 |
62.598 |
44.912 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
402.206 |
364.460 |
61.887 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
156.637
|
164.172 |
123.957 |
|
|
Sundry Debtors |
285.775
|
314.752 |
90.527 |
|
|
Cash & Bank Balances |
26.509
|
3.675 |
10.025 |
|
|
Other Current Assets |
121.413
|
23.549 |
0.000 |
|
|
Loans & Advances |
130.145
|
109.552 |
87.285 |
|
Total
Current Assets |
720.479
|
615.700 |
311.794 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
64.505
|
64.381 |
30.673 |
|
|
Other Current Liabilities |
24.845
|
7.710 |
11.389 |
|
|
Provisions |
55.464
|
73.525 |
6.167 |
|
Total
Current Liabilities |
144.814
|
145.616 |
48.229 |
|
|
Net Current Assets |
575.665
|
470.084 |
263.565 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
4.018 |
|
|
|
|
|
|
|
|
TOTAL |
1092.585 |
897.142 |
374.382 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2024.209 |
1953.819 |
1051.745 |
|
|
|
Other Income |
43.158 |
45.973 |
14.491 |
|
|
|
TOTAL (A) |
2067.367 |
1999.792 |
1066.236 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material Consumed |
681.102 |
605.478 |
|
|
|
|
Purchase of Stock-in-Trade |
1156.232 |
1101.811 |
|
|
|
|
Employee Benefit Expenses |
61.683 |
55.017 |
|
|
|
|
Other Expenses |
44.667 |
56.129 |
969.470 |
|
|
|
Change in Inventory of Finished Goods, WIP & Stock In Trade |
(8.982) |
21.918 |
|
|
|
|
Exceptional Items |
(3.217) |
0.000 |
|
|
|
|
Extraordinary Items |
(0.126) |
0.000 |
|
|
|
|
TOTAL (B) |
1931.359 |
1840.353 |
969.470 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
136.008 |
159.439 |
96.766 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
29.983 |
17.017 |
8.907 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
106.025 |
142.422 |
87.859 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
5.209 |
3.901 |
3.019 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
100.816 |
138.521 |
84.840 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
22.587 |
41.199 |
27.186 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
78.229 |
97.322 |
57.654 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
69.995 |
45.741 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
9.732 |
33.400 |
|
|
|
Proposed Dividend |
NA |
54.480 |
0.000 |
|
|
|
Dividend Distribution Tax |
NA |
9.048 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
94.057 |
69.995 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods Calculated on FOB Basis |
1094.681 |
751.129 |
439.626 |
|
|
|
Service Charge Income |
3.911 |
0.000 |
8.863 |
|
|
|
Dividend Received |
0.000 |
18.757 |
4.740 |
|
|
|
Foreign Exchange Rate Difference |
(6.647) |
12.327 |
0.060 |
|
|
TOTAL EARNINGS |
1091.945 |
782.213 |
453.289 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials [Including materials in transit] |
674.561 |
750.540 |
296.020 |
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
|
|
|
|
|
Basic |
5.74 |
8.54 |
11.78 |
|
|
|
Diluted |
5.72 |
8.54 |
11.78 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
657.300 |
591.100 |
698.000 |
|
Total Expenditure |
636.600 |
568.700 |
644.700 |
|
PBIDT (Excl OI) |
20.700 |
22.400 |
53.300 |
|
Other Income |
30.100 |
27.800 |
8.900 |
|
Operating Profit |
50.900 |
50.200 |
62.200 |
|
Interest |
33.400 |
0.000 |
22.600 |
|
Exceptional Items |
0.000 |
2.600 |
23.000 |
|
PBDT |
17.500 |
52.800 |
62.600 |
|
Depreciation |
1.900 |
1.900 |
2.000 |
|
Profit Before Tax |
15.600 |
50.900 |
60.700 |
|
Tax |
00.200 |
3.600 |
9.700 |
|
Profit After Tax |
15.500 |
47.300 |
50.900 |
|
Net Profit |
15.500 |
47.300 |
50.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
3.78
|
4.87 |
5.41 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
4.98
|
7.09 |
8.07 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
12.07
|
20.42 |
23.78 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.15
|
0.22 |
0.49 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.67
|
0.42 |
1.15 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
4.97
|
4.23 |
6.46 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by
Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
No |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
PERFORMANCE OF SUBSIDIARIES/ASSOCIATE COMPANIES AND
FIRMS:
During the year,
the performance of the Company’s subsidiaries and associates is summarized as
under:
Gravita Exim
Limited, India: Gravita Exim Limited is a wholly owned subsidiary of the
Company. This subsidiary provides turnkey solutions for lead recycling,
refining/alloying and oxide plants. It already supplied 44 plants in 32
countries globally. During the year, this Company achieved a turnover of
Rs.51.900 Millions. However, there was a loss amounting to Rs.8.200 Millions
owing to the Company’s diversified business activities into trading various
commodities.
Gravita Ghana
Limited, Ghana: Gravita Ghana Limited is wholly owned subsidiary of the
Company. During the year, the subsidiary produced 2404 MT of Remelted Lead
ingots and achieved a turnover of Rs.270.400 Millions and profit after tax of
the unit amounted to Rs.46.200 Millions. Further, the Company has committed to provide
a loan of USD 1.95 million to Gravita Ghana Limited for capital expenditure and
working capital requirements of the said subsidiary during the current fiscal.
Gravita Senegal
SAU, Senegal: Gravita Senegal SAU is also a wholly-owned subsidiary of Gravita
India Limited. During the year, this Company produced 2,385 MT of Remelted Lead
ingots and achieved a turnover of Rs.323.000 Millions and Profit After Tax
amounted to Rs.26.700 Millions. Further, the Company committed to provide a
loan of USD 1.40 million to Gravita Senegal SAU for capital expenditure and
working capital requirements of the said subsidiary. During the year, this
Company increased its annual installed capacity from 1,800 MTPA to 3,800 MTPA
by installing additional Plant and Machinery and other equipment.
Gravita Mozambique
LDA, Mozambique: Gravita Mozambique LDA is a wholly-owned subsidiary of the
Company, with a 96.38% stake by Gravita India Limited and 3.62% stake of
Gravita Exim Limited during the year, this Company increased its annual
installed capacity from 1,800 MTPA to 3,800 MTPA by installing additional Plant
and Machinery and other equipment. Further, the said subsidiary shifted its
plant and operations to a free zone area, thereby enjoying various fiscal
benefits. During the year, this subsidiary produced 894 MT of Remelted Lead
ingots and achieved a turnover of Rs.125.500 Millions coupled with a Profit
After Tax of Rs.6.100 Millions.
Gravita Global Pte
Limited, Singapore: During the year, the Company incorporated a wholly-owned
subsidiary Gravita Global Pte Limited, in Singapore for wholesale trade and
investments. This subsidiary will commence its operations in the current year.
Gravita
Netherlands B.V., Netherlands: The Company setup a step subsidiary named
Gravita Netherlands B V under its subsidiary Gravita Global Pte Limited in
Amsterdam, Netherlands, in May 2012 to restructure and consolidate its holding
in overseas subsidiaries.
Gravita Honduras
S.A., Honduras: Gravita India holds a 33.33% stake in Gravita Honduras S.A.
This unit started its commercial production in August 2011. During the year,
this unit produced 956 MT of Remelted Lead ingots. The unit’s total turnover
for the period was Rs.85.600 Millions with a loss of Rs.10.000 Millions.
Navam Lanka
Limited, Srilanka: Gravita India holds 40% of stake in Navam Lanka Limited, Sri
Lanka. During the year, this associate unit produced 2,148 MT of Remelted Lead
ingots and achieved a total turnover of Rs.211.200 Millions as compared with
Rs.257.900 Millions in the previous year. Net Profit After Tax amounted to
Rs.21.700 Millions compared with the corresponding figure of the previous year
amounting to Rs.24.100 Millions. The marginal decrease in Profit After Tax was
on account of a ban on exporting Lead ingots from Sri Lanka by the Ministry of
Industry, Sri Lanka in October 2011. However, the said ban was lifted by the
Government of Sri Lanka vide their decision dated 9th May 2012. However, a
gazette notification towards the same is yet to come. The outlook for the current
year is promising.
Further, the step
subsidiary of the Company viz., Gravita Netherlands B.V., entered into an
Agreement on 10th May 2012 to purchase an additional 12% shares of Navam Lanka
Limited Consequent to this transfer of shares, Navam Lanka Limited will also
become a subsidiary of Gravita India Limited with an aggregate 52% stake.
Gravita Metals,
India: During the year, the Company acquired a further stake of 40%, with a
total stake of 95% in the partnership firm M/s Gravita Metals, Jammu (formerly
known as M/s K M Udyog). The balance stake of 5% is held by its subsidiary
Gravita Exim Limited The unit’s year-end performance was commendable as it
produced 4,222 MT of Refined Lead/Lead Alloys resulting in a Turnover of
Rs.528.900 Millions and Profit After Tax of Rs.17.800 Millions.
Gravita Metal Inc,
India: During the year thereby making the Company along with its subsidiary
Gravita Exim Limited, acquired a 100% stake in this partnership firm. During
the year, the unit achieved a total Turnover of Rs.22.200 Millions with a Loss
of Rs.1.500 Millions.
Gravita
Technomech, India: The Company established this unit in 2010-11 in the Special
Economic Zone at Jaipur. The unit manufactures and supplies plant and machinery
on a turnkey basis. During the year, this unit executed three turnkey projects
and contributed a Turnover of Rs.44.600 Millions with a PAT of Rs.14.500
Millions. This unit has four projects under execution.
FINANCE:
During the year , Export-Import
Bank of India sanctioned a term loan of USD 3.35 million to the Company to part
finance the capital expenditure and working capital requirements of its
wholly-owned subsidiaries viz. Gravita Ghana Limited (USD 1.95 million) and
Gravita Senegal SAU (USD 1.40 Million).
Further, during
the current year, the Company entered into consortium finance by adding IDBI
Bank with Punjab National Bank, the existing bankers of the Company named “PNB
Consortium”. With consortium finance, the working capital limits of the Company
were enhanced from Rs.350.000 Millions to Rs.500.000 Millions.
During the year ,
the Company provided a corporate guarantee to J and K bank, Jammu to secure
credit facilities of Rs.107.500 Millions availed by M/s Gravita Metals, Jammu,
a subsidiary firm of the Company.
EXPANSION/DIVERSIFICATION:
During the year,
the Company entered into new ventures to expand existing capacities as well as
to diversify into other areas. The Company, along with its subsidiary Gravita
Exim Limited acquired a 100% stake in M/s Gravita Metal Inc, Kathua (formerly
known as M/s Metal Inc) with a lead smelting and refining capacity of 3,600
MTPA. The Company also acquired a further stake of 45% in M/s Gravita Metals,
Jammu (formerly known as M/s K M Udyog). Accordingly, this unit has also become
a wholly-owned subsidiary firm of the Company.
During the period
, the Company incorporated an overseas entity in Singapore namely Gravita
Global Pte Limited, a wholly-owned subsidiary of Gravita India Limited Another
wholly owned subsidiary was set-up under Gravita Global namely Gravita
Netherlands B.V. in Amsterdam, Netherlands.
MANAGEMENT DISCUSSION AND ANALYSIS
INDIAN ECONOMY:
The financial year
2011-12 was challenging for the Indian manufacturing sector, marked by an
industrial slowdown. The Indian economy is projected to grow 6.9% in 2011-12,
following 8.6% GDP growth in 2010-11. The IIP growth of 8.1% in January 2011
declined to 1.8% in December 2011. The services sector increased its GDP share
from 58% in 2010-11 to 59% in 2011-12. The agricultural and allied sectors are
projected to achieve 2.5% growth in 2011-12.
INDUSTRY OVERVIEW:
As a heavy,
malleable, bluish grey metal, Lead is one of the most resistant to corrosion.
It is a naturally occurring element usually associated with other metals (zinc,
silver and copper). Occurring naturally in the environment, this metal is mined
and processed in 60 countries. Its use increased to over 10 million tonnes per
annum of which nearly half is produced in Asia. Lead prices have been volatile:
from a low of USD 851/t hit in 2008 to a high of USD 2,900 /t level in Q1 FY12
to around USD 2,100/t in March 2012.
DOMESTIC BATTERY OVERVIEW:
The Indian Lead
acid storage battery (including inverter and motive power batteries) was
estimated at about Rs.130 bn at a Lead base of USD2,500/t in 2011-12. The
domestic automotive battery business accounted for nearly 63% (Rs.82 billion).
The domestic automotive sector is expected to grow at a CAGR of 12-14% between
FY12 -FY14E on the back of rising disposable incomes and improving sentiment.
The Auto Mission Plan (AMP 2016) envisages an industry size of US$ 145 billion
by 2016 (US$ 34 billion in 2006).
OUTLOOK:
India’s secondary Lead
industry is likely to witness a change following stringent environment
guidelines by state pollution control boards, which will enhance the share of
organized players. The country’s Lead demand of 600,000 tonnes per annum is
growing at 12% as against a 6% global average due to rapid infrastructure
growth.
CONTINGENT LIABILITIES:
|
Particulars |
31.03.2012 (Rs. in millions) |
31.03.2011 (Rs. in millions) |
|
Bank Guarantees to
Custom authorities for import of Raw material against Advance licences: |
0.000 |
0.777 |
|
Letter of Credit for import of raw material |
2.174 |
3.570 |
|
Bank Guarantee to BSE |
2.250 |
2.250 |
|
TOTAL |
4.424 |
6.597 |
FIXED ASSETS:
·
Free hold land
·
Building
·
Plant and machinery
·
Electric equipments
·
Computer and accessories
·
Furniture and
fixtures
·
Vehicles
REVIEWED STANDALONE
FINANCIAL STATEMENTS FOR THE QUARTER ENDED ON 31ST DECEMBER, 2012
Rs. in Millions
|
Sr. No. |
Particular |
Quarter Ended [Reviewed] |
Nine Months Ended [Reviewed] |
|
|
|
|
31.12.2012 |
30.09.2012 |
31.12.2012 |
|
1. |
Income From Operations |
|
|
|
|
|
Net Sales/ Income from Operations (Net of
Excise Duty) |
675.133 |
567.366 |
1886.785 |
|
|
Other Operating Income |
22.834 |
23.750 |
61.206 |
|
|
Total Income from Operations (Net) |
697.967 |
591.116 |
1947.991 |
|
|
|
|
|
|
|
2. |
Expenditure |
|
|
|
|
|
Cost of
materials consumed |
256.071 |
222.123 |
713.735 |
|
|
Purchase
of stock in trade |
370.390 |
361.223 |
1124.025 |
|
|
Employee
benefits expenses |
17.385 |
18.716 |
51.496 |
|
|
Depreciation
and amortization expenses |
1.978 |
1.900 |
5.756 |
|
|
Other
expenses |
17.946 |
17.746 |
47.689 |
|
|
Changes
in inventories of finished goods, work in progress and stock in trade |
(17.140) |
(51.119) |
(87.008) |
|
|
Total Expenses |
646.630 |
570.589 |
1855.694 |
|
|
|
|
|
|
|
3. |
Profit
From Operations before Other Income, Interest and Exceptional Items (1-2) |
51.337 |
20.527 |
92.298 |
|
|
|
|
|
|
|
4. |
Other
Income |
8.874 |
17.535 |
54.947 |
|
|
|
|
|
|
|
5. |
Profit
Before Interest and Exceptional Items (3+4) |
60.210 |
38.062 |
147.244 |
|
|
|
|
|
|
|
6. |
Interest |
22.590 |
(10.267) |
45.682 |
|
|
|
|
|
|
|
7. |
Profit
After Interest but before Exceptional Items (5-6) |
37.620 |
48.329 |
101.562 |
|
|
|
|
|
|
|
8. |
Exceptional
Items |
23.034 |
2.611 |
25.648 |
|
|
|
|
|
|
|
9. |
Profit
from Ordinary Activities before Tax (7+8) |
60.653 |
50.940 |
127.209 |
|
|
|
|
|
|
|
10. |
Tax
Expense |
9.727 |
3.620 |
13.515 |
|
|
|
|
|
|
|
11. |
Net Profit
from Ordinary Activities after Tax (9-10) |
50.926 |
47.320 |
113.694 |
|
|
|
|
|
|
|
12. |
Extraordinary
Item (net of expense) |
-- |
-- |
-- |
|
|
|
|
|
|
|
13. |
Net
Profit for the period (11-12) |
50.926 |
47.320 |
113.694 |
|
|
|
|
|
|
|
14. |
Paid-up
Equity Share Capital (Face Value of Rs.2/- Each) |
136.255 |
136.200 |
136.255 |
|
|
|
|
|
|
|
15. |
Reserves
Excluding Revaluation Reserve |
-- |
-- |
-- |
|
|
|
|
|
|
|
16. |
Basic and Diluted Earning Per Share
(EPS) (Rs.)-Not Annualised |
|
|
|
|
|
a)
Basic and diluted EPS before extraordinary items |
0.75 |
0.69 |
1.67 |
|
|
b)
Basic and diluted EPS after extraordinary items |
0.75 |
0.69 |
1.66 |
|
|
|
|
|
|
|
17. |
Public Shareholding |
|
|
|
|
|
-Number
of Shares |
18071552 |
18044012 |
18071552 |
|
|
-
Percentage of Shareholding |
26.53 |
26.50 |
26.53 |
|
|
|
|
|
|
|
18. |
Promoters and Promoter Group
Shareholding |
|
|
|
|
|
a) Pledged/Encumbered |
|
|
|
|
|
-
Number of Shares |
Nil |
Nil |
Nil |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of promoter and
promoter group) |
Nil |
Nil |
Nil |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
Nil |
Nil |
Nil |
|
|
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
|
-
Number of Shares |
50056000 |
50055988 |
50056000 |
|
|
-
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) |
73.47 |
73.50 |
73.47 |
|
Particulars |
For the quarter ended 31st December 2012 |
|
Pending at the beginning of the quarter |
Nil |
|
Received during the quarter |
1 |
|
Disposed of during the quarter |
1 |
|
Remaining unresolved at the end of the
quarter |
Nil |
NOTES:
1. The above results were reviewed by the Audit Committee at their meeting held on 28th Jan 2013 and approved by Board of Directors at their meeting held on 28th Jan 2013 and the same have also been reviewed by Statutory Auditors of the Company.
2. Figures for the previous quarter mentioned above have been re-grouped/re-arranged to make them comparable wherever necessary.
3. During the quarter the Company sold its entire stake from wholly owned subsidiary Gravita Senegal SAU, Senegal to its step down subsidiary Gravita Netherlands BV.
4. Exceptional Item includes profit on sale of investment in associate concern Gravita Hounduras SA DE CV, profit from sale of wholly owned subsidiary Gravita Senegal S.A.U and reversal of prior period income.
5. Other operating Income includes Share from Partnership Firms, export incentives and job work income.
6. During the Quarter under review, for better presentation of the financial statements and due to frequent foreign currency fluctuations, the company has changed its accounting policy for recording foreign currency transactions. Till 31st March 2012 the company applied rates declared by custom authorities on monthly basis for recording such transactions whereas as per the changed policy the company is recording such transactions applying rate as defined by RBI for the transaction date. The financial effect of the same is unascertainable.
7. During the quarter the Company allotted 27552 equity shares of Rs 2/- each to its employees under Gravita Employees Stock Option Plan 2011
8. The Board of Directors of the company has proposed dividend @ 15% on the paid up capital of the company aggregating to 23.754 Millions, including Dividend Distribution Tax.
PRESS RELEASES:
GRAVITA REPORTED 146% INCREASE IN ITS Q3 NET PROFITS
JAIPUR, 31ST JANUARY, 2013: Gravita India Limited, Jaipur, has announced its financial results for the quarter ended December 31, 2012. Consolidated Net total income for the quarter was Rs. 1130.701 Millions, showing an increase of 59% over the total income for the corresponding quarter of previous year.
The EBITDA of the
Company increased by 189% in Q3 FY 2012-13 compared to the corresponding
quarter of previous year. Over the last 10 months, the Share of the Company has
gained 21% outpacing the Sensex’s 14.5% gain. In addition to above the Board of
Directors of the Company have declared 2nd Interim Dividend for the Financial
Year 2012-13 @15% on total issued capital of the Company.
The Company has
recently expanded its Plant operations at Jammu and Senegal by implementing
upgraded Plant and Machinery. The Company is in the process of establishing a
new plant in Gujarat. The Company’s Jaipur Plant is also under expansion of
production capacity.
BOARD DECLARES 2ND INTERIM DIVIDEND 2012-13 @15%
JAIPUR, 28TH JANUARY, 2013: The Board of Directors of Gravita India Limited at their meeting held
on 28th January 2013 declared 2nd Interim dividend for the Financial Year
2012-13 @15% amounting to Rs 0.30 per share on aggregate paid-up capital of
6,81,27,552 Equity shares of Rs 2/- each. The Record date for the purpose is
7th February 2013.
ALLOTMENT OF SHARES UNDER GRAVITA EMPLOYEES STOCK OPTION SCHEME 2011
JAIPUR, 23RD OCTOBER, 2012: The Board of Directors of the Company at their meeting held on
Tuesday, October 23, 2012, approved the Allotment of 27552 equity shares of the
Company @ of Rs 2/- each to the employees of the Company and of its
subsidiaries to whom options were granted last year under Gravita Employees
Stock Option Scheme 2011.
GRAVITA INDIA LIMITED SKIM OFF ITS STAKE IN GRAVITA HONDURAS
JAIPUR, 28TH SEPTEMBER, 2012: Gravita has sold its complete 33.33% stake in its Associate company
Gravita Honduras S A de C. V. For the purpose, Mr. Rajat Agrawal, Managing
Director of the Company signed the Share Purchase Agreement at Honduras on
behalf of Gravita India Limited.
The Company
disinvested from the venture due to operational losses and scarcity of raw
material in the vicinity of the Plant.
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.55.05 |
|
|
1 |
Rs.82.75 |
|
Euro |
1 |
Rs.71.61 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
53 |
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.