1. Summary Information
|
|
|
Country |
India |
|
Company Name |
SRF LIMITED |
Principal Name 1 |
Mr. Arun Bharat Ram |
|
Status |
Good |
Principal Name 2 |
Mr. Ashish Bharat Ram |
|
|
|
Registration # |
55-005197 |
|
Street Address |
C-8, Commercial Complex, Safdarjung Development Area, New Delhi –
110016 |
||
|
Established Date |
09.01.1970 |
SIC Code |
-- |
|
Telephone# |
91-11-26857141 |
Business Style 1 |
Manufacturing |
|
Fax # |
91-11-26510428 |
Business Style 2 |
Distribution |
|
Homepage |
Product Name 1 |
Technical Textiles |
|
|
# of employees |
Not Available |
Product Name 2 |
chemicals |
|
Paid up capital |
Rs. 584,356,000/- |
Product Name 3 |
Packing Films Industries |
|
Shareholders |
Promoter and Promoter Group-50.71% Public shareholding-49.29% |
Banking |
ICICI Bank
Limited |
|
Public Limited Corp. |
Yes |
Business Period |
43 Years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
A
(63) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Subsidiaries |
-- |
SRF Overseas
Limited |
- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
7,183,665,000 |
Current Liabilities |
6,629,694,000 |
|
Inventories |
4,121,961,000 |
Long-term Liabilities |
8,737,365,000 |
|
Fixed Assets |
18,607,816,000 |
Other Liabilities |
2,409,022,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
17,776,081,000 |
|
Invest& other Assets |
6,329,645,000 |
Retained Earnings |
17,882,650,000 |
|
|
|
Net Worth |
18,467,006,000 |
|
Total Assets |
36,243,087,000 |
Total Liab. & Equity |
36,243,087,000 |
|
Total Assets (Previous Year) |
32,466,365,000 |
|
|
|
P/L Statement as of |
31.03.2012 |
(Unit: Indian Rs.) |
|
|
Sales |
35,302,526,000 |
Net Profit |
5,658,634,000 |
|
Sales(Previous yr) |
29,860,627,000 |
Net Profit(Prev.yr) |
4,834,421,000 |
MIRA
INFORM REPORT
|
Report Date : |
07.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
SRF LIMITED |
|
|
|
|
Registered
Office : |
C-8, Commercial Complex, Safdarjung Development Area, New Delhi –
110016 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 |
|
|
|
|
Date of
Incorporation : |
09.01.1970 |
|
|
|
|
Com. Reg. No.: |
55-005197 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 584.356 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L18101DL1970PLC005197 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELS33266C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACS0206P |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturing and Distribution of a wide range of products in
Technical Textiles, Chemicals and Packing Films Industries. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
A (63) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 73800000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established and reputed company having a good track
record. There appears slight dip in profitability during the current year. However, general financial position of the company seems to be good.
Performance capability appears to be high. Liquidity position is strong. Trade relations are reported to be fair. Business is active. Payments
are reported to be regular and as per commitments. The company can be considered for normal 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 – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
|
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
|
Source
: CIA |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
FITCH |
|
Rating |
(FITCH) AA |
|
Rating Explanation |
It is having very strong capacity for payment
of financial commitments. |
|
Date |
September 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.
INFORMATION DECLINED
MANAGEMENT NON CO-OPERATIVE (91-124-4354400)
LOCATIONS
|
Registered Office : |
C-8, Commercial Complex, Safdarjung Development Area, New Delhi –
110016, India |
|
Tel. No.: |
91-11-26857141 |
|
Fax No.: |
91-11-26510428 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
Block – C, Sector – 45, Gurgaon -122003, Haryana, India |
|
Tel. No.: |
91-124-4354400 |
|
Fax No.: |
91-124-4354500 |
|
E-Mail : |
|
|
|
|
|
TECHNICAL TEXTILES BUSINESS |
|
|
|
|
|
Factory 1 : |
Manali
Industrial Area, Manali, Chennai – 600068, Tamilnadu, India |
|
Tel. No.: |
91-44-25946000 |
|
Fax No.: |
91-44-25941159 |
|
|
|
|
Factory 2 : |
Industrial Area,
Malanpur, District Bhind – 477116, Madhya Pradesh, India |
|
Tel. No.: |
91-7539-283164 |
|
Fax No.: |
91-7539-283427 |
|
|
|
|
Factory 3 : |
Plot No 1,
SIPCOT Industrial Area Complex, Gummidipoondi, District Thiruvallur – 601201,
Tamilnadu, India |
|
Tel. No.: |
91-44-27923212-22 |
|
Fax No.: |
91-44-27922718/
27922888 |
|
|
|
|
Factory 4 : |
Viralimalai,
District Pudukottai – 621316, Tamilnadu, India |
|
Tel. No.: |
91-4339-220808 |
|
Fax No.: |
91-4339-220284 |
|
|
|
|
Factory 5 : |
Plot No. 12, Rampura, Ramnagar Road,
District Udham Singh Nagar, Kashipur –
244713, Uttaranchal, India. |
|
Tel. No.: |
91-5947-275604/
05 |
|
Fax No.: |
91-5947-275606 |
|
|
|
|
INTERNATIONAL
OPERATIONS |
|
|
|
|
|
Factory 7 : |
SRF Overseas
Limited P.O. Box 61101,
Jebel Ali Free Zone, Dubai, U.A.E. |
|
Tel. No.: |
+97-14-8836717 |
|
Fax No.: |
+97-14-8838341 |
|
|
|
|
Factory 8 : |
SRF Industex Belting
(Pty) Limited PO Box 4038, Korsten, Port Elizabeth, 6014, Republic of South Africa |
|
Tel. No.: |
+2741-4068700 |
|
Fax No.: |
+2741-4511558/ 4514012 |
|
|
|
|
Factory 9 : |
SRF Technical Textiles
(Thailand) Limited 3, Map Ta Phut Industrial Estate, I-1 Road, Amphur Muang, P.O. Box 61, Rayong Province, Thailand |
|
Tel. No.: |
+66-(38)-683600-7 |
|
Fax No.: |
+66-(38)-683609 |
|
|
|
|
CHEMICALS AND POLYMERS BUSINESS |
|
|
|
|
|
Factory 10 : |
Village and PO - Jhiwana, Tehsil Tijara, District Alwar – 301018,
Rajasthan, India |
|
Tel. No.: |
91-1493-220288/
517838/ 517839 |
|
Fax No.: |
91-1493-221125/
517837 |
|
|
|
|
|
Manali Industrial Area, Manali, Chennai - 600068, Tamilnadu, India |
|
|
|
|
|
Plot No. 14 C, Sector 9, IIE Pantnagar, District Udham Singh Nagar -
263153, Uttarakhand, India |
|
|
|
|
Factory 11 : |
D II/I GIDC,
PCPIR, GIDC, Phase II, Tal Vagra, Village Dahej, District Bharuch - 392130,
Gujarat, India |
|
|
|
|
PACKAGING FILMS BUSINESS |
|
|
|
|
|
Factory 12 : |
Plot No 12,
Rampura, Ramnagar Road, District Udham Singh Nagar, Kashipur – 244713,
Uttaranchal, India |
|
Tel. No.: |
91-5947-275604 |
|
Fax No.: |
91-5947-275606 |
|
|
|
|
Factory 13 : |
Plot No. C – 1-8,
C-21-30, Sector – 3, Indore Special Economic Zone, District Dhar, Pitampur –
454775, Madhya Pradesh, India |
|
Tel. No.: |
91-7292-400526 |
|
Fax No.: |
91-7292-401745 |
|
|
|
|
ENGINEERING
PLASTICS BUSINESS |
|
|
|
|
|
Factory 14 : |
Manali Industrial Area,
Manali, Chennai - 600068,
Tamilnadu, India |
|
Tel. No.: |
91-44-25941073 |
|
Fax No.: |
91-44-25943073 |
|
|
|
|
Factory 15 : |
Plot No. 14 C, Sector 9,
Industrial Estate, Pant Nagar, District U S Nagar – 244713, Uttaranchal, India |
|
Fax No.: |
91-5944-250098 |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Mr. Arun Bharat Ram |
|
|
Designation : |
Chairman |
|
|
Date of Birth/Age : |
71 Years |
|
|
Qualification : |
B.SC (Indl. Engineering) |
|
|
Experience : |
46 Years |
|
|
|
|
|
|
Name : |
Mr. Ashish Bharat Ram |
|
|
Designation : |
Managing Director |
|
|
Date of Birth/Age : |
43 Years |
|
|
Qualification : |
MBA |
|
|
Experience : |
21 Years |
|
|
|
|
|
|
Name : |
Mr. Kartikeya Bharat Ram |
|
|
Designation : |
Deputy Managing Director |
|
|
Date of Birth/Age : |
41 Years |
|
|
Qualification : |
MBA |
|
|
Experience : |
18 Years |
|
|
|
|
|
|
Name : |
Mr. S. P. Agarwala |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. K. Ravichandra |
|
|
Designation : |
Director (Safety and Environment) |
|
|
|
|
|
|
Name : |
Mr. Vellayan Subbiah |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. Vinayak Chatterjee |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. Subodh Bharagava |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. L Lakshman |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. Tejpreet S Chopra |
|
|
Designation : |
Director |
|
|
|
|
|
|
Name : |
Mr. Piyush G Mankad |
|
|
Designation : |
Director |
|
KEY EXECUTIVES
|
Name : |
Mr. Anoop K. Joshi |
|
|
Designation : |
Company Secretary |
|
|
Qualification : |
FCA, FCS |
|
|
|
|
|
|
Name : |
Mr. Roop Salotra |
|
|
Designation : |
President and Chief Executive Officer (CB
and PFB) |
|
|
Date of
Birth/Age : |
61 Years |
|
|
Qualification : |
B.E. |
|
|
Experience : |
40 Years |
|
|
|
|
|
|
Name : |
Mr. Sushil Kapoor |
|
|
Designation : |
President and Chief Executive Officer
(Technical Textiles Business) |
|
|
Date of
Birth/Age : |
52 Years |
|
|
Qualification : |
B. Tech |
|
|
Experience : |
29 Years |
|
|
|
|
|
|
Name : |
Mr. Rajdeep Anand |
|
|
Designation : |
President and Chief Executive Officer
(Project and R and D) |
|
|
Date of
Birth/Age : |
60 Years |
|
|
Qualification : |
B.Tech (Hons) |
|
|
Experience : |
40 Years |
|
|
|
|
|
|
Name : |
Mr. Rajendra Prasad |
|
|
Designation : |
President and Chief Finance Officer |
|
|
Date of
Birth/Age : |
54 Years |
|
|
Qualification : |
CA, DISA, CISA ( |
|
|
Experience : |
30 Years |
|
|
|
|
|
|
Name : |
Mr. Suresh Dutt Tripathi |
|
|
Designation : |
President (Corporate HR) |
|
|
Date of
Birth/Age : |
51 Years |
|
|
Qualification : |
M. Sc, PGDSW |
|
|
Experience : |
29 Years |
|
|
|
|
|
|
Name : |
Mr. Suresh Kannan |
|
|
Designation : |
Vice President, Business Head (Belting and Coated Fabrics) |
|
|
Date of
Birth/Age : |
44 Years |
|
|
Qualification : |
B. Tech |
|
|
Experience : |
23 Years |
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.12.2012
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
29118634 |
50.71 |
|
Sub Total |
29118634 |
50.71 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
29118634 |
50.71 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
4979725 |
8.67 |
|
|
600829 |
1.05 |
|
|
1734154 |
3.02 |
|
Foreign Institutional Investors |
4476422 |
7.80 |
|
Sub Total |
11791130 |
20.53 |
|
|
|
|
|
|
2842142 |
4.95 |
|
|
|
|
|
|
11602341 |
20.21 |
|
|
1632973 |
2.84 |
|
|
433280 |
0.75 |
|
|
393480 |
0.69 |
|
|
29477 |
0.05 |
|
|
10273 |
0.02 |
|
|
50 |
0.00 |
|
Sub Total |
16510736 |
28.75 |
|
Total Public
shareholding (B) |
28301866 |
49.29 |
|
Total (A)+(B) |
57420500 |
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) |
57420500 |
0.00 |
(1)
Indian
Bodies
Corporate
Individual
shareholders holding nominal share capital up to Rs. 0.100 MillionBUSINESS DETAILS
|
Line of Business : |
Manufacturing and Distribution of a wide range of products in
Technical Textiles, Chemicals and Packing Films Industries. |
||||||||
|
|
|
||||||||
|
Products : |
|
PRODUCTION STATUS (AS ON 31.03.2012)
|
Particulars |
Unit |
Installed Capacity |
Actual Production |
|
Synthetic Filament Yarn including Industrial Yarn / Tyre Cord @/
Twine@@ |
MT |
68040 |
11455.43 |
|
Nylon Tyre Cord Fabric / Industrial Yarn Fabric / Polyester Tyre Cord
Fabric* |
MT |
71384 |
50225.76 |
|
Laminated Fabric |
Lakhs SQM |
480 |
432.05 |
|
Nylon / PBT / PC Compounding Chips@@ |
MT |
14500 |
8634.60 |
|
Fluorocarbon Refrigerant Gases |
MT |
25000 |
11311.67 |
|
HFC 134a |
MT |
5000 |
3725.67 |
|
Hydrofluoric Acid (Anhydrous)@ |
MT |
12000 |
-- |
|
Gypsum (By product) |
MT |
44550 |
37514.30 |
|
Hydrochloric Acid (By Product) |
MT |
77220 |
73023.20 |
|
Chloromethanes@ |
MT |
40000 |
21074.49 |
|
Fluorospecialities Chemicals |
MT |
1800 |
1501.77 |
|
Packaging Films |
MT |
59500 |
59816.66 |
Note:
Installed capacity
is as certified by management
@ Excludes captive
consumption
* Includes 1068.98
MT (Previous Year – 696.86 MT) of nylon tyre cord fabric/industrial yarn fabric
produced outside the Company by the Company's conversion contractors
@@ Includes 106.55
MT (Previous Year – 325.80 MT) of nylon compounding chips produced outside the
Company by the Company's conversion contractors.
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||
|
Bankers : |
Ø ICICI Bank Ø State Bank of
India Ø State Bank of
Patiala Ø Standard
Chartered Bank Ø Citibank NA Ø Yes Bank Limited Ø HDFC Bank Ø The Royal Bank
of Scotland |
||||||||||||||||||||||||||||||||||||
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|
||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
||||||||||||||||||||||||||||||||||||
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
|
|
|
Joint Venture : |
Ø Jingde
Yangtze-Ganga Fluorine Chemical Company Limited (upto February 26, 2011) |
|
|
|
|
Enterprises over
which have significant influence : |
Ø KAMA Holdings
Limited* Ø Bhairav Farms
Private Limited* Ø Narmada Farms
Private Limited* Ø SRF Polymers
Investments Limited* Ø KAMA Realty
(Delhi) Limited* Ø Shri Educare
Limited Ø Shri Educare
Maldives Private Limited Ø SRF Foundation Ø Karm Farms
Private Limited* Ø Srishti Westend
Greens Farms Private Limited* |
|
|
|
|
Subsidiaries : |
Ø SRF Overseas
Limited Ø SRF
Transnational Holdings Limited Ø SRF Properties
Limited Ø SRF Holiday Home
Limited Ø SRF Energy
Limited Ø SRF Fluorochemicals
Limited Ø SRF Fluor
Private Limited Ø SRF Global BV Ø SRF Tech Textile
BV (upto August 31, 2011) Ø SRF Industries
(Thailand) Limited (formerly SRF Technical Textiles (Thailand) Limited) Ø SRF Industex
Belting (Pty) Limited Ø SRF Nitol
Bangladesh Limited Ø SRF Flexipak
(South Africa) (Pty) Limited |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
120000000 |
Equity Shares |
Rs. 10/- each |
Rs. 1200.000 Millions |
|
1000000 |
Preference Shares |
Rs. 100/- each |
Rs. 100.000 Millions |
|
1200000 |
Cumulative
Convertible Preference Shares |
Rs. 50/- each |
Rs. 60.000 Millions |
|
20000000 |
Cumulative
Preference Shares |
Rs. 100/- each |
Rs. 2000.000 Millions |
|
|
Total |
|
Rs. 3360.000
Millions |
Issued :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
61477255 |
Equity Shares |
Rs. 10/- each |
Rs. 614.773
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
57420500 |
Equity Shares |
Rs. 10/- each |
Rs. 574.205
Millions |
|
|
Add: Forfeited
shares - Amount originally paid up |
|
Rs. 10.151
Millions |
|
|
|
|
Rs. 584.356 Millions |
b) Reconciliation of equity shares
|
|
Number of shares |
Rs. in millions |
|
As at April 1, 2010 |
60503580 |
605.036 |
|
Add: Movement during the year |
-- |
-- |
|
As at March 31, 2011 |
60503580 |
605.036 |
|
Less: Shares bought back during the year |
3083080 |
30.831 |
|
As at March 31, 2012 |
57420500 |
574.205 |
The shares bought back in the current year were cancelled / extinguished
during the year.
c) Shareholders holding more than 5% shares in the Company
|
Name of the shareholder |
Number of shares |
% of total |
|
KAMA Holdings Limited |
28606962 |
49.82 |
d) The Company has
bought back 1,04,64,505 equity shares (Previous Year – 73,97,509 equity shares)
in aggregate in the last five financial years.
e) Terms/ rights
attached to equity shares
The Company has
only one class of equity shares having a par value of Rs 10 per share. Each
holder of equity shares is entitled to one vote per share. The Company declares
and pays dividends in Indian rupees. The final dividend proposed by the Board
of Directors is subject to the approval of the shareholders in the ensuing
Annual General Meeting. The Board may from time to time pay to the members such
interim dividends as appear to it to be justified by the profits of the
Company.
During the year
ended March 31, 2012, the amount of interim dividend recognized as
distributions to equity shareholders was Rs 14 per share (Previous Year - Rs 14
per share).
In the event of
liquidation of the Company, the holders of equity shares will be entitled to
receive remaining assets of the Company, after distribution of all preferential
amounts. The distribution will be in proportion to the number of equity shares
held by the shareholders.
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 |
584.356 |
615.241 |
615.241 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
17882.650 |
15784.812 |
12064.833 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
18467.006 |
16400.053 |
12680.074 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
5329.831 |
7071.811 |
7501.936 |
|
|
2] Unsecured Loans |
3407.534 |
1049.858 |
1891.438 |
|
|
TOTAL BORROWING |
8737.365 |
8121.669 |
9393.374 |
|
|
DEFERRED TAX LIABILITIES |
2170.930 |
2094.224 |
2059.114 |
|
|
|
|
|
|
|
|
TOTAL |
29375.301 |
26615.946 |
24132.562 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
18607.816 |
18063.709 |
17717.393 |
|
|
Capital work-in-progress |
4142.646 |
1429.831 |
1270.743 |
|
|
|
|
|
|
|
|
INVESTMENT |
2186.999 |
2018.987 |
1646.167 |
|
|
DEFERRED TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
4121.961
|
4387.299
|
2490.310
|
|
|
Sundry Debtors |
4080.289
|
4426.039
|
3402.293
|
|
|
Cash & Bank Balances |
1292.067
|
638.553
|
653.497
|
|
|
Other Current Assets |
37.870
|
0.000
|
0.000
|
|
|
Loans & Advances |
1773.439
|
1501.947
|
1672.976
|
|
Total
Current Assets |
11305.626
|
10953.838
|
8219.076
|
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
4448.887
|
3068.620
|
2062.656
|
|
|
Other Current Liabilities |
2180.807
|
2541.446
|
2411.275
|
|
|
Provisions |
238.092
|
240.353
|
246.886
|
|
Total
Current Liabilities |
6867.786
|
5850.419
|
4720.817
|
|
|
Net Current Assets |
4437.840
|
5103.419
|
3498.259
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
29375.301 |
26615.946 |
24132.562 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
35302.526 |
29860.627 |
21810.776 |
|
|
|
Other Income |
280.238 |
1195.616 |
681.592 |
|
|
|
TOTAL (A) |
35582.764 |
31056.243 |
22492.368 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
20211.628 |
16359.043 |
11271.065 |
|
|
|
Purchases of traded goods |
64.016 |
146.391 |
364.166 |
|
|
|
(Increase)\Decrease
in inventories of finished goods, stock-in-process and traded goods |
(65.239) |
(448.040) |
(261.732) |
|
|
|
Employee
benefits expenses |
1640.487 |
-- |
-- |
|
|
|
Other expenses |
5415.499 |
-- |
-- |
|
|
|
Manufacturing and Other Expenses |
-- |
5867.752 |
4586.726 |
|
|
|
Transfer from revaluation reserve |
-- |
(3.929) |
(8.749) |
|
|
|
TOTAL (B) |
27266.391 |
21921.217 |
15951.476 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
8316.373 |
9135.026 |
6540.892 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1040.932 |
839.230 |
680.479 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
7275.441 |
8295.796 |
5860.413 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1616.807 |
1521.010 |
1321.320 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
5658.634 |
6774.786 |
4539.093 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
1784.834 |
1940.365 |
1444.891 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
3873.800 |
4834.421 |
3094.202 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’ BALANCE
BROUGHT FORWARD |
9315.563 |
6271.376 |
4820.680 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend |
812.262 |
847.050 |
847.050 |
|
|
|
Corporate Dividend Tax |
131.769 |
140.684 |
143.956 |
|
|
|
Transfer to General Reserve |
400.000 |
500.000 |
350.000 |
|
|
|
Debenture redemption reserve |
750.000 |
302.500 |
302.500 |
|
|
|
Transfer to Special Economic Zone
reinvestment allowance reserve |
55.000 |
0.000 |
0.000 |
|
|
BALANCE CARRIED TO
THE B/S |
11040.332 |
9315.563 |
6271.376 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods calculated on FOB value |
12203.695 |
7928.559 |
5622.444 |
|
|
|
Interest |
1.264 |
0.092 |
14.914 |
|
|
|
Profit on sale of investment in subsidiary |
4.284 |
28.515 |
0.000 |
|
|
|
Service fee including recovery of actual
expenses incurred |
32.611 |
28.180 |
0.000 |
|
|
TOTAL EARNINGS |
12241.854 |
7985.346 |
5637.358 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
6431.004 |
6691.076 |
3688.991 |
|
|
|
Stores & Spares |
214.827 |
164.048 |
79.933 |
|
|
|
Capital Goods |
403.584 |
504.396 |
2088.572 |
|
|
TOTAL IMPORTS |
7049.415 |
7359.520 |
5857.496 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
65.55 |
79.90 |
51.14 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Sales Turnover |
8122.200 |
8037.400 |
8889.000 |
|
Total Expenditure |
7233.500 |
6923.900 |
6937.800 |
|
PBIDT (Excl
OI) |
888.700 |
1113.500 |
1951.200 |
|
Other Income |
73.200 |
455.200 |
28.100 |
|
Operating
Profit |
961.900 |
1568.700 |
1979.300 |
|
Interest |
239.100 |
247.100 |
208.300 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
722.800 |
1321.600 |
1771.000 |
|
Depreciation |
422.000 |
462.900 |
478.400 |
|
Profit
Before Tax |
300.800 |
858.700 |
1292.600 |
|
Tax |
80.600 |
105.100 |
400.100 |
|
Provisions and Contingencies |
0.000 |
0.000 |
0.000 |
|
Reported PAT |
220.200 |
753.600 |
892.500 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
220.200 |
753.600 |
892.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total
Income |
(%) |
10.89
|
15.57 |
13.76 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.03
|
22.69 |
20.81 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
18.92
|
23.35 |
17.50 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.31
|
0.41 |
0.36 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.47
|
0.50 |
0.74 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.65
|
1.87 |
1.74 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
UNSECURED LOANS
|
Unsecured Loans |
31.03.2012 |
31.03.2011 |
|
|
(Rs. In Millions) |
|
|
1500 (Previous Year
– Nil), 10.60%, Listed, Unsecured Redeemable Non-Convertible Debentures of Rs
1.000 Millions each |
1500.000 |
-- |
|
Term loans from banks |
1907.534 |
1049.858 |
|
Total |
3407.534 |
1049.858 |
OPERATIONS REVIEW
Net sales of the Company grew by 17.64 per cent from Rs 29860.600 millions in 2010-11 to Rs 35127.300 millions in 2011-12. Due to combined factors of higher input costs, higher energy costs and adverse demand-supply situation Profit before interest, depreciation and tax (PBIDT) including ‘other income’ decreased from Rs 9059.800 millions in 2010-11 to Rs 8296.200 millions in 2011-12.
Profit before tax (PBT) decreased by 16.48 per cent from Rs 6774.800 millions in 2010-11 to Rs 5658.600 millions in 2011- 12. After accounting for the provision for taxation of Rs 1784.800 millions, which includes deferred tax charge and provision relating to earlier years, profit after tax (PAT) fell by 19.87 per cent from Rs 4834.400 millions in 2010-11 to Rs 3873.800 millions in 2011-12.
SUBSIDIARY COMPANIES
RESTRUCTURING OF
SHAREHOLDING IN INTERNATIONAL SUBSIDIARIES
SRF GLOBAL B.V.
In order to streamline the overseas holding structure and reduce administrative expenses, SRF Tech textile B.V., was merged into SRF Global B.V. SRF Global B.V. has reported a loss of US $ 8.24 lakh during the year 2011-12 on account of administrative and interest expenses.
SRF INDUSTRIES
(THAILAND) LIMITED
A wholly owned subsidiary of SRF Global B.V. is a company incorporated in Thailand and engaged in the manufacture and distribution of nylon tyre cord. The company is setting up a Greenfield project in Thailand to manufacture Biaxially Oriented Polyethylene Terephthalate film with a capacity of 28500 TPA. The project is expected to commence commercial production during 2013-14. For the year 2011-12, the turnover of the company was THB 2093.32 million and the company incurred a loss of THB 25.09 million.
SRF INDUSTEX BELTING
(PTY) LIMITED
A wholly owned subsidiary of SRF Global B.V. is a company incorporated in South Africa and engaged in the manufacture of belting fabrics. For the year 2011-12, the turnover of the company was ZAR 144.14 million and the company incurred a loss of ZAR 4.27 million.
SRF OVERSEAS LIMITED
A wholly owned subsidiary of SRF Global B.V., is operating out of Dubai and is an arm of the Technical Textiles Business (TTB) targeted at the markets of Middle East, Europe and Africa. During the year 2011-12, turnover of the Company was AED 147.48 million and the company incurred a loss of AED 3.89 million.
SRF FLEXIPAK (SOUTH
AFRICA) (PTY) LIMITED
A wholly owned subsidiary of SRF Global B.V., has been incorporated during the year to set up a greenfield project to manufacture Biaxially Oriented Polypropylene film in South Africa with a capacity of 25500 TPA. The project is expected to commence commercial production during 2013-14. For the year 2011-12, the company had
earned an income of ZAR 1.39 million mainly on account of foreign exchange profit of ZAR 1.24 million on the loans availed from the holding company for purchase of land and for other miscellaneous expenditure. The company earned a profit of ZAR 1 million.
OTHER SUBSIDIARIES
SRF Transnational Holdings Limited earned a net profit (PAT) of Rs 8.937 millions during the year 2011-12.
SRF Properties Limited earned a net profit (PAT) of Rs 1.610 millions during the year 2011-12.
SRF Holiday Home Limited has incurred a loss of Rs 0.015 millions during the year 2011-12.
SRF Fluorochemicals Limited, SRF Energy Limited, SRF Fluor Private Limited and SRF Nitol (Bangladesh) Limited had not started any operations.
MANAGEMENT DISCUSSION
and ANALYSIS
The year 2011-12 was a year of two halves. While the first half was relatively stable, the second half was impacted by the woes of an unstable global economy. They had to deal with rising input costs, falling demand, foreign currency volatility, soaring inflation and high interest rates. The Indian economy after recording a GDP growth of 8.4 per cent during the previous year saw a decline to a level of 6.9 per cent during 2011-12. SRF, on its part, kept working at improving its internal efficiencies and charting its own growth path amidst the global turmoil.
HIGHLIGHTS OF SRF’S FINANCIAL
PERFORMANCE
net sales from operations up by 17.64 per cent from Rs 29860.600 millions in 2010-11 to Rs 35127.300 millions in 2011-12 profit before depreciation, interest (net) and tax down by 9.20 per cent from Rs 9059.800 millions in 2010-11 to Rs 8296.200 millions in 2011-12 profit before tax (PBT) down by 16.48 per cent from Rs 6774.800 millions in 2010-11 to Rs. 5658.600 millions in 2011-12 profit after tax (PAT) down by 19.87 per cent from 4834.400 millions in 2010-11 to Rs 3878.800 millions in 2011-12 earnings per share down by 17.96 per cent from Rs 79.90 in 2010-11 to Rs 65.55 in 2011-12
The Management Discussion and Analysis of the company’s financial condition and results of operations contains forward looking statements regarding future events and future results that are based on the previous year’s performance, current expectations, estimates, forecasts, and projections about the industries in which it operates and the beliefs and assumptions of its management.
BUSINESSES
SRF has a portfolio of established businesses in industrial intermediates. It classifies its main businesses as: Technical Textiles Business (TTB), Chemicals and Polymers Business (CPB) and Packaging Films Business (PFB).
TECHNICAL TEXTILES
BUSINESS
Reflecting 15.21 per cent year on year growth, from Rs. 14452.900 millions in 2010 - 11 to Rs. 16651.900 millions in 2011–12 Technical Textiles Business (TTB) continues to be SRF’s largest business segment, contributing over 47 per cent to the total sales of the Company.
TYRE CORD
REINFORCEMENT
The Nylon Tyre Cord Fabrics (NTCF) business segment has been a foundation business for SRF for several decades. In the year gone by whilst the first half of the year saw robust demand in the transportation sector reflecting the healthy growth of the Indian economy, the second half was relatively subdued. Apart from the sluggishness of the economy affecting the transportation sector in the second half of the year, the demand was also affected by the Supreme Court judgment in relation to the Mining Industry, which saw considerable population of the trucks becoming idle for a significant period. The business was also adversely affected on account of significantly higher commodity prices, particularly for chemicals and energy costs, which it was not in a position to pass on fully to its customers.
SRF invested in Polyester Tyre Cord Fabrics (PTCF) a few years back. This segment which caters to the radial tyre segment of passenger cars and light commercial vehicles is beginning to find its feet both in the domestic and overseas markets.
It is believed that in times to come the foundation being built now could be used as a launching pad.
In addition, the company has initiated development of new products in the Polyester Industrial Yarn space, which would enable it to improve its profitability and widen its portfolio.
BELTING FABRIC
SRF has been a dominant player with over 60 per cent of the market share in the Belting Fabric segment in India and has a significant global presence, being the second largest manufacturer in the world. This business segment was also adversely affected in the second half of the year on account of the fall in mining activity in the country and freezing of key infrastructure and power projects.
In the overseas markets, the volumes were adversely affected in the last quarter with the slowing down of the world economy.
The company’s South African subsidiary, which posted excellent results in the previous year, had a difficult time during the year due to negative demand in the mining sector. This was largely because the customer industry had put their investments on hold for fear of nationalisation of mines in South Africa.
To offset the fall in demand in the domestic South African market, the company has made inroads into Latin America, a step which would help it to offset the risk in the longer term.
COATED AND LAMINATED
FABRICS
The Laminated Fabrics Business has started generating positive cash flows having commenced production in Q4’2009-10 and has established itself well in the signage market. Towards the end of the financial year, it had reached full capacity utilization and is now considering the expansion of the plant to build a strong position in the coming year.
The new state-of-the-art Coated Fabric line at Gummidipoondi
with a capacity of 170 lakh square meter per annum has commenced production.
The products have been well accepted by the market. This facility offers a wide
range of products including lacquered tarpaulins, fabrics for tensile
structures, awnings, auto-canopies, hangar covers etc. In addition, Poly
Urethane (PU) Coated Fabrics have also been introduced for several
applications. SRF which offers the widest range of products in this segment is
poised to capture a major market share in India and the coming year would see
increased efforts to build this segment significantly.
INDUSTRIAL YARN
BUSINESS (IYB)
With the commissioning of the Polyester Industrial Yarn
project a few years ago, SRF is able to offer a basket of Industrial yarns
(nylon and polyester) for conveyor belts, transmission belts, hoses, ropes,
geo-textile applications, fishing
nets, stitching threads etc. SRF continues to enjoy a significant market share in the critical segments
of the industry.
OUTLOOK
The NTCF segment of Technical Textiles Business, the largest business of SRF, mainly caters to bias tyres for bus and truck segment. The current radialisation in this segment is 18 per cent only. It is estimated that radialisation would touch a level of around 30 per cent by 2013-14 and 50 per cent by 2017-18. It is projected to stabilise thereafter, as has been observed in other developing economies of the world.
With infrastructure and mining sectors expected to grow substantially in the coming years, tyres for ‘Off the Road’ (OTR) vehicles, which are already witnessing a high growth, are expected to grow in double digits on a sustainable basis for many years. These tyres consume large amount of NTCF per tyre, thus ensuring a reasonable growth rate.
It is, therefore, expected that in absolute quantity terms, the demand for NTCF would grow marginally over the next five years, though the application portfolio would show a shift from buses and trucks to two- wheelers, OTR tyres and tractor tyres.
The passenger car (PC) tyre radialisation in India has reached a mature level now (over 90 per cent), which predominantly uses Polyester Tyre Cord Fabric (PTCF) as carcass for reinforcement. The car industry is expected to grow substantially in the coming years and, therefore, offers an opportunity to SRF to provide PTCF fabrics for radial tyres.
Currently, SRF is the only company in India to produce PTCF and is well positioned to benefit from the opportunity. Leveraging its relationship with the global majors on account of its Nylon business, SRF has made progress in commercialising its products.
In Belting Fabrics, given the expectation of growth in the domestic mining industry and infrastructure, the outlook is positive in India. This augurs well for SRF, which has over 60 per cent share of this business in the domestic market. In addition, with the demand for commodities continuing to grow at a high rate globally, mining is expected to be on a growth path and this would offer opportunities to SRF.
Coated Fabrics and Laminated Fabrics through the investments made and being planned are expected to grow substantially over the next few years to become the second largest segment in SRF’s Technical Textiles Business. With changing lifestyles, urbanisation, and massive investments in infrastructure, it is expected that products such as signages, awnings and hangar covers would see a double digit growth. With the increasing usage of tensile structures with fabrics, as evidenced in stadiums, homes and exhibition centres, the high end products are expected to grow in double digits too.
SRF is one of the first large sector companies to foray into this area in a significant way and it is expected that the
Company would be able to establish a leadership position in a short time. With state-of-the-art facility, it would also have the option of considering exports, in addition to servicing the domestic markets.
CHEMICALS AND
POLYMERS BUSINESS
The manufacturing operations of SRF’s Chemicals Business are located at Bhiwadi, in Rajasthan, about 70 kilometres from New Delhi. The business derives its revenue from the sale of fluorine-based refrigerants, chloromethanes, fast-growing specialty fluorochemicals and engineering plastics. It also includes receipts from the sale of CERs generated by destruction of the greenhouse gas Hydrofluorocarbon-23 (HFC-23) under the Kyoto Protocol.
During the first half of 2011-12, the Chemicals Business posted record performance with YoY sales growing by 94 per cent and EBIDT by 147 per cent. However, during the second half, performance was relatively muted, closing the year with an overall YoY sales growth of 70 per cent and EBIDT of 107 per cent. The business faced challenges from a slowdown in the pharmaceutical sector and startup of additional capacities in chloromethanes, which affected margins.
The Fluorospecialities Business continued to grow in line with strong market demand with sales growth of 48 per cent and EBIDT growth of 66 per cent in FY 2011-12.
During the year, the businesses continue to extend its strategic tie-ups with global agro and pharma majors whilst meeting their product specification through technological innovation in the existing product portfolio.
REFRIGERANTS
Refrigerants are primarily used as a cooling medium in the air-conditioning and refrigeration industry. SRF continues to be one of the larger and more credible players in the industry globally. It is the domestic market leader with about 40 per cent share. Exports of the business are spread across 60 countries worldwide, and account for over 60 per cent of the volumes produced.
SRF’s portfolio of refrigerants includes hydrochlorofluorocarbon-22 (HCFC-22), the new-generation refrigerant hydrofluorocarbon-134a (HFC-134a), and the refrigerant blend R404a. The company is proactively addressing the expected phase-out of HCFCs from 2013 onwards under the Montreal Protocol by investing in an HFC-134a/125 plant in Dahej, Gujarat.
The market for refrigerants is estimated to grow at about 10-15 per cent per annum. The outlook for refrigerant market augurs well for SRF which continues to be the market leader in a fast-growing, challenging and competitive landscape populated by global majors.
CHLOROMETHANES
SRF's main products in the chloromethanes business are methylene chloride and chloroform. While chloroform is internally consumed for manufacturing HCFC-22, methylene chloride is sold primarily in the domestic market.
In 2011-12, the chloromethanes segment made a significant contribution to the business’ profitability, despite substantial fresh domestic production capacity. While the additional capacity is expected to substitute imports in the medium to longterm, it has resulted in dropping profitability during the second half of 2011-12, and cast a shadow over 2012-13 as well. A soft pharmaceutical industry (end-user for methylene chloride) was not in a position to pick up the additional quantities, putting pressure on margins. These competitive pressures, the chloromethanes business has successfully remained profitable, and hopes to remain so through 2012-13 as well. Strong relationships with customers, high product quality, efficient production, and short delivery lead times continue to be key differentiators vis-à-vis imports.
FLUOROSPECIALITIES
Building on its presence in the fluorine chemistry industry for almost two decades, the Company had entered the space of specialty fluorine chemistry in 2003-04. The focus has been to leverage the Company’s expertise to produce intermediates and advanced intermediates, which are used to manufacture Active Pharmaceutical Ingredients (APIs) and agrochemicals by its customers. Fluorine-based specialty chemicals are finding increasing usage in the fields of agrochemicals, pharmaceuticals and performance products.
To take on the process development for new molecules at the scale necessary to support the business’ growth plans, the strength of R&D and process engineering have been significantly augmented, in terms of people, infrastructure and management. Today, a number of projects are in various stages of construction. The business is closely engaged with buyers for most of these products.
ENGINEERING PLASTICS
Engineering Plastics, a group of polymers comprising polyamides (N6 and N66), poly butylenethalate (PBT) and poly carbonates (PC) continues to build its volume and share. Except for the four-wheel segment all other segments showed robust growth. The margins, however, remained under pressure due to a competitive market situation and exchange rate impact.
SRF had started a dedicated product development centre last year which helped it complete some key product development projects and complete its product range. The business continued to enhance its skills in R&D and new product development, thereby reducing the cost of processing and developing high end grades. The Company’s development Centre also received recognition by the Department of Scientific and Industrial Research (DSIR) during the year.
OUTLOOK
The Chemicals Business has been on the growth path over the past few years mainly driven by strong commodity upswing and R&D led innovations in speciality products. The commodity business mainly consisting of refrigerants has sustained its domestic market leadership while fluorospeciality business expanded its overseas presence by adding more volumes to existing customer base. Going forward the focus on new generation refrigerants along with a bouquet of specialty products driven by leading edge in-house R&D technology will continue.
During 2012-13, the business is expected to derive value from new products manufactured at its Dahej facility. In addition, the investment in a new R-134a/125 plant in Dahej will come up at the end of 2013-14. The upcoming plant will be backward integrated with a global size HF plant to meet the production need.
In Fluorospecialities, the business is expected to improve its profitability from commercialisation of a range of speciality products coming out of Dahej. There is a sizable market available for these products and the business is continuing to build on its reputation and credibility with the global agrochemical and pharmaceutical majors. These niche product offerings are expected to establish the Fluorospeciality business as a key value driver for the future growth of the Chemicals Business.
PACKAGING FILMS
BUSINESS
In financial year 2011-12, the market demand-supply was far worse than what the industry had forecast in the beginning of the year. The shrinking of domestic market by around 30 per cent due to a ban on plastic laminates in Gutka packaging, coupled with start-up of many new capacities, both in India and abroad, resulted in an oversupply situation. This led to crashing of prices resulting in significant erosion in margins and business profitability. Overall, the business EBIT fell from Rs 3476.000 millions in 2010-11 to Rs 160.000 millions.
To hedge against this volatility they increased their exports sales by around 18 per cent and ventured into value-added product variants. They also won the prestigious EPCES Export Award for Best non SSI SEZ unit for Plastic Products for the 5th consecutive year. Operationally, all the plants operated well, with the Indore plant setting global benchmarks both in production and line speed whilst Kashipur enhanced its capability as a swing plant. On the growth front, work on the two international projects at Thailand and South Africa started. Both the units are scheduled to be commissioned during 2013-14.
OUTLOOK
They expect the global demand for polyester films to continue growing at around 6 per cent. However, this will not be sufficient to make up for the disproportionate capacity additions in China and India which have created an oversupply situation. They expect this situation to continue in 2012-13 leading to continued pressure on margins. Low margins would discourage new investments, which should balance the demand supply situation from 2013–2014.
They believe that in the coming year, companies with low cost and global reach will have advantage over the competition. Thus, SRF’s strategy for the year will be to focus on increasing exports, enhance product offerings to include value added products and to work towards timely and cost effective global expansions. Although they witness cyclicality in this business, they believe that the long term prospects are encouraging.
CONTINGENT LIABILITIES NOT PROVIDED FOR
(Rs. in millions)
|
a) Claims against the Company not acknowledged as debts: |
31.03.2012 |
31.03.2011 |
|
Excise duty, customs duty and service tax* @ |
592.408 |
586.544 |
|
Sales tax** @ |
122.528 |
92.542 |
|
Income tax |
35.682 |
97.637 |
|
Stamp duty**** |
288.155 |
288.155 |
|
Others *** |
47.433 |
9.443 |
* Amount deposited
Rs 31.592 millions (Previous year - Rs 31.592 millions)
** Amount
deposited Rs 0.716 million (Previous Year - Rs 0.716 million)
*** Amount
deposited Rs 0.800 million (Previous Year – Rs 0.800 million)
**** In the matter
of acquisition of the Tyrecord Division at Malanpur from Ceat Limited the
Collector of Stamps, Bhind (Madhya Pradesh) has by his order dated 07.11.2001
assessed the value of the subject matter of the Deed of Conveyance dated
13.06.1996 at Rs 3030.000 millions and levied a stamp duty of Rs 237.250
millions and imposed a penalty of Rs 50.905 millions. The said demand was
challenged before the High Court of Madhya Pradesh Bench at Gwalior. The High
Court accepted the case of the Company that the subject matter of the Deed of
Conveyance dated 13.06.1996 is only the superstructures valued at Rs 277.618
millions and not the entire undertaking valued at Rs 3030.000 millions as
claimed by the State. Consequently, the High Court of Madhya Pradesh quashed
the order and demands issued by the Collector of Stamps, Bhind (Madhya Pradesh)
and allowed the writ petition by an order dated 29th November 2004. Against the
said order, the State of Madhya Pradesh preferred a Special Leave Petition
before the Hon'ble Supreme Court which the State of Madhya Pradesh has
withdrawn to enable it to approach the Hon'ble High Court of Madhya Pradesh at
Gwalior in view of the change in law in the State of Madhya Pradesh relating to
Letters Patent Appeal.
@ As per Business
Transfer Agreement with KAMA Holdings Limited, the liabilities of Rs 179.381
millions (Previous Year - Rs 179.381 millions) and Rs 3.800 millions (Previous
Year - Rs 3.800 millions) respectively towards Excise Duty and Sales tax are
covered under Representations and Warranties.
All the above
matters are subject to legal proceedings in the ordinary course of business. In
the opinion of the management, the legal proceedings, when ultimately
concluded, will not have a material effect on the results of the operations or
financial position of the Company.
b) Liability on
account of Bank Guarantees Rs 126.026 millions (Previous Year – Rs 113.753
millions)
c) Guarantees
given to banks for repayment of financial facilities availed by wholly owned
subsidiaries:
(i) USD 20.00 million
(Previous Year – USD 20.00 million). Outstanding amount as at the year-end is
USD 20.00 million (Previous Year – USD 20.00 million)
(ii) Nil (Previous
Year – AED 10.35 million) and Nil (Previous Year – Euro 0.20 million).
Outstanding amount as at the year-end is Nil (Previous Year – Nil)
(iii) USD 15.00
million (Previous Year – Nil). Outstanding amount as at the year-end is USD
13.00 million (Previous Year – Nil).
(iv) USD 16.00
million (Previous Year – Nil). Outstanding amount as at year end is EURO 11.25
million (Previous Year – Nil).
(v) EURO 3.50
million (Previous Year – Nil). Outstanding amount as at year end is EURO 3.50
million (Previous Year – Nil)
d) Guarantees
given to banks for repayment of financial facilities availed by others – Rs 25.000
millions (Previous Year – Nil). Outstanding amount as at the year-end is Nil
(Previous Year – Nil).
e) The Company has
been served with show cause notices regarding certain transactions as to why
additional customs / excise duty amounting to Rs 7.224 millions (Previous year
- Rs 7.604 millions) should not be levied. The Company has been advised that
the contention of the department is not tenable and hence the show cause notice
may not be sustainable.
FIXED ASSETS
Ø
Freehold Land
Ø
Leasehold Land
Ø
Roads
Ø
Buildings
Ø
Plant and Machinery
Ø
Furniture, Fixtures and Office Equipments
Ø
Vehicles
Ø
Goodwill
Ø
Technical Knowhow
Ø
Software
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER / NINE MONTHS ENDED 31ST DECEMBER, 2012
(Rs.
in millions)
|
Particulars |
3 Months ended 31.12.2012 |
3 Months ended
30.09.2012 |
Nine
months ended 31.12.2012 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
Income from Operations |
|
|
|
|
Net
Sales/Income from Operations |
8855.900 |
8011.900 |
24963.000 |
|
Other
Operating Income |
33.100 |
25.500 |
85.600 |
|
Total Income from operations (net) |
8889.000 |
8037.400 |
25048.600 |
|
|
|
|
|
|
Expenses |
|
|
|
|
(a) Cost of materials consumed |
4692.400 |
4936.700 |
14626.900 |
|
(b) Purchase
of stock in trade |
43.200 |
1.000 |
61.300 |
|
(c) Changes in inventories of finished goods, work in progress and
stock in trade |
(208.100) |
(27.100) |
(331.400) |
|
(d) Employee
benefit expenses |
514.700 |
524.600 |
1481.200 |
|
(e)
Depreciation and amortization expenses |
478.400 |
462.900 |
1363.300 |
|
(f) Power and Fuel |
849.800 |
842.400 |
2504.900 |
|
(g) Other
Expenses |
842.700 |
646.300 |
2092.000 |
|
Total Expenses |
7213.100 |
7386.800 |
21798.200 |
|
Profit from Operations before Other Income,
Finance costs, Exchange Currency Fluctuation and Exceptional item |
1675.900 |
650.600 |
3250.400 |
|
Other Income |
28.100 |
39.800 |
141.100 |
|
Profit/ Loss from Ordinary Activities
before Finance costs, Exchange Currency Fluctuation and Exceptional item |
1704.000 |
690.400 |
3391.500 |
|
Finance costs |
208.300 |
247.100 |
694.500 |
|
Profit/ Loss from Ordinary Activities after
Finance costs, Exchange Currency Fluctuation but Exceptional item |
1495.700 |
443.300 |
2697.000 |
|
Exchange Currency
Fluctuation |
203.100 |
(415.400) |
244.900 |
|
Exceptional item |
- |
- |
- |
|
Profit/ Loss from Ordinary Activities
before tax |
1292.600 |
858.700 |
2452.100 |
|
Tax Expenses |
|
|
|
|
- Current Tax |
342.300 |
152.500 |
601.300 |
|
- Deferred
Tax Liability/ Assets |
57.800 |
100.600 |
132.500 |
|
- Provision for Tax Relating to Earlier Years |
- |
(148.000) |
(148.000) |
|
Net Profit/ Loss from Ordinary Activities
after tax |
892.500 |
753.600 |
1866.300 |
|
Extraordinary
Items |
- |
- |
- |
|
Net Profit for the period |
892.500 |
753.600 |
1866.300 |
|
Paid- up Equity Share Capital (Face value
of the share – Rs. 10) |
574.200 |
574.200 |
574.200 |
|
Reserves excluding revaluation reserves as
per balance sheet of Previous Accounting Year |
|
|
|
|
Basic EPS for the Period (Not annualised) |
15.54 |
13.12 |
32.50 |
|
Diluted EPS for the Period (Not annualised) |
15.54 |
13.12 |
32.50 |
|
|
|
|
|
|
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1. Public shareholding |
|
|
|
|
Number of Shares |
28301866 |
28301866 |
28301866 |
|
Percentage of
Shareholding |
49.29% |
49.29% |
49.29% |
|
2. Promoters
and promoter group shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of Shares |
- |
1050000 |
- |
|
- Percentage of Shares (as a % of the Total Shareholding of promoter
and promoter group) |
- |
3.61% |
- |
|
- Percentage of Shares (as a % of the Total Share Capital of the
Company) |
- |
1.83% |
- |
|
Non - encumbered |
|
|
|
|
- Number of Shares |
29118634 |
28068634 |
29118634 |
|
- Percentage of Shares (as a % of the total shareholding of
promoter and promoter group) |
100.00% |
96.39% |
100.00% |
|
- Percentage of Shares (as a % of the total share capital of the company) |
|
|
|
|
|
50.71% |
48.88% |
50.71% |
|
|
Particulars |
3 Months ended
31.12.2012 |
|
B |
Investor
complaints |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the quarter |
67 |
|
|
Disposed of during the quarter |
67 |
|
|
Remaining unresolved at the end of the quarter |
Nil |
SEGMENT WISE REVENUE, RESULTS AND
CAPITAL EMPLOYED UNDER CLAUSE 41 OF THE LISTING AGREEMENT FOR THE QUARTER /
NINE MONTHS ENDED 31ST DECEMBER 2012
(Rs.
in millions)
|
Particulars |
3 Months ended
31.12.2012 |
3 Months ended
30.09.2012 |
3 Months ended
31.12.2012 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
1. Segment Revenue |
|
|
|
|
a) Technical Textiles Business
(TTB) |
3972.100 |
4345.400 |
12608.700 |
|
b) Chemicals and Polymers Business
(CPB) |
3515.600 |
2063.100 |
7713.900 |
|
c) Packaging Film Business (PFB) |
1409.700 |
1637.400 |
4745.800 |
|
Total |
8897.400 |
8045.900 |
25068.400 |
|
Less: Inter – segment revenue |
8.400 |
8.500 |
19.800 |
|
Total income from operations (net) |
8889.000 |
8037.400 |
25048.600 |
|
|
|
|
|
|
2. Segment Results |
|
|
|
|
Profit/ (loss) before tax and interest |
|
|
|
|
a) Technical Textiles Business
(TTB) |
255.400 |
326.000 |
928.400 |
|
b) Chemicals and Polymers Business
(CPB) |
1563.100 |
420.700 |
2629.000 |
|
c) Packaging Film Business (PFB) |
(48.800) |
57.200 |
52.700 |
|
Total |
1769.700 |
803.900 |
3610.100 |
|
Less: Finance Costs |
208.300 |
247.100 |
694.500 |
|
Other un-allocable expenditure net off
un-allocable other operating income |
268.800 |
(301.900) |
463.500 |
|
Total Profit Before Tax |
1292.600 |
858.700 |
2452.100 |
|
|
|
|
|
|
3. Capital Employed |
|
|
|
|
(Segment Assets – Segment Liabilities) |
|
|
|
|
a) Technical Textiles
Business (TTB) (Including Capital Work In Progress Rs. 151.400 Millions as at
31st Dec 12) |
11722.000 |
12049.700 |
11722.000 |
|
b) Chemicals and Polymers Business
(CPB) (Including Capital Work In Progress Rs. 3850.002 Millions as at 31st
Dec 12) |
13222.200 |
12611.200 |
13222.200 |
|
c) Packaging Film Business
(PFB) (Including Capital Work In Progress Rs. 45.000 Millions as at 31st
Dec 12) |
4301.600 |
4211.400 |
4301.600 |
|
Total Capital Employed |
29245.800 |
28872.300 |
29245.800 |
|
Add : Unallocable Assets Less
Liabilities |
2600.300 |
2622.400 |
2600.300 |
|
Total Capital Employed In the
Company |
31846.100 |
31494.700 |
31846.100 |
NOTES
1.
The above results were reviewed by
the Audit Committee and taken on record by the Board of Directors at its
meeting held on 14th February 2013.
2.
The Board of Directors have approved
the payment of an interim dividend @ 50% i.e. Rs. 5/- on each equity share of
the nominal value of Rs. 10/-
3.
Previous period figures have been
regrouped wherever necessary to conform to current quarter classifications.
Limited Review:
The Limited Review for the quarter and nine months ended December 31, 2012 as required under Clause 41 of Listing Agreement has been completed by the Statutory Auditors.
WEBSITE DETAILS
PRESS RELEASE:
Chemicals Business
of SRF wins the prestigious Deming Prize
Gurgaon, 9th October
2012: The Chemicals Business of SRF has joined a select group of organisations
globally to win the coveted Deming Prize. Awarded by the Union of Japanese
Scientists and Engineers (JUSE), the Deming Prize award is considered the Nobel
Prize equivalent in the world of quality. The winners were declared by the
Deming Prize Committee in Tokyo, today. Earlier in 2004, SRF had earned the
distinction of becoming the first tyre cord company outside Japan to win the
award.
Ashish Bharat Ram,
Managing Director, SRF said, “We are proud to have been bestowed this
recognition for the second time in SRF. The award reaffirms our commitment to
continue to serve our customers efficiently. I wholeheartedly commend the
untiring efforts of my colleagues who have been continuously learning and
applying the principles and methods of quality management to achieve all round
business success.”
SRF’s Chemicals
Business is engaged in the manufacture of refrigerants, chloromethanes and
fluorine based specialty chemicals. The business employs over 600 people, with
the manufacturing plant located at Bhiwadi in Rajasthan.
Named after Dr.
Deming, the man who taught the Japanese about quality, the Deming Prize is
highly valued as recognition of outstanding practice of TQM (Total Quality
Management) in the pursuit of the strategic objectives of a company. The Deming
Prize is awarded through a rigorous process. A diagnosis is carried out in the
year prior to the application for the prize. Detailed documents of the company,
including improvements made over many years, are examined by Japanese
counselors. A business that qualifies at this stage is subjected to a rigorous
on-site examination by a group of TQM experts from Japan
About SRF
Established in
1973, SRF as a group has today grown into a global entity with operations in 4
countries. Apart from Technical Textiles Business, in which it enjoys a global
leadership position, SRF is a domestic leader in Refrigerants, Engineering
Plastics and Industrial Yarns as well. The company also enjoys a significant
presence among the key domestic manufacturers of Polyester Films and Fluoro
specialities. Building on its in house R&D facilities for Chemicals
Business and Technical Textiles Business, the company strives to stay ahead in
business through innovations in operations and product development. A winner of
the prestigious Deming Application Prize for its tyre cord business, SRF
continues to redefine its work and corporate culture with the TQM as its
management way.
SRF’s Q3 PAT at Rs. 890.000 millions, 19% increase over Q2
Ø Q3 revenue at Rs. 8890.000 millions, a fall of 6% year-on-year
Ø Q3 PAT, a reduction of Rs. 210.000 millions year-on-year
Ø Exchange Currency Fluctuation loss of Rs. 200.000 millions during Q3
Ø
Board approved second interim
dividend of Rs. 5 per share
Q3 FINANCIALS
Gurgaon, 14th February 2013: SRF Limited, a
multi-business entity engaged in the manufacture of chemical based industrial
intermediates, maintained the upward trend in quarterly profits during the year
with a net profit after tax (PAT) of Rs. 890.000 millions for the third quarter
of 2012-13, a 19 per cent increase over the previous quarter’s figure of Rs.
750.000 millions. Sequentially, the second quarter’s PAT was itself higher by
240 per cent over the Q1 PAT of Rs. 220.000 millions.
In spite of the continuing economic slowdown, SRF’s revenue declined
marginally by 6 per cent, from Rs. 9490.000 millions during October-December
2012 to Rs. 8890.000 millions recorded during the corresponding period last year
(CPLY). The profitability of the company too reflected the economic conditions
on year-on-year basis with its PAT reducing from Rs. 111.000 millions to Rs.
890.000 millions, a decline of 19 per cent during the same period. The
unaudited financial results of SRF were taken on record by SRF’s Board in a
meeting held today.
INTERIM DIVIDEND
The Board today also approved second
interim dividend in the current financial year at the rate of 50% amounting to
Rs. 5 per share. Earlier in November 2012, the board had approved the first
interim dividend at the same rate of Rs. 5 per share.
MD’s COMMENTS
Reflecting on the financial performance of the company, Mr. Ashish
Bharat Ram, Managing Director, SRF Limited, commented: “The business
environment both domestically and globally is extremely weak. The demand
sentiment remains a major concern area.”
SEGMENT RESULTS
Helped by the stabilisation of Laminated
Fabric plant and better realisation from Tyre Cord Fabrics, the segment revenue
of the Technical Textiles Business declined by 7 per cent, from Rs. 4270.000
millions to Rs. 3970.000 millions even as its operating profit grew by 31 per
cent from Rs. 190.000 millions to Rs. 260.000 millions during the quarter ended
December 2012 over CPLY. While the segment revenue of the Chemicals &
Polymers Business declined by 5 per cent to Rs. 3520.000 millions, its
operating profit reduced by 29 per cent from Rs. 2190.000 millions to Rs.
1560.000 millions during the same period. The revenue from the Packaging Films
Businesses declined by 10 per cent from Rs. 1570.000 millions to Rs. 1410.000
millions and its operating loss increased from Rs. 40.000 millions to Rs.
50.000 millions during Q3 of 2012-13 over CPLY.
Q1-Q3 FINANCIALS
In the first nine months of 2012-13, SRF’s revenue decreased by 7 per
cent from Rs. 27020.000 millions to Rs. 2505 over CPLY. The company’s net
profit after tax (PAT) declined by 38% at Rs. 1870.000 millions during the same
period.
About SRF
Established in 1970, SRF as a group has today grown into a global entity
with operations in 4 countries. Apart from Technical Textiles Business, in
which it enjoys a global leadership position, SRF is a domestic leader in
Refrigerants, Engineering Plastics and Industrial Yarns as well. The company
also enjoys a significant presence among the key domestic manufacturers of
Polyester Films and Fluorospecialities. Building on its in-house R&D
facilities for Chemicals Business and Technical Textiles Business, the company
strives to stay ahead in business through innovations in operations and product
development. A winner of the prestigious Deming Application Prize for two of
its businesses namely Tyre Cord and Chemicals, SRF continues to redefine its
work and corporate culture with the TQM as its management way.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 54.74 |
|
|
1 |
Rs. 82.14 |
|
Euro |
1 |
Rs. 71.13 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYN |
|
|
|
|
Report Prepared
by : |
BVA |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
63 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
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.