MIRA INFORM REPORT
|
Report Date : |
20.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
FIEM INDUSTRIES LIMITED [w.e.f. 30.11.1993] |
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Formerly Known
As : |
FIEM INDUSTRIES PRIVATE LIMITED [w.e.f. 07.05.1992] RAHUL AUTO PRIVATE LIMITED |
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Registered
Office : |
D-34, DSIDC, Packaging Complex, Kirti Nagar, New Delhi –
110 015 |
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Country : |
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Financials (as
on) : |
31.03.2012 |
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Date of
Incorporation : |
06.02.1989 |
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Com. Reg. No.: |
55-034928 |
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Capital
Investment/ Paid-up Capital: |
Rs.119.622 Millions |
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CIN No.: [Company Identification
No.] |
L36999DL1989PLC034928 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
DELF02380A |
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PAN No.: [Permanent Account No.] |
AAACF1034E |
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Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturing of various types of Automotive Lighting and Accessories. |
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No. of
Employees: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (49) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 5770000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed company having satisfactory
track. Trade relations are reported as fair. Business is active. Payments are
reported to be usually correct and as per commitments. The company can be considered normal 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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
D-34, DSIDC, Packaging Complex, Kirti Nagar, New Delhi –
110 015, India |
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Tel. No.: |
91-11-25927820/ 25927919 |
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Fax No.: |
91-11-25927740 |
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E-Mail : |
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Website : |
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Factory : |
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Unit I: |
32 Mile Stone, G. T. Road, Kundli, Sonepat, Haryana, India |
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Unit II |
219/2B, Thally Road, Kallukondapalli, Hosur, Tamilnadu,
India |
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Unit III |
Kelamangalam, Achittapalli Post, Hosur, Tamilnadu, India |
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Unit IV: |
S. No. 29, Madargali, Village, Varuna Hobli, Mysore Taluka, Karnataka, India |
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Unit V (EOU) |
Kelamangalam, Achittapalli Post, Hosur, Tamilnadu, India |
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Unit VI: |
Village Bhatian, Tehsil -Nalagarh, Himachal Pradesh, India |
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Corporate Office/Unit VII : |
Plot No.1915, HSIIDC, Rai Industrial Estate, Phase-V, District Sonepat,
Haryana, India |
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Tel. No.: |
91-230-23697902/905/906/907/910/911 |
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Fax No.: |
91-130-2367903 |
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E-Mail : |
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Website : |
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Unit VIII: |
Plot No. SP 1-C, Industrial Area Tapukara, District Alwar, Rajasthan, India |
DIRECTORS
AS ON 31.03.2012
|
Name : |
Dr. J.K. Jain |
|
Designation : |
Chairman and Managing Director |
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Qualification : |
B.Com |
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Date of Appointment : |
05.08.1996 |
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|
Name : |
Mrs. Seema Jain |
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Designation : |
Whole Time Director |
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Qualification : |
B.Sc. |
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Date of Appointment : |
01.04.2005 |
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Name : |
Mr. J.S.S. Rao |
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Designation : |
Whole Time Director |
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Qualification : |
M.Com |
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Date of Appointment : |
02.05.2003 |
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Name : |
Mr. Kashi Ram Yadav |
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Designation : |
Whole Time Director |
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Qualification : |
Matriculation |
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Date of Appointment : |
01.05.1995 |
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Name : |
Ms. Aanchal Jain |
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Designation : |
Whole Time Director |
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Name : |
Mr. Rahul Jain |
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Designation : |
Non-Executive Director |
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Name : |
Mr. C.D. Shah |
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Designation : |
Independent Director |
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Name : |
Mr. Iqbal Singh |
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Designation : |
Independent Director |
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Name : |
Mr. Charoen Sachamuneewongse |
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Designation : |
Independent Director (w.e.f. 30.04.2009) |
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Name : |
Mr. C.S. Kothari |
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Designation : |
Independent Director |
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Name : |
Mr. J.S. Chandhok (up to
03.08.2011) |
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Designation : |
Independent Director |
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Name : |
Mr. Amitabh Prakash Agrawal |
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Designation : |
Independent Director (w.e.f. 01.08.2010) |
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Name : |
Mr. V. K. Malhotra |
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Designation : |
Independent Director (w.e.f. 04.08.2011) |
KEY EXECUTIVES
|
Name : |
Mr. O.P. Gupta |
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Designation : |
Chief Finance Officer |
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Name : |
Mr. Arvind K. Chauhan |
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Designation : |
Company Secretary and Compliance Officer |
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AUDIT COMMITTEE: |
Mr. C.S. Kothari - Member /Chairman Mr. P. S. Bhatia - Member (up to 30.04.2010) Mr. Iqbal Singh - Member (w.e.f. 01.05.2010) Mr. J. S. Chandhok - Member/Chairman (up to 03.08.2011) Mr. V. K. Malhotra - Member (w.e.f. 04.08.2011 |
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REMUNERATION
COMMITTEE |
Mr. C.S. Kothari - Chairman Mr. Iqbal Singh - Member Mr. P. S. Bhatia - Member (up to 30.04.2010) Mr. J.S. Chandhok - Member (from 01.05.2010 to 03.08.2011) Mr. V.K. Malhotra - Member (w.e.f. 04.08.2011 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.03.2013
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
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|
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|
8283878 |
69.25 |
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|
84400 |
0.71 |
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|
8368278 |
69.96 |
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|
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Total shareholding of Promoter and Promoter Group (A) |
8368278 |
69.96 |
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(B) Public Shareholding |
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|
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|
1358478 |
11.36 |
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|
548024 |
4.58 |
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|
831511 |
6.95 |
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|
855935 |
7.16 |
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|
683224 |
5.71 |
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|
104051 |
0.87 |
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|
48295 |
0.40 |
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|
20365 |
0.17 |
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|
3593948 |
30.04 |
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Total Public shareholding (B) |
3593948 |
30.04 |
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Total (A)+(B) |
11962226 |
100.00 |
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(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
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|
0 |
0.00 |
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Total (A)+(B)+(C) |
11962226 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of various types of Automotive Lighting and Accessories. |
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Products : |
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PRODUCTION STATUS [AS ON 31.03.2011]
|
Particular |
Units |
Production |
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Automotive Lights, Signaling Parts |
Nos |
31990036 |
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Rear View Mirror & Parts |
Nos |
9529077 |
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Sheet Metal Parts |
Nos |
3278116 |
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Prismatic Mirror and Mirror Plates |
Nos |
498555 |
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Manufactured Mould |
Nos |
16 |
|
Others (Multifunctional Led Torch) |
Nos |
826 |
GENERAL INFORMATION
|
Customers : |
·
Tata ·
Force ·
Hyundai ·
Daimler ·
GM ·
Mahindra Reva ·
Daewoo ·
Swaraj ·
VST ·
Mahindra Navistar ·
Maruti Suzuki ·
Chrysler ·
Ichikoh ·
Sparex ·
TVS ·
Honda ·
Yamaha ·
Hero ·
Piaggo ·
LML ·
Lohia ·
Zadi |
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No. of Employees : |
Not Available |
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Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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Statutory Auditors : |
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Name : |
Anil S. Gupta and Associates Chartered Accountants |
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Address: |
201, |
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Cost Auditors : |
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Name : |
Krishan Singh Berk Chartered Accountant |
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Address: |
365, Sector 15, Faridabad-121007, Haryana, India |
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Subsidiaries : |
Fiem Industries Japan Co. Limited [100% Subsidiary Company
Incorporated in Japan] |
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Other Related Parties : |
·
Fiem Auto Private Limited ·
Fiem Auto and Electrical Industries |
CAPITAL STRUCTURE
AS ON 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
30000000 |
Equity Shares |
Rs.10/- each |
Rs.300.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
11962226 |
Equity Shares |
Rs.10/- each
|
119.622
Millions |
NOTES:
Terms/rights attached to equity shares:
The company has
only one class of shares referred to as equity shares having a par value of Rs
10 each. Each holder of equity shares is entitled to one vote per share. The company
declares and pays dividends in Indian rupees. The dividend proposed by the
Board of Directors is subject to the approval of the shareholders in the
ensuing Annual general Meeting except in case of interim dividend. In the event
of liquidation of the company, the holders of equity shares will be entitled to
receive any of the remaining assets of the company, after distribution of all
preferential amounts. However, no such preferential amount exist currently. The
distribution will be in proportion to the number of the equity shares held by
the shareholders.
Aggregate number of bonus shares issued, share
issued for consideration other than cash during the period of five years
immediately preceding the reporting date:
1,04,065 fully
paid up equity shares of Rs10/- each allotted during 2007-08 to the
shareholders of M/s Fiem Sung san (India) Limited Pursuant to its Amalgamation
without payment being received in cash.
The Details of
shareholder holding more than 5% shares in the company ( Equity share of Rs 10
each fully paid up):
|
NAME OF SHAREHOLDERS |
AS ON 31.03.2012 |
|
|
|
NO. OF SHARES |
% HELD |
|
Rahul Jain |
4187694 |
35.00 % |
|
JK Jain |
1891111 |
15.81 % |
|
Seema Jain |
1656573 |
13.85 % |
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 |
119.622 |
119.622 |
119.622 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
1323.715 |
1140.249 |
980.162 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
1443.337 |
1259.871 |
1099.784 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1391.550 |
1188.152 |
542.369 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
1391.550 |
1188.152 |
542.369 |
|
|
DEFERRED TAX LIABILITIES |
193.045 |
146.616 |
118.762 |
|
|
|
|
|
|
|
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TOTAL |
3027.932 |
2594.639 |
1760.915 |
|
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|
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|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
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|
FIXED ASSETS [Net Block] |
2815.065 |
2306.314 |
1535.313 |
|
|
Capital work-in-progress |
13.730 |
131.839 |
252.258 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.462 |
0.462 |
0.462 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
457.368
|
420.900 |
273.324
|
|
|
Sundry Debtors |
670.701
|
460.687 |
307.352
|
|
|
Cash & Bank Balances |
52.657
|
14.705 |
13.670
|
|
|
Other Current Assets |
2.753
|
4.491 |
0.000
|
|
|
Loans & Advances |
173.722
|
211.735 |
139.407
|
|
Total
Current Assets |
1357.201
|
1112.518 |
733.753 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
644.093
|
552.412 |
464.480
|
|
|
Other Current Liabilities |
455.181
|
357.151 |
217.303
|
|
|
Provisions |
59.252
|
46.931 |
79.205
|
|
Total
Current Liabilities |
1158.526
|
956.494 |
760.988 |
|
|
Net Current Assets |
198.675
|
156.024 |
(27.235)
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.117 |
|
|
|
|
|
|
|
|
TOTAL |
3027.932 |
2594.639 |
1760.915 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5335.423 |
4208.397 |
2941.888 |
|
|
|
Other Income |
3.008 |
4.605 |
8.385 |
|
|
|
TOTAL (A) |
5338.431 |
4213.002 |
2950.273 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Raw Materials and Components Consumed |
3127.490 |
2546.493 |
|
|
|
|
Purchase of Stock-in-Trade |
91.654 |
70.365 |
|
|
|
|
Employees Benefits Expenses |
611.869 |
461.404 |
2667.661 |
|
|
|
Other Expenses |
868.118 |
817.119 |
|
|
|
|
Changes in
Inventories of Finished Goods, Work in progress and Stock in trade |
(40.268) |
(64.434) |
|
|
|
|
TOTAL (B) |
4658.863 |
3830.947 |
2667.661 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
679.568 |
382.055 |
282.612 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
207.555 |
95.037 |
33.295 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
472.013 |
287.018 |
249.317 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
168.836 |
129.793 |
92.467 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
303.177 |
157.225 |
156.850 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
91.729 |
42.955 |
49.348 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
211.448 |
114.270 |
107.502 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
405.699 |
344.069 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
12.500 |
11.000 |
|
|
|
Dividend |
NA |
29.906 |
29.905 |
|
|
|
Tax on Dividend |
NA |
4.851 |
4.967 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
472.712 |
405.699 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
112.592 |
124.849 |
127.170 |
|
|
|
Packing & Forwarding Charges Received |
0.163 |
0.146 |
0.316 |
|
|
|
Testing Charges Received |
0.473 |
0.000 |
0.041 |
|
|
|
Design, Development & Modification Charges |
1.157 |
27.275 |
0.000 |
|
|
|
Others |
0.085 |
0.213 |
1.297 |
|
|
TOTAL EARNINGS |
114.470 |
152.483 |
128.824 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
77.172 |
99.211 |
76.724 |
|
|
|
Capital Goods |
106.575 |
36.205 |
31.737 |
|
|
|
Trading Goods |
64.581 |
45.562 |
67.262 |
|
|
|
Components & Spare Parts |
2.261 |
2.617 |
4.110 |
|
|
|
Consumable Store |
0.780 |
2.943 |
3.520 |
|
|
TOTAL IMPORTS |
251.369 |
186.538 |
183.353 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
17.68 |
9.55 |
8.99 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
31.03.2013 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
1434.600 |
1432.900 |
1501.100 |
1653.600 |
|
Total Expenditure |
1269.900 |
1272.200 |
1323.900 |
1457.500 |
|
PBIDT (Excl OI) |
164.800 |
160.700 |
177.100 |
196.100 |
|
Other Income |
01.000 |
01.200 |
00.400 |
00.900 |
|
Operating Profit |
165.700 |
162.000 |
177.600 |
197.000 |
|
Interest |
49.700 |
31.600 |
39.100 |
08.900 |
|
PBDT |
116.100 |
130.300 |
138.400 |
188.100 |
|
Depreciation |
44.300 |
44.200 |
44.900 |
50.100 |
|
Profit Before Tax |
71.800 |
86.100 |
93.500 |
138.000 |
|
Tax |
21.400 |
23.500 |
27.400 |
43.900 |
|
Profit After Tax |
50.400 |
62.600 |
66.200 |
94.100 |
|
Net Profit |
50.400 |
62.600 |
66.200 |
94.100 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
3.96
|
2.71 |
3.64
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.68
|
3.74 |
5.33
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.27
|
4.60 |
6.91
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.21
|
0.12 |
0.14
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.96
|
0.94 |
0.49
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.17
|
1.16 |
0.96
|
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by
Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
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 |
Yes |
|
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 |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
BRIEF REVIEW:
During F.Y. 2011-12,
the Automobile Industry in India has registered a production growth of 13.83%.
Further, on domestic sales front two wheeler segment has registered a better
growth of 14.16% in comparison to 4.66% in passenger vehicle segment, by which
the company has benefited because two wheeler segments constitute a major part
in overall business of the Company. At Company front, this has been another
excellent year with a strong performance across all dimensions; the Net
Turnover of the Company is Rs. 5302.300 Millions in comparison to Rs. 4155.700
Millions in F.Y. 2010-11. This has resulted in a growth of 27.59%. The Net
Profit after Tax is Rs. 211.400 Millions in Comparison to Rs. 114.300 Millions
during F.Y. 2010-11.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT:
ECONOMIC OVERVIEW:
Year 2011-12 has
left mix kind of signals. While Euro Region debt crisis and overall slow
economic recovery in European countries was a headline throughout the year, our
own internal political and economic environment was showing sign of
uncertainties and many business leaders have openly aired their opinion about
these conditions. Despite all these, our economy has registered a GDP growth of
6.5%, which is giving some kind of relief about the growth indication. Still
there are wide spread feelings that Indian Government should push the reforms
with a fast pace to bring back the economy in high growth trajectory. The
conditions in developed countries should also recover as most of the economists
are of the opinion that worst is over and things should improve in general.
However, some of European countries like Portugal, Italy, Greece and Spain will
still test the time because of their internal economic turmoil in very recent
times. On this backdrop, it is expected that globally the things in general
will improve and our internal policy reforms will give a boost to our economy.
These expectations give a positive outlook for the overall economy in medium to
long term.
INDUSTRY STRUCTURE
AND DEVELOPMENTS:
Auto Component
Industry is in the nature of ancillary to Automobile Industry. The automobile
OEMs give the mobility solutions to the society and Auto Component Industry
acts like a vendor - partner in production of any automobile whether passenger
vehicle, commercial vehicle, two wheeler, three wheeler or any other automobile
equipments or vehicle. Automobile OEMs fulfill their components requirements
from the Auto Component Manufacturers to make a complete vehicle. A single
Vehicle requires numerous nos. of components depending upon the size,
complexity and functionality of the Vehicle. In addition to OEMs, replacement
markets also form the substantial part of whole Auto Component Industry. Indian
Auto Component Industry constitutes organized and un-organized sectors.
Organized sector mainly OEMs focused and unorganized sector mainly dependent on
Replacement Market. However, organized players also supply to Replacement
Market.
Auto component
players are also characterized by the specialization into their core areas.
Normally, one player manufactures one or two product for whole range of
Automobiles or particular segment of automobile. Like, Lighting Equipment
companies manufacturer these parts for a large no. of vehicle and Horn
manufacturing companies manufacture Horn for a large range of vehicle. So in a
way every Component manufacturer Company is specialized in its field. However,
a very few big companies or conglomerates manufacture a large no. of products
and supplies to their customers many products at a time. They can say that,
automobile industry act as parent industry for auto component industry and
these two forms backward and forward integration with each other.
After
liberalization, Indian automobile industry has grown significantly with OEMs
from all across the world, particularly from Japan, Korea, Europe and America.
Further, the domestic players like Tata Motors, Mahindra and Mahindra and two
wheeler players like Hero Honda, Bajaj, TVS and many others have also turned
bigger and bigger. This has made Automobile Industry as one of the biggest
Industry in our economy. As Auto Component Industry is complementary to
Automobile Industry so it has also grown significantly by presence of Indian
and foreign players. Off late, India is emerging as a manufacturing hub, both
for automobile and auto components. Indian auto component Industry is capable
of producing all types and varieties of components and it has come a long way
in development, capable of competing with other countries. In addition to
domestic business, Indian auto component industry also exporting a significant
part to other countries.
In India,
Automobile Industry and Auto component Industry have a fair spread across
states, presenting a balanced regional development and presence. All regions
have established players in all segment of Automobile Industry like Commercial
Vehicles, Passenger Vehicles, Two Wheelers and Tractor etc.
AUTO INDUSTRY
OUTLOOK-AUTOMOBILE AND AUTO COMPONENTS:
On macro economic
front, the environment has remained volatile because of global and internal
economic reasons. However, the cumulative production data for F.Y. 2011-12
shows that the Automobile Industry in India has been able to achieve a decent
growth rate of 13.83% in production. The growth rate for overall domestic sales
for 2011-12 was 12.24 percent amounting to 17,376,624 vehicles. Passenger
Vehicles segment grew at 4.66 percent during F.Y. 2011-12 over same period last
year. The Total Two Wheelers domestic sales registered a growth of 14.16
percent.
On Export front,
during F.Y. 2011-12, the industry exported 2,910,055 units, registering a
growth of 25.44 percent. Passenger Vehicles registered growth at 14.18 percent
in this period. Commercial Vehicles, Three Wheelers and
Two Wheelers
segments recorded growth of 25.15 percent, 34.41 percent and 27.13 percent
respectively.
Year 2011-12 has
seen a low volume growth in Automobile in comparison to year 2010-11, this was
attributed to various reasons like high interest rates, increasing petrol prices
and a general slowdown in the consumer demand in domestic market. The high base
of last year is also giving some arithmetic reason of the slower growth rate in
F.Y. 2011-12. However, facing all these things, 13.83 % in production is
considered as a decent growth rate.
SEGMENT-WISE OR
PRODUCT-WISE PERFORMANCE:
The business of
the Company is manufacturing of auto components and main product line are
Automotive Lighting and Signaling Equipments, Rear View Mirrors, Sheet Metal
Parts, Plastic Moulded Parts and some other components. All the product line of
the Company is categorized in auto components category and is subject to same
set of risk and returns. Hence, the Company's business falls within one segment
only i.e. Automotive Components. Company is also foraying into LED display
panels, torches and other LED products in general In-door and Out-door
Lighting, like Home Lighting and Street Lighting etc.
During Financial
Year 2011-12, Company has registered a decent growth of 27.59% by achieving a
Net Turnover of Rs. 5302.300 Millions in comparison to Rs. 4155.700 Millions in
last financial year.
CONTINGENT LIABILITIES:
|
Particulars |
31.03.2012 [Rs. in millions] |
31.03.2011 [Rs. in millions] |
|
Bill of Exchange Discounted from Bank |
255.953 |
258.382 |
|
Service Tax
demand on credit taken on Outdoor catering for which the Company has filed an appeal with CESTAT, Chennai |
1.313 |
0.000 |
|
Excise Duty
Demand on Modvat Credit taken on raw material for which the Company has filed an appeal with CESTAT, New Delhi |
2.507 |
2.507 |
|
Entry Tax for
certain inter-state purchase in Rajasthan for which matter is sub-judice in superior Courts |
0.535 |
0.000 |
|
Claim against the
Company not acknowledged as debts, being disputed by the Company |
0.500 |
0.500 |
|
TOTAL |
260.808 |
261.389 |
FIXED ASSETS:
·
Leasehold Land
·
Freehold Land
·
Factory Building
·
Plant and Machinery
·
Office Equipment
·
Vehicles
·
Staff Bus and Delivery
Van
·
Mould, Blocks and Dies
·
Electrical Fittings
·
Computers
·
Tools and Equipments
·
Furniture and Fixtures
STATEMENT OF STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31.03.2013
Rs. in Millions
|
Sr. No. |
Particular |
Quarter Ended |
Year Ended |
|
|
|
|
31.03.2012 (Unaudited) |
31.12.2012 (Unaudited) |
31.03.2013 (Unaudited) |
|
|
|
|
|
|
|
1. |
Net Sales/Income
from Operations |
1639.570 |
1492.899 |
5988.757 |
|
|
Other Operating
Income |
13.985 |
8.167 |
33.389 |
|
|
Total Income From Operations (Net) |
1653.555 |
1501.066 |
6022.146 |
|
|
|
|
|
|
|
2. |
Expenditure |
|
|
|
|
|
Cost
of materials consumed |
955.192 |
900.083 |
3576.470 |
|
|
Purchase
of stock in trade |
34.054 |
8.011 |
81.035 |
|
|
Changes
in inventories of finished goods, work in progress and stock in trade |
41.201 |
(0.201) |
1.046 |
|
|
Employee
benefits expenses |
182.210 |
172.893 |
707.735 |
|
|
Depreciation
and amortization expenses |
50.079 |
44.899 |
183.467 |
|
|
Other
expenses |
244.855 |
243.146 |
957.166 |
|
|
Total Expenses |
1507.591 |
1368.831 |
5506.919 |
|
|
|
|
|
|
|
3. |
Profit
From Operations before Other Income, Interest and Exceptional Items (1-2) |
145.964 |
132.235 |
515.227 |
|
|
|
|
|
|
|
4. |
Other
Income |
0.912 |
0.421 |
3.526 |
|
|
|
|
|
|
|
5. |
Profit
Before Interest and Exceptional Items (3+4) |
146.876 |
132.656 |
518.753 |
|
|
|
|
|
|
|
6. |
Interest |
8.878 |
39.123 |
129.299 |
|
|
|
|
|
|
|
7. |
Profit
After Interest but before Exceptional Items (5-6) |
137.998 |
93.533 |
389.454 |
|
|
|
|
|
|
|
8. |
Exceptional
Items |
-- |
-- |
-- |
|
|
|
|
|
|
|
9. |
Profit
from Ordinary Activities before Tax (7+8) |
137.998 |
93.533 |
389.454 |
|
|
|
|
|
|
|
10. |
Tax
Expense |
43.900 |
27.383 |
116.176 |
|
|
|
|
|
|
|
11. |
Net
Profit from Ordinary Activities after Tax (9-10) |
94.098 |
66.150 |
273.278 |
|
|
|
|
|
|
|
12. |
Extraordinary
Item (net of expense) |
-- |
-- |
-- |
|
|
|
|
|
|
|
13. |
Net
Profit for the period (11-12) |
94.098 |
66.150 |
273.278 |
|
|
|
|
|
|
|
14. |
Paid-up
Equity Share Capital (Face Value of Rs.10/- Each) |
119.623 |
119.623 |
119.623 |
|
|
|
|
|
|
|
15. |
Reserves
Excluding Revaluation Reserve |
-- |
-- |
-- |
|
|
|
|
|
|
|
16. |
Basic and Diluted Earnings Per
Share (EPS) (Rs.)-Not Annualised |
|
|
|
|
|
a) Basic
and diluted EPS before extraordinary items |
7.87 |
5.53 |
22.85 |
|
|
b)
Basic and diluted EPS after extraordinary items |
7.87 |
5.53 |
22.85 |
|
|
|
|
|
|
|
17. |
Public Shareholding |
|
|
|
|
|
-Number
of Shares |
3593948 |
3593948 |
3593948 |
|
|
-
Percentage of Shareholding |
30.04 |
30.04 |
30.04 |
|
|
|
|
|
|
|
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 |
8368278 |
8368278 |
8368278 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of Promoter and
Promoter Group) |
100% |
100% |
100% |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
69.96 |
69.96 |
69.96 |
|
Particulars |
Quarter Ended 31.03.2013 |
|
Pending at the beginning of the quarter |
Nil |
|
Received during the quarter |
Nil |
|
Disposed of during the quarter |
Nil |
|
Remaining unresolved at the end of the
quarter |
Nil |
NOTES:
1. The above
results have been reviewed by the Audit Committee and approved by the Board of
Directors in their respective meetings held on 11th May 2013. The statutory auditors
of the company have carried out limited review on the above results.
2. The company has
one foreign subsidiary i.e. 'Fiem Industries Japan Company Limited'
incorporated in Japan. Under Clause 41(I) (e) of the Listing Agreement, the
company has adopted the option of submitting un-audited quarterly financial
results only on standalone basis.
3. Pursuant to the
clarification regarding applicability of Para 6 of Accounting Standard (AS) 11
and Para 4(e) of AS16 vide circular number dated August 9, 2012 from the
Ministry of Corporate Affairs, finance cost amounting to 28.684 millions
debited to the statement of Profit and Loss during the previous financial year,
have been added to the cost of fixed assets in the current period.
4. The Company is
primarily engaged in Automotive Components business. As such there is no other
separate reportable segment as defined by Accounting Standard-17 “Segment
Reporting”.
5. Provision for
Taxation includes current tax, deferred tax and is net of MAT Entitlement credit
available to the company, if any.
6. Previous period's figures have been regrouped/ rearranged wherever
necessary, to make them comparable.
AS PER WEB SITE DETAILS
PROFILE
Their Company is one
of the manufacturers of automotive lighting and signaling equipments and rear
view mirrors. Their company was originally incorporated in India as Rahul Auto
Private Limited on February 6, 1989 in New Delhi under the Companies Act, 1956.
They set up their unit at HSIDC Industrial Estate, Kundli, Sonepat (Haryana)
for carrying on the business of manufacturing rear view mirrors for two, three
and four wheelers. They changed the name of their company to Fiem Industries
Private Limited w.e.f. May 7, 1992. Subsequently, their Company was converted
into a public Company w.e.f November 30, 1993 pursuant to which, the name of
their Company was changed to FIEM Industries Limited. During the year 1993-94,
they added additional facilities for manufacturing of automotive lighting and
signaling equipments such as head lamp, tail lamp, side indicator, reflex
Reflector, fog lamp, etc
With a view to expand their business, they shifted all their manufacturing during the year 1993-94 to the plant situated at 32 Mile Stone, G. T. Road , Kundli, Sonepat, (Haryana) (Unit 1) having fully fledged testing laboratory for manufacturing automotive lamps and rear view mirrors conforming to International Standards viz, JIS, ADR, DOT, ECE, SAE and Indian Standards viz.,
AIS and BIS. In the year 1996, their company set-up a Joint Venture
Company under the name and style of FIEM Sung San (India) Limited in
association with Sung San Company Limited, Korea and Daewoo Motors India
Limited. Subsequently, FIEM Sung San (India) Limited became their subsidiary
w.e.f September 30, 2005 pursuant to the acquisition of 32,50,000 Equity Shares
of Rs. 10 each.
They further
expanded their capacities with the setting-up of their Unit II in the year
2003-04 at 219/2B, Thally Road, Kallukondapalli, Hosur Tamil Nadu for
manufacturing head lamps, tail lamps, / rear combination lamps, side indicator
lamps, reflex reflectors and rear view mirrors. They set up their Unit III in
the year 2004-05 at Kelamanglam, Achittapalli Post, Hosur, Tamil Nadu for manufacturing
sheet metal items viz., frame, mudguards, stands, guard exhaust pipe. In the
same year they set up their Unit IV at S.No. 29, Madargali Village , Varuna
Hobli, Mysore Taluk, Karnataka for manufacturing value added products such as
assembly of rear fender for two wheelers
They are presently conducting trail runs at their Export Unit (Unit V) at Kelamangalam, Hosur, and Tamilnadu for manufacturing mirror plates, mirror assembly, head lamps, tail lamps, and side indicators. They are also in the process of setting up of Unit VI at Nalagarh, Himachal Pradesh which shall engage in the manufacture of head lamps, tail lamps, side indicator lamps, rear fender, reflex reflectors and rear view mirrors primarily for the four wheeler segment. They have been accredited with ISO-9002 in the year 1997 by BVQI, London.
In the year 1999, their Unit Sonepat Haryana was accredited with ISO
9001: 2000 and ISO 9002 : 1994 and the quality system requirements
certification QS 9000 : 1998 by Underwriters Laboratories Inc. (UL), USA for
the manufacture of automotive lighting and signaling equipments and rear view
mirrors. Subsequently, in the year 2004, their Unit I at Sonepat, Haryana was
accredited with ISO/TS 16949: 2002 by UL, USA. In the year 2005, their Unit II
at Hosur, Tamilnadu was accredited with ISO/TS 16949: 2002 by UL, USA. In the
same year, their Unit I at Sonepat, Haryana was accredited with ISO 14001-2004
by UL, USA. Prior to this in the year 2002, their unit I at Sonepat, Haryana
also received the 'Confirmity of production' form RDW, Netherlands for e-marked
products. Their Company was awared Bhartiya shiromani Puruskar by the Institute
of Economic Studies (IES), New Delhi, in the year 2005.
MAJOR EVENTS IN THE HISTORY OF THEIR COMPANY SINCE INCEPTION
|
Year |
Key Events |
|
1989 |
Incorporation of their
Company under the name and style of Rahul Auto Private Limited Unit at HSIDC Industrial Estate, Kundli, Sonepat (Haryana) set-up |
|
1992 |
Change of the name of the Company from Rahul Private Limited to FIEM Industries Private Limited |
|
1993 |
Converted to public Limited Company pursuant to which the name of the Company changed from FIEM Industries Limited Shifted all manufacturing facilities to the plant situated at 32 Mile Stone, G.T. Road, Kundli, Sonepat (Haryana) (Unit I) having full fledged testing laboratory |
|
1996 |
FIEM Sung San (India) Limited, a Joint venture Company set-up in Noida, Uttar Pradesh pursuant to a Joint Venture Agreement in association with Sung San Company Limited, Korea and Daewoo Motors India Limited ( formerly DCM Daewoo Motors Limited ) |
|
2004 |
Set-up Unit II at
Kallukondapalli, Hosur, Tamilnadu |
|
2005 |
Set-up Unit III at Kelamanglam, Hosur, Tamilnadu t-up IV at Mysore , Karnataka Entered into a Technical Support Agreement with Ichikoh Industries Limited, Japan Established overseas design centre and liason office in
Japan Signed MOU for establishing a Joint Venture company with Aspock
Holding, Awarded the ‘Bhatiya Shiromani Puraskar' by the Institute
of Economic Studies (IES), Presented with the ‘Business ‘Sphere Award' for the year 2005 2006 for being the most successful pioneer and among toppers in export and manufacturing of auto components for 2 wheelers. |
|
2006 |
Entered into a Joint Venture agreement with Korea Air Conditioner Company Limited for establishing a company at Hosur Tamil Nadu Setting up an EOU unit at Kelamanglam,, Hosur Tamil Nadu (Unit V) Setting up a Unit VI at Nalagarh, Himachal Pradesh Awarded the ‘Transworld Gold Star Award' by the International Study Circle (ISC), New Delhi for excellence in quality Signed MOU with ZADI Divisione Fanaleria CEV Spa, Italy |
|
January 09 2007 |
Commercial Production/ Commercial
Operations The company has commenced commercial production of mirror plates in EOU (Unit V) situated in Hosur Tamilnadu for Ichikoh Industries Limited, Japan under the supervision of team of engineers from Ichikoh The company has also commenced exports of automotive lamps
and has sent its first consignment to Europe, Aspock Further, the company has also commenced the commercial production and make the first sale from the Unit situated in Nalagarh, Himachal Pradesh (Unit-VI) to OE Customer (Original Equipment Manufacturer), Punjab Tractors Limited |
|
January 11, 2007 |
Acquirement of new
Industrial Plot for future expansion The Company has acquired a new Industrial Plot measuring
around 7 (seven) Acres in Phase V, Industrial Estate, Rai, Sonepat, Haryana for
future expansion plans of the company. |
|
January 21, 2007 |
Receipt of Award and Customer Addition They have pleasure to inform that the company has received QCDDM(Quality, Cost, Delivery, Development and Management) Award from its esteemed customer M/s Honda Motercycle and Scooter India Private Limited for 4th consecutive year. This Award is given for maintaining high standards in these parameters Further, the Company has received orders for Tractor
Lights and Mirrors fro m M/s International Tractors Limited, M/s H.M.T
Limited and M/s Indo Farm Tractors and Motors Limited. These orders are for
newly started unit of the Company situated in Nalagarh, Himachal Pradesh
(Unit-VI). |
|
March 26, 2007 |
Contruction work at new Plot of the
Company and Customer Addition With pleasure, they inform that they have performed Bhoomi Pujan and started construction work at the newly acquired Industrial Plot in Phase V, Industrial Estate, Rai, Sonepat Haryana for Inplementing future expansion programme of the Company. Further, the Company has made remarkable Progress by clinching new order from renowned Japanese Company, M/s Yamaha Motor India Private Limited. This will pave a smooth way for enhancing business prospects with the Japanese Companies. |
|
May 16, 2007 |
Receipt of Award: They have pleasure to inform that their Chairman and
Managing Director, Mr. J.K. Jain has been awarded by prestigious “Rashtriya Samman
Purskar” with Gold Medal by ‘Indian Society for industry and Intellectual
Development.’ Sh. Mangat RamSingal, hon’ble Minister for industry, Labour and
Employment, Government presented the Award. The Award is given for
outstanding Achievement and Intellectual Excellence for High Quality in
manufacturing of Automotive Lights and Mirrors by the Company |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.89 |
|
|
1 |
Rs.83.65 |
|
Euro |
1 |
Rs.70.57 |
INFORMATION DETAILS
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
49 |
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.